01-21 14:06 1st Sub. (Buff) H.B. 224 Melissa G. Ballard proposes the following substitute bill: 0 Inmate Reentry, Finances, and Debt Modifications 2025 GENERAL SESSION STATE OF UTAH Chief Sponsor: Melissa G. Ballard 1 2 LONG TITLE 3 General Description: 4 This bill concerns inmate and former inmate reentry, finances, and debts. 5 Highlighted Provisions: 6 This bill: 7 ▸ defines terms; 8 ▸ requires, with a delayed implementation date, a county jail to notify certain state agencies 9 that may have information concerning an inmate's existing debts when an inmate is 10 incarcerated in the county jail for more than 90 days and when the inmate is released 11 from the county jail; 12 ▸ requires, with a delayed implementation date, the Office of State Debt Collection to 13 suspend the accrual of interest on certain accounts receivable during periods of at least 14 90 days of incarceration and for an additional period after release; 15 ▸ expands the duties of the reentry division created by the Department of Corrections 16 (department); 17 ▸ requires the department to provide information to an inmate on a regular basis concerning: 18 ● the inmate's known debts; 19 ● incentives for paying certain debts while incarcerated; and 20 ● information on how to access additional information concerning debts and resources 21 on financial literacy and money management; 22 ▸ requires the department: 23 ● with a delayed implementation date, to notify certain state agencies that may have 24 information concerning an inmate's existing debts when an inmate enters and leaves 25 incarceration; and 26 ● to provide educational resources to individuals designated by an inmate concerning 27 incentives for repaying certain debts while incarcerated; 28 ▸ amends provisions concerning when incarceration may not be considered by the Office of 29 Recovery Services (office) as voluntary unemployment for purposes of a child support 1st Sub. (Buff) H.B. 224 01-21 14:06 30 order; 31 ▸ requires the office to suspend child support orders and money judgments in certain 32 circumstances relating to incarceration; 33 ▸ provides that the office shall resume a suspended child support obligation after the 34 offender has been released for 90 days; and 35 ▸ makes technical and conforming changes. 36 Money Appropriated in this Bill: 37 None 38 Other Special Clauses: 39 None 40 Utah Code Sections Affected: 41 AMENDS: 42 64-13-6, as last amended by Laws of Utah 2024, Chapters 144, 208 43 64-13-23, as last amended by Laws of Utah 2024, Chapter 144 44 81-6-101, as renumbered and amended by Laws of Utah 2024, Chapter 366 45 81-6-203, as renumbered and amended by Laws of Utah 2024, Chapter 366 46 ENACTS: 47 17-22-35, Utah Code Annotated 1953 48 63A-3-509, Utah Code Annotated 1953 49 81-6-211.5, Utah Code Annotated 1953 50 51 Be it enacted by the Legislature of the state of Utah: 52 Section 1. Section 17-22-35 is enacted to read: 53 17-22-35 . Notification requirements to state agencies concerning potential 54 inmate debts. 55 (1) As used in this section, "inmate" means an individual who is in the custody of a county 56 jail. 57 (2)(a) Beginning on January 1, 2027, a county jail is required to notify the Office of 58 State Debt Collection, the State Tax Commission, and the Office of Recovery 59 Services: 60 (i) within five business days after the day on which an inmate has been incarcerated 61 in the county jail for 90 consecutive days; and 62 (ii) if an inmate has been incarcerated in the county jail for more than 90 consecutive 63 days, within five business days after the day on which an inmate is released from - 2 - 01-21 14:06 1st Sub. (Buff) H.B. 224 64 the county jail. 65 (b) The notification described in Subsection (2)(a) shall include: 66 (i) the relevant dates of the inmate's incarceration and identifying information 67 concerning the inmate's identity; and 68 (ii) whether the inmate's incarceration is based on: 69 (A) criminal non-payment of a child support order; or 70 (B) an offense against the inmate's child or custodial parent of the inmate's child. 71 (c) The requirement described in Subsection (2)(a)(i) does not apply if a court, another 72 county jail, the Department of Corrections, or another entity already has notified the 73 Office of State Debt Collection, the State Tax Commission, and the Office of 74 Recovery Services as described in Subsection (2)(a) about the inmate's incarceration. 75 (d) The requirement described in Subsection (2)(a)(ii) does not apply if an inmate is 76 transferred to a different county jail or another incarcerated setting for the purpose of 77 continued incarceration. 