H.F. 2008 Section 1. Section 252J.2, subsection 2, paragraph a, Code 1 2014, is amended to read as follows: 2 a. An obligor is subject to the provisions of this chapter 3 if the obligor’s support obligation is being enforced by the 4 unit, if the support payments required by a support order to 5 be paid to the clerk of the district court or the collection 6 services center pursuant to section 598.22 are not paid and 7 become delinquent in an amount equal to the support payment 8 for three two months, and if the obligor’s situation meets 9 other criteria specified under rules adopted by the department 10 pursuant to chapter 17A . The criteria specified by rule shall 11 include consideration of the length of time since the obligor’s 12 last support payment and the total amount of support owed by 13 the obligor. 14 Sec. 2. Section 252J.4, subsection 4, paragraph b, Code 15 2014, is amended to read as follows: 16 b. The unit finds a mistake in determining that the amount 17 of delinquent support is equal to or greater than three two 18 months. 19 Sec. 3. Section 252J.6, subsection 3, paragraph c, Code 20 2014, is amended to read as follows: 21 c. The unit or the court finds a mistake in determining that 22 the amount of delinquent support due is equal to or greater 23 than three two months. 24 Sec. 4. NEW SECTION . 252J.10 Repeated noncompliance with 25 support obligation —— automatic issuance of certificate of 26 noncompliance. 27 1. Notwithstanding any provision of this chapter to 28 the contrary, if an obligor is subject to this chapter as 29 established in section 252J.2, subsection 2, paragraph “a” , and 30 the delinquency in payment of the obligor’s support obligation 31 constitutes the third instance in a consecutive five-year 32 period that the obligor would be subject to potential sanction 33 of a license pursuant to section 252J.3, all of the following 34 shall apply: 35 -1- LSB 5149YH (3) 85 pf/nh 1/ 5

H.F. 2008 a. (1) In lieu of issuance of the notice under section 1 252J.3, the unit shall issue a notice to the obligor that the 2 unit is automatically issuing a certificate of noncompliance to 3 any appropriate licensing authority identified in the notice 4 for suspension, revocation, or denial of the issuance or 5 renewal of any appropriate license. 6 (2) The notice shall inform the obligor that the provisions 7 of this chapter to the contrary do not apply, that the actions 8 initiated by the unit under this subsection shall not be 9 subject to contested case proceedings or further review 10 pursuant to chapter 17A, that notwithstanding section 17A.18, 11 the obligor does not have a right to a hearing before the 12 licensing authority to contest the authority’s actions under 13 this section, but that the obligor may request a court hearing 14 as provided in this section and any such court hearing shall be 15 an original hearing before the district court. 16 (3) Following issuance of the notice to the obligor under 17 this paragraph “a” , the unit shall issue the certificate 18 of noncompliance to the appropriate licensing authority 19 and the licensing authority shall automatically suspend, 20 revoke, or deny issuance or renewal of the respective license 21 notwithstanding any rules and procedures for suspension, 22 revocation, or denial of the issuance or renewal of a license 23 to the contrary. 24 b. If the obligor decides to request a court hearing, all 25 of the following shall apply: 26 (1) The obligor may seek review of the issuance of 27 the certificate of noncompliance and the license sanction 28 implemented by the licensing authority and request a hearing 29 before the district court in the county in which the underlying 30 support order is filed, by filing an application with the 31 district court and sending a copy of the application to the 32 unit by regular mail. 33 (2) An application shall be filed no later than within 34 thirty days after the issuance of the notice by the unit 35 -2- LSB 5149YH (3) 85 pf/nh 2/ 5

