|  | 
      
        |  | 
      
        |  | 
      
        |  | AN ACT | 
      
        |  | relating to recovery of covered unemployment compensation debt | 
      
        |  | through participation in the federal Treasury Offset Program. | 
      
        |  | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
      
        |  | SECTION 1.  Chapter 214, Labor Code, is amended by adding | 
      
        |  | Section 214.009 to read as follows: | 
      
        |  | Sec. 214.009.  RECOVERY OF COVERED UNEMPLOYMENT | 
      
        |  | COMPENSATION DEBT THROUGH FEDERAL TREASURY OFFSET PROGRAM.  (a)  In | 
      
        |  | this section, "program" means the federal Treasury Offset Program | 
      
        |  | authorized by 26 U.S.C. Section 6402(f). | 
      
        |  | (b)  The commission may collect the following covered | 
      
        |  | unemployment compensation debt through the program: | 
      
        |  | (1)  a past-due debt for erroneous payment of benefits | 
      
        |  | due to fraud that has become final under law and remains | 
      
        |  | uncollected; | 
      
        |  | (2)  a past-due debt for erroneous payment of benefits | 
      
        |  | due to a person's failure to report earnings, even if | 
      
        |  | non-fraudulent, that has become final under law and remains | 
      
        |  | uncollected; | 
      
        |  | (3)  a past-due employer contribution owed to the | 
      
        |  | compensation fund for which the commission has determined the | 
      
        |  | person to be liable and that remains uncollected; and | 
      
        |  | (4)  any penalties and interest assessed by the | 
      
        |  | commission on a debt described by Subdivision (1), (2), or (3). | 
      
        |  | (c)  Before submitting covered unemployment compensation | 
      
        |  | debt for recovery under the program, the commission must: | 
      
        |  | (1)  notify the debtor by regular United States mail | 
      
        |  | that the commission plans to recover the debt through the offset of | 
      
        |  | any federal tax refund; | 
      
        |  | (2)  provide the debtor at least 60 days following the | 
      
        |  | date the notice is provided under Subdivision (1) to present to the | 
      
        |  | commission evidence that all or part of the debt is not: | 
      
        |  | (A)  legally enforceable; | 
      
        |  | (B)  due to fraud or unreported earnings; or | 
      
        |  | (C)  a contribution owed to the compensation fund; | 
      
        |  | and | 
      
        |  | (3)  consider any evidence presented by the debtor to | 
      
        |  | determine the amount of debt that is legally enforceable and owed. | 
      
        |  | (d)  In considering evidence presented by a debtor under | 
      
        |  | Subsection (c), the commission may determine only whether the | 
      
        |  | debtor has demonstrated that the debt is not subject to recovery | 
      
        |  | through the program so that the commission is able to minimize | 
      
        |  | erroneous offsets.  The commission may not review the initial | 
      
        |  | determination establishing the debtor's liability. | 
      
        |  | (e)  The commission shall assess against the debtor the cost | 
      
        |  | of any administrative fee charged by the United States Department | 
      
        |  | of the Treasury for each offset.  The commission may add the | 
      
        |  | assessed amount to the covered unemployment compensation debt that | 
      
        |  | is offset under the program. | 
      
        |  | SECTION 2.  This Act takes effect September 1, 2015. | 
      
        |  | 
      
        |  | 
      
        |  | ______________________________ | ______________________________ | 
      
        |  | President of the Senate | Speaker of the House | 
      
        |  | 
      
        |  | 
      
        |  | I certify that H.B. No. 2732 was passed by the House on May 4, | 
      
        |  | 2015, by the following vote:  Yeas 128, Nays 11, 2 present, not | 
      
        |  | voting. | 
      
        |  |  | 
      
        |  | ______________________________ | 
      
        |  | Chief Clerk of the House | 
      
        |  | 
      
        |  | 
      
        |  | I certify that H.B. No. 2732 was passed by the Senate on May | 
      
        |  | 20, 2015, by the following vote:  Yeas 26, Nays 4. | 
      
        |  |  | 
      
        |  | ______________________________ | 
      
        |  | Secretary of the Senate | 
      
        |  | APPROVED:  _____________________ | 
      
        |  | Date | 
      
        |  |  | 
      
        |  | _____________________ | 
      
        |  | Governor |