Bill Text: HI HB1025 | 2018 | Regular Session | Amended
Bill Title: Relating To Income Withholding For Child Support.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Engrossed - Dead) 2018-01-17 - Re-Referred to LBR, WAM. [HB1025 Detail]
Download: Hawaii-2018-HB1025-Amended.html
HOUSE OF REPRESENTATIVES |
H.B. NO. |
1025 |
TWENTY-NINTH LEGISLATURE, 2017 |
H.D. 2 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO INCOME WITHHOLDING FOR CHILD SUPPORT.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 571-52, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:
"(a) Whenever any person has been ordered to pay an allowance for the support of a child or for the support and maintenance of a spouse or former spouse, and fails or refuses to obey or perform the order and has been adjudged guilty of contempt of court for such failure or refusal, the court may make an order that shall operate as an assignment by the person for the benefit of the child or spouse, of such amounts at such times as may be specified in the order, from any income due or to become due in the future to such person from the person's employer or successor employers, until further order of the court.
The assignment of the amounts shall be to the clerk of the court where the order is entered if for the support or maintenance of a spouse or former spouse, or to the child support enforcement agency if for the support of a child or if child support and spouse support are contained in the same order. The order of assignment to the child support enforcement agency shall be in the standard format prescribed by Title IV-D of the Social Security Act, as amended by the child support enforcement agency. The order of assignment shall be effective immediately after service upon an employer of a true copy of the order, which service may be effected by regular mail, by personal delivery, or by transmission through electronic means.
Thereafter, the employer shall for each pay period withhold from any income due to the person from the employer, and not required to be withheld by any other provision of federal or state law, and transmit to the clerk of the court or child support enforcement agency as set forth in the order, as much as may remain payable to the person for such pay period up to the amount specified in the order of assignment as being payable during the same period. The person ordered to pay shall inform the court immediately of any change that would affect the order of assignment or the disbursement thereof. Any employer violating this subsection shall be subject to a fine not to exceed $1,000 as determined by the court.
Compliance by an employer with the order of assignment shall operate as a discharge of the employer's liability to the employee for that portion of the employee's income withheld and transmitted to the clerk of court or child support enforcement agency, as the case may be, whether or not the employer has withheld the correct amount."
SECTION 2. Section 571-52.2, Hawaii Revised Statutes, is amended by amending subsection (g) to read as follows:
"(g) It shall be unlawful for any
employer to fail to comply with the requirements of this section. In addition,
an employer who fails to comply with an order of assignment of future income,
as provided for under this section, shall be liable to the obligee or the
obligee's assignee for whom support was required to be paid, for the full
amount of all sums ordered to be withheld and transmitted and not otherwise
done so[.] and shall be subject to a fine not to exceed $1,000 as
determined by the court."
SECTION 3. Section 576E-16, Hawaii Revised Statutes, is amended by amending subsection (c) to read as follows:
"(c) Compliance by an employer with the income withholding order issued pursuant to subsection (a) or with the income withholding order or the notice to withhold child support issued pursuant to section 576D-14 shall operate as a discharge of the employer's liability to the responsible parent for that portion of the responsible parent's earnings withheld and transmitted to the agency, whether or not the employer has withheld the correct amount. For each payment made pursuant to an income withholding order or a notice to withhold child support, the employer may deduct and retain as an administrative fee an additional amount of $2 from the income owed to the responsible parent. The total amount withheld from the obligor's income, including the administrative fee, may not be in excess of the maximum amounts permitted under section 303(b) of the Consumer Credit Protection Act (15 U.S.C. §1673(b)). Any income withholding order or notice to withhold child support shall have priority as against any garnishment, attachment, execution, or other income withholding order, or any other order, and shall not be subject to the exemptions or restrictions contained in part III of chapter 651 and in chapters 652 and 653. An employer who fails to comply with an income withholding order under this section or with an income withholding order or notice to withhold child support issued pursuant to section 576D-14 shall be liable to the obligee or the agency for the full amount of all sums ordered to be withheld and transmitted. In addition, any employer violating this subsection shall be subject to a fine not to exceed $1,000 as determined by the court. An employer receiving an income withholding order or a notice to withhold child support shall transmit amounts withheld to the agency within five working days after the responsible parent is paid. The employer shall begin withholding no later than the first pay period commencing within seven business days following the date a copy of the order or the notice to withhold child support is mailed to the employer.
As used in this subsection, the term "business day" means a day on which the employer's office is open for regular business. The employer shall withhold funds as directed in the order or the notice to withhold child support, except that when an employer receives an income withholding order issued by another state, the employer shall apply the income withholding law of the state of the obligor's principal place of employment in determining:
(1) The employer's fee for processing an income withholding order;
(2) The maximum amount permitted to be withheld from the obligor's income under section 303(b) of the Consumer Credit Protection Act (15 U.S.C. §1673(b));
(3) The time periods within which the employer must implement the income withholding order and forward the child support payment;
(4) The priorities for withholding and allocating income withheld for multiple child support obligees; and
(5) Any withholding terms or conditions not specified in the order.
An employer who complies with an income withholding order or a notice to withhold child support that is regular on its face shall not be subject to civil liability to any person or agency for conduct in compliance with the order.
An employer who is required to withhold amounts from the income of more than one employee may remit to the agency a sum total of all such amounts in one check with a listing of the amounts applicable to each employee.
Within two working days after receipt of the amounts withheld by the employer, the agency shall disburse the amounts to the obligee for the benefit of the child, except that the agency may delay the distribution of collections toward arrearages until resolution of any timely requested hearing with respect to such arrearages."
SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 5. This Act shall take effect on July 1, 2075.
Report Title:
Income Withholding for Child Support
Description:
Imposes a fine against any employer who fails to comply with income withholding requirements applicable to child and spousal support, or discharges, refuses to employ, or takes disciplinary action against a person because the person is subject to income withholding requirements. (HB1025 HD2)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.