By:  Lucio                                            S.B. No. 1417
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to permitting the Title IV-D agency to offer direct
 1-2     deposit of child support payments to custodial parents.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Subchapter A, Chapter 234, Family Code, as added
 1-5     by Chapter 911, Acts of the 75th Legislature, Regular Session,
 1-6     1997, is amended by adding Section 234.006 to read as follows:
 1-7           Sec. 234.006.  DIRECT DEPOSIT OF CHILD SUPPORT PAYMENTS.
 1-8     (a)  The state disbursement unit authorized under this chapter may
 1-9     transmit a child support payment to an obligee by electronic funds
1-10     transfer if the obligee maintains an account with a financial
1-11     institution.
1-12           (b)  The work group convened under this subchapter may
1-13     develop a plan to assist an obligee who does not have an account
1-14     with a financial institution to obtain an account.
1-15           (c)  The work group may determine whether it is feasible and
1-16     cost-effective for the state to administer an electronic benefits
1-17     transfer system for child support obligees and may recommend
1-18     implementation of such a system to the Title IV-D agency.
1-19           (d)  After receiving any recommendations by the work group
1-20     under Subsection (c), the Title IV-D agency or the vendor selected
1-21     by the Title IV-D agency to operate the state disbursement unit may
1-22     provide for electronic benefits transfer, if the request for
1-23     proposals issued by the Title IV-D agency and any contract
1-24     resulting from the selection of a vendor to provide the services
 2-1     specified in the request for proposals provides for electronic
 2-2     benefits transfer.
 2-3           (e)  The work group may recommend and the Title IV-D agency
 2-4     may establish procedures to implement this section.
 2-5           (f)  The Title IV-D agency, after receiving the
 2-6     recommendation of the work group, may require an obligee to receive
 2-7     payments by direct deposit to the obligee's bank account or by
 2-8     electronic benefit transfer to an account established by the Title
 2-9     IV-D agency or the state disbursement unit, if the account is
2-10     established at no cost to the obligee.
2-11           SECTION 2.  This Act takes effect September 1, 1999.
2-12           SECTION 3.  The importance of this legislation and the
2-13     crowded condition of the calendars in both houses create an
2-14     emergency and an imperative public necessity that the
2-15     constitutional rule requiring bills to be read on three several
2-16     days in each house be suspended, and this rule is hereby suspended.