Full Text of HB3683 99th General Assembly
HB3683enr 99TH GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning civil law.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Illinois Public Aid Code is amended by | 5 | | changing Sections 10-25 and 10-25.5 as follows:
| 6 | | (305 ILCS 5/10-25)
| 7 | | Sec. 10-25.
Administrative liens and levies on real | 8 | | property for
past-due child support and for fines against a | 9 | | payor who wilfully fails to withhold or pay over income | 10 | | pursuant to a properly served income withholding notice or | 11 | | otherwise fails to comply with any duties imposed by the Income | 12 | | Withholding for Support Act .
| 13 | | (a) Notwithstanding any other State or local law to the | 14 | | contrary, the State shall have a lien on all legal and | 15 | | equitable interests of
responsible relatives in their real | 16 | | property
in the amount of past-due child support owing pursuant | 17 | | to an order
for child support entered under Sections 10-10 and | 18 | | 10-11 of this Code, or under
the Illinois Marriage and | 19 | | Dissolution of Marriage Act, the Non-Support of
Spouse and | 20 | | Children Act, the Non-Support Punishment Act, the Uniform
| 21 | | Interstate Family Support Act, or the
Illinois Parentage Act of | 22 | | 1984.
| 23 | | (a-5) The State shall have a lien on all legal and |
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| 1 | | equitable interests of a payor, as that term is described in | 2 | | the Income Withholding for Support Act, in the payor's real | 3 | | property in the amount of any fine imposed by the Illinois | 4 | | Department pursuant to the Income Withholding for Support Act. | 5 | | (b) The Illinois Department shall provide by rule for | 6 | | notice to and an
opportunity to be heard by each responsible | 7 | | relative or payor affected, and any final
administrative | 8 | | decision rendered by the Illinois Department shall be reviewed
| 9 | | only under
and in accordance with the Administrative Review | 10 | | Law.
| 11 | | (c) When enforcing a lien under subsection (a) of this | 12 | | Section, the
Illinois Department shall have the authority to | 13 | | execute notices of
administrative liens and levies, which shall | 14 | | contain the name and address of
the responsible relative or | 15 | | payor , a legal description of the real property
to be levied, | 16 | | the fact that a lien
is being claimed for past-due child | 17 | | support or for the fines imposed on a payor pursuant to the | 18 | | Income Withholding for Support Act , and such other information | 19 | | as the
Illinois Department may by rule prescribe. The Illinois | 20 | | Department shall
record the notice of lien with the recorder or | 21 | | registrar of titles of
the county or counties in which the real | 22 | | estate is located.
| 23 | | (d) The State's lien under subsection (a) shall be
| 24 | | enforceable upon the recording or filing of a notice of lien | 25 | | with the recorder
or registrar of titles of the county or | 26 | | counties in which the real estate is
located. The lien shall be |
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| 1 | | prior to any lien thereafter recorded or filed and
shall be | 2 | | notice to a subsequent purchaser, assignor, or encumbrancer of | 3 | | the
existence and nature of the lien. The lien shall be | 4 | | inferior to the lien of
general taxes, special assessment, and | 5 | | special taxes heretofore or hereafter
levied by any political | 6 | | subdivision or municipal corporation of the State.
| 7 | | In the event that title to the land to be affected by the | 8 | | notice of lien is
registered under the Registered Titles | 9 | | (Torrens) Act, the notice shall be filed
in the office of the | 10 | | registrar of titles as a memorial or charge upon each
folium of | 11 | | the register of titles affected by the notice; but the State | 12 | | shall
not have a preference over the rights of any bona fide | 13 | | purchaser, mortgagee,
judgment creditor, or other lien holders | 14 | | registered prior to the registration
of the notice.
| 15 | | (e) The recorder or registrar of titles of each county | 16 | | shall procure
a file labeled "Child Support Lien Notices" and | 17 | | an index book labeled "Child
Support Lien Notices". When notice | 18 | | of any lien is presented to the recorder or
registrar of titles | 19 | | for filing,
the recorder or registrar of titles shall file it | 20 | | in numerical order in the
file and shall enter it
| 21 | | alphabetically in the index. The entry shall show the name and | 22 | | last known
address of the person or payor named in the notice, | 23 | | the serial number of the notice, the
date and hour of filing, | 24 | | and the amount of child support or the amount of the fine | 25 | | imposed on the payor due at the time when
the lien is filed.
