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
 
                         House Bill 2170
 
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 as
introduced.
 
  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.
 
                        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) The Department of Revenue shall give
written notice to a debtor in the manner provided by subsection
(2) of this section before making collection efforts under ORS
293.250, including any of the following:
  (a) Assignment of the claim to a private collection agency;
  (b) Setoff of any refunds or sums due to the debtor from the
Department of Revenue or any other state agency; or
  (c) Issuance of a warrant under ORS 293.250 (4).
  (2) The notice required by subsection (1) of this section must
contain:
  (a) The name of the agency that assigned the claim to the
Department of Revenue;
  (b) The date the claim was assigned by the agency to the
Department of Revenue;
  (c) The amount that the agency claims as owing from the debtor;
  (d) A statement that the debtor may request a hearing to
contest the liability of the debtor unless the claim is based on
a judgment, or is based on a written order or warrant of the
agency entered after a default, after a hearing on the claim, or
pursuant to stipulation, agreed settlement or consent; and
  (e) A statement that the debtor may request a hearing to
contest the calculation of the amount due on the claim, or to
assert that the claim has been satisfied or released.
  (3) Within 30 days after receiving the notice under this
section, a debtor may make a written request for hearing. The
request must state the specific grounds on which the debtor
contests the claim and must specify whether:
  (a) The debtor contests the liability of the debtor on the
claim; or
  (b) The debtor contests the calculation of the amount due on
the claim or asserts that the claim has been satisfied or
released.
  (4) Upon receipt of a request under subsection (3) of this
section that contests the liability of the debtor on a claim, the
department shall reassign the claim to the agency in the manner
provided by subsection (6) of this section unless the claim
assigned to the department is based on a judgment entered by a
court, or is based on a written order or warrant of the agency
entered after a default, after a hearing on the claim, or
pursuant to stipulation, agreed settlement or consent. The
department need not provide a hearing on the claim and may
continue collection efforts if the claim is based on a judgment
entered by a court, or is based on a written order or warrant of
the agency entered after a default, after a hearing on the claim,
or pursuant to stipulation, agreed settlement or consent.
  (5) Upon receipt of a written request under subsection (3) of
this section that contests the calculation of the amount due on a
claim or asserts that a claim has been satisfied or released, the
department shall conduct a hearing to determine whether the
calculation of the amount due on the claim is correct or whether
the claim has been satisfied or released. Hearings under this
subsection must be conducted as contested case hearings under ORS
183.310 to 183.550.
  (6) Upon reassignment of a claim under this section, the
department shall discontinue all collection efforts on the claim,
and the agency may not thereafter assign the claim to the
department until the agency has acquired a judgment against the
debtor or has entered a written order or warrant determining the
liability of the debtor after a default, after a hearing on the
claim, or pursuant to stipulation, agreed settlement or consent.
  (7) This section does not apply to any claim for which a
judgment has been entered, to any claim for taxes or to any claim
based on a child support obligation. + }
  SECTION 3.  { + Section 2 of this 2001 Act applies only to
claims assigned to the Department of Revenue under ORS 293.250 on
or after the effective date of this 2001 Act. + }
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