46th legislature - STATE OF NEW MEXICO - first session, 2003

RELATING TO SUPPORT ENFORCEMENT; AUTHORIZING THE HUMAN SERVICES DEPARTMENT TO ISSUE ORDERS FOR SUPPORT AND ORDERS OF WITHHOLDING, TO IMPOSE LIENS, TO DETERMINE PARENTAGE, TO IMPOSE CIVIL PENALTIES AND TO TAKE CERTAIN OTHER RELATED ACTIONS; TRANSFERRING CHILD SUPPORT HEARING OFFICERS FROM THE DISTRICT COURTS TO THE HUMAN SERVICES DEPARTMENT; AMENDING, REPEALING AND ENACTING SECTIONS OF THE NMSA 1978.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

Section 1. Section 27-2-27 NMSA 1978 (being Laws 1981, Chapter 90, Section 1, as amended) is amended to read:

"27-2-27. SINGLE STATE AGENCY--POWERS AND DUTIES.--

A. The department is designated as the single state agency for the enforcement of child and spousal support obligations pursuant to Title IV D of the federal act with the following duties and powers:

[A.] (1) establish the paternity of a child in the case of the child born out of wedlock with respect to whom an assignment of support rights has been executed in favor of the department;

[B.] (2) establish an order of support for children receiving [aid to families with dependent children] temporary assistance for needy families and, at the option of the department, for the spouse or former spouse with whom such children are living, but only if a support obligation has been established with respect to such spouse or former spouse, for whom no order of support [presently] currently exists and seek modification, based upon the noncustodial parent's ability to pay, of existing orders in which the support order is inadequate to properly care for the child and the spouse or former spouse with whom the child is living;

[C.] (3) enforce as the real party in interest any existing order for the support of children who are receiving [aid to families with dependent children] temporary assistance for needy families or of the spouse or former spouse with whom such children are living; [and

D.] (4) provide services to non-aid families with dependent children in the establishment and enforcement of paternity and child support obligations, including locating the absent parent. For these services, the department is authorized to establish and collect fees, costs and charges permitted or required by federal law or by regulations adopted pursuant to that federal law; and

(5) pursuant to the provisions of the Child Support Hearing Officer Act, issue and modify support orders and orders of withholding, impose and remove liens, determine parentage, impose civil penalties and take all other actions necessary to ensure compliance with support obligations. The department has concurrent jurisdiction with the district courts in all actions brought:

(a) to enforce or modify support orders resulting from a dissolution of marriage;

(b) pursuant to the Support Enforcement Act;

(c) pursuant to the Mandatory Medical Support Act;

(d) pursuant to the Uniform Interstate Family Support Act; or

(e) pursuant to the Uniform Parentage Act.

[E.] B. In all cases handled by the department pursuant to the provisions of this section, the child support enforcement division of the department and any attorney employed by the division represent the department in establishing, modifying and enforcing support obligations."

Section 2. Section 40-4-7 NMSA 1978 (being Laws 1901, Chapter 62, Section 27, as amended) is amended to read:

"40-4-7. PROCEEDINGS--SPOUSAL SUPPORT--SUPPORT OF CHILDREN--DIVISION OF PROPERTY.--

A. In any proceeding for the dissolution of marriage, division of property, disposition of children or spousal support, the court may make and enforce by attachment or otherwise an order to restrain the use or disposition of the property of either party or for the control of the children or to provide for the support of either party during the pendency of the proceeding, as in its discretion may seem just and proper. The court may make an order, relative to the expenses of the proceeding, as will ensure either party an efficient preparation and presentation of his case.

B. On final hearing, the court:

(1) may allow either party such a reasonable portion of the spouse's property or such a reasonable sum of money to be paid by either spouse either in a single sum or in installments, as spousal support as under the circumstances of the case may seem just and proper, including a court award of:

(a) rehabilitative spousal support that provides the receiving spouse with education, training, work experience or other forms of rehabilitation that increases the receiving spouse's ability to earn income and become self-supporting. The court may include a specific rehabilitation plan with its award of rehabilitative spousal support and may condition continuation of the support upon compliance with that plan;

(b) transitional spousal support to supplement the income of the receiving spouse for a limited period of time; provided that the period shall be clearly stated in the court's final order;

(c) spousal support for an indefinite duration;

(d) a single sum to be paid in one or more installments that specifies definite amounts, subject only to the death of the receiving spouse; or

(e) a single sum to be paid in one or more installments that specifies definite amounts, not subject to any contingencies, including the death of the receiving spouse;

(2) may:

(a) modify and change any order in respect to spousal support awarded pursuant to the provisions of Subparagraph (a), (b) or (c) of Paragraph (1) of this subsection whenever the circumstances render such change proper; or

(b) designate spousal support awarded pursuant to the provisions of Subparagraph (a) or (b) of Paragraph (1) of this subsection as nonmodifiable with respect to the amount or duration of the support payments;

(3) may set apart out of the property or income of the respective parties such portion for the maintenance and education of:

(a) their unemancipated minor children as may seem just and proper; or

(b) their children until the children's graduation from high school if the children are emancipated only by age, are under nineteen and are attending high school; and

(4) may make such an order for the guardianship, care, custody, maintenance and education of the minor children, or with reference to the control of the property of the respective parties to the proceeding, or with reference to the control of the property decreed or fund created by the court for the maintenance and education of the minor children, as may seem just and proper.

C. The court may order and enforce the payment of support for the maintenance and education after high school of emancipated children of the marriage pursuant to a written agreement between the parties.

D. An award of spousal support made pursuant to the provisions of Subparagraph (a), (b), (c) or (d) of Paragraph (1) of Subsection B of this section shall terminate upon the death of the receiving spouse, unless the court order of spousal support provides otherwise.

E. When making determinations concerning spousal support to be awarded pursuant to the provisions of Paragraph (1) or (2) of Subsection B of this section, the court shall consider:

(1) the age and health of and the means of support for the respective spouses;

(2) the current and future earnings and the earning capacity of the respective spouses;

(3) the good-faith efforts of the respective spouses to maintain employment or to become self-supporting;

(4) the reasonable needs of the respective spouses, including:

(a) the standard of living of the respective spouses during the term of the marriage;

(b) the maintenance of medical insurance for the respective spouses; and

(c) the appropriateness of life insurance, including its availability and cost, insuring the life of the person who is to pay support to secure the payments, with any life insurance proceeds paid on the death of the paying spouse to be in lieu of further support;

(5) the duration of the marriage;

(6) the amount of the property awarded or confirmed to the respective spouses;

(7) the type and nature of the respective spouses' assets; provided that potential proceeds from the sale of property by either spouse shall not be considered by the court, unless required by exceptional circumstances and the need to be fair to the parties;

(8) the type and nature of the respective spouses' liabilities;

(9) income produced by property owned by the respective spouses; and

(10) agreements entered into by the spouses in contemplation of the dissolution of marriage or legal separation.

F. The court shall retain jurisdiction over proceedings involving periodic spousal support payments when the parties have been married for twenty years or more prior to the dissolution of the marriage, unless the court order or decree specifically provides that no spousal support shall be awarded.

G. The court may modify and change any order or agreement merged into an order in respect to the guardianship, care, custody, maintenance or education of the children whenever circumstances render such change proper. Except for support-related actions brought before a child support hearing officer pursuant to the Child Support Hearing Officer Act, the district court shall have exclusive jurisdiction of all matters pertaining to the guardianship, care, custody, maintenance and education of the children until the parents' obligation of support for their children terminates [The district court] and shall also have exclusive, continuing jurisdiction with reference to the property decreed or funds created for the children's maintenance and education."

Section 3. Section 40-4-7.1 NMSA 1978 (being Laws 1993, Chapter 110, Section 1) is amended to read:

"40-4-7.1. USE OF LIFE INSURANCE POLICY AS SECURITY.--

A. In any proceeding brought pursuant to the provisions of Section 40-4-7 NMSA 1978 or in any other proceeding for the division of property or spousal or child support brought pursuant to the provisions of Chapter 40 NMSA 1978, the court or child support hearing officer may require either party or both parties to the proceeding to maintain the minor children of the parties or a spouse or former spouse as beneficiaries on a life insurance policy as security for the payment of:

(1) support for the benefit of the minor children;

(2) spousal support; or

(3) the cost to equalize a property division in the event of the death of the insured on the life insurance policy.

B. The court or child support hearing officer may also allocate the cost of the premiums of the life insurance policy between the parties."

Section 4. Section 40-4-11.4 NMSA 1978 (being Laws 1990, Chapter 58, Section 1, as amended) is amended to read:

"40-4-11.4. MODIFICATION OF CHILD SUPPORT ORDERS--EXCHANGE OF FINANCIAL INFORMATION.--

A. A court or a child support hearing officer in an action brought pursuant to the Child Support Hearing Officer Act may modify a child support obligation upon a showing of material and substantial changes in circumstances subsequent to the adjudication of the pre-existing order. There shall be a presumption of material and substantial changes in circumstances if application of the child support guidelines in Section 40-4-11.1 NMSA 1978 would result in a deviation upward or downward of more than twenty percent of the existing child support obligation and the petition for modification is filed more than one year after the filing of the pre-existing order.

