MI HB5437

Requires the lottery bureau to check Department of Treasury and unemployment insurance agency records before paying lottery prizes of $1,000 or more to identify any liabilities owed by the winner to the state.

Establishes a priority order for applying lottery prize money: first to state liabilities (excluding court-assigned delinquent accounts), then support arrearages, then unemployment compensation debts, then court-assigned delinquent accounts, with any remainder paid to the winner.

Requires the Department of Treasury to provide the lottery bureau with monthly-updated lists of persons with current state liabilities, delinquent court accounts, or support arrearages.

Grants lottery winners the right to notice and a hearing before the Department of Treasury within 15 days if a liability has not been reduced to judgment or finalized, except for unemployment compensation debts.

Requires support arrearage payments to be sent through the Department of Treasury to the appropriate friend of the court or state disbursement unit using the same procedures as income withholding orders.