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Public Act 093-0736


 

Public Act 0736 93RD GENERAL ASSEMBLY



 


 
Public Act 093-0736
 
HB4310 Enrolled LRB093 18967 DRJ 44702 b

    AN ACT concerning child support.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. The Illinois Banking Act is amended by changing
Section 48.4 as follows:
 
    (205 ILCS 5/48.4)
    Sec. 48.4. Enforcement of Administrative liens for
past-due child support.
    (a) Any bank governed by this Act shall encumber or
surrender accounts or assets held by the bank on behalf of any
responsible relative who is subject to a child support lien,
upon notice of the lien or levy of the Illinois Department of
Public Aid or its successor agency pursuant to Section 10-25.5
of the Illinois Public Aid Code, or upon notice of interstate
lien or levy from any other state's agency responsible for
implementing the child support enforcement program set forth in
Title IV, Part D of the Social Security Act.
    (b) Within 90 days after receiving notice from the
Department of Public Aid that the Department has adopted a
child support enforcement debit authorization form as required
under the Illinois Public Aid Code, each bank governed by this
Act shall take all appropriate steps to implement the use of
the form in relation to accounts held by the bank. Upon
receiving from the Department of Public Aid a copy of a child
support enforcement debit authorization form signed by an
obligor, a bank holding an account on behalf of the obligor
shall debit the account and transfer the debited amounts to the
State Disbursement Unit according to the instructions in the
child support enforcement debit authorization form.
(Source: P.A. 92-811, eff. 8-21-02.)
 
    Section 10. The Illinois Savings and Loan Act of 1985 is
amended by changing Section 1-6d as follows:
 
    (205 ILCS 105/1-6d)
    Sec. 1-6d. Enforcement of Administrative liens for
past-due child support.
    (a) Any association governed by this Act shall encumber or
surrender accounts or assets held by the association on behalf
of any responsible relative who is subject to a child support
lien, upon notice of the lien or levy of the Illinois
Department of Public Aid or its successor agency pursuant to
Section 10-25.5 of the Illinois Public Aid Code, or upon notice
of interstate lien or levy from any other state's agency
responsible for implementing the child support enforcement
program set forth in Title IV, Part D of the Social Security
Act.
    (b) Within 90 days after receiving notice from the
Department of Public Aid that the Department has adopted a
child support enforcement debit authorization form as required
under the Illinois Public Aid Code, each association governed
by this Act shall take all appropriate steps to implement the
use of the form in relation to accounts held by the
association. Upon receiving from the Department of Public Aid a
copy of a child support enforcement debit authorization form
signed by an obligor, an association holding an account on
behalf of the obligor shall debit the account and transfer the
debited amounts to the State Disbursement Unit according to the
instructions in the child support enforcement debit
authorization form.
(Source: P.A. 92-811, eff. 8-21-02.)
 
    Section 15. The Savings Bank Act is amended by changing
Section 7007 as follows:
 
    (205 ILCS 205/7007)
    Sec. 7007. Enforcement of Administrative liens for
past-due child support.
    (a) Any savings bank governed by this Act shall encumber or
surrender accounts or assets held by the savings bank on behalf
of any responsible relative who is subject to a child support
lien, upon notice of the lien or levy of the Illinois
Department of Public Aid or its successor agency pursuant to
Section 10-25.5 of the Illinois Public Aid Code, or upon notice
of interstate lien or levy from any other state's agency
responsible for implementing the child support enforcement
program set forth in Title IV, Part D of the Social Security
Act.
    (b) Within 90 days after receiving notice from the
Department of Public Aid that the Department has adopted a
child support enforcement debit authorization form as required
under the Illinois Public Aid Code, each savings bank governed
by this Act shall take all appropriate steps to implement the
use of the form in relation to accounts held by the savings
bank. Upon receiving from the Department of Public Aid a copy
of a child support enforcement debit authorization form signed
by an obligor, a savings bank holding an account on behalf of
the obligor shall debit the account and transfer the debited
amounts to the State Disbursement Unit according to the
instructions in the child support enforcement debit
authorization form.
(Source: P.A. 92-811, eff. 8-21-02.)
 
    Section 20. The Illinois Credit Union Act is amended by
changing Section 43.1 as follows:
 
    (205 ILCS 305/43.1)
    Sec. 43.1. Enforcement of Administrative liens for
past-due child support.
    (a) Any credit union governed by this Act shall encumber or
surrender accounts or assets held by the credit union on behalf
of any responsible relative who is subject to a child support
lien, upon notice of the lien or levy of the Illinois
Department of Public Aid or its successor agency pursuant to
Section 10-25.5 of the Illinois Public Aid Code, or upon notice
of interstate lien from any other state's agency responsible
for implementing the child support enforcement program set
forth in Title IV, Part D of the Social Security Act.
    (b) Within 90 days after receiving notice from the
Department of Public Aid that the Department has adopted a
child support enforcement debit authorization form as required
under the Illinois Public Aid Code, each credit union governed
by this Act shall take all appropriate steps to implement the
use of the form in relation to accounts held by the credit
union. Upon receiving from the Department of Public Aid a copy
of a child support enforcement debit authorization form signed
by an obligor, a credit union holding an account on behalf of
the obligor shall debit the account and transfer the debited
amounts to the State Disbursement Unit according to the
instructions in the child support enforcement debit
authorization form.
(Source: P.A. 90-18, eff. 7-1-97.)
 
