1-1     By:  Goodman, et al. (Senate Sponsor - Harris)        H.B. No. 1365
 1-2           (In the Senate - Received from the House April 9, 2001;
 1-3     April 9, 2001, read first time and referred to Committee on
 1-4     Jurisprudence; May 11, 2001, reported adversely, with favorable
 1-5     Committee Substitute by the following vote:  Yeas 4, Nays 0;
 1-6     May 11, 2001, sent to printer.)
 1-7     COMMITTEE SUBSTITUTE FOR H.B. No. 1365                 By:  Jackson
 1-8                            A BILL TO BE ENTITLED
 1-9                                   AN ACT
1-10     relating to the establishment, modification, and enforcement of
1-11     child support.
1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13           SECTION 1. Section 101.015, Family Code, is amended to read
1-14     as follows:
1-15           Sec. 101.015.  HEALTH INSURANCE. "Health insurance" means
1-16     insurance coverage that provides basic health care services,
1-17     including usual physician services, office visits, hospitalization,
1-18     and laboratory, X-ray, and emergency services, that may be provided
1-19     through a health maintenance organization or other private or
1-20     public organization, other than medical assistance under Chapter
1-21     32, Human Resources Code.
1-22           SECTION 2. Section 102.013, Family Code, is amended by adding
1-23     Subsection (c) to read as follows:
1-24           (c)  In a suit to determine parentage under this title in
1-25     which the court has rendered an order relating to an earlier born
1-26     child of the same parents, the clerk shall file the suit and all
1-27     other papers relating to the suit under the same docket number as
1-28     the prior parentage action.  For all other purposes, including the
1-29     assessment of fees and other costs, the suit is a separate suit.
1-30           SECTION 3. Section 154.008, Family Code, is amended to read
1-31     as follows:
1-32           Sec. 154.008.  PROVISION FOR MEDICAL SUPPORT [HEALTH
1-33     INSURANCE COVERAGE]. The court shall order medical support [health
1-34     insurance coverage] for the child as provided by Subchapters B and
1-35     D.
1-36           SECTION 4. Section 154.009, Family Code, is amended by adding
1-37     Subsections (d) and (e) to read as follows:
1-38           (d)  Notwithstanding Subsection (a), the court may order a
1-39     parent subject to a previous child support order to pay retroactive
1-40     child support if:
1-41                 (1)  the previous child support order terminated as a
1-42     result of the marriage or remarriage of the child's parents;
1-43                 (2)  the child's parents separated after the marriage
1-44     or remarriage; and
1-45                 (3)  a new child support order is sought after the date
1-46     of the separation.
1-47           (e)  In rendering an order under Subsection (d), the court
1-48     may order retroactive child support back to the date of the
1-49     separation of the child's parents.
1-50           SECTION 5. Section 154.012, Family Code, is amended to read
1-51     as follows:
1-52           Sec. 154.012.  SUPPORT PAID IN EXCESS [AFTER TERMINATION] OF
1-53     SUPPORT ORDER. (a)  If an [the] obligor is not in arrears and the
1-54     obligor's child support obligation has terminated, the [an] obligee
1-55     shall return to the [an] obligor a child support payment made by
1-56     the obligor that exceeds the amount of support ordered, regardless
1-57     of whether the payment was made before, on, or after the date the
1-58     child support obligation [order has] terminated.
1-59           (b)  An obligor may file a suit to recover a child support
1-60     payment under Subsection (a).  If the court finds that the obligee
1-61     failed to return a child support payment under Subsection (a), the
1-62     court shall order the obligee to pay to the obligor attorney's fees
1-63     and all court costs in addition to the amount of support paid after
1-64     the date the child support order terminated.  For good cause shown,
 2-1     the court may waive the requirement that the obligee pay attorney's
 2-2     fees and costs if the court states the reasons supporting that
 2-3     finding.
 2-4           SECTION 6. Subchapter A, Chapter 154, Family Code, is amended
 2-5     by adding Section 154.013 to read as follows:
 2-6           Sec. 154.013.  CONTINUATION OF DUTY TO PAY SUPPORT AFTER
 2-7     DEATH OF OBLIGEE. (a)  A child support obligation does not
 2-8     terminate on the death of the obligee but continues as an
 2-9     obligation to the child named in the support order, as required by
2-10     this section.
2-11           (b)  Notwithstanding any provision of the Probate Code, a
2-12     child support payment held by the Title IV-D agency, a local
2-13     registry, or the state disbursement unit or any uncashed check or
2-14     warrant representing a child support payment made before, on, or
2-15     after the date of death of the obligee  shall be paid
2-16     proportionately for the benefit of each surviving child named in
2-17     the support order and not to the estate of the obligee.  The
2-18     payment is free of any creditor's claim against the deceased
2-19     obligee's estate and may be disbursed as provided by Subsection
2-20     (c).
2-21           (c)  On the death of the obligee, current child support owed
2-22     by the obligor for the benefit of the child or any amount described
2-23     by Subsection (b) shall be paid to:
2-24                 (1)  a person, other than a parent, who is appointed as
2-25     managing conservator of the child;
2-26                 (2)  a person, including the obligor, who has assumed
2-27     actual care, control, and possession of the child, if a managing
2-28     conservator or guardian of the child has not been appointed;
2-29                 (3)  the county clerk, as provided by Section 887,
2-30     Texas Probate Code, in the name of and for the account of the child
2-31     for whom the support is owed;
2-32                 (4)  a guardian of the child appointed under Chapter
2-33     XIII, Texas Probate Code, as provided by that code; or
2-34                 (5)  the surviving child, if the child is an adult or
2-35     has otherwise had the disabilities of minority removed.
2-36           (d)  On presentation of the obligee's death certificate, the
2-37     court shall render an order directing payment of child support paid
2-38     but not disbursed to be made as provided by Subsection (c).  A copy
2-39     of the order shall be provided to:
2-40                 (1)  the obligor;
2-41                 (2)  as appropriate:
2-42                       (A)  the person having actual care, control, and
2-43     possession of the child;
2-44                       (B)  the county clerk; or
2-45                       (C)  the managing conservator or guardian of the
2-46     child, if one has been appointed;
2-47                 (3)  the local registry or state disbursement unit and,
2-48     if appropriate, the Title IV-D agency; and
2-49                 (4)  the child named in the support order, if the child
2-50     is an adult or has otherwise had the disabilities of minority
2-51     removed.
2-52           (e)  The order under Subsection (d) must contain:
2-53                 (1)  a statement that the obligee is deceased and that
2-54     child support amounts otherwise payable to the obligee shall be
2-55     paid for the benefit of a surviving child named in the support
2-56     order as provided by Subsection (c);
2-57                 (2)  the name and age of each child named in the
2-58     support order; and
2-59                 (3)  the name and mailing address of, as appropriate:
2-60                       (A)  the person having actual care, control, and
2-61     possession of the child;
2-62                       (B)  the county clerk; or
2-63                       (C)  the managing conservator or guardian of the
2-64     child, if one has been appointed.
2-65           (f)  On receipt of the order required under this section, the
2-66     local registry, state disbursement unit, or Title IV-D agency shall
2-67     disburse payments as required by the order.
2-68           SECTION 7. Section 154.064, Family Code, is amended to read
2-69     as follows:
 3-1           Sec. 154.064.  MEDICAL SUPPORT [HEALTH INSURANCE] FOR CHILD
 3-2     PRESUMPTIVELY PROVIDED BY OBLIGOR. The guidelines for support of a
 3-3     child are based on the assumption that the court will order the
 3-4     obligor to provide medical support [health insurance coverage] for
 3-5     the child in addition to the amount of child support calculated in
 3-6     accordance with those guidelines.
 3-7           SECTION 8. Section 154.130, Family Code, is amended by adding
 3-8     Subsection (c) to read as follows:
 3-9           (c)  The application of the guidelines under Section 154.129
3-10     does not constitute a variance from the child support guidelines
3-11     requiring specific findings by the court under this section.
3-12           SECTION 9.  Section 154.131, Family Code, is amended to read
3-13     as follows:
3-14           Sec. 154.131.  [APPLICATION OF GUIDELINES TO] RETROACTIVE
3-15     CHILD SUPPORT.  (a)  The child support guidelines are intended to
3-16     guide the court in determining the amount of retroactive child
3-17     support, if any, to be ordered.
3-18           (b)  In ordering retroactive child support, the court shall
3-19     consider the net resources of the obligor during the relevant time
3-20     period and whether:
3-21                 (1)  the mother of the child had made any previous
3-22     attempts to notify the obligor [biological father] of his paternity
3-23     or probable paternity;
3-24                 (2)  the obligor [biological father] had knowledge of
3-25     his paternity or probable paternity;
3-26                 (3)  the order of retroactive child support will impose
3-27     an undue financial hardship on the obligor or the obligor's family;
3-28     and
3-29                 (4)  the obligor has provided actual support or other
3-30     necessaries before the filing of the action.
3-31           (c)  It is presumed that a court order limiting the amount of
3-32     retroactive child support to an amount that does not exceed the
3-33     total amount of support that would have been due for the four years
3-34     preceding the date the petition seeking support was filed is
3-35     reasonable and in the best interest of the child.
3-36           (d)  The presumption created under this section may be
3-37     rebutted by evidence that the obligor:
3-38                 (1)  knew or should have known that the obligor was the
3-39     father of the child for whom support is sought; and
3-40                 (2)  sought to avoid the establishment of a support
3-41     obligation to the child.
3-42           (e)  An order under this section limiting the amount of
3-43     retroactive support does not constitute a variance from the
3-44     guidelines requiring the court to make specific findings under
3-45     Section 154.130.
3-46           SECTION 10. Section 154.185, Family Code, is amended to read
3-47     as follows:
3-48           Sec. 154.185.  PARENT TO FURNISH INFORMATION. (a)  The court
3-49     shall order a parent providing health insurance to furnish to
3-50     either the obligee, obligor, [local domestic relations office,] or
3-51     child support [Title IV-D] agency the following information not
3-52     later than the 30th day after the date the notice of rendition of
3-53     the order is received:
3-54                 (1)  the social security number of the parent;
3-55                 (2)  the name and address of the parent's employer;
3-56                 (3)  whether the employer is self-insured or has health
3-57     insurance available;
3-58                 (4)  proof that health insurance has been provided for
3-59     the child;
3-60                 (5)  if the employer has health insurance available,
3-61     the name of the health insurance carrier, the number of the policy,
3-62     a copy of the policy and schedule of benefits, a health insurance
3-63     membership card, claim forms, and any other information necessary
3-64     to submit a claim; and
3-65                 (6)  if the employer is self-insured, a copy of the
3-66     schedule of benefits, a membership card, claim forms, and any other
3-67     information necessary to submit a claim.
3-68           (b)  The court shall also order a parent providing health
3-69     insurance to furnish the obligor, obligee, [local domestic
 4-1     relations office,] or child support [Title IV-D] agency with
 4-2     additional information regarding health insurance coverage not
 4-3     later than the 15th day after the date the information is received
 4-4     by the parent.
 4-5           SECTION 11. Section 155.205, Family Code, is amended to read
 4-6     as follows:
 4-7           Sec. 155.205.  TRANSFER OF CHILD SUPPORT REGISTRY. (a)  On
 4-8     rendition of an order transferring continuing, exclusive
 4-9     jurisdiction to another court, the transferring court shall also
4-10     order that all future payments of child support be made to the
4-11     local registry of the transferee court[, the Title IV-D agency,]
4-12     or, if payments have previously been directed to the state
4-13     disbursement unit, to the state disbursement unit.
4-14           (b)  The transferring court's local registry[, the Title IV-D
4-15     agency,] or the state disbursement unit shall continue to receive,
4-16     record, and forward child support payments to the payee until it
4-17     receives notice that the transferred case has been docketed by the
4-18     transferee court.
4-19           (c)  After receiving notice of docketing from the transferee
4-20     court, the transferring court's local registry shall send a
4-21     certified copy of the child support payment record to the clerk of
4-22     the transferee court and shall forward any payments received to the
4-23     transferee court's local registry or to the state disbursement
4-24     unit, as appropriate.
