HBA-AMW, LJP H.B. 586 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 586
By: Brown, Betty
Juvenile Justice & Family Issues
2/18/2001
Introduced



BACKGROUND AND PURPOSE 

Although federal and state governments have increased initiatives to
collect delinquent child support payments, many child support debts
continue to go unpaid.  According to the Department of Health and Human
Services, child support payments are being made in only 37 percent of the
nation's 16.4 million child support cases.  Last year, Texas collected
child support payments in 19 percent of the cases in which support was
owed.  To encourage payment of child support, House Bill 586 provides that
a delinquent child support obligor or a business entity in which a
delinquent obligor has certain interests is ineligible to receive specified
state funds, grants, or loans. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 586 amends the Family Code to provide that certain delinquent
child support obligors and business entities in which a delinquent obligor
has certain interests are not eligible to receive a state-funded grant or
loan.  This includes scholarships, loans associated with an educational
loan repayment program, federally funded educational loans administrated by
the state, and any other student financial assistance that is conditioned
on the performance of some service obligation after graduation. 

EFFECTIVE DATE

September 1, 2001.