BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 1355
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          SENATE THIRD READING
          SB 1355 (Wright)
          As Amended June 10, 2010
          Majority vote 

           SENATE VOTE  :35-0  
           
           JUDICIARY           9-1         APPROPRIATIONS      13-1        
           
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          |Ayes:|Feuer, Tran, Brownley,    |Ayes:|Fuentes, Bradford,        |
          |     |Evans, Hagman, Jones,     |     |Charles Calderon, Coto,   |
          |     |Monning, Nava, Huffman    |     |Davis, De Leon, Gatto,    |
          |     |                          |     |Hall, Miller, Skinner,    |
          |     |                          |     |Solorio, Torlakson,       |
          |     |                          |     |Torrico                   |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Knight                    |Nays:|Harkey                    |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY :  Suspends, until July 1, 2015, the obligation to pay  
          child support under an order enforced by the state child support  
          program while the obligor is incarcerated or involuntarily  
          institutionalized, except as specified.  Specifically,  this  
          bill  :  

          1)Provides, effective July 1, 2011, that the obligation to pay  
            child support pursuant to an order that is being enforced  
            under Title IV-D of the Social Security Act is suspended for  
            the period of time in which the obligor is incarcerated or  
            involuntarily institutionalized for any period exceeding 90  
            consecutive days, unless the obligor has the means to pay  
            support while incarcerated or institutionalized.  

          2)Provides that the suspension only applies during the period of  
            incarceration or institutionalization and automatically  
            resumes to the original amount in the order upon release.

          3)Allows the obligor, upon release from incarceration or  
            institutionalization, to petition the court to adjust arrears  
            pursuant to the suspension in 1) above.  Requires the obligor  
            to show proof of dates of incarceration or involuntary  
            institutionalization, as well as proof that the obligor did  








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            not have the means to pay support.  Requires the obligor to  
            serve copies of the petition on the support obligee and the  
            local child support agency, who may file objections to the  
            petition.  Provides that arrears may not be adjusted until the  
            court has approved the petition.

          4)Provides that, notwithstanding 1) above, the court may  
            continue the support obligation if the obligor is incarcerated  
            or involuntarily institutionalized for any domestic violence  
            offense against the custodial parent or the supported child,  
            any offense that could be enjoined by a domestic violence  
            protective order, or for failure to pay child support.  

          5)Defines "incarcerated or involuntarily institutionalized" as  
            including, but not limited to, involuntary confinement to a  
            state prison, county jail, or juvenile facility operated by  
            the Division of Juvenile Facilities in the Department of  
            Corrections and Rehabilitation, or a mental health facility.

          6)Defines "suspend" as modifying the child support order to zero  
            for the period in which the obligor is incarcerated or  
            involuntarily institutionalized.   

          7)Applies to all child support orders issued or modified after  
            July 1, 2011.

          8)Requires the Judicial Council to develop the form necessary to  
            implement these provisions, including a form to petition to  
            adjust arrears.

          9)Sunsets these provisions effective July 1, 2015.
           
          EXISTING LAW  :

          1)Provides that a support order may be modified or terminated at  
            any time as the court determines necessary.  Provides that  
            such support modification or termination may only be made  
            pursuant to the filing of a motion or an order to show cause.   


          2)Prohibits states from enacting laws providing for the  
            retroactive modification or termination of a support order,  
            except that an order modifying or terminating a support order  
            may be made retroactive to the date of the filing of a notice  








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            of motion or order to show cause to modify or terminate the  
            order.  

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          analysis:

          1)To the extent that suspending child support orders encourages  
            incarcerated noncustodial parents to resume paying child  
            support upon their release, it could result in an increase in  
            the amount of child support that is successfully collected. 

          2)The accumulation of past due child support, along with the  
            reduction in current support payments reduces the state's  
            performance on federal child support measures.  This, in turn,  
            reduces the incentive funding California receives from the  
            federal government for its child support program. Therefore,  
            suspending child support orders and reducing the amount of  
            past due child support could increase the amount of federal  
            funding for the Department of Child Support Services (DCSS). 

