BILL REQ. #:  H-3267.3 

Read first time 01/11/12.   Referred to Committee on Judiciary.

     AN ACT Relating to implementing changes to child support based on the child support schedule work group report; amending RCW 26.19.011, 26.19.020, 26.19.065, 26.19.075, 26.19.090, and 26.19.050; adding new sections to chapter 26.19 RCW; creating a new section; and providing an effective date.

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

NEW SECTION.  Sec. 1   (1) To comply with the federal requirement that all states review their child support laws every four years, the legislature has mandated that a child support work group be convened every four years to examine current laws, administrative rules, and practices regarding child support.
     (2) The 2011 child support schedule work group was convened in January and conducted a total of ten in-person meetings and numerous meetings using telephone conference calls. The work group produced a final report and recommendations in September 2011.
     (3) The work group's September 2011 final report and recommendations contain, among other things, a new economic table based on more current data, a formula for calculating adjustments to take into consideration children not before the court, and a worksheet and formula for calculating adjustments to take into consideration a residential schedule credit for the obligor.
     (4) The legislature intends to implement recommendations made by the 2011 child support schedule work group, including the use of the residential schedule credit worksheet and formulas contained in the work group's final report.

Sec. 2   RCW 26.19.011 and 2005 c 282 s 35 are each amended to read as follows:
     Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.
     (1) "Basic child support obligation" means the monthly child support obligation determined from the economic table based on the parties' combined monthly net income and the number of children for whom support is owed.
     (2) "Child support schedule" means the standards, economic table, worksheets, and instructions, as defined in this chapter.
     (3) "Court" means a superior court judge, court commissioner, and presiding and reviewing officers who administratively determine or enforce child support orders.
     (4) "Deviation" means a child support amount that differs from the standard calculation.
     (5) "Economic table" means the child support table for the basic support obligation provided in RCW 26.19.020.
     (6) "Instructions" means the instructions developed by the administrative office of the courts pursuant to RCW 26.19.050 for use in completing the worksheets.
     (7) "Standards" means the standards for determination of child support as provided in this chapter.
     (8) "Standard calculation" means the presumptive amount of child support owed as determined from the child support schedule before the court makes any adjustments or considers any reasons for deviation.
     (9) "Support transfer payment" means the amount of money the court orders one parent to pay to another parent or custodian for child support after determination of the standard calculation and deviations. If certain expenses or credits are expected to fluctuate and the order states a formula or percentage to determine the additional amount or credit on an ongoing basis, the term "support transfer payment" does not mean the additional amount or credit.
     (10) "Worksheets" means the forms developed by the administrative office of the courts pursuant to RCW 26.19.050 for use in determining the amount of child support.
     (11) "Children not before the court" means children for whom support is not being determined in the current proceeding, but who are the children of one of the parents involved in the proceeding based on a parent-child relationship consistent with RCW 26.26.101, or who are the children of one of the parents based on a court order which established the parent as a de facto parent.

Sec. 3   RCW 26.19.020 and 2009 c 84 s 1 are each amended to read as follows:

Sec. 4   RCW 26.19.065 and 2009 c 84 s 2 are each amended to read as follows:
     (1) Limit at forty-five percent of a parent's net income. Neither parent's child support obligation owed for all his or her biological or legal children may exceed forty-five percent of net income except for good cause shown.
     (a) Each child is entitled to a pro rata share of the income available for support, but the court only applies the pro rata share to the children in the case before the court.
     (b) Before determining whether to apply the forty-five percent limitation, the court must consider whether it would be unjust to apply the limitation after considering the best interests of the child and the circumstances of each parent. Such circumstances include, but are not limited to, leaving insufficient funds in the custodial parent's household to meet the basic needs of the child, comparative hardship to the affected households, assets or liabilities, and any involuntary limits on either parent's earning capacity including incarceration, disabilities, or incapacity.
     (c) Good cause includes, but is not limited to, possession of substantial wealth, children with day care expenses, special medical need, educational need, psychological need, and larger families.
     (2) Presumptive minimum support obligation. (a) When a parent's monthly net income is below one hundred twenty-five percent of the federal poverty guideline for a one-person family, a support order of not less than fifty dollars per child per month shall be entered unless the obligor parent establishes that it would be unjust to do so in that particular case. The decision whether there is a sufficient basis to deviate below the presumptive minimum payment must take into consideration the best interests of the child and the circumstances of each parent. Such circumstances can include leaving insufficient funds in the custodial parent's household to meet the basic needs of the child, comparative hardship to the affected households, assets or liabilities, and earning capacity.
     (b) The basic support obligation of the parent making the transfer payment, excluding health care, day care, and special child-rearing expenses, shall not reduce his or her net income below the self-support reserve of one hundred twenty-five percent of the federal poverty level for a one-person family, except for the presumptive minimum payment of fifty dollars per child per month or when it would be unjust to apply the self-support reserve limitation after considering the best interests of the child and the circumstances of each parent. Such circumstances include, but are not limited to, leaving insufficient funds in the custodial parent's household to meet the basic needs of the child, comparative hardship to the affected households, assets or liabilities, and earning capacity. This section shall not be construed to require monthly substantiation of income.
     (3) Income above twelve thousand dollars. The economic table is presumptive for combined monthly net incomes up to and including twelve thousand dollars. When combined monthly net income exceeds twelve thousand dollars, the court may exceed the presumptive amount of support set for combined monthly net incomes of twelve thousand dollars upon written findings of fact.

