By McCall, Stiles H.B. No. 45 74R49 JMM-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the denial or suspension of certain licenses for 1-3 failure to pay child support. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. DEFINITIONS. In this Act: 1-6 (1) "License" includes a license, certificate, 1-7 registration, permit, or other authorization, required by law or 1-8 state agency rule, that a person must obtain to: 1-9 (A) practice or engage in a particular business 1-10 or occupation; 1-11 (B) operate a vehicle or machinery; or 1-12 (C) participate in a recreational activity. 1-13 (2) "Licensing agency" means a department, commission, 1-14 board, office, or other agency of the state, created by the 1-15 constitution or a statute of this state, that issues or renews a 1-16 license. 1-17 SECTION 2. DENIAL OF LICENSE. (a) A licensing agency may 1-18 not issue a license to or renew a license of an individual who is 1-19 in arrears in court-ordered child support. 1-20 (b) A licensing agency by rule shall prescribe procedures to 1-21 determine whether an applicant for an original or renewal license 1-22 is in arrears in court-ordered child support. 1-23 SECTION 3. SUSPENSION OF LICENSE. (a) A licensing agency 1-24 that receives a notice of suspension under Section 14.46, Family 2-1 Code, or a similar notice from a court or agency of another state, 2-2 territory, or district of the United States, indicating that a 2-3 person holding a license issued by the licensing agency is in 2-4 arrears in court-ordered child support shall conduct a hearing on 2-5 the suspension of the license of that person as provided by this 2-6 Act. 2-7 (b) The requirement that a hearing be held before the 2-8 suspension of a license does not apply to the suspension of a 2-9 license to participate in a recreational activity. 2-10 SECTION 4. LICENSE SUSPENSION HEARING. (a) Except as 2-11 provided by Subsection (g), not later than the 30th day after the 2-12 date a licensing agency receives a notice of suspension under 2-13 Section 14.46, Family Code, or a similar notice from a court or 2-14 agency of another state, territory, or district of the United 2-15 States, the agency shall give notice to the license holder of a 2-16 hearing to determine whether to suspend the license holder's 2-17 license. The hearing shall be held not later than the 20th day 2-18 after the date the notice of hearing is given. 2-19 (b) At the hearing under this section, the licensing agency 2-20 shall determine: 2-21 (1) whether the person named in the court order is a 2-22 license holder; and 2-23 (2) whether the arrearages stated in the court order 2-24 have been paid. 2-25 (c) If the licensing agency finds that the person named in 2-26 the court order is a license holder who is in arrears in 2-27 court-ordered child support, the licensing agency shall determine 3-1 whether placing the license holder on probation is an appropriate 3-2 alternative to suspending the license. 3-3 (d) A licensing agency under this Act may not consider 3-4 evidence relating to: 3-5 (1) whether the notice of suspension under Section 3-6 14.46, Family Code, was appropriate; or 3-7 (2) the ability of the license holder to comply with 3-8 the child support order. 3-9 (e) At the conclusion of a hearing under this section, the 3-10 licensing agency shall suspend the license or place the license 3-11 holder on probation, if appropriate, until the license holder is no 3-12 longer in arrears in court-ordered child support. 3-13 (f) All proceedings by a licensing agency under this Act 3-14 shall conform to the requirements of Chapter 2001, Government Code, 3-15 except as modified by this Act. 3-16 (g) A hearing is not required before a licensing agency may 3-17 suspend a license to participate in a recreational activity. On 3-18 receipt of a notice of suspension under Section 14.46, Family Code, 3-19 for a license to participate in a recreational activity, the 3-20 licensing agency receiving the notice of suspension may suspend the 3-21 license by mailing to the license holder a notice of suspension. A 3-22 license holder receiving a notice of suspension under this 3-23 subsection may appeal the suspension in the manner provided by 3-24 rules adopted by the licensing agency. 3-25 SECTION 5. PROBATION. (a) A licensing agency may place a 3-26 license holder on probation rather than suspend the license 3-27 holder's license on determining that suspension of the license 4-1 would create an extreme hardship either to the license holder or to 4-2 persons served by the license holder in the licensed occupation. 