Connecticut 2019 Regular Session

Connecticut House Bill HB07236 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1
2	2
3		-	LCO \\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07236-R01-
4		-	HB.docx
5		-	1 of 7
	3	+	LCO No. 4955 1 of 7
6	4
7		-	General Assembly ~~Substitute~~ Bill No. 7236
	5	+	General Assembly Raised Bill No. 7236
8	6		January Session, 2019
	7	+	LCO No. 4955
9	8
	9	+
	10	+	Referred to Committee on JUDICIARY
	11	+
	12	+
	13	+	Introduced by:
	14	+	(JUD)
10	15
11	16
12	17
13	18
14	19		AN ACT CONCERNING PR OPERTY THAT IS EXEMPT FROM A
15	20		JUDGMENT CREDITOR.
16	21		Be it enacted by the Senate and House of Representatives in General
17	22		Assembly convened:
18	23
19	24		Section 1. Section 52-352b of the general statutes is repealed and the 1
20	25		following is substituted in lieu thereof (Effective October 1, 2019): 2
21	26		The following property of any natural person shall be exempt: 3
22	27		[(a)] (1) Necessary apparel, bedding, foodstuffs, household furniture 4
23	28		and appliances; 5
24	29		[(b)] (2) Tools, books, instruments, farm animals and livestock feed, 6
25	30		which are necessary to the exemptioner in the course of his or her 7
26	31		occupation, profession or farming operation; 8
27	32		[(c)] (3) Burial plot for the exemptioner and his or her immediate 9
28	33		family; 10
29	34		[(d)] (4) Public assistance payments and any wages earned by a 11
30		-	public assistance recipient under an incentive earnings or similar 12
	35	+	public assistance recipient under an incentive earnings or similar 12 Raised Bill No. 7236
	36	+
	37	+
	38	+
	39	+	LCO No. 4955 2 of 7
	40	+
31	41		program; 13
32	42		[(e)] (5) Health and disability insurance payments; 14
33		-	[(f)] (6) Health aids necessary to enable the exemptioner to work or 15 Substitute Bill No. 7236
34		-
35		-
36		-	LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07236-
37		-	R01-HB.docx }
38		-	2 of 7
39		-
	43	+	[(f)] (6) Health aids necessary to enable the exemptioner to work or 15
40	44		to sustain health; 16
41	45		[(g)] (7) Workers' compensation, Social Security, veterans and 17
42	46		unemployment benefits; 18
43	47		[(h)] (8) Court-approved payments for child support; 19
44	48		[(i)] (9) Arms and military equipment, uniforms or musical 20
45	49		instruments owned by any member of the militia or armed forces of 21
46	50		the United States; 22
47	51		[(j)] (10) One motor vehicle to the value of [three thousand five 23
48	52		hundred] seven thousand dollars, provided value shall be determined 24
49	53		as the fair market value of the motor vehicle less the amount of all liens 25
50	54		and security interests which encumber it; 26
51	55		[(k)] (11) Wedding and engagement rings; 27
52	56		[(l)] (12) Residential utility deposits for one residence, and one 28
53	57		residential security deposit; 29
54	58		[(m)] (13) Any assets or interests of an exemptioner in, or payments 30
55	59		received by the exemptioner from, a plan or arrangement described in 31
56	60		section 52-321a; 32
57	61		[(n)] (14) Alimony and support, other than child support, but only 33
58	62		to the extent that wages are exempt from execution under section 52-34
59	63		361a, as amended by this act; 35
60	64		[(o)] (15) An award under a crime reparations act; 36
61	65		[(p)] (16) All benefits allowed by any association of persons in this 37
62	66		state towards the support of any of its members incapacitated by 38
63		-	sickness or infirmity from attending to his usual business; 39
	67	+	sickness or infirmity from attending to his usual business; 39 Raised Bill No. 7236
	68	+
	69	+
	70	+
	71	+	LCO No. 4955 3 of 7
	72	+
64	73		[(q)] (17) All moneys due the exemptioner from any insurance 40
65	74		company on any insurance policy issued on exempt property, to the 41
66		-	same extent that the property was exempt; 42 Substitute Bill No. 7236
67		-
68		-
69		-	LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07236-
70		-	R01-HB.docx }
71		-	3 of 7
72		-
	75	+	same extent that the property was exempt; 42
73	76		[(r)] (18) Any interest of the exemptioner in any property not to 43
74	77		exceed in value one thousand dollars; 44
75	78		[(s)] (19) Any interest of the exemptioner not to exceed in value four 45
76	79		thousand dollars in any accrued dividend or interest under, or loan 46
77	80		value of, any unmatured life insurance contract owned by the 47
78	81		exemptioner under which the insured is the exemptioner or an 48
79	82		individual of whom the exemptioner is a dependent; 49
