The Issue Whether the Department of Revenue should retain and apply the Petitioner's lottery prize to reduce an outstanding arrearage for child support.
Findings Of Fact The Respondents, the Department of Revenue and the Department of Lottery, are agencies of the State of Florida charged with the responsibility of administering and securing lottery prize winnings to apply to child support arrearages. The Petitioner, Frank Agoglia, was one of a group who completed a claim to a lottery prize in the amount of $7,509.50. The claim was timely submitted to the Department of Lottery, and the Petitioner was eligible to receive his share of the lottery prize. Before taxes, the Petitioner's share of the winning prize was $600.00. The Department of Revenue, acting pursuant to law, notified the Department of Lottery that the Petitioner owes court ordered child support in an amount exceeding the claimed prize. As provided in Section 24.115(4), Florida Statutes, the Petitioner's entire share of the lottery prize was transmitted to the Department of Revenue. The Petitioner was timely notified of the transfer. It is the intention of the Department of Revenue to apply the Petitioner's share of the winning prize to the outstanding child support arrearage. By letter dated March 3, 2001, the Petitioner challenged the transfer of the winning share to be applied to the arrearage. The Petitioner has not disputed the paternity of the child nor the child support obligations imposed by a court of law. It is also undisputed that the amount of the arrearage exceeds the Petitioner's share of the lottery prize. The Petitioner presented no evidence to support his contention that the lottery prize winnings should not be applied to the child support arrearage.
Recommendation Based on the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that the Department of Revenue enter a final order retaining the Petitioner's lottery prize and to apply it to reduce the arrearage of child support owed by the Petitioner. DONE AND ENTERED this 23rd day of January, 2002, in Tallahassee, Leon County, Florida. ___________________________________ J. D. PARRISH Administrative Law Judge Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-3060 (850) 488-9675 SUNCOM 278-9675 Fax Filing (850) 921-6847 www.doah.state.fl.us Filed with the Clerk of the Division of Administrative Hearings this 23rd day of January, 2002. COPIES FURNISHED: Frank Agoglia 16460 Southwest 146th Court Miami, Florida 33177-1781 Chriss Walker, Esquire Department of Revenue Child Support Enforcement Post Office Box 8030 Tallahassee, Florida 32314-8030 Louisa Warren, Esquire Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301 Bruce Hoffmann, General Counsel Department of Revenue 204 Carlton Building Tallahassee, Florida 32399-0100 James Zingale, Executive Director Department of Revenue 104 Carlton Building Tallahassee, Florida 32399-0100 David Griffin, Secretary Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301 Ken Hart, General Counsel Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301
The Issue Whether Respondent Department of Revenue is entitled to intercept $1,000 in proceeds won in the Florida Lottery by Petitioner and to apply the proceeds to reduce an outstanding administrative debt owed to the Florida Department of Revenue.
Findings Of Fact Mr. James is a resident of Jacksonville who, prior to June 11, 2003, won $1,000 in one of the Department of Lottery's games of chance. The Department is an agency of the Florida government and is charged with enforcing court orders relating to child support, in addition to other duties. As a result of a Complaint to Determine Paternity filed in the Circuit Court of the Eighth Judicial Circuit in and for Baker County, Florida, a case where Mr. James was named as defendant, a Final Judgment of Paternity for Plaintiffs was entered on October 29, 1992. The Judgment, among other things, required Petitioner to pay to the State of Florida $192.00, no later than six months from the date of the Judgment. In an Order of Contempt entered in the Circuit Court of the Eighth Judicial Circuit in and for Baker County, Florida, dated October 12, 1994, nunc pro tunc to September 26, 1994, Petitioner was ordered to pay to the State of Florida $662.03 within 12 months, which included the amount of $352.00 previously ordered and unpaid. In an Order of Arrearages entered in the Circuit Court of the Eighth Judicial Circuit in and for Baker County, Florida, dated June 28, 1995, nunc pro tunc to June 6, 1995, Petitioner was ordered to pay to the State of Florida $882.09, within twelve months. This order recited that the $882.09, amount, included the amount of $772.06, previously ordered but not paid. In an Order of Contempt entered in the Circuit Court of the Eighth Judicial Circuit in and for Baker County, Florida, dated November 20, 1995, nunc pro tunc to October 25, 1995, Petitioner was again ordered to pay to the State of Florida $882.09. This order required payment no later than June 31, 1995. In an Order of