| 26 | | (f) The Illinois Department shall not be required to |
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| 1 | | furnish bond or make a
deposit for or pay any costs or fees of | 2 | | any court or officer thereof in any
legal proceeding involving | 3 | | the lien.
| 4 | | (g) To protect the lien of the State for past-due child | 5 | | support and for any fine imposed against a payor , the
Illinois | 6 | | Department may, from funds that are available for that purpose, | 7 | | pay
or provide for the payment of necessary or essential | 8 | | repairs, purchase tax
certificates, pay balances due on land | 9 | | contracts, or pay or cause to be
satisfied any prior liens on | 10 | | the property to which the lien hereunder applies.
| 11 | | (h) A lien on real property under this Section shall be | 12 | | released
pursuant
to Section 12-101 of the Code of Civil | 13 | | Procedure.
| 14 | | (i) The Illinois Department, acting in behalf of the
State, | 15 | | may foreclose the lien in a judicial proceeding to the same | 16 | | extent and
in the same manner as in the enforcement of other | 17 | | liens. The process,
practice, and procedure for the foreclosure | 18 | | shall be the same as provided in
the Code of Civil Procedure.
| 19 | | (Source: P.A. 97-186, eff. 7-22-11.)
| 20 | | (305 ILCS 5/10-25.5)
| 21 | | Sec. 10-25.5.
Administrative liens and levies on personal | 22 | | property for
past-due child support and for fines against a | 23 | | payor who wilfully fails to withhold or pay over income | 24 | | pursuant to a properly served income withholding notice or | 25 | | otherwise fails to comply with any duties imposed by the Income |
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| 1 | | Withholding for Support Act .
| 2 | | (a) Notwithstanding any other State or local law to the | 3 | | contrary, the State shall have a lien on all legal and | 4 | | equitable interests of
responsible relatives in their personal | 5 | | property, including any account in a
financial institution as | 6 | | defined
in Section 10-24, or in the case of an insurance | 7 | | company or benefit association
only in accounts as defined in | 8 | | Section 10-24, in the amount of past-due child
support owing | 9 | | pursuant to an order
for child support entered under Sections | 10 | | 10-10 and 10-11 of this Code, or under
the Illinois Marriage | 11 | | and Dissolution of Marriage Act, the Non-Support of
Spouse and | 12 | | Children Act, the Non-Support Punishment Act, the Uniform
| 13 | | Interstate Family Support Act, or the
Illinois Parentage Act of | 14 | | 1984.
| 15 | | (a-5) The State shall have a lien on all legal and | 16 | | equitable interests of a payor, as that term is described in | 17 | | the Income Withholding for Support Act, in the payor's personal | 18 | | property in the amount of any fine imposed by the Illinois | 19 | | Department pursuant to the Income Withholding for Support Act. | 20 | | (b) The Illinois Department shall provide by rule for | 21 | | notice to and an
opportunity to be heard by each responsible | 22 | | relative or payor affected, and any final
administrative | 23 | | decision rendered by the Illinois Department shall be reviewed
| 24 | | only under
and in accordance with the Administrative Review | 25 | | Law.
| 26 | | (c) When enforcing a lien under subsection (a) of this |
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| 1 | | Section, the
Illinois Department shall have the authority to | 2 | | execute notices of
administrative liens and levies, which shall | 3 | | contain the name and address of
the responsible relative or | 4 | | payor , a description of the property
to be levied, the fact | 5 | | that a lien
is being claimed for past-due child support, and | 6 | | such other information as the
Illinois Department may by rule | 7 | | prescribe. The Illinois Department may
serve the notice of lien | 8 | | or levy upon any financial institution where
the accounts as | 9 | | defined in Section 10-24 of the responsible relative may be
| 10 | | held, for encumbrance or surrender of the accounts as defined | 11 | | in Section 10-24
by the financial institution.
| 12 | | (d) The Illinois Department shall enforce its lien against | 13 | | the responsible
relative's or payor's personal property, other | 14 | | than accounts as defined in Section 10-24
in financial | 15 | | institutions,
and
levy upon such personal property in the | 16 | | manner provided for enforcement of
judgments contained in | 17 | | Article XII of the Code of Civil Procedure.