4-25           SECTION 12.  Sections 155.207(a), (c), and (d), Family Code,
4-26     are amended to read as follows:
4-27           (a)  On rendition of an order of transfer, the clerk of the
4-28     court transferring a proceeding shall send to the proper court in
4-29     the county to which transfer is being made:
4-30                 (1)  the complete files in all matters affecting the
4-31     child in any pending proceeding;
4-32                 (2)  certified copies of all entries in the minutes;
4-33                 (3)  a certified copy of any order of dissolution of
4-34     marriage rendered in a suit joined with the suit affecting the
4-35     parent-child relationship; and
4-36                 (4)  a certified copy of each order rendered.
4-37           (c)  On receipt of the files, documents, and orders from the
4-38     transferring court, the clerk of the transferee court shall docket
4-39     the suit and shall notify all parties, the clerk of the
4-40     transferring court, and, if appropriate, the transferring court's
4-41     local registry that the suit has been docketed.
4-42           (d)  The clerk of the transferring court shall send a
4-43     certified copy of the order directing payments to the transferee
4-44     court, to any party or employer affected by that order, and, if
4-45     appropriate, to the local registry of the transferee court.
4-46           SECTION 13. Section 156.408(b), Family Code, is amended to
4-47     read as follows:
4-48           (b)  If both parties and the child reside in this state, a
4-49     court of this state may modify an order of child support rendered
4-50     by an appropriate tribunal of another state after registration of
4-51     the order as provided by [and any aspect of conservatorship as
4-52     provided by this chapter without reference to] Chapter 159.
4-53           SECTION 14. Section 156.409, Family Code, is amended to read
4-54     as follows:
4-55           Sec. 156.409.  CHANGE IN PHYSICAL POSSESSION. (a)  If the
4-56     sole managing conservator of a child or the joint managing
4-57     conservator who designates the child's primary residence has
4-58     voluntarily relinquished the actual care, control, and possession
4-59     of the child for at least six months, the court may modify an order
4-60     providing for the support of the child to provide that the person
4-61     having physical possession of the child shall have the right to
4-62     receive and give receipt for payments of support for the child and
4-63     to hold or disburse money for the benefit of the child.
4-64           (b)  Notice of a motion for modification under this section
4-65     may be served in the manner for serving a notice under Section
4-66     157.065.
4-67           SECTION 15.  Section 157.262, Family Code, is amended to read
4-68     as follows:
4-69           Sec. 157.262.   REDUCTION OF ARREARAGES; ABEYANCE OF
 5-1     ENFORCEMENT. (a)  Except as provided by this section, in [In] a
 5-2     contempt proceeding or in rendering a money judgment, the court may
 5-3     not reduce or modify the amount of child support arrearages.
 5-4           (b)  In an enforcement action under this chapter, the court
 5-5     may, with the agreement of the Title IV-D agency, hold in abeyance
 5-6     the enforcement of any arrearages, including interest, assigned to
 5-7     the Title IV-D agency under Section 231.104(a) if, for the period
 5-8     of the court's order of abeyance of enforcement, the obligor:
 5-9                 (1)  timely and fully pays the obligor's current child
5-10     support under a court or administrative order; and
5-11                 (2)  is involved in the life of the child for whom
5-12     support is ordered through the exercise of the obligor's right of
5-13     possession of or access to the child.
5-14           (c)  If the court orders an abeyance of enforcement of
5-15     arrearages under this section, the court may require the obligor to
5-16     obtain counseling on parenting skills, work skills, job placement,
5-17     financial planning, conflict resolution, substance abuse, or other
5-18     matters causing the obligor to fail to obey the child support
5-19     order.
5-20           (d)  If the court finds in a subsequent hearing that the
5-21     obligor has not met the conditions set by the court's order under
5-22     this section, the court shall terminate the abeyance of enforcement
5-23     of the arrearages.
5-24           (e)  On the expiration of the child support order, the court
5-25     may, with the agreement of the Title IV-D agency, reduce the amount
5-26     of the arrearages assigned to the Title IV-D agency under Section
5-27     231.104(a) if the court finds that the obligor has complied with
5-28     the conditions set by the court under this section.
5-29           (f)  The money judgment for arrearages rendered by the court
5-30     may be subject to a counterclaim or offset as provided by this
5-31     subchapter.
5-32           SECTION 16. Section 157.264, Family Code, is amended to read
5-33     as follows:
5-34           Sec. 157.264.  ENFORCEMENT OF JUDGMENT [BY INCOME
5-35     WITHHOLDING]. (a)  A money judgment rendered as provided in this
5-36     subchapter may be enforced by any means available for the
5-37     enforcement of a judgment for debts.
5-38           (b)  The court may render [and by] an order requiring:
5-39                 (1)  that income be withheld from the disposable
5-40     earnings of the obligor in an amount sufficient to discharge the
5-41     judgment in not more than two years; or
5-42                 (2)  if the obligor is not subject to income
5-43     withholding, that the obligor make periodic payments to the obligee
5-44     in an amount sufficient to discharge the judgment within a
5-45     reasonable time.
5-46           SECTION 17. Section 157.268, Family Code, is amended to read
5-47     as follows:
5-48           Sec. 157.268.  APPLICATION OF CHILD SUPPORT PAYMENT. Child
5-49     support collected shall be applied in the following order of
5-50     priority:
5-51                 (1)  current child support;
5-52                 (2)  non-delinquent child support owed;
5-53                 (3)  interest on the principal amounts specified in
5-54     Subdivisions (4) and (5);
5-55                 (4)  the principal amount of child support that has not
5-56     been confirmed and reduced to money judgment;  [and]
5-57                 (5)  the principal amount of child support that has
5-58     been confirmed and reduced to money judgment; and
5-59                 (6)  the amount of any ordered attorney's fees or
5-60     costs.
5-61           SECTION 18. Section 157.311, Family Code, is amended to read
5-62     as follows:
5-63           Sec. 157.311.  DEFINITIONS. In this subchapter:
5-64                 (1)  "Account" means:
5-65                       (A)  any type of a demand deposit account,
5-66     checking or negotiable withdrawal order account, savings account,
5-67     time deposit account, money market mutual fund account, certificate
5-68     of deposit, or any other instrument of deposit in which an
5-69     individual has a beneficial ownership either in its entirety or on
 6-1     a shared or multiple party basis, including any accrued interest
 6-2     and dividends; and
 6-3                       (B)  a life insurance policy in which an
 6-4     individual has a beneficial ownership or liability insurance
 6-5     against which an individual has filed a claim or counterclaim,
 6-6     including for workers' compensation.
 6-7                 (2)  "Claimant" means:
 6-8                       (A)  the obligee or a private attorney
 6-9     representing the obligee;
6-10                       (B)  the Title IV-D agency providing child
6-11     support services;
6-12                       (C)  a domestic relations office or local
6-13     registry; or
6-14                       (D)  an attorney appointed as a friend of the
6-15     court.
6-16                 (3) [(2)]  "Court having continuing jurisdiction" is
6-17     the court of continuing, exclusive jurisdiction in this state or a
6-18     tribunal of another state having jurisdiction under the Uniform
6-19     Interstate Family Support Act or a substantially similar act.
6-20                 (4)  "Financial institution" has the meaning assigned
6-21     by 42 U.S.C. Section 669a(d)(1) and includes a depository
6-22     institution, credit union, benefit association, liability or life
6-23     insurance company, workers' compensation insurer, money market
6-24     mutual fund, and any similar entity authorized to do business in
6-25     this state.
6-26                 (5) [(3)]  "Lien" means a child support lien issued in
6-27     this or another state.
6-28           SECTION 19. Sections 157.312(d) and (f), Family Code, are
6-29     amended to read as follows:
6-30           (d)  A child support lien arises[:]
6-31                 [(1)]  by operation of law against real and personal
6-32     property of an obligor for all amounts of child [overdue] support
6-33     due and owing, including any accrued interest, regardless of
6-34     whether the amounts have been adjudicated or otherwise determined,
6-35     subject to the requirements of this subchapter for perfection of
6-36     the lien [recording and notice; or]
6-37                 [(2)  when a court having continuing jurisdiction or,
6-38     in a Title IV-D case, the Title IV-D agency determines an amount of
6-39     arrears owed by a child support obligor].
6-40           (f)  A foreclosure action under this subchapter is not
6-41     required as a prerequisite to levy and execution on a judicial
6-42     [judgment] or [an] administrative determination of arrearages as
6-43     provided by Section 157.327 [arrears rendered after notice and
6-44     opportunity for hearing].
6-45           SECTION 20. Section 157.313, Family Code, is amended to read
6-46     as follows:
6-47           Sec. 157.313.  CONTENTS OF CHILD SUPPORT LIEN NOTICE. (a)
6-48     Except as provided by Subsection (e), a [A] child support lien
6-49     notice must contain:
6-50                 (1)  the name and address of the person to whom the
6-51     notice is being sent;
6-52                 (2)  the style, docket or cause number, and identity of
6-53     the tribunal of this or another state having continuing
6-54     jurisdiction of the child support action and, if the case is a
6-55     Title IV-D case, the case number;
6-56                 (3) [(2)]  the full name, address, and, if known
6-57     [available], the birth date, driver's license number, [and] social
6-58     security number, and any aliases of the obligor;
6-59                 (4) [(3)]  the full name and, if known, social security
6-60     number[, if available,] of the obligee [and the child];
6-61                 (5) [(4)]  the amount of the current or prospective
6-62     child support obligation, the frequency with which current or
6-63     prospective child support is ordered to be paid, and the amount of
6-64     child support arrearages owed by the obligor and the date of the
6-65     signing of the court order, administrative order, or writ that
6-66     determined the arrearages or the date and manner in which the
6-67     arrearages were determined;
6-68                 (6) [(5)]  the rate of interest specified in the court
6-69     order, administrative order, or writ or, in the absence of a
 7-1     specified interest rate, the rate provided for by law;
 7-2                 (7) [(6)]  the name and address of the person or agency
 7-3     asserting the lien; [and]
 7-4                 (8) [(7)]  the motor vehicle identification number as
 7-5     shown on the obligor's title if the property is a motor vehicle;
 7-6                 (9)  a statement that the lien attaches to all
 7-7     nonexempt real and personal property of the obligor that is located
 7-8     or recorded in the state, including any property specifically
 7-9     identified in the notice;
7-10                 (10)  a statement that any ordered child support not
7-11     timely paid in the future constitutes a final judgment for the
7-12     amount due and owing, including interest, and accrues up to an
7-13     amount that may not exceed the lien amount; and
7-14                 (11)  a statement that the obligor is being provided a
7-15     copy of the lien notice and that the obligor may dispute the
7-16     arrearage amount by filing suit under Section 157.323.
7-17           (b)  A claimant may include any other information that the
7-18     claimant considers necessary.
7-19           (c)  The lien notice must be verified.
7-20           (d)  A claimant must file a notice for each after-acquired
7-21     motor vehicle.
7-22           (e)  A notice of a lien for child support under this section
7-23     may be in the form authorized  by federal law or regulation.
7-24           SECTION 21. Section 157.314, Family Code, is amended to read
7-25     as follows:
7-26           Sec. 157.314.  FILING LIEN NOTICE OR ABSTRACT OF JUDGMENT;
7-27     NOTICE TO OBLIGOR. (a)  A child support lien notice or an abstract
7-28     of judgment for past due child support may be filed by the claimant
7-29     with the county clerk of:
7-30                 (1)  any county in which the obligor is believed to own
7-31     nonexempt real or personal property;
7-32                 (2)  the county in which the obligor resides; or
7-33                 (3)  the county in which the court having continuing
7-34     jurisdiction has venue of the suit affecting the parent-child
7-35     relationship.
