                                 CODE OF VIRGINIA

DIVISION OF DEBT COLLECTION (§ 2.2-518)

A. There is created in the Department of Law a Division of Debt Collection that
shall provide all legal services and advice related to the collection of funds
owed to the Commonwealth, pursuant to &#xA7; 2.2-507 and the Virginia Debt
Collection Act (&#xA7; 2.2-4800 et seq.).
			The Attorney General may appoint and fix the salaries of such attorneys and
employees as may be necessary to carry out the functions of the Division, within
the amounts appropriated to the Division, and may supplement such funds from
appropriations made to his office for the provision of legal services to the
Commonwealth.
			The Division may retain as special revenue up to 30 percent of receivables
collected on behalf of state agencies and may contract with private collection
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 any cost
of recovery, from receivables collected on behalf of state agencies, pursuant to
&#xA7;&#xA7; 2.2-4805 and 2.2-4806. The Division shall transfer the remaining
funds to the appropriate state agencies on a periodic basis or such other period
of time approved by the Division.

C. Any direct payment received by an agency on an account that has been referred
for collection to the Division shall be reported to the Division upon receipt by
the agency. The agency shall cause the fees due the Division for 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 agency resulting from the agency&#8217;s
participation in the Setoff Debt Collection Act, Article 21 (&#xA7; 58.1-520 et
seq.) of Chapter 3 of Title 58.1. The remaining portion of the direct payment
shall be retained by the agency.

HISTORY: 1990, c. 71, § 2.1-133.4; 2001, c. 844; 2004, c. 919; 2009, c. 797.