Commitment for Contempt Commencement Deferred entered in the Circuit Court of the Eighth Judicial Circuit in and for Baker County, Florida, dated October 19, 1998, Petitioner was ordered to pay the sum of $300.00 to the State of Florida within 180 days of the order. In an Order of Commitment for Contempt Commencement Deferred entered in the Circuit Court of the Eighth Judicial Circuit in and for Baker County, Florida, dated December 7, 1998, Petitioner was ordered to pay the sum of $110.03 to the State of Florida within 180 days of the order. In a Money Judgment entered in the Circuit Court of the Eighth Judicial Circuit in and for Baker County, Florida, dated December 7, 1998, Petitioner was ordered to pay the sum of $130.03 to the State of Florida within 180 days of the order. The documentary evidence, which was elucidated by the testimony of Ms. Ash, indicates that Petitioner is currently in debt to the State of Florida in the amount of $1422.15, and that amount has not been paid. The debt was in connection with Petitioner's failure to pay sums incurred as part of the effort to collect child support from Petitioner. Petitioner was notified that his debt was $1,307.14. Both the sum he was advised was due and owing, and the sum found by the evidence in this Recommended Order, are greater than the $1,000 won by Petitioner. It is appropriate that the proceeds of. Mr. James' good luck inure to the benefit of the State of Florida.
Recommendation Based on the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that the Department retain the $1,000.00 won by Mr. James. DONE AND ENTERED this 24th day of November, 2003, in Tallahassee, Leon County, Florida. S HARRY L. HOOPER Administrative Law Judge Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-3060 (850) 488-9675 SUNCOM 278-9675 Fax Filing (850) 921-6847 www.doah.state.fl.us Filed with the Clerk of the Division of Administrative Hearings this 24th day of November, 2003. COPIES FURNISHED: Joseph James 4121 Clyde Drive Jacksonville, Florida 32208 Chriss Walker, Esquire Department of Revenue Child Support Enforcement Post Office Box 8030 Tallahassee, Florida 32314-8030 Bruce Hoffmann, General Counsel Department of Revenue 204 Carlton Building Tallahassee, Florida 32399-0100 James Zingale, Executive Director Department of Revenue 104 Carlton Building Tallahassee, Florida 32399-0100 David Griffin, Secretary Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301 Ken Hart, General Counsel Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301
The Issue Whether Leroy Smith and/or Alice Longwood are entitled to the $5,000.00 prize for a winning lottery ticket presented by Leroy Smith to the Lottery for collection?
Findings Of Fact On March 7, 1988, Mr. Smith completed a Lottery Winner Claim Form (hereinafter referred to as the "Form") and submitted the Form and a Cool Million instant-winning lottery ticket (hereinafter referred to as the "Ticket"), number 02-114569-303, good for a prize of $5,000.00 for collection. On the back of the Ticket Mr. Smith listed his name and address on the spaces provided for the person claiming the prize and signed the Ticket. The space on the back of the Ticket where the first name of the person claiming the prize was to be listed had been covered with a "white-out" material and "Leroy" written in. At the bottom of the Form Mr. Smith indicates that this was done to replace his first name for a nickname that had previously been entered on the ticket. Mr. Smith also listed his name, Social Security Number, address and phone number on the Form. Mr. Smith signed the Form as the "Claimant." In a letter dated March 8, 1988, DHRS notified the Lottery that Mr. Smith owed $7,478.20 in Title IV-D child support arrearages and $150.00 in court-ordered costs, a total of $7,628.20, as of March 8, 1988. By letter dated March 18, 1988, Mr. Smith was notified that the $5,000.00 prize for the Ticket he submitted was being transferred to the Comptroller for possible payment of his Title IV-D child support arrearages and court costs. The $5,000.00 prize was forwarded from the Lottery to the Comptroller on March 22, 1988. Mr. Smith was notified by the Comptroller by letter dated March 23, 1988, that the Comptroller intended to apply the $5,000.00 prize toward his unpaid obligation. Mr. Smith requested a hearing to contest the proposed action of the Comptroller. The Title IV-D child support arrearages and court costs owed by Mr. Smith are related to two child support cases involving Mr. Smith. First, on December 1, 1981, Mr. Smith was ordered to pay child support to Deidah Brown in an Order of Dependency and Support issued by the Circuit Court, Seventh Judicial Circuit, in and for Flagler County, Florida. On November 6, 1984, Mr. Smith was ordered to pay child support to Patti Victoria Smith by the same court. Mr. Smith's total obligation as of the date of the formal hearing was $7,348.20: $3,578.20 in public assistance arrearage, $3,620.00 in non-public assistance arrearage and $150.00 in court-ordered costs.
Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law, It is RECOMMENDED that a final order be Issued providing for payment of the $5,000.00 prize attributable to the Ticket to DHRS. DONE and ENTERED this 22nd day of November, 1988, in Tallahassee, Florida. LARRY J. SARTIN Hearing Officer Division of Administrative Hearings The Oakland Building 2009 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 22nd day of November, 1988. APPENDIX TO RECOMMENDED ORDER, CASE NO. 88-1743 The Petitioners have submitted proposed findings of fact. It has been noted below which proposed findings of fact have been generally accepted and the paragraph number(s) in the Recommended Order where they have been accepted, if any. Those proposed findings of fact which have been rejected and the reason for their rejection have also been noted. The Petitioners' Proposed Findings of Fact Proposed Finding Paragraph number in Recommended Order of Fact Number of Acceptance or Reason for Rejection 1-2 1. 3 1-4. 4 5. 5 6. 6 7-8. 7 10. 8 Statement of law COPIES FURNISHED: Jo Ann Levin Senior Attorney Office of the Comptroller The Capitol, Suite 1302 Tallahassee, Florida 32399-0350 Leroy Smith Post Office Box 1465 Bunnell, Florida 32010 Patrick Loebig, Esquire Department of Health and Rehabilitative Services 1317 Winewood Boulevard Tallahassee, Florida 32399-0700 Louisa Hargrett, Esquire Department of the Lottery 250 Marriott Drive Tallahassee, Florida 32301 Alice Longwood Post Office Box 1753 Bunnell, Florida 32010 Rebecca Paul, Secretary Department of the Lottery 250 Marriott Drive Tallahassee, Florida 32301 Tom Bell, General Counsel Department of the Lottery 250 Marriott Drive Tallahassee, Florida 32301
The Issue Whether the Department of Revenue is entitled to retain and apply Petitioner's $1,000.00 lottery prize and apply it so as to reduce an outstanding arrearage for child support.
Findings Of Fact A Final Judgment for Dissolution of Marriage was entered on December 8, 1997. It required Petitioner, as the non-custodial parent, to pay child support in the amount of $250.00 per month. That Order specified that the first child support payment would be retroactive to October 2, 1997. Petitioner did not make each bi-weekly child support payment as they became due, beginning October 2, 1997. There were extenuating circumstances, but the circuit court's child support requirement was not modified, and as a result of Petitioner's failure to make the court-ordered bi- weekly child support payments, DOR initiated an enforcement action against Petitioner. DOR's first enforcement action against Petitioner resulted in the entry of a November 5, 1999, "Order Enforcing Child Support-Order Discharging Writ of Attachment-Report of the Child Support Hearing Officer." The enforcement order was based upon Domestic Relations Depository Records as of November 3, 1999. The enforcement order established an arrearage in the amount of $5,227.66 owed by Petitioner. It specified that Petitioner must pay this amount at the rate of $115.00 in current child support bi-weekly payments, plus $5.00 per week towards the arrearage. Petitioner established that she has, in fact, paid varying amounts towards her arrearage; however, all but one of the amounts she demonstrated she had paid were paid prior to the November 5, 1999, Order that established her arrearage at $5,227.66. The sole exception is that Petitioner submitted Exhibit P-10, a pay stub for the period ending May 24, 2003, showing her earnings and deductions, and that pay stub indicates that she paid child support, apparently via garnishment, in the amount of $240.00. Unfortunately, for Petitioner, there is no way to determine from this exhibit how the $240.00 related to current or past due child support as of that date. So, at most, it would have reduced her $5,227.66 debt by only $240.00. On September 16, 2003, a Child Support Hearing Officer again reviewed Petitioner's payment history and determined that her arrearage had grown to $6,575.09, through the payment due date of September 16, 2003. An Order was entered which allowed Petitioner's current support obligation to remain at $115.00 bi- weekly, but which increased from $5.00 to $10.00 bi-weekly the amount she will now be required to pay towards reducing the $6,575.09 arrearage. In an Order dated September 19, 2003, the circuit court established the arrearage owed by Petitioner to be $6,575.09, set Petitioner's payback requirements as had the Hearing Officer, and directed the Domestic Relations Depository to amend its records accordingly. Petitioner did not produce a Motion to Vacate either of the September 2003, Orders establishing her arrearages. Petitioner also did not produce any Notice of Appeal. Therefore, the presumption is that the Order entered by the circuit court judge on September 19, 2003, is now binding on all parties.
