Senate File 2328 S-5044 Amend Senate File 2328 as follows: 1 1. By striking everything after the enacting clause and 2 inserting: 3 < Section 1. Section 8A.323, subsection 5, Code 2020, is 4 amended to read as follows: 5 5. Any fine that remains unpaid upon becoming delinquent 6 may be collected by the department of revenue pursuant to the 7 setoff procedures provided for in section 8A.504 421.65 . For 8 purposes of this subsection , a fine becomes delinquent if 9 it has not been paid within thirty days of the date of the 10 issuance of the parking citation, unless a written request for 11 a hearing is filed as provided pursuant to the rules of the 12 department of revenue . If an appeal is filed and the citation 13 is upheld, the fine becomes delinquent ten days after the 14 issuance of the final decision on the appeal or thirty-one 15 days after the date of the issuance of the parking citation, 16 whichever is later. 17 Sec. 2. Section 8A.502, subsection 2, Code 2020, is amended 18 by striking the subsection. 19 Sec. 3. Section 96.11, subsection 16, Code 2020, is amended 20 to read as follows: 21 16. Reimbursement of setoff costs. The department shall 22 include in the amount set off in accordance with section 8A.504 23 421.65 , for the collection of an overpayment created pursuant 24 to section 96.3, subsection 7 , or section 96.16, subsection 25 4 , an additional amount for the reimbursement of setoff costs 26 incurred by the department of administrative services revenue . 27 Sec. 4. Section 99D.2, subsection 3, Code 2020, is amended 28 to read as follows: 29 3. “Claimant agency” means a public agency as defined 30 in section 8A.504 421.65 , subsection 1 , or the state court 31 administrator as defined in section 602.1101 . 32 Sec. 5. Section 99D.28, subsection 2, Code 2020, is amended 33 to read as follows: 34 2. The licensee is authorized and directed to withhold 35 -1- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 1/ 15 #1.

any winnings of a debtor which are paid out directly by the 1 licensee subject to the lien created by this section and 2 provide notice of such withholding to the winner when the 3 winner appears and claims winnings in person. The licensee 4 shall pay the funds over to the collection entity which 5 administers the setoff program pursuant to section 8A.504 6 421.65 . 7 Sec. 6. Section 99F.1, subsection 5, Code 2020, is amended 8 to read as follows: 9 5. “Claimant agency” means a public agency as defined 10 in section 8A.504 421.65 , subsection 1 , or the state court 11 administrator as defined in section 602.1101 . 12 Sec. 7. Section 99F.19, subsection 2, Code 2020, is amended 13 to read as follows: 14 2. The licensee is authorized and directed to withhold 15 any winnings of a debtor which are paid out directly by the 16 licensee subject to the lien created by this section and 17 provide notice of such withholding to the winner when the 18 winner appears and claims winnings in person. The licensee 19 shall pay the funds over to the collection entity which 20 administers the setoff program pursuant to section 8A.504 21 421.65 . 22 Sec. 8. Section 99G.38, subsection 3, Code 2020, is amended 23 to read as follows: 24 3. The state of Iowa offset program, as provided in 25 section 8A.504 421.65 , shall be available to the authority to 26 facilitate receipt of funds owed to the authority. 27 Sec. 9. Section 217.34, Code 2020, is amended to read as 28 follows: 29 217.34 Debt setoff. 30 The investigations division of the department of inspections 31 and appeals and the department of human services shall provide 32 assistance to set off against a person’s or provider’s income 33 tax refund or rebate any debt which has accrued through written 34 contract, nonpayment of premiums pursuant to section 249A.3, 35 -2- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 2/ 15

