House Bill 180 Summary

• Establishes the "Local Government Debt Collection Setoff Act" to allow counties and municipalities to collect debts by offsetting them against debtors' Mississippi income tax refunds through the Department of Revenue.

• Requires local governments to submit debts through the Mississippi Association of Supervisors or Mississippi Municipal League, with debts and refunds each meeting a $50 minimum threshold.

• Mandates written notice to debtors explaining the debt claim and allowing 30 days to request a hearing before the local government; appeals proceed to circuit court under standard administrative review standards.

• Imposes a 25% collection assistance fee on all debts collected, with the Department of Revenue retaining 5% for administrative costs and the member organization receiving 20% for collection services.

• Amends Section 27-7-83 to permit the Department of Revenue to disclose tax return information to claimant local governments seeking debt collection through setoff procedures, with strict confidentiality requirements and penalties for unauthorized disclosure.