BILL NUMBER: SB 580	ENROLLED
	BILL TEXT

	PASSED THE SENATE  JUNE 28, 2010
	PASSED THE ASSEMBLY  JUNE 21, 2010
	AMENDED IN ASSEMBLY  JUNE 7, 2010
	AMENDED IN SENATE  JANUARY 13, 2010
	AMENDED IN SENATE  DECEMBER 15, 2009

INTRODUCED BY   Senator Wright

                        FEBRUARY 27, 2009

   An act to amend Sections 3751, 4061, 4063, and 17422 of the Family
Code, relating to child support.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 580, Wright. Child support: health insurance.
   Existing law provides that in a case in which an amount is set for
child support, the court is required to order either or both parties
to provide health insurance coverage for the supported child, if the
cost of the insurance is reasonable. Under existing law, health
insurance is rebuttably presumed to be reasonable in cost if it is
employment-related or other group health insurance.
   This bill would instead require that the court determine that the
cost of health insurance is reasonable if it does not exceed 5% of
the obligor's gross income, as specified, unless the obligor is
entitled to a low-income adjustment, as defined, in which case the
court would be required to determine that the cost of health
insurance is not reasonable, unless the court determines that not
requiring medical support would be unjust and inappropriate.
   Existing law provides that when either parent uses a health care
provider other than the preferred provider designated by the health
care insurance coverage, the parent obtaining that care is solely
responsible for any nonreimbursable health care costs in excess of
the costs that would have been incurred under the court-ordered
health care insurance coverage had the preferred provider been used.
Existing law requires a court, in evaluating a motion based on this
provision, to consider the geographic access and reasonable
availability of necessary health care for the child which complies
with the terms of the health care insurance coverage paid for by
either parent pursuant to a court order.
   This bill would require the court to apply a rebuttable
presumption that health care insurance is accessible if medical
services to be provided are within 50 miles of the residence of the
supported child. The bill would require the court, if it determines
that health care insurance is not accessible, to state the reason on
the record.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 3751 of the Family Code is amended to read:
   3751.  (a) (1) Support orders issued or modified pursuant to this
chapter shall include a provision requiring the child support obligor
to keep the agency designated under Title IV-D of the Social
Security Act (42 U.S.C. Sec. 651 et seq.) informed of whether the
obligor has health insurance coverage at a reasonable cost and, if
so, the health insurance policy information.
   (2) In any case in which an amount is set for current support, the
court shall require that health insurance coverage for a supported
child shall be maintained by either or both parents if that insurance
is available at no cost or at a reasonable cost to the parent.
Health insurance coverage shall be rebuttably presumed to be
reasonable in cost if the cost to the responsible parent providing
medical support does not exceed 5 percent of his or her gross income.
In applying the 5 percent for the cost of health insurance, the cost
is the difference between self-only and family coverage. If the
obligor is entitled to a low-income adjustment as provided in
paragraph (7) of subdivision (b) of Section 4055, medical support
shall be deemed not reasonable, unless the court determines that not
requiring medical support would be unjust and inappropriate in the
particular case. If the court determines that the cost of health
insurance coverage is not reasonable, the court shall state its
reasons on the record. If the court determines that, although the
obligor is entitled to a low-income adjustment, not requiring medical
support would be unjust and inappropriate, the court shall state its
reasons on the record.
   (b) If the court determines that health insurance coverage is not
available at no cost or at a reasonable cost, the court's order for
support shall contain a provision that specifies that health
insurance coverage shall be obtained if it becomes available at no