Recommendation Based on the foregoing Findings of Facts and Conclusions of Law, it is RECOMMENDED that the Department of Revenue enter a Final Order wherein it retains Petitioner's $1,000.00 lottery prize and applies it to reduce the accrued arrearage of $6,575.09 established in the September 19, 2003 Circuit Court Order. DONE AND ENTERED this 1st day of December, 2003, in Tallahassee, Leon County, Florida. S ELLA JANE P. DAVIS Administrative Law Judge Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-3060 (850) 488-9675 SUNCOM 278-9675 Fax Filing (850) 921-6847 www.doah.state.fl.us Filed with the Clerk of the Division of Administrative Hearings this 1st day of December 2003. COPIES FURNISHED: Lisa J. Hinson, f/k/a Lisa J. Sylvester 2216 Northwest 11th Street Jacksonville, Florida 32209 Chriss Walker, Esquire Department of Revenue Child Support Enforcement Post Office Box 8030 Tallahassee, Florida 32314-8030 Louisa Warren, Esquire Department of the Lottery 250 Marriott Drive Tallahassee, Florida 32301 James Zingale, Executive Director Department of Revenue 104 Carlton Building Tallahassee, Florida 32399-0100 Bruce Hoffmann, General Counsel Department of Revenue 204 Carlton Building Tallahassee, Florida 32399-0100
The Issue The issue in this case concerns the application of Section 24.115(4), Florida Statutes, to a claim for payment of a $5,000.00 lottery prize where the winning lottery ticket was purchased by two individuals, one of whom has a substantial court-ordered child support arrearage, one of whom does not, and the prize claim form is submitted by the individual who owes child support. The Petitioners contend that only half of the prize should be subject to the outstanding child support debt. The Respondents contend that the entire prize should be subject to the outstanding child support debt. Shortly after the filing of the request for hearing in this case, the Office of the Comptroller filed a Motion To Join Indispensable Parties, by means of which it sought to join the Department of the Lottery and the Department of Health and Rehabilitative Services as parties to this case. Both of the last mentioned agencies agreed to being joined as parties and neither Petitioner objected to the joinder. Accordingly, the Department of the Lottery and the Department of Health and Rehabilitative Services were joined as parties respondent. At the hearing both Petitioners testified and also offered exhibits. The Respondents presented the testimony of several witnesses and also offered several exhibits. At the conclusion of the hearing, the parties were allowed ten days within which to submit proposed recommended orders. All parties filed post-hearing submissions containing proposed findings of fact. All proposed findings of fact are specifically addressed in the appendix to this recommended order.
