Bill Text: IA HF2414 | 2017-2018 | 87th General Assembly | Enrolled


Bill Title: A bill for an act relating to the provision of medical support in child support actions, and including effective date provisions. (Formerly HSB 629.) Effective 10-1-18.

Spectrum: Committee Bill

Status: (Passed) 2018-04-11 - Signed by Governor. H.J. 780. [HF2414 Detail]

Download: Iowa-2017-HF2414-Enrolled.html

House File 2414 - Enrolled




                              HOUSE FILE       
                              BY  COMMITTEE ON HUMAN
                                  RESOURCES

                              (SUCCESSOR TO HSB 629)
 \5
                                   A BILL FOR
 \1
                                        House File 2414

                             AN ACT
 RELATING TO THE PROVISION OF MEDICAL SUPPORT IN CHILD
    SUPPORT ACTIONS, AND INCLUDING EFFECTIVE DATE PROVISIONS.

 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
    Section 1.  Section 252C.1, subsection 6, Code 2018, is
 amended to read as follows:
    6.  "Medical support" means either the provision of
 coverage under a health benefit plan, including a group or
 employment=related or an individual health benefit plan, or
 a health benefit plan provided pursuant to chapter 514E, to
 meet the medical needs of a dependent and the cost of any
 premium required by a health benefit plan, or the payment to
 the obligee of a monetary amount in lieu of providing coverage
 under a health benefit plan, either of which is an obligation
 separate from any monetary amount of child support ordered
 to be paid. Medical support which consists of payment of
 a monetary amount in lieu of a health benefit plan is also
 an obligation separate from any monetary amount a parent is
 ordered to pay for uncovered medical expenses pursuant to the
 guidelines established pursuant to section 598.21B medical
 support as defined in section 252E.1.
    Sec. 2.  Section 252E.1, Code 2018, is amended to read as
 follows:
    252E.1  Definitions.
    As used in this chapter, unless the context otherwise
 requires:
    1.  "Accessible" means any of the following, unless otherwise
 provided in the support order:
    a.  The health benefit plan does not have service area
 limitations or provides an option not subject to service area
 limitations.
    b.  The health benefit plan has service area limitations and
 the dependent lives within thirty miles or thirty minutes of a
 network primary care provider.
    2.  "Basic coverage" means health care coverage provided
 under a health benefit plan that at a minimum provides coverage
 for emergency care, inpatient and outpatient hospital care,
 physician services whether provided within or outside a
 hospital setting, and laboratory and x=ray services.
    3.  "Cash medical support" means a monetary amount that
 a parent is ordered to pay to the obligee in lieu of that
 parent providing health care coverage, which amount is five
 percent of the gross income of the parent ordered to pay the
 monetary amount or, if the child support guidelines established
 pursuant to section 598.21B specifically provide an alternative
 income=based numeric standard for determining the amount,
 the amount determined by the standard specified by the child
 support guidelines. "Cash medical support" is an obligation
 separate from any monetary amount a parent is ordered to pay
 for uncovered medical expenses pursuant to the guidelines
 established pursuant to section 598.21B.   
    3.  4.  "Child" means a person for whom child or medical
 support may be ordered pursuant to chapter 234, 239B, 252A,
 252C, 252F, 252H, 252K, 598, 600B, or any other chapter of the
 Code or pursuant to a comparable statute of another state or
 foreign country.
    4.  5.  "Department" means the department of human services,
 which includes but is not limited to the child support recovery
 unit, or any comparable support enforcement agency of another
 state.
    5.  6.  "Dependent" means a child, or an obligee for whom a
 court may order health care coverage by a health benefit plan
  pursuant to section 252E.3.
    6.  7.  "Enroll" means to be eligible for and covered by a
 health benefit plan.
    7.  8.  "Health benefit plan" means any policy or contract
 of insurance, indemnity, subscription or membership issued by
 an insurer, health service corporation, health maintenance
 organization, or any similar corporation, or organization, any
 public coverage, or a any self=insured employee benefit plan,
 for the purpose of covering medical expenses. These expenses
 may include but are not limited to hospital, surgical, major
 medical insurance, dental, optical, prescription drugs, office
 visits, or any combination of these or any other comparable
 health care expenses.
    9.  "Health care coverage" or "coverage" means providing and