subsection 2 , paragraph “a” , subparagraph (1), subrogation, 1 departmental recoupment procedures, or court judgment and which 2 is in the form of a liquidated sum due and owing the department 3 of human services. The department of inspections and appeals, 4 with approval of the department of human services, shall adopt 5 rules under chapter 17A necessary to assist the department of 6 administrative services revenue in the implementation of the 7 setoff under section 8A.504 421.65 in regard to money owed to 8 the state for public assistance overpayments or nonpayment 9 of premiums as specified in this section . The department of 10 human services shall adopt rules under chapter 17A necessary to 11 assist the department of administrative services revenue in the 12 implementation of the setoff under section 8A.504 421.65 , in 13 regard to collections by the child support recovery unit and 14 the foster care recovery unit. 15 Sec. 10. Section 234.8, Code 2020, is amended to read as 16 follows: 17 234.8 Fees for child welfare services. 18 The department of human services may charge a fee for 19 child welfare services to a person liable for the cost of the 20 services. The fee shall not exceed the reasonable cost of the 21 services. The fee shall be based upon the person’s ability 22 to pay and consideration of the fee’s impact upon the liable 23 person’s family and the goals identified in the case permanency 24 plan. The department may assess the liable person for the fee 25 and the means of recovery shall include a setoff against an 26 amount owed by a state agency to the person assessed pursuant 27 to section 8A.504 421.65 . In addition the department may 28 establish an administrative process to recover the assessment 29 through automatic income withholding. The department shall 30 adopt rules pursuant to chapter 17A to implement the provisions 31 of this section . This section does not apply to court-ordered 32 services provided to juveniles which are a charge upon the 33 state pursuant to section 232.141 and services for which the 34 department has established a support obligation pursuant to 35 -3- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 3/ 15

section 234.39 . 1 Sec. 11. Section 252B.5, subsection 4, Code 2020, is amended 2 to read as follows: 3 4. Assistance to set off against a debtor’s income tax 4 refund or rebate any support debt, which is assigned to 5 the department of human services or which the child support 6 recovery unit is attempting to collect on behalf of any 7 individual not eligible as a public assistance recipient, which 8 has accrued through written contract, subrogation, or court 9 judgment, and which is in the form of a liquidated sum due 10 and owing for the care, support, or maintenance of a child. 11 Unless the periodic payment plan provisions for a retroactive 12 modification pursuant to section 598.21C apply, the entire 13 amount of a judgment for accrued support, notwithstanding 14 compliance with a periodic payment plan or regardless of the 15 date of entry of the judgment, is due and owing as of the date 16 of entry of the judgment and is delinquent for the purposes of 17 setoff, including for setoff against a debtor’s federal income 18 tax refund or other federal nontax payment. The department 19 of human services shall adopt rules pursuant to chapter 17A 20 necessary to assist the department of administrative services 21 revenue in the implementation of the child support setoff as 22 established under section 8A.504 421.65 . 23 Sec. 12. Section 261.37, subsection 7, Code 2020, is amended 24 to read as follows: 25 7. To establish an effective system for the collection of 26 delinquent loans, including the adoption of an agreement with 27 the department of administrative services revenue to set off 28 against a defaulter’s income tax refund or rebate the amount 29 that is due because of a default on a loan made under this 30 subchapter . The commission shall adopt rules under chapter 31 17A necessary to assist the department of administrative 32 services revenue in the implementation of the student loan 33 setoff program as established under section 8A.504 421.65 . 34 The commission shall apply administrative wage garnishment 35 -4- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 4/ 15

procedures authorized under the federal Higher Education Act of 1 1965, as amended and codified in 20 U.S.C. §1071 et seq., for 2 all delinquent loans, including loans authorized under section 3 261.38 , when a defaulter who is financially capable of paying 4 fails to voluntarily enter into a reasonable payment agreement. 5 In no case shall the commission garnish more than the amount 6 authorized by federal law for all loans being collected by the 7 commission, including those authorized under section 261.38 . 8 Sec. 13. Section 321.11A, subsection 1, Code 2020, is 9 amended to read as follows: 10 1. Notwithstanding section 321.11 , the department, upon 11 request, shall provide personal information that identifies 12 a person by the social security number of the person to the 13 following: 14 a. The department of revenue for the purpose purposes of 15 collecting debt and administering the setoff program pursuant 16 to section 421.65 . 17 b. The judicial branch for the purpose of collecting court 18 debt pursuant to section 602.8107 . 19 c. The department of administrative services for the purpose 20 of administering the setoff program pursuant to section 8A.504 . 21 Sec. 14. Section 321.31, subsection 1, paragraph c, Code 22 2020, is amended to read as follows: 23 c. The director shall maintain a records system of 24 delinquent accounts owed to the state using information 25 provided through the computerized data bank established in 26 section 421.17 . The department and county treasurers shall use 27 the information maintained in the records system to determine 28 if applicants for renewal of registration have delinquent 29 accounts, charges, fees, loans, taxes, or other indebtedness 30 owed to or being collected by the state as provided pursuant 31 to section 8A.504 421.65 . The director , the director of the 32 department of administrative services, and the director of 33 revenue shall establish procedures for updating the delinquent 34 accounts records to add and remove accounts, as applicable. 35 -5- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 5/ 15

