(1) The state child support enforcement agency may issue a notice of administrative lien and attachment to any person, insurance company, or agency providing workers' compensation insurance benefits for any employer to attach workers' compensation benefits of an obligor who is responsible for the support of a child on whose behalf the obligee is receiving support enforcement services from the state's child support enforcement agency pursuant to this article. The notice shall include the following statements and information:
The name and address of the person, insurance company, or agency providing workers' compensation insurance benefits;
The name, last known address, and social security number of the obligor;
The total amount owed for child support obligations, arrearages for child support,and child support debt;
The percentage of benefits or the actual amount to be withheld from each payment;
A statement that the notice of administrative lien and attachment is to take effect nolater than the first payment after receipt of the notice;
A statement that the person, insurance company, or agency providing workers' compensation insurance benefits may not withhold more than the limitations set forth in section 13-54-104 (3), C.R.S.;
A statement that if more than one notice of administrative lien and attachment isreceived for the same obligor, the priorities set forth in subsection (2) of this section shall apply;
Instruction on the disbursement of the withheld amounts, including the requirementsthat each disbursement:
Shall be forwarded to the address indicated on the notice;
Shall be forwarded within ten days after the date of each deduction and withholding;
Shall be identified by the case number, the family support registry account number,and the name and social security number of each obligor and shall identify the date the deduction was made and the amount of the payment;
May be combined with other disbursements in a single payment to a single court orto the family support registry, if required to be sent to the registry, if the individual account of each disbursement is identified, as required by subparagraph (III) of this paragraph (h);
A statement that compliance with the notice of administrative lien and attachmentshall not subject the person, insurance company, or agency providing workers' compensation insurance benefits to liability to the obligor for wrongful withholding;
A statement that noncompliance with the notice of administrative lien and attachmentmay subject the person or insurance company providing workers' compensation insurance benefits to liability and sanctions. If any person or insurance company providing workers' compensation insurance benefits wrongfully fails to deduct and withhold benefits in accordance with the provisions of this section, it may be held liable for an amount up to the accumulated amount such person or insurance company should have withheld from the obligor's benefits.
A statement that, as long as the obligor is receiving workers' compensation benefits,the notice of administrative lien and attachment shall not be terminated or modified, except upon written notice by the state child support enforcement agency.
An administrative lien and attachment for the collection from workers' compensationbenefits for current child support, child support debt, retroactive child support, child support arrearages, or child support when combined with maintenance shall be continuing and shall have priority over any garnishment, lien, or wage assignment other than a notice previously served pursuant to this subsection (2) or a wage assignment activated pursuant to section 14-14-107 or 14-14-111, C.R.S., as those sections existed prior to July 1, 1996, or section 14-14-111.5, C.R.S. Such administrative lien and attachment shall require the person, insurance company, or agency providing workers' compensation insurance benefits to withhold, pursuant to section 13-54-104 (3), C.R.S., the portion of earnings subject to attachment at each succeeding disbursement interval until such amount is satisfied or the attachment is released in writing by the state child support enforcement agency.
In order to attach and collect workers' compensation income for current child support, child support debt, retroactive child support, medical support, child support arrearages, or child support when combined with maintenance, the state child support enforcement agency is authorized to serve, by first-class mail or by electronic means if mutually agreed upon, a notice of administrative lien and attachment on any person, insurance company, or agency holding workers' compensation benefits that are owed to an obligor. A copy of the administrative lien and attachment shall be provided to the obligor and shall include information on the obligor's right to object to the administrative lien and attachment and to request an administrative review pursuant to the rules of the state board.
At the time a claim for workers' compensation benefits is filed, the employee shall benotified that if a child support obligation is owed, benefits may be attached and payment of the child support obligation may be withheld and forwarded to the obligee.
For purposes of this section, "insurance company" includes Pinnacol Assurance.
Subsections (2) and (3) of this section shall apply to all child support obligationsordered as part of any proceeding, regardless of when the order was entered, and all such child support obligors shall be subject to notice of administrative lien and attachment as described in subsections (2) and (3) of this section.
Source: L. 94: Entire section added, p. 2046, § 5, effective June 3. L. 96: (2) and (3) amended, p. 617, § 23, effective July 1. L. 97: (6) added, p. 563, § 14, effective April 29; (2) and (3) amended, p. 1295, § 41, effective July 1. L. 98: IP(1) amended, p. 1414, § 81, effective February 1, 1999. L. 2002: (5) amended, p. 1896, § 68, effective July 1. L. 2004: (1)(d) amended, p. 388, § 7, effective July 1. L. 2007: (3) amended, p. 1657, § 17, effective May 31.
Cross references: For the legislative declaration contained in the 1997 act amending subsections (2) and (3), see section 1 of chapter 236, Session Laws of Colorado 1997. 26-13-122.3. Administrative lien and levy of accounts held by financial institutions definitions. (1) For purposes of this section, unless the context otherwise requires:
"Account" has the same meaning as defined in section 26-13-128 (7)(a).
"Financial institution" has the same meaning as defined in section 26-13-128 (7)(b).
(2) The state child support enforcement agency may issue a notice of administrative lien and levy to any financial institution or its agent holding an obligor parent's account or accounts identified pursuant to section 26-13-128. The administrative lien and levy may be issued when an obligor who is responsible for the support of a child on whose behalf the obligee is receiving support enforcement services from the state's child support enforcement agency pursuant to this article 13 is past due on child support obligations. The notice must include the following statements and information:
The name and address of the financial institution holding an obligor parent's financialaccount or accounts;
The obligor's name, last-known address, and social security number except whereother identifying information may be provided in lieu of a social security number;
The total amount owed for past-due child support as identified by the state as provided in section 26-13-128 (2)(c);
A statement that the notice of administrative lien and levy takes effect upon thereceipt by the financial institution of the notice;
Instructions on the remittance of the withheld or surrendered amounts, including therequirement that each check or remittance:
Be payable to the family support registry and sent to the address indicated in thenotice;
Be surrendered within thirty days after the date of notice of lien and levy; and
Include the family support registry action number on the face of the check or remittance;
A statement that, if no funds are available for surrender, the financial institution shallreturn the remittance notice within thirty days after the date of the notice of lien and levy; and
A statement that the administrative lien and levy is automatically inactivated oncethe financial institution has returned the remittance notice or surrendered the funds held by the financial institution.
In order to attach and collect funds in a financial account identified pursuant to section 26-13-128 for past-due child support, the state child support enforcement agency is authorized to serve, by first-class mail or by electronic means if mutually agreed upon, a notice of administrative lien and levy on any financial institution or its agent that holds the obligor parent's account or accounts. A copy of the administrative lien and levy must be provided to the obligor and must include information on the obligor's and, if applicable, a joint account holder or holders', right to file an applicable exception, exemption, or appeal, including but not limited to, custodial accounts pursuant to section 11-50-110, the earnings limitations set forth in section 1354-104 (3), and the appeal policy for jointly owned or shared accounts.
Subsection (3) of this section applies to all past-due child support obligations orderedas part of any proceeding, regardless of when the order was entered, and all such child support obligors are subject to notice of administrative lien and levy as described in subsection (3) of this section.
Source: L. 2019: Entire section added, (HB 19-1215), ch. 270, p. 2554, § 6, effective July 1.