 paying for the medical needs of a dependent through a health
 benefit plan.  
    8.  10.  "Insurer" means any entity which, including a health
 service corporation, health maintenance organization, or any
 similar corporation or organization, or an employer offering
 self=insurance, that provides a health benefit plan, but does
 not include an entity that provides public coverage.
    9.  11.  "Medical support" means either the provision of a
  health benefit plan, including a group or employment=related
 or an individual health benefit plan, or a health benefit plan
 provided pursuant to chapter 514E, to meet the medical needs
 of a dependent and the cost of any premium required by a health
 benefit plan, care coverage or the payment to the obligee of
 a monetary amount in lieu of a health benefit plan, either
 of which is an obligation separate from any monetary amount
 of child cash medical support ordered to be paid. Medical
 support "Medical support" is not alimony. Medical support which
 consists of payment of a monetary amount in lieu of a health
 benefit plan is also an obligation separate from any monetary
 amount a parent is ordered to pay for uncovered medical
 expenses pursuant to the guidelines established pursuant to
 section 598.21B.
    10.  12.  "National 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 department
 in accordance with section 252E.4 to enforce medical support
  the health care coverage provisions of a support order.  The
 national medical support notice is not applicable to a provider
 of public coverage.
    11.  13.  "Obligee" means a parent or another natural person
 legally entitled to receive a support payment on behalf of a
 child.
    12.  14.  "Obligor" means a parent or another natural person
 legally responsible for the support of a dependent.
    13.  15.  "Order" means a support order entered pursuant to
 chapter 234, 252A, 252C, 252F, 252H, 252K, 598, 600B, or any
 other support chapter, or pursuant to a comparable statute of
 another state or foreign country, or an ex parte order entered
 pursuant to section 252E.4. "Order" also includes a notice of
 such an order issued by the department.
    14.  16.  "Plan administrator" means the employer or sponsor
 that offers the health benefit plan or the person to whom the
 duty of plan administrator is delegated by the employer or
 sponsor offering the health benefit plan, by written agreement
 of the parties.  "Plan administrator" does not include a
 provider of public coverage.
    15.  17.  "Primary care provider" means a physician who
 provides primary care who is a family or general practitioner,
 a pediatrician, an internist, an obstetrician, or a
 gynecologist; an advanced registered nurse practitioner; or a
 physician assistant.
    18.  "Public coverage" means health care benefits provided by
 any form of federal or state medical assistance, including but
 not limited to benefits provided under chapter 249A or 514I,
 or under comparable laws of another state, foreign country, or
 Indian nation or tribe. 
    19.  "Unit" or "child support recovery unit" means unit as
 defined in section 252B.1.
    Sec. 3.  Section 252E.1A, Code 2018, is amended to read as
 follows:
    252E.1A  Establishing and modifying orders for medical
 support.
    1.  This section shall apply to all initial or modified
 orders for support entered under chapter 234, 252A, 252C, 252F,
 252H, 598, 600B, or any other applicable chapter.  If an action
 to establish or modify an order for support is initiated by the
 child support recovery unit, section 252E.1B shall also apply.
    1.  2.  An order or judgment that provides for temporary or
 permanent support for a child shall include a provision for
 medical support for the child as provided in this section.
    2.  3.  The court shall order as medical support for the
 child health care coverage if a health benefit plan if other
 than public coverage is available to either parent at the time
 the order is entered or modified. A health benefit plan is
 available if the plan is accessible and the cost of the plan is
 reasonable.
    a.  The cost of a health benefit plan is considered
 reasonable, and such amount shall be stated in the order, if
 one of the following applies:
    (1)  The premium cost for a child to the parent ordered
 to provide the plan coverage does not exceed five percent of
 that parent's gross income or the child support guidelines
 established pursuant to section 598.21B specifically provide an
 alternative income=based numeric standard for determining the
 reasonable cost of the premium, in which case the reasonable
 cost of the premium as determined by the standard specified by
 the child support guidelines shall apply.
    (2)  The premium cost for a child exceeds the amount
