74th OREGON LEGISLATIVE ASSEMBLY--2007 Regular Session
HA to HB 2125
LC 959/HB 2125-2
HOUSE AMENDMENTS TO
HOUSE BILL 2125
By COMMITTEE ON JUDICIARY
April 17
On page 1 of the printed bill, delete line 3 and insert 'ORS
25.020, 25.150, 25.245, 25.287, 25.321, 25.323, 25.325, 25.327,
25.329, 25.331, 25.333, 25.337 and 25.341; and declaring an
emergency.'.
On page 7, delete lines 31 through 45 and delete pages 8
through 10 and insert:
' { + SECTION 5. + } ORS 25.321 is amended to read:
' 25.321. As used in ORS 25.321 to 25.343:
' (1) 'Accessible' means that, unless otherwise provided in a
support order:
' (a) A health benefit plan does not have service area
limitations or the health benefit plan provides an option not
subject to service area limitations;
' (b) A health benefit plan has service area limitations and
the child lives within 30 miles or 30 minutes of a primary care
provider under the plan; or
' (c) A health benefit plan is accessible as defined in rules
of the Department of Justice.
' (2) 'Enforcing agency' means the administrator.
' (3) 'Enroll' means to be eligible for and covered by a health
benefit plan.
' (4) 'Health benefit plan' means any policy or contract of
insurance, indemnity, subscription or membership issued by an
insurer { - or - } { + , including health care coverage
provided by a public entity, and + } any self-insured employee
benefit plan { - for the purpose of covering - } { + that
provides coverage for + } medical expenses.
{ - Medical expenses may include but are not limited to
hospital, surgical, major medical, dental, optical, prescription
drugs, office visits or any other comparable health care expenses
or any combination of these expenses. - }
' (5)(a) 'Health care coverage' means providing { - a health
benefit plan under ORS 25.323 to meet the medical needs of a
child and paying the cost of any premium required by the health
benefit plan - } { + and paying for the medical needs of a
child through a health benefit plan + }.
' (b) 'Health care coverage' does not include and is a separate
obligation from any monetary amount of child support or spousal
support ordered to be paid.
' { + (6) 'Medical support' means an amount ordered to be
paid toward the cost of:
' (a) Health care coverage, including premiums, provided by a
public entity or by another parent through employment or
otherwise; and
' (b) Copayments, deductibles and other medical expenses not
covered by a health benefit plan. + }
' { - (6) - } { + (7) + } 'Medical support notice' means a
notice as prescribed under 42 U.S.C. 666(a)(19) or a
substantially similar notice that is issued and forwarded by the
enforcing agency to enforce health care coverage provisions of a
support order.
' { - (7) - } { + (8) + } 'Plan administrator' means:
' (a) The employer, union or other provider that offers a
health benefit plan; or
' (b) The person to whom, under a written agreement of the
parties, the duty of plan administrator is delegated by the
employer, union or other provider that offers a health benefit
plan.
' { - (8) - } { + (9) + } 'Primary care provider' means a
physician who provides primary care and is a family or general
practitioner, pediatrician, internist, obstetrician, or
gynecologist.
' { + (10) 'Providing party' means a party to a child support
order who has been ordered by the court or the enforcing agency
to provide health care coverage for a child or to provide such
coverage when it becomes available to the party. + }
' { - (9) - } { + (11) + } 'Satisfactory health care
coverage' means coverage provided under a health benefit plan
{ - , other than Medicaid or the Oregon Health Plan, that at a
minimum includes emergency care, inpatient and outpatient
hospital care, physician services, whether provided within or
outside a hospital setting, and laboratory and X-ray services - }
{ + that, at a minimum, includes medical and hospital coverage,
provides for preventive, emergency, acute and chronic care and
imposes reasonable deductibles and copayments + }.