H.F. 2008 pursuant to paragraph “a” . The clerk of the district court 1 shall schedule a hearing and mail a copy of the order 2 scheduling the hearing to the obligor and the unit and shall 3 also mail a copy of the order to the licensing authority, if 4 applicable. The unit shall certify a copy of the certificate 5 of noncompliance, indicating the date of issuance, prior to the 6 hearing. 7 (3) The filing of an application pursuant to this paragraph 8 “b” shall not stay the actions of a licensing authority 9 under this section. The hearing on the application shall be 10 scheduled and held within thirty days of the filing of the 11 application. 12 (4) The scope of review by the district court shall be 13 limited to demonstration of a mistake of fact relating to the 14 delinquency of the obligor. Issues related to visitation, 15 custody, or other provisions not related to the support 16 provisions of a support order are not grounds for a hearing 17 under this section. 18 (5) A support order shall not be modified by the court in 19 a hearing under this chapter. 20 (6) If the court finds that the unit was in error in 21 issuing a certificate of noncompliance, the unit shall issue 22 a withdrawal of the certificate of noncompliance to the 23 appropriate licensing authority. 24 c. If an obligor is subject to suspension or revocation of 25 a license or is denied the issuance or renewal of a license as 26 the result of the issuance of a certificate of noncompliance 27 under this subsection, the unit may issue a withdrawal of the 28 certificate of noncompliance to the appropriate licensing 29 authority only upon payment by the obligor of the total amount 30 of delinquent support owed. 31 2. a. If an obligor subject to license sanction under 32 subsection 1, for which the court does not find the unit to be 33 in error under subsection 1, paragraph “b” , subsequently fails 34 to comply with a support order and becomes delinquent in an 35 -3- LSB 5149YH (3) 85 pf/nh 3/ 5

H.F. 2008 amount equal to the support payment for two months, in lieu 1 of issuance of a notice under section 252J.3 or subsection 1 2 of this section, the unit shall issue a notice to the obligor 3 that the unit is automatically issuing a certificate of 4 noncompliance to any appropriate licensing authority identified 5 in the notice for revocation or denial of the issuance or 6 renewal of any appropriate license. 7 b. The notice shall inform the obligor that the provisions 8 of this chapter to the contrary do not apply, that the actions 9 initiated by the unit under this subsection shall not be 10 subject to contested case proceedings or further review 11 pursuant to chapter 17A, that notwithstanding section 17A.18, 12 the obligor does not have a right to a hearing before the 13 licensing authority to contest the authority’s actions under 14 this section, and that the actions initiated under this 15 subsection are not subject to judicial review. 16 EXPLANATION 17 The inclusion of this explanation does not constitute agreement with 18 the explanation’s substance by the members of the general assembly. 19 This bill includes provisions relating to child support 20 license sanctions under Code chapter 252J. 21 Currently, an obligor is subject to license sanctions if the 22 support payments required by a support order are not paid by 23 the obligor and become delinquent in an amount equal to the 24 support payment for three months. The bill would reduce this 25 to an amount equal to the support payment for two months. 26 The bill also provides that if an obligor is subject to 27 license sanctions for a third time in a consecutive five-year 28 period, in lieu of the existing procedure for license sanctions 29 which includes the opportunity to schedule a conference with 30 the child support recovery unit (unit) and to enter a written 31 agreement for payment, the unit will instead send a notice to 32 the obligor that the obligor is subject to license sanctions, 33 and that the only opportunity to challenge the unit’s actions 34 is by requesting a district court hearing. The actions of 35 -4- LSB 5149YH (3) 85 pf/nh 4/ 5

H.F. 2008 the licensing authority are not stayed upon filing of the 1 application for a hearing. The scope of review by the district 2 court is limited to demonstration of a mistake of fact relating 3 to the delinquency of the obligor. If the court finds that the 4 unit was in error, the unit is required to issue a withdrawal 5 of a certificate of noncompliance to the appropriate licensing 6 authority. If the obligor is subject to revocation or 7 suspension of a license or is denied the issuance or renewal of 8 a license, the unit may issue a withdrawal of the certificate 9 of noncompliance to the appropriate licensing authority only 10 upon payment by the obligor of the total amount of delinquent 11 support owed. 12 The bill also provides that subsequent to a license sanction 13 that is based on the obligor being subject to a third license 14 sanction in a consecutive five-year period, if an obligor 15 fails to comply with a support order and becomes delinquent 16 in an amount equal to the support payment for two months, 17 the unit shall issue a notice to the obligor that the unit 18 is automatically issuing a certificate of noncompliance to 19 any appropriate licensing authority identified in the notice 20 for revocation or denial of the issuance or renewal of any 21 appropriate license. The notice is to inform the obligor that 22 no opportunity, including the opportunity for judicial review, 23 exists to challenge the actions initiated by the unit. 24 -5- LSB 5149YH (3) 85 pf/nh 5/ 5