SB 33 — Revises provisions governing enforcement of child support obligations. (BDR 38-199)

(ReprintedSenate withBill amendmentsNo. adopted on May 22, 2019) SECOND REPRINT S.B.

3333–Committee Son ENATEHealth Band ILLNHuman O.Services CHAPTER..........

33–COMMITTEE ON H EALTH AND HUMAN SERVICES (O N BEHALF OF THE DIVISION OF W ELFARE AND SUPPORTIVE SERVICES OF THE DEPARTMENT OF H EALTH AND HUMAN SERVICES ) PREFILED N OVEMBER 16, 2018 ____________ Referred to Committee on Health and Human Services SUMMARY—Revises provisions governing enforcement of child support obligations.

(BDR 38-199) FISCAL NOTE:

Effect on Local Government:

No.

Effect on the State:

Yes.

~ EXPLANATION – Matter in bolded italics is new;

matter between brackets [omitted material] is material to be omitted.

(1) the parent or other person is deemed to have assigned his or her right to child support from any other person to the Division of Welfare and Supportive Services of the Department of Health and Human Services to the extent of the which the parent or other person is entitled to the extent of the public assistanceoassistance providedreceived; by the Division.

(NRSand 425.350,(2) 425.360)the ExistingDivision lawis alsoentitled establishesto aany child support to which the parent or other person is entitled to the extent of the public assistance Program to locate absent parents, establish paternity and obtain child support, and enforce child support.

NRS 425.318) Section 1 of this bill requires certain insurers to exchange information, either directly or through an insurance claim data collection organization approved by the Division, with the Program not less than 5 days after opening certain bodily injury, wrongful death, workers’ compensation or life insurance claims for the purpose of verifying whether the claimant owes a debt for child support to the Division or to a person receiving services from the Program.

If periodic payments will be made to the claimant, the insurer is required to make this exchange of information only beforedebt for support, the initialinsurer payment.is required, upon receipt of a notice identifying thech amount of debt owed, to:

If an insurer is notified that the claimant owes any such - *SB33_R2* – 2 – debt for support, the insurer is required, upon receipt of a notice identifying the amount of debt owed, to:

and (2) remit the amount withheld from payment to the However, section 1 requires the Division, its designated representative or thedays.the prosecuting attorney within 30 days.

However, section 1 requires the Division, its designated representative or the prosecuting attorney to give any item, claim or demand for attorney’s fees or costs, medical expenses or property damage priority over any amount to be withheld and remitted to the Division, its designated representative or the prosecuting attorney.

- 80th Session (2019) – 2 – EXPLANATION – Matter in bolded italics is new;

matter between brackets [omitted material] is material to be omitted.

To the extent feasible, the Division shall facilitate a secure electronic process to exchange obligation of an insurer to exchange information with insurersthee pursuantProgram tois discharged upon complying with the requirements of this subsection.

The obligation of an insurer to exchange information with the Program is discharged upon complying with the requirements of this subsection.

If an insurer withholds any money from payment on a claim and remits the money to the enforcing authority pursuant to - *SB33_R2* – 3 – subsection 2, the insurer shall notify the claimant and his or her attorney, if known to the insurer, of that fact.

The enforcing authority shall give any lien, claim or demand for attorney’s fees or costs, medical expenses or property damage, including, without limitation, a demand for attorney’s fees or costs incurred in connection with compensation that is subject to the provisions of NRS 616C.205, priority over any withholding of payment pursuant to subsection 2.

5.- 80th Session (2019) – 3 – used only for the purpose of carrying out the provisions of this section.

Any information obtained pursuant to this section must be used only for the purpose of carrying out the provisions of this section.

In the case of a c(a) Is not required to comply with the provisions of subsection with regard to any payments on the claim thatdisbursed willto bethe paidclaimant throughbefore periodicthe payments,notice was received by the insurer:insurer;

(a) Is not required to comply with the provisions of subsection 2 with regard to any payments on the claim disbursed to the claimant before the notice was received by the insurer;

Except as otherwise provided in this subsection, if an insurer reports information concerning claimants to an insurance claim data collection organization approved by the Division, the insurer may comply with the requirements of this section by authorizing the insurance claim data collection organization to provide claimant information to the federal Office of Child Support Enforcement of the Administration for Children and Families of the United States Department of Health and Human Services, the Program or a designee identified by the Program for the sole purpose of complying with this section.

If no insurance - *SB33_R2* – 4 – claim data collection organization is approved by the Division, an insurer may comply with the requirements of this section by authorizing an entity determined by the Division to perform the same function as an insurance claim data collection organization to provide claimant information to the federal Office of Child - 80th Session (2019) – 4 – Support Enforcement, the Program or a designee identified by the Program for the sole purpose of complying with this section.

(1) Brings a tort liability claim for bodily injury or wrongful death against an insured under a casualty insurance policy, as defined in NRS 681A.020, or a property insurance policy, as defined in NRS 681A.060;

H~~~~~ 19 - *SB33_R2*80th Session (2019)