BY REPRESENTATIVE Faatz;
also SENATOR Hopper.
CONCERNING THE WITHHOLDING OF APPROVED DISBURSEMENTS
BY THE CONTROLLER OF CERTAIN DELINQUENT DEBTS OWED BY VENDORS,
AND MAKING APPROPRIATIONS IN CONNECTION THEREWITH.
Be it enacted by the General Assembly of the State
of Colorado:
SECTION 1. 2430202
(1), Colorado Revised Statutes, 1988 Repl. Vol., is amended to
read:
2430202. Procedures
vouchers and warrants rules penalties.
(1) No disbursements shall be made in payment of any
liability incurred on behalf of the state, other than from petty
cash, unless there has been previously filed with the division
of accounts and control a commitment voucher. The commitment voucher
may be in the form of an advice of employment, a purchase order,
a copy of a contract, or a travel authorization or in other form
appropriate to the type of transaction as prescribed by the controller.
Any state contract involving the payment of money by the state
shall contain a clause providing that the contract shall not be
deemed valid until it has been approved by the controller or such
assistant as he may designate. SUCH CONTRACTS ENTERED INTO ON
OR AFTER JULY 1, 1997, SHALL ALSO CONTAIN A CLAUSE NOTIFYING THE
OTHER PARTY TO THE CONTRACT OF THE CONTROLLER'S AUTHORITY TO WITHHOLD
DEBTS OWED TO STATE AGENCIES UNDER THE VENDOR OFFSET INTERCEPT
SYSTEM PURSUANT TO SECTION 2430202.4 (3.5) (a) (I),
AND THE TYPES OF DEBTS THAT ARE SUBJECT TO WITHHOLDING UNDER SAID
SYSTEM. The form and content of and procedures for filing such
vouchers shall be prescribed by the fiscal rules promulgated by
the controller.
SECTION 2. 2430202.4,
Colorado Revised Statutes, 1988 Repl. Vol., as amended, is amended
BY THE ADDITION OF A NEW SUBSECTION to read:
2430202.4. Collection of
debts due state controller's duties creation of
debt collection fund. (3.5) (a) (I) THE
CONTROLLER SHALL APPROVE DISBURSEMENTS FROM STATE FUNDS FROM THE
STATE'S CENTRAL ACCOUNTING SYSTEM IN ACCORDANCE WITH THE PROVISIONS
OF SECTION 2430202 (2). IF THE CONTROLLER FINDS THAT
THERE IS AN UNPAID BALANCE OR DEBT OWING TO STATE AGENCY CLAIMANTS
FOR ANY OF THE FOLLOWING, THE CONTROLLER, UPON NOTICE OF WITHHOLDING
TO THE PAYEE, SHALL WITHHOLD THE AMOUNT OF THE DISBURSEMENT THAT
DOES NOT EXCEED THE AMOUNT OF SUCH UNPAID BALANCE OR DEBT:
(A) ANY UNPAID CHILD SUPPORT DEBT AS SET
FORTH IN SECTION 1414104, C.R.S., OR CHILD SUPPORT
ARREARAGES THAT ARE THE SUBJECT OF ENFORCEMENT SERVICES PROVIDED
PURSUANT TO SECTION 2613106, C.R.S., AS CERTIFIED
BY THE DEPARTMENT OF HUMAN SERVICES;
(B) ANY UNPAID BALANCE OF TAX, ACCRUED
INTEREST, OR OTHER CHARGES SPECIFIED IN ARTICLE 21 OF TITLE 39,
C.R.S., THAT IS SUBJECT TO OFFSET UNDER SECTION 3921108
(3), C.R.S., AND OWING BY THE PAYEE ACCORDING TO THE RECORDS OF
THE CONTROLLER;
(C) ANY UNPAID DEBT OWING TO THE STATE
OR ANY AGENCY THEREOF BY SUCH PAYEE, THE AMOUNT OF WHICH IS FOUND
TO BE OWING AS A RESULT OF A FINAL AGENCY DETERMINATION OR THE
AMOUNT OF WHICH HAS BEEN REDUCED TO JUDGMENT AS CERTIFIED BY THE
CONTROLLER;
(D) ANY UNPAID LOAN DUE TO THE STUDENT
LOAN DIVISION OF THE DEPARTMENT OF HIGHER EDUCATION AS SET FORTH
IN SECTION 233.1104 (1) (p), C.R.S., FOUND TO BE OWING
TO SUCH DIVISION BY SUCH PAYEE AS A RESULT OF FINAL AGENCY DETERMINATION;
OR
(E) ANY AMOUNT REQUIRED TO BE PAID TO
THE UNEMPLOYMENT COMPENSATION FUND PURSUANT TO ARTICLES 70 TO
82 OF TITLE 8, C.R.S., THE AMOUNT OF WHICH HAS BEEN DETERMINED
TO BE OWING AS A RESULT OF A FINAL AGENCY DETERMINATION OR JUDICIAL
DECISION OR THAT HAS BEEN REDUCED TO JUDGMENT BY THE DIVISION
OF EMPLOYMENT AND TRAINING IN THE DEPARTMENT OF LABOR AND EMPLOYMENT
AND SUCH AMOUNT HAS BEEN REFERRED TO THE CONTROLLER FOR COLLECTION
PURSUANT TO SECTION 879102 (2), C.R.S.
