SENATOR Austria

To amend sections 1319.16, 2335.19, and 2335.24 and

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to enact section 2335.241 of the Revised Code

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relative to the terms of a contract entered into

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by a clerk of a court with a public agency or

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private vendor for the collections of amounts due

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under judgments for costs, to the use of certain

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interest for computerization of the clerk's

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office, and to allowing a collection agency to

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collect from the holder any charge imposed by a

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financial institution on a negotiable instrument

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that has been returned or dishonored.

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BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1. That sections 1319.16, 2335.19, and 2335.24 be	12
amended and section 2335.241 of the Revised Code be enacted to	13
read as follows:	14

Sec. 1319.16.  (A) If a collection agency has been	15
designated to collect on a check, negotiable order of withdrawal,	16
share draft, or other negotiable instrument that has been returned	17
or dishonored for any reason, the collection agency may charge and	18
receive check collection charges of not more than thirty dollars	19
or ten per cent of the face amount of the instrument, whichever is	20
greater, and may charge and receive any charge imposed by a	21
financial institution upon the holder of the check, negotiable	22
order of withdrawal, share draft, or other negotiable instrument	23
that has been returned or dishonored for any reason.	24

(B) A collection agency that imposes a check collection	25
charge pursuant to division (A) of this section shall send written	26
notice by regular mail to the debtor at the debtor's last known	27
address or at the address shown on the check or other instrument.	28
The notice shall provide the amount of the check collection charge	29
that has been imposed, and shall state that the debtor is	30
responsible for paying the check collection charge as well as the	31
value of the check or other instrument.	32

Sec. 2335.19.  (A) On the rendition of judgment in any cause	33
in any court, the costs of the party recovering, together with the	34
party's debt or damages, shall be carried into the party's	35
judgment, and the costs of the party against whom that judgment is	36
rendered shall be separately stated in the record or docket entry.	37
No party in whose favor judgment for costs is rendered in a cause	38
may release, satisfy, or discharge, in whole or in part, any of	39
those costs, unless that party previously has paid those costs to	40
the clerk of the court or unless those costs have been paid to the	41
person entitled to those costs or have been legally assigned or	42
transferred to that party by the persons in whose names those	43
costs stand taxed upon the record or docket.	44

(B) An entry of judgment that includes a grant of judgment	45
for costs is an order that authorizes the clerk of the court, in	46
accordance with division (C) of this section, to issue a	47
certificate of judgment for all costs, including the total cost of	48
collection of and any interest due on the judgment for costs,	49
including any interest due on the judgment for costs, any cost	50
incurred by the clerk in collecting the judgment for costs, and	51
any fee a public agency or private vendor charges the clerk	52
pursuant to a contract entered into under division (B)(1) of	53
section 2335.24 of the Revised Code for collecting the judgment	54
for costs against the person who is liable for the payment of	55
those costs.	56

(C) The clerk of a court who wishes to issue a certificate	57
of judgment for costs pursuant to a judgment for costs shall	58
provide an itemized bill of fees and costs, including the total	59
cost of collection of and any interest due on the judgment for	60
costs, to the person who is liable for costs under the judgment,	61
either upon the request of the person as specified in section	62
2335.32 of the Revised Code or without a request. If the person	63
does not pay the fees and costs within thirty days after the clerk	64
provides the itemized bill, the clerk shall send the person a	65
first notice requesting payment of the fees and costs as stated in	66
the itemized bill. If the person does not respond to the first	67
notice with the full payment of the fees and costs within thirty	68
days, the clerk shall send the person a second notice requesting	69
payment of the fees and costs. If ninety days elapse from the	70
date that the clerk provides the itemized bill and if the person	71
has not paid the full amount of the fees and costs pursuant to the	72
itemized bill and the notices, the clerk may issue a certificate	73
of judgment for costs against the person for the fees and costs.	74
After issuing a certificate of judgment for costs, the clerk may	75
assess the interest accrued from the date the clerk sends the	76
first notice requesting payment of the fees and costs as stated in	77
the itemized bill to the date of collection of the judgment at the	78
rate established in section 1343.03 of the Revised Code.	79

Sec. 2335.24.  (A) In all causes in any court, except as	80
otherwise provided in section 2969.23 of the Revised Code, costs	81
taxed and entered as provided by sections 2335.18 to 2335.23 of	82
the Revised Code may be collected by the process provided by those	83
sections.	84

(B)(1) The clerk of a court may enter into contracts with	85
one or more public agencies or private vendors for the collection	86
of amounts due under judgments for costs. The contracts shall	87
comply with division (B)(2) of this section. The amounts may	88
include any interest that also is due on a judgment for costs.	89
Before entering into or renewing a contract of that nature, the	90
clerk of a court shall do all of the following:	91

(a) Comply with the provisions of sections 307.86 to 307.92	92
of the Revised Code that pertain to required competitive bidding.	93
For purposes of complying with those sections, the clerk of the	94
court shall be considered the contracting authority.	95

(b) Obtain the approval of the terms of the contract by the	96
legislative authority associated with the court.	97

(2) A contract entered into or renewed by the clerk of a	98
court pursuant to division (B)(1) of this section shall include	99
all of the following terms:	100

(a) A requirement that the contracting public agency or	101
private vendor must disburse the full amount collected by the	102
agency or vendor that is due under the judgment for costs,	103
including any interest that is also due on that judgment, to the	104
contracting clerk of a court for disbursement to the appropriate	105
entity as designated by the Revised Code;	106

(b) A provision that prohibits the contracting public agency	107
or private vendor from deducting any fees or expenses that the	108
agency or vendor incurs in the collection of the judgment from the	109
amount collected that is due under the judgment including	110
interest.	111

(3) As used in division (B) of this section, "legislative	112
authority" has the same meaning as in division (B) of section	113
1901.03 of the Revised Code, if the clerk of the court involved is	114
the clerk of a municipal court, and means a board of county	115
commissioners, if the clerk of the court involved is the clerk of	116
a county court or a court of common pleas.	117

Sec. 2335.241. In order to provide funds to support the	118
effective use of computerization within the office of the clerk of	119
the court of common pleas, upon the request of the clerk of the	120
court of common pleas, the board of county commissioners, by a	121
resolution adopted on an annual basis prior to the thirty-first	122
day of January in any year, may authorize the clerk of court to	123
deposit in a fund for that purpose all or a portion of the	124
interest that is due on certificates of judgment issued by that	125
clerk pursuant to division (C) of section 2335.19 of the Revised	126
Code and that the clerk receives during that calendar year. The	127
clerk of the court shall pay to the county treasurer the interest	128
authorized by the resolution of the board of county commissioners	129
to be used for computerization within the office of the clerk. The	130
treasurer shall deposit the money from this interest into any fund	131
previously established under division (B)(1) of section 2303.021	132
of the Revised Code if a fund has been established for funds	133
collected under that division. If a fund has not been established	134
under that division, the treasurer shall deposit the money from	135
this interest into a separate fund to be distributed after	136
appropriation by the board of county commissioners in an amount no	137
greater than the actual cost of a computerization project	138
recommended by the clerk of the court of common pleas and approved	139
by the board of county commissioners. The board of county	140
commissioners, with the consent of the clerk of the court of	141
common pleas, may determine at any time that the separate fund	142
established is no longer necessary and may terminate that fund.	143
Notwithstanding sections 5705.14 to 5705.16 of the Revised Code,	144
if that fund is terminated, the treasurer shall transfer any	145
moneys that remain in the fund to the general fund of the county.	146

Section 2. That existing sections 1319.16, 2335.19, and	147
2335.24 of the Revised Code are hereby repealed.	148