HB-4658, As Passed Senate, December 15, 2015

SENATE SUBSTITUTE FOR

HOUSE BILL NO. 4658

A bill to amend 1961 PA 236, entitled

"Revised judicature act of 1961,"

(MCL 600.101 to 600.9947) by adding section 6096.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

Sec. 6096. (1) Notwithstanding section 6458, on a judgment

against this state or a department becoming final, or on allowance

of a claim by the state administrative board, the director shall

cause the judgment or claim to be paid from the unencumbered

appropriation of the department if the director determines the

unencumbered appropriation is sufficient for the payment.

(2) On a judgment described in subsection (1) becoming final

or on a claim being allowed as described in subsection (1), the

plaintiff or claimant shall provide to the department any

information required by the director to identify the plaintiff or

claimant or, if applicable, each individual for whose benefit the

action was brought or the claim made, for purposes of complying

with subsections (3) to (5). The department of treasury shall make

available to departments an itemization of the information needed

from a plaintiff or claimant to satisfy this subsection.

(3) When requesting payment of a judgment or allowed claim

from the department of treasury, the director shall provide to the

department of treasury the name of the plaintiff or claimant or, if

applicable, the name of the individual for whose benefit the action

was brought or claim made and the identifying information provided

under subsection (2) in the manner prescribed by the department of

treasury.

(4) The department of treasury shall not issue a warrant in

satisfaction of a judgment or claim until the department of

treasury determines whether the plaintiff or claimant or, if

applicable, the individual for whose benefit the action was brought

or claim made has a liability described in subsection (5). If the

department of treasury identifies a liability described in

subsection (5), the department of treasury shall first apply the

amount of the judgment or claim as provided in subsection (5), and

the excess, if any, shall be paid to satisfy the judgment or claim.

(5) The amount of a judgment or claim described in subsection

(4) must be applied to the following in the following order of

priority:

(a) Any known tax liability to this state.

(b) Any other known liability to this state.

unless otherwise provided by law:

(i) A support liability.

(ii) An order of restitution.

(iii) A writ of garnishment or other court order directed to

this state or the state treasurer.

(iv) A levy of the Internal Revenue Service.

(v) A liability to repay benefits obtained under the Michigan

employment security act, 1936 (Ex Sess) PA 1, MCL 421.1 to 421.75.

(6) Subsections (2) and (3) apply to all judgments and claims,

notwithstanding any order in an action that prohibits disclosure of

the name of a plaintiff, claimant, or individual for whose benefit

the action was brought or claim was made. If such a protective

order exists, the director shall notify the department of treasury

of the order when providing the name of the plaintiff, claimant, or

individual under subsection (3), and the name and identifying

information of the plaintiff, claimant, or individual is exempt

from disclosure under the freedom of information act, 1976 PA 442,

MCL 15.231 to 15.246.

(7) as used in this section:

(a) "Department" means a principal department, as that term is

used in section 3 of article V of the state constitution of 1963,

against which a final judgment or allowable claim is rendered as

provided in this section, or a commission, board, institution, arm,

or agency of this state that is located within a principal

department against which a final judgment or allowable claim is

rendered as provided in this section.

(b) "Director" means the head of the department or the head of

the department's designee.