(II) ANY MONEYS WITHHELD FOR PAYMENT OF
CHILD SUPPORT DEBT OR CHILD SUPPORT ARREARAGES PURSUANT TO SUBPARAGRAPH
(I) OF THIS PARAGRAPH (a) SHALL BE DEPOSITED WITH THE STATE TREASURER
FOR DISBURSEMENT BY THE DEPARTMENT OF HUMAN SERVICES. FOR ALL
NAMES AND AMOUNTS CERTIFIED BY THE DEPARTMENT OF HUMAN SERVICES
PURSUANT TO SECTION 2613111, C.R.S., THE CONTROLLER
SHALL PROVIDE TO THE DEPARTMENT OF HUMAN SERVICES THE PAYEES'
NAMES AND ASSOCIATED AMOUNTS DEPOSITED WITH THE STATE TREASURER
PURSUANT TO THIS SUBPARAGRAPH (II) AND ANY OTHER IDENTIFYING INFORMATION
AS REQUIRED BY THE DEPARTMENT OF HUMAN SERVICES.
(III) ANY MONEYS WITHHELD FOR PAYMENT
OF AN UNPAID BALANCE OF TAX, INTEREST, OR OTHER CHARGES SPECIFIED
IN SUBPARAGRAPH (I) OF THIS PARAGRAPH (a) AND SUBJECT TO OFFSET
UNDER SECTION 3921108 (3), C.R.S., SHALL BE DEPOSITED
WITH THE STATE TREASURER. FOR ALL NAMES AND AMOUNTS SUBMITTED
BY THE EXECUTIVE DIRECTOR OF THE DEPARTMENT OF REVENUE PURSUANT
TO SECTION 3921114 (10), C.R.S., THE CONTROLLER SHALL
PROVIDE TO SAID DEPARTMENT THE PAYEES' NAMES AND ASSOCIATED AMOUNTS
DEPOSITED WITH THE STATE TREASURER PURSUANT TO THIS SUBPARAGRAPH
(III).
(IV) ANY MONEYS WITHHELD FOR PAYMENT OF
AN UNPAID DEBT OWING TO THE STATE PURSUANT TO SUBPARAGRAPH (I)
OF THIS PARAGRAPH (a) SHALL BE DEPOSITED WITH THE STATE TREASURER.
FOR ALL NAMES AND AMOUNTS CERTIFIED BY THE CENTRAL COLLECTIONS
UNIT PURSUANT TO THIS SECTION, THE CONTROLLER SHALL PROVIDE TO
THE CENTRAL COLLECTIONS UNIT THE PAYEES' NAMES AND ASSOCIATED
AMOUNTS DEPOSITED WITH THE STATE TREASURER PURSUANT TO THIS SUBPARAGRAPH
(IV).
(V) ALL MONEYS WITHHELD FOR PAYMENT OF
A STUDENT LOAN DIVISION DEBT PURSUANT TO SUBPARAGRAPH (I) OF THIS
PARAGRAPH (a) SHALL BE DEPOSITED WITH THE STATE TREASURER FOR
DISBURSEMENT BY THE STATE TREASURER TO THE DIVISION. FOR ALL NAMES
AND AMOUNTS CERTIFIED BY THE DIVISION PURSUANT TO SECTION 233.1104
(1) (q), C.R.S., THE CONTROLLER SHALL PROVIDE TO THE DIVISION
THE PAYEES' NAMES AND ASSOCIATED AMOUNTS DEPOSITED WITH THE STATE
TREASURER PURSUANT TO THIS SUBPARAGRAPH (V).
(VI) ANY MONEYS WITHHELD FOR PAYMENT OF
UNEMPLOYMENT COMPENSATION DEBT PURSUANT TO SUBPARAGRAPH (I) OF
THIS PARAGRAPH (a) SHALL BE DEPOSITED WITH THE STATE TREASURER
AND CREDITED TO THE UNEMPLOYMENT COMPENSATION FUND. FOR ALL NAMES
AND AMOUNTS CERTIFIED BY THE DIVISION OF EMPLOYMENT AND TRAINING
PURSUANT TO SECTION 879102 (2), C.R.S., THE CONTROLLER
SHALL PROVIDE TO SAID DIVISION THE PAYEES' NAMES AND ASSOCIATED
AMOUNTS DEPOSITED WITH THE STATE TREASURER PURSUANT TO THIS SUBPARAGRAPH
(VI).