7-36           (b)  A child support lien notice may be filed with or
7-37     delivered to the following, as appropriate:
7-38                 (1)  the clerk of the court in which a claim,
7-39     counterclaim, or suit by, or on behalf of, the obligor, including a
7-40     claim or potential right to proceeds from an estate as an heir,
7-41     beneficiary, or creditor, is pending, provided that a copy of the
7-42     lien is mailed to the attorney of record for the obligor, if any;
7-43                 (2)  an attorney who represents the obligor in a claim
7-44     or counterclaim that has not been filed with a court;
7-45                 (3)  any other individual or organization believed to
7-46     be in possession of real or personal property of the obligor; or
7-47                 (4)  any governmental unit or agency that issues or
7-48     records certificates, titles, or other indicia of property
7-49     ownership.
7-50           (c)  Not later than the 21st day after the date of filing or
7-51     delivering the child support lien notice, the claimant shall
7-52     provide a copy of the notice to the obligor by first class or
7-53     certified mail, return receipt requested, addressed to the obligor
7-54     at the obligor's last known address.  If another person is known to
7-55     have an ownership interest in the property subject to the lien, the
7-56     claimant shall provide a copy of the lien notice to that person at
7-57     the time notice is provided to the obligor.
7-58           (d)  If a child support lien notice is delivered to a
7-59     financial institution with respect to an account of the obligor,
7-60     the institution shall immediately:
7-61                 (1)  provide the claimant with the last known address
7-62     of the obligor; and
7-63                 (2)  notify any other person having an ownership
7-64     interest in the account that the account has been frozen in an
7-65     amount not to exceed the amount of the child support arrearage
7-66     identified in the notice.
7-67           SECTION 22. Subchapter G, Chapter 157, Family Code, is
7-68     amended by adding Section 157.3145 to read as follows:
7-69           Sec. 157.3145.  SERVICE ON FINANCIAL INSTITUTION. Service of
 8-1     a child support lien notice on a financial institution relating to
 8-2     property held by the institution in the name of, or in behalf of,
 8-3     an obligor is governed by Section 59.008, Finance Code, if the
 8-4     institution is subject to that law, or may be delivered to the
 8-5     registered agent, the institution's main business office in this
 8-6     state, or another address provided by the institution under Section
 8-7     231.307.
 8-8           SECTION 23. Section 157.315, Family Code, is amended to read
 8-9     as follows:
8-10           Sec. 157.315.  RECORDING AND INDEXING LIEN. (a)  On receipt
8-11     of a child support lien notice, the county clerk shall immediately
8-12     record the notice in the county judgment records as provided in
8-13     Chapter 52, Property Code.
8-14           (b)  The county clerk may not charge the Title IV-D agency, a
8-15     domestic relations office, a friend of the court, or any other
8-16     party a fee for recording the notice of a lien.  To qualify for
8-17     this exemption, the lien notice must be styled "Notice of Child
8-18     Support Lien[.]" or be in the form authorized by federal law or
8-19     regulation.
8-20           (c)  The county clerk may not charge the Title IV-D agency, a
8-21     domestic relations office, or a friend of the court a fee for
8-22     recording the release of a child support lien. The lien release
8-23     must be styled "Release of Child Support Lien."
8-24           SECTION 24. Section 157.316(a), Family Code, is amended to
8-25     read as follows:
8-26           (a)  Except as provided by Subsection (b), a child support
8-27     lien is perfected when an abstract of judgment for past due child
8-28     support or a child support lien notice is filed or delivered [with
8-29     the county clerk] as provided by Section 157.314 [this subchapter].
8-30           SECTION 25. Section 157.317(a), Family Code, is amended to
8-31     read as follows:
8-32           (a)  A child support lien attaches to all real and personal
8-33     property not exempt under the Texas Constitution or other law,
8-34     including an [a depository] account in a financial institution,
8-35     [including a mutual fund money market account, or] a retirement
8-36     plan, including an individual retirement account, the proceeds of a
8-37     life insurance policy, a claim for negligence, personal injury, or
8-38     workers' compensation, or an insurance settlement or award for the
8-39     claim, due to or owned by the obligor on or after the date the lien
8-40     notice or abstract of judgment is filed with the county clerk of
8-41     the county in which the property is located, with the court clerk
8-42     as to property or claims in litigation, or, as to property of the
8-43     obligor in the possession or control of a third party, from the
8-44     date the lien notice is filed with that party.  [Service of a lien
8-45     notice on a financial institution relating to property held by the
8-46     financial institution in the name of or on behalf of an obligor who
8-47     is a customer of the financial institution is governed by Section
8-48     59.008, Finance Code.]
8-49           SECTION 26. Sections 157.318(a) and (b), Family Code, are
8-50     amended to read as follows:
8-51           (a)  A lien is effective until all current support and child
8-52     support arrearages, including interest and any costs and reasonable
8-53     attorney's fees, have been paid or the lien is otherwise released
8-54     as provided by this subchapter.
8-55           (b)  The lien secures payment of all child support arrearages
8-56     owed by the obligor under the underlying child support order,
8-57     including arrearages that accrue after the [administrative or
8-58     judicial determination of arrearages stated in the] lien notice was
8-59     filed or delivered as provided by Section 157.314.
8-60           SECTION 27. Section 157.319, Family Code, is amended by
8-61     adding Subsection (c) to read as follows:
8-62           (c)  This section does not affect the validity or priority of
8-63     a lien of a health care provider, a lien for attorney's fees, or a
8-64     lien of a holder of a security interest.  This section does not
8-65     affect the assignment of rights or subrogation of a claim under
8-66     Title XIX of the federal Social Security Act (42 U.S.C. Section
8-67     1396 et seq.), as amended.
8-68           SECTION 28. Section 157.321, Family Code, is amended to read
8-69     as follows:
 9-1           Sec. 157.321.  DISCRETIONARY RELEASE OF LIEN. A child support
 9-2     lien claimant may at any time release a lien on all or part of the
 9-3     property of the obligor or return seized property, without
 9-4     liability, if assurance of payment is considered adequate by the
 9-5     claimant or if the release or return will facilitate the collection
 9-6     of the arrearages.  The release or return may not operate to
 9-7     prevent future action to collect from the same or other property
 9-8     owned by the obligor.
 9-9           SECTION 29. Section 157.322, Family Code, is amended to read
9-10     as follows:
9-11           Sec. 157.322.  MANDATORY RELEASE OF LIEN. (a)  On payment in
9-12     full of the amount of child support due, together with any costs
9-13     and reasonable attorney's fees, the child support lien claimant
9-14     shall execute and deliver to the obligor or the obligor's attorney
9-15     a release of the child support lien.
9-16           (b)  The release of the child support lien is effective when:
9-17                 (1)  filed with the county clerk with whom the lien
9-18     notice or abstract of judgment was filed; or
9-19                 (2)  delivered to[.  A copy of the release of lien may
9-20     be filed with] any other individual or organization that may have
9-21     been served with a lien notice under this subchapter.
9-22           SECTION 30. Sections 157.323(a) and (b), Family Code, are
9-23     amended to read as follows:
9-24           (a)  In addition to any other remedy provided by law, an
9-25     action to foreclose a child support lien, [or] to dispute the
9-26     amount of arrearages stated in the lien, or to resolve issues of
9-27     ownership interest with respect to property subject to a child
9-28     support lien may be brought in:
9-29                 (1)  the court in which the lien notice was filed under
9-30     Section 157.314(b)(1);
9-31                 (2)  [of continuing jurisdiction or, if there is no
9-32     court of continuing jurisdiction in this state, in] the district
9-33     court of the county in which the property is or was located and the
9-34     lien was filed; or
9-35                 (3)  the court of continuing jurisdiction.
9-36           (b)  The procedures provided by Subchapter B  apply to a
9-37     foreclosure action under this section, except that a person or
9-38     organization in possession of the property of the obligor or known
9-39     to have an ownership interest in property that is subject to the
9-40     lien may be joined as an additional respondent.
9-41           SECTION 31. Section 157.324, Family Code, is amended to read
9-42     as follows:
9-43           Sec. 157.324.  LIABILITY FOR FAILURE TO COMPLY WITH ORDER OR
9-44     LIEN. A person who knowingly disposes of property subject to a
9-45     child support lien, [or] who, after a foreclosure hearing, fails to
9-46     surrender on demand nonexempt personal property as directed by a
9-47     court or administrative order under this subchapter, or who fails
9-48     to comply with a notice of levy under this subchapter is liable to
9-49     the claimant in an amount equal to the arrearages for which the
9-50     lien, notice of levy, or foreclosure judgment was issued.
9-51           SECTION 32. Section 157.325(a), Family Code, is amended to
9-52     read as follows:
9-53           (a)  If a person has in the person's possession earnings,
9-54     deposits, accounts, [or] balances, or other funds or assets of the
9-55     obligor, including the proceeds of a judgment or other settlement
9-56     of a claim or counterclaim due to the obligor that are in excess of
9-57     the amount of arrearages specified in the child support lien, the
9-58     holder of the nonexempt personal property or the obligor may
9-59     request that the claimant release any excess amount from the lien.
9-60     The claimant shall grant the request and discharge any lien on the
9-61     excess amount unless the security for the arrearages would be
9-62     impaired.
9-63           SECTION 33. Section 157.326, Family Code, is amended to read
9-64     as follows:
9-65           Sec. 157.326.  INTEREST OF OBLIGOR'S SPOUSE OR ANOTHER PERSON
9-66     HAVING OWNERSHIP INTEREST. (a)  A spouse of an obligor or another
9-67     person having an ownership interest in property that is subject to
9-68     a child support lien may file suit under Section 157.323 to [an
9-69     affidavit with the court of continuing jurisdiction or, if there is
 10-1    no court of continuing jurisdiction in this state, in the district
 10-2    court of the county in which the property is or was located and the
 10-3    lien was filed requesting that the court] determine the extent, if
 10-4    any, of the spouse's or other person's interest in real or personal
 10-5    property that is subject to:
 10-6                (1)  a lien perfected under this subchapter; or
 10-7                (2)  an action to foreclose under this subchapter.
 10-8          (b)  After notice to the obligor, the obligor's spouse, any
 10-9    other person alleging an ownership interest, the claimant, and the
10-10    obligee, the court shall conduct a hearing and determine the
10-11    extent, if any, of the ownership interest in the property held by
10-12    the obligor's spouse or other person.  If the court finds that:
10-13                (1)  the property is the separate property of the
10-14    obligor's spouse or the other person, the court shall order that
10-15    the lien against the property be released and that any action to
10-16    foreclose on the property be dismissed;  [or]
10-17                (2)  the property is jointly owned by the obligor and
10-18    the obligor's spouse, the court shall determine whether the sale of
10-19    the obligor's interest in the property would result in an
10-20    unreasonable hardship on the obligor's spouse or family and:
10-21                      (A)  if so, the court shall render an order that
10-22    the obligor's interest in the property not be sold and that the
10-23    lien against the property should be released; or
10-24                      (B)  if not, the court shall render an order
10-25    partitioning the property and directing that the property be sold
10-26    and the proceeds applied to the child support arrearages; or
10-27                (3)  the property is owned in part by another person,
10-28    other than the obligor's spouse, the court shall render an order
10-29    partitioning the property and directing that the obligor's share of
10-30    the property be applied to the child support arrearages.
10-31          (c)  In a proceeding under this section, the spouse or other
10-32    person claiming an ownership interest in the property has the
10-33    burden to prove the extent of that ownership interest.
10-34          SECTION 34. Subchapter G, Chapter 157, Family Code, is
10-35    amended by adding Sections 157.327-157.331 to read as follows:
10-36          Sec. 157.327.  EXECUTION AND LEVY ON FINANCIAL ASSETS OF
10-37    OBLIGOR. (a)  Notwithstanding any other provision of law, if a
10-38    judgment or administrative determination of arrearages has been
10-39    rendered, a claimant may deliver a notice of levy to any financial
10-40    institution possessing or controlling assets or funds owned by, or
10-41    owed to, an obligor and subject to a child support lien,  including
10-42    a lien for child support arising in another state.