Findings Of Fact Based on the testimony of the witnesses and the exhibits received in evidence at the hearing, I make the following findings of fact. Shortly after the Florida Department of the Lottery began selling lottery tickets, the two Petitioners, Lawrence R. Lindbom and Donald Johnston, began the regular practice of buying lottery tickets together. They agreed that they would make equal contributions to the cost of the lottery tickets and that they would share equally in the proceeds of any lottery prizes resulting from their co-purchased lottery tickets. On January 26, 1988, consistent with the foregoing agreement, Petitioner Lindbom purchased four instant game lottery tickets. Petitioner Johnston had contributed funds to pay half of the cost of the four tickets. Lindbom retained two of the tickets and gave the other two tickets to Johnston. At Johnston's place of employment, Lindbom scratched the two lottery tickets he had retained. One of the two was a $5,000.00 winning ticket. At the suggestion of some third party, Lindbom wrote his name on the winning ticket. He then showed the ticket to Johnston, and the other people present congratulated the two of them on their good fortune. The two Petitioners agreed that Lindbom would submit the ticket for payment in both of their names. On January 27, 1988, Lindbom traveled to the Jacksonville District Office of the Department of the Lottery, where he inquired about filling out a claim form in two names. He also inquired as to whether any money would be deducted from the prize. Upon being advised that only one name could be placed on the claim form and that no money would be deducted from the prize, Petitioner Lindbom called Petitioner Johnston to advise him of what he had been told at the Jacksonville District Office. Johnston told Lindbom to go ahead and file the claim in Lindbom's name and they would split the prize when it was received. Thereupon, Petitioner Lindbom filled out a Florida Lottery Winner Claim Form. The information he placed on the claim form included information about the lottery ticket and Lindbom's name, address, telephone number, and social security number. At the bottom of the claim form, Lindbom signed a printed statement reading as follows, in pertinent part. "Under penalty of law, I swear that to the best of my knowledge and belief, the name, address, and social security number correctly identify me as the recipient of this payment." The claim form and winning ticket were submitted to the Tallahassee office of the Department of the Lottery for validation and payment in accordance with that Department's procedures. The Department of the Lottery provided the Department of Health and Rehabilitative Services a list of $5,000.00 winners which contained the name of Lawrence Lindbom. DHRS determined from its records that there was an arrearage in child support payments by Lawrence Lindbom in the amount of $12,014.65. On February 1, 1988, DHRS certified the child support arrearage to the Department of the Lottery in accordance with Section 24.115(4), Florida Statutes (1987). On February 5, 1988, the Department of the Lottery forwarded the entire $5,000.00 claimed by Lindbom to the Office of the Comptroller of the State of Florida. On February 8, 1988, the Office of the Comptroller notified Lindbom by certified mail of its intention to apply the entire $5,000.00 prize toward Lindbom's unpaid court-ordered child support, with the result that no payment would be made to Lindbom. Following receipt of the letter from the Office of the Comptroller, Lindbom and Johnston jointly wrote a letter to the Comptroller protesting the proposed disposition of the prize and requesting a hearing. At all times material to this case, the Department of the Lottery had in effect Rule No. 53ER87-43, F.A.C., titled "Procedure for awarding prizes." That rule reads as follows, in pertinent part: (6) Until such time as a name is imprinted or placed upon the back portion of the lottery ticket in the designated area a lottery ticket shall be owned by the physical possessor of such ticket. When a name is placed on the rear of the ticket in the designated place, the person whose name appears in that area shall be the owner of the ticket and shall be entitled to any prize attributable thereto.