B. All child support orders shall contain a provision for the annual exchange of financial information by the obligor and obligee upon a written request by either party. The financial information to be furnished shall include:

(1) federal and state tax returns, including all schedules, for the year preceding the request;

(2) W-2 statements for the year preceding the request;

(3) Internal Revenue Service Form 1099s for the year preceding the request;

(4) work-related daycare statements for the year preceding the request;

(5) dependent medical insurance premiums for the year preceding the request; and

(6) wage and payroll statements for four months preceding the request.

For the purposes of this subsection, the wages of a subsequent spouse may be omitted from the financial information provided by either the obligor or the obligee."

Section 5. Section 40-4-11.5 NMSA 1978 (being Laws 1990, Chapter 58, Section 2, as amended) is amended to read:

"40-4-11.5. MODIFICATION OF CHILD SUPPORT ORDERS IN CASES ENFORCED BY THE STATE TITLE IV-D AGENCY.--

A. For child support cases being enforced by the human services department acting as the state's Title IV-D child support enforcement agency as provided in Section 27-2-27 NMSA 1978, the department shall implement a process for the periodic review of child support orders that shall include:

(1) a review of support orders every three years upon the request of either the obligor or obligee or, if there is an assignment of support rights pursuant to the Public Assistance Act, upon the request of the department or of either the obligor or obligee;

(2) notification by the department of its review to the obligor and obligee; and

(3) authorization to require financial information from the obligor and the obligee to determine whether the support obligation should be presented to the court or a child support hearing officer in an action brought pursuant to the Child Support Hearing Officer Act for modification.

B. In carrying out [its] duties under this section, the secretary of human services or the secretary's authorized representative has the power to issue subpoenas to compel:

(1) [to compel] the attendance of the obligor or the obligee at a hearing on the child support order;

(2) [to compel] production by the obligor or the obligee of financial or wage information, including federal or state tax returns;

(3) [to compel] the obligor or the obligee to disclose the location of employment of the payor party; and

(4) [to compel] the employer of the obligor or the obligee to disclose information relating to the employee's wages.

C. A subpoena issued by the human services department under this section shall state with reasonable certainty the nature of the information required, the time and place where the information shall be produced, whether the subpoena requires the attendance of the person subpoenaed or only the production of information and records and the consequences of failure to obey the subpoena.

D. A subpoena issued by the human services department under this section shall be served upon the person to be subpoenaed or, at the option of the secretary or the secretary's authorized representative, by certified mail addressed to the person at his last known address. The service of the subpoena shall be at least ten days prior to the required production of the information or the required appearance. If the subpoena is served by certified mail, proof of service is the affidavit of mailing. After service of a subpoena upon a person, if the person neglects or refuses to comply with the subpoena, the department may apply to the district court of the county where the subpoena was served or the county where the subpoena was responded to for an order compelling compliance. Failure of the person to comply with the district court's order shall be punishable as contempt.

E. If a review by the human services department results in a finding that a child support order should be modified in accordance with the guidelines, it should be presented to the court or child support hearing officer for modification and the obligor and the obligee shall be notified of their respective rights and shall have thirty days to respond to the department's finding. The right to seek modification shall rest with the department in the case of obligations being enforced as a result of a public assistance recipient's assignment of support rights to the state as provided in the federal Social Security Act, 42 U.S.C. 602(a)(26).

F. At the request of the obligor or the obligee or upon the filing of a motion to modify child support, the human services department shall furnish any information it has obtained in its review process regarding wages or other information pertaining to the obligor or the obligee.

G. Nothing in this section shall be construed to restrict the right of either party to petition the court or the human services department pursuant to the Child Support Hearing Officer Act to modify a child support obligation. The human services department shall not be required to conduct a review of any party's obligation more than once every three years."

Section 6. Section 40-4-11.6 NMSA 1978 (being Laws 1991, Chapter 206, Section 3) is amended to read:

"40-4-11.6. ATTACHMENT OF GUIDELINE WORKSHEET TO ORDER.--A completed child support obligation guideline worksheet shall be attached to all orders that establish or modify child support. The completed worksheet shall be signed by the obligor and obligee or their attorneys. The completed worksheet shall be incorporated as part of the child support order. The worksheet shall also be attached to the child support order unless the court or a child support hearing officer in an action brought pursuant to the Child Support Hearing Officer Act decrees that the worksheet be sealed or unless the obligor and obligee agree that it should be sealed."

Section 7. Section 40-4-17 NMSA 1978 (being Laws 1947, Chapter 16, Section 7) is amended to read:

"40-4-17. MOTION TO REMOVE LIEN--BOND.--The district court or a child support hearing officer in an action brought pursuant to the Child Support Hearing Officer Act upon motion made in the cause wherein the decree was rendered may remove the liens created by [this Act] Sections 40-4-12 through 40-4-19 NMSA 1978 upon notice and upon good cause shown from any or all of the real estate subject to [such] the lien [and]. The judge or child support hearing officer, in his discretion, upon the removal of [such] the lien, may require bond for the faithful performance of the payment of alimony or support money in accordance with the decree."

Section 8. Section 40-4-20 NMSA 1978 (being Laws 1901, Chapter 62, Section 31, as amended) is amended to read:

"40-4-20. FAILURE TO DIVIDE OR DISTRIBUTE PROPERTY ON THE ENTRY OF A DECREE OF DISSOLUTION OF MARRIAGE OR SEPARATION--DISTRIBUTION OF SPOUSAL OR CHILD SUPPORT AND DETERMINATION OF PATERNITY WHEN DEATH OCCURS DURING PROCEEDINGS FOR DISSOLUTION OF MARRIAGE, SEPARATION, ANNULMENT OF MARRIAGE OR PATERNITY.--

A. The failure to divide or distribute property on the entry of a decree of dissolution of marriage or of separation shall not affect the property rights of either the husband or wife, and either may subsequently institute and prosecute a suit for division and distribution or with reference to any other matter pertaining thereto that could have been litigated in the original proceeding for dissolution of marriage or separation.

B. Upon the filing and service of a petition for dissolution of marriage, separation, annulment, division of property or debts, spousal support, child support or determination of paternity pursuant to the provisions of Chapter 40, Article 4 or 11 NMSA 1978, if a party to the action dies during the pendency of the action, but prior to the entry of a decree granting dissolution of marriage, separation, annulment or determination of paternity, the proceedings for the determination, division and distribution of marital property rights and debts, distribution of spousal or child support or determination of paternity shall not abate. The court or a child support hearing officer in an action brought pursuant to the Child Support Hearing Officer Act shall conclude the proceedings as if both parties had survived. The court or child support hearing officer may allow the spouse or any children of the marriage support as if the decedent had survived, pursuant to the provisions of Chapter 40, Article 4 or 11 NMSA 1978. In determining the support, the court shall, in addition to the factors listed in Chapter 40, Article 4 NMSA 1978, consider the amount and nature of the property passing from the [decendent] decedent to the person for whom the support would be paid, whether by will or otherwise."

Section 9. Section 40-4A-1 NMSA 1978 (being Laws 1985, Chapter 105, Section 1) is amended to read:

"40-4A-1. SHORT TITLE.--[This act] Chapter 40, Article 4A NMSA 1978 may be cited as the "Support Enforcement Act"."

Section 10. Section 40-4A-2 NMSA 1978 (being Laws 1985, Chapter 105, Section 2, as amended) is amended to read:

"40-4A-2. DEFINITIONS.--As used in the Support Enforcement Act:

[A. "authorized quasi-judicial officer" means a person appointed by the court pursuant to Rule 53(a) of the Rules of Civil Procedure for the District Courts;]

A. "adjudicatory body" means:

(1) the district court if the action is filed with or the order is issued by the court; or

(2) a child support hearing officer employed by the department if the department is exercising jurisdiction pursuant to the Child Support Hearing Officer Act and the action is filed with or the order is issued by the hearing officer;

B. "consumer reporting agency" means any person who, for monetary fees, dues or on a cooperative nonprofit basis, regularly engages in whole or in part in the practice of assembling or evaluating consumer credit information or other information on consumers for the purpose of furnishing consumer reports to third parties and who uses any means or facility of interstate commerce for the purpose of preparing or furnishing consumer reports;

C. "delinquency" means any payment under an order for support which has become due and is unpaid;

D. "department" means the human services department;

E. "income" means any form of periodic payment to an obligor, regardless of source, including [but not limited to] wages, salary, commission, compensation as an independent contractor, workers' compensation benefits, disability benefits, annuity and retirement benefits or other benefits, bonuses, interest or any other payments made by any person, but does not include:

(1) any amounts required by law to be withheld, other than creditor claims, including [but not limited to] federal, state and local taxes, social security and other retirement and disability contributions;

(2) union dues;

(3) any amounts exempted by federal law; or

(4) public assistance payments;

F. "notice of delinquency" means the notice of delinquency as provided for in Section 40-4A-4 NMSA 1978;

G. "notice to withhold income" means a notice that requires the payor to withhold from the obligor money necessary to meet the obligor's duty under an order for support and, in the event of a delinquency, requires the payor to withhold an additional amount to be applied towards the reduction of the delinquency;

H. "obligor" means the person who owes a duty to make payments under an order for support;

I. "obligee" means any person who is entitled to receive support under an order for support or that person's legal representative;

J. "order for support" means any order which has been issued by any judicial, quasi-judicial or administrative entity of competent jurisdiction of any state and which order provides for:

(1) periodic payment of funds for the support of a child or a spouse;

(2) modification or resumption of payment of support;

(3) payment of delinquency; or

(4) reimbursement of support;

K. "payor" means any person or entity who provides income to an obligor;

L. "person" means an individual, corporation, partnership, governmental agency, public office or other entity; and

M. "public office" means the state disbursement unit of the department as defined in Section 454B of the federal Social Security Act."