           COMMENTS  :  There are approximately 2.3 million prisoners in the  
          United States.  A majority of these inmates have children under  
          18 years of age.  Between 1991 and 1997, the number of  
          incarcerated parent in state and federal prisons increased by  
          79%.  For incarcerated parents who are subject to child support  
          orders, arrears and interest will accrue during their period of  
          incarceration unless the parent petitions the court for a  
          modification of the support order.  However, this is often not a  
          realistic alternative for incarcerated parents who are unlikely  
          to know about the modification process.  Currently, there is no  
          uniform statewide approach being utilized to assist this  
          population of obligors, although DCSS has recently established a  
          workgroup to work towards this end.  Lack of resources at the  
          local level has compounded this problem, as local child support  
          agencies do not have the means to implement outreach programs to  
          parents incarcerated within their jurisdiction.  

          In the meantime, the arrears balances for the state's  
          incarcerated parents continue to grow, but will remain largely  
          uncollectible.  According to research, discussed below, this  
          uncollectible support negatively impacts not only the obligor,  
          but also federal funding of the child support program, future  
          child support payments, as well as the obligor's contact with  
          the child, and even rates of recidivism for the obligor.  In  








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          order to address these issues, this bill seeks to automatically  
          suspend child support obligations when a child support obligor  
          is incarcerated or involuntarily institutionalized for more than  
          90 days, unless the obligor otherwise has the means to pay the  
          support.

          In 1999, as part of legislation creating DCSS, DCSS was mandated  
          to analyze the current amount of child support arrears statewide  
          and determine the amount that is realistically collectible.  The  
          study found that, although very few obligors were in state  
          prison at any point in time, their child support situations  
          were, on average, dismal.  The median amount of child support  
          orders for incarcerated obligors was $291 per month, which was  
          only slightly lower than the median amount among all obligors.   
          Their median arrears were $14,564.  As a result, the study  
          recommended suspending child support orders by operation of law  
          while noncustodial parents are incarcerated if they have no  
          income or assets.  

          Research strongly suggests that the build-up of uncollectible  
          debt has implications not just for the obligor, but also for the  
          family:

               Most people agree that parents should support their  
               children to the best of their ability.  However,  
               children receive the most benefit from reliable  
               long- term support from their parents, even if those  
               payments are modest.  The key to regular child  
               support payments is steady employment.  The reality  
               is that most parents coming home from prison have  
               trouble supporting themselves, let alone their  
               children.  Those who cannot maintain steady  
               employment and keep up with their child support  
               obligations fall deeply into debt, and their  
               children lose out. . . . 

               When researchers from the Urban Institute asked  
               recently released men what kept them from returning  
               to prison, the largest percentage singled out  
               support from their families and seeing their  
               children as the most important factors: ties with  
               family and children mattered even more than housing  
               or employment.  Strong family relationships are  
               positively correlated with maintaining employment,  








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               staying away from drugs, and rebuilding a social  
               network after incarceration-practices that also make  
               society safer and save taxpayers money.  Yet, when  
               parents walk away from jobs, they often pull away  
               from their children.  Parents who see no end in  
               sight to their child support debts are less likely  
               to remain in low-wage jobs, to comply with child  
               support obligations in the future, or to reunite  
               with their children and reintegrate into society.

          (Kristen D. Levingston and Vicki Turetsky, Debtor's Prison -  
          Prisoners' Accumulation of Debt as a Barrier to Reentry (41  
          Clearinghouse Review (July-August 2007) (footnotes omitted).)

          Moreover, the accumulation of uncollectible debt, along with the  
          reduction in current support payments will reduce the state's  
          performance on federal child support measures.  This, in turn,  
          will directly reduce the incentive funding California receives  
          from the federal government for its child support program.  

           Analysis Prepared by  :  Leora Gershenzon / JUD. / (916)  
          319-2334FN: 0005106