| 18 | | (e) The Illinois Department shall not be required to | 19 | | furnish bond or make a
deposit for or pay any costs or fees of | 20 | | any court or officer thereof in any
legal proceeding involving | 21 | | the lien.
| 22 | | (f) To protect the lien of the State for past-due child | 23 | | support and for any fine imposed on a payor , the
Illinois | 24 | | Department may, from funds that are available for that purpose, | 25 | | pay
or provide for the payment of necessary or essential | 26 | | repairs, purchase tax
certificates, or pay or cause to be
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| 1 | | satisfied any prior liens on the property to which the lien | 2 | | hereunder applies.
| 3 | | (g) A lien on personal property under this Section shall be | 4 | | released
in the manner provided under Article XII
of the Code | 5 | | of Civil Procedure.
Notwithstanding the foregoing, a lien under | 6 | | this Section on accounts as defined
in Section 10-24 shall | 7 | | expire upon the passage of 120 days from the date of
issuance | 8 | | of the Notice of Lien or Levy by the Illinois Department. | 9 | | However,
the lien
shall remain in effect during the pendency of | 10 | | any appeal or protest.
| 11 | | (h) A lien created under this Section is subordinate to any | 12 | | prior lien of
the financial institution or any prior lien | 13 | | holder or any prior right of
set-off that the financial | 14 | | institution may have against the assets, or in the
case of an | 15 | | insurance company or benefit association only in the accounts | 16 | | as
defined in Section 10-24.
| 17 | | (i) A financial institution has no obligation under this | 18 | | Section to hold,
encumber, or surrender the assets, or in the | 19 | | case of an insurance company or
benefit association only the | 20 | | accounts as defined in Section 10-24, until the
financial
| 21 | | institution has been properly served with a subpoena, summons, | 22 | | warrant,
court or administrative order, or administrative lien | 23 | | and levy requiring that
action.
| 24 | | (Source: P.A. 97-186, eff. 7-22-11.)
| 25 | | Section 10. The Income Withholding for Support Act is |
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| 1 | | amended by adding Section 50.5 as follows: | 2 | | (750 ILCS 28/50.5 new) | 3 | | Sec. 50.5. Administrative fines imposed by the Department | 4 | | of Healthcare and Family Services. | 5 | | (a) The administrative fines provided for under this | 6 | | Section are in addition to any existing fines or penalties | 7 | | against a payor provided for in other Sections of this Act and | 8 | | do not affect who would be entitled to receive those existing | 9 | | fines and penalties. In addition to any fines or penalties | 10 | | provided for in this Act, when a payor wilfully fails, after | 11 | | receiving 2 reminders from the Department of Healthcare and | 12 | | Family Services, to withhold or pay over income pursuant to a | 13 | | properly served income withholding notice or otherwise fails to | 14 | | comply with any duties imposed by this Act, the Department may | 15 | | impose a fine upon the payor not to exceed $1,000 per payroll | 16 | | period. The fine shall be payable to the Department of | 17 | | Healthcare and Family Services and may be used to defray the | 18 | | costs incurred by the Department in the collection of the | 19 | | past-due support and penalties provided for in this Act. The | 20 | | Department of Healthcare and Family Services shall place the | 21 | | fines collected into a special fund created to implement the | 22 | | purposes of this Section and the fines shall be utilized for | 23 | | the purposes provided for in this Section. After deducting the | 24 | | costs incurred by the Department of Healthcare and Family | 25 | | Services in the collection of the past-due support and |
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| 1 | | penalties provided for in this Act, the remainder of the fines | 2 | | collected under this Section shall be distributed | 3 | | proportionally to the counties based on their population. The | 4 | | counties shall use these funds to assist low income families in | 5 | | defraying the costs associated with seeking parenting time. | 6 | | (b) The Department of Healthcare and Family Services may | 7 | | collect the fine through administrative liens and levies on the | 8 | | real and personal property of the payor as provided in Sections | 9 | | 10-25 and 10-25.5 of the Illinois Public Aid Code. | 10 | | (c) The payor may contest the fine as provided in Sections | 11 | | 10-25 and 10-25.5 of the Illinois Public Aid Code. | 12 | | (d) The Department of Healthcare and Family Services may | 13 | | adopt rules necessary for the implementation of this Section.
| 14 | | Section 99. Effective date. This Act takes effect July 1, | 15 | | 2017. |
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