Section 11. Section 40-4A-4 NMSA 1978 (being Laws 1985, Chapter 105, Section 4, as amended) is amended to read:

"40-4A-4. NOTICE OF DELINQUENCY.--

A. When an obligor accrues a delinquency, the obligee or public office may prepare and serve upon the obligor a copy of a verified notice of delinquency. The income of a person with a support obligation imposed by a support order issued or modified in the state before January 1, 1994, if not otherwise subject to immediate withholding under Section 40-4A-4.1 NMSA 1978, shall become subject to immediate withholding as provided in Section 40-4A-4.1 NMSA 1978 if arrearages occur, without the need for a judicial or administrative hearing.

[B. If the date upon which payment is due under an order for support is not stated in the order for support, the due date shall be deemed to be the last day of the month.

C.] B. The notice of delinquency shall:

(1) recite those terms of the order for support which enumerate the support obligation;

(2) contain a current computation of the period and total amount of the delinquency;

(3) inform the obligor of the amount to be withheld;

(4) inform the obligor of the procedures available to contest the income withholding on the grounds that the withholding or the amount withheld is improper due to a mistake of fact;

(5) state that, unless the obligor complies with the procedures to contest the income withholding, a notice to withhold income shall be served upon the payor;

(6) state that the notice to withhold income shall be applicable to any current or subsequent payor; and

(7) state the name and address of the public office to which withheld income shall be sent.

[D.] C. The original notice of delinquency shall be filed with the [clerk of the district court] adjudicatory body.

[E.] D. Service of the notice of delinquency upon the obligor shall be effected by sending the notice by prepaid certified mail addressed to the obligor at his last known address or by any method provided by law for service of a summons. Proof of service shall be filed with the [clerk of the district court] adjudicatory body."

Section 12. Section 40-4A-4.1 NMSA 1978 (being Laws 1990, Chapter 30, Section 1, as amended) is amended to read:

"40-4A-4.1. IMMEDIATE CHILD SUPPORT INCOME WITHHOLDING.--

A. In any [judicial] proceeding in which child support is ordered, modified or enforced and which proceeding is brought or enforced pursuant to Title IV-D of the federal Social Security Act as provided in Section 27-2-27 NMSA 1978, the income of the [support] obligor shall be subject to immediate income withholding regardless of the existence of any child support arrearage or delinquency. Effective January 1, 1994, in proceedings in which child support services are not being provided pursuant to Title IV-D and the initial child support order is issued in the state on or after January 1, 1994, the income of the [support] obligor shall be subject to immediate income withholding regardless of the existence of any child support arrearage or delinquency.

B. As part of the court or administrative order establishing, modifying or enforcing the child support obligation, the [court] adjudicatory body shall issue the order to withhold.

C. The order to withhold shall state:

(1) the style, docket number and [court] adjudicatory body having jurisdiction of the cause;

(2) the name, address and, if available, the social security number of the obligor;

(3) the amount and duration of the child support payments. If any of the ordered amount is toward satisfaction of an arrearage or delinquency up to the date of the order, the amount payable to current and past-due support shall be specified, together with the total amount of the delinquency or arrearage, including judgment interest, if any;

(4) the name and date of birth of the child for whom support is ordered and the name of the obligee;

(5) the name and address of the person or agency to whom the payment is to be made, together with the agency's internal case number; and

(6) any other information deemed necessary to effectuate the order.

D. All Title IV-D payments shall be made through the public office. Effective October 1, 1998, all non-Title IV-D payments shall be made through the public office [to be effective on October 1, 1998].

E. The maximum amount withheld pursuant to this section and any other garnishment shall not exceed fifty percent of the obligor's income.

F. The order of a withholding shall be mailed by the Title IV-D agency or the [support] obligee, obligee's attorney or [court] adjudicatory body by certified mail to the payor. The payor shall pay over income as provided by and in compliance with the procedures of Section 40-4A-8 NMSA 1978.

G. The [court] adjudicatory body may provide an exception to the immediate income withholding required by this section if it finds good cause for not ordering immediate withholding. The burden shall be on the party claiming good cause to raise the issue and demonstrate the existence of good cause to the [court] adjudicatory body. In the event of a finding of good cause, the [court] adjudicatory body shall make a written finding in the order specifying the reasons or circumstances justifying the good-cause exception and why income withholding would not be in the best interest of the child. If the order is one modifying a support obligation and immediate income withholding is not ordered, the order shall include a finding that the obligor has timely paid support in the past. The order shall provide that the obligor shall be subject to withholding if a one-month [support] delinquency accrues.

H. The [court] adjudicatory body shall make an exception to the immediate income withholding required by this section if the parties to the proceeding enter into a written agreement providing for alternative means of satisfying the child support obligation. Such an agreement shall be incorporated into the order of the [court] adjudicatory body. For the purposes of this subsection, the [support] obligee shall be considered to be the department in the case of child support obligations that the state is enforcing pursuant to an assignment of support rights to it as a condition of the assignor's receipt of public assistance. The agreement shall contain the signatures of a representative of the department and the custodial parent.

I. Notwithstanding the provisions of Subsection G of this section, immediate income withholding shall take place if the [child support] obligor so requests. The notice to withhold shall be filed with the [clerk of the district court] adjudicatory body and the requirements of Subsection C of this section, Subsections [D, E and F] C, D and E of Section 40-4A-5 and Sections 40-4A-6, 40-4A-8, 40-4A-10 and 40-4A-11 NMSA 1978 shall apply.

J. [A court] An adjudicatory body shall order a wage withholding effective on the date on which a custodial parent requests such withholding to begin if the [court] adjudicatory body determines, in accordance with such procedures and standards as it may establish, that the request should be approved, notwithstanding:

(1) the absence of a [support] delinquency of at least one month;

(2) a finding of good cause under Subsection G of this section; or

(3) an agreement under Subsection H of this section.

K. The standards and procedures established for purposes of Subsection J of this section shall provide for the protection of the due process rights of the [support] obligor, appropriate notices and the right to a hearing under the Support Enforcement Act.

L. Wages not subject to withholding under Subsection J of this section shall still be subject to withholding on an earlier date as provided by law.

M. Notwithstanding any other provision of this section, wages not subject to withholding because of a finding of good cause under Subsection G of this section shall not be subject to withholding at the request of a custodial parent unless the [court] adjudicatory body changes its determination of good cause not to initiate immediate wage withholding.

N. In the event [a child support] an obligor accrues a delinquency in an amount equal to at least one month's support obligation and notwithstanding any previous agreement or [court] adjudicatory body finding to the contrary, income withholding shall issue against the [support] obligor and the procedures set out in Section 40-4A-4 NMSA 1978 shall be followed. Such withholding shall terminate only upon the termination of all obligations imposed by the order of support and payment in full of all enforceable [child support] delinquencies."

Section 13. Section 40-4A-5 NMSA 1978 (being Laws 1985, Chapter 105, Section 5, as amended) is amended to read:

"40-4A-5. NOTICE TO WITHHOLD INCOME.--

A. The obligee or public office shall file an affidavit with the [clerk of the district court] adjudicatory body showing that notice of delinquency has been duly served upon the obligor.

B. Upon filing of the affidavit required by Subsection A of this section, the notice to withhold income shall be filed with the [clerk of the district court] adjudicatory body and served upon the payor by certified mail or personal delivery, and proof of service shall be filed with the [clerk of the district court] adjudicatory body.

C. A conformed copy of the notice to withhold income shall be mailed to the obligor at his last known address.

D. The notice to withhold income shall be verified by the obligee or public office and shall:

(1) state the amount of income to be withheld from the obligor; provided, however, the amount to be applied to satisfy the monthly obligation under the order for support, the amount of the delinquency which is set forth in the notice of delinquency and the amount to be applied to reduce the delinquency set forth in the notice of delinquency shall be stated separately;

(2) state that payments due from multiple obligors may be combined into one remittance so long as each withholding is separately identified;

(3) state that the maximum amount of an obligor's income subject to withholding pursuant to the Support Enforcement Act and pursuant to any garnishment shall not exceed fifty percent;

(4) state the duties of the payor as set forth in Section 40-4A-8 NMSA 1978; and

(5) require that all payments be made through the public office to ensure accurate recordkeeping.

E. The termination of the obligations imposed by the order [of] for support and payment in full of any delinquency shall revoke the notice to withhold income."

