HOUSE BILL 985

47th legislature - STATE OF NEW MEXICO - first session, 2005

INTRODUCED BY

Eric A. Youngberg

AN ACT

RELATING TO THE TAXATION AND REVENUE DEPARTMENT; EMPOWERING THE TAXATION AND REVENUE DEPARTMENT TO CONTRACT CERTAIN DEBT COLLECTION SERVICES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     Section 1. A new section of the Taxation and Revenue Department Act is enacted to read:

     "[NEW MATERIAL] COLLECTION OF DELINQUENT OBLIGATIONS THROUGH ATTORNEYS.--The department, by competitive bid, may select one or more attorneys or collection agencies to collect or assist in the collection of an obligation due to the state or a political subdivision of the state pursuant to a tax or law administered by the department; provided that the obligation is at least one hundred twenty days past due. The compensation for an attorney or collection agency performing a contract pursuant to this section shall be equal to thirty percent of the obligation collected and shall be paid to the attorney or collection agency for the collection services performed. Notwithstanding any contract for collection of an obligation entered into pursuant to this section, the department retains authority to settle an obligation or to accept payments on an obligation."

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