 specified in subparagraph (1) and that parent consents or does
 not object to entry of that order.
    b.  For purposes of this section, "gross income" has the same
 meaning as gross income for calculation of support under the
 guidelines established under section 598.21B.
    c.  For purposes of this section, "the premium cost for
 a child to the parent" ordered to provide the plan coverage
  means the amount of the premium cost for family coverage to
 the parent which is in excess of the premium cost for single
 coverage, regardless of the number of individuals covered under
 the plan. However, this paragraph shall not be interpreted to
 reduce the amount of the health insurance premium deduction
 a parent may be entitled to when calculating the amount of a
 child support obligation under Iowa court rule 9.5 of the child
 support guidelines.
    d.  For purposes of this section, "family coverage" means
 coverage that covers multiple individuals and covers or could
 cover the child or children subject to the child support order. 
    3.  4.  If a health benefit plan other than public coverage
  is not available to either parent at the time of the entry
 of the order, and the custodial parent  does not have public
 coverage for the child, the court shall order a reasonable
 monetary cash medical support in an amount in lieu of a health
 benefit plan, which amount shall be stated in the order. For
 purposes of this subsection, a reasonable amount means five
 percent of the gross income of the parent ordered to provide
 the monetary amount for medical support or, if the child
 support guidelines established pursuant to section 598.21B
  specifically provide an alternative income=based numeric
 standard for determining the reasonable amount, a reasonable
 amount means the amount as determined by the standard specified
 by the child support guidelines. This subsection shall not
 apply in any of the following circumstances:
    a.  If the parent's monthly support obligation established
 pursuant to the child support guidelines prescribed by the
 supreme court pursuant to section 598.21B is the minimum
 obligation amount. If this paragraph applies, the court shall
 order the parent to provide a health benefit plan care coverage
  when a plan becomes available for which there is no premium
 cost for a child to the parent.
    b.  If subsection 7, paragraph "d", "e", or "f" applies the
 noncustodial parent does not have income which may be subject
 to income withholding for collection of cash medical support at
 the time of the entry of the order.  If this paragraph applies,
 the court shall order the noncustodial parent to provide health
 care coverage when a health benefit plan becomes available at
 a reasonable cost, and the order shall specify the amount of
 the reasonable cost as specified in subsection 3, paragraph "a",
 subparagraph (1).
    c.  If the noncustodial parent is receiving assistance or
 is residing with any child receiving assistance as provided
 in section 252E.2A, subsection 1, paragraph "c", subparagraph
 (3) or (4).  If this paragraph applies, the court shall order
 the noncustodial parent to provide health care coverage when
 a health benefit plan becomes available for which there is no
 premium cost for a child to the parent.   
    4.  5.  If a health benefit plan other than public coverage
 is not available to either parent at the time of the entry of
 the order, and the custodial parent has public coverage for the
 child, the court orders shall order the custodial parent to
 provide a health benefit plan under subsection 2 care coverage,
 and the court may also shall order the noncustodial parent to
 provide a reasonable monetary pay cash medical support, which
  amount in lieu of a health benefit plan shall be stated in the
 order, unless an exception under subsection 4 applies. For
 purposes of this subsection, a reasonable monetary amount means
 an amount not to exceed the lesser of a reasonable amount as
 described in subsection 3, or the premium cost of coverage for
 the child to the custodial parent as described in subsection
 2, paragraph "c".
    5.  6.  Notwithstanding the requirements of this section, the
 court may order provisions in the alternative to those provided
 in this section to address the health care needs of the child
 if the court determines that extreme circumstances so require
 and documents the court's written findings in the order.
    6.  7.  An order, decree, or judgment entered before July 1,
 2009 October 1, 2018, that provides for the support of a child
 may be modified in accordance with this section.
    7.  If the child support recovery unit is providing services
 under chapter 252B and initiating an action to establish or
 modify support, all of the following shall also apply:
    a.  If a health benefit plan is available as described in
