Bill Text: MS HB857 | 2023 | Regular Session | Engrossed


Bill Title: Local Government Debt Collection Setoff Act; clarify term of "claimant local government" under.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2023-02-28 - Died In Committee [HB857 Detail]

Download: Mississippi-2023-HB857-Engrossed.html

MISSISSIPPI LEGISLATURE

2023 Regular Session

To: County Affairs; Municipalities

By: Representative Byrd

House Bill 857

(As Passed the House)

AN ACT TO AMEND SECTION 27-7-805, MISSISSIPPI CODE OF 1972, TO CLARIFY THE TERM "CLAIMANT LOCAL GOVERNMENT" UNDER THE LOCAL GOVERNMENT DEBT COLLECTION SETOFF ACT; TO PROVIDE THAT SUCH TERM SHALL INCLUDE, FOR COUNTIES AND MUNICIPALITIES, ALL CORPORATIONS AND OTHER INSTRUMENTALITIES WHOSE GOVERNING BOARDS ARE COMPRISED OF A MAJORITY OF MEMBERS WHO ARE APPOINTED OR ELECTED BY COUNTIES OR MUNICIPALITIES; AND FOR RELATED PURPOSES.

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

          SECTION 1.  Section 27-7-805, Mississippi Code of 1972, is amended as follows:

     27-7-805.  As used in this article:

          (a)  "Claimant local government" means counties and municipalities acting through their nonprofit member organizations with respect to the collection of any debt owed and finalized by law, ordinance, order or resolution.  For purposes of this section, counties and municipalities shall include all corporations and other instrumentalities whose governing boards are comprised of a majority of members who are appointed or elected by counties or municipalities.

          (b)  "Debtor" means any person owing a debt to any claimant local government.

          (c)  "Debt" means any liquidated sum due and owing to any claimant local government which has accrued through contract, subrogation, tort, justice or municipal court conviction or any other debt regardless of whether there is an outstanding judgment for the sum.

          (d)  "Department" means the Mississippi Department of Revenue.

          (e)  "Local government" means a county or municipality.

          (f)  "Member organization" means the Mississippi Association of Supervisors for counties, the Mississippi Municipal League for municipalities, or entities established through or contracted by these member organizations for the purpose of facilitating debt collection under this article.

          (g)  "Net proceeds collected" means gross proceeds collected through setoff against a debtor's refund less the collection assistance fees authorized in this article.

          (h)  "Person" means any individual, firm, partnership, association, trustee, receiver, assignee, corporation, entity, limited liability company, utility or joint venture.

          (i)  "Refund" means the Mississippi income tax refund which the department determines to be due a debtor.

          (j)  "Setoff" means the department's legal right to reduce the debtor's claim to a Mississippi income tax refund from the department by a debt the claimant local government properly establishes under this article which is owed by the debtor.

     SECTION 2.  This act shall take effect and be in force from and after July 1, 2023.


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