Senate File 2048 - Introduced SENATE FILE 2048 BY DICKEY A BILL FOR An Act relating to the disbursement and accounting of child 1 support payments, providing penalties, and including 2 effective date provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5160XS (6) 89 pf/rh
S.F. 2048 Section 1. Section 252B.15, Code 2022, is amended by adding 1 the following new subsection: 2 NEW SUBSECTION . 2A. a. If requested by an obligor, child 3 support payments made to the collection services center in 4 accordance with an order being enforced by the unit for an 5 individual not otherwise eligible for enforcement services as a 6 public assistance recipient, and child support payments made 7 to the clerk of the district court pursuant to a court order 8 or judgment, shall be disbursed to the appropriate individual 9 by direct deposit of the support payments in a customer asset 10 account, as defined in section 527.2, established by the 11 individual as required by this subsection. The individual 12 named as the recipient of the support payments on behalf of 13 the child shall establish a customer asset account for the 14 exclusive purposes of deposit of support payments received and 15 use of the moneys as authorized by this subsection, and shall 16 provide the account number to the collection services center 17 or the clerk of the district court of the county in which the 18 order for support is filed, as appropriate. 19 b. Moneys deposited in the customer asset account shall 20 only be used for the support of the child for whom support 21 is ordered and for payment of any fees related to the 22 establishment and maintenance of the account. For each child 23 for whom support is ordered, no more than the child’s relative 24 percentage of the total number of individuals in the household 25 as equates to a percentage of the overall child support 26 payment amount for that child may be used for general household 27 expenses not solely attributable to the child and no more than 28 seventy-five percent of that amount shall be used for the 29 household’s housing accommodation expenses. 30 c. The recipient of the support payments shall forward a 31 written accounting to the obligor of all transactions written 32 against the account and all withdrawals from the account within 33 three months of deposit of the child support payment in the 34 customer asset account. 35 -1- LSB 5160XS (6) 89 pf/rh 1/ 4
S.F. 2048 d. If an individual named as the recipient of the support 1 payments on behalf of the child willfully fails to comply with 2 this subsection, the individual may be cited and punished by 3 the court for contempt. 4 Sec. 2. NEW SECTION . 598.22E Disbursement of support 5 payments. 6 1. If requested by the obligor, child support payments 7 made to the collection services center in accordance with an 8 order being enforced by the child support recovery unit for an 9 individual not otherwise eligible for enforcement services as a 10 public assistance recipient, and child support payments made 11 to the clerk of the district court pursuant to a court order 12 or judgment, shall be disbursed to the appropriate individual 13 by direct deposit of the support payments in a customer asset 14 account, as defined in section 527.2, established by the 15 individual as required by this section. The individual named 16 as the recipient of the support payments on behalf of the child 17 shall establish a customer asset account for the exclusive 18 purposes of deposit of support payments received and use of 19 the moneys as authorized by this section, and shall provide 20 the account number to the collection services center or to the 21 clerk of the district court of the county in which the order 22 for support is filed, as appropriate. 23 2. Moneys deposited in the customer asset account shall 24 only be used for the support of the child for whom support 25 is ordered and for payment of any fees related to the 26 establishment and maintenance of the account. No more than the 27 child’s relative percentage of the total number of individuals 28 in the household as equates to a percentage of the overall 29 child support payment amount for that child may be used for 30 general household expenses not solely attributable to the child 31 and no more than seventy-five percent of that amount shall be 32 used for the household’s housing accommodation expenses. 33 3. The recipient of the support payments shall forward a 34 written accounting to the obligor of all transactions written 35 -2- LSB 5160XS (6) 89 pf/rh 2/ 4
S.F. 2048 against the account and all withdrawals from the account within 1 three months of deposit of the child support payment in the 2 customer asset account. 3 4. If an individual named as the recipient of the support 4 payments on behalf of the child willfully fails to comply with 5 this subsection, the individual may be cited and punished by 6 the court for contempt. 7 Sec. 3. NOTIFICATION REQUIREMENTS. The child support 8 recovery unit and the clerk of the district court shall notify 9 all recipients and payors of child support of the requirements 10 of this Act. 11 Sec. 4. EFFECTIVE DATE. The following, being deemed of 12 immediate importance, takes effect upon enactment: 13 The section of this Act requiring the child support recovery 14 unit and the clerk of the district court to notify recipients 15 and payors of child support of the requirements of this Act. 16 Sec. 5. EFFECTIVE DATE. The following take effect January 17 1, 2023: 18 1. The section of this Act amending section 252B.15. 19 2. The section of this Act enacting section 598.22E. 20 EXPLANATION 21 The inclusion of this explanation does not constitute agreement with 22 the explanation’s substance by the members of the general assembly. 23 This bill requires that at the request of an obligor, the 24 collection services center in disbursing child support payments 25 received in accordance with an order being enforced by the 26 child support recovery unit for an individual not eligible 27 for enforcement services as a public assistance recipient 28 and the clerk of the district court disbursing child support 29 payments collected in accordance with a support order filed 30 in that county are only to disburse payments through direct 31 deposit of the support in a customer asset account established 32 by the recipient of the support for the exclusive purposes of 33 depositing of the support payments and use of such deposits for 34 the support of the child. 35 -3- LSB 5160XS (6) 89 pf/rh 3/ 4
S.F. 2048 Moneys deposited in the account shall only be used for 1 the support of the child for whom support is ordered and 2 for payment of any fees related to the establishment and 3 maintenance of the account. For each child for whom support is 4 ordered, no more than the child’s relative percentage of the 5 total number of individuals in the household as equates to a 6 percentage of the overall child support payment amount for that 7 child may be used for general household expenses not directly 8 attributable to the child and no more than 75 percent of that 9 amount shall be used for the household’s housing accommodation 10 expenses. 11 The bill requires the recipient of the support payments to 12 forward a written accounting to the obligor of transactions 13 written against the account and all withdrawals from the 14 account within three months of deposit of the child support 15 payment in the customer asset account. 16 If an individual named as the recipient of the support 17 payments on behalf of the child willfully fails to comply with 18 the provisions of the bill, the individual may be cited and 19 punished by the court for contempt. 20 The bill includes effective dates. The section relating to 21 notification of recipients and payors of child support of the 22 requirements of the bill takes effect upon enactment. 23 The substantive sections of the bill take effect January 1, 24 2023. 25 -4- LSB 5160XS (6) 89 pf/rh 4/ 4