78 Section 2. Section 63A-3-509 is enacted to read: 79 63A-3-509 . Suspension of interest on certain accounts receivable during and 80 subsequent to incarceration. 81 Beginning on January 1, 2027, unless prohibited by another provision of law or a court 82 order, or unless an account receivable contains restitution as defined in Section 77-38b-102, 83 the office shall suspend the accrual of interest on an individual's accounts receivable under 84 Subsection 63A-3-502(4)(g): 85 (1) during any period that the individual is incarcerated in a county jail or a state prison, if 86 the period is 90 or more consecutive days; and 87 (2) for a period of 180 days after the day on which the individual is released from a period 88 of incarceration as described in Subsection (1). 89 Section 3. Section 64-13-6 is amended to read: 90 64-13-6 . Department duties. 91 (1) The department shall: 92 (a) protect the public through institutional care and confinement, and supervision in the 93 community of offenders where appropriate; 94 (b) implement court-ordered punishment of offenders; 95 (c) provide evidence-based and evidence-informed program opportunities for offenders 96 designed to reduce offenders' criminogenic and recidivism risks, including 97 behavioral, cognitive, educational, and career-readiness program opportunities; - 3 - 1st Sub. (Buff) H.B. 224 01-21 14:06 98 (d) ensure that offender participation in all program opportunities described in 99 Subsection (1)(c) is voluntary; 100 (e) where appropriate, utilize offender volunteers as mentors in the program 101 opportunities described in Subsection (1)(c); 102 (f) provide treatment for sex offenders who are found to be treatable based upon criteria 103 developed by the department; 104 (g) provide the results of ongoing clinical assessment of sex offenders and objective 105 diagnostic testing to sentencing and release authorities; 106 (h) manage programs that take into account the needs and interests of victims, where 107 reasonable; 108 (i) supervise probationers and parolees as directed by statute and implemented by the 109 courts and the Board of Pardons and Parole; 110 (j) subject to Subsection (3), investigate criminal conduct involving offenders 111 incarcerated in a state correctional facility; 112 (k) cooperate and exchange information with other state, local, and federal law 113 enforcement agencies to achieve greater success in prevention and detection of crime 114 and apprehension of criminals; 115 (l) implement the provisions of Title 77, Chapter 28c, Interstate Compact for Adult 116 Offender Supervision; 117 (m) establish a case action plan based on appropriate validated risk, needs, and 118 responsivity assessments for each offender as follows: 119 (i)(A) if an offender is to be supervised in the community, the department shall 120 establish a case action plan for the offender no later than 60 days after the day 121 on which the department's community supervision of the offender begins; and 122 (B) if the offender is committed to the custody of the department, the department 123 shall establish a case action plan for the offender no later than 90 days after the 124 day on which the offender is committed to the custody of the department; 125 (ii) each case action plan shall: 126 (A) integrate an individualized, evidence-based, and evidence-informed treatment 127 and program plan with clearly defined completion requirements; and 128 (B) require that a case manager will: 129 (I) ensure that an assessment of the education level, occupational interests, and 130 aptitudes of the inmate has been completed; 131 (II) refer the inmate to a higher education student advisor at an institution - 4 - 01-21 14:06 1st Sub. (Buff) H.B. 224 132 offering programs consistent with the inmate's interests and aptitudes for 133 advisement on educational preferences and plans; 134 (III) incorporate the inmate's interests, aptitudes, and student advisement into 135 an education plan consistent with the guidance provided by the Higher 136 Education and Corrections Council created in Section 53B-35-201; and 137 (IV) refer the inmate to the student advisor at the institution called for in the 138 case action plan for guidance and assistance with the education process; 139 (iii) the department shall share each newly established case action plan with the 140 sentencing and release authority within 30 days after the day on which the case 141 action plan is established; and 142 (iv) the department shall share any changes to a case action plan, including any 143 change in an offender's risk assessment, with the sentencing and release authority 144 within 30 days after the day of the