Sec. 5   RCW 26.19.075 and 2009 c 84 s 4 are each amended to read as follows:
     (1) Reasons for deviation from the standard calculation include but are not limited to the following:
     (a) Sources of income and tax planning. The court may deviate from the standard calculation after consideration of the following:
     (i) Income of a new spouse or new domestic partner if the parent who is married to the new spouse or in a partnership with a new domestic partner is asking for a deviation based on any other reason. Income of a new spouse or new domestic partner is not, by itself, a sufficient reason for deviation;
     (ii) Income of other adults in the household if the parent who is living with the other adult is asking for a deviation based on any other reason. Income of the other adults in the household is not, by itself, a sufficient reason for deviation;
     (iii) Child support actually received from other relationships;
     (iv) Gifts;
     (v) Prizes;
     (vi) Possession of wealth, including but not limited to savings, investments, real estate holdings and business interests, vehicles, boats, pensions, bank accounts, insurance plans, or other assets;
     (vii) Extraordinary income of a child;
     (viii) Tax planning considerations. A deviation for tax planning may be granted only if the child would not receive a lesser economic benefit due to the tax planning; or
     (ix) Income that has been excluded under RCW 26.19.071(4)(((h))) (i) if the person earning that income asks for a deviation for any other reason.
     (b) Nonrecurring income. The court may deviate from the standard calculation based on a finding that a particular source of income included in the calculation of the basic support obligation is not a recurring source of income. Depending on the circumstances, nonrecurring income may include overtime, contract-related benefits, bonuses, or income from second jobs. Deviations for nonrecurring income shall be based on a review of the nonrecurring income received in the previous two calendar years.
     (c) Debt and high expenses. The court may deviate from the standard calculation after consideration of the following expenses:
     (i) Extraordinary debt not voluntarily incurred;
     (ii) A significant disparity in the living costs of the parents due to conditions beyond their control;
     (iii) Special needs of disabled children;
     (iv) Special medical, educational, or psychological needs of the children; or
     (v) Costs incurred or anticipated to be incurred by the parents in compliance with court-ordered reunification efforts under chapter 13.34 RCW or under a voluntary placement agreement with an agency supervising the child.
     (((d) Residential schedule. The court may deviate from the standard calculation if the child spends a significant amount of time with the parent who is obligated to make a support transfer payment. The court may not deviate on that basis if the deviation will result in insufficient funds in the household receiving the support to meet the basic needs of the child or if the child is receiving temporary assistance for needy families. When determining the amount of the deviation, the court shall consider evidence concerning the increased expenses to a parent making support transfer payments resulting from the significant amount of time spent with that parent and shall consider the decreased expenses, if any, to the party receiving the support resulting from the significant amount of time the child spends with the parent making the support transfer payment.
     (e) Children from other relationships. The court may deviate from the standard calculation when either or both of the parents before the court have children from other relationships to whom the parent owes a duty of support.
     (i) The child support schedule shall be applied to the mother, father, and children of the family before the court to determine the presumptive amount of support.
     (ii) Children from other relationships shall not be counted in the number of children for purposes of determining the basic support obligation and the standard calculation.
     (iii) When considering a deviation from the standard calculation for children from other relationships, the court may consider only other children to whom the parent owes a duty of support. The court may consider court-ordered payments of child support for children from other relationships only to the extent that the support is actually paid.
     (iv) When the court has determined that either or both parents have children from other relationships, deviations under this section shall be based on consideration of the total circumstances of both households. All child support obligations paid, received, and owed for all children shall be disclosed and considered.))
     (2) All income and resources of the parties before the court, new spouses or new domestic partners, and other adults in the households shall be disclosed and considered as provided in this section. The presumptive amount of support shall be determined according to the child support schedule. Unless specific reasons for deviation are set forth in the written findings of fact and are supported by the evidence, the court shall order each parent to pay the amount of support determined by using the standard calculation.
     (3) The court shall enter findings that specify reasons for any deviation or any denial of a party's request for any deviation from the standard calculation made by the court. The court shall not consider reasons for deviation until the court determines the standard calculation for each parent.
     (4) When reasons exist for deviation, the court shall exercise discretion in considering the extent to which the factors would affect the support obligation.
     (5) Agreement of the parties is not by itself adequate reason for any deviations from the standard calculation.