Recommendation For all of the foregoing reasons, it is recommended that the Office of the Comptroller issue a final order in this case providing for payment to the Department of Health and Rehabilitative Services of the entire $5,000.00 prize originally claimed by Petitioner Lindbom. DONE AND ENTERED this 9th day of June, 1988, at Tallahassee, Florida. MICHAEL M. PARRISH, Hearing Officer Division of Administrative Hearings The Oakland Building 2009 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 9th day of June, 1988. APPENDIX TO RECOMMENDED ORDER, CASE NO. 88-1176 The following are my specific rulings on all proposed findings of fact submitted by all parties. Findings proposed by the Petitioners The Petitioners' proposal consisted of a letter in which they assert three specific reasons that entitle them to the relief sought. The factual aspects of those three reasons are addressed below. The legal aspects have been addressed in the conclusions of law. Reason 1. Accepted as finding of fact. Reason 2. Rejected as subordinate and unnecessary details. Reason 3. Rejected as constituting argument rather than facts. Findings proposed by the Respondents The Respondents filed a joint proposed recommended order. The paragraph references which follow are to the paragraphs of the Findings of Fact section of the Respondents' proposed recommended order. Paragraphs 1 and 2) Accepted in substance, with the exception of the implication that the Petitioners were not co- purchasers of the lottery tickets. Paragraph 3: First sentence accepted. Second sentence rejected as inconsistent with the evidence. Paragraphs 4, 5, 6, and 7: Accepted. Paragraph 8: Omitted as unnecessary procedural details covered by introduction. Paragraph 9: Accepted. Paragraph 10: Accepted in substance. First unnumbered paragraph following Paragraph 10: Rejected as constituting subordinate and unnecessary details. Second unnumbered paragraph following Paragraph 10: Accepted. Third unnumbered paragraph following Paragraph 10: Rejected as irrelevant. Fourth unnumbered paragraph following Paragraph 10: Rejected as irrelevant or subordinate and unnecessary details. Fifth unnumbered paragraph following Paragraph 10: First sentence accepted. The reminder is rejected as argument rather than proposed findings of fact. COPIES FURNISHED: Mr. Lawrence R. Lindbom 3542 Tiara Way, West Jacksonville, Florida 32217 Mr. Donald Johnston 12888 Beaubien Road Jacksonville, Florida 32225 Jo Ann Levin, Esquire Senior Attorney Office of the Comptroller The Capitol, Suite 1302 Tallahassee, Florida 32399 Chriss Walker, Esquire Department of Health and Rehabilitative Services 1317 Winewood Blvd. Tallahassee, Florida 32399-0700 Thomas A. Bell, Esquire Department of Lottery 250 Marriott Drive Tallahassee, Florida 32301 The Honorable Gerald Lewis Comptroller The Capitol Tallahassee, Florida 32399-0350
Findings Of Fact Everett Stapleton held a winning ticket from the December 9, 1989, Florida Lotto drawing, and claimed his prize of $4,312.50 on December 12, 1989. The Office of the Comptroller searched the records of state agencies to determine whether Mr. Stapleton was indebted to the state, or owed child support which was being collected through a court. It determined that Mr. Stapleton owed $5,896 in child support, and therefore withheld paying the prize. By an Amended Final Judgment Dissolving Marriage dated November 29, 1983, Mr. Stapleton had been required to make child support payments of $50 per week through the Clerk of the Circuit Court in Dade County. During the hearing, the parties had conflicting payment records from the Clerk of the Circuit Court. After a recess, during which Mr. Stapleton and representatives of the Department of Health and Rehabilitative Services consulted, they came to an agreement, which they announced when the hearing reconvened. The parties agreed that as of Friday, April 20, 1990, Mr. Stapleton owed $6,796 in back child support, under the Amended Final Judgment Dissolving Marriage dated November 29, 1983.
Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that a Final Order be entered by the Office of the Comptroller requiring the payment of the $4,312.50 to the Department of Health and Rehabilitative Services, to be applied to reduce Mr. Stapleton's current obligation for past due child support. DONE and ENTERED this 26th day of April, 1990, at Tallahassee, Florida. WILLIAM R. DORSEY, JR. Hearing Officer Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 30th day of April, 1990. COPIES FURNISHED: Chriss Walker, Esquire Department of Health and Rehabilitative Services 1317 Winewood Boulevard Tallahassee, Florida 32399-0700 Louisa Warren, Esquire Department of the Lottery 205 Marriott Drive Tallahassee, Florida 32301 Jo Ann Levin, Esquire Office of the Comptroller Suite 1302, The Capitol Tallahassee, Florida 32399-0350 Everett Stapleton 17600 Northwest 27 Court Miami, Florida 33056 Honorable Gerald Lewis, Comptroller Department of Banking & Finance The Capitol Tallahassee, Florida 32399-0350 William G. Reeves, General Counsel Department of Banking & Finance The Capitol Plaza Level, Room 1302 Tallahassee, Florida 32399-0350
The Issue Whether the State of Florida, through its agencies, collected the money owed it by the Petitioner prior to receipt of a letter from her doctor certifying her disability.