80	83		[(t)] (20) The homestead of the exemptioner to the value of [seventy-50
81	84		five thousand dollars, or, in the case of a money judgment arising out 51
82	85		of services provided at a hospital, to the value of one hundred twenty-52
83		-	five] ~~one~~ hundred fifty thousand dollars, provided value shall be 53
	86	+	five] two hundred fifty thousand dollars, provided value shall be 53
84	87		determined as the fair market value of the real property less the 54
85		-	amount of any statutory or consensual lien which encumbers it, except 55
86		-	that, in the case of a money judgment arising out of a claim of sexual 56
87		-	abuse or exploitation of a minor, sexual assault or other wilful, wanton 57
88		-	or reckless misconduct committed by a natural person, to the value of 58
89		-	seventy-five thousand dollars; and 59
90		-	[(u)] (21) Irrevocable transfers of money to an account held by a 60
91		-	debt adjuster licensed pursuant to sections 36a-655 to 36a-665, 61
92		-	inclusive, for the benefit of creditors of the exemptioner. 62
93		-	Sec. 2. Subdivision (1) of subsection (b) of section 12-162 of the 63
94		-	general statutes is repealed and the following is substituted in lieu 64
95		-	thereof (Effective October 1, 2019): 65
96		-	(b) (1) Except as provided in subdivision (2) of this subsection, upon 66
97		-	the nonpayment of any property tax or any water or sanitation charges 67
98		-	when due, demand having been made therefor as prescribed by law 68
99		-	for the collection of such tax or such water or sanitation charges, an 69
100		-	alias tax warrant may be issued by the tax collector, which may be in 70
101		-	the following form: 71
102		-	"To a state marshal of the County of ...., or any constable of the 72
103		-	Town of .... Greeting: By authority of the state of Connecticut you are 73 Substitute Bill No. 7236
	88	+	amount of any statutory or consensual lien which encumbers it; and 55
	89	+	[(u)] (21) Irrevocable transfers of money to an account held by a 56
	90	+	debt adjuster licensed pursuant to sections 36a-655 to 36a-665, 57
	91	+	inclusive, for the benefit of creditors of the exemptioner. 58
	92	+	Sec. 2. Subdivision (1) of subsection (b) of section 12-162 of the 59
	93	+	general statutes is repealed and the following is substituted in lieu 60
	94	+	thereof (Effective October 1, 2019): 61
	95	+	(b) (1) Except as provided in subdivision (2) of this subsection, upon 62
	96	+	the nonpayment of any property tax or any water or sanitation charges 63
	97	+	when due, demand having been made therefor as prescribed by law 64
	98	+	for the collection of such tax or such water or sanitation charges, an 65
	99	+	alias tax warrant may be issued by the tax collector, which may be in 66
	100	+	the following form: 67
	101	+	"To a state marshal of the County of ...., or any constable of the 68
	102	+	Town of .... Greeting: By authority of the state of Connecticut you are 69 Raised Bill No. 7236
104	103
105	104
106		-	LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07236-
107		-	R01-HB.docx }
108		-	4 of 7
109	105
110		-	hereby commanded to collect forthwith from .... of .... the sum of .... 74
111		-	dollars, the same being the amount of a tax or water or sanitation 75
112		-	charges, with interest or penalty and charges which have accumulated 76
113		-	thereon, which tax was levied or which water or sanitation charges 77
114		-	were imposed by (insert name of town, city or municipality laying the 78
115		-	tax or imposing the water or sanitation charges) upon (insert the real 79
116		-	estate, personal property, or both, as the case may be,) of said .... as of 80
117		-	the .... day of ..... (In like manner insert the amount of any other 81
118		-	property tax or other water or sanitation charges which may have been 82
119		-	levied or imposed in any other year, including interest or penalty and 83
120		-	charges which have accumulated thereon). In default of payment of 84
121		-	said amount you are hereby commanded to levy for said tax or taxes 85
122		-	or such water or sanitation charges, including interest, penalty and 86
123		-	charges, hereinafter referred to as the amount due on such execution, 87
124		-	upon any goods and chattels of such person and dispose of the same as 88
125		-	the law directs, notwithstanding the provisions of [subsection (j)] 89
126		-	subdivision (10) of section 52-352b, and, after having satisfied the 90
127		-	amount due on such execution, return the surplus, if any, to him; or, 91
128		-	except as otherwise provided in section 12-162, you are to levy upon 92