NEW SECTION.  Sec. 6   A new section is added to chapter 26.19 RCW to read as follows:
     (1) The court shall make an adjustment to the standard calculation when the obligor has children not before the court, subject to the provisions in this section and the limitations in RCW 26.19.065. If the court adjusts the standard calculation, it shall use the whole family formula as provided in this section.
     (2) The child support schedule must first be applied to the parents and the children before the court to determine the standard amount of support.
     (3) Children not before the court must not be counted in the number of children for purposes of determining the standard calculation, but must be counted in the adjusted calculation for the obligor parent.
     (4) Stepchildren are not considered children not before the court but may be considered as a reason to deviate from either the standard or the adjusted calculation of support.
     (5) When the court has determined that either or both parents have children not before the court, adjustments under this section must be based on considerations of the total circumstances of both households including the children of either parent who do not live in the household of the parents. Both parents shall disclose, and the court shall consider, all child support obligations, paid, received, and owed for all children.
     (6) The court may not adjust the standard calculation on the basis of children not before the court if:
     (a) Adjusting the standard calculation would result in insufficient funds to meet the basic needs of the children in the receiving household and, when taking into consideration the totality of the circumstances, the application of the adjustment would be unjust;
     (b) The obligee's net income before receiving the support transfer payment is at or below one hundred twenty-five percent of the federal poverty level guidelines for the obligee's household size, including both children before the court and children not before the court; or
     (c) It is shown that the obligor parent has not actually paid the child support owed for the obligor's children not before the court who do not live with the obligor, unless there is a reasonable justification for the obligor's nonpayment. When considering whether a reasonable justification exists, the court shall consider the obligor's ability to make full payments of the child support owed for the obligor's children not before the court.
     (7) The whole family formula requires the court to:
     (a) Determine the total number of children before the court and the total number of children not before the court for the obligor parent;
     (b) Determine the monthly basic support obligation from the economic table based on the combined monthly net income of the parents before the court and the obligor's total number of children as determined in (a) of this subsection;
     (c) Multiply the monthly basic child support obligation by the obligor's proportional share of the combined monthly net income. This amount is the adjusted transfer payment owed by the obligor parent for the children before the court.
     (8) If the court does not establish the transfer payment at an adjusted calculation determined by this section, the court shall set forth specific findings for the difference in the order of child support.

NEW SECTION.  Sec. 7   A new section is added to chapter 26.19 RCW to read as follows:
     (1) The court shall make an adjustment to the standard calculation for a shared residential schedule subject to the provisions in this section.
     (2) An adjustment to the standard calculation based on the residential schedule may be made if there is a court order or findings made by an administrative law judge regarding the number of overnights the child or children spend with the obligor parent, and the number of overnights allocated to the obligor is equivalent to at least fourteen percent of annual overnights. The number of overnights in the court order or administrative law judge's findings must be used to calculate the residential adjustment. The findings made by an administrative law judge may be based upon a written agreement between the parents or upon sworn testimony provided by a party at the administrative hearing for child support.
     (3) The adjustment must be based on the table in section 8 of this act and the formula set forth in the worksheet for calculating residential credit.
     (4) An adjustment may not be made to the standard calculation based on the shared residential schedule if:
     (a) The adjustment would result in insufficient funds in the household receiving the support transfer payment to meet the basic needs of the child;
     (b) The obligee's net income before receiving the support transfer payment is at or below one hundred twenty-five percent of the federal poverty level guidelines for one person; or
     (c) The child is receiving temporary assistance for needy families.
     (5) To help parties estimate residential credit, the division of child support shall, if feasible and within available resources, create a residential credit calculator available online.