10-43          (b)  The notice under this section must:
10-44                (1)  identify the amount of child support arrearages
10-45    owing at the time the amount of arrearages was determined; and
10-46                (2)  direct the financial institution to pay to the
10-47    claimant, not earlier than the 15th day or later than the 21st day
10-48    after the date of delivery of the notice, an amount from the assets
10-49    of the obligor or from funds due to the obligor that are held or
10-50    controlled by the institution, not to exceed the amount of the
10-51    child support arrearages identified in the notice, unless:
10-52                      (A)  the institution is notified by the claimant
10-53    that the obligor has paid the arrearages or made arrangements
10-54    satisfactory to the claimant for the payment of the arrearages;
10-55                      (B)  the obligor or another person files a suit
10-56    under Section 157.323 requesting a hearing by the court; or
10-57                      (C)  if the claimant is the Title IV-D agency,
10-58    the obligor has requested an agency review under Section 157.328.
10-59          (c)  A financial institution that receives a notice of levy
10-60    under this section may not close an account in which the obligor
10-61    has an ownership interest, permit a withdrawal from any account the
10-62    obligor owns, in whole or in part, or pay funds to the obligor so
10-63    that any amount remaining in the account is less than the amount of
10-64    the arrearages identified in the notice, plus any fees due to the
10-65    institution and any costs of the levy identified by the claimant.
10-66          (d)  A financial institution that receives a notice of levy
10-67    under this section shall notify any other person having an
10-68    ownership interest in an account in which the obligor has an
10-69    ownership interest that the account has been levied on in an amount
 11-1    not to exceed the amount of the child support arrearages identified
 11-2    in the notice of levy.
 11-3          (e)  The notice of levy may be delivered to a financial
 11-4    institution as provided by Section 59.008, Finance Code, if the
 11-5    institution is subject to that law or may be delivered to the
 11-6    registered agent, the institution's main business office in this
 11-7    state, or another address provided by the institution under Section
 11-8    231.307.
 11-9          Sec. 157.328.  NOTICE OF LEVY SENT TO OBLIGOR. (a)  At the
11-10    time the notice of levy under Section 157.327 is delivered to a
11-11    financial institution, the claimant shall serve the obligor with a
11-12    copy of the notice.
11-13          (b)  The notice of levy delivered to the obligor must inform
11-14    the obligor that:
11-15                (1)  the claimant will not proceed with levy if, not
11-16    later than the 10th day after the date of receipt of the notice,
11-17    the obligor pays in full the amount of arrearages identified in the
11-18    notice or otherwise makes arrangements acceptable to the claimant
11-19    for the payment of the arrearage amounts; and
11-20                (2)  the obligor may contest the levy by filing suit
11-21    under Section 157.323 not later than the 10th day after the date of
11-22    receipt of the notice.
11-23          (c)  If the claimant is the Title IV-D agency, the obligor
11-24    receiving a notice of levy may request review by the agency  not
11-25    later than the 10th day after the date of receipt of the notice to
11-26    resolve any issue in dispute regarding the existence or amount of
11-27    the arrearages.  The agency shall provide an opportunity for  a
11-28    review, by telephone conference or in person, as appropriate to the
11-29    circumstances, not later than the fifth business day after the date
11-30    an oral or written request from the obligor for the review is
11-31    received.  If the review fails to resolve any issue in dispute, the
11-32    obligor may file suit under Section 157.323 for a hearing by the
11-33    court not later than the fifth day after the date of the conclusion
11-34    of the agency review. If the obligor fails to timely file suit, the
11-35    Title IV-D agency may request the financial institution to release
11-36    and remit the funds subject to levy.
11-37          (d)  The notice under this section may be delivered to the
11-38    last known address of the obligor by first class mail, certified
11-39    mail, or registered mail.
11-40          Sec. 157.329.  NO LIABILITY FOR COMPLIANCE WITH NOTICE OF
11-41    LEVY. A financial institution that possesses or has a right to an
11-42    obligor's assets for which a notice of levy has been delivered and
11-43    that surrenders the assets or right to assets to a child support
11-44    lien claimant is not liable to the obligor or any other person for
11-45    the property or rights surrendered.
11-46          Sec. 157.330.  FAILURE TO COMPLY WITH NOTICE OF LEVY. A
11-47    person who possesses or has a right to property that is the
11-48    subject of a notice of levy delivered to the person and who refuses
11-49    to surrender the property or right to property to the claimant on
11-50    demand is liable to the claimant in an amount equal to the value of
11-51    the property or right to property not surrendered but that does not
11-52    exceed the amount of the child support arrearages for which the
11-53    notice of levy has been filed.
11-54          Sec. 157.331.  ADDITIONAL LEVY TO SATISFY ARREARAGES. If the
11-55    property or right to property on which a notice of levy has been
11-56    filed does not produce money sufficient to satisfy the amount of
11-57    child support arrearages identified in the notice of levy, the
11-58    claimant may proceed to levy on other property of the obligor until
11-59    the total amount of child support due is paid.
11-60          SECTION 35.  Subchapter A, Chapter 158, Family Code, is
11-61    amended by adding Section 158.0051 to read as follows:
11-62          Sec. 158.0051.  ORDER FOR WITHHOLDING FOR COSTS AND FEES. (a)
11-63    In addition to an order for income to be withheld for child
11-64    support, including child support and child support arrearages, the
11-65    court may render an order that income be withheld from the
11-66    disposable earnings of the obligor to be applied towards the
11-67    satisfaction of any ordered attorney's fees and costs resulting
11-68    from an action to enforce child support under this title.
11-69          (b)  An order rendered under this section is subordinate to
 12-1    an order or writ of withholding for child support under this
 12-2    chapter and is subject to the maximum amount allowed to be withheld
 12-3    under Section 158.009.
 12-4          (c)  The court shall order that amounts withheld for fees and
 12-5    costs under this section be remitted directly to the person
 12-6    entitled to the ordered attorney's fees or costs or be paid through
 12-7    a local registry for disbursement to that person.
 12-8          SECTION 36. Section 158.103, Family Code, is amended to read
 12-9    as follows:
12-10          Sec. 158.103.  CONTENTS OF ORDER OR WRIT OF WITHHOLDING. An
12-11    order of withholding or writ of withholding issued under this
12-12    chapter must contain the information required by the forms
12-13    prescribed by the Title IV-D agency under Section 158.106 [that is
12-14    necessary for an employer or other entity to comply with the
12-15    existing child support order, including:]
12-16                [(1)  the style, cause number, and court having
12-17    continuing jurisdiction of the suit;]
12-18                [(2)  the name, address, and, if available, the social
12-19    security number of the obligor;]
12-20                [(3)  the amount and duration of the child support
12-21    payments and medical support payments or other provisions for
12-22    medical support, the amount of arrearages, accrued interest, and
12-23    ordered fees and costs;]
12-24                [(4)  the name, address, and, if available, the social
12-25    security numbers of the child and the obligee;]
12-26                [(5)  the name and address of the person or agency to
12-27    whom the payments shall be made;]
12-28                [(6)  the amount of income to be withheld and remitted;
12-29    and]
12-30                [(7)  whether the child is to be enrolled in health
12-31    insurance coverage available through the obligor's employment].
12-32          SECTION 37. Sections 158.105(b)-(d), Family Code, are amended
12-33    to read as follows:
12-34          (b)  [In order to inform the employer, the clerk shall attach
12-35    a copy of Subchapter C to the order or writ.]
12-36          [(c)]  The clerk shall issue and mail the certified copy of
12-37    the order or judicial writ not later than the fourth working day
12-38    after the date the order is signed or the request is filed,
12-39    whichever is later.
12-40          (c) [(d)]  An order or judicial writ of withholding shall be
12-41    delivered to the employer by first class mail or, if requested, by
12-42    certified or registered mail, return receipt requested, electronic
12-43    transmission, or by service of citation to:
12-44                (1)  the person authorized to receive service of
12-45    process for the employer in civil cases generally; or
12-46                (2)  a person designated by the employer, by written
12-47    notice to the clerk, to receive orders or writs of withholding.
12-48          SECTION 38. Section 158.106(a), Family Code, is amended to
12-49    read as follows:
12-50          (a)  The Title IV-D agency shall prescribe forms as required
12-51    [authorized] by federal law in a standard format entitled order or
12-52    notice to withhold income for child support.
12-53          SECTION 39. Section 158.206, Family Code, is amended to read
12-54    as follows:
12-55          Sec. 158.206.  LIABILITY AND OBLIGATION OF EMPLOYER; WORKERS'
12-56    COMPENSATION CLAIMS [FOR PAYMENTS]. (a)  An employer receiving an
12-57    order or a writ of withholding under this chapter, including an
12-58    order or writ directing that health insurance be provided to a
12-59    child, who complies with the order or writ is not liable to the
12-60    obligor for the amount of income withheld and paid as required by
12-61    the order or writ.
12-62          (b)  An employer receiving an order or writ of withholding
12-63    who does not comply with the order or writ is liable:
12-64                (1)  to the obligee for the amount not paid in
12-65    compliance with the order or writ, including the amount the obligor
12-66    is required to pay for health insurance under Chapter 154;
12-67                (2)  to the obligor for:
12-68                      (A)  the amount withheld and not paid as required
12-69    by the order or writ; and
 13-1                      (B)  an amount equal to the interest that accrues
 13-2    under Section 157.265 on the amount withheld and not paid; and
 13-3                (3)  for reasonable attorney's fees and court costs.
 13-4          (c)  If an obligor has filed a claim for workers'
 13-5    compensation, the obligor's employer shall send a copy of the
 13-6    income withholding order or writ to the insurance carrier with whom
 13-7    the claim has been filed in order to continue the ordered
 13-8    withholding of income.
 13-9          SECTION 40. Section 158.501, Family Code, is amended by
13-10    adding Subsection (c) to read as follows:
13-11          (c)  The Title IV-D agency may use the procedures authorized
13-12    by this subchapter to enforce a support order rendered by a
13-13    tribunal of another state regardless of whether the order has been
13-14    registered under Chapter 159.
13-15          SECTION 41. Section 158.502(c), Family Code, is amended to
13-16    read as follows:
13-17          (c)  The Title IV-D agency may issue an administrative writ
13-18    of withholding as a reissuance of an existing withholding order on
13-19    file with the court of continuing jurisdiction or a tribunal of
13-20    another state.  The administrative writ under this subsection is
13-21    not subject to the contest provisions of Sections 158.505(a)(2) and
13-22    158.506.
13-23          SECTION 42. Section 158.503(b), Family Code, is amended to
13-24    read as follows:
13-25          (b)  Not later than the third business day after the date of
13-26    delivery of the administrative writ of withholding to an employer,
13-27    the Title IV-D agency shall file a copy of the writ, together with
13-28    a signed certificate of service, in the court of continuing
13-29    jurisdiction. The certificate of service may be signed
13-30    electronically.  This subsection does not apply to the enforcement
13-31    under Section 158.501(c) of a support order rendered by a tribunal
13-32    of another state.
13-33          SECTION 43. Section 158.504(b), Family Code, is amended to
13-34    read as follows:
13-35          (b)  An administrative writ of withholding issued under this
13-36    subchapter may contain only the information that is necessary for
13-37    the employer to withhold income for child support and medical
13-38    support and shall specify the place where the withheld income is to
13-39    be paid [comply with the existing support order, including the
13-40    amount of current support and medical support, the amount of
13-41    arrearages, accrued interest, and the amount of earnings to be
13-42    withheld].
13-43          SECTION 44. Section 158.505(a), Family Code, is amended to
13-44    read as follows:
13-45          (a)  On issuance of an administrative writ of withholding,
13-46    the Title IV-D agency shall send the obligor:
13-47                (1)  notice that the withholding has commenced,
13-48    including, if the writ is issued as provided by Section 158.502(b),
13-49    the amount of the arrearages, including accrued interest;
13-50                (2)  except as provided by Section 158.502(c), notice
13-51    of the procedures to follow if the obligor desires to contest
13-52    withholding on the grounds that the identity of the obligor or the
13-53    existence or amount of arrearages is incorrect; and
13-54                (3)  a copy of the administrative writ, including the
13-55    information concerning income withholding provided to the employer.