Section 14. Section 40-4A-6 NMSA 1978 (being Laws 1985, Chapter 105, Section 6) is amended to read:

"40-4A-6. AMOUNT OF INCOME SUBJECT TO WITHHOLDING.--

A. The income of an obligor shall be subject to withholding in an amount:

(1) equal to the monthly support obligation set forth in the order for support; and

(2) in the event of a delinquency, the additional amount of twenty percent of the monthly support obligation set forth in the order for support or such amount as the [court] adjudicatory body may order after notice and hearing, until payment in full of any delinquency set forth in the notice of delinquency.

B. The maximum amount of an obligor's income [which] that may be subject to withholding pursuant to the Support Enforcement Act and pursuant to any garnishment shall not exceed fifty percent."

Section 15. Section 40-4A-7 NMSA 1978 (being Laws 1985, Chapter 105, Section 7, as amended) is amended to read:

"40-4A-7. PROCEDURE TO AVOID INCOME WITHHOLDING.--Except as provided in Section 40-4A-4.1 NMSA 1978, the obligor may contest the notice to withhold income by filing a petition with the [clerk of the district court] adjudicatory body within twenty days after service of the notice of delinquency. Grounds for the contest shall be limited to a dispute concerning the existence or amount of the delinquency or noncompliance with the Support Enforcement Act. The [clerk of the district court] adjudicatory body shall notify the obligor and the obligee or public office, as appropriate, of the time and place of the hearing on the petition. The [court] adjudicatory body shall hold the hearing pursuant to the provisions of Section 40-4A-9 NMSA 1978."

Section 16. Section 40-4A-9 NMSA 1978 (being Laws 1985, Chapter 105, Section 9, as amended) is amended to read:

"40-4A-9. PETITIONS TO MODIFY, SUSPEND OR TERMINATE NOTICE OF WITHHOLDING.--

A. When an obligor files a petition pursuant to Section 40-4A-7 NMSA 1978, the [court] adjudicatory body, after due notice to all parties, shall hear and resolve the matter no later than forty-five days following the service of the notice of delinquency. [Where] When the [court] adjudicatory body cannot promptly resolve the issues alleged in the petition, the [court] adjudicatory body may order immediate execution of an amended notice to withhold income as to any undisputed amounts and may continue the hearing on the disputed issues for such reasonable length of time as required under the circumstances. Failure to meet the time requirements shall not constitute a defense to the notice to withhold income.

B. At any time, an obligor or obligee or the public office may petition the [court] adjudicatory body to:

(1) modify, suspend or terminate the notice to withhold income because of a corresponding modification, suspension or termination of the underlying order for support;

(2) modify the amount of income to be withheld to increase the rate of payment of the delinquency; or

(3) suspend the notice to withhold income because of the inability of the public office to deliver income withheld to the obligee due to the obligee's failure to provide a mailing address or other means of delivery.

C. Except for orders to withhold issued pursuant to Section 40-4A-4.1 NMSA 1978, an obligor may petition the [court] adjudicatory body at any time to terminate the withholding of income because payments pursuant to the notice to withhold income have been made for at least three years and all delinquencies have been paid. The [court] adjudicatory body shall suspend the notice to withhold income, absent good cause for denying the petition. If the obligor subsequently becomes delinquent in payment of the order for support, the obligee or public office may serve another notice to withhold income by complying with all requirements for notice and service pursuant to the Support Enforcement Act."

Section 17. Section 40-4A-11 NMSA 1978 (being Laws 1985, Chapter 105, Section 11, as amended) is amended to read:

"40-4A-11. PENALTIES.--If any person willfully fails to withhold or pay over income pursuant to the Support Enforcement Act, willfully discharges, disciplines, refuses to hire or otherwise penalizes an obligor as prohibited by Subsection D of Section 40-4A-8 NMSA 1978 or otherwise fails to comply with any duty imposed by that act, the [court] adjudicatory body, upon due notice and hearing:

A. shall impose a [fine] civil penalty against the payor for the total amount that the payor willfully failed to withhold or pay over;

B. shall order reinstatement of or award damages to the obligor, or both, where the obligor has been discharged, disciplined or otherwise penalized by the payor; or

C. may take such other action [including action for contempt of court] as may be appropriate, including, if the adjudicatory body is a district court, an action for contempt of court."

Section 18. Section 40-4A-12 NMSA 1978 (being Laws 1985, Chapter 105, Section 12, as amended) is amended to read:

"40-4A-12. INTERSTATE WITHHOLDING BY REGISTRATION OF FOREIGN SUPPORT ORDER.--

A. Upon filing of a certified copy of a foreign order for support containing an income withholding provision, the [clerk of the district court] adjudicatory body shall docket the case and inform the obligee of this action. The foreign order for support filed in accordance with this section shall constitute a legal basis for income withholding in this state. Upon filing the order, together with a notice to withhold income, the order may be served upon the payor and obligor by prepaid certified mail or by any method provided by law for service of summons. The payor shall promptly notify the obligor of receipt of service. Proof of service shall be filed with the [clerk of the district court] adjudicatory body. The obligor may contest the validity or enforcement of the income withholding by filing a petition to stay income withholding within twenty days after service of the order and notice. If the obligor files a petition to stay, the [court] adjudicatory body shall hear and resolve the matter no later than forty-five days following service of the order and notice to withhold. The procedure and grounds for contesting the validity and enforcement of the income withholding are the same as those available for contesting an income withholding notice and order in this state. The obligor shall give notice of the petition to stay to the support enforcement agency providing services to the obligee, the person or agency designated to receive payments in the income withholding notice or, if there is no designated person or agency, the obligee.

B. Filing of the foreign order for support shall not confer jurisdiction on the courts of this state for any purpose other than income withholding.

C. If the obligor presents evidence that constitutes a full or partial defense, the [court] adjudicatory body shall, on the request of the obligee, continue the case to permit further evidence relative to the defense to be adduced by either party; provided, however, the [court] adjudicatory body shall order immediate execution as to any undisputed amounts as set forth in Subsection A of Section 40-4A-9 NMSA 1978.

D. In addition to other procedural devices available to a party, any party to the proceeding may adduce testimony of witnesses in another state, including the parties and any of the children, by deposition, written discovery, photographic discovery such as videotaped depositions, telephone or photographic means. The [court] adjudicatory body on its own motion may direct that the testimony of a person be taken in another state and may prescribe the manner and terms upon which the testimony shall be taken.

E. [A court of this state] An adjudicatory body may request the appropriate court or agency of another state to hold a hearing to adduce evidence, to permit a deposition to be taken before the court or agency or to order a party to produce or give evidence under other procedures of that state and may request that certified copies of the evidence adduced in compliance with the request be forwarded to the [court of this state] adjudicatory body.

F. Upon request of a court or agency of another state, [a court of this state] an adjudicatory body may order a person in this state to appear at a hearing or deposition before the [court] adjudicatory body to adduce evidence or to produce or give evidence under other procedures available in this state. A certified copy of the evidence adduced, such as a transcript or videotape, shall be forwarded by the [clerk of the district court] adjudicatory body to the requesting court or agency.

G. A person within this state may voluntarily testify by statement or affidavit in this state for use in a proceeding to obtain income withholding outside this state."

Section 19. Section 40-4A-13 NMSA 1978 (being Laws 1985, Chapter 105, Section 13) is amended to read:

"40-4A-13. EXPEDITED PROCESS.--

A. Any action for enforcement, establishment or modification of a child support obligation shall be given priority in scheduling for hearing. A hearing or trial shall be scheduled before the [court or an authorized quasi-judicial officer] adjudicatory body within sixty days of the filing of the request for hearing; provided, however, a petition to stay service shall be resolved in accordance with Subsection A of Section [9 of the Support Enforcement Act] 40-4A-9 NMSA 1978.

[B. The powers of an authorized quasi-judicial officer shall include at a minimum:

(1) authority to take testimony and establish a record;

(2) authority to evaluate evidence and make initial decisions and recommendations; and

(3) authority to accept voluntary acknowledgement of support liability and to approve stipulated agreements to pay support.

C. If a party seeks to invoke the contempt powers of the court, the matter shall not be delegated to an authorized quasi-judicial officer.

D.] B. Failure to meet the time requirements shall not constitute a defense to the action for support."

Section 20. A new section of the Child Support Hearing Officer Act is enacted to read:

"[NEW MATERIAL] ADMINISTRATIVE HEARINGS--CONCURRENT JURISDICTION--PROCEDURE--CHILD SUPPORT HEARING OFFICERS.--

A. The department, through its child support hearing officers, may issue and modify support orders and orders of withholding; impose and remove liens; determine parentage; impose civil penalties; and take all other actions concerning the establishment and enforcement of support obligations in all proceedings in which:

(1) the department, as the state's Title IV-D agency, is acting as the enforcing party pursuant to an assignment of support rights under Section 27-2-27 NMSA 1978;

(2) the department, pursuant to Section 27-2-27 NMSA 1978, is acting as the representative of a custodial parent who is not receiving temporary assistance for needy families; and

(3) the department is the enforcing Title IV-D party pursuant to a written request for enforcement of a support obligation received from an agency in another state responsible for administering that state's federal Title IV-D program.

