By: Romo H.B. No. 1958
73R5844 MJW-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to using private entities to assist the attorney general
1-3 in child support enforcement and imposing a late fee on delinquent
1-4 child support.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Chapter 76, Human Resources Code, is amended by
1-7 adding Section 76.0011 to read as follows:
1-8 Sec. 76.0011. USE OF PRIVATE ENTITIES FOR CHILD SUPPORT
1-9 ENFORCEMENT. (a) The attorney general may contract with a private
1-10 attorney, other private entity, or political subdivision of the
1-11 state to:
1-12 (1) establish or modify child support obligations;
1-13 (2) collect child support; or
1-14 (3) determine paternity under this chapter or federal
1-15 law.
1-16 (b) A private attorney, other private entity, or political
1-17 subdivision that contracts with the attorney general under this
1-18 section may not retain as compensation for services rendered for an
1-19 obligee a portion of a delinquent child support obligation that is
1-20 awarded or collected. The attorney general shall compensate the
1-21 private attorney, other private entity, or political subdivision
1-22 from late payment fees collected under Section 14.36, Family Code.
1-23 To the extent that late payment fees collected under Section 14.36,
1-24 Family Code, are insufficient to fully compensate a private
2-1 attorney, other private entity, or political subdivision, the
2-2 attorney general shall use for that purpose funds appropriated by
2-3 the legislature or collected by the attorney general for use in
2-4 child support enforcement.
2-5 (c) The attorney general shall contract with private
2-6 attorneys or other private entities to represent child support
2-7 obligees who receive financial assistance under Chapter 31 in not
2-8 less than 10 percent of cases in which a child support payment is
2-9 delinquent by 12 months or more.
2-10 (d) A private attorney, other private entity, or political
2-11 subdivision that contracts with the attorney general under this
2-12 section may use any means of enforcement available to the attorney
2-13 general under state law.
2-14 (e) The attorney general shall provide copies of all
2-15 contracts entered into under this section to the Legislative Budget
2-16 Board and the Governor's Office of Budget and Planning, along with
2-17 a written justification of the need for each contract, within 60
2-18 days after the execution of the contract.
2-19 (f) The attorney general shall attempt to award to
2-20 disadvantaged businesses at least 20 percent of the contracts
2-21 awarded to private attorneys or private entities under this
2-22 section.
2-23 (g) The attorney general shall submit to the governor and
2-24 the legislature not later than August 31 of each year a report that
2-25 indicates the:
2-26 (1) name of each disadvantaged business awarded a
2-27 contract under this section; and
3-1 (2) percentage of the total amount of compensation
3-2 paid by the attorney general to private attorneys and private
3-3 entities under this section received by disadvantaged businesses.
3-4 (h) The attorney general shall give preference to a private
3-5 entity with a principal place of business in Texas in awarding
3-6 contracts under this section when the cost and quality of services
3-7 being offered are equal.
3-8 (i) In this section, "disadvantaged business" means:
3-9 (1) a corporation formed for the purpose of making a
3-10 profit in which at least 51 percent of all classes of the shares of
3-11 stock or other equitable securities are owned by one or more
3-12 persons who are socially disadvantaged because of their
3-13 identification as members of certain groups, including black
3-14 Americans, Hispanic Americans, women, Asian Pacific Americans, and
3-15 Native Americans, who have suffered the effects of discriminatory
3-16 practices or similar insidious circumstances over which they have
3-17 no control;
3-18 (2) a sole proprietorship created for the purpose of
3-19 making a profit that is 100 percent owned, operated, and controlled
3-20 by a person described by Subdivision (1) of this subsection;
3-21 (3) a partnership formed for the purpose of making a
3-22 profit in which at least 51 percent of the assets and interest in
3-23 the partnership is owned by one or more persons described by
3-24 Subdivision (1) of this subsection, only if those persons have a
3-25 proportionate interest in the control, operation, and management of
3-26 the partnership affairs; or
3-27 (4) a joint venture in which each entity in the joint
4-1 venture is a business described by Subdivisions (1), (2), or (3) of
4-2 this subsection.
