An Act To Update the Setoffs against Lottery Winnings
Maine Legislature, Session 130, LD 1883
Committee: Veterans and Legal Affairs
Sponsors: CAIAZZO
Amends: 14 MRSA §3141-A, 19-A MRSA §2360, 26 MRSA §1051, 36 MRSA §185

Legislative Document
No. 1883
H.P. 1393
House of Representatives, January 5, 2022
An Act To Update the Setoffs against Lottery Winnings
Submitted by the Department of Administrative and Financial Services pursuant to Joint 
Rule 203.
Reference to the Committee on Veterans and Legal Affairs suggested and ordered printed.
ROBERT B. HUNT
Clerk
Presented by Representative CAIAZZO of Scarborough.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  14 MRSA §3141-A, as enacted by PL 2019, c. 304, §2, is amended to read:
§3141-A.  Setoff of fines against lottery winnings
The State Court Administrator appointed pursuant to Title 4, section 15 shall 
periodically notify provide the Department of Administrative and Financial Services, 
Bureau of Alcoholic Beverages and Lottery Operations, referred to in this subsection as 
"the bureau," access to an electronic database of all persons who owe a monetary fine, 
surcharge or assessment imposed by a court to the State under this Title.  Prior to paying 
any lottery winnings that must be paid directly by the bureau, the bureau shall determine 
whether the lottery winner is on the list of persons who owe owes a monetary fine, 
surcharge or assessment imposed by a court to the State under this Title.  If the winner is 
on the list of persons who determined to owe a monetary fine, surcharge or assessment 
imposed by a court, the bureau shall suspend payment of the winnings and provide notice 
to the winner of its intention to set off the winnings against the monetary fine, surcharge or 
assessment owed.  The bureau shall provide the winnings due to the winner to the State 
Court Administrator in payment of any monetary fine, surcharge or assessment owed by 
the winner under this Title.  The bureau shall release any remaining winnings in accordance 
with state law.
Sec. 2.  19-A MRSA §2360, as enacted by PL 1995, c. 694, Pt. B, §2 and affected 
by Pt. E, §2, is amended to read:
§2360.  Setoff of debts against lottery winnings
1.  Notice to Bureau of Alcoholic Beverages and Lottery Operations.  The 
department shall periodically notify provide the Department of Administrative and 
Financial Services, Bureau of Alcoholic Beverages and Lottery Operations, referred to in 
this section as the "bureau," access to an electronic database of all persons who owe the 
department a child support debt that has been liquidated by judicial or administrative action.  
Prior to paying any state lottery winnings that must be paid directly by the bureau, the 
bureau shall determine whether the lottery winner is on the list of persons who owe owes 
a child support debt to the State that has been liquidated by judicial or administrative action.  
If the winner is on a list of persons who determined to owe child support debts, the bureau 
shall suspend payment of winnings and notify the winner of its intention to offset the 
winner's child support debt against the winnings.  The bureau shall release any remaining 
winnings to the winner. The bureau shall notify the winner of the winner's right to request 
a hearing before the department within 15 days of the winner's receipt of that notice.  The 
hearing is limited to the questions of whether the debt is liquidated and whether post-
liquidation events have affected the winner's liability.  The decision of the department as 
to the existence of a liquidated debt constitutes final agency action.  If, within 90 days of 
the notice of intended setoff to the winner, the department certifies to the bureau that the 
winner did not make a timely request for hearing or that a hearing was held and the debt 
was upheld, the bureau shall offset the liquidated debt against the winnings due to the 
winner.  Any remaining winnings are paid to the winner.  If the bureau does not hear from 
the department within 90 days of the notice of intended setoff to the winner, the bureau 
shall release all winnings to the winner.
2.  Notice to Tri-state Lotto Commission.  The department shall periodically notify 
the Tri-state Lotto Commission of all persons who owe the department a child support debt 
that has been liquidated by judicial or administrative action.
Sec. 3.  26 MRSA §1051, sub-§8, ¶A, as enacted by PL 1997, c. 434, §2, is 
amended to read:
A.  The commissioner shall periodically notify provide the Department of 
Administrative and Financial Services, Bureau of Alcoholic Beverages and Lottery 
Operations, referred to in this paragraph as the "bureau," access to an electronic 
database of all persons who owe the Department of Labor an unemployment 
compensation debt that has been liquidated by judicial or administrative action.  Before 
paying any state lottery winnings that must be paid directly by the bureau, the bureau 
shall determine whether the lottery winner is on the list of persons who owe owes to 
the State an unemployment compensation debt that has been liquidated by judicial or 
administrative action.  If the winner is on a list of persons who determined to owe 
unemployment compensation debts, the bureau shall suspend payment of winnings and 
notify the winner of its intention to offset the winner's unemployment compensation 
debt against the winnings. The bureau shall release any remaining winnings to the 
winner. The bureau shall notify the winner of the winner's right to appeal to the 
Commissioner of Labor pursuant to Title 5, chapter 375.  The winner must appeal in 
writing within 15 days of receipt of that notice.  The hearing is limited to the questions 
of whether the debt is liquidated and whether postliquidation events have affected the 
winner's liability.  The decision of the Department of Labor as to the existence of a 
liquidated debt constitutes final agency action.  If, within 90 days of the notice of 
intended setoff to the winner, the Department of Labor certifies to the bureau that the 
winner did not make a timely request for hearing or that a hearing was held and the 
debt was upheld, the bureau shall offset the liquidated debt against the winnings due to 
the winner.  Any remaining winnings are paid to the winner.  If the bureau does not 
hear from the Department of Labor within 90 days of the notice of intended setoff to 
the winner, the bureau shall release all winnings to the winner.
Sec. 4.  36 MRSA §185, sub-§3, as enacted by PL 2007, c. 539, Pt. M, §1, is 
amended to read:
3.  Setoff of lottery winnings against debts.  The State Tax Assessor shall periodically 
notify provide the Department of Administrative and Financial Services, Bureau of 
Alcoholic Beverages and Lottery Operations, referred to in this subsection as "the bureau," 
access to an electronic database of all persons who have a liquidated tax liability to the 
State under this Title. Prior to paying any lottery winnings that must be paid directly by the 
bureau, the bureau shall determine whether the lottery winner is on the list of persons who 
have has a liquidated tax liability to the State under this Title. If the winner is on the list of 
persons who have determined to have a liquidated tax liability to the State under this Title, 
the bureau shall suspend payment of the winnings and provide notice to the winner of its 
intention to set off the winnings against the tax debt. The bureau may assign the winnings 
due to the winner to the State Tax Assessor in payment of any liquidated tax liability of the 
winner under this Title. Any remaining winnings must be paid to the winner by the bureau.
SUMMARY
This bill amends the laws governing the Department of Administrative and Financial 
Services, Bureau of Alcoholic Beverages and Lottery Operations' process for determining 
setoffs against lottery winnings for back child support, outstanding court fees, 
unemployment compensation debt and unpaid taxes to reflect current procedure.