(VII) ANY APPROVED DISBURSEMENT IN EXCESS
OF THE UNPAID BALANCE OR DEBT SHALL BE PAID TO THE APPROVED PAYEE.
(b) IN THE EVENT THAT THERE ARE DEBTS
FOR UNPAID CHILD SUPPORT, AS SET FORTH IN SECTION 2613111,
C.R.S., DEBTS FOR AN UNPAID BALANCE OF TAX, INTEREST, OR OTHER
CHARGES PURSUANT TO ARTICLE 21 OF TITLE 39, C.R.S., AND OTHER
DEBTS OWING TO THE STATE OR ANY AGENCY THEREOF AS SET FORTH IN
SUBPARAGRAPH (I) OF PARAGRAPH (a) OF THIS SUBSECTION (3.5), THE
AMOUNT WITHHELD PURSUANT TO SUBPARAGRAPH (I) OF PARAGRAPH (a)
OF THIS SUBSECTION (3.5) SHALL BE CREDITED TO THE UNPAID DEBTS
AND SHALL BE APPLIED FIRST TO THOSE UNPAID DEBTS IN THE ORDER
THEY APPEAR IN THIS PARAGRAPH (b), AND ANY REMAINING AMOUNTS SHALL
BE PRORATED AMONG OTHER UNPAID DEBTS WITHHELD PURSUANT TO SUBPARAGRAPH
(I) OF PARAGRAPH (a) OF THIS SUBSECTION (3.5) ON THE BASIS OF
THE RATIO OF THE AMOUNT OF EACH SUCH REMAINING UNPAID DEBT AS
COMPARED TO THE TOTAL AMOUNT OF THE REMAINING UNPAID DEBTS.
(c) THE CONTROLLER SHALL CHARGE FOR DISBURSEMENTS
WITHHELD PURSUANT TO SUBPARAGRAPH (I) OF PARAGRAPH (a) OF THIS
SUBSECTION (3.5) AND SHALL CREDIT AMOUNTS SO COLLECTED TO THE
VENDOR OFFSET IMPLEMENTATION FUND, WHICH FUND IS HEREBY CREATED
IN THE STATE TREASURY. THE AMOUNT OF SUCH CHARGES SHALL BE NEGOTIATED
BY THE CONTROLLER WITH DEPARTMENTS USING THE VENDOR OFFSET INTERCEPT
SYSTEM.
SECTION 3. Article
13 of title 26, Colorado Revised Statutes, 1989 Repl. Vol., as
amended, is amended BY THE ADDITION OF A NEW SECTION to read:
2613111.5. State vendor
payment offset. (1) AT ANY
TIME PRESCRIBED BY THE CONTROLLER, BUT NOT LESS FREQUENTLY THAN
ANNUALLY, THE STATE DEPARTMENT SHALL CERTIFY TO THE CONTROLLER
INFORMATION REGARDING PERSONS WHO OWE CHILD SUPPORT DEBT PURSUANT
TO SECTION 1414104, C.R.S., OR WHO OWE CHILD SUPPORT
ARREARAGES AS REQUESTED AS PART OF AN ENFORCEMENT ACTION UNDER
ARTICLE 5 OF TITLE 14, C.R.S., OR WHO OWE CHILD SUPPORT ARREARAGES
THAT ARE THE SUBJECT OF ENFORCEMENT SERVICES PROVIDED UNDER SECTION
2613106.
(2) UPON NOTIFICATION BY THE CONTROLLER
OF AMOUNTS DEPOSITED WITH THE STATE TREASURER PURSUANT TO SECTION
2430202.4, C.R.S., THE STATE DEPARTMENT SHALL DISBURSE
SUCH AMOUNTS TO THE APPROPRIATE COUNTY FOR PROCESSING AND DISTRIBUTION
TO THE FEDERAL, STATE, OR LOCAL AGENCY TO WHOM THE PERSON IS OBLIGATED.
(3) THE STATE DEPARTMENT SHALL PROMULGATE
RULES ESTABLISHING PROCEDURES TO IMPLEMENT THIS SECTION PURSUANT
TO ARTICLE 4 OF TITLE 24, C.R.S.
(4) THE LASTKNOWN ADDRESSES AND
SOCIAL SECURITY NUMBERS OF PERSONS SUBJECT TO THE VENDOR PAYMENT
OFFSET, PROVIDED TO THE STATE DEPARTMENT BY THE CONTROLLER, SHALL
BE SENT TO THE RESPECTIVE COUNTY DEPARTMENTS OR THE FOOD STAMP
DISTRICT ADMINISTERED BY THE STATE DEPARTMENT.