B. The department, in exercising power pursuant to Subsection A of this section, has concurrent jurisdiction with the district courts in all actions brought:

(1) to enforce or modify support orders resulting from a dissolution of marriage;

(2) pursuant to the Support Enforcement Act;

(3) pursuant to the Mandatory Medical Support Act;

(4) pursuant to the Uniform Interstate Family Support Act; or

(5) pursuant to the Uniform Parentage Act.

C. In exercising the powers and jurisdiction granted by this section, no action shall be taken by the department except pursuant to a hearing before a child support hearing officer. Except as provided otherwise by a statute relating to the specific cause of action, in hearings before a child support hearing officer:

(1) the child support hearing officer shall have the adjudicatory powers possessed by district courts under the Support Enforcement Act, the Mandatory Medical Support Act, the Uniform Interstate Family Support Act, the Uniform Parentage Act and any other law allowing the enforcement, establishment or modification of support obligations by the state Title IV-D agency;

(2) each party may be represented by counsel;

(3) the technical rules of evidence shall not apply, but in ruling on the admissibility of evidence, the child support hearing officer may require reasonable substantiation of statements or records tendered, the accuracy or truth of which is in reasonable doubt;

(4) the Rules of Civil Procedure for the District Courts shall not apply, but the hearing shall be conducted so that both complaints and defenses are amply and fairly presented. To this end, the child support hearing officer shall hear arguments, permit discovery, entertain and dispose of motions, require written expositions of the case as the circumstances justify and render a decision in accordance with the law and the evidence presented and admitted;

(5) the child support hearing officer shall have the power to preserve and enforce order during hearings; administer oaths; issue subpoenas to compel the attendance and testimony of witnesses, the production of books, papers, documents and other evidence or the taking of depositions before a designated individual competent to administer oaths; examine witnesses; impose civil penalties and do all things conformable to law that may be necessary to enable the child support hearing officer to discharge the duties of his office effectively; and

(6) any person committing any of the following acts may be assessed a civil penalty by the child support hearing officer or may be held accountable for his conduct in accordance with the provisions of Subsection D of this section:

(a) disobedience of or resistance to any lawful order or process;

(b) misbehavior during a hearing or so near the place of the hearing as to obstruct it;

(c) failure to produce any pertinent book, paper or document after having been ordered to do so;

(d) refusal to appear after having been subpoenaed;

(e) refusal to take the oath or affirmation as a witness; or

(f) refusal to be examined according to law.

D. The child support hearing officer may certify to the district court the fact that an act specified in Subparagraphs (a) through (f) of Paragraph (6) of Subsection C of this section was committed in that court. The court shall hold a hearing and if the evidence so warrants may punish the offending person in the same manner and to the same extent as for contempt committed before the court, or the court may commit the person upon the same conditions as if the doing of the forbidden act had occurred with reference to the process of or in the presence of the court."

Section 21. A new section of the Child Support Hearing Officer Act is enacted to read:

"[NEW MATERIAL] CHILD SUPPORT HEARING OFFICERS--APPOINTMENT--QUALIFICATIONS.--

A. Child support hearing officers shall be appointed by and serve at the pleasure of the secretary. Child support hearing officers shall be employees of the department and shall be exempt from the provisions of the Personnel Act.

B. Child support hearing officers shall be lawyers who are licensed to practice law in this state and who have a minimum of five years experience in the practice of law, with at least twenty percent of that practice having been in family law or domestic relations matters. Child support hearing officers shall devote full time to their duties under the Child Support Hearing Officer Act and shall not engage in the private practice of law or in any employment, occupation or business interfering with or inconsistent with the discharge of their duties as full-time child support hearing officers.

C. Child support hearing officers shall conform to the Code of Judicial Conduct as adopted by the supreme court. Violation of a canon shall be grounds for dismissal of a child support hearing officer."

Section 22. A new section of the Child Support Hearing Officer Act is enacted to read:

"[NEW MATERIAL] APPEALS FROM DECISION OF CHILD SUPPORT HEARING OFFICER.--

A. If a party or the secretary is dissatisfied with a decision and order of a child support hearing officer, the party or secretary may appeal to the court of appeals for further relief. All such appeals shall be upon the record made at the hearing and shall not be de novo. All such appeals to the court of appeals shall be taken within thirty days of the date of mailing or delivery of the written decision and order of the child support hearing officer to the parties, and, if not so taken, the decision and order are conclusive.

B. The procedure for perfecting an appeal under this section to the court of appeals shall be as provided by the Rules of Appellate Procedure.

C. Upon appeal, the court of appeals shall set aside a decision and order of the child support hearing officer only if found to be:

(1) arbitrary, capricious or an abuse of discretion;

(2) not supported by substantial evidence in the record; or

(3) otherwise not in accordance with the law."

Section 23. Section 40-4C-1 NMSA 1978 (being Laws 1990, Chapter 78, Section 1) is amended to read:

"40-4C-1. SHORT TITLE.--[This act] Chapter 40, Article 4C NMSA 1978 may be cited as the "Mandatory Medical Support Act"."

Section 24. Section 40-4C-3 NMSA 1978 (being Laws 1990, Chapter 78, Section 3, as amended) is amended to read:

"40-4C-3. DEFINITIONS.--As used in the Mandatory Medical Support Act:

[A. "court" means any district court ordering child support of an obligor;]

A. "adjudicatory body" means:

(1) the district court when ordering child support of an obligor; or

(2) a child support hearing officer when ordering child support of an obligor and exercising jurisdiction pursuant to the Child Support Hearing Officer Act;

B. "dental insurance coverage" means those coverages generally associated with a dental plan of benefits, not including medicaid coverage authorized by Title XIX of the federal Social Security Act and administered by the [human services] department;

C. "department" means the human services department;

D. "employer" means any individual, organization, agency, business or corporation hiring an obligor for pay;

E. "health insurance coverage" means those coverages generally associated with a medical plan of benefits, not including medicaid coverage authorized by Title XIX of the federal Social Security Act and administered by the department;

F. "insurer" includes a group health plan as defined in 29 U.S.C. 1167, a health maintenance organization as defined in Section 59A-46-2 NMSA 1978 and a nonprofit health care plan organized pursuant to the provisions of Section 59A-47-4 NMSA 1978;

G. "minor child" means a child younger than eighteen years of age who has not been emancipated;

H. "obligee" means a person to whom a duty of support is owed or a person, including the department, who has commenced a proceeding for enforcement of an alleged duty of support or for registration of a support order, regardless of whether the person to whom a duty of support is owed is a recipient of public assistance; and

I. "obligor" means a person owing a duty of support or against whom a proceeding for the enforcement of a duty of support or registration of a support order is commenced."

Section 25. Section 40-4C-4 NMSA 1978 (being Laws 1990, Chapter 78, Section 4) is amended to read:

"40-4C-4. MEDICAL SUPPORT--ORDER.--

A. The [court] adjudicatory body shall order an obligor to name the minor child on behalf of whom support is owed as an eligible dependent of health insurance coverage or dental insurance coverage if:

(1) health insurance coverage or dental insurance coverage [which] that meets or exceeds the minimum standards required under the Mandatory Medical Support Act is not available at a more reasonable cost to the obligee than to the obligor for coverage of the minor child; and

(2) such health insurance coverage or dental insurance coverage is available to the obligor through an employer or union.

B. The [court] adjudicatory body may consider the impact of the cost of health insurance coverage or dental insurance coverage on the payment of the base child support amounts in determining whether such insurance coverage shall be ordered.

C. The [court] adjudicatory body may order the obligor to obtain health insurance coverage or dental insurance coverage for any minor child to whom support is owed, if:

(1) the [court] adjudicatory body finds that health insurance coverage or dental insurance coverage for the minor child is not available to the obligor through an employer or union; and

(2) the obligee does not have such health insurance coverage or dental insurance coverage available at a more reasonable cost than the obligor for coverage of the minor child.

D. The [court] adjudicatory body shall require the obligor to be liable for all or a portion of the medical or dental expenses of the minor child that are not covered by the required health insurance coverage or dental insurance coverage, if:

(1) the [court] adjudicatory body finds that the health insurance coverage or dental insurance coverage required to be obtained by the obligor or available to the obligee does not pay all the reasonable and necessary medical or dental expenses of the minor child; and

(2) the [court] adjudicatory body finds that the obligor has the financial resources to contribute to the payment of these medical or dental expenses.

E. The [court] adjudicatory body shall require the obligor to provide health insurance coverage or dental insurance coverage for the benefit of the obligee if it is available at no additional cost to the obligor.

F. The [court] adjudicatory body in any proceeding for the establishment, enforcement or modification of a child support obligation may modify an existing order of support or establish child support, as applicable, for the minor child to incorporate the provisions for medical support ordered pursuant to the Mandatory Medical Support Act."

Section 26. Section 40-4C-5 NMSA 1978 (being Laws 1990, Chapter 78, Section 5) is amended to read:

"40-4C-5. ORDER--PROOF OF COMPLIANCE--NOTICE.--

A. The obligor shall provide to the obligee within thirty days of receipt of effective notice of [a court] an order for health insurance coverage or dental insurance coverage pursuant to the Mandatory Medical Support Act written proof of the obligor's compliance with that order. Compliance means either that the health insurance coverage or dental insurance coverage has been obtained or that a correct and complete application for such coverage has been made.