change; 145 (n) ensure that an inmate has reasonable access to legal research; 146 (o) ensure that any training or certification required of a public official or public 147 employee, as those terms are defined in Section 63G-22-102, complies with Title 148 63G, Chapter 22, State Training and Certification Requirements, if the training or 149 certification is required: 150 (i) under this title; 151 (ii) by the department; or 152 (iii) by an agency or division within the department; 153 (p) when reporting on statewide recidivism, include the metrics and requirements 154 described in Section 63M-7-102; 155 (q) create a reentry division that focuses on the successful reentry of inmates into the 156 community[;] , which shall include: 157 (i) screening and assessments for an inmate's risks and needs; 158 (ii) individualized plans and case management; 159 (iii) quality treatment, education, and job preparation; 160 (iv) community partnerships; and 161 (v) comprehensive release planning before the inmate's release, including: 162 (A) coordination with support services; and 163 (B) coordination with one or more family members or friends, if the inmate has 164 given permission to contact specific individuals for this purpose; 165 (r) coordinate with the Board of Pardons and Parole regarding inmate records that are - 5 - 1st Sub. (Buff) H.B. 224 01-21 14:06 166 necessary for the Board of Pardons and Parole to make necessary determinations 167 regarding an inmate; and 168 (s) ensure that inmate records regarding discipline, programs, and other relevant metrics 169 are: 170 (i) complete and updated in a timely manner; and 171 (ii) when applicable, shared with the Board of Pardons and Parole in a timely manner. 172 (2) The department may in the course of supervising probationers and parolees: 173 (a) respond to an individual's violation of one or more terms of the probation or parole in 174 accordance with the graduated and evidence-based processes established by the adult 175 sentencing and supervision length guidelines, as defined in Section 63M-7-401.1; and 176 (b) upon approval by the court or the Board of Pardons and Parole, impose as a sanction 177 for an individual's violation of the terms of probation or parole a period of 178 incarceration of not more than three consecutive days and not more than a total of 179 five days within a period of 30 days. 180 (3)(a) By following the procedures in Subsection (3)(b), the department may investigate 181 the following occurrences at state correctional facilities: 182 (i) criminal conduct of departmental employees; 183 (ii) felony crimes resulting in serious bodily injury; 184 (iii) death of any person; or 185 (iv) aggravated kidnaping. 186 (b) Before investigating any occurrence specified in Subsection (3)(a), the department 187 shall: 188 (i) notify the sheriff or other appropriate law enforcement agency promptly after 189 ascertaining facts sufficient to believe an occurrence specified in Subsection (3)(a) 190 has occurred; and 191 (ii) obtain consent of the sheriff or other appropriate law enforcement agency to 192 conduct an investigation involving an occurrence specified in Subsection (3)(a). 193 (4) Upon request, the department shall provide copies of investigative reports of criminal 194 conduct to the sheriff or other appropriate law enforcement agencies. 195 (5)(a) The executive director of the department, or the executive director's designee if 196 the designee possesses expertise in correctional programming, shall consult at least 197 annually with cognitive and career-readiness staff experts from the Utah system of 198 higher education and the State Board of Education to review the department's 199 evidence-based and evidence-informed treatment and program opportunities. - 6 - 01-21 14:06 1st Sub. (Buff) H.B. 224 200 (b) Beginning in the 2022 interim, the department shall provide an annual report to the 201 Law Enforcement and Criminal Justice Interim Committee regarding: 202 (i) the department's implementation of and offender participation in evidence-based 203 and evidence-informed treatment and program opportunities designed to reduce 204 the criminogenic and recidivism risks of offenders over time; and 205 (ii) the progress of the department's implementation of the inmate program 206 requirements described in Section 64-13-50. 