129		-	the real estate of such person and sell such real property pursuant to 93
130		-	section 12-157, to pay the amount due on such execution; or you shall, 94
131		-	in accordance with the provisions of section 12-162, make demand 95
132		-	upon the main office of any financial institution indebted to such 96
133		-	person, subject to the provisions of section 52-367a or 52-367b, as if 97
134		-	judgment for the amount due on such execution had been entered, for 98
135		-	that portion of any type of deposit to the credit of or property held for 99
136		-	such person, not exceeding in total value the amount due on such 100
137		-	execution; or you are to garnishee the wages due such person from any 101
138		-	employer, in the same manner as if a wage execution therefor had been 102
139		-	entered, in accordance with section 52-361a. 103
140		-	Dated at .... this .... day of .... A.D. 20.., Tax Collector." 104
141		-	Sec. 3. Subsection (b) of section 52-321a of the general statutes is 105
142		-	repealed and the following is substituted in lieu thereof (Effective 106 Substitute Bill No. 7236
	106	+	LCO No. 4955 4 of 7
	107	+
	108	+	hereby commanded to collect forthwith from .... of .... the sum of .... 70
	109	+	dollars, the same being the amount of a tax or water or sanitation 71
	110	+	charges, with interest or penalty and charges which have accumulated 72
	111	+	thereon, which tax was levied or which water or sanitation charges 73
	112	+	were imposed by (insert name of town, city or municipality laying the 74
	113	+	tax or imposing the water or sanitation charges) upon (insert the real 75
	114	+	estate, personal property, or both, as the case may be,) of said .... as of 76
	115	+	the .... day of ..... (In like manner insert the amount of any other 77
	116	+	property tax or other water or sanitation charges which may have been 78
	117	+	levied or imposed in any other year, including interest or penalty and 79
	118	+	charges which have accumulated thereon). In default of payment of 80
	119	+	said amount you are hereby commanded to levy for said tax or taxes 81
	120	+	or such water or sanitation charges, including interest, penalty and 82
	121	+	charges, hereinafter referred to as the amount due on such execution, 83
	122	+	upon any goods and chattels of such person and dispose of the same as 84
	123	+	the law directs, notwithstanding the provisions of [subsection (j)] 85
	124	+	subdivision (10) of section 52-352b, and, after having satisfied the 86
	125	+	amount due on such execution, return the surplus, if any, to him; or, 87
	126	+	except as otherwise provided in section 12-162, you are to levy upon 88
	127	+	the real estate of such person and sell such real property pursuant to 89
	128	+	section 12-157, to pay the amount due on such execution; or you shall, 90
	129	+	in accordance with the provisions of section 12-162, make demand 91
	130	+	upon the main office of any financial institution indebted to such 92
	131	+	person, subject to the provisions of section 52-367a or 52-367b, as if 93
	132	+	judgment for the amount due on such execution had been entered, for 94
	133	+	that portion of any type of deposit to the credit of or property held for 95
	134	+	such person, not exceeding in total value the amount due on such 96
	135	+	execution; or you are to garnishee the wages due such person from any 97
	136	+	employer, in the same manner as if a wage execution therefor had been 98
	137	+	entered, in accordance with section 52-361a. 99
	138	+	Dated at .... this .... day of .... A.D. 20.., Tax Collector." 100
	139	+	Sec. 3. Subsection (b) of section 52-321a of the general statutes is 101
	140	+	repealed and the following is substituted in lieu thereof (Effective 102
	141	+	October 1, 2019): 103 Raised Bill No. 7236
143	142
144	143
145		-	LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07236-
146		-	R01-HB.docx }
147		-	5 of 7
148	144
149		-	October 1, 2019): 107
150		-	(b) Nothing in this section shall impair the rights of an alternate 108
151		-	payee under a qualified domestic relations order, as defined in Section 109
152		-	414(p) of the Internal Revenue Code of 1986, or any subsequent 110
153		-	corresponding internal revenue code of the United States, as from time 111
154		-	to time amended. Nothing in this section or in [subsection (m)] 112
155		-	subdivision (13) of section 52-352b, as amended by this act, shall 113
156		-	impair the rights of the state to proceed under section 52-361a to 114