B. The obligee shall forward a copy of the [court] order for health insurance coverage or dental insurance coverage issued pursuant to the Mandatory Medical Support Act to the obligor's employer or union only when ordered to do so by the [court] adjudicatory body or when:

(1) the obligor fails to provide written proof of compliance with the [court] order to the obligee within thirty days of the obligor's receipt of effective written notice of the [court] order;

(2) the obligee serves by mail at the obligor's last known post office address written notice on the obligor of the obligee's intent to enforce the order; and

(3) the obligor fails to provide within fifteen days after the date the obligee mailed the notice in Paragraph (2) of this subsection written proof to the obligee that the obligor has obtained the health insurance coverage or dental insurance coverage ordered by the [court] adjudicatory body or has applied for such coverage.

C. Upon receipt of [a court] an order for health insurance coverage or dental insurance coverage pursuant to the Mandatory Medical Support Act, the employer or union shall forward a copy of the order to the health insurer or dental insurer, as applicable."

Section 27. Section 40-4C-6 NMSA 1978 (being Laws 1990, Chapter 78, Section 6, as amended) is amended to read:

"40-4C-6. OBLIGATIONS--EMPLOYERS AND UNIONS--INSURERS.--

A. Upon receipt of the [court] order for health insurance coverage or dental insurance coverage pursuant to Section 40-4C-5 NMSA 1978 or upon application of the obligor pursuant to that order, the employer or union shall enroll the minor child as an eligible dependent in the health insurance plan or dental insurance plan and withhold any required premium from the obligor's income or wages. If more than one health insurance plan or dental insurance plan is offered by the employer or union, the minor child shall be enrolled in the plan in which the obligor is enrolled or the least costly plan available to the obligor that meets the minimum coverage criteria required pursuant to the Mandatory Medical Support Act.

B. In any instance in which the obligor is required by [a court] an order to provide health insurance coverage or dental insurance coverage for the minor child and the obligor is eligible for health insurance coverage or dental insurance coverage through an employer or union, the employer, union or insurer shall do the following:

(1) permit the obligor to enroll for health insurance coverage or dental insurance coverage the minor child who is otherwise eligible for coverage without regard to any enrollment season restrictions;

(2) enroll the minor child for health insurance coverage or dental insurance coverage if the obligor fails to enroll the minor child upon application by the obligee or the department;

(3) not disenroll or eliminate coverage of any minor child so enrolled unless:

(a) the employer is provided with satisfactory written evidence that the [court] order is no longer in effect;

(b) [that] the minor child is or will be enrolled in comparable health coverage that meets the coverage criteria required pursuant to the Mandatory Medical Support Act and that will take effect not later than the effective date of the disenrollment;

(c) the obligor has terminated employment; or

(d) the employer has eliminated health insurance coverage or dental insurance coverage for all of its employees; and

(4) withhold from the obligor's compensation the obligor's share, if any, of premiums for health insurance coverage or dental insurance coverage and to pay the share of premiums to the insurer, unless otherwise provided in law or regulation.

C. In those instances where the obligor fails or refuses to execute any document necessary to enroll the minor child in the health insurance plan or dental insurance plan ordered by the [court] adjudicatory body, the required information and authorization may be provided by the department or the custodial parent or guardian of the minor child.

D. Information and authorization provided by the department or the custodial parent or guardian of the minor child shall be valid for the purpose of meeting enrollment requirements of the health insurance plan or dental insurance plan and shall not affect the obligation of the employer or union and the insurer to enroll the minor child in the health insurance or dental insurance plan for which other eligibility, enrollment, underwriting terms and other requirements are met. In instances in which the minor child is insured through the obligor, the insurer shall provide all information to the obligee that may be helpful or necessary for the minor child to obtain benefits.

E. A minor child that an obligor is required to cover as an eligible dependent pursuant to the Mandatory Medical Support Act shall be considered for insurance coverage purposes as a dependent of the obligor until the child is emancipated or until further order of the [court] adjudicatory body.

F. In instances in which the minor child is insured through the obligor, the insurer is prohibited from denying health insurance coverage or dental insurance coverage of the minor child on the grounds that the minor child was born out of wedlock, that the minor child is not claimed as a dependent on the obligor's federal income tax return or that the minor child does not reside with the obligor or reside in the insurer's service area.

G. In instances in which the minor child is insured through the obligor, the insurer is prohibited from imposing requirements on the department that are different from requirements applicable to an agent or assignee of any other individual covered by the insurer.

H. In instances in which the minor child is insured through the obligor, the insurer shall permit the obligee or provider, with the approval of the obligee, to submit claims for covered services without the approval of the obligor. The insurer shall make payments on submitted claims directly to the obligee or the provider."

Section 28. Section 40-4C-9 NMSA 1978 (being Laws 1990, Chapter 78, Section 9) is amended to read:

"40-4C-9. AUTHORIZATION FOR CLAIMS.--The signature of the custodial parent of the minor child insured pursuant to [a court order] an order of an adjudicatory body is a valid authorization to the health insurer or dental insurer for purposes of processing an insurance reimbursement payment."

Section 29. Section 40-4C-12 NMSA 1978 (being Laws 1990, Chapter 78, Section 12, as amended) is amended to read:

"40-4C-12. OBLIGOR LIABILITY.--

A. The obligor who fails to maintain the health insurance coverage or dental insurance coverage for the benefit of a minor child as ordered pursuant to the Mandatory Medical Support Act shall be liable to the obligee for any medical and dental expenses incurred from the date of the [court] order of the adjudicatory body.

B. An obligor who receives payment from a third party for the costs of medical or dental services provided to a minor child and who fails to use the payment to reimburse the department is liable to the department to the extent of the department's payment for the services. The department is authorized to intercept the obligor's tax refund to recoup amounts paid. Claims for current or past due child support take priority over any claims made pursuant to this subsection. Proof of failure to maintain health insurance coverage or dental insurance coverage as ordered constitutes a showing of increased need by the obligee and provides a basis for modification of the obligor's child support order.

C. If the department is the obligee, the obligor is required to provide the department with the following information concerning health insurance coverage or dental insurance coverage:

(1) obligor's name and tax identification number;

(2) type of coverage (single or family);

(3) name, address and identifying number of health insurance coverage or dental insurance coverage;

(4) name and tax identification number of other individuals who are provided health insurance coverage or dental insurance coverage by the obligor;

(5) effective period of coverage; and

(6) name, address and the tax identification number of the employer."

Section 30. Section 40-5A-1 NMSA 1978 (being Laws 1995, Chapter 25, Section 1) is amended to read:

"40-5A-1. SHORT TITLE.--[This act] Chapter 40, Article 5A NMSA 1978 may be cited as the "Parental Responsibility Act"."

Section 31. Section 40-5A-3 NMSA 1978 (being Laws 1995, Chapter 25, Section 3, as amended) is amended to read:

"40-5A-3. DEFINITIONS.--As used in the Parental Responsibility Act:

A. "applicant" means an obligor who is applying for issuance of a license;

B. "board" means:

(1) the construction industries commission, the construction industries division and the electrical bureau, mechanical bureau and general construction bureau of the construction industries division of the regulation and licensing department;

(2) the manufactured housing committee and manufactured housing division of the regulation and licensing department;

(3) a board, commission or agency that administers a profession or occupation licensed pursuant to Chapter 61 NMSA 1978;

(4) any other state agency to which the Uniform Licensing Act is applied by law;

(5) a licensing board or other authority that issues a license, certificate, registration or permit to engage in a profession or occupation regulated in New Mexico;

(6) the department of game and fish;

(7) the motor vehicle division of the taxation and revenue department; or

(8) the alcohol and gaming division of the regulation and licensing department;

C. "certified list" means a verified list that includes the names, social security numbers and last known addresses of obligors not in compliance;

D. "compliance" means that:

(1) an obligor is no more than thirty days in arrears in payment of amounts required to be paid pursuant to an outstanding judgment and order for support; and

(2) an obligor has, after receiving appropriate notice, complied with subpoenas or warrants relating to paternity or child support proceedings;

E. "department" means the human services department;

F. "judgment and order for support" means the judgment entered against an obligor by the district court, [or] a tribal court or a child support hearing officer in a case brought by the department pursuant to Title IV-D of the federal Social Security Act;

G. "license" means a liquor license or other license, certificate, registration or permit issued by a board that a person is required to have to engage in a profession or occupation in New Mexico; "license" includes a commercial driver's license, driver's license and recreational licenses, including hunting, fishing or trapping licenses;

H. "licensee" means an obligor to whom a license has been issued; and

I. "obligor" means the person who has been ordered to pay child or spousal support pursuant to a judgment and order for support."

Section 32. Section 40-5A-8 NMSA 1978 (being Laws 1995, Chapter 25, Section 8) is amended to read:

"40-5A-8. [COURT] ORDERS.--As part of a judgment and order for support, a district court or a child support hearing officer may require the obligor to surrender any license held by him or may refer the matter to the appropriate board for further action."