NEW SECTION.  Sec. 8   A new section is added to chapter 26.19 RCW to read as follows:
     Residential time table. The TOTAL column represents the anticipated total out-of-pocket expenses expressed as a percentage of the basic child support obligation that will be incurred by the parent who will pay child support. The total expenses are the sum of transferred and duplicated expenses. The DUPLICATED column represents the duplicated expenses and reflects the assumption that when there is an equal sharing of residential time, fifty percent of the basic child support obligation will be duplicated. The number of annual overnights column will determine the particular fractions of TOTAL and DUPLICATED to be used in the residential time credit worksheet.

Sec. 9   RCW 26.19.090 and 1991 sp.s. c 28 s 7 are each amended to read as follows:
     (1) The child support schedule shall be advisory and not mandatory for postsecondary educational support.
     (2)(a) When considering whether to order support for postsecondary educational expenses, the court shall determine whether the child is in fact dependent and is relying upon the parents for the reasonable necessities of life.
     (b) Before determining the parents' obligations for postsecondary educational support, the court shall consider all grants and scholarships awarded to the child, including work-study opportunities if an actual work-study position is available for the child, and subtract those amounts from the total cost of postsecondary educational support to determine the unmet need for postsecondary educational support.
     (3) The court shall exercise its discretion when determining whether and for how long to award postsecondary educational support based upon consideration of factors that include but are not limited to the following:
     (a) Age of the child;
     (b) The child's needs;
     (c) The expectations of the parties for their children when the parents were together;
     (d) The child's prospects, desires, aptitudes, abilities or disabilities;
     (e) The nature of the postsecondary education sought; ((and))
     (f) The parents' level of education, standard of living, and current and future resources((. Also to be considered are)); and
     (g) The amount and type of support that the child would have been afforded if the parents had stayed together.
     (((3))) (4) If one or both parents saved separately for postsecondary educational support and paid those amounts directly to the educational institution or the child, those amounts should be considered part of the parent's share of postsecondary educational support.
     (5) The child must enroll full time, as defined by the institution or as set forth in the order establishing the obligation to pay postsecondary educational support, in an accredited academic or vocational school, must be actively pursuing a course of study commensurate with the child's vocational goals, and must be in good academic standing as defined by the institution. ((The court-ordered postsecondary educational support shall be automatically suspended during the period or periods the child fails to comply with these conditions.
     (4))) (6)(a) Unless the support order provides otherwise, a parent may suspend payment of postsecondary educational support based on the child's failure to be enrolled full time, failure to actively pursue a course of study commensurate with the child's vocational goals, or failure to be in good academic standing as defined by the institution.
     (b) The obligation to pay postsecondary educational support remains suspended until the child is able to provide proof that the child is in compliance with subsection (5) of this section.
     (c) If there is a dispute between the parents or between the parent and the child regarding the child's compliance, the child or either parent may file a motion with the court to seek resolution of the dispute, unless the order establishing the obligation to pay postsecondary educational support provides otherwise.
     (7) The child shall also make available all academic records and grades to both parents as a condition of receiving postsecondary educational support. Each parent shall have full and equal access to the postsecondary education records as provided in RCW 26.09.225.
     (((5))) (8) The court shall not order the payment of postsecondary educational expenses beyond the child's twenty-third birthday, except for exceptional circumstances, such as mental, physical, or emotional disabilities.
     (((6))) (9)(a) The court shall direct that either or both parents' payments for postsecondary educational expenses be made directly to the educational institution if feasible.
     (b) If direct payments are not feasible, then the court in its discretion may order that either or both parents' payments be made directly to the child if the child does not reside with either parent.
     (c) If the child resides with one of the parents the court may direct that the parent making the postsecondary educational support transfer payments make the payments to the child or to the parent ((who has been receiving the support transfer payments)) with whom the child is residing. If the child's living situation changes, that change shall be a basis to change the terms of the postsecondary educational support transfer payment to the other parent.
     (d) If the child's living situation changes so that the child is no longer residing with either parent, both parents shall make the payments to the educational institution, if feasible, or to the child.

Sec. 10   RCW 26.19.050 and 2005 c 282 s 37 are each amended to read as follows:
     (1) The administrative office of the courts shall develop and adopt worksheets and instructions to assist the parties and courts in establishing the appropriate child support level and apportionment of support. The administrative office of the courts shall develop and adopt a worksheet for calculating residential credit that is consistent with the intent set forth in section 1 of this act. The administrative office of the courts 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 administrative office of the courts shall develop and adopt standards for the printing of worksheets and shall establish a process for certifying printed worksheets. The administrator may maintain a register of sources for approved worksheets.
     (3) The administrative office of the courts should explore methods to assist pro se parties and judges in the courtroom to calculate support payments through automated software, equipment, or personal assistance.

NEW SECTION.  Sec. 11   This act takes effect October 1, 2012.