 subsection 2 to the noncustodial parent, the unit shall seek an
 order for the noncustodial parent to provide the plan.
    b.  If a health benefit plan is available as described
 in subsection 2 to the custodial parent and not to the
 noncustodial parent, the unit shall seek an order for the
 custodial parent to provide the plan.
    c.  If a health benefit plan is available as described in
 subsection 2 to each parent, and if there is an order for joint
 physical care, the unit shall seek an order for the parent
 currently ordered to provide a health benefit plan to provide
 the plan. If there is no current order for a health benefit
 plan for the child, the unit shall seek an order for the parent
 who is currently providing a health benefit plan to provide the
 plan.
    d.  If a health benefit plan is not available, and the
 noncustodial parent does not have income which may be subject
 to income withholding for collection of a reasonable monetary
 amount in lieu of a health benefit plan at the time of the
 entry of the order, the unit shall seek an order that the
 noncustodial parent provide a health benefit plan when a plan
 becomes available at reasonable cost, and the order shall
 specify the amount of reasonable cost as defined in subsection
 2.
    e.  If a health benefit plan is not available, and the
 noncustodial parent is receiving assistance or is residing with
 any child receiving assistance as provided in section 252E.2A,
 subsection 1, paragraph "c", subparagraph (3) or (4), the unit
 shall seek an order that the noncustodial parent shall provide
 a health benefit plan when a plan becomes available for which
 there is no premium cost for a child to the parent.
    f.  This section shall not apply to chapter 252H, subchapter
 IV.
    Sec. 4.  NEW SECTION.  252E.1B  Establishing and modifying
 orders for medical support == actions initiated by child support
 recovery unit.
    1.  If the child support recovery unit is initiating an
 action to establish or modify support, this section shall apply
 in addition to the provisions of section 252E.1A.
    2.  The unit shall apply the following order of priority when
 the unit enters or seeks an order for medical support:
    a.  If the custodial parent is currently providing coverage
 for the child under a health benefit plan other than public
 coverage, and the plan is available as described in section
 252E.1A, subsection 3, the unit shall enter or seek an order
 for the custodial parent to provide coverage.
    b.  If the noncustodial parent is currently providing
 coverage for the child under a health benefit plan other than
 public coverage, and the plan is available as described in
 section 252E.1A, subsection 3, the unit shall enter or seek an
 order for the noncustodial parent to provide coverage.
    c.  If a health benefit plan other than public coverage is
 available as described in section 252E.1A, subsection 3, to the
 custodial parent, the unit shall enter or seek an order for the
 custodial parent to provide coverage.
    d.  If a health benefit plan other than public coverage is
 available as described in section 252E.1A, subsection 3, to the
 noncustodial parent, the unit shall enter or seek an order for
 the noncustodial parent to provide coverage.
    e.  If a health benefit plan other than public coverage is
 not available to either parent, and the custodial parent has
 public coverage for the child, the unit shall enter or seek an
 order for the custodial parent to provide health care coverage
 and shall enter or seek an order for the noncustodial parent to
 pay cash medical support.  However, if any of the circumstances
 described in section 252E.1A, subsection 4, paragraph "a",
 "b", or "c" is met, the unit shall enter or seek an order as
 specified by the applicable paragraph.
    3.  Notwithstanding subsection 2, if there is an order for
 joint physical care for the child and the parties subject to
 the support order, the unit shall apply the following order of
 priority when the unit enters or seeks an order for medical
 support:
    a.  If only one parent is currently providing coverage
 for the child under a health benefit plan other than public
 coverage, and the plan is available as described in section
 252E.1A, subsection 3, the unit shall enter or seek an order
 for that parent to provide coverage.
    b.  If both parents are currently providing coverage for the
 child under a health benefit plan other than public coverage,
 and both plans are available as described in section 252E.1A,
 subsection 3, the unit shall enter or seek an order for both
 parents to provide coverage.
    c.  If neither parent is currently providing coverage
 for the child under a health benefit plan other than public
 coverage, and a health benefit plan other than public coverage