207 (6)(a) As used in this Subsection (6): 208 (i) "Accounts receivable" means any amount owed by an offender arising from a 209 criminal judgment that has not been paid. 210 (ii) "Accounts receivable" includes unpaid fees, overpayments, fines, forfeitures, 211 surcharges, costs, interest, penalties, restitution to victims, third-party claims, 212 claims, reimbursement of a reward, and damages that an offender is ordered to 213 pay. 214 (b) The department shall collect and disburse, with any interest and any other costs 215 assessed under Section 64-13-21, an accounts receivable for an offender during: 216 (i) the parole period and any extension of that period in accordance with Subsection 217 (6)(c); and 218 (ii) the probation period for which the court orders supervised probation and any 219 extension of that period by the department in accordance with Subsection 220 77-18-105(7). 221 (c)(i) If an offender has an unpaid balance of the offender's accounts receivable at the 222 time that the offender's sentence expires or terminates, the department shall be 223 referred to the sentencing court for the sentencing court to enter a civil judgment 224 of restitution and a civil accounts receivable as described in Section 77-18-114. 225 (ii) If the board makes an order for restitution within 60 days from the day on which 226 the offender's sentence expires or terminates, the board shall refer the order for 227 restitution to the sentencing court to be entered as a civil judgment of restitution as 228 described in Section 77-18-114. 229 (d) This Subsection (6) only applies to offenders sentenced before July 1, 2021. 230 Section 4. Section 64-13-23 is amended to read: 231 64-13-23 . Offender's income, debt, and finances -- Department responsibilities 232 concerning offender debt and financial information. 233 (1) The department may require each offender, while in the custody of the department or - 7 - 1st Sub. (Buff) H.B. 224 01-21 14:06 234 while on probation or parole, to place funds received or earned by the offender from any 235 source into: 236 (a) an account administered by the department; or 237 (b) a joint account with the department at a federally insured financial institution. 238 (2) The department may require each offender to maintain a minimum balance in an 239 account under Subsection (1) for the particular offender's use upon: 240 (a) discharge from the custody of the department; or 241 (b) completion of parole or probation. 242 (3) If the funds are placed in a joint account at a federally insured financial institution: 243 (a) any interest accrues to the benefit of the offender account; and 244 (b) the department may require that the signatures of both the offender and a 245 departmental representative be submitted to the financial institution to withdraw 246 funds from the account. 247 (4) If the funds are placed in an account administered by the department, the department 248 may by rule designate: 249 (a) a certain portion of the offender's funds as interest-bearing savings; and 250 (b) a portion of the offender's funds as noninterest-bearing to be used for day-to-day 251 expenses. 252 (5)(a) The department may withhold part of the offender's funds in an account under 253 Subsection (1) for expenses of: 254 [(a)] (i) supervision or treatment; 255 [(b)] (ii) restitution, reparation, fines, alimony, support payments, or similar 256 court-ordered payments; 257 [(c)] (iii) obtaining the offender's DNA specimen, if the offender is required under 258 Section 53-10-404 to provide a specimen; 259 [(d)] (iv) department-ordered repayment of a fine that is incurred under Section 260 64-13-33; and 261 [(e)] (v) other debt to the state. 262 (b) The department shall provide or make available an account statement at least every 263 two weeks to each inmate who has an account under Subsection (1) that contains: 264 (i) a list of the inmate's known existing debts, including debts related to the inmate's 265 restitution, court costs, fines, tax obligations, alimony, child support, other 266 court-ordered payments, and similar debts; 267 (ii) information regarding incentives for paying certain debts while incarcerated; and - 8 - 01-21 14:06 1st Sub. (Buff) H.B. 224 268 (iii) information on how the inmate can access information concerning: 269 (A) the debts listed in Subsection (5)(b)(i); and 270 (B) educational resources on financial literacy and money management. 271 (c) The department may provide an account statement to a former inmate through the 272 former inmate's parole officer through the Division of Adult Probation and Parole 273 upon request. 274 (6)(a) An offender may not be granted free process in civil actions, including petitions 275 for a writ of habeas corpus, if, at any time from the date the cause of action arose 276 through the date the cause of action remains pending, there are any funds in an 277 account under Subsection (1) that have not been withheld or are not subject to 278 withholding under Subsection (4) or (5). 