13-56          SECTION 45.  Section 160.005(b), Family Code, is amended to
13-57    read as follows:
13-58          (b)  Except as provided under Section 154.131, on [On] a
13-59    finding of parentage, the court may order support retroactive to
13-60    the time of the birth of the child and, on a proper showing, may
13-61    order a party to pay an equitable portion of all prenatal and
13-62    postnatal health care expenses of the mother and child.
13-63          SECTION 46. Section 201.104, Family Code, is amended by
13-64    adding Subsection (e) to read as follows:
13-65          (e)  Only the referring court may render an order for
13-66    postjudgment relief, including an order for a new trial.
13-67          SECTION 47. Section 201.1041(b), Family Code, is amended  to
13-68    read as follows:
13-69          (b)  A master's report that recommends enforcement by
 14-1    contempt or the immediate incarceration of a party becomes an order
 14-2    of the referring court only if:
 14-3                (1)  the referring court signs an order adopting the
 14-4    master's recommendation; and
 14-5                (2)  the order meets the requirements of Section
 14-6    157.166.
 14-7          SECTION 48. Section 201.1042, Family Code, is amended by
 14-8    adding Subsection (g) to read as follows:
 14-9          (g)  Until a hearing is held on a timely filed appeal under
14-10    this section, a master may not hold a hearing on the respondent's
14-11    compliance with conditions in the master's report for suspension of
14-12    incarceration.
14-13          SECTION 49. Subchapter B, Chapter 201, Family Code, is
14-14    amended by adding Section 201.113 to read as follows:
14-15          Sec. 201.113.  VISITING CHILD SUPPORT MASTER. (a)  If a child
14-16    support master appointed under this subchapter is temporarily
14-17    unable to perform the master's official duties because of absence
14-18    resulting from family circumstances, illness, injury, or
14-19    disability, the presiding judge of the administrative judicial
14-20    region in which the master serves may appoint a visiting child
14-21    support master to perform the duties of the master during the
14-22    period the master is unable to perform the master's duties.
14-23          (b)  A person is not eligible for appointment under this
14-24    section unless the person has served as a child support master or
14-25    associate judge for at least two years before the date of
14-26    appointment.
14-27          (c)  A visiting master appointed under this section is
14-28    subject to each provision of this chapter that applies to a child
14-29    support master serving under a regular appointment.  A visiting
14-30    master appointed under this section is entitled to compensation to
14-31    be determined by a majority vote of the presiding judges of the
14-32    administrative judicial regions through use of funds under Section
14-33    201.105(b).  A visiting judge is not considered a state employee
14-34    for any purpose.
14-35          SECTION 50.  Sections 203.004(a) and (c), Family Code, are
14-36    amended to read as follows:
14-37          (a)  A domestic relations office may:
14-38                (1)  collect and disburse child support payments that
14-39    are ordered by a court to be paid through a domestic relations
14-40    registry;
14-41                (2)  maintain records of payments and disbursements
14-42    made under Subdivision (1);
14-43                (3)  file a suit, including a suit to:
14-44                      (A)  establish paternity;
14-45                      (B)  enforce a court order for child support or
14-46    for possession of and access to a child; and
14-47                      (C)  modify or clarify an existing child support
14-48    order;
14-49                (4)  provide an informal forum in which:
14-50                      (A)  mediation is used to resolve disputes in an
14-51    action under Subdivision (3); or
14-52                      (B)  an agreed repayment schedule for delinquent
14-53    child support is negotiated as an alternative to filing a suit to
14-54    enforce a court order for child support under Subdivision (3);
14-55                (5)  prepare a court-ordered social study;
14-56                (6)  represent a child as guardian ad litem in a suit
14-57    in which:
14-58                      (A)  termination of the parent-child relationship
14-59    is sought; or
14-60                      (B)  conservatorship of or access to a child is
14-61    contested;
14-62                (7)  serve as a friend of the court;
14-63                (8)  provide predivorce counseling ordered by a court;
14-64                (9)  provide community supervision services under
14-65    Chapter 157; [and]
14-66                (10)  provide information to assist a party in
14-67    understanding, complying with, or enforcing the party's duties and
14-68    obligations under Subdivision (3); and
14-69                (11)  provide, directly or through a contract,
 15-1    visitation services, including supervision of court-ordered
 15-2    visitation, visitation exchange, or other similar services.
 15-3          (c)  A domestic relations office may:
 15-4                (1)  hire or contract for the services of attorneys to
 15-5    assist the office in providing services under this chapter; and
 15-6                (2)  employ community supervision officers or court
 15-7    monitors.
 15-8          SECTION 51.  Section 203.005(a), Family Code, is amended to
 15-9    read as follows:
15-10          (a)  The administering entity may authorize a domestic
15-11    relations office to assess and collect:
15-12                (1)  an initial operations fee not to exceed $15 to be
15-13    paid to the domestic relations office on the filing of a suit;
15-14                (2)  in a county that has a child support enforcement
15-15    cooperative agreement with the Title IV-D agency, an initial child
15-16    support service fee not to exceed $36 to be paid to the domestic
15-17    relations office on the filing of a suit;
15-18                (3)  a reasonable application fee to be paid by an
15-19    applicant requesting services from the office;
15-20                (4)  a reasonable attorney's fee and court costs
15-21    incurred or ordered by the court;
15-22                (5)  a monthly [child support] service fee not to
15-23    exceed $3 to be paid annually in advance by a managing conservator
15-24    and possessory conservator for whom the domestic relations office
15-25    provides services [acts as a local child support registry];
15-26                (6)  community supervision fees as provided by Chapter
15-27    157 if community supervision officers are employed by the domestic
15-28    relations office; and
15-29                (7)  a reasonable fee for preparation of a
15-30    court-ordered social study.
15-31          SECTION 52.  Subchapter A, Chapter 231, Family Code, is
15-32    amended by adding Section 231.015 to read as follows:
15-33          Sec. 231.015.  INSURANCE REPORTING PILOT PROGRAM. (a)  In
15-34    consultation with the Texas Department of Insurance and
15-35    representatives of the insurance industry in this state, including
15-36    insurance trade associations, the Title IV-D agency by rule shall
15-37    establish a pilot program to improve the use of child support liens
15-38    under Chapter 157.  The pilot program shall develop processes under
15-39    which insurance companies may voluntarily cooperate with the Title
15-40    IV-D agency in identifying obligors who are subject to liens for
15-41    child support arrearages to intercept certain liability insurance
15-42    settlements or awards for claims in satisfaction of the arrearage
15-43    amounts.
15-44          (b)  An insurance company that provides information or
15-45    otherwise responds to a notice of child support lien or levy under
15-46    Subchapter G, Chapter 157, or acts in good faith to comply with
15-47    procedures established in the pilot program under this section is
15-48    not liable for those acts under any law to any person.
15-49          SECTION 53. Section 231.104(a), Family Code, is amended to
15-50    read as follows:
15-51          (a)  To the extent authorized by federal law, the approval of
15-52    an application for or the receipt of financial assistance as
15-53    provided by Chapter 31, Human Resources Code, constitutes an
15-54    assignment to the Title IV-D agency of any rights to support from
15-55    any other person that the applicant or recipient may have
15-56    personally or for a child for whom the applicant or recipient is
15-57    claiming assistance[, including the right to the amount accrued at
15-58    the time the application is filed or the assistance is received].
15-59          SECTION 54. Sections 231.105(a) and (b), Family Code, are
15-60    amended to read as follows:
15-61          (a)  Child support payments for the benefit of a child whose
15-62    support rights have been assigned to the Title IV-D agency under
15-63    Section 231.104 shall be made payable to [and transmitted to] the
15-64    Title IV-D agency and transmitted to the state disbursement unit as
15-65    provided by Chapter 234.
15-66          (b)  If a court has ordered support payments to be made to an
15-67    applicant for or recipient of financial assistance or to an [a
15-68    person other than the] applicant for or recipient of Title IV-D
15-69    services, the Title IV-D agency shall, on providing notice to the
 16-1    obligee and the obligor, direct the obligor or other payor to make
 16-2    support payments payable to the Title IV-D agency and to transmit
 16-3    the payments to the state disbursement unit [agency].  The Title
 16-4    IV-D agency shall file a copy of the notice with the court ordering
 16-5    the payments and with the child support registry.  The notice must
 16-6    include:
 16-7                (1)  a statement that the child is an applicant for or
 16-8    recipient of financial assistance, or a child other than a
 16-9    recipient child for whom Title IV-D services are provided;
16-10                (2)  the name of the child and the caretaker for whom
16-11    support has been ordered by the court;
16-12                (3)  the style and cause number of the case in which
16-13    support was ordered; and
16-14                (4)  instructions for the payment of ordered support to
16-15    the agency.
16-16          SECTION 55. Section 231.204, Family Code, is amended to read
16-17    as follows:
16-18          Sec. 231.204.  PROHIBITED FEES IN TITLE IV-D CASES. Except as
16-19    provided by this subchapter, an appellate court, a clerk of an
16-20    appellate court, a district or county clerk, sheriff, constable, or
16-21    other government officer or employee may not charge the Title IV-D
16-22    agency or a private attorney or political subdivision that has
16-23    entered into a contract to provide Title IV-D services any fees or
16-24    other amounts otherwise imposed by law for services rendered in, or
16-25    in connection with, a Title IV-D case, including:
16-26                (1)  a fee payable to a district clerk for:
16-27                      (A)  performing services related to the estates
16-28    of deceased persons or minors;
16-29                      (B)  certifying copies; or
16-30                      (C)  comparing copies to originals;
16-31                (2)  a court reporter fee, except as provided by
16-32    Section 231.209;
16-33                (3)  a judicial fund fee;
16-34                (4)  a fee for a child support registry, enforcement
16-35    office, or domestic relations office;  [and]
16-36                (5)  a fee for alternative dispute resolution services;
16-37    and
16-38                (6)  a filing fee or other costs payable to a clerk of
16-39    an appellate court.
16-40          SECTION 56. Section 231.302(b), Family Code, is amended to
16-41    read as follows:
16-42          (b)  A government agency, private company, institution, or
16-43    other entity shall provide the information requested under
16-44    Subsection (a)  directly to the Title IV-D agency, without the
16-45    requirement of payment of a fee for the information, and shall,
16-46    subject to safeguards on privacy and information security, provide
16-47    the information in the most efficient and expeditious manner
16-48    available, including electronic or automated transfer and
16-49    interface.  Any individual or entity disclosing information under
16-50    this section in response to a request from a Title IV-D agency may
16-51    not be held liable in any civil action or proceeding to any person
16-52    for the disclosure of information under this subsection.
16-53          SECTION 57. Section 231.307, Family Code, is amended by
16-54    amending Subsections (a) and (e) and adding Subsection (f) to read
16-55    as follows:
16-56          (a)  The Title IV-D agency shall develop a system meeting the
16-57    requirements of federal law (42 U.S.C. Sections 666(a)(4) and (17))
16-58    [42 U.S.C. Section 666(a)(17)] for the [quarterly] exchange of data
16-59    with financial institutions doing business in the state to identify
16-60    an account of an obligor owing past-due child support and to
16-61    enforce support obligations against the obligor, including the
16-62    imposition of a lien and a levy and execution on an obligor's
16-63    assets held in financial institutions as required by federal law
16-64    (42 U.S.C. Section 666(c)(1)(G)).
16-65          (e)  In this section:
16-66                (1)  "Financial institution" has the meaning assigned
16-67    by [42 U.S.C.] Section 157.311 [669a(d)(1)]; and
16-68                (2)  "Account" has the meaning assigned by Section
16-69    157.311 [means a demand deposit account, checking or negotiable
 17-1    withdrawal order account, savings account, time deposit account, or
 17-2    money market mutual fund account].
