BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                            Senator Carole Migden, Chair

                                           1082 (Morrow)
          
          Hearing Date:  5/16/05          Amended: 5/10/05
          Consultant:  Lisa Matocq        Policy Vote: Judiciary 6-0
          _________________________________________________________________ 
          ____
          BILL SUMMARY:   

          SB 1082, an urgency measure, facilitates a process whereby  
          deployed military personnel can seek a modification of their  
          child support orders, and makes related changes.   
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          ____
                            Fiscal Impact (in thousands)

           Major Provisions               2005-06     2006-07   2007-08    Fund
                                                                   
          DCSS                              Unknown, potentially  
          significant,         General
                                                         costs.  Costs may  
          be offset to some 
                                                         extent by  
          collection cost savings. 

          Courts/Judicial Council                           Unknown costs  
          or savings                  General
            
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: This bill may meet the criteria for referral to  
          the Suspense File, depending on the extent of the Department of  
          Child Support Services' (DCSS) outreach efforts. 


          The bill is intended to provide financial relief for activated  
          reservists and National Guard personnel who experience a  
          reduction in income due to activation, by establishing a process  
          whereby they may seek a modification of their child support  
          orders.  


          Under current law, a court is prohibited from modifying a child  










          support order retroactive to any period of time prior to the  
          filing of a motion or order to show cause for modification. A  
          court is authorized however, under certain circumstances, to  
          make an order retroactive to the date of filing of the motion.    



          This bill requires the court, except as otherwise specified,  
          when modifying or terminating a child support order based on a  
          change in income resulting from the activation to military  
          service or National Guard duty and deployment overseas, to make  
          the order retroactive to the date of service on the other party  
          or the date of activation, whichever is later. It also  
          establishes related procedures for an expedited modification. In  
          addition, the bill prohibits the accumulation of interest and  
          penalties, in certain circumstances, on the amount of support,  
          and requires Judicial Council to develop related forms.  


          Under current law, a final custody or visitation order may be  
          modified by the family court only if some significant change in  
          circumstances indicates that a different arrangement


          SB 1082


          Page Two





          would be in the child's best interest.  This bill provides that  
          a party's absence from the home or failure to comply with a  
          custody or visitation order may not, in and of itself, justify a  
          modification of the order if the reason for the absence or  
          failure is the party's activation to military service and  
          deployment out-of-state. 


          Current law requires the DCSS to establish and maintain a  
          program for the compromise of child support arrears and interest  
          owed. The compromised amount must take into consideration the  
          obligor's ability to pay and meet other criteria.  Currently, a  
          total of $19 billion is in arrears; the collection costs on  










          child support arrears are significant.


          This bill requires DCSS to work with the military and National  
          Guard to inform service members of their ability to have support  
          orders modified based on a change in income, and to develop a  
          related form.  Increased costs to DCSS are unknown, but could be  
          significant, depending on the extent of outreach efforts. On the  
          other hand, to the extent that this bill results in orders that  
          more closely reflect the obligor's ability to pay, arrears may  
          not accumulate at the same rate, and there could be unknown,  
          though probably not substantial, collection cost savings. 


          Increased costs to Judicial Council to develop forms are minor,  
          absorbable.  The additional workload to the courts would be  
          relatively small, therefore increased costs for the new process  
          are probably not substantial.