Sec. 15. Section 321.40, subsection 6, paragraph a, Code 1 2020, is amended to read as follows: 2 a. The department or the county treasurer shall refuse 3 to renew the registration of a vehicle registered to the 4 applicant if the department or the county treasurer knows that 5 the applicant has a delinquent account, charge, fee, loan, 6 taxes, or other indebtedness owed to or being collected by the 7 state, from information provided pursuant to sections 8A.504 8 and 421.17 and 421.65 . An applicant may contest this action 9 by initiating a contested case proceeding with the agency 10 that referred the debt for collection pursuant to section 11 8A.504 421.65 . The department of revenue and the department 12 of transportation shall notify the county treasurers through 13 the distributed teleprocessing network of persons who owe 14 such a delinquent account, charge, fee, loan, taxes, or other 15 indebtedness. 16 Sec. 16. NEW SECTION . 421.65 Setoff procedures. 17 1. Definitions. As used in this section, unless the context 18 otherwise requires: 19 a. “Obligor” means a person, not including a public agency, 20 who has been determined to owe a qualifying debt. 21 b. “Public agency” means a board, commission, department, 22 including the department of revenue, or other administrative 23 office or unit of the state of Iowa or any other state entity 24 reported in the Iowa comprehensive annual financial report, 25 or a political subdivision of the state, or an office or unit 26 of a political subdivision. “Public agency” does include the 27 clerk of the district court as it relates to the collection of 28 a qualifying debt. “Public agency” does not include the general 29 assembly or office of the governor. 30 c. “Public payment” means any claim a public agency owes to 31 an obligor. 32 d. “Qualifying debt” means any of the following: 33 (1) Any debt, which is assigned to the department of 34 human services, or which is owed to the department of human 35 -6- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 6/ 15

services for unpaid premiums under section 249A.3, subsection 1 2, paragraph “a” , subparagraph (1), or which the child support 2 recovery unit is otherwise attempting to collect, or which the 3 foster care recovery unit of the department of human services 4 is attempting to collect on behalf of a child receiving foster 5 care provided by the department of human services. 6 (2) Any debt which is in the form of a liquidated sum due, 7 owing, and payable to the clerk of the district court. 8 (3) Any liquidated sum certain, owing, and payable to a 9 public agency, with respect to which the public agency has 10 provided the obligor an opportunity to protest or challenge 11 the sum in a manner in compliance with applicable law and due 12 process, and which has been determined as owing through the 13 challenge or protest, or for which the time period provided by 14 the public agency to challenge or protest has expired. 15 2. Setoff procedure. The department shall establish and 16 maintain a procedure to set off against each public payment 17 any qualifying debt the obligor owes to a public agency. The 18 procedure shall only apply when the department determines, in 19 its discretion, it is feasible and complies with applicable 20 law. The procedure shall meet the following conditions: 21 a. Each participating public agency shall obtain and forward 22 to the department the full name and social security number 23 of each obligor, or similar identifying information for an 24 obligor who is not a natural person, and any other information 25 concerning the person the department shall require. The 26 department shall cooperate with public agencies in the exchange 27 of information relevant to identifying public payments and 28 qualifying debt that may be subject to setoff. However, the 29 department shall provide only relevant information required by 30 a public agency. The information shall be held in confidence 31 and used for the purpose of setoff only. Section 422.72, 32 subsection 1, does not apply to this paragraph. 33 b. Each participating public agency shall, at least 34 annually, certify to the department the information required 35 -7- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 7/ 15