 17-3          (f)  A financial institution participating in data matches
 17-4    authorized by this section may provide the Title IV-D agency an
 17-5    address for the purpose of service of notices or process required
 17-6    in actions under this section or Subchapter G, Chapter 157.
 17-7          SECTION 58. Section 232.001(4), Family Code, is amended to
 17-8    read as follows:
 17-9                (4)  "Subpoena" means a judicial or administrative
17-10    subpoena issued in a parentage determination or child support
17-11    proceeding under this title.
17-12          SECTION 59. Section 232.003, Family Code, is amended to read
17-13    as follows:
17-14          Sec. 232.003.  SUSPENSION OF LICENSE. (a)  A court or the
17-15    Title IV-D agency may issue an order suspending a license as
17-16    provided by this chapter if an individual who is an obligor:
17-17                (1)  owes overdue [has a] child support in an amount
17-18    [arrearage] equal to or greater than the total support due for
17-19    three months [90 days] under a support order;
17-20                (2)  has been provided an opportunity to make payments
17-21    toward the overdue child support [arrearage] under a court-ordered
17-22    [court order] or [an] agreed repayment schedule; and
17-23                (3)  has failed to comply with the repayment schedule.
17-24          (b)  A court or the Title IV-D agency may issue an order
17-25    suspending a license as provided by this chapter if a parent or
17-26    alleged parent [an individual] has failed, after receiving
17-27    appropriate notice, to comply with a subpoena.
17-28          SECTION 60. Section 232.005(a), Family Code, is amended to
17-29    read as follows:
17-30          (a)  A petition under this chapter must state that license
17-31    suspension is required under Section 232.003 and allege:
17-32                (1)  the name and, if known, social security number of
17-33    the individual;
17-34                (2)  with regard to each license, the type, and if
17-35    known, number of any license the individual is believed to hold and
17-36    the name of the licensing authority that issued the license; and
17-37                (3)  the amount of arrearages owed under the child
17-38    support order or the facts associated with the individual's failure
17-39    to comply with a subpoena.
17-40          SECTION 61. Section 232.009, Family Code, is amended to read
17-41    as follows:
17-42          Sec. 232.009.  DEFAULT ORDER. The court or Title IV-D agency
17-43    shall consider the allegations of the petition for suspension to be
17-44    admitted and shall render an order suspending the license of an
17-45    obligor without the requirement of a hearing if the court or Title
17-46    IV-D agency determines that the individual failed to[:]
17-47                [(1)]  respond to a notice issued under Section 232.006
17-48    by:
17-49                (1)  requesting[;]
17-50                [(2)  request] a hearing; or
17-51                (2)  appearing [(3) appear] at a scheduled hearing.
17-52          SECTION 62. Section 232.011, Family Code, is amended by
17-53    adding Subsection (i) to read as follows:
17-54          (i)  An order issued under this chapter to suspend a license
17-55    applies to each license issued by the licensing authority subject
17-56    to the order for which the obligor is eligible.  The licensing
17-57    authority may not issue or renew any other license for the obligor
17-58    until the court or the Title IV-D agency renders an order vacating
17-59    or staying an order suspending license.
17-60          SECTION 63. Section 232.015(b), Family Code, is amended to
17-61    read as follows:
17-62          (b)  A licensing authority shall provide the requested
17-63    information in the form and manner identified [agreed to] by the
17-64    Title IV-D agency [and the licensing authority].
17-65          SECTION 64.  Section 233.006, Family Code, is amended to read
17-66    as follows:
17-67          Sec. 233.006.  CONTENTS OF NOTICE OF CHILD SUPPORT REVIEW.
17-68    (a)  The notice of child support review issued by the Title IV-D
17-69    agency must:
 18-1                (1)  describe the procedure for a child support review,
 18-2    including the procedures for requesting a negotiation conference;
 18-3                (2)  inform the recipient that the recipient may be
 18-4    represented by legal counsel during the review process or at a
 18-5    court hearing; and
 18-6                (3)  inform the recipient that the recipient may refuse
 18-7    to participate or cease participation in the child support review
 18-8    process, but that the refusal by the recipient to participate will
 18-9    not prevent the completion of the process or the filing of a child
18-10    support review order[;]
18-11                [(4)  include an affidavit of financial resources to be
18-12    executed by the recipient; and]
18-13                [(5)  include a request that the recipient designate,
18-14    on a form provided by the Title IV-D agency, an address for mailing
18-15    any subsequent notice to the recipient].
18-16          (b)  In addition to the information required by Subsection
18-17    (a), the notice of child support review may [must] inform the
18-18    recipient that:
18-19                (1)  an affidavit of financial resources included with
18-20    the notice must be executed by the recipient and [the information
18-21    requested on the form must be] returned to the Title IV-D agency
18-22    not later than the 15th day after the date the notice is received
18-23    or delivered; and
18-24                (2)  if the requested affidavit of financial resources
18-25    [information] is not returned as required, the agency may:
18-26                      (A)  proceed with the review using the
18-27    information that is available to the agency;  and
18-28                      (B)  file a legal action without further notice
18-29    to the recipient, except as otherwise required by law.
18-30          SECTION 65. Section 233.009, Family Code, is amended by
18-31    adding Subsection (f) to read as follows:
18-32          (f)  Notwithstanding any other provision of this chapter, if
18-33    the parties have agreed to the terms of a proposed child support
18-34    review order and each party has signed the order, including a
18-35    waiver of the right to service of process as provided by Section
18-36    233.018, the Title IV-D agency may immediately present the order
18-37    and waiver to the court for confirmation without conducting a
18-38    negotiation conference or requiring the production of financial
18-39    information.
18-40          SECTION 66. Section 233.0095, Family Code, is amended by
18-41    adding Subsection (f) to read as follows:
18-42          (f)  Notwithstanding any other provision of this chapter, if
18-43    paternity has been acknowledged, the parties have agreed to the
18-44    terms of a proposed child support review order, and each party has
18-45    signed the order, including a waiver of the right to service of
18-46    process as provided by Section 233.018, the Title IV-D agency may
18-47    immediately present the order and waiver to the court for
18-48    confirmation without conducting a negotiation conference or
18-49    requiring the production of financial information.
18-50          SECTION 67. Section 233.018(a), Family Code, is amended to
18-51    read as follows:
18-52          (a)  If a negotiation conference results in an agreement of
18-53    the parties, each party must sign the child support review order
18-54    and the order must contain as to each party:
18-55                (1)  a waiver by the party of the right to service of
18-56    process and a court hearing and the making of a record on the
18-57    petition for confirmation;
18-58                (2)  the mailing address of the party; and
18-59                (3)  the following statement printed on the order in
18-60    boldfaced type, in capital letters, or underlined:
18-61          "I ACKNOWLEDGE THAT I HAVE READ AND UNDERSTAND [KNOW THAT I
18-62    DO NOT HAVE TO SIGN] THIS CHILD SUPPORT REVIEW ORDER.  I UNDERSTAND
18-63    THAT IF I SIGN THIS ORDER, IT WILL BE CONFIRMED BY THE COURT
18-64    WITHOUT FURTHER NOTICE TO ME.  I KNOW THAT I HAVE A RIGHT TO
18-65    REQUEST THAT A COURT RECONSIDER THE ORDER BY FILING A MOTION FOR A
18-66    NEW TRIAL AT ANY TIME BEFORE THE 30TH DAY AFTER THE DATE OF THE
18-67    CONFIRMATION OF THE ORDER BY THE COURT.  I KNOW THAT IF I DO NOT
18-68    OBEY THE TERMS OF THIS ORDER I MAY BE HELD IN CONTEMPT OF COURT."
18-69          SECTION 68. Section 233.024(a), Family Code, is amended to
 19-1    read as follows:
 19-2          (a)  If the court finds that all parties have appropriately
 19-3    agreed to a child support review order and that there is waiver of
 19-4    service, the court shall sign the order not later than the third
 19-5    day after the filing of the order.  The court may sign the order
 19-6    before filing the order, but the signed order shall immediately be
 19-7    filed.
 19-8          SECTION 69. Section 234.001, Family Code, is amended by
 19-9    amending Subsections (a) and (c) and adding Subsection (d) to read
19-10    as follows:
19-11          (a)  The Title IV-D agency shall establish and operate a
19-12    state case registry and state disbursement unit meeting the
19-13    requirements of 42 U.S.C. Sections 654a(e) and 654b and this
19-14    subchapter.
19-15          (c)  The state disbursement unit shall:
19-16                (1)  receive, maintain, and furnish records of child
19-17    support payments in Title IV-D cases and other cases as authorized
19-18    [required] by law;
19-19                (2)  forward child support payments as authorized
19-20    [required] by law;
19-21                (3)  maintain child support payment records made
19-22    through the state disbursement unit; and
19-23                (4)  make available to a local registry each day in a
19-24    manner determined by the Title IV-D agency with the assistance of
19-25    the work group established under Section 234.003 the following
19-26    information:
19-27                      (A)  the cause number of the suit under which
19-28    withholding is required;
19-29                      (B)  the payor's name and social security number;
19-30                      (C)  the payee's name and, if available, social
19-31    security number;
19-32                      (D)  the date the disbursement unit received the
19-33    payment;
19-34                      (E)  the amount of the payment; and
19-35                      (F)  the instrument identification information.
19-36          (d)  A certified child support payment record produced by the
19-37    state disbursement unit is admissible as evidence of the truth of
19-38    the information contained in the record and does not require
19-39    further authentication or verification.
19-40          SECTION 70. Section 234.004, Family Code, is amended to read
19-41    as follows:
19-42          Sec. 234.004.  CONTRACTS AND COOPERATIVE AGREEMENTS. (a)  The
19-43    Title IV-D agency may enter into contracts and cooperative
19-44    agreements as necessary to establish and operate the state case
19-45    registry and state disbursement unit authorized under this
19-46    subchapter.
19-47          (b)  To the extent funds are available for this purpose, the
19-48    Title IV-D agency may enter into contracts or cooperative
19-49    agreements to process through the state disbursement unit child
19-50    support collections in cases not otherwise eligible under 42 U.S.C.
19-51    Section 654b.
19-52          SECTION 71. Section 234.006, Family Code, as added by Chapter
19-53    556, Acts of the 76th Legislature, Regular Session, 1999, is
19-54    amended to read as follows:
19-55          Sec. 234.006.  EFFECTIVE DATE AND PROCEDURES. The Title IV-D
19-56    agency [shall], in cooperation with the work group established
19-57    under Section 234.003, may adopt rules[,] in compliance with
19-58    federal law[, that establish the definitions for, and the date of
19-59    and the procedures] for[:]
19-60                [(1)]  the operation of the state case registry and the
19-61    state disbursement unit[; and]
19-62                [(2)  the return of payments made in error or delivered
19-63    to the state disbursement unit with insufficient information for
19-64    disbursement].
19-65          SECTION 72. Section 730.005, Transportation Code, is amended
19-66    to read as follows:
19-67          Sec. 730.005.  REQUIRED DISCLOSURE. Personal information
19-68    obtained by an agency in connection with a motor vehicle record
19-69    shall be disclosed for use in connection with any matter of:
 20-1                (1)  motor vehicle or motor vehicle operator safety;
 20-2                (2)  motor vehicle theft;
 20-3                (3)  motor vehicle emissions;
 20-4                (4)  motor vehicle product alterations, recalls, or
 20-5    advisories;
 20-6                (5)  performance monitoring of motor vehicles or motor
 20-7    vehicle dealers by a motor vehicle manufacturer; [or]
 20-8                (6)  removal of nonowner records from the original
 20-9    owner records of a motor vehicle manufacturer to carry out the
20-10    purposes of:
20-11                      (A)  the Automobile Information Disclosure Act,
20-12    15 U.S.C. Section 1231 et seq.;
20-13                      (B)  49 U.S.C. Chapters 301, 305, 323, 325, 327,
20-14    329, and 331;
20-15                      (C)  the Anti Car Theft Act of 1992, 18 U.S.C.
