BILL ANALYSIS                                                                                                                                                                                                    



                                                                 SB 1082
                                                                 Page  1

          Date of Hearing:   June 28, 2005

                       ASSEMBLY COMMITTEE ON VETERANS AFFAIRS
                                 Mike Gordon, Chair
               SB 1082 (Morrow and Ducheny) - As Amended:  May 10, 2005

           SENATE VOTE  :   40-0
           
          SUBJECT  :   Child support: military reservists

           SUMMARY  :   Provides for modification of child custody,  
          visitation and support obligations for active duty military  
          personnel.  Specifically,  this bill  :  
           
          1) Requires the Judicial Council, within 90 days after the  
          effective date of this bill, to create a form notice of  
          activation and request for modification, containing specified  
          information, which a service member can use to request a hearing  
          based on the change in income as a result of military activation  
          and deployment.  

          2) Requires the court, when modifying a support obligation based  
          on a change in income attributable to activation and deployment,  
          to make the order retroactive to the date of service of the  
          pleading on the other party or the date of activation, whichever  
          is later.  

          3) Provides that, for obligor service members who do not use the  
          streamlined modification process created by this bill, interest  
          nevertheless does not accrue on the amount of support that would  
          not have been owed had the obligor obtained a modified support  
          order to reflect his or her reduced income as a result of being  
          activated to military service and deployed out-of-state.  

          4) Provides that upon a finding by the court that good cause did  
          not exist for the service member's failure to seek, or delay in  
          seeking the modification, this bill would permit the court to  
          order that interest shall accrue as otherwise authorized by law.  
           

          5) Prohibits, absent a finding of good cause, penalties from  
          being imposed with regard to unpaid support that accrued because  
          an activated, deployed service member failed to modify his or  
          her support order prior to deployment to reflect his or her  
          reduced income.  








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          6) Requires Department of Child Support Services (DCSS) to work  
          with the military and the National Guard to provide information  
          to service members regarding their rights to modification or  
          compromise of their support order based on their activation and  
          to develop a form for service members to use that would allow  
          the local child support agency to seek a modification without  
          the presence of the service member.

          7) Declares that, absent a finding of good cause to the  
          contrary, a compromise of child support arrears owed to the  
          state shall be in the best interest of the state if the support  
          obligor was a reservist or National Guard member who was  
          activated and deployed out-of-state and the service member  
          failed to modify the support order to reflect the reduced income  
          he or she was paid by the military.  

          8) Restates the requirements of federal law, by requiring the  
          court to grant a stay of the motion or order to show cause for  
          modification if the service member's application cannot be heard  
          prior to deployment.  The requirements for a stay would be  
          consistent with the time lines and conditions for granting a  
          stay set forth in the federal Servicemembers Civil Relief Act.  

          9) 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.

          10) Declares the urgency of this legislation in order to ensure  
          the rights of soldiers and sailors who return from active duty  
          in Iraq and Afghanistan before December 31, 2005 are protected.

           EXISTING LAW  

          1) Prohibits a court from modifying a child support order  
          retroactive to any period of time prior to the filing and  
          service of a motion or order to show cause for modification.   

          2) Authorizes, but does not require, a court to make an order  
          retroactive to the date of filing and notice of the motion or  
          order to show cause for modification.  If, however, the  
          modification is due to the unemployment of the support obligor  
          or obligee, the court is required, absent a finding of good  








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          cause, to make the order retroactive to the date of unemployment  
          or the date of service, whichever is later.   

          3) Provides that interest commences to accrue at the rate of 10  
          percent per year on a money judgment on the date of entry of  
          judgment.  If a money judgment is payable in installments,  
          interest accrues as to each installment on the date the  
          installment becomes due. 

          4) Authorizes the court to assess penalties for nonpayment of  
          support in egregious instances of noncompliance with a child  
          support order. 

          5) Requires DCSS to establish a program for the compromise of  
          child support arrears and interest owed to the state.  The  
          amount of the compromise shall take into account the obligor's  
          ability to pay and must be in the best interest of the state.   

          6) Requires the court, upon application of a service member or  
          on its own motion, to grant a stay of 90 days or more in any  
          civil action or proceeding at any time prior to final judgment  
          if certain conditions are satisfied.  The application must set  
          forth how the current military duty requirements materially  
          affect the service member's ability to appear.  Provides that,  
          upon expiration of the mandatory stay, the court may grant an  
          additional stay, upon application of the service member  
          demonstrating that continuing military duty will have a material  
          affect on his or her ability to appear.  If the court refuses to  
          grant the additional stay, it shall appoint counsel to represent  
          the service member.  

          7) Provides that 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 would be in  
          the child's best interest.  

           FISCAL EFFECT  :   Unknown

           COMMENTS :   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.  

          According to the authors, reservists and National Guard  








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          personnel are being activated to military service with little  
          time to take care of the many pressing issues that they are  
          leaving behind.  The authors maintain that "those with family  
          law issues cannot get into court before deployment given the  
          amount of time between orders and the shipping out date.  A  
          guardsmen can be activated in as little as 72 hours and often  
          suffer a significant pay decrease when transitioning from  
          civilian to military life.  If they experience a reduction in  
          income due to the activation and fail to modify their support  
          orders to reflect this reduced income, they may return from  
          active duty with a substantial amount of arrears having accrued.
          
          The authors also express a concern that in the service member's  
          absence, court orders have been made inappropriately altering  
          custody and visitation arrangements without giving the service  
          member an opportunity to be heard on the issue.  Sponsors of the  
          bill argue that a service member's fulfillment of duty should  
          not be allowed to be a device to deprive him or her of child  
          visitation.

          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.  

          This bill also 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.

           PREVIOUS HEARING:   This bill was heard in the Assembly Committee  
          on Judiciary on June 21, 2005 and was passed with a vote of 9-0.  
           
           
          REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          Armed Forces Retirees Association of California (sponsor)








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          California Association of County Veterans Service Officers
           
            Opposition 
           
          None on file

           Analysis Prepared by  :    Tim Valderrama / V. A. / (916) 319-3550