279 (b) The amount assessed for the filing fee, service of process and other fees and costs 280 shall not exceed the total amount of funds the offender has in excess of the indigence 281 threshold established by the department but not less than $25 including the 282 withholdings under Subsection (4) or (5) during the identified period of time. 283 (c) The amounts assessed shall not exceed the regular fees and costs provided by law. 284 (7) The department may disclose information on offender accounts to the Office of 285 Recovery Services and other appropriate state agencies. 286 (8) The department shall publish a notice on the department's website, and any website used 287 by an individual depositing funds into an offender's account, that the individual may 288 request from the department a copy of a statement of the offender's financial account in 289 accordance with Title 63G, Chapter 2, Government Records Access and Management 290 Act. 291 (9)(a)(i) Beginning on January 1, 2027, within 15 days after the day on which an 292 inmate enters incarceration in a state prison, the department shall notify the Office 293 of State Debt Collection, the State Tax Commission, and the Office of Recovery 294 Services about the inmate's incarceration, including: 295 (A) the relevant dates of the inmate's incarceration and identifying information 296 concerning the inmate's identity; and 297 (B) whether the inmate's incarceration is based on criminal non-payment of a child 298 support order or an offense against the child or custodial parent. 299 (ii) Beginning on January 1, 2027, within 15 days after the day on which an inmate is 300 released from incarceration, the department shall notify the entities listed in 301 Subsection (9)(a)(i) of the inmate's release date. - 9 - 1st Sub. (Buff) H.B. 224 01-21 14:06 302 (b) The requirement described in Subsection (9)(a)(i) does not apply if a court, county 303 jail, or other entity previously has notified the agencies listed in Subsection (9)(a)(i) 304 about the inmate's incarceration. 305 (10)(a) The department shall, on a periodic basis, offer educational resources to one or 306 more individuals designated by an inmate concerning financial incentives for 307 repaying certain debts during an inmate's incarceration. 308 (b) The department may, if the department has received an inmate's consent, provide one 309 or more individuals designated by an inmate with information concerning the 310 inmate's current financial account balance and existing known debts, in addition to 311 the information provided under Subsection (10)(a). 312 Section 5. Section 81-6-101 is amended to read: 313 81-6-101 . Definitions for chapter. 314 As used in this chapter: 315 (1) "Administrative agency" means the Office of Recovery Services or the Department of 316 Health and Human Services. 317 (2) "Administrative order" means the same as that term is defined in Section 26B-9-201. 318 (3) "Alimony" means the same as that term is defined in Section 81-4-101. 319 (4) "Base child support award" means the award that may be ordered and is calculated 320 using the child support guidelines before additions for medical expenses and 321 work-related child care costs. 322 (5) "Base combined child support obligation" means the presumed amount of child support 323 that the parents should provide for their child as described in Subsection 81-6-204(1). 324 (6) "Base combined child support obligation table" means the appropriate table described in 325 Sections 81-6-302 and 81-6-304. 326 (7) "Child" means: 327 (a) a son or daughter who is under 18 years old and who is not otherwise emancipated, 328 self-supporting, married, or a member of the armed forces of the United States; 329 (b) a son or daughter who is 18 years old or older while enrolled in high school during 330 the normal and expected year of graduation and not otherwise emancipated, 331 self-supporting, married, or a member of the armed forces of the United States; or 332 (c) a son or daughter of any age who is incapacitated from earning a living and, if able to 333 provide some financial resources to the family, is not able to support self by own 334 means. 335 (8)(a) "Child support" means a base child support award, or a monthly financial award - 10 - 01-21 14:06 1st Sub. (Buff) H.B. 224 336 for uninsured medical expenses, ordered by a tribunal for the support of a child. 337 (b) "Child support" includes current periodic payments, arrearages that accrue under an 338 order for current periodic payments, and sum certain judgments awarded for 339 arrearages, medical expenses, and child care costs. 