AN ACT Relating to child support; amending RCW 26.19.050; adding new sections to chapter 26.19 RCW; repealing RCW 26.19.001, 26.19.010, 26.19.020, 26.19.030, 26.19.040, 26.19.050, and 26.19.060; providing an effective date; and declaring an emergency.

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

NEW SECTION. Sec. 1. The legislature intends, in establishing mandatory child support guidelines, to ensure that child support orders are adequate to meet a child's basic needs and to provide additional child support commensurate with the parents' income, resources, and standard of living. The child support guidelines should not be overly complicated, should provide certainty and predictability so that the parties can plan for the future, should provide for an equitable apportionment of the child support obligation between the parents, allow changes at regular intervals to reflect changes in the normal economic circumstances of the parties, and meet federal requirements for implementing child support guidelines.

The legislature finds that these goals will be best achieved by adoption and use of mandatory state-wide child support guidelines. The use of mandatory state-wide guidelines will benefit children and their parents by providing for adequate child support awards based upon specific numeric and descriptive criteria, increase compliance with the guidelines by making them more understandable, increase the equity of child support awards by providing for comparable orders on a state-wide basis in cases with similar circumstances, and encourage voluntary settlements of disputes by setting a presumptive amount of support that each parent will be obligated to pay.

NEW SECTION. Sec. 2. Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Child support guidelines" means the standards and percentage formula for establishing child support obligations as adopted by the legislature.

(2) "Standards" means the standards for determining income, allowable deductions from income, and deviations from presumptive child support awards which have been adopted by the legislature.

(3) "Percentage formula" means the percentage formula to determine the basic child support obligation amount per child and each parent's percentage obligation toward that child for the basic support obligation amount and extraordinary expenses.

(4) "Worksheets" means the forms developed by the commission or as subsequently amended by the Washington supreme court for adoption as part of the court rules.

(5) "Instructions" means the instructions developed by the commission or as subsequently amended by Washington supreme court rule for use in completing the worksheets.

(6) "Commission" means the Washington state child support commission established by RCW 26.19.030 which will expire on July 1, 1990.

(7) "Basic support obligation" means each parent's child support obligation per child based upon the percentage formula before any deviation is considered.

NEW SECTION. Sec. 3. (1) In any proceeding under this title or Title 13 or 74 RCW in which child support is an issue, child support shall be determined and ordered according to the percentage formula and standards adopted pursuant to section 5 of this act. The Washington child support guidelines shall be applied as follows:

(a) In each county of the state;

(b) In judicial and administrative proceedings;

(d) For setting temporary and permanent support; and

(e) For adjusting support orders instead of using a cost-of-living or escalation provision.

An order for child support shall be supported by written findings of fact upon which the support determination was made.

(2) Worksheets in the form developed by the commission or as subsequently amended by supreme court rule shall be completed and filed in every proceeding in which child support is determined. Variations of the worksheets shall not be accepted. The worksheets shall be completed under penalty of perjury and filed with the court.

(3) Except for the judicial discretion expressly reserved in this chapter, the parties do not have authority to agree to provisions in conflict with this chapter and any agreement or court order to the contrary shall be void as against public policy.

(4) The standards and percentage table in this chapter shall be applied uniformly throughout the state. The superior courts of the various counties do not have authority to establish alternative percentage tables.

NEW SECTION. Sec. 4. (1) All income and resources of each parent's household shall be disclosed and shall be considered by the court as provided in this section when the child support obligation of each parent is determined.

(2) The court will impute income to the parent when the parent is underemployed, voluntarily unemployed, or self-employed. The court will determine whether the person is underemployed or voluntarily unemployed based upon that parent's work history. The amount imputed will be in the discretion of the court, but in the absence of information to the contrary, a parent's income shall be based on the median income of year-round, full-time workers as derived from the United States bureau of census, current population reports for that parent's occupation if available on that basis. If occupation-specific median income reports are unavailable, the amount imputed shall be based on the overall median income. A parent will not be deemed underemployed as long as that parent is gainfully employed on a full-time basis. Income shall not be imputed for an unemployable parent.

(3) (a) Monthly gross income shall include income from any source, including salaries, wages, commissions, deferred compensation, bonuses, mandatory overtime, cash benefits pursuant to contract, dividends, interest, trust income, severance pay, annuities, capital gains, social security benefits, workers' compensation, unemployment, disability insurance benefits, spousal maintenance that is actually received, gifts, and prizes.

