Broadwater (HB 236) Act No. 816
Existing law charges the office of debt recovery and the attorney general's office with
collecting delinquent debts of state agencies which refer delinquent debts to them for
collection. Further provides for the general powers and authority of the office of debt
recovery in collecting delinquent debt that has become final and is 60 or more days past due.
Prior law included references to delinquent debts referred by participating political
subdivisions.
New law deletes references to "participating political subdivisions" from prior law since the
collection authority of the office of debt recovery does not extend to the collection of
delinquent debts owed to political subdivisions.
Existing law authorizes the office of debt recovery to use any collection remedy authorized
by law to collect delinquent taxes or any state agency's statutory collection authority to
collect the referring agency's delinquent debt, including the offset of tax refunds or other
accounts payable, suspension or denial of renewal of driver's licenses, and the suspension,
revocation, or denial of hunting and fishing licenses, or any type of professional license,
permit, or certification.
New law adds to the collection remedies of the office of debt recovery, the authority to
withhold, offset, levy, garnish, or seize payments of progressive slot machine annuities and
cash gaming winnings and to assume the obligation of payment of certain services in order
to collect delinquent debt. Further provides that the withholding, offset, levy, garnishment,
or seizure of these annuities, cash winnings, lottery payments shall not be conducted until
a single-point inquiry system which allows for searches of one or more real-time databases
containing debt information pursuant to new law and existing law is available to gaming
entities licensed or permitted under existing law.
New law authorizes the office to enter into a memorandum of understanding with the La.
Casino Association on behalf of its member casinos to facilitate the development and
implementation of a single-point inquiry system. Clarifies that the provisions of new law
shall not be construed to prohibit the withholding, offset, levy, garnishment, or seizure of
progressive slot machine annuities, cash gaming winnings, and payments of lottery prizes
currently conducted from continuing until the single-point inquiry system is created.
Existing law authorizes the La. Gaming Control Board (the board) or any licensed or
permitted gaming entity to deduct an administrative fee from each payment of progressive
slot machine annuities or cash gaming winnings of persons who have outstanding child
support arrearages or owe child support overpayments.
New law additionally authorizes the board or gaming entity to deduct an administrative fee
from each payment of progressive slot machine annuities or cash gaming winnings pursuant
to a request by the office of debt recovery. However, the board or gaming entity shall not
withhold more than one administrative fee on such annuities or cash winnings.
Existing law provides for immunity from civil or criminal liability for the board or any
licensed or permitted gaming entity for the disclosure of certain information or from any
claims for damages arising from withholding or failing to withhold any progressive slot
machine annuities or cash gaming winnings.
New law extends the civil or criminal immunity of the board or any licensed or permitted
gaming entity or from claims for damages when the disclosure of information or withholding
of such annuities or winnings is done pursuant to a request by the office of debt recovery.
New law prohibits the office of debt recovery's claim relative to the offset or withholding of
payments from progressive slot machine annuities, cash gaming winnings, and lottery prizes
from priming the Dept. of Children and Family Services' claim to any payments of
progressive slot machine annuities, cash gaming winnings, or lottery prizes. New law requires the La. Lottery Corp. to employ the same methods, procedures, and
parameters to withhold lottery prizes for persons who have delinquent debt which has been
assigned to the office of debt recovery for collection.
Effective Aug. 1, 2014.
(Amends R.S. 47:1676(C)(2)(a) and (D)(1) and 9026; Adds R.S. 47:1676(D)(4))