' { + SECTION 6. + } ORS 25.323 is amended to read:
' 25.323. { - (1) In all child support orders entered under
ORS chapters 107, 108, 109 and 110 and ORS 416.400 to 416.465,
419B.400 and 419C.590, and in any modifications of those orders,
the court or the enforcing agency shall order the obligor to
provide satisfactory health care coverage for the child, unless
the court or the enforcing agency finds that: - }
' { - (a) The obligee or the assignee of child support rights
has elected to provide health care coverage for the child; or - }
' { - (b) The obligor cannot provide satisfactory health care
coverage that is reasonable in cost and accessible to the
child. - }
' { - (2) If the court or the enforcing agency finds that the
obligor cannot provide health care coverage because health care
coverage that is reasonable in cost and accessible to the child
is not available at the time the child support order is entered,
the court or the enforcing agency shall include in the order a
provision requiring the obligor to provide health care coverage
when such coverage becomes available to the obligor. - }
' { - (3) Health care coverage is reasonable in cost if: - }
' { - (a) The coverage is available to the obligor through
employment related or other group health insurance; - }
' { - (b) The obligor's share, if any, of premiums for the
coverage does not, under the circumstances of the case, make the
application of the formula established under ORS 25.275 unjust or
inappropriate; and - }
' { - (c) The coverage satisfies other criteria that the
Department of Justice may adopt by rule. - }
' { - (4) The Department of Justice shall adopt rules under
ORS 25.275 for determining how the costs of providing health care
coverage affect the support obligation. - }
' { + (1) Except as provided in this section, whenever a
child support order is entered or modified under this chapter,
ORS chapter 107, 108, 109, 110 or ORS 416.400 to 416.465,
419B.400 or 419C.590, the court or the enforcing agency shall
order one or both parties to provide satisfactory health care
coverage that is reasonable in cost and accessible to the child.
An order for health care coverage under this subsection may
include health care coverage provided by a public entity.
' (2) In addition to ordering health care coverage under
subsection (1) of this section, the court or enforcing agency may
order one or both parties to pay medical support for the child.
Medical support ordered under this subsection must be reasonable
in cost.
' (3) If the court or the enforcing agency finds that the
parties cannot provide satisfactory health care coverage because
satisfactory health care coverage that is reasonable in cost and
accessible to the child is not available at the time the child
support order is entered, the court or the enforcing agency:
' (a) Shall order one or both parties to provide satisfactory
health care coverage that is reasonable in cost and accessible to
the child when the coverage becomes available; and
' (b) May order that, until the court or enforcing agency
determines that satisfactory health care coverage that is
reasonable in cost and accessible to the child is available and
modifies the order, one or both parties pay medical support that
is reasonable in cost. The court or enforcing agency shall make
written findings on whether to order the payment of medical
support under this paragraph.
' (4) The cost of any amount ordered to provide satisfactory
health care coverage and medical support under this section must
be included in the child support calculation made under ORS
25.275.
' (5) The court or enforcing agency may not order a party to
pay medical support under this section if the party is eligible
to receive medical assistance under ORS 414.032, or has a
dependent child in the household who is eligible to receive
medical assistance under ORS 414.032.
' (6) The Department of Justice shall adopt rules for
determining the reasonableness of the cost of satisfactory health
care coverage and of medical support for the purposes of this
section, and for determining how the costs of providing health
care coverage and medical support affect the total support
obligation for a child under ORS 25.275. + }
' { + SECTION 7. + } ORS 25.325 is amended to read:
' 25.325. (1) When a child support order requires { - an
obligor - } { + a party + } to provide health care coverage for
a child under a health benefit plan:
' (a) The court or the enforcing agency may issue a qualified
medical child support order as provided in section 609 of the
Employee Retirement Income Security Act of 1974 (29 U.S.C. 1169)
directing the { - obligor's - } { + providing party's + }
employer or plan administrator to enroll the { - obligor's - }
{ + providing party's + } child in a health benefit plan and
directing the { - obligor's - } { + providing party's + }
employer to withhold any required premium from the
{ - obligor's - } { + providing party's + } compensation.
' (b) If support enforcement services are being provided under
ORS 25.080, the enforcing agency shall, when appropriate:
' (A) Issue a medical support notice in accordance with rules
adopted by the Department of Justice.
' (B) Issue a medical support notice to the { - obligor's - }
{ + providing party's + } employer within two business days of
receiving information under ORS 25.790 that the employer has
hired or rehired the { - obligor - } { + providing party + }.