340 (9) "Child support guidelines" means the calculation and application of child support as 341 described in Part 2, Calculation and Adjustment of Child Support. 342 (10) "Child support order" means a judgment, decree, or order issued by a tribunal whether 343 temporary, final, or subject to modification, that: 344 (a) establishes or modifies child support; 345 (b) reduces child support arrearages to judgment; or 346 (c) establishes child support or registers a child support order under Title 78B, Chapter 347 14, Utah Uniform Interstate Family Support Act. 348 (11) "Child support tables" means the tables described in Part 3, Child Support Tables. 349 (12) "Child support services" means the same as that term is defined in Section 26B-9-101. 350 (13) "Gross income" means the amount of income calculated for a parent as described in 351 Section 81-6-203. 352 (14) "Health care coverage" means coverage under which medical services are provided to 353 a child through: 354 (a) fee for service; 355 (b) a health maintenance organization; 356 (c) a preferred provider organization; 357 (d) any other type of private health insurance; or 358 (e) public health care coverage. 359 (15)(a) "Incarceration" means the placement of an obligor who has been ordered to pay 360 child support into a carceral setting in which the obligor is not permitted to earn 361 wages from employment outside of the carceral setting. 362 (b) "Incarceration" does not include being placed on probation, parole, or work release. 363 [(15)] (16)(a) "Income" means earnings, compensation, or other payment due to an 364 individual, regardless of source, whether denominated as wages, salary, commission, 365 bonus, pay, allowances, contract payment, or otherwise, including severance pay, 366 sick pay, and incentive pay. 367 (b) "Income" includes: 368 (i) all gain derived from capital assets, labor, or both, including profit gained through 369 sale or conversion of capital assets; - 11 - 1st Sub. (Buff) H.B. 224 01-21 14:06 370 (ii) interest and dividends; 371 (iii) periodic payments made under pension or retirement programs or insurance 372 policies of any type; 373 (iv) unemployment compensation benefits; 374 (v) workers' compensation benefits; and 375 (vi) disability benefits. 376 [(16)] (17) "Joint physical custody" means the same as that term is defined in Section 377 81-9-101. 378 [(17)] (18) "Low income table" means the appropriate table under Section 81-6-303 or 379 81-6-305. 380 [(18)] (19) "Medical expenses" means health and dental expenses and related insurance 381 costs. 382 [(19)] (20) "Minor child" means a child who is younger than 18 years old. 383 [(20)] (21) "Obligee" means an individual, this state, another state, or another comparable 384 jurisdiction to whom child support is owed or who is entitled to reimbursement of child 385 support or public assistance. 386 [(21)] (22) "Obligor" means a person owing a duty of support. 387 [(22)] (23) "Office" means the Office of Recovery Services within the Department of Health 388 and Human Services. 389 [(23)] (24) "Pregnancy expenses" means an amount equal to: 390 (a) the sum of a pregnant mother's: 391 (i) health insurance premiums while pregnant that are not paid by an employer or 392 government program; and 393 (ii) medical costs related to the pregnancy, incurred after the date of conception and 394 before the pregnancy ends; and 395 (b) minus any portion of the amount described in Subsection [(23)(a)] (24)(a) that a court 396 determines is equitable based on the totality of the circumstances, not including any 397 amount paid by the mother or father of the child. 398 [(24)] (25) "Split custody" means that each parent has physical custody of at least one of the 399 children. 400 [(25)] (26) "State" means a state, territory, possession of the United States, the District of 401 Columbia, the Commonwealth of Puerto Rico, Native American tribe, or other 402 comparable domestic or foreign jurisdiction. 403 [(26)] (27) "Support" means past-due, present, and future obligations to provide for the - 12 - 01-21 14:06 1st Sub. (Buff) H.B. 224 404 financial support, maintenance, or medical expenses of a child. 405 [(27)] (28) "Support order" means: 406 (a) a child support order; or 407 (b) a judgment, decree, or order by a tribunal, whether temporary, final, or subject to 408 modification, for alimony. 409 (29) "Suspension" means adjusting a child support order to zero dollars during the period of 410 an obligor's incarceration. 411 [(28)] (30) "Temporary" means a period of time that is projected to be less than 12 months 412 in duration. 