by paragraph “a” , the amount of each obligor’s liability to 1 and the amount of each claim on the public agency, and that 2 all liabilities submitted constitute qualifying debt. The 3 department may, by rule, require more frequent certifications 4 or certifications of additional information about the 5 qualifying debt or the obligor. The department may, in its 6 discretion, review the accuracy of any certification made 7 pursuant to this paragraph. 8 c. The department may, by rule, establish a minimum amount 9 of liabilities and claims that may be setoff. 10 d. Upon submission of an allegation of liability by a 11 public agency, the department shall notify the public agency 12 whether the obligor is entitled to a public payment, and, if so 13 entitled, shall notify the public agency of the amount of the 14 obligor’s entitlement and last address known to the department. 15 Section 422.72, subsection 1, does not apply to this paragraph. 16 e. Upon notice of entitlement to a public payment, the 17 department shall send written notification to the obligor and 18 any known co-payee of the public payment. The notification 19 shall contain the public agency’s assertion of its rights to 20 all or a portion of the payment and of the public agency’s 21 entitlement to recover the liability through the setoff 22 procedure, the basis of the assertion, the opportunity to 23 request that a jointly or commonly owned right to payment be 24 divided among owners, and the obligor’s opportunity to give 25 written notice of intent to contest the setoff procedure or 26 that the debt is a qualifying debt. 27 f. Upon the request of an obligor or a co-payee of the 28 public payment received by the department within the time 29 period provided in the written notification, and upon receipt 30 of the full name and social security number of the co-payee, 31 or similar identifying information of a co-payee who is not a 32 natural person, the department shall notify the public agency 33 that the public agency shall divide a jointly or commonly owned 34 right to payment in the manner determined by the department. 35 -8- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 8/ 15

Any jointly or commonly owned right to payment is rebuttably 1 presumed to be owned in equal portions by its joint or common 2 owners. 3 g. The department shall, after the department has sent 4 the notice to the obligor provided in paragraph “e” , set 5 off the amount last certified by the public agency as owed 6 to the agency against the public payment. The department 7 shall refund any balance of the payment to the obligor. The 8 department shall periodically transfer amounts set off to the 9 public agencies entitled to them, reduced by any fees charged 10 for setoff. If an obligor gives written notice of intent 11 to contest a setoff, the public agency shall hold a refund 12 or rebate until final disposition of the challenge. Upon 13 completion of the setoff, the department shall provide written 14 notice of the completed setoff to the obligor and any co-payees 15 of the payment subject to setoff. 16 h. The department’s existing right to credit against tax 17 due or to become due under section 422.73 is not to be impaired 18 by a right granted to or a duty imposed upon the department by 19 this section. This section is not intended to impose upon the 20 department any additional requirement of notice, hearing, or 21 appeal concerning the right to credit against tax due under 22 section 422.73. 23 i. If the alleged liability is owing and payable to the 24 clerk of the district court and setoff as provided in this 25 section is sought, all of the following shall apply: 26 (1) The judicial branch shall prescribe procedures to 27 permit an obligor to contest the amount of the obligor’s 28 liability to the clerk of the district court. 29 (2) The department shall, except for the procedures 30 described in subparagraph (1), provide for any other applicable 31 procedures concerning setoff as provided in this subsection. 32 (3) Upon completion of the setoff, the department shall 33 file, at least monthly, with the clerk of the district court a 34 notice of satisfaction of each obligation to the full extent of 35 -9- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 9/ 15

all moneys collected in satisfaction of the obligation. The 1 clerk shall record the notice and enter a satisfaction for the 2 amounts collected. A separate written notice is not required. 3 3. Challenges to a setoff. 4 a. Challenges under this section may be initiated only by an 5 obligor. The department’s review of a challenge to a setoff 6 is not subject to chapter 17A. 7 b. The obligor challenging the setoff shall submit a written 8 challenge in the manner provided in the notice described in 9 subsection 2, paragraph “e” , within fifteen days of the date of 10 the notice. 11 c. The department, upon receipt of a written challenge, 12 shall provide written notice of the challenge to the public 13 agency. The department shall review the information submitted 14 by the public agency prior to the setoff and shall obtain 15 additional information from the public agency if necessary to 16 establish that the liability is a qualified debt, or to verify 17 the identity of the obligor or the amount owed. The department 18 shall set a time to occur within ten days of receipt of the 19 challenge to review the relevant facts of the challenge with 20 the obligor. An alternative time may be set at the request 21 of the obligor. If the obligor does not participate in the 22 review at the scheduled time and an alternative time is not 23 requested and approved, the review shall take place without the 24 obligor being present. Information in favor of the obligor 25 and the public agency shall be considered in the review. Only 26 a determination that the debt is not a qualified debt or a 27 mistake of fact, including a mistake in the identity of the 28 obligor, or a mistake in the amount owed, shall be considered 29 as a reason to deny or modify the setoff. 30 d. If the department determines that a mistake of fact has 31 occurred or that the liability submitted does not constitute 32 a qualified debt, the public agency shall promptly return the 33 setoff funds to the original payee or payees unless there is 34 another qualifying debt available for setoff. 35 -10- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 10/ 15