Findings Of Fact On or about June 21, 1990, the Petitioner, Therese L. Hodge, applied for a student loan to pursue educational courses at Career City College in Gainesville, Florida. The loan applied for was a Stafford Loan, a student loan administered by the Department of Education (DOE) through the Office of Student Financial Assistance (OSFA). Under the Stafford Loan program, DOE through OSFA, serves as the guarantee agent performing its responsibilities in accordance with regulations promulgated by the United States Department of Education (USDOE). The essential elements and operation of the loan program are that a participating bank or financial institution agrees to make a loan to a student on the condition that the DOE will issue a written guarantee that it will repay the loan to the lender if the student defaults on the loan. When DOE repays a defaulted loan to the lender, DOE acquires the promissory note and the right to collect from the student. DOE is required by USDOE to pursue collection in order to receive reimbursement from USDOE of the amount paid to the lender. On or about July 7, 1990, OSFA issued its guarantee of a student loan to the Petitioner, and Florida Federal loaned her $1,213.00. While enrolled in her first term at college, the Petitioner suffered a stroke. The Petitioner was observed at the hearing and it was apparent that she had some moderate limitations on her ability to communicate, comprehend, and remember. Petitioner lives on Social Security disability income. Her brother- in-law, who had accompanied her to the hearing, assisted in presentation of Petitioner's case without objection from the Respondents. After the Petitioner defaulted on her student loan, the Petitioner won $5,000 in a Florida lottery game. The Petitioner made demand for payment of the prize money. The Department of Lottery checks winnings of more than $600 to determine if the winner owes any money to the State. In the course of its comparison, the Department of Lottery determined that the Petitioner owed the State money on the defaulted student loan. The Department of Lottery confirmed the indebtedness with the Department of Education, and it was determined that the Petitioner owed $1,231.98 including interest on the defaulted student loan. On January 9, 1993, the Department of Lottery forwarded the $5,000 to the Office of the Comptroller, and notified the Petitioner of her right to request a formal hearing to controvert the Department's collection of the indebtedness. On January 12, 1993, the Petitioner called the Department of Lottery and advised the Department that she was disabled. The Department forwarded to the Petitioner medical forms on January 20, 1993. Subsequently, the Petitioner's physician certified to the state that she was totally and permanently disabled. Documents introduced at hearing show that the Petitioner advised the lending bank on June 17, 1991 that she was disabled due to a stroke and unable to work. The bank sent the Petitioner medical forms in order for her to have her disability certified. The Petitioner did not return the forms due to her financial inability to obtain the required physical. After the Department of Education had repaid the student loan and had turned the matter over to a collection agency, the Petitioner advised the collection agency that she was disabled and the collection agency sent her medical certification forms which she did not have completed due to her financial inability. After she had won the lottery, the Petitioner had the medical certification forms which were forwarded to her by the Department of Education completed by a physician and these were returned to the State after the end of January, 1993 certifying that the Petitioner was totally and permanently disabled.
