By Wilson                                              H.B. No. 152

      75R1288 JMM-D                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to certain requirements pertaining to the receipt of child

 1-3     support.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Subchapter A, Chapter 154, Family Code, is

 1-6     amended by adding Section 154.012 to read as follows:

 1-7           Sec. 154.012.  ITEMIZATION OF CHILD SUPPORT EXPENDITURES BY

 1-8     CERTAIN OBLIGEES.  (a)  This section applies only to an obligee to

 1-9     whom an obligor owes a monthly child support obligation of not less

1-10     than $500 for each child.

1-11           (b)  An obligee subject to this section shall submit to the

1-12     obligor an itemization of the expenditures of all child support

1-13     payments in excess of $500 as provided by this section.

1-14           (c)  An itemization of expenditures must state:

1-15                 (1)  the date each expenditure was made;

1-16                 (2)  the purpose of each expenditure; and

1-17                 (3)  the child for whom each expenditure was made if

1-18     the obligee receives child support for more than one child.

1-19           (d)  An itemization of expenditures must contain a receipt or

1-20     other verification sufficient to show that each expenditure was in

1-21     fact made.

1-22           (e)  An obligee must submit an itemization of expenditures

1-23     for an interval of time that is the same as the interval of time

1-24     that a court has ordered the obligor to make periodic child support

 2-1     payments.  The itemization must be submitted before the 31st day

 2-2     after the last day of each interval.

 2-3           (f)  An obligor may bring an action under this section only

 2-4     in the court of continuing jurisdiction.  If the court finds that

 2-5     child support payments made by the obligor have been spent

 2-6     improperly by the obligee, the court may enter an appropriate order

 2-7     under this chapter.

 2-8           (g)  An obligee who does not submit an itemization of

 2-9     expenditures to the obligor as provided by this section or who

2-10     submits an incomplete itemization is liable to the obligor for an

2-11     amount equal to the difference between the amount paid by the

2-12     obligor for the interval of time for which an itemization is

2-13     required and the amount of any itemized expenditures that the court

2-14     finds has been properly spent by the obligee.  If the obligee does

2-15     not itemize any expenditures, the obligee is liable to the obligor

2-16     for the entire amount paid by the obligor for the interval of time

2-17     for which an itemization is required.

2-18           (h)  This section does not apply to a lump-sum payment of

2-19     child support.

2-20           SECTION 2.  Subchapter A, Chapter 154, Family Code, is

2-21     amended by adding Section 154.013 to read as follows:

2-22           Sec. 154.013.  PLACEMENT OF CERTAIN CHILD SUPPORT PAYMENTS IN

2-23     TRUST.  (a)  This section applies only to an obligor who is

2-24     required to pay a monthly child support obligation that exceeds

2-25     $800 for each child.

2-26           (b)  An obligor subject to this section shall pay $800 each

2-27     month for each child for whom the obligor is required to pay

 3-1     support in the manner provided by the child support order.

 3-2           (c)  An obligor subject to this section shall pay the amount

 3-3     of the obligor's monthly child support obligation that exceeds $800

 3-4     for each child into a trust established for the child.  A trust

 3-5     established as provided by this subsection is for the benefit of

 3-6     the child and the child may receive the proceeds of the trust after

 3-7     the child's 18th birthday in the manner provided by the terms of

 3-8     the trust.

 3-9           (d)  A court that enters a child support order under which an

3-10     obligor is required to make a monthly child support payment for a

3-11     child that exceeds $800 shall include in the order the requirement

3-12     that a trust be established as provided by this section and any

3-13     other terms for the trust the court determines to be in the best

3-14     interests of the child.

3-15           SECTION 3.  (a)  This Act takes effect September 1, 1997.

3-16           (b)  The change in law made by this Act relating to the

3-17     itemization of certain child support payments applies only to a

3-18     child support payment made on or after the effective date of this

3-19     Act.

3-20           (c)  The change in law made by this Act relating to the

3-21     establishment of a trust from certain child support payments

3-22     applies only to a payment made under a child support order that is

3-23     entered or modified on or after the effective date of this Act.

3-24           (d)  The change in law made by this Act is not sufficient by

3-25     itself to constitute a material and substantial change in the

3-26     circumstances of a child for whose benefit a child support order

3-27     has been entered to warrant modification of the order under Chapter

 4-1     156, Family Code.

 4-2           SECTION 4.  The importance of this legislation and the

 4-3     crowded condition of the calendars in both houses create an

 4-4     emergency and an imperative public necessity that the

 4-5     constitutional rule requiring bills to be read on three several

 4-6     days in each house be suspended, and this rule is hereby suspended.