Bill
Government Debt Collection Amendments
- Number
- S.B. 234 First Substitute (2020GS)
- Sponsor
- Sen. Okerlund, R.
- Final action
- Governor Signed 3/28/2020
- Outcome
- Became law — signed by Gov. Gary R. Herbert
Summary
This bill addresses the collection of government entities' delinquent accounts receivable by the Division of Finance.
What it does
- This bill:
- expands accounts receivable subject to collection efforts of the Division of Finance to include an amount due as a result of a tax;
- authorizes a political subdivision to enter into an agreement with a local agency for submitting accounts receivable for collection by the Division of Finance;
- provides requirements for a political subdivision that enters into an agreement with a local agency for the collection of accounts receivable; and
- makes technical changes.
Every vote on this bill
3/6/2020Senate Comm - Substitute Recommendation from # 0 to # 1
Senate Government Operations and Political Subdivisions Committee
4 0 3not eligible / no record3/6/2020Senate Comm - Amendment Recommendation # 1
Senate Government Operations and Political Subdivisions Committee
4 0 3not eligible / no record3/6/2020Senate Comm - Favorable Recommendation
Senate Government Operations and Political Subdivisions Committee
5 0 2not eligible / no record3/9/2020Senate/ passed 2nd & 3rd readings/ suspension
Clerk of the House
28 0 1not eligible / no record3/12/2020House/ passed 3rd reading
House Speaker
65 0 10YEABill text
enrolled version · official source
GOVERNMENT DEBT COLLECTION AMENDMENTS GENERAL SESSION STATE OF UTAH Chief Sponsor: Ralph Okerlund House Sponsor: Rex P. Shipp LONG TITLE General Description: This bill addresses the collection of government entities' delinquent accounts receivable by the Division of Finance. Highlighted Provisions: This bill: ▸ expands accounts receivable subject to collection efforts of the Division of Finance to include an amount due as a result of a tax; ▸ authorizes a political subdivision to enter into an agreement with a local agency for submitting accounts receivable for collection by the Division of Finance; ▸ provides requirements for a political subdivision that enters into an agreement with a local agency for the collection of accounts receivable; and ▸ makes technical changes. Money Appropriated in this Bill: None Other Special Clauses: None Utah Code Sections Affected: AMENDS: 63A-3-301 , as last amended by Laws of Utah 2019, Chapter 84 63A-3-302 , as last amended by Laws of Utah 2019, Chapter 84 63A-3-307 , as last amended by Laws of Utah 2019, Chapter 84 63A-3-310 , as last amended by Laws of Utah 2019, Chapter 84 Be it enacted by the Legislature of the state of Utah: Section 1. Section 63A-3-301 is amended to read: 63A-3-301. Definitions. As used in this part: (1) "Account receivable" or "receivable" means any amount due the state or any other governmental entity within the state as a result of a judgment, citation, tax, or administrative order, or for which materials or services have been provided but for which payment has not been received by the servicing unit. (2) "Debtor" means a party that owes, or is alleged to owe, an account receivable. (3) "Division" means the Division of Finance, created in Section 63A-3-101 . (4) "Local agency" means a nonprofit entity organized by participating political subdivisions to act on behalf of the participating political subdivisions with respect to the office's efforts to collect accounts receivable of participating political subdivisions through administrative offsets. [ (3) ] (5) "Mail" means United States Postal Service first class mail to the intended recipient's last known address. (6) "Participating political subdivision" means a political subdivision that has entered into an agreement with a local agency authorizing the local agency to act on behalf of the political subdivision with respect to the office's efforts to collect accounts receivable of the political subdivision through administrative offsets. (7) "Political subdivision" means the same as that term is defined in Section 63G-7-102 . Section 2. Section 63A-3-302 is amended to read: 63A-3-302. Unpaid accounts receivable -- Political subdivision agreement with local agency. (1) If any account receivable at any point has been unpaid for 90 days or more, any agency or other authority of the state, or any political subdivision[ , as defined in Section 63G-7-102 , of the state ] responsible for collection of the account may proceed under this part to collect the delinquent amount. (2) (a) A political subdivision may enter into an agreement with a local agency under which the local agency, for a reasonable fee that the political subdivision and local agency agree upon, prepares and submits the political subdivision's accounts receivable for collection as provided in this part. (b) Notwithstanding an agreement under Subsection (2)(a), a participating political subdivision shall: (i) establish an agreement with the division for submitting delinquent accounts receivable under this part; and (ii) with respect to the accounts receivable that the participating political subdivision submits through a local agency for collection under this part: (A) receive and respond to an administrative hearing requested under Section 63A-3-305 ; and (B) administer an adjudicative proceeding required under Section 63A-3-306 . Section 3. Section 63A-3-307 is amended to read: 63A-3-307. Liens. (1) The following shall constitute a lien in the amount of the receivable plus interest, penalties, and collection costs allowed by law against any state income tax overpayment or refund due or to become due the debtor: (a) a judgment, citation, tax, or administrative order issued by any agency, court, or other authority of the state, or by any political subdivision[ , as defined in Section 63G-7-102 ]; or (b) an amount, that has at any point been unpaid for 90 days or more, due the state or other governmental entity for which materials or services have been provided but for which payment has not been received by the servicing unit. (2) The lien created by this section shall, for the purposes of Section 59-10-529 only, be considered a judgment. Section 4. Section 63A-3-310 is amended to read: 63A-3-310. Rules for implementing part. The [ Division of Finance ] division may adopt rules for the implementation of this part, including rules for the conduct of hearings, injured spouse claims, and appointment of hearing examiners.