e. If the department finds no mistake of fact and that the 1 liability is a qualified debt, the department shall provide a 2 notice of that effect to the obligor and the public agency, and 3 the public agency shall retain the funds subject to setoff. 4 f. The obligor shall have the right to file an action for 5 wrongful setoff in district court within thirty days of the 6 date of the notice to the obligor provided in paragraph “e” , 7 either in the county where the obligor is located or the county 8 where the main office of the public agency is located. The 9 defendant in such action shall be the public agency, with an 10 additional copy of such petition to be served upon the office 11 of the attorney general. Actions under this section are in 12 equity and not actions at law and are an obligor’s exclusive 13 remedy to challenge any action arising from or related to this 14 section. 15 g. Recovery under this subsection is limited to restitution 16 from the public agency of the amount that has been wrongfully 17 setoff or obtained by the public agency. 18 h. A challenge under this subsection shall not be used to 19 extend, toll, or reopen the statute of limitations to challenge 20 or contest a qualified debt. Only mistakes of fact, failure 21 of the public agency to comply with the provisions of this 22 section, or a liability that is not a qualified debt, shall 23 constitute grounds for challenge under this subsection. 24 4. Priority. In the case of multiple claims to payments 25 filed under this section, priority shall be given to claims 26 filed by the child support recovery unit or the foster care 27 recovery unit, next priority shall be given to claims filed 28 by the clerk of the district court, next priority shall be 29 given to claims filed by the investigations division of the 30 department of inspections and appeals, next priority shall be 31 given to claims that will be deposited into the state general 32 fund, and last priority shall be given to claims filed by other 33 public agencies. In the case of multiple claims in which the 34 priority is not otherwise provided by this subsection, priority 35 -11- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 11/ 15

shall be determined in accordance with rules to be established 1 by the department. 2 5. Reciprocal agreements. The director shall have the 3 authority to enter into reciprocal agreements with departments 4 or agencies of other states that have established a setoff 5 procedure. 6 6. Fees. The department shall establish fees for use of the 7 setoff system to be paid by participating public agencies to 8 the department. 9 Sec. 17. Section 422.12G, subsection 2, Code 2020, is 10 amended to read as follows: 11 2. The director of revenue shall draft the income tax form 12 to allow the designation of contributions to the veterans trust 13 fund and to the volunteer fire fighter preparedness fund as 14 one checkoff on the tax return. The department of revenue, 15 on or before January 31, shall transfer one-half of the total 16 amount designated on the tax return forms due in the preceding 17 calendar year to the veterans trust fund and the remaining 18 one-half to the volunteer fire fighter preparedness fund. 19 However, before a checkoff pursuant to this section shall be 20 permitted, all liabilities on the books of the department of 21 administrative services and accounts identified as owing under 22 section 8A.504 421.65 shall be satisfied. 23 Sec. 18. Section 422.12I, subsection 2, Code 2020, is 24 amended to read as follows: 25 2. The director of revenue shall draft the income tax form 26 to allow the designation of contributions to the foundation 27 fund on the tax return. The department, on or before January 28 31, shall transfer the total amount designated on the tax 29 form due in the preceding year to the foundation fund. 30 However, before a checkoff pursuant to this section shall be 31 permitted, all liabilities on the books of the department of 32 administrative services and accounts identified as owing under 33 section 8A.504 421.65 shall be satisfied. 34 Sec. 19. Section 422.12K, subsection 2, Code 2020, is 35 -12- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 12/ 15

