101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB0929

 

Introduced , by Rep. Lindsay Parkhurst

 

SYNOPSIS AS INTRODUCED:
 
735 ILCS 5/2-1303  from Ch. 110, par. 2-1303
735 ILCS 5/12-109  from Ch. 110, par. 12-109

    Amends the Code of Civil Procedure. Provides that the interest on judgments arising by operation of law from child support orders shall be calculated by applying one-twelfth of 5% (rather than one-twelfth of 9%) to the unpaid child support balance as of the end of each calendar month. Provides that every calendar year, beginning in 2021, the Department of Healthcare and Family Services shall determine the percentage of simple interest that shall accrue on unpaid child support obligations. Makes corresponding changes. Effective immediately.


LRB101 06960 LNS 51993 b

 

 

A BILL FOR

 

HB0929LRB101 06960 LNS 51993 b

1    AN ACT concerning civil law.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Code of Civil Procedure is amended by
5changing Sections 2-1303 and 12-109 as follows:
 
6    (735 ILCS 5/2-1303)  (from Ch. 110, par. 2-1303)
7    Sec. 2-1303. Interest on judgment. Except for judgments
8arising by operation of law from a child support order,
9judgments Judgments recovered in any court shall draw interest
10at the rate of 9% per annum from the date of the judgment until
11satisfied or 6% per annum when the judgment debtor is a unit of
12local government, as defined in Section 1 of Article VII of the
13Constitution, a school district, a community college district,
14or any other governmental entity. When judgment is entered upon
15any award, report or verdict, interest shall be computed at the
16above rate, from the time when made or rendered to the time of
17entering judgment upon the same, and included in the judgment.
18Interest shall be computed and charged only on the unsatisfied
19portion of the judgment as it exists from time to time. The
20judgment debtor may by tender of payment of judgment, costs and
21interest accrued to the date of tender, stop the further
22accrual of interest on such judgment notwithstanding the
23prosecution of an appeal, or other steps to reverse, vacate or

 

 

HB0929- 2 -LRB101 06960 LNS 51993 b

1modify the judgment.
2(Source: P.A. 85-907.)
 
3    (735 ILCS 5/12-109)  (from Ch. 110, par. 12-109)
4    Sec. 12-109. Interest on judgments.
5    (a) Every judgment except those arising by operation of law
6from child support orders shall bear interest thereon as
7provided in Section 2-1303.
8    (b) Every judgment arising by operation of law from a child
9support order shall bear interest as provided in this
10subsection. The interest on judgments arising by operation of
11law from child support orders shall be calculated by applying
12one-twelfth of 5% the current statutory interest rate as
13provided in Section 2-1303 to the unpaid child support balance
14as of the end of each calendar month. The unpaid child support
15balance at the end of the month is the total amount of child
16support ordered, excluding the child support that was due for
17that month to the extent that it was not paid in that month and
18including judgments for retroactive child support, less all
19payments received and applied as set forth in this subsection.
20The accrued interest shall not be included in the unpaid child
21support balance when calculating interest at the end of the
22month. The unpaid child support balance as of the end of each
23month shall be determined by calculating the current monthly
24child support obligation and applying all payments received for
25that month, except federal income tax refund intercepts, first

 

 

HB0929- 3 -LRB101 06960 LNS 51993 b

1to the current monthly child support obligation and then
2applying any payments in excess of the current monthly child
3support obligation to the unpaid child support balance owed
4from previous months. The current monthly child support
5obligation shall be determined from the document that
6established the support obligation. Federal income tax refund
7intercepts and any payments in excess of the current monthly
8child support obligation shall be applied to the unpaid child
9support balance. Any payments in excess of the current monthly
10child support obligation and the unpaid child support balance
11shall be applied to the accrued interest on the unpaid child
12support balance. Interest on child support obligations may be
13collected by any means available under State law for the
14collection of child support judgments. Every calendar year,
15beginning in 2021, the Illinois Department of Healthcare and
16Family Services shall determine the percentage of simple
17interest that shall accrue on unpaid child support obligations.
18(Source: P.A. 98-563, eff. 8-27-13.)
 
19    Section 99. Effective date. This Act takes effect upon
20becoming law.