' { - (C) Provide the obligee with information regarding the
health care coverage obtained for the child and with any notice
that coverage may terminate because withholding has stopped under
ORS 25.331 or 25.341. - }
' (2) If an order to provide health care coverage is in effect
or is being sought:
' (a) The { - obligor's - } { + providing party's + }
employer or plan administrator shall release to { - the obligee
or - } the enforcing agency, upon request, the name and address
of the insurer and any plan administrator; and
' (b) The plan administrator shall release to the obligee or
the enforcing agency, upon request, information about dependent
health care coverage under the health benefit plan.
' (3) If a qualified medical child support order or a medical
support notice has been served on the { - obligor's - }
{ + providing party's + } employer, the order or notice is
binding on the employer and the plan administrator to the extent
that the child is eligible to be enrolled in the health benefit
plan under the applicable terms and conditions of the plan and
the standard enrollment guidelines as described in ORS 743.847.
Enrollment of the child shall be allowed at any time,
notwithstanding any enrollment season restrictions.
' { + SECTION 8. + } ORS 25.327 is amended to read:
' 25.327. (1) The enforcing agency shall serve the medical
support notice on the { - obligor's - } { + providing
party's + } employer as a withholder. The notice may be served
upon the withholder or the withholder's registered agent,
corporate officer, bookkeeper, accountant, person responsible for
payroll or local office manager by:
' (a) Personal service;
' (b) Any type of mail that is calculated to give actual notice
and is addressed to one of the persons listed in this subsection;
or
' (c) Electronic means if the employer has the ability to
receive the medical support notice in that manner.
' (2) Service of a medical support notice constitutes receipt
of a medical child support order.
' (3) The enforcing agency shall, as provided in ORS 25.333,
notify the { - obligor and obligee - } { + parties + } that
the medical support notice has been served on the
{ - obligor's - } { + providing party's + } employer.
' { + SECTION 9. + } ORS 25.329 is amended to read:
' 25.329. When the enforcing agency serves a medical support
notice on an employer:
' (1) The employer shall comply with the provisions in the
medical support notice;
' (2) The plan administrator and the employer shall treat the
medical support notice as an application by the enforcing agency
for health care coverage for the named child under the health
benefit plan to the extent an application is required by the
plan;
' (3) If the { - obligor - } { + providing party + } named
in the medical support notice is not an employee of the employer,
or if a health benefit plan is not offered or available to the
{ - obligor - } { + providing party + }, the employer shall
notify the enforcing agency within 20 business days after the
date of the medical support notice;
' (4) If a health benefit plan is offered or available to the
{ - obligor - } { + providing party + }, the employer shall
send the plan administrator's portion of the notice to each
appropriate plan administrator within 20 business days after the
date of the medical support notice;
' (5) Within 40 business days after the date of the medical
support notice, the plan administrator shall do all of the
following as directed by the notice:
' (a) Complete the appropriate portion of the notice and return
the portion to the enforcing agency;
' (b) If the child is or will be enrolled, notify the
{ - obligor and obligee - } { + parties + } and furnish the
obligee with the information necessary to effectuate coverage and
submit claims for benefits;
' (c) If the child has been or will be enrolled, provide the
enforcing agency with the type of health benefit plan under which
the child has been or will be enrolled, including whether dental,
optical, office visits and prescription drugs are covered
services;
' (d) If more than one health benefit plan is available to the
{ - obligor - } { + providing party + } and the
{ - obligor - } { + providing party + } is not enrolled,
forward the health benefit plan descriptions and documents to the
enforcing agency;
' (e) If the { - obligor - } { + providing party + } is
subject to a waiting period that expires more than 90 days after
the date of receipt of the medical support notice by the plan
administrator or if the { - obligor - } { + providing
party + } has not completed a waiting period that is measured in
a manner other than the passage of time, notify the employer, the
enforcing agency { - , the obligor and the obligee - } { + and
the parties + }; and
' (f) Upon completion of the enrollment, notify the employer of
the enrollment;
' (6) If the plan administrator notifies the employer that the
{ - obligor - } { + providing party + } is subject to a
waiting period that expires more than 90 days after the date of
receipt of the medical support notice by the plan administrator
or that the { - obligor - } { + providing party + } is subject
to a waiting period that is measured in a manner other than the
passage of time, the employer shall, when the { - obligor - }
{ + providing party + } becomes eligible to enroll in the plan,
notify the plan administrator that the medical support notice
requires that the child named in the notice be enrolled in the
plan; { + and + }
' (7) The plan administrator shall enroll the child and, if
necessary to the enrollment of the child, enroll the
{ - obligor - } { + providing party + } in the plan
{ - selected in accordance with this subsection - } { + as
provided by rules adopted by the Department of Justice + }.