SECTION 4. 233.1104
(1), Colorado Revised Statutes, 1995 Repl. Vol., is amended BY
THE ADDITION OF A NEW PARAGRAPH to read:
233.1104. Duties and powers
of division. (1) The division
shall:
(q) (I) AT LEAST QUARTERLY, CERTIFY
TO THE CONTROLLER INFORMATION REGARDING PERSONS WHO OWE A LOAN
REPAYMENT TO THE DIVISION.
(II) SUCH INFORMATION SHALL INCLUDE THE
NAME AND SOCIAL SECURITY NUMBER OF THE PERSON OWING THE DEBT,
THE AMOUNT OF THE DEBT, AND ANY OTHER IDENTIFYING INFORMATION
REQUIRED BY THE CONTROLLER.
(III) UPON NOTIFICATION BY THE CONTROLLER
TO THE STATE AGENCY OF AMOUNTS DEPOSITED WITH THE STATE TREASURER
PURSUANT TO SECTION 2430202.4 (3.5) (a) (V), C.R.S.,
THE STATE TREASURER SHALL DISBURSE SUCH AMOUNTS TO THE DIVISION.
SECTION 5. 3921114, Colorado Revised Statutes, 1994 Repl. Vol., is amended BY THE ADDITION OF A NEW SUBSECTION to read:
3921114. Methods of enforcing
collection. (10) (a) THE
EXECUTIVE DIRECTOR IS AUTHORIZED TO ENTER INTO AN AGREEMENT WITH
THE CONTROLLER FOR THE PURPOSE OF COLLECTING DELINQUENT STATE
TAXES THROUGH THE VENDOR OFFSET PROGRAM ESTABLISHED PURSUANT TO
SECTION 2430202.4 (3.5) (a), C.R.S.
(b) EACH AGREEMENT ENTERED INTO WITH THE
CONTROLLER SHALL SPECIFY THAT FEES FOR SERVICES RENDERED SHALL
BE BASED ON THE TOTAL AMOUNT OF DELINQUENT TAXES, INCLUDING ACCRUED
PENALTIES AND INTEREST, THAT IS ACTUALLY COLLECTED THROUGH THE
VENDOR OFFSET PROGRAM ESTABLISHED PURSUANT TO SECTION 2430202.4
(3.5) (a), C.R.S.
(c) THE CONTROLLER SHALL, PURSUANT TO
AGREEMENT, REMIT THE TOTAL AMOUNT ACTUALLY OFFSET FROM A VENDOR'S
ACCOUNT PURSUANT TO SECTION 2430202.4 (3.5) (a), LESS
FEES FOR SERVICES RENDERED AND ALLOWABLE COSTS, TO THE EXECUTIVE
DIRECTOR WITHIN THIRTY DAYS AFTER THE DATE THE MONEYS ARE OFFSET
FROM THE VENDOR'S ACCOUNT.
SECTION 6. Loan authorized
appropriation. (1) For the
purposes of implementing this act prior to sufficient moneys becoming
available in the vendor offset implementation fund created pursuant
to section 2430202.4(3.5)(c), Colorado Revised Statutes,
the controller is authorized to borrow from the general fund in
an amount up to four hundred thousand dollars ($400,000) during
the fiscal year beginning July 1, 1997, and said moneys shall
be appropriated to the vendor offset implementation fund. Any
such borrowed moneys shall be repaid without interest when the
reserve fund balance is such that repayment can be made without
jeopardy to such fund.
(2) In addition to any other appropriation, there
is hereby appropriated, out of any moneys in the vendor offset
implementation fund not otherwise appropriated, to the department
of personnel for allocation to accounts and control, for the fiscal
year beginning July 1, 1997, the sum of four hundred thousand
dollars ($400,000), or so much thereof as may be necessary, for
the implementation of this act.
SECTION 7. Effective
date. This act shall take effect July 1, 1997.
SECTION 8. Safety
clause. The general assembly hereby finds, determines, and
declares that this act is necessary for the immediate preservation
of the public peace, health, and safety.
____________________________ ____________________________
Charles E. Berry Tom Norton
SPEAKER OF THE HOUSE PRESIDENT OF
OF REPRESENTATIVES THE SENATE
____________________________ ____________________________
Judith M. Rodrigue Joan M. Albi
CHIEF CLERK OF THE HOUSE SECRETARY OF
OF REPRESENTATIVES THE SENATE
APPROVED________________________________________
_________________________________________
Roy Romer
GOVERNOR OF THE STATE OF COLORADO