Legislature(2003 - 2004)

03/12/2004 08:00 AM Senate JUD

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
        HB 513-CSED NAME CHANGE/DRIVER'S LIC.SUSPENSION                                                                     
                                                                                                                                
MR.  JOHN NAIN,  legislative staff  to Representative  Pete Kott,                                                               
sponsor, gave  the following explanation  of the measure.  HB 513                                                               
changes  the  name  of the  Child  Support  Enforcement  Division                                                               
(CSED) to  Child Support  Services Division  to reflect  the fact                                                               
that  the  division does  many  more  things than  enforce  child                                                               
support. It  establishes paternity  and provides  other services.                                                               
Additionally,  HB  513 will  close  a  loophole in  the  driver's                                                               
license revocation program.                                                                                                     
                                                                                                                                
SENATOR THERRIAULT  asked for  an explanation  of the  changes to                                                               
Rule 90.3.                                                                                                                      
                                                                                                                                
MR. NAIN  said the  name change  and driver's  license revocation                                                               
provision are  encompassed in that  rule, therefore  a two-thirds                                                               
vote of  the legislature is required  to make any changes  to the                                                               
rule.                                                                                                                           
                                                                                                                                
CHAIR  SEEKINS  commented that  he  received  several calls  from                                                               
attorneys  about  HB  513  and   asked  the  callers  to  contact                                                               
Representative  Kott's office.  Those  attorneys  had cases  that                                                               
involved  paternity matters  in which  the fathers  did not  know                                                               
they had  children, one  for 17 years.  Those fathers  were being                                                               
charged hundreds of  thousands of dollars of  back child support.                                                               
The  attorneys suggested  including a  statute of  limitations in                                                               
the bill for fathers who were not informed they had children.                                                                   
                                                                                                                                
MR.  NAIN informed  members that  Representative Kott  is in  the                                                               
process  of looking  at  that  issue but  he  is  not willing  to                                                               
address it  at this  time, as  the effects  on the  custodial and                                                               
non-custodial  parent and  to the  State of  Alaska need  further                                                               
research. He said  he has had to make phone  calls to individuals                                                               
to inform  them they had  children. In one  case, a couple  had a                                                               
short relationship and  the parents took the mother  and moved to                                                               
California.  Eventually the  family came  to Alaska  and at  some                                                               
point,  the mother  collected public  assistance. The  father was                                                               
informed that he had a child  six years [after it was born]. This                                                               
individual was willing to support the  child but was told that he                                                               
suddenly had a $30,000 debt.                                                                                                    
                                                                                                                                
CHAIR SEEKINS  noted in the  case he  was informed of,  the state                                                               
was  proceeding against  the father  for back  payment of  public                                                               
assistance that  was provided  for the child  yet the  father did                                                               
not  know  of the  child's  existence.  He  asked if  that  could                                                               
happen.                                                                                                                         
                                                                                                                                
MR. NAIN  said it could although  it is rare that  a father would                                                               
be unaware of his child. He  said the child support system is not                                                               
100 percent perfect.  It has to deal with state  laws and federal                                                               
regulations  and  mandates  that  require  acts  of  Congress  to                                                               
change. He said the agency tries to do the best job it can.                                                                     
                                                                                                                                
CHAIR  SEEKINS  said  he  has  no  problem  exercising  penalties                                                               
against parents who deliberately  ignore child support agreements                                                               
or  responsibilities  but wonders  whether  a  larger problem  is                                                               
festering.                                                                                                                      
                                                                                                                                
SENATOR THERRIAULT  asked if  a statute  of limitations  would be                                                               
allowable under the federal law.                                                                                                
                                                                                                                                
MR.  NAIN  told  members  that  other  states  have  statutes  of                                                               
limitation  on  how   far  they  can  go  back   with  regard  to                                                               
establishing paternity.                                                                                                         
                                                                                                                                