{ - All of the following apply to the selection of the plan: - }
' { - (a) If the obligor is enrolled in a health benefit plan
that offers dependent coverage, that plan shall be selected; - }
' { - (b) If the obligor is not enrolled in a health benefit
plan or is not enrolled in a plan that offers dependent coverage,
and if only one plan with dependent coverage is offered, that
plan shall be selected; and - }
' { - (c) If the obligor is not enrolled in a health benefit
plan or is not enrolled in a plan that offers dependent coverage
and if more than one plan with dependent coverage is offered, the
enforcing agency shall: - }
' { - (A) Send the health benefit plan descriptions and
documents to the obligee; and - }
' { - (B) Select a plan in consultation with the obligee and
in accordance with rules adopted by the Department of
Justice; - }
' { - (8) If more than one health benefit plan is available to
the obligor and the obligor is not enrolled, within 20 business
days after the date the plan administrator forwarded the health
benefit plan descriptions and documents to the enforcing agency
under subsection (5)(d) of this section, the plan administrator
shall: - }
' { - (a) Enroll the child, and if necessary the obligor, in
the health benefit plan selected by the enforcing agency; or - }
' { - (b) Enroll the child, and if necessary the obligor, in
any default option if the plan administrator has not received a
selection from the enforcing agency; and - }
' { - (9) Upon notification from the plan administrator that
the child is enrolled, the employer shall either withhold and
forward the premiums as provided in ORS 25.331 or notify the
enforcing agency that the enrollment cannot be completed because
of limits established for withholding as provided in ORS
25.331. - }
' { + SECTION 10. + } ORS 25.331 is amended to read:
' 25.331. (1) Upon notification from the plan administrator
that the child is enrolled in the health benefit plan, the
employer shall withhold from the { - obligor's - }
{ + providing party's + } compensation the { - obligor's - }
{ + providing party's + } share, if any, of premiums for the
health benefit plan. The employer shall forward the amount
withheld as required by the health benefit plan.
' (2) The withholding required by a qualified medical child
support order or a medical support notice is a continuing
obligation. The qualified medical child support order or medical
support notice and the withholding remain in effect and are
binding upon the employer until further notice from the court or
the enforcing agency.
' (3)(a) An amount withheld by an employer in compliance with a
withholding order issued for monetary support and a qualified
medical child support order or medical support notice may not
exceed 50 percent of the { - obligor's - } { + providing
party's + } net disposable income.
' (b) Notwithstanding paragraph (a) of this subsection, upon
the motion of a party and after a hearing, the court may order
the withholding of more than 50 percent of the
{ - obligor's - } { + providing party's + } net disposable
income. However, the amount withheld may not exceed the amount
allowed under section 303(b) of the federal Consumer Credit
Protection Act (15 U.S.C. 1673(b)).
' (4) If { - an obligor's - } { + a providing party's + }
compensation drops to a level at which withholding under this
section exceeds the amount allowed under subsection (3) of this
section, the employer shall stop the withholding and send the
court or the enforcing agency, as the case may be, a written
notice within 15 days of stopping the withholding. The notice
shall include the
{ - obligor's - } { + providing party's + } name, address and
Social Security number and the date the employer stopped
withholding under this section.
' (5) An employer is not subject to civil liability to an
individual or agency for conduct or actions in compliance with a
medical support notice if the employer:
' (a) Is served with a medical support notice under ORS 25.327
that is regular on its face; and
' (b) Complies with the provisions of the medical support
notice if the notice appears to be in conformance with section
609 of the Employee Retirement Income Security Act of 1974 (29
U.S.C. 1169).