amended to read as follows: 1 2. The director of revenue shall draft the income tax form 2 to allow the designation of contributions to the child abuse 3 prevention program fund on the tax return. The department of 4 revenue, on or before January 31, shall transfer the total 5 amount designated on the tax return forms due in the preceding 6 calendar year to the child abuse prevention program fund. 7 However, before a checkoff pursuant to this section shall be 8 permitted, all liabilities on the books of the department of 9 administrative services and accounts identified as owing under 10 section 8A.504 421.65 shall be satisfied. 11 Sec. 20. Section 422.20, subsection 3, paragraph a, Code 12 2020, is amended to read as follows: 13 a. Unless otherwise expressly permitted by section 8A.504 , 14 section 8G.4 , section 11.41 , section 96.11, subsection 6 , 15 section 421.17, subsections 22, 23, and 26 , section 421.17, 16 subsection 27 , paragraph “k” , section 421.17, subsection 31 , 17 section 252B.9 , section 321.40, subsection 6 , sections 321.120 , 18 421.19 , 421.28 , 421.65, 422.72 , and 452A.63 , this section , or 19 another provision of law, a tax return, return information, or 20 investigative or audit information shall not be divulged to any 21 person or entity, other than the taxpayer, the department, or 22 internal revenue service for use in a matter unrelated to tax 23 administration. 24 Sec. 21. Section 422.72, subsection 3, paragraph a, Code 25 2020, is amended to read as follows: 26 a. Unless otherwise expressly permitted by section 8A.504 , 27 section 8G.4 , section 11.41 , section 96.11, subsection 6 , 28 section 421.17, subsections 22, 23, and 26 , section 421.17, 29 subsection 27 , paragraph “k” , section 421.17, subsection 31 , 30 section 252B.9 , section 321.40, subsection 6 , sections 321.120 , 31 421.19 , 421.28 , 421.65, 422.20 , and 452A.63 , this section , or 32 another provision of law, a tax return, return information, or 33 investigative or audit information shall not be divulged to any 34 person or entity, other than the taxpayer, the department, or 35 -13- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 13/ 15

internal revenue service for use in a matter unrelated to tax 1 administration. 2 Sec. 22. Section 456A.16, subsection 7, Code 2020, is 3 amended to read as follows: 4 7. The department shall adopt rules pursuant to chapter 17A 5 to implement this section . However, before a checkoff pursuant 6 to this section shall be permitted, all liabilities on the 7 books of the department of administrative services revenue and 8 accounts identified as owing under section 8A.504 421.65 shall 9 be satisfied. 10 Sec. 23. Section 602.8102, subsection 58A, Code 2020, is 11 amended to read as follows: 12 58A. Assist the department of administrative services 13 revenue in setting off against debtors’ income tax refunds 14 or rebates under section 8A.504 421.65 , debts which are due, 15 owing, and payable to the clerk of the district court as 16 criminal fines, civil penalties, surcharges, or court costs. 17 Sec. 24. Section 602.8107, subsection 4, paragraph a, Code 18 2020, is amended to read as follows: 19 a. This subsection does not apply to amounts collected for 20 victim restitution, the victim compensation fund, the criminal 21 penalty surcharge, sex offender civil penalty, drug abuse 22 resistance education surcharge, the law enforcement initiative 23 surcharge, county enforcement surcharge, amounts collected as 24 a result of procedures initiated under subsection 5 or under 25 section 8A.504 421.65 , or fees charged pursuant to section 26 356.7 . 27 Sec. 25. Section 642.2, subsection 4, Code 2020, is amended 28 to read as follows: 29 4. Notwithstanding subsections 2, 3, 6, and 7 , any 30 moneys owed to the child support obligor by the state, with 31 the exception of unclaimed property held by the treasurer 32 of state pursuant to chapter 556 , and payments owed to the 33 child support obligor through the Iowa public employees’ 34 retirement system are subject to garnishment, attachment, 35 -14- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 14/ 15

execution, or assignment by the child support recovery unit 1 if the child support recovery unit is providing enforcement 2 services pursuant to chapter 252B . Any moneys that are 3 determined payable by the treasurer pursuant to section 556.20, 4 subsection 2 , to the child support obligor shall be subject to 5 setoff pursuant to section 8A.504 421.65 , notwithstanding any 6 administrative rule pertaining to the child support recovery 7 unit limiting the amount of the offset. 8 Sec. 26. REPEAL. Section 8A.504, Code 2020, is repealed. 9 Sec. 27. TRANSITION PROVISIONS. Any rule, regulation, 10 form, order, or directive promulgated by the department of 11 administrative services as required to administer and enforce 12 the provisions of section 8A.504 prior to the effective date of 13 this Act shall continue in full force and effect until amended, 14 repealed, or supplemented by the department of revenue. 15 Sec. 28. EFFECTIVE DATE. This Act takes effect January 1, 16 2021. > 17 2. Title page, line 2, after < agencies > by inserting < and 18 including effective date provisions > 19 ______________________________ ZACH WHITING -15- SF2328.3450 (2) 88 (amending this SF 2328 to CONFORM to HF 2565) ja/jh 15/ 15 #2.