Louisiana House Bill HB236

Louisiana 2014 Regular Session

• Introduced: 3/10/14
• Refer: 3/10/14
• Report Pass: 4/15/14
• Engrossed: 4/24/14
• Refer: 4/28/14
• Report Pass: 5/19/14
• Enrolled: 6/2/14
• Chaptered: 6/23/14
• Passed: 6/23/14

Caption

Authorizes the office of debt recovery to utilize the offset of certain gaming winnings as a means to collect delinquent debt owed to state agencies (EN SEE FISC NOTE GF RV See Note)

Impact

The implications of HB 236 extend to several aspects of state law and revenue collection processes. By enabling the state to access gaming winnings, the bill significantly enhances the state's capabilities to recover debts owed to state agencies. It streamlines procedures, mandating that agencies refer delinquent debts to the office of debt recovery and sets clear guidelines for the handling of these debts. This could potentially lead to increased revenue for the state, which may be critical for funding various state programs and services.

Summary

House Bill 236 authorizes the Louisiana office of debt recovery to utilize gaming winnings as a mechanism for collecting delinquent debts owed to state agencies. The bill amends existing laws to allow for the withholding, offsetting, levying, and garnishing of payments from progressive slot machine annuities and lottery winnings as part of the debt recovery process. It also details the procedure for referring money owed to the state, establishing rules and procedures regarding authentication and collection methods for overdue debts, and introducing civil immunity for entities involved in the process under specific circumstances.

Sentiment

Overall, the sentiment surrounding HB 236 appears to be favorable among many lawmakers and state officials who see it as a practical solution to enhance revenue collection efforts. Discussions imply that support for the bill is tied to the larger goal of efficient management of state resources. However, there could be concerns about the fairness and consequences of garnishing gaming winnings, particularly for low-income individuals who might be affected by unexpected deductions from their lottery winnings or gambling payouts.

Contention

A notable point of contention regarding this bill is the potential backlash from gaming entities and individuals who could be impacted by the new debt recovery measures. Critics may argue that the bill disproportionately affects those who participate in gaming activities, making it challenging for individuals who already face financial difficulties. Moreover, the implementation of a single-point inquiry system for debt verification has raised questions about privacy and data management practices, which could be critical in terms of public acceptance and operational viability.