SENATOR THERRIAULT asked  if the opportunity for  abuse is fairly                                                               
slim.                                                                                                                           
                                                                                                                                
MR. NAIN  said someone will figure  out how to abuse  the system,                                                               
however he believes that will be the rare situation.                                                                            
                                                                                                                                
TAPE 04-19, SIDE B                                                                                                            
                                                                                                                                
SENATOR  FRENCH  asked  for  a quick  rundown  of  the  technical                                                               
aspects of the license revocation and reinstatement provisions.                                                                 
                                                                                                                                
MR. JOHN MALLONEE,  acting director of CSED,  explained that CSED                                                               
now  gives an  individual a  60-day notice  before that  person's                                                               
name is  added to the  list of those  who are not  in substantial                                                               
compliance. That  is 150 days  prior to  the date the  license is                                                               
actually revoked.  HB 513 will  close a loophole that  allows the                                                               
                            th                                                                                                  
person to wait until the 147   day to execute a payment agreement                                                               
and make one  payment, in which case the license  is released and                                                               
the process starts over. HB 513  will allow CSED to pick up where                                                               
                                  th                                                                                            
it left off so  that after the 150  day,  the individual would be                                                               
noticed  that   CSED  is  going   to  revoke  the   release.  The                                                               
individual's only opportunity to clear  up the matter would be to                                                               
go to court.                                                                                                                    
                                                                                                                                
SENATOR FRENCH asked if the bill  contains a time period in which                                                               
the  person  could make  payments  that  would allow  the  60-day                                                               
notice  clock  to  restart  or  whether HB  513  will  create  an                                                               
absolute bar to restarting the clock  so that going to court will                                                               
be the only option available to the individual.                                                                                 
                                                                                                                                
MR. MALLONEE said HB 513 creates a bar with no timeframe.                                                                       
                                                                                                                                
CHAIR  SEEKINS  asked Mr.  Mallonee  to  comment on  the  earlier                                                               
discussion about  charging a  father who  did not  know he  had a                                                               
child for retroactive child support.                                                                                            
                                                                                                                                
MR. MALLONEE affirmed he is aware  of cases in which a father did                                                               
not realize  he had a  child. In the case  of the father  who was                                                               
notified after  17 years,  he assumes  the court  established the                                                               
order. The  court, when establishing  child support, can  go back                                                               
to  the birth  of the  child. If  CSED is  establishing an  order                                                               
administratively, the  order starts from  the time  the custodial                                                               
parent  applies for  service. However,  if  public assistance  is                                                               
involved, CSED can retroactively collect for up to six years.                                                                   
                                                                                                                                
CHAIR  SEEKINS  asked   if  there  is  a  de   facto  statute  of                                                               
limitations to six years on a public assistance case.                                                                           
                                                                                                                                
MR. MALLONEE affirmed that is correct.                                                                                          
                                                                                                                                
MS.  LANDA BAILEY,  legislative liaison  to Commissioner  William                                                               
Corbus, Department  of Revenue  (DOR), told  members that  DOR is                                                               
very  thankful to  be working  with Representative  Kott on  this                                                               
legislation.  She   deferred  to   Mr.  Mallonee   for  technical                                                               
questions and Diane Wendlandt for legal questions.                                                                              
                                                                                                                                
CHAIR SEEKINS told  members that he told Ms. Wilson  and Mr. Fink                                                               
to provide  written testimony to  the committee so he  would hold                                                               
the bill in committee to await that testimony.                                                                                  
                                                                                                                                
SENATOR  FRENCH  said he  would  speak  to  Mr. Mallonee  in  the                                                               
meantime about finding  a way to restart the 60-day  clock if one                                                               
has made good-faith payments for an extended period of time.                                                                    
                                                                                                                                
CHAIR SEEKINS  announced that HB  513 would be held  in committee                                                               
and that the committee would take a 5-minute recess.                                                                            
                                                                                                                                

Document Name Date/Time Subjects