20-16    Sections 553, 981, 982, 2119, 2312, 2313, and 2322, 19 U.S.C.
20-17    Sections 1646b and 1646c, and 42 U.S.C. Section 3750a et seq., all
20-18    as amended;
20-19                      (D)  the Clean Air Act, 42 U.S.C. Section 7401 et
20-20    seq., as amended; and
20-21                      (E)  any other statute or regulation enacted or
20-22    adopted under or in relation to a law included in Paragraphs
20-23    (A)-(D); or
20-24                (7)  child support enforcement under Chapter 231,
20-25    Family Code.
20-26          SECTION 73.  Title 5, Finance Code, is amended by adding
20-27    Chapter 396 to read as follows:
20-28         CHAPTER 396.  PRIVATE CHILD SUPPORT ENFORCEMENT AGENCIES
20-29                     SUBCHAPTER A.  GENERAL PROVISIONS
20-30          Sec. 396.001.  DEFINITIONS.  In this chapter:
20-31                (1)  "Child support enforcement" means an action,
20-32    conduct, or practice in enforcing, or in soliciting for
20-33    enforcement, a child support obligation, including the collection
20-34    of an amount owed under a child support obligation.
20-35                (2)  "Child support obligation" means an obligation for
20-36    the payment of financial support for a child under an order or writ
20-37    issued by a court or other tribunal.
20-38                (3)  "Department" means the Texas Department of
20-39    Banking.
20-40                (4)  "Foreign agency" means a private child support
20-41    enforcement agency that engages in business in this state solely by
20-42    use of telephone, mail, the Internet, facsimile transmission, or
20-43    any other means of interstate communication.
20-44                (5)  "Obligee" means the person identified in an order
20-45    for child support issued by a court or other tribunal as the payee
20-46    to whom an obligor's amounts of ordered child support are due.
20-47                (6)  "Obligor" means the person identified in an order
20-48    for child support issued by a court or other tribunal as the
20-49    individual required to make payment under the terms of a support
20-50    order for a child.
20-51                (7)  "Private child support enforcement agency" means
20-52    an individual or nongovernmental entity who engages in the
20-53    enforcement of child support ordered by a court or other tribunal
20-54    for a fee or other consideration.  The term does not include:
20-55                      (A)  an attorney enforcing a child support
20-56    obligation on behalf of, and in the name of, a client unless the
20-57    attorney has an employee who is not an attorney and who on behalf
20-58    of the attorney:
20-59                            (i)  regularly solicits for child support
20-60    enforcement; or
20-61                            (ii)  regularly contacts child support
20-62    obligees or obligors for the purpose of child support enforcement;
20-63                      (B)  a state agency designated to serve as the
20-64    state's Title IV-D agency in accordance with Part D, Title IV,
20-65    Social Security Act (42 U.S.C. Section 651 et seq.), as amended; or
20-66                      (C)  a contractor awarded a contract to engage in
20-67    child support enforcement on behalf of a governmental agency,
20-68    including a contractor awarded a contract:
20-69                            (i)  under Chapter 236, Family Code; or
 21-1                            (ii)  by a political subdivision of this or
 21-2    another state that is authorized by law to enforce a child support
 21-3    obligation.
 21-4                (8)  "Registered agency" means a private child support
 21-5    enforcement agency, including a foreign agency, that is registered
 21-6    under this chapter.
 21-7             (Sections 396.002-396.050 reserved for expansion
 21-8              SUBCHAPTER B.  POWERS AND DUTIES OF DEPARTMENT
 21-9          Sec. 396.051.  ADMINISTRATIVE AND RULEMAKING AUTHORITY.  (a)
21-10    The department shall administer this chapter.
21-11          (b)  The Finance Commission of Texas shall adopt rules as
21-12    necessary for the administration of this chapter.
21-13          Sec. 396.052.  FILING FEE.  (a)  The department shall charge
21-14    each applicant for a certificate of registration, or renewal of a
21-15    certificate, a nonrefundable fee of $500 for each certificate.
21-16          (b)  The application fee is due on the date the applicant
21-17    submits an application for registration.  The renewal fee is due on
21-18    the date a certificate holder submits an application to renew a
21-19    registration.
21-20          Sec. 396.053.  COST OF REGULATION.  The department may charge
21-21    each registered private child support enforcement agency an annual
21-22    fee not to exceed $500 to cover the cost of enforcing this chapter.
21-23             (Sections 396.054-396.100 reserved for expansion
21-24                        SUBCHAPTER C. REGISTRATION
21-25          Sec. 396.101.  REGISTRATION REQUIRED.  Except as otherwise
21-26    provided by this chapter, a private child support enforcement
21-27    agency must register with the department to engage in child support
21-28    enforcement in this state.
21-29          Sec. 396.102.  RECOGNITION OF AUTHORIZATION ISSUED BY ANOTHER
21-30    STATE.  (a)  The department may waive any prerequisite to obtaining
21-31    a registration for a foreign agency:
21-32                (1)  after reviewing the applicant's credentials and
21-33    determining that the applicant holds a valid registration or other
21-34    authorization from another state whose requirements are
21-35    substantially equivalent to those imposed under this chapter; or
21-36                (2)  after determining the applicant has a valid
21-37    registration or other authorization from another state with which
21-38    this state has a reciprocity agreement.
21-39          (b)  The department may enter into an agreement with another
21-40    state to permit registration by reciprocity.
21-41          Sec. 396.103.  APPLICATION REQUIREMENTS.  (a)  An applicant
21-42    for registration as a private child support enforcement agency must
21-43    file with the department an application on a form and in the manner
21-44    prescribed by the department.
21-45          (b)  The application must state:
21-46                (1)  the name of the applicant;
21-47                (2)  the name under which the applicant is doing or
21-48    intends to do business in this state, if different from the
21-49    applicant's name;
21-50                (3)  the address of the applicant's principal business
21-51    office, including the state, municipality, and numeric street
21-52    address; and
21-53                (4)  any Internet or other electronic mail address and
21-54    business telephone number of the applicant.
21-55          (c)  The chief executive officer of the applicant agency
21-56    shall state in a notarized statement that the application is
21-57    accurate and truthful in all respects.
21-58          Sec. 396.104.  FINANCIAL AND OTHER DISCLOSURES.  The
21-59    department shall require an applicant for registration or renewal
21-60    of registration as a private child support enforcement agency to
21-61    provide:
21-62                (1)  a certified financial statement demonstrating the
21-63    financial solvency of the agency for which registration or renewal
21-64    of registration is sought; and
21-65                (2)  any other information the department may
21-66    reasonably require the applicant to provide to establish that the
21-67    requirements and qualifications for registration or renewal of
21-68    registration have been fulfilled by the applicant.
21-69          Sec. 396.105.  SURETY BOND OR OTHER DEPOSIT REQUIRED.  (a)
 22-1    An application for registration must be accompanied by a surety
 22-2    bond approved by the department.
 22-3          (b)  The surety bond must be:
 22-4                (1)  issued by a surety authorized to do business in
 22-5    this state;
 22-6                (2)  in the amount of $50,000;
 22-7                (3)  in favor of the state for the benefit of a person
 22-8    damaged by a violation of this chapter; and
 22-9                (4)  conditioned on the private child support
22-10    enforcement agency's compliance with this chapter and the faithful
22-11    performance of the obligations under the agency's agreements with
22-12    its clients.
22-13          (c)  The surety bond must be filed with and held by the
22-14    department.
22-15          (d)  Instead of a surety bond, the department may accept a
22-16    deposit of money in an amount determined by the department not to
22-17    exceed $50,000.  The department shall deposit any amounts received
22-18    under this subsection in an insured depository account designated
22-19    for that purpose.
22-20          Sec. 396.106.  ISSUANCE OF CERTIFICATE OF REGISTRATION.  (a)
22-21    The department shall issue a certificate of registration and mail
22-22    the certificate to the applicant on receipt of:
22-23                (1)  a completed application;
22-24                (2)  evidence of financial solvency;
22-25                (3)  the surety bond or deposit of money required by
22-26    Section 396.105; and
22-27                (4)  the required registration fee.
22-28          (b)  If a single application is used to register more than
22-29    one registered location, the department shall:
22-30                (1)  issue a certificate of registration for each
22-31    registered location; and
22-32                (2)  mail all of the certificates to the principal
22-33    business location stated in the application.
22-34          Sec. 396.107.  DUTY TO UPDATE APPLICATION INFORMATION.  A
22-35    certificate holder shall notify the department of any material
22-36    change in the information provided in an application for
22-37    registration not later than the 60th day after the date on which
22-38    the information changes.
22-39          Sec. 396.108.  TERM OF REGISTRATION; RENEWAL.  (a)  A private
22-40    child support enforcement agency's certificate of registration
22-41    expires on the third anniversary of the date of issuance.
22-42          (b)  A certificate of registration may be renewed for another
22-43    three-year period as provided by department rule.
22-44             (Sections 396.109-396.150 reserved for expansion)
22-45          SUBCHAPTER D.  AUTHORITY OF FOREIGN AGENCY TO ENGAGE IN
22-46                          BUSINESS IN THIS STATE
22-47          Sec. 396.151.  APPLICATION TO OPERATE UNDER OTHER
22-48    AUTHORIZATION INSTEAD OF REGISTRATION.  (a)  To engage in business
22-49    in this state, a foreign agency that is exempt from registration as
22-50    prescribed by Section 396.102 may file an application with the
22-51    department to operate under that authorization by filing:
22-52                (1)  the information required for an application for
22-53    registration under Section 396.103;
22-54                (2)  a surety bond or deposit of money that meets the
22-55    requirements of Section 396.105 unless the agency provides proof to
22-56    the satisfaction of the department that the agency maintains in the
22-57    state in which that agency has its principal office an adequate
22-58    bond or similar instrument for purposes similar to the purposes
22-59    required for the filing of a surety bond under Section 396.105; and
22-60                (3)  a copy of the license or other authorization
22-61    issued by the state in which that agency is authorized to operate.
22-62          (b)  The department may charge a single administrative fee in
22-63    a reasonable amount that is sufficient to cover the costs of the
22-64    department in processing and acting on the application.
22-65          Sec. 396.152.  ACCEPTANCE OF OTHER AUTHORIZATION INSTEAD OF
22-66    REGISTRATION.  The department shall issue a certificate to operate
22-67    under another state's authorization in  this state to a foreign
22-68    agency that files an application with the department under Section
22-69    396.151 if:
 23-1                (1)  the agency submits all of the information required
 23-2    by Section 396.151(a)(1);
 23-3                (2)  the department determines that the agency has met
 23-4    the requirements of Section 396.151(a)(2);
 23-5                (3)  the agency remits any required administrative fee
 23-6    under Section 396.151(b); and
 23-7                (4)  the department verifies that the registration or
 23-8    other authorization issued by another state is active and in good
 23-9    standing.
23-10          Sec. 396.153.  NOTIFICATION OF UPDATED INFORMATION OR CHANGE
23-11    IN STATUS OF OTHER AUTHORIZATION.  Not later than the 30th day
23-12    after the date on which the change occurs, a foreign private child
23-13    support enforcement agency that is issued a certificate to operate
23-14    in this state under this subchapter shall notify the department of
23-15    any change in:
23-16                (1)  the information provided in an application
23-17    submitted under Section 396.152; or
23-18                (2)  the status of the agency's authorization in the
23-19    other state.
23-20          Sec. 396.154.  WITHDRAWAL OF APPROVAL TO OPERATE UNDER OTHER
23-21    AUTHORIZATION.  A holder of a certificate issued under this
23-22    subchapter may not engage in business in this state as a private
23-23    child support enforcement agency if another state has revoked or
23-24    withdrawn the person's authority to operate as a private child
23-25    support enforcement agency in that state unless the department
23-26    grants the agency a registration under this chapter.
