ORS § 293.231

Current through 2024 Regular Session legislation effective June 6, 2024
Section 293.231 - Collection of liquidated and delinquent accounts by Department of Revenue or private collection agency; rules; fee added to debt
(1) Except as provided in subsections (4) to (7) of this section, a state agency, unless otherwise prohibited by law, shall offer for assignment every liquidated and delinquent account to the Department of Revenue as provided in ORS 293.250 not later than:
(a) Ninety days from the date the account was liquidated if no payment has been received on the account within the 90-day period; or
(b) Ninety days from the date of receipt of the most recent payment on the account.
(2) Nothing in subsection (1) of this section prohibits a state agency from offering for assignment a liquidated and delinquent account to the Department of Revenue at any time within the 90-day period.
(3)
(a) If a state agency assigns a liquidated and delinquent account to the Department of Revenue as provided in ORS 293.250, the department has six months from the date of assignment to collect a payment. If the department does not collect a payment within that six-month period or if six months have elapsed since the date of receipt of the most recent payment on the account, the department shall immediately offer for assignment the debt to a private collection agency and notify the state agency of the assignment.
(b) Nothing in this subsection prohibits the department from offering for assignment the debt to a private collection agency at any time within the six-month period.
(4) The provisions of subsection (1) of this section do not apply to a liquidated and delinquent account that is prohibited by state or federal law or regulation from assignment or collection.
(5) The Oregon Department of Administrative Services may adopt rules exempting specified kinds of liquidated and delinquent accounts from the time periods established in subsections (1), (2), (3) and (6) of this section.
(6)
(a) Notwithstanding subsection (1) of this section, liquidated and delinquent accounts that originate in the Department of Revenue shall be offered for assignment by the department to a private collection agency not later than one year from the date of the most recent payment on the account.
(b) Nothing in this subsection prohibits the Department of Revenue from offering for assignment a liquidated and delinquent account that originates in the department to a private collection agency at any time within the one-year period.
(c) The Oregon Department of Administrative Services shall adopt rules exempting liquidated and delinquent accounts that originate in the Employment Department from the time periods established in subsections (1), (2) and (3) of this section.
(7) Notwithstanding subsections (1) and (6) of this section, a state agency or the Department of Revenue may, at its discretion, choose not to offer for assignment to the Department of Revenue or a private collection agency a liquidated and delinquent account that:
(a) Is secured by a consensual security interest in real or personal property;
(b) Is a court-ordered judgment that includes restitution or a payment to the Department of Justice Crime Victim and Survivor Services Division;
(c) Is in litigation, including bankruptcy, arbitration and mediation;
(d) Is a student loan owed by a student who is attending school;
(e) Is owed to a state agency by a local or state government or by the federal government;
(f) Is owed by a debtor who is hospitalized in a state hospital as defined in ORS 162.135, who receives public assistance as defined in ORS 411.010 or who receives medical assistance as defined in ORS 414.025;
(g) Is owed by a debtor who is imprisoned;
(h) Is less than $100, including penalties;
(i) Would result in loss of federal funding if assigned;
(j) Is owed by an estate and the state agency has notice that the estate has closed; or
(k) Is eligible for suspension of collection as provided in ORS 305.155.
(8) Nothing in this section prohibits a state agency from collecting a setoff against any refunds or sums due to the debtor from the state agency after a liquidated and delinquent account is assigned to a private collection agency.
(9) For the purposes of this section, the Department of Revenue is considered to have offered for assignment to a private collection agency an account if:
(a) The terms of the offer are of a type generally acceptable within the collections industry for the type of account offered for assignment; and
(b) The offer is made to a private collection agency that engages in collecting on accounts of the type sought to be assigned or is made generally available to private collection agencies through a bid or request for proposal process.
(10)
(a) A state agency that assigns a liquidated and delinquent account to the Department of Revenue may add a fee to be paid by the debtor to the amount of the liquidated and delinquent account. The fee may include amounts attributable to collections conducted by private collection agencies as provided in subsection (3) of this section.
(b) A fee may not be added under this subsection unless the state agency has provided notice to the debtor:
(A) Of the existence of the debt;
(B) That the debt may be assigned to the Department of Revenue for collection; and
(C) Of the amount of the fee that may be added to the debt under this subsection.
(11) For any liquidated and delinquent account that the Department of Revenue assigns to a private collection agency under subsection (6) of this section, the department may add a fee to the amount of the liquidated and delinquent account as provided in ORS 697.105. A fee may not be added under this subsection unless the department has provided notice to the debtor:
(a) Of the existence of the debt;
(b) That the debt may be assigned to a private collection agency for collection; and
(c) Of the amount of the fee that may be added to the debt under this subsection.
(12) Except as provided by federal law, a state agency or the Department of Revenue may not add a fee under subsection (10) or (11) of this section that exceeds the collection fee of the private collection agency or the department.
(13)
(a) A private collection agency that collects an account under this section shall be held to the same standard of confidentiality, service and courtesy imposed on the Department of Revenue.
(b) The department shall set forth in writing the standards described in paragraph (a) of this subsection and shall transmit the writing to a private collection agency before assigning an account to the agency under this section.
(14)
(a) A state agency may recall an account assigned to the Department of Revenue if the account is deemed uncollectible under ORS 293.240 or settled by compromise under ORS 293.240, or if the account may not be collected under state or federal law or is eligible for cancellation under state or federal law.
(b) If an account recalled under this subsection was assigned to a private collection agency, the department shall cancel and recall the account from the private collection agency.

ORS 293.231

Amended by 2023 Ch. 201,§ 1, eff. 1/1/2024.
Amended by 2017 Ch. 746, § 15, eff. 8/16/2017, op. 7/1/2018.
Amended by 2015 Ch. 766, § 3, eff. 7/27/2015, op. 1/1/2016.
Amended by 2015 Ch. 319, § 1, eff. 7/1/2015.
Amended by 2013 Ch. 688, § 27, eff. 7/29/2013, op. 1/1/2014.
1999 c.1092 §3; 2001 c.218 §1; 2001 c.233 §1; 2003 c. 66, § 3; 2003 c. 805, § 1

See note under 293.227.