' { + SECTION 11. + } ORS 25.333 is amended to read:
' 25.333. (1) When the enforcing agency issues a medical
support notice under ORS 25.325, the enforcing agency shall
notify the { - obligor and the obligee - } { + parties + } by
regular mail to the last known addresses of the { - obligor and
obligee - } { + parties + }:
' (a) That the notice has been sent to the { - obligor's - }
{ + the providing party's + } employer; and
' (b) Of the { - obligor's - } { + providing party's + }
rights and duties under the notice.
' (2) { - An obligor - } { + A providing party + } may
contest a medical support notice within 14 days after the date
the premium is first withheld pursuant to the notice or, if the
health benefit plan is provided at no cost to the
{ - obligor - } { + providing party + }, the date the first
premium is paid by the employer.
' (3) The only basis for contesting a medical support notice is
a mistake of fact. A 'mistake of fact' means any of the
following:
' (a) No order to provide health care coverage under a health
benefit plan has been issued in regard to the { - obligor's - }
{ + providing party's + } child;
' (b) The amount to be withheld for premiums is greater than is
permissible under ORS 25.331; or
' (c) The alleged { - obligor - } { + providing party + }
is not the
{ - obligor - } { + party + } from whom health care coverage
is required.
' (4) The { - obligor - } { + providing party + } may
contest the medical support notice by requesting an
administrative review. After receiving a request for review and
within 45 days after the date the premium is first withheld
pursuant to the medical support notice, the enforcing agency
shall determine, based on an evaluation of the facts, whether the
withholding for premiums may continue. The enforcing agency shall
inform the { - obligor and obligee - } { + parties + } of the
determination in writing and include information regarding the
right to appeal the determination.
' (5) Any appeal of the enforcing agency's determination under
subsection (4) of this section is to the circuit court for a
hearing under ORS 183.484.
' (6) The initiation of proceedings to contest a medical
support notice or an appeal of the enforcing agency's
determination under this section does not stay the withholding of
premiums.
' { + SECTION 12. + } ORS 25.337 is amended to read:
' 25.337. (1) If the plan administrator or the employer fails
to comply with the requirements described in ORS 25.329 or
25.331, the enforcing agency or obligee may bring a civil action
against the plan administrator or employer for medical expenses,
the
{ - obligor's - } { + providing party's + } share of the
premiums, attorney fees and costs.
' (2) An employer commits an unlawful employment practice if
the employer discharges { - an obligor - } { + a providing
party + }, refuses to hire { - an obligor - } { + a providing
party + } or in any other manner discriminates, retaliates or
takes disciplinary action against { - an obligor - } { + a
providing party + } because of the entry of a medical support
notice or qualified medical child support order or because of the
obligations imposed upon the plan administrator by the order. An
employee may bring a civil action under ORS 659A.885 or may file
a complaint with the Commissioner of the Bureau of Labor and
Industries in the manner provided by ORS 659A.820.
' (3) { - An obligor - } { + A providing party + } who
fails to maintain health care coverage for a child as ordered is
liable, from the date of the order, for any medical expenses
resulting from the failure to maintain coverage.
' (4) The remedies described in this section are not exclusive.
Nothing in this section precludes action by the court to enforce
a judicial or administrative order requiring health care coverage
or { - costs - } { + payment of medical support + } by
imposition of remedial or punitive sanctions for contempt or
otherwise.
' { + SECTION 13. + } ORS 25.341 is amended to read:
' 25.341. When an employer is unable to continue withholding
from { - an obligor's - } { + a providing party's + }
compensation because the relationship between the employer and
the { - obligor - } { + providing party + } ends, the
employer shall send the enforcing agency a written notice within
15 days of the termination of the relationship. The notice must
include the { - obligor's - } { + providing party's + } name,
the
{ - obligor's - } { + providing party's + } last known
address, the { - obligor's - } { + providing party's + }
Social Security number, the date the relationship terminated and,
if known, the name and address of a new employer of or other
provider of a health benefit plan to the
{ - obligor - } { + providing party + }.
' { + SECTION 14. + } { + This 2007 Act being necessary for
the immediate preservation of the public peace, health and
safety, an emergency is declared to exist, and this 2007 Act
takes effect October 1, 2007. + } ' .
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