In judgments and other liens, providing for bankruptcy exemption.
HB2282 would create a new Pennsylvania bankruptcy exemption section allowing individuals or married couples filing jointly in a bankruptcy case filed in Pennsylvania to choose either the existing federal bankruptcy exemptions or a new state exemption package. The bill sets a high homestead-style exemption of up to $650,000 in aggregate equity for a primary residence, along with separate exemptions for personal property, vehicles, and a broad list of protected assets and benefits. It also specifies that appreciation in the exempt home equity during the bankruptcy case remains exempt, even if it exceeds the dollar cap.
The bill’s exemption list covers many categories of income and property that are commonly protected in bankruptcy, including wages, alimony and support, Social Security, unemployment, workers’ compensation, medical assistance, veterans’ benefits, tax refunds, restitution, burial plots, college savings plans, and certain public assistance and student aid. It also protects health aids and certain civil recovery awards. In addition, the bill directs the Pennsylvania Supreme Court to adjust the dollar amounts every three years for inflation using the Consumer Price Index, with notice published in the Pennsylvania Bulletin.
If enacted, HB2282 would amend Title 42 of the Pennsylvania Consolidated Statutes by adding a new bankruptcy exemption provision and would significantly expand the property debtors may shield in bankruptcy cases filed in Pennsylvania. It would give filers a choice between federal exemptions under 11 U.S.C. § 522(d) and the new state exemption scheme, potentially changing how bankruptcy attorneys and debtors plan cases in the Commonwealth. The bill would also require periodic inflation adjustments to the exemption amounts by the Pennsylvania Supreme Court, creating an ongoing administrative role for the judiciary.
No committee transcript or vote record is provided, so there is no documented debate or recorded sentiment in the supplied materials. Based on the bill text alone, the measure appears debtor-protective and consumer-oriented, with a strong emphasis on preserving housing, income, and public benefits for people in bankruptcy. The absence of recorded opposition or amendments in the provided context means no clear bipartisan or partisan split can be identified from the available information.
The main policy issue likely to draw attention is the size of the proposed exemptions, especially the $650,000 primary residence protection and the broad categories of exempt personal property and benefits. Supporters would likely view the bill as a strong consumer protection measure that helps debtors keep a home and essential assets, while critics may argue it is overly generous, could reduce recoveries for creditors, and may encourage forum shopping or strategic bankruptcy filings in Pennsylvania. Another possible point of contention is the inclusion of appreciation in exempt home equity and the delegation of inflation adjustments to the Pennsylvania Supreme Court.