HCS HB 1780 -- CHILD SUPPORT ENFORCEMENT

SPONSOR:  Smith (Green, 73)

COMMITTEE ACTION:  Voted "do pass" by the Committee on Civil and
Administrative Law by a vote of 8 to 6.

This substitute makes several changes to the law governing how
health insurance premiums are collected by employers as part of
court-ordered child support.  The substitute:

(1)  Requires the Division of Child Support Enforcement to use
federal guidelines in notifying employers of their obligation to
enroll the obligor's child in their health benefits plan.  The
division must notify the employer within two days of the
employee's name appearing on the state's directory of new hires;

(2)  Requires an obligor who wants to contest the withholding of
funds for required employee contributions to do so in writing
within 30 days;

(3)  Requires the employer to notify its health plan within 20
days of the order for health benefits coverage, and the health
plan must respond within 40 days of the order;

(4)  Requires the health plan to provide the custodial parent and
the division with a description of coverages that are available;

(5)  Requires the division and custodial parent to select a plan
option within 20 days, or the child will be enrolled in the
health plan's default option;

(6)  Requires employers to promptly notify the division when the
obligor leaves its employ and provide it with the last known
address for the obligor and the obligor's new employer, if known;
and

(7)  Removes the obligation to provide health benefits for the
child if the obligor's employer eliminates family health coverage
for all of its employees.

The substitute has an emergency clause.

FISCAL NOTE:  Estimated Net Cost to General Revenue Fund of
$68,801 in FY 2003, $29,908 in FY 2004, and $35,974 in FY 2005.

PROPONENTS:  Supporters say that federal law enacted in 1998
requires that a specific form be given to employers, so that they
can withhold from payroll checks an amount to cover the premiums
for children's health benefits that are part of a child support
order.  The federal government covers 66% of the costs of child
support enforcement.  Some of that money could be withheld if the
state does not comply with federal requirements.

Testifying for the bill were Representative Green (73); and
Division of Child Support Enforcement.

OPPONENTS:  There was no opposition voiced to the committee.

Richard Smreker, Senior Legislative Analyst

Missouri House of Representatives
Last Updated October 11, 2002 at 9:02 am