4-3 SECTION 2. Section 76.007, Human Resources Code, is amended
4-4 to read as follows:
4-5 Sec. 76.007. Attorneys Representing State. <(a)> Attorneys
4-6 employed by the attorney general may represent the state or other
4-7 parties in a suit to establish or modify a child support
4-8 obligation, collect child support, or determine paternity brought
4-9 under the authority of federal law or this chapter.
4-10 <(b) The attorney general may contract with private
4-11 attorneys or political subdivisions of the state to represent
4-12 parties in legal actions to establish or modify child support
4-13 obligations, to collect child support, or to determine paternity,
4-14 brought under the authority of federal law and this chapter.>
4-15 <(c) The attorney general shall provide copies of all
4-16 contracts entered into under this section to the Legislative Budget
4-17 Board and the Governor's Office of Budget and Planning, along with
4-18 a written justification of the need for each contract, within 60
4-19 days after the execution of the contract.>
4-20 SECTION 3. Section 11.03(i), Family Code, is amended to
4-21 read as follows:
4-22 (i) In providing services authorized by Chapter 76, Human
4-23 Resources Code, the attorney general or a private attorney, other
4-24 private entity, or political subdivision contracting with the
4-25 attorney general under Section 76.0011, Human Resources Code, may
4-26 bring any child support action authorized under Title 2 of this
4-27 code, including an action to modify a court support order and an
5-1 action to enforce a court support order.
5-2 SECTION 4. Section 11.09(a), Family Code, is amended to read
5-3 as follows:
5-4 (a) Except as provided in Subsection (b) of this section,
5-5 the following persons are entitled to service of citation on the
5-6 filing of a petition in a suit affecting the parent-child
5-7 relationship:
5-8 (1) the managing conservator, if any;
5-9 (2) possessory conservators, if any;
5-10 (3) persons, if any, having access to the child under
5-11 an order of the court;
5-12 (4) persons, if any, required by law or by order of a
5-13 court to provide for the support of a child;
5-14 (5) the guardian of the person of the child, if any;
5-15 (6) the guardian of the estate of the child, if any;
5-16 (7) each parent as to whom the parent-child
5-17 relationship has not been terminated or process has not been waived
5-18 under Section 15.03(c)(2) of this code;
5-19 (8) the alleged father or probable father, unless
5-20 there is attached to the petition an affidavit of waiver of
5-21 interest in a child executed by the alleged father or probable
5-22 father as provided in Section 15.041 of this code, or unless the
5-23 petition states that the identity of the father is unknown; and
5-24 (9) the attorney general or a private attorney, other
5-25 private entity, or political subdivision contracting with the
5-26 attorney general under Section 76.0011, Human Resources Code, if
5-27 the petition seeks to establish, modify, or enforce any support
6-1 right assigned to the attorney general under Chapter 76, Human
6-2 Resources Code.
6-3 SECTION 5. Section 21.12, Family Code, is amended to read as
6-4 follows:
6-5 Sec. 21.12. REPRESENTATION OF <OFFICIALS TO REPRESENT>
6-6 OBLIGEE. (a) If this state is acting as an initiating state, a
6-7 prosecuting attorney shall represent the obligee in any proceeding
6-8 under this chapter. If a prosecuting attorney neglects or refuses
6-9 to represent the obligee, the attorney general may undertake the
6-10 representation.
6-11 (b) Except in a proceeding brought under Part D of Title IV
6-12 of the federal Social Security Act (42 U.S.C. Section 651 et seq.),
6-13 a private attorney may represent the obligee in any proceeding
6-14 under this subchapter.
