BANKRUPTCY REFORM ACT OF 1999 -- (Extensions of Remarks - May 12, 1999)

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SPEECH OF HON. JOSEPH CROWLEY OF NEW YORK IN THE HOUSE OF REPRESENTATIVES WEDNESDAY, MAY 5, 1999

The House in Committee of the Whole House on the State of the Union had under consideration the bill (H.R. 833) to amend title II of the United States Code, and for further purposes:

Mr. CROWLEY. Mr. Chairman, while I believe that H.R. 833 is an important step towards ending the abuse and restoring responsibility to our nation's bankruptcy system, I believe that the effectiveness of this legislation could be improved by adjusting the homestead exemption for bankruptcy filers to more adequately reflect the current costs of housing in the United States.

Mr. Chairman, in my home State of New York, the homestead exemption for individuals is just $10,000 while couples are limited to only a $20,000 exemption. Clearly this amount is woefully inadequate when compared to the current high costs of housing faced by the residents of New York.

Mr. Chairman, while I think that H.R. 833 sets a reasonable cap on homestead exemptions at $250,000, I believe it is imperative that the homestead exemption for individuals and couples in New York be raised to sufficiently reflect the prevailing costs of housing in New York so that while consumers are working to meet their financial obligations and get back on their feet, they are not burdened with the prospect of losing their homes.
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