413 [(29)] (31) "Third party" means an agency or a person other than a parent or a child who 414 provides care, maintenance, and support to a child. 415 [(30)] (32) "Tribunal" means the district court, the Department of Health and Human 416 Services, Office of Recovery Services, or court or administrative agency of a state, 417 territory, possession of the United States, the District of Columbia, the Commonwealth 418 of Puerto Rico, Native American tribe, or other comparable domestic or foreign 419 jurisdiction. 420 [(31)] (33) "Work-related child care expenses" means reasonable child care costs for up to a 421 full-time work week or training schedule as necessitated by the employment or training 422 of a parent. 423 [(32)] (34) "Worksheet" means a form used to aid in calculating the base child support 424 award. 425 Section 6. Section 81-6-203 is amended to read: 426 81-6-203 . Determination of gross income for child support -- Imputing income to 427 a parent. 428 (1)(a) Each parent shall provide verification of current income to the court or 429 administrative agency. 430 (b) Each parent shall provide year-to-date pay stubs or employer statements and 431 complete copies of tax returns from at least the most recent year, unless the court 432 finds the verification is not reasonably available. 433 (c) Verification of income from records maintained by the Department of Workforce 434 Services may be substituted for pay stubs, employer statements, and income tax 435 returns. 436 (2)(a) To calculate gross income of a parent, the court or administrative agency may 437 include: - 13 - 1st Sub. (Buff) H.B. 224 01-21 14:06 438 (i) prospective income of the parent, including income from earned and nonearned 439 sources, such as salaries, wages, commissions, royalties, bonuses, rents, gifts from 440 anyone, prizes, dividends, severance pay, pensions, interest, trust income, alimony 441 from previous marriages, annuities, capital gains, Social Security benefits, worker 442 compensation benefits, unemployment compensation, income replacement 443 disability insurance benefits, and payments from nonmeans-tested government 444 programs; and 445 (ii) income imputed to the parent as described in Subsection (6). 446 (b) Income from earned income sources is limited to the equivalent of one full-time 447 40-hour job. 448 (c) If and only if during the time before the original support order, the parent normally 449 and consistently worked more than 40 hours at the parent's job, the court may 450 consider this extra time as a pattern in calculating the parent's ability to provide child 451 support. 452 (3)(a) The court or administrative agency shall use historical and current earnings to 453 determine whether an underemployment or overemployment situation exists. 454 [(b) The office may not treat incarceration of at least six months as voluntary 455 unemployment in establishing or modifying a support order.] 456 (b) When establishing or modifying a child support order for an obligor who is a parent 457 and incarcerated, the office shall follow the requirements of Section 81-6-211.5. 458 (4)(a) To calculate income from self-employment or operation of a business, the court or 459 administrative agency: 460 (i) shall calculate gross income from self-employment or operation of a business by 461 subtracting necessary expenses required for self-employment or business 462 operation from gross receipts; 463 (ii) shall review income and expenses from self-employment or operation of a 464 business to determine an appropriate level of gross income available to the parent 465 to satisfy a child support award; and 466 (iii) may only deduct those expenses necessary to allow the business to operate at a 467 reasonable level from gross receipts. 468 (b) Gross income determined under this Subsection (4) may differ from the amount of 469 business income determined for tax purposes. 470 (5) When possible, the court or administrative agency shall determine the average monthly 471 gross income for each parent by: - 14 - 01-21 14:06 1st Sub. (Buff) H.B. 224 472 (a) calculating the gross income of each parent on an annual basis; and 473 (b) dividing the annual gross income for each parent by 12. 474 (6)(a) The court or administrative agency may not impute income to a parent unless the 475 parent stipulates to the amount imputed, the parent defaults, or, in contested cases, a 476 hearing is held and the court or administrative agency enters findings of fact as to the 477 evidentiary basis for the imputation. 