71st OREGON LEGISLATIVE ASSEMBLY--2001 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 397
A-Engrossed
House Bill 2170
Ordered by the House May 1
Including House Amendments dated May 1
Ordered printed by the Speaker pursuant to House Rule 12.00A (5).
Presession filed (at the request of Representative Vicki
Walker)
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure.
{ - Allows person to request hearing from Department of
Revenue to contest claim assigned by state agency to department
for collection. Requires that department reassign claim to agency
for hearing if person contests liability on claim, unless claim
is based on judgment or on written order or warrant of agency
entered after default, after hearing on claim, or pursuant to
stipulation, agreed settlement or consent. Requires that
department conduct contested case hearing if person contests
calculation of amount due on claim or asserts that claim has been
satisfied or released. - } { +
Limits types of debts that agencies can assign to Department of
Revenue for collection. + }
A BILL FOR AN ACT
Relating to collection of debts owed to state agencies.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + Section 2 of this 2001 Act is added to and made
a part of ORS chapter 293. + }
SECTION 2. { + (1) An agency may assign a debt to the
Department of Revenue for collection under the provisions of ORS
293.250 or other law only if the debt is liquidated as described
in this section. Before assigning the debt, the agency must have:
(a) Determined the exact amount that is owed and delinquent;
(b) Made a reasonable attempt to notify the debtor in writing
of the amount owing and the nature of the debt; and
(c) Requested payment.
(2) An agency may assign a debt to the Department of Revenue
for collection if the agency has complied with subsection (1) of
this section and one of the following conditions has been met:
(a) A final judgment has been entered against the debtor on the
debt, or the Attorney General has approved assignment of the debt
before entry of a final judgment in a proceeding brought to
enforce the debt.
(b) The debt is a tax debt, and a distraint warrant has either
been issued for the debt or all requirements for the issuance of
a distraint warrant have been met.
(c) Liability for the debt, and the amount of the debt, has
been established through an administrative proceeding. The agency
must have afforded the debtor a hearing or an opportunity to
request a hearing, and the administrative proceeding must be
final, either because the debtor failed to timely request a
hearing or because the debtor has exhausted or failed to exercise
any right of appeal.
(d) The debt is owed by a noncomplying employer, as defined in
ORS 656.005, the debt is for claim and administrative costs
arising under ORS chapter 656, and the debt is assigned to the
Department of Revenue under criteria adopted by the Department of
Justice.
(3) In addition to assigning a claim under subsection (2) of
this section, an agency may assign a claim to the Department of
Revenue for collection if the agency has complied with subsection
(1) of this section and one of the following conditions has been
met:
(a) The debt is evidenced by a promissory note.
(b) The debt is evidenced by a statement of account reflecting
the terms of a written agreement between the agency and the
debtor, the statement has been mailed or delivered to the debtor,
and the debtor has not objected within such reasonable time as is
specified by the agency.
(c) The debtor has unconditionally acknowledged in writing the
debtor's liability for the debt and the amount of the debt, or a
written settlement between the agency and the debtor specifies
both the liability of the debtor and the amount of the debt.
(d) The debt is attributable to an arithmetical calculation of
fees, collection costs, charges or penalties, or other similar
charges, based on a report or application for a permit or license
submitted by the debtor under the laws administered by the
agency, and the debtor has not disputed the debtor's liability or
the amount of the debt.
(e) Liability for the debt has been established by a judgment
or by an administrative proceeding, as described in subsection
(2) of this section, or by written acknowledgment of the debtor,
and:
(A) The amount of the debt can be determined by arithmetical
calculation;
(B) The calculation has been mailed or delivered to the debtor
in the same manner as a statement of account; and
(C) The debtor has not objected to the amount of the debt
determined by the agency within a reasonable time specified by
the agency.
(4) An agency assigning a claim to the Department of Revenue
must specify which of the conditions described in subsection (2)
or (3) of this section has been satisfied.
(5)(a) In collecting debts assigned under subsection (2) of
this section, the Department of Revenue may use any lawful
collection method, including the issuance of a warrant.
(b) A warrant may not be issued for any debt assigned to the
Department of Revenue under subsection (3) of this section. Any
debt assigned to the Department of Revenue under subsection (3)
of this section may be reassigned to the agency or referred to
the Department of Justice for such action as may be needed to
allow the debt to be assigned to the Department of Revenue under
subsection (2) of this section.
(6)(a) A debt may not be treated as liquidated under this
section and may not be assigned to the Department of Revenue
under subsection (3) of this section if the debtor disputes
either the liability of the debtor for the debt or the amount of
the debt.
(b) If a debt has been assigned to the Department of Revenue
under subsection (3) of this section and the debtor thereafter
disputes either the liability of the debtor for the debt or the
amount of the debt, the Department of Revenue shall reassign the
debt to the agency or refer the claim to the Department of
Justice.
(c) Unless the claim meets one of the conditions described in
subsection (2) of this section, an agency may not prevent a
debtor from disputing the liability of the debtor for the debt or
the amount of the debt by requiring that the debtor respond to
the agency's determination of liability or the amount of the debt
within a specific period of time. + }
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