6-15 SECTION 6. Subchapter B, Chapter 14, Family Code, is amended
6-16 by adding Section 14.36 to read as follows:
6-17 Sec. 14.36. ACCRUAL OF LATE PAYMENT FEES ON DELINQUENT CHILD
6-18 SUPPORT. (a) A late payment fee accrues on delinquent child
6-19 support at the rate of six percent a year. The late payment fee
6-20 accrues from the date the support is delinquent until the date the
6-21 support is paid, regardless of whether the amount of child support
6-22 in arrears has been reduced to judgment by the court as provided by
6-23 Section 14.41 of this code. A court that confirms the amount of
6-24 child support in arrears under Section 14.41 of this code shall
6-25 include the amount of a late payment fee owed in the total amount
6-26 confirmed.
6-27 (b) A child support payment is delinquent if the payment is
7-1 not received by the obligee, registry, or other entity specified by
7-2 the child support order before the 31st day after the payment date
7-3 stated in the order. If a payment date is not stated in the child
7-4 support order, a child support payment is delinquent if payment is
7-5 not received by the obligee, registry, or other entity specified by
7-6 the child support order on the date that an amount equal to the
7-7 support payable for one month becomes past due.
7-8 (c) A late payment fee that accrues as provided by this
7-9 section may be collected by any means provided for the collection
7-10 of child support. The fee may be collected only after the full
7-11 amount of overdue child support is paid.
7-12 (d) In a case in which a child support obligee is
7-13 represented by the attorney general or a private attorney, other
7-14 private entity, or political subdivision contracting with the
7-15 attorney general under Section 76.0011, Human Resources Code, a
7-16 late payment fee collected under this section is assigned to the
7-17 attorney general to be used for the payment of costs relating to
7-18 the collection of child support.
7-19 (e) The late payment fee under this section is in addition
7-20 to any accrued interest on unpaid child support under Section 14.34
7-21 of this code.
7-22 SECTION 7. Section 14.62, Family Code, is amended to read as
7-23 follows:
7-24 Sec. 14.62. Initiation of Income Withholding and Cooperation
7-25 With Other Jurisdictions. On behalf of any obligee receiving or
7-26 eligible to receive support enforcement services from the attorney
7-27 general, the attorney general or a private attorney, other private
8-1 entity, or political subdivision representing the obligee shall
8-2 promptly request the agency of another jurisdiction in which the
8-3 obligor of a support order derives income to enter the order for
8-4 the purpose of obtaining income withholding against such income.
8-5 The attorney general or a private attorney, other private entity,
8-6 or political subdivision representing the obligee shall compile and
8-7 transmit promptly to the agency of the other jurisdiction all
8-8 documentation required to enter a support order for this purpose.
8-9 The attorney general or a private attorney, other private entity,
8-10 or political subdivision representing the obligee also shall
8-11 transmit immediately to the agency of the other jurisdiction a
8-12 certified copy of any subsequent modifications of the support
8-13 order. If the attorney general or a private attorney, other
8-14 private entity, or political subdivision representing the obligee
8-15 receives notice that the obligor is contesting income withholding
8-16 in another jurisdiction, the individual obligee shall immediately
8-17 be notified of the date, time, and place of the hearings and of the
8-18 obligee's right to attend.
8-19 SECTION 8. Sections 14.63(a) and (c), Family Code, are
8-20 amended to read as follows:
8-21 (a) Upon receiving a support order of another jurisdiction
8-22 with the documentation specified in Subsection (b) of this section
8-23 from an agency of another jurisdiction, the attorney general or a
8-24 private attorney, other private entity, or political subdivision
8-25 representing the obligee shall file these documents with the clerk
8-26 of the court in which withholding is being sought. The clerk of
8-27 the court shall accept the documents filed, and such acceptance
9-1 shall constitute entry of the support order under this Act.