Section 33. Section 40-6A-102 NMSA 1978 (being Laws 1994, Chapter 107, Section 102, as amended) is amended to read:

"40-6A-102. TRIBUNAL OF STATE.--The [district courts are the] tribunals of this state are:

A. the district courts for actions filed with or orders issued by the courts; or

B. child support hearing officers employed by the human services department if the department is exercising jurisdiction pursuant to the Child Support Hearing Officer Act and the action is filed with or the order issued by the hearing officer."

Section 34. Section 40-11-1 NMSA 1978 (being Laws 1986, Chapter 47, Section 1) is amended to read:

"40-11-1. SHORT TITLE.--[This act] Chapter 40, Article 11 NMSA 1978 may be cited as the "Uniform Parentage Act"."

Section 35. Section 40-11-2 NMSA 1978 (being Laws 1986, Chapter 47, Section 2) is amended to read:

"40-11-2. [DEFINITION] DEFINITIONS.--As used in the Uniform Parentage Act:

A. "adjudicatory body" means:

(1) the district court if the action is filed with or the order issued by the court; or

(2) a child support hearing officer employed by the human services department if the department is exercising jurisdiction pursuant to the Child Support Hearing Officer Act and the action is filed with or the order issued by the hearing officer; and

B. "parent and child relationship" means the legal relationship existing between a child and his natural or adoptive parents incident to which the law confers or imposes rights, privileges, duties and obligations. It includes the mother and child relationship and the father and child relationship."

Section 36. Section 40-11-5 NMSA 1978 (being Laws 1986, Chapter 47, Section 5, as amended) is amended to read:

"40-11-5. PRESUMPTION OF PATERNITY.--

A. A man is presumed to be the natural father of a child if:

(1) he and the child's natural mother are or have been married to each other and the child is born during the marriage or within three hundred days after the marriage is terminated by death, annulment, declaration of invalidity or dissolution of marriage or after a decree of separation is entered by a court;

(2) before the child's birth, he and the child's natural mother have attempted to marry each other by a marriage solemnized in apparent compliance with law, although the attempted marriage is or could be declared invalid, and:

(a) if the attempted marriage could be declared invalid only by a court, the child is born during the attempted marriage or within three hundred days after its termination by death, annulment, declaration of invalidity or divorce; or

(b) if the attempted marriage is invalid without a court order, the child is born within three hundred days after the termination of cohabitation;

(3) after the child's birth, he and the child's natural mother have married or attempted to marry each other by a marriage solemnized in apparent compliance with law, although the attempted marriage is or could be declared invalid, and:

(a) he has acknowledged his paternity of the child in writing filed with the vital statistics bureau of the public health division of the department of health;

(b) with his consent, he is named as the child's father on the child's birth certificate; or

(c) he is obligated to support the child under a written voluntary promise or by [court] order of an adjudicatory body;

(4) while the child is under the age of majority, he openly holds out the child as his natural child and has established a personal, financial or custodial relationship with the child; or

(5) he acknowledges his paternity of the child pursuant to Section 24-14-13 NMSA 1978 or in writing filed with the vital statistics bureau of the public health division of the department of health, which shall promptly inform the mother of the filing of the acknowledgment, and, within a reasonable time after being informed of the filing, she does not dispute the acknowledgment. In order to enforce the rights of custody or visitation, a man presumed to be the father as a result of filing a written acknowledgment shall seek an appropriate judicial order in an action filed for that purpose. A signed voluntary acknowledgment of paternity is considered a legal finding of paternity, subject to the right of any signatory to rescind the acknowledgment within the earlier of:

(a) sixty days from the date of signing; or

(b) the date of an administrative or judicial proceeding relating to the child, including a proceeding to establish a support order, to which the signatory is a party. After sixty days from the date of signing, the acknowledgment may be challenged in court only on the grounds of fraud, duress or material mistake of fact, with the burden of proof upon the challenger, although legal responsibilities arising from signing the acknowledgment may not be suspended during the challenge, except upon a showing of good cause. Judicial or administrative proceedings are not required to ratify an unchallenged acknowledgment.

B. If two or more men are presumed under this section to be the child's father, an acknowledgment by one of them may be effective only with the written consent of the other or pursuant to Subsection C of this section.

C. A presumption under this section may be rebutted in an appropriate action only by clear and convincing evidence. If two or more men are presumed under this section to be the father of the same child, paternity shall be established as provided in the Uniform Parentage Act. If the presumption has been rebutted with respect to one man, paternity of the child by another man may be determined in the same action if he has been made a party.

D. A man is presumed to be the natural father of a child if, pursuant to blood or genetic tests properly performed by a qualified person and evaluated by an expert, including deoxyribonucleic acid (DNA) probe technique tests under the Uniform Parentage Act, the probability of his being the father is ninety-nine percent or higher.

E. The voluntary acknowledgment of paternity must be recognized as a basis for seeking a support order without requiring any further proceedings to establish paternity.

F. Full faith and credit must be given to determination of paternity made by other states, including acknowledgments of paternity."

Section 37. Section 40-11-8 NMSA 1978 (being Laws 1986, Chapter 47, Section 8) is amended to read:

"40-11-8. JURISDICTION--VENUE.--

A. [The district court] An adjudicatory body has jurisdiction over an action brought under the Uniform Parentage Act. In an adjudicatory body with jurisdiction the action may also be joined with an action for dissolution of marriage, annulment, separate maintenance or support.

B. A person who has sexual intercourse in this state thereby submits to the jurisdiction of [the courts] an adjudicatory body of this state as to an action brought under the Uniform Parentage Act with respect to a child who may have been conceived by that act of intercourse. In addition to any other method provided by rule or statute, personal jurisdiction may be acquired over such person by delivery of summons outside this state by personal service or by registered mail with proof of actual receipt.

C. The action may be brought before a child support hearing officer pursuant to the procedures of the Child Support Hearing Officer Act or before a district court in the county in which any party resides or is found or, if the father is deceased, in which proceedings for probate of his estate have been or could be commenced."

Section 38. Section 40-11-9 NMSA 1978 (being Laws 1986, Chapter 47, Section 9, as amended) is amended to read:

"40-11-9. PARTIES.--The child may be made a party to the action provided for in Section 40-11-7 NMSA 1978. If the child is a party and a minor, he shall be represented by his general guardian or a guardian ad litem appointed by the [court] adjudicatory body, or both. The custodian may act as guardian under this section. The [court] adjudicatory body may align the parties."

Section 39. Section 40-11-10 NMSA 1978 (being Laws 1986, Chapter 47, Section 10) is amended to read:

"40-11-10. [PRE-TRIAL PROCEEDINGS] PRELIMINARY HEARING.--As soon as practicable after an action to declare the existence or nonexistence of the father and child relationship has been brought, and unless judgment by default has been entered, [an informal] a preliminary hearing shall be held. If the proceeding is before a district court, the court may order that the hearing be held before a master. The public shall be barred from the hearing. A record of the proceeding or any portion of the proceeding shall be kept if any party requests or the court so orders. The rules of evidence shall not apply."

Section 40. Section 40-11-11 NMSA 1978 (being Laws 1986, Chapter 47, Section 11, as amended) is amended to read:

"40-11-11. [PRE-TRIAL] PRELIMINARY HEARING RECOMMENDATIONS.--

A. On the basis of the information produced at the [pretrial] preliminary hearing as provided for in Section

40-11-10 NMSA 1978, the judge, hearing officer or master conducting the hearing shall evaluate the probability of determining the existence or nonexistence of the father and child relationship [in a trial]. On the basis of the evaluation, an appropriate recommendation for settlement shall be made to the parties. Based upon the evaluation, the judge, hearing officer or master may enter an order for temporary support consistent with the child support guidelines as provided in Section 40-4-11.1 NMSA 1978.

B. If the parties accept a recommendation made in accordance with Subsection A of this section, judgment shall be entered accordingly.

C. If a party refuses to accept a recommendation made in accordance with Subsection A of this section and blood tests have not been taken, the [court] adjudicatory body shall require the parties to submit to blood tests, if practicable. Thereafter, the judge, hearing officer or master shall make an appropriate final recommendation. If a party refuses to accept the final recommendation, the action shall be set for [trial] hearing and a party's acceptance or rejection of the recommendation shall be treated as any other offer of settlement with respect to its admissibility as evidence in subsequent proceedings.

D. The child's guardian may accept or refuse to accept a recommendation under this section.

E. The [informal] preliminary hearing may be terminated and the action set for [trial] hearing if the judge, hearing officer or master conducting the hearing finds it unlikely that all parties would accept a recommendation he might make under Subsection A or C of this section."

Section 41. Section 40-11-12 NMSA 1978 (being Laws 1986, Chapter 47, Section 12, as amended) is amended to read:

"40-11-12. BLOOD AND GENETIC TESTS.--

A. The [court] adjudicatory body may, and upon request of a party shall, require the child, mother or alleged father to submit to blood or genetic tests, including deoxyribonucleic acid (DNA) probe technique tests.