157		-	recover the costs of incarceration under section 18-85a and regulations 115
158		-	adopted in accordance with section 18-85a from any federal, state or 116
159		-	municipal pension, annuity or insurance contract or similar 117
160		-	arrangement described in subdivision (5) of subsection (a) of this 118
161		-	section, provided the rights of an alternate payee under a qualified 119
162		-	domestic relations order, as defined in Section 414(p) of the Internal 120
163		-	Revenue Code of 1986, or any subsequent corresponding internal 121
164		-	revenue code of the United States, as from time to time amended, shall 122
165		-	take precedence over any such recovery. Nothing in this section or in 123
166		-	[subsection (m)] subdivision (13) of section 52-352b, as amended by 124
167		-	this act, shall impair the rights of a victim of crime to proceed under 125
168		-	section 52-361a to recover damages awarded by a court of competent 126
169		-	jurisdiction from any federal, state or municipal pension, annuity or 127
170		-	insurance contract or similar arrangement described in subdivision (5) 128
171		-	of subsection (a) of this section when such damages are the result of a 129
172		-	crime committed by a participant or beneficiary of such pension, 130
173		-	annuity or insurance contract or similar arrangement, provided the 131
174		-	rights of an alternate payee under a qualified domestic relations order, 132
175		-	as defined in Section 414(p) of the Internal Revenue Code of 1986, or 133
176		-	any subsequent corresponding internal revenue code of the United 134
177		-	States, as from time to time amended, shall take precedence over any 135
178		-	such recovery. 136
179		-	Sec. 4. Section 52-352a of the general statutes is repealed and the 137
180		-	following is substituted in lieu thereof (Effective October 1, 2019): 138
181		-	[For the purposes of this section and sections 52-352b and 52-353, 139 Substitute Bill No. 7236
	145	+	LCO No. 4955 5 of 7
	146	+
	147	+	(b) Nothing in this section shall impair the rights of an alternate 104
	148	+	payee under a qualified domestic relations order, as defined in Section 105
	149	+	414(p) of the Internal Revenue Code of 1986, or any subsequent 106
	150	+	corresponding internal revenue code of the United States, as from time 107
	151	+	to time amended. Nothing in this section or in [subsection (m)] 108
	152	+	subdivision (13) of section 52-352b, as amended by this act, shall 109
	153	+	impair the rights of the state to proceed under section 52-361a to 110
	154	+	recover the costs of incarceration under section 18-85a and regulations 111
	155	+	adopted in accordance with section 18-85a from any federal, state or 112
	156	+	municipal pension, annuity or insurance contract or similar 113
	157	+	arrangement described in subdivision (5) of subsection (a) of this 114
	158	+	section, provided the rights of an alternate payee under a qualified 115
	159	+	domestic relations order, as defined in Section 414(p) of the Internal 116
	160	+	Revenue Code of 1986, or any subsequent corresponding internal 117
	161	+	revenue code of the United States, as from time to time amended, shall 118
	162	+	take precedence over any such recovery. Nothing in this section or in 119
	163	+	[subsection (m)] subdivision (13) of section 52-352b, as amended by 120
	164	+	this act, shall impair the rights of a victim of crime to proceed under 121
	165	+	section 52-361a to recover damages awarded by a court of competent 122
	166	+	jurisdiction from any federal, state or municipal pension, annuity or 123
	167	+	insurance contract or similar arrangement described in subdivision (5) 124
	168	+	of subsection (a) of this section when such damages are the result of a 125
	169	+	crime committed by a participant or beneficiary of such pension, 126
	170	+	annuity or insurance contract or similar arrangement, provided the 127
	171	+	rights of an alternate payee under a qualified domestic relations order, 128
	172	+	as defined in Section 414(p) of the Internal Revenue Code of 1986, or 129
	173	+	any subsequent corresponding internal revenue code of the United 130
	174	+	States, as from time to time amended, shall take precedence over any 131
	175	+	such recovery. 132
	176	+	Sec. 4. Section 52-352a of the general statutes is repealed and the 133
	177	+	following is substituted in lieu thereof (Effective October 1, 2019): 134
	178	+	[For the purposes of this section and sections 52-352b and 52-353, 135
	179	+	the following terms shall have the following meanings] As used in this 136