9-2 (c) If the documentation received under Subsection (a) of
9-3 this section does not conform to the requirements of Subsection (b)
9-4 of this section, the attorney general or a private attorney, other
9-5 private entity, or political subdivision representing the obligee
9-6 shall remedy any defect that can be remedied <which he can> without
9-7 the assistance of the requesting agency or person. If the attorney
9-8 general or a private attorney, other private entity, or political
9-9 subdivision representing the obligee is unable to make such
9-10 corrections, the requesting agency or person shall immediately be
9-11 notified of the necessary additions or corrections. In neither
9-12 case shall the documentation be returned. The attorney general or
9-13 a private attorney, other private entity, or political subdivision
9-14 representing the obligee and the court shall accept the
9-15 documentation required by Subsections (a) and (b) of this section
9-16 even if it is not in the usual form required by state or local
9-17 rules, so long as the substantive requirements of these subsections
9-18 are met.
9-19 SECTION 9. Section 14.64(b), Family Code, is amended to read
9-20 as follows:
9-21 (b) If the obligor seeks a hearing to contest the proposed
9-22 income withholding, the attorney general or a private attorney,
9-23 other private entity, or political subdivision representing the
9-24 obligee shall immediately notify the requesting agency, the
9-25 obligee, the obligor, or the attorney for either of the date, time,
9-26 and place of the hearing and of the obligee's right to attend the
9-27 hearing.
10-1 SECTION 10. Section 14.66, Family Code, is amended to read
10-2 as follows:
10-3 Sec. 14.66. Order Withholding Income. If the obligor does
10-4 not request a hearing in the time provided or if a hearing is held
10-5 and it is determined that the obligee has or is entitled to income
10-6 withholding under the local law of the jurisdiction which issued
10-7 the support order, the court shall issue an order withholding
10-8 income under Section 14.63 of this code. The attorney general or a
10-9 private attorney, other private entity, or political subdivision
10-10 representing the obligee shall notify the requesting agency or
10-11 person of the date upon which withholding will begin.
10-12 SECTION 11. Section 14.69, Family Code, is amended to read
10-13 as follows:
10-14 Sec. 14.69. Changes. (a) Changes in Original Order. The
10-15 attorney general or a private attorney, other private entity, or
10-16 political subdivision representing the obligee, upon receiving a
10-17 certified copy of any amendment or modification to a support order
10-18 entered pursuant to Section 14.63 of this code, shall initiate
10-19 necessary procedures to amend or modify the order withholding
10-20 income of this state based on the entered support order. The court
10-21 shall amend or modify the order withholding income to conform to
10-22 the modified support order.
10-23 (b) Changes in Jurisdiction. If the attorney general or a
10-24 private attorney, other private entity, or political subdivision
10-25 representing the obligee determines that the obligor has obtained
10-26 employment in another state or has a new or additional source of
10-27 income in another state, the individual representing the obligee
11-1 <he> shall notify the agency which requested the income withholding
11-2 of the changes within five working days of receiving that
11-3 information and shall forward to that agency all information it has
11-4 or can obtain with respect to the obligor's new address and the
11-5 name and address of the obligor's new employer or other source of
11-6 income. The attorney general or a private attorney, other private
11-7 entity, or political subdivision representing the obligee shall
11-8 include with the notice a certified copy of the order withholding
11-9 income in effect in this state.
11-10 SECTION 12. Not later than February 1, 1995, the attorney
11-11 general shall report to the legislature an estimate of cost savings
11-12 to the state resulting from changes in child support enforcement
11-13 implemented by this Act.
11-14 SECTION 13. (a) This Act takes effect September 1, 1993.
11-15 (b) The fee imposed by Section 6 of this Act accrues on a
11-16 delinquent child support payment beginning on September 1, 1993, or
11-17 the date on which the payment becomes delinquent, whichever is
11-18 later.
11-19 SECTION 14. The importance of this legislation and the
11-20 crowded condition of the calendars in both houses create an
11-21 emergency and an imperative public necessity that the
11-22 constitutional rule requiring bills to be read on three several
11-23 days in each house be suspended, and this rule is hereby suspended.