4-3 (b) Probation under this section may continue for a period 4-4 not to exceed two years beginning on the date probation is ordered 4-5 and is conditioned on full compliance by the license holder with 4-6 the license holder's child support obligations. A license holder 4-7 on probation under this section must provide the licensing agency 4-8 with a monthly statement showing that the license holder is in 4-9 compliance with the child support order. 4-10 (c) Probation under this section shall be revoked and the 4-11 license holder's license shall be automatically suspended on the 4-12 license holder's failure to remain in compliance with the terms of 4-13 the court order. A license holder whose license was automatically 4-14 suspended under this subsection may be returned to probation by 4-15 providing proof to the licensing agency that the license holder is 4-16 in compliance with the court order. 4-17 (d) Revocation of probation under this section may be 4-18 deferred for a license holder who has a modification petition 4-19 pending before the court that sent the notice of suspension under 4-20 Section 14.46, Family Code. A deferral under this subsection 4-21 continues until the licensing agency receives notice of the 4-22 court's ruling on the petition. 4-23 SECTION 6. VERIFICATION OF CHILD SUPPORT PAYMENTS. Before a 4-24 licensing agency may remove a license holder from probation, remove 4-25 a license suspension, or issue a license to or renew the license of 4-26 a person whose license has been suspended or who has been placed on 4-27 probation under this Act, the licensing agency must contact the 5-1 court that sent the notice of suspension under Section 14.46, 5-2 Family Code, to verify that the license holder is not in arrears in 5-3 court-ordered child support. 5-4 SECTION 7. CONFORMING AMENDMENT. Subchapter B, Chapter 14, 5-5 Family Code, is amended by adding Section 14.46 to read as follows: 5-6 Sec. 14.46. NOTICE OF LICENSE SUSPENSION. (a) Not earlier 5-7 than the 30th day after the date a court determines that an obligor 5-8 is delinquent in the payment of child support, the obligee or the 5-9 attorney general may petition the court to issue a notice of 5-10 license suspension. 5-11 (b) A hearing on a petition for a notice of license 5-12 suspension must be held not later than the 30th day after the date 5-13 the petition is filed. The clerk of the court must notify the 5-14 obligor and obligee of the date, time, and place of the hearing. 5-15 If at the hearing the court finds that the obligor is in arrears in 5-16 court-ordered child support and is or may be licensed by a 5-17 licensing agency, the court shall issue a notice of license 5-18 suspension as provided by Subsection (c). 5-19 (c) The court shall deliver a notice under this section to 5-20 the licensing agency that issued a license to the obligor. The 5-21 notice must: 5-22 (1) state the name of the obligor; 5-23 (2) include a copy of the order entered by the court 5-24 with regard to arrearages owed by the obligor; and 5-25 (3) direct the licensing agency to conduct a hearing 5-26 to determine whether to suspend the obligor's license. 5-27 (d) In this section: 6-1 (1) "License" includes a license, certificate, 6-2 registration, permit, or other authorization, required by law or 6-3 state agency rule, that a person must obtain to: 6-4 (A) practice or engage in a particular business 6-5 or occupation; 6-6 (B) operate a vehicle or machinery; or 6-7 (C) participate in a recreational activity. 6-8 (2) "Licensing agency" means a department, commission, 6-9 board, office, or other agency of the state, created by the 6-10 constitution or a statute of this state, that issues or renews a 6-11 license. 6-12 SECTION 8. TRANSITION. (a) This Act applies only to: 6-13 (1) child support payments owed on or after the 6-14 effective date of this Act; and 6-15 (2) except as provided by Subsection (b) of this 6-16 section, a license that is valid on or after the effective date of 6-17 this Act. 6-18 (b) Section 2 of this Act applies only to an application for 6-19 an original or renewal license that is received by a licensing 6-20 agency on or after January 1, 1996. 6-21 (c) A licensing agency shall adopt rules required under 6-22 Section 2 of this Act not later than December 1, 1995. 6-23 SECTION 9. EFFECTIVE DATE. This Act takes effect September 6-24 1, 1995. 6-25 SECTION 10. EMERGENCY. The importance of this legislation 6-26 and the crowded condition of the calendars in both houses create an 6-27 emergency and an imperative public necessity that the 7-1 constitutional rule requiring bills to be read on three several 7-2 days in each house be suspended, and this rule is hereby suspended.