 is available as described in section 252E.1A, subsection 3,
 to one parent, the unit shall enter or seek an order for that
 parent to provide coverage.
    d.  If neither parent is currently providing coverage
 for the child under a health benefit plan other than public
 coverage, and a health benefit plan other than public coverage
 is available as described in section 252E.1A, subsection 3, to
 both parents, the unit shall enter or seek an order for both
 parents to provide coverage.
    e.  If a health benefit plan other than public coverage
 is not available to either parent and one parent has public
 coverage for the child, the unit shall enter or seek an order
 for that parent to provide health care coverage.
    4.  The child support recovery unit or the court shall not
 order any modification to an existing medical support order
 in a proceeding conducted solely pursuant to chapter 252H,
 subchapter IV.
    Sec. 5.  Section 252E.2, subsection 1, Code 2018, is amended
 to read as follows:
    1.  An order requiring the provision of coverage under a
 health benefit plan other than public coverage is authorization
 for enrollment of the dependent if the dependent is otherwise
 eligible to be enrolled. The dependent's eligibility and
 enrollment for coverage under such a plan shall be governed by
 all applicable terms and conditions, including, but not limited
 to, eligibility and insurability standards. The dependent, if
 eligible, shall be provided the same coverage as the obligor.
    Sec. 6.  Section 252E.3, Code 2018, is amended to read as
 follows:
    252E.3  Health benefit care coverage of obligee.
    For cases for which services are being provided pursuant
 to chapter 252B, the order may require an obligor providing a
  health benefit plan care coverage for a child to also provide a
  health benefit plan care coverage for the benefit of an obligee
 if the obligee is eligible for enrollment under the plan in
 which the child or the obligor is enrolled, and if the plan
  coverage for the obligee is available at no additional cost.
    Sec. 7.  Section 252E.4, subsection 1, Code 2018, is amended
 to read as follows:
    1.  When a support order requires an obligor to provide
 coverage under a health benefit plan other than public
 coverage, the district court or the department may enter an
 ex parte order directing an employer to take all actions
 necessary to enroll an obligor's dependent for coverage under
 a health benefit plan or may include the provisions in an ex
 parte income withholding order or notice of income withholding
 pursuant to chapter 252D.  The child support recovery unit,
 where appropriate, shall issue a national medical support
 notice to an employer within two business days after the
 date information regarding a newly hired employee is entered
 into the centralized employee registry and matched with a
 noncustodial parent in the case being enforced by the unit, or
 upon receipt of other employment information for such parent.
 The department may amend the information in the ex parte order
 or may amend or terminate the national medical support notice
 regarding health insurance provisions if necessary to comply
 with health insurance requirements including but not limited to
 the provisions of section 252E.2, subsection 2, or to correct
 a mistake of fact.
    Sec. 8.  Section 252E.16, subsection 1, Code 2018, is amended
 to read as follows:
    1.  The Unless otherwise specified, the provisions of this
 chapter take effect July 1, 1990, for all support orders
 entered pursuant to chapter 234, 252A, 252C, 598, or 600B.
    Sec. 9.  ADMINISTRATIVE RULES ==== TRANSITION.  Until such
 time as the department of human services adopts rules pursuant
 to chapter 17A necessary to administer this Act, all of the
 following shall apply:
    1.  The child support recovery unit may initiate proceedings
 to establish and modify support orders in accordance with
 chapter 252E, as amended in this Act.
    2.  The child support recovery unit may, to the extent
 appropriate, apply and utilize procedures, rules, and forms
 substantially similar to those applicable and utilized pursuant
 to section 252E.1B, as enacted in this Act, for proceedings
 initiated in accordance with section 252E.1A.
    Sec. 10.  EFFECTIVE DATE.  This Act takes effect October 1,
 2018.


                                                                                            LINDA UPMEYER


                                                                                            CHARLES SCHNEIDE


                                                                                            CARMINE BOAL


                                                                                            KIM REYNOLDS

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