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Committee hears proposal to repeal recoupment office after collections declined; DAS says wind‑down and record retention needed
Summary
Rep. Buzz Schur presented HB 611, which would repeal the state's recoupment statute and dissolve the Office of Cost Containment. Department of Administrative Services told the committee that collections have fallen sharply in recent years and that the office's continuing costs now exceed revenue; DAS asked the committee for an effective date on
House Bill 611 would repeal the statutory recoupment framework that requires people who receive appointed counsel to repay part of the court‑appointed counsel fee; it would dissolve the state's Office of Cost Containment that currently processes those collections.
Representative Buzz Schur said the law was enacted to recapture modest fees from defendants whose financial affidavits nevertheless allowed appointment of counsel, but he told the committee that collection volumes have declined significantly since changes to the statute and practice in recent years. "What originally happened," he explained, "is the judge would look at the financial affidavit to decide whether to send the case to the office of cost containment... Once judges started looking at individual cases on a case by case basis, they really, in large numbers stop sending cases to the office of cost containment. Thereby, the large reduction in the amount of money that the office of cost containment has been collecting."
Charlie Arlinghaus, Commissioner of the Department of Administrative Services, and Deputy Commissioner Cassie Keane provided information. DAS said the revenue line that once brought in roughly $2.5 million annually has fallen to about $300,000 in the most recent fiscal year. DAS told the committee it does not take a position on policy but warned that when administrative collections fall below cost, continuing the office becomes inefficient. The department asked the committee to consider an effective date upon passage and suggested language allowing DAS to wind down the office and to destroy records that are no longer necessary.
Committee members asked clarifying questions about the program’s operating costs and record retention. DAS confirmed that ongoing payments by people already on payment plans would stop once the authority is repealed; the department advised an immediate stop to routine collection to avoid confusion and litigation.
Why it matters: HB 611 would simplify administration by ending an underused statutory program; it affects a small revenue line in the general fund and shifts the cost burden of administration away from state government. It also affects people who currently owe the modest recoupment fees.
Next steps: The committee sought drafting language to allow an orderly wind‑down and to address record‑retention rules; no committee vote was taken at the hearing.
