Public Act 096-0053
 
SB0100 Enrolled LRB096 03110 AJO 13126 b

    AN ACT concerning civil law.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. The Income Withholding for Support Act is
amended by changing Section 35 as follows:
 
    (750 ILCS 28/35)
    Sec. 35. Duties of payor.
    (a) It shall be the duty of any payor who has been served
with an income withholding notice to deduct and pay over income
as provided in this Section. The payor shall deduct the amount
designated in the income withholding notice, as supplemented by
any notice provided pursuant to subsection (f) of Section 45,
beginning no later than the next payment of income which is
payable or creditable to the obligor that occurs 14 days
following the date the income withholding notice was mailed,
sent by facsimile or other electronic means, or placed for
personal delivery to or service on the payor. The payor may
combine all amounts withheld for the benefit of an obligee or
public office into a single payment and transmit the payment
with a listing of obligors from whom withholding has been
effected. The payor shall pay the amount withheld to the State
Disbursement Unit within 7 business days after the date the
amount would (but for the duty to withhold income) have been
paid or credited to the obligor. If the payor knowingly fails
to withhold the amount designated in the income withholding
notice or to pay any amount withheld to the State Disbursement
Unit within 7 business days after the date the amount would
have been paid or credited to the obligor, then the payor shall
pay a penalty of $100 for each day that the amount designated
in the income withholding notice (whether or not withheld by
the payor) is not paid to the State Disbursement Unit after the
period of 7 business days has expired. The failure of a payor,
on more than one occasion, to pay amounts withheld to the State
Disbursement Unit within 7 business days after the date the
amount would have been paid or credited to the obligor creates
a presumption that the payor knowingly failed to pay over the
amounts. This penalty may be collected in a civil action which
may be brought against the payor in favor of the obligee or
public office. A finding of a payor's nonperformance within the
time required under this Act must be documented by a certified
mail return receipt or a sheriff's or private process server's
proof of service showing the date the income withholding notice
was served on the payor. For purposes of this Act, a withheld
amount shall be considered paid by a payor on the date it is
mailed by the payor, or on the date an electronic funds
transfer of the amount has been initiated by the payor, or on
the date delivery of the amount has been initiated by the
payor. For each deduction, the payor shall provide the State
Disbursement Unit, at the time of transmittal, with the date
the amount would (but for the duty to withhold income) have
been paid or credited to the obligor.
    After June 30, 2000, every payor that has 250 or more
employees shall use electronic funds transfer to pay all
amounts withheld under this Section. During the year 2001 and
during each year thereafter, every payor that has fewer than
250 employees and that withheld income under this Section
pursuant to 10 or more income withholding notices during
December of the preceding year shall use electronic funds
transfer to pay all amounts withheld under this Section.
    Upon receipt of an income withholding notice requiring that
a minor child be named as a beneficiary of a health insurance
plan available through an employer or labor union or trade
union, the employer or labor union or trade union shall
immediately enroll the minor child as a beneficiary in the
health insurance plan designated by the income withholding
notice. The employer shall withhold any required premiums and
pay over any amounts so withheld and any additional amounts the
employer pays to the insurance carrier in a timely manner. The
employer or labor union or trade union shall mail to the
obligee, within 15 days of enrollment or upon request, notice
of the date of coverage, information on the dependent coverage
plan, and all forms necessary to obtain reimbursement for
covered health expenses, such as would be made available to a
new employee. When an order for dependent coverage is in effect
and the insurance coverage is terminated or changed for any
reason, the employer or labor union or trade union shall notify
the obligee within 10 days of the termination or change date
along with notice of conversion privileges.
    For withholding of income, the payor shall be entitled to
receive a fee not to exceed $5 per month to be taken from the
income to be paid to the obligor.
    (b) Whenever the obligor is no longer receiving income from
the payor, the payor shall return a copy of the income
withholding notice to the obligee or public office and shall
provide information for the purpose of enforcing this Act.
    (c) Withholding of income under this Act shall be made
without regard to any prior or subsequent garnishments,
attachments, wage assignments, or any other claims of
creditors. Withholding of income under this Act shall not be in
excess of the maximum amounts permitted under the federal
Consumer Credit Protection Act. Income available for
withholding shall be applied first to the current support
obligation, then to any premium required for employer, labor
union, or trade union-related health insurance coverage
ordered under the order for support, and then to payments
required on past-due support obligations. If there is
insufficient available income remaining to pay the full amount
of the required health insurance premium after withholding of
income for the current support obligation, then the remaining
available income shall be applied to payments required on
past-due support obligations. If the payor has been served with
more than one income withholding notice pertaining to the same
obligor, the payor shall allocate income available for
withholding on a proportionate share basis, giving priority to
current support payments. A payor who complies with an income
withholding notice that is regular on its face shall not be
subject to civil liability with respect to any individual, any
agency, or any creditor of the obligor for conduct in
compliance with the notice.
    (d) No payor shall discharge, discipline, refuse to hire or
otherwise penalize any obligor because of the duty to withhold
income.
(Source: P.A. 92-590, eff. 7-1-02; 93-294, eff. 1-1-04.)

Effective Date: 1/1/2010