Recommendation Based on the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that the Office of the Comptroller return to the Petitioner the amount $1,231.98. DONE AND ENTERED this 16th day of June, 1993, in Tallahassee, Florida. STEPHEN F. DEAN Hearing Officer Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 16th day of June, 1993. APPENDIX TO RECOMMENDED ORDER CASE NO. 93-1218 The Petitioner's sister wrote a letter in the Petitioner's behalf which was read and considered, and is treated as a final argument. The Department of Education filed a proposed order which was read and considered. The following proposed findings were adopted, or rejected for the reason stated: Respondent's (DOE) Proposed Findings: Recommended Order: Paragraph 1-6 Adopted Paragraph 7 Irrelevant Paragraph 8 Adopted Paragraph 9 The Department was on notice of the Petitioner's disability. Total and permanent disability is a medical determination based upon medical certification. The lender was on notice of Petitioner's disability on June 17, 1991. The purpose of the bank sending Petitioner the medical forms was to confirm the medical determination. Paragraph 10-15 Adopted COPIES FURNISHED: Therese L. Hodge and 5855 West Wood Lawn Street Post Office Box 36 Dunnellon, FL 34433 Ocklawaha, FL 32179 Charles S. Ruberg, Esquire Department of Education 325 West Gaines Street Tallahassee, FL 32399-0400 Louisa Warren, Esquire Department of Lottery 250 Marriott Drive Tallahassee, FL 32301 Leslie A. Meek, Esquire Office of the Comptroller The Capitol, Room 1302 Tallahassee, FL 32399-0350 Gerald Lewis, Comptroller Department of Banking and Finance Tha Capitol Tallahassee, FL 32399-0350
Findings Of Fact On August 11, 1992, Petitioner submitted a claim to the Lottery based on a Play-4 ticket he held for the Lotto drawing of August 9, 1992. The ticket reflected that Petitioner was eligible for a prize of $2,500.00. On August 11, 1992, DHRS certified to the Lottery that Petitioner owed $2,187.24 in Title IV-D child support arrearage. By letter dated August 27, 1992, the Lottery notified Petitioner that DHRS had advised it of the outstanding debt and that, pursuant to Section 24.115(4), Florida Statutes, it had transmitted the prize amount to DBF. Petitioner was further advised that DBF would notify him shortly regarding the distribution of the funds. By letter dated September 4, 1992, DBF notified Petitioner that it was in receipt of his prize from the Lottery and that it intended to apply $2,187.24 of the award toward the unpaid claim for child support. Enclosed with the letter was State of Florida warrant number 0453833 in the amount of $312.76 payable to Petitioner. This warrant was payment of part of the Petitioner's lottery prize and represented the difference between the amount of the prize and the amount of child support that DHRS had certified as being due. In a letter received by DBF on September 28, 1992, Petitioner disputed that any obligation was outstanding and requested a formal hearing. The evidence presented by Respondents established that as of August 9, 1992, the date of Petitioner's lottery winnings, Petitioner owed child support in the amount of $2,187.24. These child support payments were being collected through the Clerk of the Circuit Court, in and for Dade County, Florida, pursuant to a Final Judgment of Paternity entered by Dade Circuit Judge Seymour Gelber on September 30, 1986, in Dade Circuit Court Case No. 86-23681.
Recommendation Based upon the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that the Department of Banking and Finance transfer to the Department of Health and Rehabilitative Services the sum of $2,187.24 in satisfaction of Petitioner's debt for child support as of August 9, 1992. DONE and ENTERED this 17th day of December, 1992, at Tallahassee, Florida. CLAUDE B. ARRINGTON Hearing Officer Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399-1550 (904) 488-9675 Filed with the Clerk of the Division of Administrative Hearings this 17th day of December, 1992. COPIES FURNISHED: Nathaniel Williams 9028 S.W. 97th Avenue, Apt. 3 Miami, Florida 33176-1966 Scott C. Wright Assistant General Counsel Office of the Comptroller The Capitol, Suite 1302 Tallahassee, Florida 32399-0350 Honorable Gerald Lewis Comptroller, State of Florida Department of Banking and Finance The Capitol, Plaza Level Tallahassee, Florida 32399-0350 William G. Reeves, General Counsel Department of Banking and Finance Room 1302, The Capitol Tallahassee, Florida 32399-0350 Chriss Walker, Esquire Department of Health and Rehabilitative Services 1317 Winewood Boulevard Tallahassee, Florida 32399-0700 Robert L. Powell, Agency Clerk Department of Health and Rehabilitative Services 1323 Winewood Boulevard Tallahassee, Florida 32399-0700 John Slye, General Counsel Department of Health and Rehabilitative Services 1323 Winewood Boulevard Tallahassee, Florida 32399-0700 Louisa Warren, Esquire Department of Lottery 250 Marriot Drive Tallahassee, Florida 32399-4000 Dr. Marcia Mann, Secretary Department of Lottery 250 Marriot Drive Tallahassee, Florida 32301 Ken Hart, General Counsel Department of Lottery Knight Building, Suite 309 Koger Executive Center 2737 Centerview Drive Tallahassee, Florida 32399-0950
