23-7-312. Lien on lottery winnings for debt collected by IV-D agency -- notice to agency -- payment to agency -- procedure. (1) For purposes of this section, "IV-D agency" means the state child support enforcement agency created pursuant to Title IV-D of the Social Security Act and providing services under Title 40, chapter 5.
(2) The IV-D agency shall periodically certify to the state lottery the names and social security numbers of persons owing a debt to or collected by the IV-D agency.
(3) Prior to the payment of lottery winnings in excess of $600, the state lottery shall check the name of the winner against the list of names and social security numbers of persons owing a debt to or collected by the IV-D agency.
(4) (a) If the winner is on the list of persons owing a debt to or collected by the IV-D agency, the state lottery shall make a good faith attempt to notify the IV-D agency and the agency then has a lien against the winnings in the amount of the debt owed to or collected by the IV-D agency. The state lottery has no liability to the IV-D agency or the individual on whose behalf the IV-D agency is collecting the debt if the state lottery fails to match a winner's name to a name on the list or is unable to notify the IV-D agency of a match. The IV-D agency shall provide the state lottery with written notice of a support lien promptly upon the state lottery's notification of a match.
(b) If the lottery winnings are to be paid through the state treasurer, the lottery winner is entitled to notice and opportunity for hearing under Title 17, chapter 4, part 1, prior to any offset of the debt against the winnings.
(c) If the lottery winnings are to be paid directly by the state lottery, the amount of the debt owed to or collected by the IV-D agency must be held by the lottery for a period of 30 days from the lottery's confirmation of the amount of the debt to allow the IV-D agency to institute any necessary garnishment or withholding proceedings. If a garnishment or withholding proceeding is not initiated within the 30-day period, the lottery shall release the payment to the winner.
(d) The IV-D agency, in its discretion, may release or partially release the support lien upon written notice to the state lottery.
(e) A support lien under this section is in addition to any other lien created by law.
History: En. Sec. 1, Ch. 429, L. 1993; amd. Sec. 26, Ch. 325, L. 1995.