(b) Aid to families with dependent children, social security income, general assistance, and food stamps shall be disclosed but shall not be included in gross income or be a reason to deviate from the schedule. Child support received from other relationships shall be disclosed and considered, but shall not be included in gross income. Income of a second spouse or cohabitant shall not be included in the income determination.

(c) Allowable deductions from gross income are federal and state income taxes, federal insurance contributions act deductions (FICA), mandatory pension plan payments, and mandatory union or professional dues. Amounts that are actually determined to be spousal maintenance and that are actually paid for spousal maintenance are exempt. Amounts actually paid into voluntary pension plans up to the federal limit of tax-exempt contributions to one individual retirement account are exempt if the contributions began prior to the commencement of the dissolution and only in the amount actually paid after the dissolution. For self-employed persons, normal business expenses and self-employment taxes may be deducted. Justification shall be required for any business expense deduction about which there is disagreement. The court has discretion to exclude voluntary overtime and income from second jobs over and above full-time or full-time equivalent employment based upon a forty hour work week.

(4) (a) Tax returns for the preceding three years and current paystubs shall be provided to verify income and deductions. Other sufficient verification shall be required for income and deductions which do not appear on tax returns or paystubs.

(b) The parties may agree or the court may order which parent is entitled to claim the child or children as dependents for federal income tax exemptions.

NEW SECTION. Sec. 5. (1) (a) Both parents have a continuing obligation to support their children. The parents' obligation for support shall be based on their combined net income, resources, and special child-rearing costs. The basic support obligation shall be determined upon the combined net income of the parents up to a cap of five thousand dollars combined net income per month. Basic support will be determined by multiplying the net income of the parents by the percentage of support per child and adding the per-child support obligations together to account for all the children. The percentages per child for the basic support are as follows:

For Children Ages 0 - 11 Years:

!tp1,1 !sc ,0031 child !tl18% per child

!sc ,0032 children !tl14% per child

!sc ,0033 children !tl12% per child

!sc ,0034 children !tl10% per child

!sc ,0035 or more children !tl9% per child

(Maximum 55% of Combined Net Income)

For Children Ages 12 and Over

!tp1,1 !sc ,0031 child !tl22% per child

!sc ,0032 children !tl17% per child

!sc ,0033 children !tl14% per child

!sc ,0034 children !tl12% per child

!sc ,0035 or more children !tl11% per child

(Maximum 55% of Combined Net Income)

!ixFor children in different age categories, the calculation shall be made from each appropriate grid and added together.

(b) The total basic support obligation will be apportioned between the parents according to their respective share of the total income as follows:

Father's percentage = @beFather's Net Income@ee

!sc ,22Total Net Income

Mother's percentage = @beMother's Net Income@ee

!sc ,22Total Net Income

!ixNeither parent's basic child support obligation shall exceed fifty-five percent of net earnings.

(2) (a) The transfer payment shall be made to the parent with whom the child or children reside a majority of the time pursuant to a parenting plan or a custody decree. The transfer payment shall be for the amount of that parent's share of basic support plus day care, health care, long-distance transportation, or other extraordinary expenses as apportioned.

(b) Day care and special child-rearing expenses such as tuition and long-distance transportation costs are not included in the basic support percentage calculation for each child. These expenses shall be shared by the parents in the same proportion as the basic child support obligation and may be listed as a specific dollar amount or as a percentage amount subject to the verification requirements pursuant to section 7 of this act. The court may exercise its discretion to determine the reasonableness and necessity of extraordinary and special expenses.

(3) (a) When combined monthly net income is less than six hundred dollars, a support order not less than twenty-five dollars per month per child shall be entered for each parent.

(b) The court may deviate from the basic support calculation under the percentage table by a plus or minus ten percent for net incomes of five thousand dollars per month or less. Deviations must be based upon the needs of the children, the ability of the parents to pay, the residential schedule of the children, substantial wealth of a parent, or substantial community debts of the dissolving community which are the responsibility of one parent. Deviation from the basic support obligation based upon tax planning considerations shall be allowed in the discretion of the court, but only upon written findings of fact demonstrating that the tax planning considerations result in greater benefits for the child. Deviations must be supported by the evidence and substantiated by written findings of fact entered by the court.

(c) For combined monthly net incomes exceeding five thousand dollars per month, the court shall not set child support at a level below the amount calculated for the five thousand dollars per month income level, but the court has discretion to establish support at higher levels upon written findings of fact based upon the needs of the children, the ability of the parties to pay, the residential schedule of the children, substantial wealth of a parent, or substantial community debts of the dissolving community which are the responsibility of one parent.