B. The [court] adjudicatory body, upon reasonable request by a party, shall order that independent tests be performed by other experts qualified as examiners of blood types or qualified as experts in the administration of genetic tests, including deoxyribonucleic acid (DNA) probe technique tests.

C. In all cases, the [court] adjudicatory body shall determine the number and qualifications of the experts. This accreditation of the testing facility must be admissible without the need for foundation testimony or other proof of authenticity or accuracy unless an objection has been made in writing not later than twenty days before a hearing on the testing results. The [court] adjudicatory body shall admit into evidence, for purposes of establishing paternity, the results of any genetic test that is of a type generally acknowledged as reliable by accreditation bodies designated by the secretary of human services and performed by a laboratory approved by such an accreditation body unless an objection has been made in writing not later than twenty days before a hearing at which the results may be introduced into evidence.

D. If [a putative] an alleged father refuses to comply with an order for testing pursuant to this section, the [court] adjudicatory body shall enter a judgment of parentage against him.

E. If the mother refuses to comply with an order for testing pursuant to this section, the [court] adjudicatory body may dismiss the case without prejudice."

Section 42. Section 40-11-14 NMSA 1978 (being Laws 1986, Chapter 47, Section 14, as amended) is amended to read:

"40-11-14. CIVIL ACTION.--

A. An action under the Uniform Parentage Act is a civil action governed by the Rules of Civil Procedure for the District Courts. Jury trial is not available in actions to establish parentage. The mother of the child and the alleged father are competent to testify and may be compelled to testify.

B. Testimony relating to sexual access to the mother by an unidentified man at any time or by an identified man at a time other than the probable time of conception is inadmissible in evidence unless offered by the mother.

C. In an action against an alleged father, evidence offered by him with respect to a man who is not subject to the jurisdiction of the [court] adjudicatory body concerning his sexual intercourse with the mother at or about the probable time of conception of the child is admissible in evidence only if the alleged father has undergone and made available to the [court] adjudicatory body blood tests, the results of which do not exclude the possibility of his paternity of the child.

D. A default order must be entered upon a showing of service of process on the defendant or any other showing required by state law."

Section 43. Section 40-11-15 NMSA 1978 (being Laws 1986, Chapter 47, Section 15, as amended) is amended to read:

"40-11-15. JUDGMENT OR ORDER.--

A. The judgment or order of the [court] adjudicatory body determining the existence or nonexistence of the parent and child relationship is determinative for all purposes.

B. If the judgment or order [of the court is] at variance with the child's birth certificate, the [court] adjudicatory body shall order that a new birth certificate be issued.

C. The judgment or order may contain any other provision directed against or on behalf of the appropriate party to the proceeding concerning the duty of past and future support, the custody and guardianship of the child, visitation with the child, the furnishing of bond or other security for the payment of the judgment or any other matter within the jurisdiction of the [court] adjudicatory body. The judgment or order may direct the father to pay the reasonable expenses of the mother's pregnancy, birth and confinement. The [court] adjudicatory body shall order child support retroactive to the date of the child's birth pursuant to the provisions of Sections 40-4-11 through 40-4-11.3 NMSA 1978; provided that, in deciding whether or how long to order retroactive support, the [court] adjudicatory body shall consider:

(1) whether the alleged or presumed father has absconded or could not be located; and

(2) whether equitable defenses are applicable.

D. A determination of parentage and adjudication of support is binding on:

(1) a signatory on an acknowledgment of paternity;

(2) a nonresident party subject to the [court's] jurisdiction of the adjudicatory body pursuant to Section

40-6A-201 NMSA 1978; and

(3) the child, if:

(a) the determination was based on an acknowledgment of paternity and the acknowledgment is consistent with the results of genetic testing;

(b) the child was a party or was represented in the proceeding by a guardian ad litem;

(c) there is a stipulation or admission in the final order that the parties are the parents of the child; or

(d) in a proceeding to dissolve a marriage or establish support, a final order expressly identified the child as a "child of the marriage", "issue of the marriage", "child of the parties" or similar words that indicate the parties are the parents of the child and, if applicable, the [court] adjudicatory body had personal jurisdiction over any nonresident party pursuant to Section 40-6A-201 NMSA 1978.

E. Support judgments or orders ordinarily shall be for periodic payments which may vary in amount. In the best interest of the child, a lump-sum payment or the purchase of an annuity may be ordered in lieu of periodic payments of support; provided, however, nothing in this section shall deprive a state agency of its right to reimbursement from an appropriate party should the child be a past or future recipient of public assistance.

F. In determining the amount to be paid by a parent for support of the child, a court, child support hearing officer or master shall make such determination in accordance with the provisions of the child support guidelines of Section 40-4-11.1 NMSA 1978.

G. Bills for pregnancy, childbirth and genetic testing are admissible as evidence without requiring

third-party foundation testimony and constitute prima facie evidence of amounts incurred."

Section 44. Section 40-11-16 NMSA 1978 (being Laws 1986, Chapter 47, Section 16, as amended) is amended to read:

"40-11-16. COSTS.--The [court] adjudicatory body may order reasonable fees of counsel, experts, the child's guardian and other costs of the action and [pre-trial proceedings] preliminary hearings, including blood or genetic tests, to be paid by any party in proportions and at times determined by the [court] adjudicatory body. The [court] adjudicatory body may order the proportion of any indigent party to be paid from [court] funds of the adjudicatory body."

Section 45. Section 40-11-17 NMSA 1978 (being Laws 1986, Chapter 47, Section 17) is amended to read:

"40-11-17. ENFORCEMENT OF JUDGMENT OR ORDER.--

A. If existence of the father and child relationship is declared or paternity or a duty of support has been acknowledged or adjudicated under the Uniform Parentage Act or under prior law, the obligation of the father may be enforced in the same or other proceedings by any interested party.

B. The [court] adjudicatory body may order support payments to be made to the mother; the clerk of the court; or a person, corporation or agency designated to collect or administer such funds for the benefit of the child, upon such terms as the [court] adjudicatory body deems appropriate.

C. Willful failure to obey the judgment or order of the [court] adjudicatory body is a civil contempt [of the court]. All remedies for the enforcement of judgments apply."

Section 46. Section 40-11-18 NMSA 1978 (being Laws 1986, Chapter 47, Section 18) is amended to read:

"40-11-18. MODIFICATION OF JUDGMENT OR ORDER.--The [court] adjudicatory body has continuing jurisdiction to modify or revoke a judgment or order for future support."

Section 47. Section 40-11-19 NMSA 1978 (being Laws 1986, Chapter 47, Section 19) is amended to read:

"40-11-19. RIGHT TO COUNSEL--FREE TRANSCRIPT ON APPEAL.--

A. At the [pre-trial] preliminary hearing and in further proceedings, any party may be represented by counsel. The [court] adjudicatory body shall appoint counsel for any party who is unable to obtain counsel for financial reasons if, in the [court's] discretion of the adjudicatory body, appointment of counsel is required in the interest of justice.

B. If a party is financially unable to pay the cost of a transcript, the [court] adjudicatory body shall furnish on request a transcript for purposes of appeal."

Section 48. Section 40-11-20 NMSA 1978 (being Laws 1986, Chapter 47, Section 20) is amended to read:

"40-11-20. HEARINGS AND RECORDS--CONFIDENTIALITY.--Notwithstanding any other law concerning public hearings and records, any hearing or trial held under the provisions of the Uniform Parentage Act may be held in closed [court] session without admittance of any person other than those necessary to the action or proceeding. The [court] adjudicatory body may order that certain papers and records pertaining to the action or proceeding, whether part of the permanent record of the [court] adjudicatory body or any other file maintained by the state or elsewhere, are subject to inspection only upon consent of the [court] adjudicatory body; provided, however, nothing in this section shall infringe upon the right of the parties to an action or proceeding to inspect the [court] record of the adjudicatory body."

Section 49. Section 40-11-22 NMSA 1978 (being Laws 1986, Chapter 47, Section 22) is amended to read:

"40-11-22. BIRTH RECORDS.--

A. Upon order of [a court of this state] an adjudicatory body or upon request of a court of another state, the vital statistics bureau of the public health [services] division of the department of health [and environment department] shall prepare a new certificate of birth consistent with the findings of [the court] an adjudicatory body and shall substitute the new certificate for the original certificate of birth.

B. The fact that the father and child relationship was declared after the child's birth shall not be ascertainable from the new certificate, but the actual place and date of birth shall be shown.

C. The evidence upon which the new certificate was made and the original birth certificate shall be kept in a sealed and confidential file and be subject to inspection only upon order of [the court] an adjudicatory body and consent of all interested parties, or in exceptional cases only upon an order of the court for good cause shown."

Section 50. TEMPORARY PROVISION--TRANSFER.--On the effective date of this act, all personnel, budgets, funds, appropriations, equipment and other property of child support hearing officers or the district courts and used to administer the Child Support Hearing Officer Act shall be transferred from the district courts to the human services department.

Section 51. REPEAL.--Sections 40-4B-4 through 40-4B-9 NMSA 1978 (being Laws 1988, Chapter 127, Sections 4 through 9, as amended) are repealed.

Section 52. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2003.