2.2-518 - Division of Debt Collection.
§ 2.2-518. Division of Debt Collection.
A. There is created in the Department of Law a Division of Debt Collectionthat shall provide all legal services and advice related to the collection offunds owed to the Commonwealth, pursuant to § 2.2-507 and the Virginia DebtCollection Act (§ 2.2-4800 et seq.).
The Attorney General may appoint and fix the salaries of such attorneys andemployees as may be necessary to carry out the functions of the Division,within the amounts appropriated to the Division, and may supplement suchfunds from appropriations made to his office for the provision of legalservices to the Commonwealth.
The Division may retain as special revenue up to 30 percent of receivablescollected on behalf of state agencies and may contract with privatecollection agents for the collection of debts amounting to less than $15,000,as provided in the appropriation act.
B. There is hereby created on the books of the Comptroller a special,nonreverting fund to be known as the Debt Collection Recovery Fund (Fund).The Division shall deposit to the Fund all revenues generated by it, less anycost of recovery, from receivables collected on behalf of state agencies,pursuant to §§ 2.2-4805 and 2.2-4806. The Division shall transfer theremaining funds to the appropriate state agencies on a periodic basis or suchother period of time approved by the Division.
C. Any direct payment received by an agency on an account that has beenreferred for collection to the Division shall be reported to the Divisionupon receipt by the agency. The agency shall cause the fees due the Divisionfor obtaining the recovery to be reported to and paid to the Division;however, no fees shall be paid to the Division on payments to the agencyresulting from the agency's participation in the Setoff Debt Collection Act,Article 21 (§ 58.1-520 et seq.) of Chapter 3 of Title 58.1. The remainingportion of the direct payment shall be retained by the agency.
(1990, c. 71, § 2.1-133.4; 2001, c. 844; 2004, c. 919; 2009, c. 797.)