SB-0485, As Passed Senate, December 18, 2003                                

HOUSE SUBSTITUTE FOR

SENATE BILL NO. 485

                                                                             A bill to amend 1982 PA 295, entitled                                             

"Support and parenting time enforcement act,"                               

by amending section 3a (MCL 552.603a), as amended by 2002 PA                

572.                                                                        

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

1       Sec. 3a.  (1) For a friend of the court case, as of January                 

2   1 and July 1 of each year, a surcharge  calculated at an 8%                 

3   annual rate  shall be added to support payments that are past due           

4   as of those dates.  The surcharge shall be calculated at 6-month            

5   intervals at an annual rate of interest equal to 1% plus the                

6   average interest rate paid at auctions of 5-year United States              

7   treasury notes during the 6 months immediately preceding July 1             

8   and January 1, as certified by the state treasurer.  The amount             

9   of the surcharge shall not compound. The amount shown as due and            

10  owing on the records of the friend of the court as of January 1             

1   and July 1 of each year shall be reduced by an amount equal to 1            

2   month's support for purposes of assessing the surcharge.  A                 

3   surcharge under this subsection shall not be added to support               

4   ordered under the paternity act, 1956 PA 205, MCL 722.711 to                

5   722.730, for the time period to the date of the support order.              

6       (2) Upon receiving money for payment of support, the friend                 

7   of the court shall apply the amount received first to current               

8   support and then to  any the support arrearage including  any

9   surcharges imposed under this section.                                      

10      Enacting section 1.  This amendatory act takes effect                       

11  January 15, 2004.