    Section 25. The Foreign Banking Office Act is amended by
changing Section 20 as follows:
 
    (205 ILCS 645/20)
    Sec. 20. Enforcement of Administrative liens for past-due
child support.
    (a) Any foreign banking corporation governed by this Act
shall encumber or surrender accounts or assets held by the
foreign banking corporation on behalf of any responsible
relative who is subject to a child support lien, upon notice of
the lien or levy of the Illinois Department of Public Aid or
its successor agency pursuant to Section 10-25.5 of the
Illinois Public Aid Code, or upon notice of interstate lien
from any other state's agency responsible for implementing the
child support enforcement program set forth in Title IV, Part D
of the Social Security Act.
    (b) Within 90 days after receiving notice from the
Department of Public Aid that the Department has adopted a
child support enforcement debit authorization form as required
under the Illinois Public Aid Code, each foreign banking
corporation governed by this Act shall take all appropriate
steps to implement the use of the form in relation to accounts
held by the corporation. Upon receiving from the Department of
Public Aid a copy of a child support enforcement debit
authorization form signed by an obligor, a foreign banking
corporation holding an account on behalf of the obligor shall
debit the account and transfer the debited amounts to the State
Disbursement Unit according to the instructions in the child
support enforcement debit authorization form.
(Source: P.A. 90-18, eff. 7-1-97; 90-655, eff. 7-30-98.)
 
    Section 30. The Illinois Public Aid Code is amended by
adding Section 10-16.7 as follows:
 
    (305 ILCS 5/10-16.7 new)
    Sec. 10-16.7. Child support enforcement debit
authorization.
    (a) For purposes of this Section:
    "Financial institution" and "account" are defined as set
forth in Section 10-24.
    "Payor" is defined as set forth in Section 15 of the Income
Withholding for Support Act.
    "Order for support" means any order for periodic payment of
funds to the State Disbursement Unit for the support of a child
or, where applicable, for support of a child and a parent with
whom the child resides, that is entered or modified under this
Code or under the Illinois Marriage and Dissolution of Marriage
Act, the Non-Support of Spouse and Children Act, the
Non-Support Punishment Act, or the Illinois Parentage Act of
1984, or that is entered or registered for modification or
enforcement under the Uniform Interstate Family Support Act.
    "Obligor" means an individual who owes a duty to make
payments under an order for support in a case in which child
support enforcement services are being provided under this
Article X.
    (b) The Department of Public Aid shall adopt a child
support enforcement debit authorization form that, upon being
signed by an obligor, authorizes a financial institution
holding an account on the obligor's behalf to debit the
obligor's account periodically in an amount equal to the amount
of child support that the obligor is required to pay
periodically and transfer that amount to the State Disbursement
Unit. The form shall include instructions to the financial
institution concerning the debiting of accounts held on behalf
of obligors and the transfer of the debited amounts to the
State Disbursement Unit. In adopting the form, the Department
may consult with the Office of Banks and Real Estate and the
Department of Financial Institutions. The Department must
adopt the form within 6 months after the effective date of this
amendatory Act of the 93rd General Assembly. Promptly after
adopting the form, the Department must notify each financial
institution conducting business in this State that the form has
been adopted and is ready for use.
    (c) An obligor who does not have a payor may sign a child
support debit authorization form adopted by the Department
under this Section. The obligor may sign a form in relation to
any or all of the financial institutions holding an account on
the obligor's behalf. Promptly after an obligor signs a child
support debit authorization form, the Department shall send the
original signed form to the appropriate financial institution.
Subject to subsection (e), upon receiving the form, the
financial institution shall debit the account and transfer the
debited amounts to the State Disbursement Unit according to the
instructions in the form. A financial institution that complies
with a child support debit authorization form signed by an
obligor and issued under this Section shall not be subject to
civil liability with respect to any individual or any agency.
    (d) The signing and issuance of a child support debit
authorization form under this Section does not relieve the
obligor from responsibility for compliance with any
requirement under the order for support.
    (e) A financial institution is obligated to debit the
account of an obligor pursuant to this Section only if or to
the extent:
        (1) the financial institution reasonably believes the
    debit authorization form is a true and authentic original
    document;     
        (2) there are finally collected funds in the account;
    and
        (3) the account is not subject to offsetting claims of
    the financial institution, whether due at the time of
    receipt of the debit authorization form or thereafter to
    become due and whether liquidated or unliquidated.
    To the extent the account of the obligor is pledged or held
by the financial institution as security for a loan or other
obligation, or that the financial institution has any other
claim or lien against the account, the financial institution is
entitled to retain the account.
 
    Section 99. Effective date. This Act takes effect upon
becoming law.

Effective Date: 7/14/2004