North Carolina § 105A-3 - Remedy additional; mandatory State usage; optional local usage; obtaining identifying information; registration.

§ 105A-3. Remedy additional; mandatory State usage; optional local usage; obtaining identifying information; registration.

Remedy Additional. - The collection remedy under this Chapter is in addition to and not in substitution for any other remedy available by law. Mandatory State Usage. - A State agency must submit a debt owed to it for collection under this Chapter unless the State Controller has waived this requirement or the State agency has determined that the validity of the debt is legitimately in dispute, an alternative means of collection is pending and believed to be adequate, or such a collection attempt would result in a loss of federal funds. The State Controller may waive the requirement for a State agency, other than the Department of Health and Human Services or a county acting on behalf of that Department, to submit a debt owed to it for collection under this Chapter if the State Controller finds that collection by this means would not be practical or cost effective. A waiver may apply to all debts owed a State agency or a type of debt owed a State agency. Optional Local Usage. - A local agency may submit a debt owed to it for collection under this Chapter. A local agency that decides to submit a debt owed to it for collection under this Chapter must establish the debt by following the procedure set in G.S. 105A-5 and must submit the debt through one of the following: A clearinghouse that is established pursuant to an interlocal agreement adopted under Article 20 of Chapter 160A of the General Statutes and has agreed to submit debts on behalf of any requesting local agency. The North Carolina League of Municipalities. The North Carolina Association of County Commissioners. Identifying Information. - All claimant agencies shall whenever possible obtain the full name, social security number or federal identification number, address, and any other identifying information required by the Department from any person for whom the agencies provide any service or transact any business and who the claimant agencies can foresee may become a debtor under this Chapter. Registration and Reports. - A State agency must register with the Department and with the State Controller. Every State agency must report annually to the State Controller the amount of debts owed to the agency for which the agency did not submit a claim for setoff and the reason for not submitting the claim. A clearinghouse or an organization that submits debts on behalf of a local agency must register with the Department. Once a clearinghouse registers with the Department under this subsection, no other clearinghouse may register to submit debts for collection under this Chapter. History (1979, c. 801, s. 94; 1989 (Reg. Sess., 1990), c. 946, s. 1; 1993, c. 512, s. 4; 1997-443, s. 11A.122; 1997-490, s. 1; 1998-212, s. 12.3A(a), (b); 2010-31, s. 31.8(e).) Editor's Note. - Session Laws 1998-212, s. 12.3A(c) provides: "The State Controller, in consultation with the Attorney General, shall develop guidelines for State agencies to use in determining under G.S. 105A-3(b) when the validity of a debt is legitimately in dispute, when an alternative means of collection may be considered adequate, and when a collection attempt would result in a loss of federal funds." Session Laws 1998-212, s. 1.1 provides: "This act shall be known as the 'Current Operations Appropriations and Capital Improvement Appropriations Act of 1998'." Session Laws 1998-212, s. 30.2 provides "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 1998-99 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 1998-99 fiscal year." Session Laws 1998-212, s. 30.5 contains a severability clause. Session Laws 1997-490, s. 4, provides that the changes to G.S. 105A-3(d) made by the act are effective September 10, 1997, and that the remainder of the changes made to this section by the act become effective January 1, 2000, and applicable to income tax refunds determined on or after that date. Session Laws 2014-100, s. 12I.4(c), provides: "Notwithstanding any other provision of law, (i) the registration required under G.S. 105A-3 of any agency reauthorized to utilize the collection remedy of debt setoff under this section is not affected by the repeal of the authority under Section 12.1 of S.L. 2013-382 and (ii) the priority of the agency under G.S. 105A-12 is determined based on the registration date of the agency under the initial statutory authority to utilize the collection remedy of debt setoff." Session Laws 2014-100, s. 1.1, provides: "This act shall be known as 'The Current Operations and Capital Improvements Appropriations Act of 2014.'" Session Laws 2014-100, s. 38.4, provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2014-2015 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2014-2015 fiscal year." Session Laws 2014-100, s. 38.7, is a severability clause. Effect of Amendments. - Session Laws 2010-31, s. 31.8(e), effective June 30, 2010, added "or federal identification number" in subsection (c).