23-27             (Sections 396.155-396.200 reserved for expansion)
23-28                SUBCHAPTER E.  REQUIRED BUSINESS PRACTICES
23-29          Sec. 396.201.  REGISTRATION PREREQUISITE TO SUIT.  A private
23-30    child support enforcement agency may not bring an action to enforce
23-31    a child support obligation in this state unless the agency is
23-32    registered or otherwise authorized to engage in business in this
23-33    state as provided by this chapter.
23-34          Sec. 396.202.  RECORDS.  (a)  A registered agency shall
23-35    maintain records of all child support collections made on behalf
23-36    of, and disbursed to, a client who is an obligee, including:
23-37                (1)  the name of any obligor who made child support
23-38    payments collected by the agency;
23-39                (2)  the amount of support collected by the agency for
23-40    each client, including:
23-41                      (A)  the date on which the amount was collected;
23-42    and
23-43                      (B)  the date on which each amount due the client
23-44    by the obligor was paid to the client;
23-45                (3)  a copy of the order establishing the child support
23-46    obligation under which a collection was made by the agency; and
23-47                (4)  any other pertinent information relating to the
23-48    child support obligation, including any case, cause, or docket
23-49    number of the court having jurisdiction over the matter.
23-50          (b)  The records required under this section must be updated
23-51    at least monthly and must be maintained by the registered agency
23-52    for a period of four years from the date of the last support
23-53    payment collected by the agency on behalf of an obligee.
23-54          Sec. 396.203.  CONTRACT FOR SERVICES.  (a)  A registered
23-55    agency and foreign agency authorized to engage in business under
23-56    this chapter shall execute a written contract for the enforcement
23-57    of child support for each client of the agency that is residing in
23-58    this state.
23-59          (b)  The contract required under this section must:
23-60                (1)  be in writing, dated, and signed by both parties
23-61    to the contract; and
23-62                (2)  specify its terms in clear language.
23-63             (Sections 396.204-396.250 reserved for expansion
23-64                    SUBCHAPTER F.  PROHIBITED PRACTICES
23-65          Sec. 396.251.  THREATS OR COERCION.  (a)  In enforcing a
23-66    child support obligation, a registered agency may not use threats,
23-67    coercion, or attempts to coerce that employ any of the following
23-68    practices:
23-69                (1)  using or threatening to use violence or other
 24-1    criminal means to cause harm to an obligor or property of the
 24-2    obligor;
 24-3                (2)  accusing falsely or threatening to accuse falsely
 24-4    an obligor of a violation of state or federal child support laws;
 24-5                (3)  taking or threatening to take an enforcement
 24-6    action against an obligor that is not authorized by law; or
 24-7                (4)  intentionally representing to a person that the
 24-8    agency is a governmental agency authorized to enforce a child
 24-9    support obligation.
24-10          (b)  Subsection (a) does not prevent a registered agency
24-11    from:
24-12                (1)  informing an obligor that the obligor may be
24-13    subject to penalties prescribed by law for failure to pay a child
24-14    support obligation; or
24-15                (2)  taking, or threatening to take, an action
24-16    authorized by law for the enforcement of a child support obligation
24-17    by the agency.
24-18          Sec. 396.252.  FRAUDULENT, DECEPTIVE, OR MISLEADING
24-19    REPRESENTATIONS.  In enforcing a child support obligation, a
24-20    registered agency or employee of the agency may not:
24-21                (1)  identify the registered agency by any name other
24-22    than one by which the agency is registered with the department;
24-23                (2)  falsely represent the nature of the child support
24-24    enforcement activities in which the agency is authorized by law to
24-25    engage; or
24-26                (3)  falsely represent that an oral or written
24-27    communication is the communication of an attorney.
24-28             (Sections 396.253-396.300 reserved for expansion
24-29                 SUBCHAPTER G.  ADMINISTRATIVE ENFORCEMENT
24-30          Sec. 396.301.  REVOCATION OF REGISTRATION.  (a)  After notice
24-31    and hearing, the department may revoke the registration of a
24-32    registered agency that:
24-33                (1)  fails to comply with this chapter or a rule
24-34    adopted under this chapter;
24-35                (2)  does not pay a fee or other charge imposed by the
24-36    department under this chapter; and
24-37                (3)  fails to maintain and produce at the request of
24-38    the department records attesting to the financial solvency of the
24-39    registered agency or other business records concerning client
24-40    accounts.
24-41          (b)  The department may permit a registered agency to take an
24-42    appropriate action to correct a failure to comply with this chapter
24-43    and not revoke the registration of the agency.
24-44          Sec. 396.302.  ADMINISTRATIVE HEARING ON DENIAL, SUSPENSION,
24-45    OR REVOCATION OF REGISTRATION.  (a)  The department may not deny or
24-46    suspend the registration of a private child support enforcement
24-47    agency under this chapter without first conducting an
24-48    administrative hearing.
24-49          (b)  A hearing under this section or Section 396.301 is
24-50    subject to Chapter 2001, Government Code.
24-51          Sec. 396.303.  BONA FIDE ERROR.  A registered agency does not
24-52    violate this chapter if the action complained of resulted from a
24-53    bona fide error that occurred notwithstanding the use of reasonable
24-54    procedures to avoid the error.
24-55          Sec. 396.304.  ADMINISTRATIVE INVESTIGATION OF COMPLAINT.
24-56    (a) A person may file with the department a written complaint
24-57    against a registered agency for a violation of this chapter.
24-58          (b)  Not later than the 30th day after the date on which the
24-59    department receives a complaint under this section, the department
24-60    shall initiate an investigation into the merits of the complaint.
24-61          (c)  The department may appoint a hearings officer to conduct
24-62    the investigation.
24-63          (d)  A hearings officer appointed by the department to
24-64    investigate a complaint may arrange for the services of a qualified
24-65    mediator and attempt to:
24-66                (1)  resolve the complaint and any differences between
24-67    the parties; and
24-68                (2)  reach a settlement without the requirement of
24-69    further investigation.
 25-1          (e)  The department may delegate to a hearings officer
 25-2    appointed to investigate a complaint under this section the
 25-3    authority to dismiss the complaint, after an initial investigation
 25-4    and after notice to each affected party and an opportunity for
 25-5    hearing, for lack of sufficient evidentiary basis.
 25-6          (f)  An individual aggrieved by a decision of the department
 25-7    or hearings officer under this section may appeal the decision to a
 25-8    district court in Travis County.
 25-9          (g)  The department shall provide for an annual public
25-10    inspection of an investigation report of a complaint filed under
25-11    this section.
25-12             (Sections 396.305-396.350 reserved for expansion
25-13                       SUBCHAPTER H.  CIVIL REMEDIES
25-14          Sec. 396.351.  CIVIL ACTION.  (a)  In addition to any other
25-15    remedy provided by this chapter, a person may bring an action for:
25-16                (1)  injunctive relief to enjoin or restrain a
25-17    violation of this chapter; and
25-18                (2)  actual damages incurred as a result of a violation
25-19    of this chapter.
25-20          (b)  A person who prevails in an action brought under this
25-21    section is entitled to recover court costs and reasonable
25-22    attorney's fees.
25-23          (c)  On a finding by a court that an action under this
25-24    section was brought in bad faith or for purposes of harassment, the
25-25    court shall award the defendant attorney's fees reasonably related
25-26    to the work performed and costs.
25-27          Sec. 396.352.  SERVICE OF PROCESS OUTSIDE STATE.  (a)  A
25-28    registered agency that is located in another state or a private
25-29    child support enforcement agency that engages in the business of
25-30    child support enforcement in this state in violation of this
25-31    chapter is considered to have submitted to the jurisdiction of the
25-32    courts of this state with respect to an action brought under this
25-33    chapter.
25-34          (b)  A foreign agency engaging in business in this state in
25-35    violation of this chapter is considered to have appointed the
25-36    department as the agency's agent for service of process in any
25-37    action, suit, or proceeding arising from a violation of this
25-38    chapter.
25-39          Sec. 396.353.  REMEDIES UNDER OTHER LAW.  (a)  A violation of
25-40    this chapter is a deceptive trade practice under Subchapter E,
25-41    Chapter 17, Business & Commerce Code, and is actionable under that
25-42    subchapter.
25-43          (b)  This chapter does not affect or alter a remedy at law or
25-44    in equity otherwise available to an obligor, obligee, governmental
25-45    entity, or other legal entity.
25-46          SECTION 74. Section 411.127, Government Code, is amended to
25-47    read as follows:
25-48          Sec. 411.127.  ACCESS TO CRIMINAL HISTORY RECORD INFORMATION:
25-49    APPLICANTS FOR EMPLOYMENT AND CONTRACTORS. (a)  The Title IV-D
25-50    agency is entitled to obtain from the Department of Public Safety,
25-51    the Federal Bureau of Investigation identification division, or
25-52    another law enforcement agency criminal history record information
25-53    maintained by the department or agency that relates to a person who
25-54    is an applicant for a position of employment with the Title IV-D
25-55    agency, or an applicant to serve as a consultant, intern, or
25-56    volunteer, that involves the performance of duties under Chapter
25-57    231, Family Code.  The Title IV-D agency may not request the
25-58    information unless a supervisory employee of the agency has
25-59    recommended that the applicant be hired or serve as an intern or
25-60    volunteer.
25-61          (b)  The Title IV-D agency is entitled to obtain from the
25-62    Department of Public Safety, Federal Bureau of Investigation
25-63    identification division, or another law enforcement agency criminal
25-64    history record information maintained by the department or agency
25-65    that relates to a person who proposes to enter into a contract with
25-66    or that has a contract with the Title IV-D agency to supply goods
25-67    or services to the Title IV-D agency.  The authorization under this
25-68    subsection to obtain criminal history record information about a
25-69    person includes information relating to an employee or
 26-1    subcontractor of the person or an employee of the person's
 26-2    subcontractor.
 26-3          (c)  Criminal history record information obtained by the
 26-4    Title IV-D agency under Subsection (a) or (b) may not be released
 26-5    or disclosed to any person except on court order or with the
 26-6    consent of the person who is the subject of the criminal history
 26-7    record information.
 26-8          (d) [(c)]  The Title IV-D agency shall destroy criminal
 26-9    history record information that relates to a person after the
26-10    information is used for its authorized purpose.
26-11          (e) [(d)]  In this section, "Title IV-D agency" has the
26-12    meaning assigned by Section 101.033, Family Code.
26-13          SECTION 75.  Section 3, Article 21.22, Insurance Code, is
26-14    amended to read as follows:
26-15          Sec. 3. The exemptions provided by Section 1 of this article
26-16    do not apply to:
26-17                (1)  premium payments made in fraud of creditors
26-18    subject to the applicable statute of limitations for the recovery
26-19    of the premium payments; [or]
26-20                (2)  a debt of the insured or beneficiary secured by a
26-21    pledge of the policy or its proceeds; or
26-22                (3)  a child support lien or levy under Chapter 157,
26-23    Family Code.
26-24          SECTION 76. Sections 158.508 and 231.010, Family Code, are
26-25    repealed.
26-26          SECTION 77. (a)  This Act takes effect September 1, 2001.
26-27          (b)  A change in law made by this Act relating to a court
26-28    order establishing the obligation to pay child support applies only
26-29    to a suit affecting the parent-child relationship that is commenced
26-30    on or after the effective date of this Act.  A suit affecting the
26-31    parent-child relationship commenced before the effective date of
26-32    this Act is governed by the law in effect on the date the suit was
26-33    filed, and the former law is continued in effect for that purpose.
26-34          (c)  A change in law made by this Act relating to the
26-35    modification or enforcement of a child support order rendered
26-36    before the effective date of this Act applies only to a proceeding
26-37    for modification or enforcement that is commenced on or after the
26-38    effective date of this Act.  A modification or enforcement
26-39    proceeding commenced before the effective date of this Act is
26-40    governed by the law in effect on the date the proceeding was
26-41    commenced, and the former law is continued in effect for that
26-42    purpose.
26-43          (d)  The requirement of Chapter 396, Finance Code, as added
26-44    by this Act, that a private child support enforcement agency be
26-45    registered applies only on or after January 1, 2002.
26-46                                 * * * * *