(d) The five thousand dollars per month threshold for court deviation will increase by three hundred dollars per month for each calendar year commencing January 1, 1991.

(4) When there are children from other relationships, the percentage formula table shall be applied to the mother, father, and children of the relationship being considered plus natural and adopted children from other relationships of the parent obligated to make the transfer payment. Stepchildren shall not be considered for purposes of determining the appropriate percentage per child from the table.

(5) The percentage table for children ages eleven and over shall be advisory and not mandatory for children who have attained the age of eighteen and have completed their secondary education. When considering whether to order child support for children over age eighteen who have completed their secondary education and who seek postsecondary education, the court shall determine whether the child is in fact dependent and is relying upon the parents for the reasonable necessities of life. The court shall exercise its discretion when determining whether to award post-majority support based upon consideration of factors that include but are not limited to the following: Age of the child; the child's needs; the expectations of the parties for their children when the parents were together; the child's prospects, desires, aptitudes, abilities, disabilities; the nature of the postsecondary education sought; and the parents' level of education, standard of living, and current and future resources. Also to be considered is the amount and type of support that the child would have been afforded if the parents had stayed together. The court shall not order the payment of postsecondary educational expenses beyond the age of twenty-two, except for exceptional circumstances, such as mental, physical, or emotional disabilities.

(6) Direct expenditures on the child or children may not be deducted from the support transferred to the receiving parent absent prior agreement in writing between the parents or explicit provision for that expenditure in the decree.

NEW SECTION. Sec. 6. (1) A parent obligated to pay child support based upon a combined net income of at least four thousand dollars may file a motion for an accounting of how the support is being spent by the receiving parent. The parent filing the motion must meet the following conditions prior to filing the motion:

(a) The parent filing the motion must be obligated to pay at least fifty percent of the basic child support obligation for both parents;

(b) The parent must be current in all child support payments.

(2)(a) The motion for an accounting must be accompanied by an affidavit setting forth facts demonstrating that the parent receiving support is not spending a substantial portion of the child support for the direct or indirect benefit of the child. The motion, affidavit, and notice of hearing shall be served on the parent receiving support. The only issue at the preliminary hearing on the motion shall be whether there is reasonable cause to believe that the support is directly or indirectly benefiting the child.

(b) If the court determines at the preliminary hearing that the motion and affidavit establish reasonable cause to believe that a substantial portion of the support is not directly or indirectly benefiting the child the court may: (i) Set a show cause hearing on the motion and affidavit; or (ii) order the parents to mediate the issue with a court commissioner, family court commissioner, or other appropriate person. The court's order shall be in writing and shall set forth the facts which establish reasonable cause. The parent receiving support may be required to produce at the show cause hearing such documentation as the court determines is necessary to resolve the issue and which is reasonably available to the parent. The parent receiving support shall not be required to provide documentation for expenditures for more than six months prior to the time of the filing of the motion.

(c) If the court determines at the preliminary hearing that the motion and affidavit do not establish reasonable cause to believe that a substantial portion of the support is directly or indirectly benefiting the child, the court shall order the parent filing the motion and affidavit to pay costs and statutory attorneys' fees to the parent receiving the support.

The court may award reasonable attorneys' fees to the parent receiving support if the court determines that:

(i) The motion was brought in bad faith, for harassment, or frivolously; or

(ii) The motion was based on material statements of fact which were false.

(3) If at the show cause hearing on the motion and affidavit the parent obligated to pay support demonstrates by a preponderance of the evidence that a substantial portion of the support is not directly or indirectly benefiting the child, the court shall enter an appropriate order directing the parent receiving the support to spend the child support to benefit the child. The court may order the child support payments to be paid to a protective payee for the benefit of the child. The only issue at the hearing on the motion shall be whether the parent receiving support is spending support to directly or indirectly benefit the child.

(4) A motion and affidavit for an accounting of child support expenditures may not be filed more than once every twelve months.

NEW SECTION. Sec. 7. (1) (a) If a sum certain is established for day care and is set forth in the decree, the parent making the transfer payment is entitled to proof of the amount paid for day care and is responsible to reimburse the parent receiving the transfer payment for the appropriate percentage of the actual amount paid, not to exceed the proper share of the amount as set forth in the decree. If an amount is not specified in the decree, reimbursement of day care expenses shall be treated in the same manner as reimbursement for transportation costs, uninsured health care, and other extraordinary expenses.