cost or at a reasonable cost. Upon health insurance coverage at no
cost or at a reasonable cost becoming available to a parent, the
parent shall apply for that coverage.
   (c) The court's order for support shall require the parent who, at
the time of the order or subsequently, provides health insurance
coverage for a supported child to seek continuation of coverage for
the child upon attainment of the limiting age for a dependent child
under the health insurance coverage if the child meets the criteria
specified under Section 1373 of the Health and Safety Code or Section
10277 or 10278 of the Insurance Code and that health insurance
coverage is available at no cost or at a reasonable cost to the
parent or parents, as applicable.
  SEC. 2.  Section 4061 of the Family Code is amended to read:
   4061.  The amounts in Section 4062 shall be considered additional
support for the children and shall be computed in accordance with the
following:
   (a) If there needs to be an apportionment of expenses pursuant to
Section 4062, the expenses shall be divided one-half to each parent,
unless either parent requests a different apportionment pursuant to
subdivision (b) and presents documentation which demonstrates that a
different apportionment would be more appropriate.
   (b) If requested by either parent, and the court determines it is
appropriate to apportion expenses under Section 4062 other than
one-half to each parent, the apportionment shall be as follows:
   (1) The basic child support obligation shall first be computed
using the formula set forth in subdivision (a) of Section 4055, as
adjusted for any appropriate rebuttal factors in subdivision (b) of
Section 4057.
   (2) Any additional child support required for expenses pursuant to
Section 4062 shall thereafter be ordered to be paid by the parents
in proportion to their net disposable incomes as adjusted pursuant to
subdivisions (c) and (d).
   (c) In cases where spousal support is or has been ordered to be
paid by one parent to the other, for purposes of allocating
additional expenses pursuant to Section 4062, the gross income of the
parent paying spousal support shall be decreased by the amount of
the spousal support paid and the gross income of the parent receiving
the spousal support shall be increased by the amount of the spousal
support received for as long as the spousal support order is in
effect and is paid.
   (d) For purposes of computing the adjusted net disposable income
of the parent paying child support for allocating any additional
expenses pursuant to Section 4062, the net disposable income of the
parent paying child support shall be reduced by the amount of any
basic child support ordered to be paid under subdivision (a) of
Section 4055. However, the net disposable income of the parent
receiving child support shall not be increased by any amount of child
support received.
  SEC. 3.  Section 4063 of the Family Code is amended to read:
   4063.  (a) When making an order pursuant to paragraph (2) of
subdivision (a) of Section 4062, the court shall:
   (1) Advise each parent, in writing or on the record, of his or her
rights and liabilities, including financial responsibilities.
   (2) Include in its order the time period for a parent to reimburse
the other parent for the reimbursing parent's share of the
reasonable additional child support costs subject to the requirements
of this section.
   (b) Unless there has been an assignment of rights pursuant to
Section 11477 of the Welfare and Institutions Code, when either
parent accrues or pays costs pursuant to an order under this section,
that parent shall provide the other parent with an itemized
statement of the costs within a reasonable time, but not more than 30
days after accruing the costs. These costs shall then be paid as
follows:
   (1) If a parent has already paid all of these costs, that parent
shall provide proof of payment and a request for reimbursement of his
or her court-ordered share to the other parent.
   (2) If a parent has paid his or her court-ordered share of the
costs only, that parent shall provide proof of payment to the other
parent, request the other parent to pay the remainder of the costs
directly to the provider, and provide the reimbursing parent with any
necessary information about how to make the payment to the provider.