	180	+	section and sections 52-352b, as amended by this act, and 52-353: 137 Raised Bill No. 7236
182	181
183	182
184		-	LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07236-
185		-	R01-HB.docx }
186		-	6 of 7
187	183
188		-	~~the following terms shall have the following meanings]~~ ~~As used in this 140~~
189		-	~~section and sections 52-352b, as amended by this act, and 52-353: 141~~
190		-	[(a)] (1) "Value" means fair market value of the exemptioner's equity ~~142~~
191		-	or unencumbered interest in the property; ~~143~~
192		-	[(b)] (2) "Necessary" means reasonably required to meet the needs of ~~144~~
193		-	the exemptioner and his or her dependents including any special ~~145~~
194		-	needs by reason of health or physical infirmity; ~~146~~
195		-	[(c)] (3) "Exempt" means, unless otherwise specified, not subject to ~~147~~
196		-	any form of process or court order for the purpose of debt collection; ~~148~~
197		-	[(d)] (4) "Exemptioner" means the natural person entitled to an ~~149~~
198		-	exemption under this section or section 52-352b, as amended by this ~~150~~
199		-	act; ~~151~~
200		-	[(e)] (5) "Homestead" means owner-occupied real property, co-op or ~~152~~
201		-	mobile manufactured home, as defined in subdivision (1) of section 21-~~153~~
202		-	64, used as a primary residence. ~~154~~
203		-	Sec. 5. Subsection (r) of section 52-~~367b~~ of the general statutes is ~~155~~
204		-	repealed and the following is substituted in lieu thereof (Effective ~~156~~
205		-	October 1, 2019): ~~157~~
206		-	(r) For the purposes of this subsection, "exempt" has the same ~~158~~
207		-	meaning as provided in [subsection (c)] subdivision (3) of section 52-~~159~~
208		-	352a, as amended by this act. Funds deposited in an account that has ~~160~~
209		-	been established for the express purpose of receiving electronic direct ~~161~~
210		-	deposits of public assistance or of Title IV-D child support payments ~~162~~
211		-	from the Department of Social Services shall be exempt. ~~163~~
	184	+	LCO No. 4955 6 of 7
	185	+
	186	+	[(a)] (1) "Value" means fair market value of the exemptioner's equity 138
	187	+	or unencumbered interest in the property; 139
	188	+	[(b)] (2) "Necessary" means reasonably required to meet the needs of 140
	189	+	the exemptioner and his or her dependents including any special 141
	190	+	needs by reason of health or physical infirmity; 142
	191	+	[(c)] (3) "Exempt" means, unless otherwise specified, not subject to 143
	192	+	any form of process or court order for the purpose of debt collection; 144
	193	+	[(d)] (4) "Exemptioner" means the natural person entitled to an 145
	194	+	exemption under this section or section 52-352b, as amended by this 146
	195	+	act; 147
	196	+	[(e)] (5) "Homestead" means owner-occupied real property, co-op or 148
	197	+	mobile manufactured home, as defined in subdivision (1) of section 21-149
	198	+	64, used as a primary residence. 150
	199	+	Sec. 5. Subsection (r) of section 52-367 of the general statutes is 151
	200	+	repealed and the following is substituted in lieu thereof (Effective 152
	201	+	October 1, 2019): 153
	202	+	(r) For the purposes of this subsection, "exempt" has the same 154
	203	+	meaning as provided in [subsection (c)] subdivision (3) of section 52-155
	204	+	352a, as amended by this act. Funds deposited in an account that has 156
	205	+	been established for the express purpose of receiving electronic direct 157
	206	+	deposits of public assistance or of Title IV-D child support payments 158
	207	+	from the Department of Social Services shall be exempt. 159
212	208		This act shall take effect as follows and shall amend the following
213	209		sections:
214	210
215	211		Section 1 October 1, 2019 52-352b
216	212		Sec. 2 October 1, 2019 12-162(b)(1)
217		-	Sec. 3 October 1, 2019 52-321a(b) Substitute Bill No. 7236
	213	+	Sec. 3 October 1, 2019 52-321a(b)
	214	+	Sec. 4 October 1, 2019 52-352a
	215	+	Sec. 5 October 1, 2019 52-367(r)
	216	+	Raised Bill No. 7236
218	217
219	218
220		-	LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07236-
221		-	R01-HB.docx }
222		-	7 of 7
223	219
224		-	Sec. 4 October 1, 2019 52-352a
225		-	Sec. 5 October 1, 2019 52-367b(r)
	220	+	LCO No. 4955 7 of 7
226	221
227		-	JUD Joint Favorable Subst.
	222	+	Statement of Purpose:
	223	+	To increase the values of the motor vehicle and homestead exemptions.
	224	+	[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline,
	225	+	except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is
	226	+	not underlined.]
228	227