478 (b) If income is imputed to a parent, the court or administrative agency shall base 479 income upon employment potential and probable earnings considering, to the extent 480 known: 481 (i) employment opportunities; 482 (ii) work history; 483 (iii) occupation qualifications; 484 (iv) educational attainment; 485 (v) literacy; 486 (vi) age; 487 (vii) health; 488 (viii) criminal record; 489 (ix) other employment barriers and background factors; and 490 (x) prevailing earnings and job availability for persons of similar backgrounds in the 491 community. 492 (c) If a parent has no recent work history or a parent's occupation is unknown, the court 493 or administrative agency may impute an income to that parent at the federal 494 minimum wage for a 40-hour work week. 495 (d) To impute a greater or lesser income, the court or administrative agency shall enter 496 specific findings of fact as to the evidentiary basis for the imputation. 497 (e) The court or administrative agency may not impute income to a parent if any of the 498 following conditions exist and the condition is not of a temporary nature: 499 (i) the reasonable costs of child care for the parents' minor child approach or equal 500 the amount of income the custodial parent can earn; 501 (ii) a parent is physically or mentally unable to earn minimum wage; 502 (iii) a parent is engaged in career or occupational training to establish basic job skills; 503 or 504 (iv) unusual emotional or physical needs of a child require the custodial parent's 505 presence in the home. - 15 - 1st Sub. (Buff) H.B. 224 01-21 14:06 506 (7) Notwithstanding Subsection (2), the court or administrative agency may not include the 507 following sources of income when calculating the gross income of a parent: 508 (a) cash assistance provided under Title 35A, Chapter 3, Part 3, Family Employment 509 Program; 510 (b) benefits received under a housing subsidy program, the Job Training Partnership Act, 511 Supplemental Security Income, Social Security Disability Insurance, Medicaid, 512 SNAP benefits, or General Assistance; 513 (c) other similar means-tested welfare benefits received by a parent; 514 (d) the earned income of a child who is the subject of a child support award; or 515 (e) except as otherwise provided in Subsection (8), the benefits to a child in the child's 516 own right, such as Supplemental Security Income. 517 (8)(a) The court or administrative agency shall credit, as child support, the amount of 518 social security benefits received by a child due to the earnings of the parent on whose 519 earning record the social security benefits are based by crediting the amount against 520 the potential obligation of that parent. 521 (b) The court or administrative agency may consider other unearned income of a child as 522 income of a parent depending upon the circumstances of each case. 523 Section 7. Section 81-6-211.5 is enacted to read: 524 81-6-211.5 . Child support orders for an incarcerated obligor -- Suspension -- 525 Exceptions. 526 (1) The office may not treat incarceration of 90 or more consecutive days as voluntary 527 unemployment in establishing or modifying a child support order. 528 (2)(a) Except as provided in Subsection (2)(c), for any period of 90 or more consecutive 529 days of the obligor's incarceration, suspension of a money judgment or support order 530 issued in this state for an obligor ordered to pay child support shall occur by 531 operation of law. 532 (b) For a suspension under Subsection (2)(a), the office shall: 533 (i) retroactively date the period of suspension to the date on which the office notified 534 the required parties of the suspension, with the eligible period beginning on the 535 first day of the first full month of the date that the office provided the parties with 536 the notification; 537 (ii) issue a balance credit for any funds collected during the period of suspension, 538 unless the funds have already been distributed, in which case, the funds may not 539 be credited or otherwise recovered; and - 16 - 01-21 14:06 1st Sub. (Buff) H.B. 224 540 (iii) resume the obligation described in Subsection (2)(a) on the first day of the first 541 full month that occurs once 90 days have passed after the day on which the 542 obligor is released from incarceration. 543 (c) The office may not suspend an obligation under Subsection (2)(a) if the obligor is 544 incarcerated for: 545 (i) criminal non-payment of a child support order; or 546 (ii) an offense against the inmate's child or custodial parent of the inmate's child. 547 (3) The suspension described in Subsection (2)(a) is only applicable for an obligor whose 548 term of incarceration begins on or after January 1, 2027. 549 Section 8. Effective Date. 550 This bill takes effect on May 7, 2025. - 17 -