(b) For transportation costs, uninsured health care costs, and other extraordinary expenses of the children specified in the decree, the parent paying these expenses shall be entitled to prompt reimbursement of the other parent's share of those expenses. Proof of the expenditure shall be furnished to the parent from whom reimbursement is sought. Reimbursement must be made within thirty days of receipt of proof of payment of these expenditures.

(2) (a) If reimbursement is not made within the thirty-day period or is incomplete due to a nonsufficient fund check or other failure to pay, the parent seeking reimbursement may by motion obtain an order compelling payment with statutory interest and shall be awarded actual court costs and reasonable attorneys' fees in every instance of failure to reimburse.

(b) The parent seeking reimbursement shall also be entitled to an order for a mandatory wage assignment for the amount for which proof of the expenditure is made, as part of child support. Wage assignment orders may be obtained pursuant to chapter 26.18 RCW to collect basic child support, other expenses, and attorneys' fees ordered by a court. A parent to whom child support, other expenses, and attorneys' fees are to be paid, may move the court to reduce the amount owed to a sum certain and enforce collection of that amount by a wage assignment order.

NEW SECTION. Sec. 8. (1) All child support decrees may be adjusted once every twenty-four months based upon the statutory formula and upon the income of the parents without a showing of substantially changed circumstances as provided in RCW 26.09.170. Either party may initiate the modification pursuant to procedures of RCW 26.09.175.

(2) A party may petition for modification in cases of substantially changed circumstances, under RCW 26.09.170, at any time. However, if relief is granted under RCW 26.09.170, twenty-four months must pass before a petition for modification under subsection (1) of this section may be filed.

(3) Statutory changes do not constitute a substantial change of circumstances.

(4) If a parent who is receiving a transfer payment receives a raise in income, that increase alone cannot form the basis of an increase in the transfer payment unless a modification is allowed upon a substantial change of circumstances under RCW 26.09.170.

Sec. 9. Section 6, chapter 275, Laws of 1988 and RCW 26.19.050 are each amended to read as follows:

(1) The commission shall ((~~develop and adopt~~)) assist in developing worksheets and instructions to assist the parties and courts in establishing the appropriate child support level and apportionment of support. The commission shall attempt to the greatest extent possible to make the worksheets and instructions understandable by persons who are not represented by legal counsel.

(2) The administrator for the courts((~~, in consultation with the commission,~~)) shall develop and adopt, with the assistance of the commission, standards for the printing of worksheets and shall establish a process for certifying printed worksheets. The administrator shall not alter the design approved by the commission. The administrator may maintain a register of sources for approved worksheets.

(3) Upon the expiration of the commission, the state supreme court shall amend the worksheets and instructions as appropriate and supersede the commission's worksheets and instructions by court rule.

NEW SECTION. Sec. 10. The following acts or parts of acts are each repealed:

(1) Section 1, chapter 275, Laws of 1988 and RCW 26.19.001;

(2) Section 2, chapter 275, Laws of 1988 and RCW 26.19.010;

(3) Section 3, chapter 275, Laws of 1988, section 76, chapter 175, Laws of 1989 and RCW 26.19.020;

(4) Section 1, chapter 440, Laws of 1987, section 4, chapter 275, Laws of 1988, section 41, chapter 360, Laws of 1989 and RCW 26.19.030;

(5) Section 2, chapter 440, Laws of 1987, section 5, chapter 275, Laws of 1988 and RCW 26.19.040;

(6) Section 6, chapter 275, Laws of 1988 and RCW 26.19.050; and

(7) Section 7, chapter 275, Laws of 1988 and RCW 26.19.060.

NEW SECTION. Sec. 11. (1) Section 9 of this act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately.

(2) Sections 1 through 8 and 10 through 13 of this act shall take effect July 1, 1990, and the provisions of this act shall apply to all court decrees of dissolution or legal separation or in any court order or court-approved property settlement incident to any court decree of dissolution or legal separation, entered or modified on or after July 1, 1990.

NEW SECTION. Sec. 12. This act shall not be construed as affecting any existing right acquired or liability or obligation incurred under the sections amended or repealed in this act or under any rule or order adopted under those sections, nor as affecting any proceeding instituted under those sections, if the proceeding was instituted prior to July 1, 1990.

NEW SECTION. Sec. 13. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.

NEW SECTION. Sec. 14. Sections 1 through 8 and 11 through 13 of this act are each added to chapter 26.19 RCW.