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7 LONG TITLE
8 General Description:
9 This bill addresses the collection of government entities' delinquent accounts receivable
10 by the Division of Finance.
11 Highlighted Provisions:
12 This bill:
13 ▸ expands accounts receivable subject to collection efforts of the Division of Finance
14 to include an amount due as a result of a tax;
15 ▸ authorizes a political subdivision to enter into an agreement with a local agency for
16 submitting accounts receivable for collection by the Division of Finance;
17 ▸ provides requirements for a political subdivision that enters into an agreement with
18 a local agency for the collection of accounts receivable; and
19 ▸ makes technical changes.
20 Money Appropriated in this Bill:
21 None
22 Other Special Clauses:
23 None
24 Utah Code Sections Affected:
25 AMENDS:
26 63A-3-301, as last amended by Laws of Utah 2019, Chapter 84
27 63A-3-302, as last amended by Laws of Utah 2019, Chapter 84
28 63A-3-307, as last amended by Laws of Utah 2019, Chapter 84
29 63A-3-310, as last amended by Laws of Utah 2019, Chapter 84
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31 Be it enacted by the Legislature of the state of Utah:
32 Section 1. Section 63A-3-301 is amended to read:
33 63A-3-301. Definitions.
34 As used in this part:
35 (1) "Account receivable" or "receivable" means any amount due the state or any other
36 governmental entity within the state as a result of a judgment, citation, tax, or administrative
37 order, or for which materials or services have been provided but for which payment has not
38 been received by the servicing unit.
39 (2) "Debtor" means a party that owes, or is alleged to owe, an account receivable.
40 (3) "Division" means the Division of Finance, created in Section 63A-3-101.
41 (4) "Local agency" means a nonprofit entity organized by participating political
42 subdivisions to act on behalf of the participating political subdivisions with respect to the
43 office's efforts to collect accounts receivable of participating political subdivisions through
44 administrative offsets.
45 [
46 recipient's last known address.
47 (6) "Participating political subdivision" means a political subdivision that has entered
48 into an agreement with a local agency authorizing the local agency to act on behalf of the
49 political subdivision with respect to the office's efforts to collect accounts receivable of the
50 political subdivision through administrative offsets.
51 (7) "Political subdivision" means the same as that term is defined in Section
52 63G-7-102.
53 Section 2. Section 63A-3-302 is amended to read:
54 63A-3-302. Unpaid accounts receivable -- Political subdivision agreement with
55 local agency.
56 (1) If any account receivable at any point has been unpaid for 90 days or more, any
57 agency or other authority of the state, or any political subdivision[
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59 to collect the delinquent amount.
60 (2) (a) A political subdivision may enter into an agreement with a local agency under
61 which the local agency, for a reasonable fee that the political subdivision and local agency
62 agree upon, prepares and submits the political subdivision's accounts receivable for collection
63 as provided in this part.
64 (b) Notwithstanding an agreement under Subsection (2)(a), a participating political
65 subdivision shall:
66 (i) establish an agreement with the division for submitting delinquent accounts
67 receivable under this part; and
68 (ii) with respect to the accounts receivable that the participating political subdivision
69 submits through a local agency for collection under this part:
70 (A) receive and respond to an administrative hearing requested under Section
71 63A-3-305; and
72 (B) administer an adjudicative proceeding required under Section 63A-3-306.
73 Section 3. Section 63A-3-307 is amended to read:
74 63A-3-307. Liens.
75 (1) The following shall constitute a lien in the amount of the receivable plus interest,
76 penalties, and collection costs allowed by law against any state income tax overpayment or
77 refund due or to become due the debtor:
78 (a) a judgment, citation, tax, or administrative order issued by any agency, court, or
79 other authority of the state, or by any political subdivision[
80 or
81 (b) an amount, that has at any point been unpaid for 90 days or more, due the state or
82 other governmental entity for which materials or services have been provided but for which
83 payment has not been received by the servicing unit.
84 (2) The lien created by this section shall, for the purposes of Section 59-10-529 only,
85 be considered a judgment.
86 Section 4. Section 63A-3-310 is amended to read:
87 63A-3-310. Rules for implementing part.
88 The [
89 including rules for the conduct of hearings, injured spouse claims, and appointment of hearing
90 examiners.