   (3) The other parent shall make the reimbursement or pay the
remaining costs within the time period specified by the court, or, if
no period is specified, within a reasonable time not to exceed 30
days from notification of the amount due, or according to any payment
schedule set by the health care provider for either parent unless
the parties agree in writing to another payment schedule or the court
finds good cause for setting another payment schedule.
   (4) If the reimbursing parent disputes a request for payment, that
parent shall pay the requested amount and thereafter may seek
judicial relief under this section and Section 290. If the
reimbursing parent fails to pay the other parent as required by this
subdivision, the other parent may seek judicial relief under this
section and Section 290.
   (c) Either parent may file a noticed motion to enforce an order
issued pursuant to this section. In addition to the court's powers
under Section 290, the court may award filing costs and reasonable
attorney's fees if it finds that either party acted without
reasonable cause regarding his or her obligations pursuant to this
section.
   (d) There is a rebuttable presumption that the costs actually paid
for the uninsured health care needs of the children are reasonable,
except as provided in subdivision (e).
   (e) Except as provided in subdivision (g):
   (1) The health care insurance coverage, including, but not limited
to, coverage for emergency treatment, provided by a parent pursuant
to a court order, shall be the coverage to be utilized at all times,
consistent with the requirements of that coverage, unless the other
parent can show that the health care insurance coverage is inadequate
to meet the child's needs.
   (2) If either parent obtains health care insurance coverage in
addition to that provided pursuant to the court order, that parent
shall bear sole financial responsibility for the costs of that
additional coverage and the costs of any care or treatment obtained
pursuant thereto in excess of the costs that would have been incurred
under the health care insurance coverage provided for in the court
order.
   (f) Except as provided in subdivision (g):
   (1) If the health care insurance coverage provided by a parent
pursuant to a court order designates a preferred health care
provider, that preferred provider shall be used at all times,
consistent with the terms and requirements of that coverage.
   (2) If either parent uses a health care provider other than the
preferred provider inconsistent with the terms and requirements of
the court-ordered health care insurance coverage, the parent
obtaining that care shall bear the sole responsibility for any
nonreimbursable health care costs in excess of the costs that would
have been incurred under the court-ordered health care insurance
coverage had the preferred provider been used.
   (g) When ruling on a motion made pursuant to this section, in
order to ensure that the health care needs of the child under this
section are met, the court shall consider all relevant facts,
including, but not limited to, the following:
   (1) The geographic access and reasonable availability of necessary
health care for the child which complies with the terms of the
health care insurance coverage paid for by either parent pursuant to
a court order. Health insurance shall be rebuttably presumed to be
accessible if services to be provided are within 50 miles of the
residence of the child subject to the support order. If the court
determines that health insurance is not accessible, the court shall
state the reason on the record.
   (2) The necessity of emergency medical treatment that may have
precluded the use of the health care insurance, or the preferred
health care provider required under the insurance, provided by either
parent pursuant to a court order.
   (3) The special medical needs of the child.
   (4) The reasonable inability of a parent to pay the full amount of
reimbursement within a 30-day period and the resulting necessity for
a court-ordered payment schedule.
  SEC. 4.  Section 17422 of the Family Code is amended to read:
   17422.  (a) The state medical insurance form required in Article 1
(commencing with Section 3750) of Chapter 7 of Part 1 of Division 9
shall include, but shall not be limited to, all of the following:
   (1) The parent or parents' names, addresses, and social security
numbers.
   (2) The name and address of each parent's place of employment.
   (3) The name or names, addresses, policy number or numbers, and
coverage type of the medical insurance policy or policies of the
parents, if any.
   (4) The name, CalWORKs case number, social security number, and
Title IV-E foster care case number or Medi-Cal case numbers of the
parents and children covered by the medical insurance policy or
policies.
   (b) (1) In any action brought or enforcement proceeding instituted
by the local child support agency under this division for payment of
child or spousal support, a completed state medical insurance form
shall be obtained and sent by the local child support agency to the
State Department of Health Services in the manner prescribed by the
State Department of Health Services.
   (2) Where it has been determined under Section 3751 that health
insurance coverage is not available at no or reasonable cost, the
local child support agency shall seek a provision in the support
order that provides for health insurance coverage should it become
available at no or reasonable cost.
   (3) Health insurance coverage shall be considered reasonable in
cost if the cost to the responsible parent providing medical support
does not exceed 5 percent of his or her gross income. In applying the
5 percent for the cost of health insurance, the cost is the
difference between self-only and family coverage. If the obligor is
entitled to a low-income adjustment as provided in paragraph (7) of
subdivision (b) of Section 4055, health insurance shall not be
enforced, unless the court determines that not requiring medical
support would be unjust and inappropriate in the particular case. As
used in this section, "health insurance coverage" also includes
providing for the delivery of health care services by a fee for
service, health maintenance organization, preferred provider
organization, or any other type of health care delivery system under
which medical services could be provided to the dependent child or
children of an absent parent.
   (c) (1) The local child support agency shall request employers and
other groups offering health insurance coverage that is being
enforced under this division to notify the local child support agency
if there has been a lapse in insurance coverage. The local child
support agency shall be responsible for forwarding information
pertaining to the health insurance policy secured for the dependent
children for whom the local child support agency is enforcing the
court-ordered medical support to the custodial parent.
   (2) The local child support agency shall periodically communicate
with the State Department of Health Services to determine if there
have been lapses in health insurance coverage for public assistance
applicants and recipients. The State Department of Health Services
shall notify the local child support agency when there has been a
lapse in court-ordered insurance coverage.
   (3) The local child support agency shall take appropriate action,
civil or criminal, to enforce the obligation to obtain health
insurance when there has been a lapse in insurance coverage or
failure by the responsible parent to obtain insurance as ordered by
the court.
   (4) The local child support agency shall inform all individuals
upon their application for child support enforcement services that
medical support enforcement services are available.