## Facts

- A 1988 dissolution decree awarded the mother custody of the parties’ minor child and ordered the father to pay $300 per month in child support.
- At dissolution, the father earned about $16,400 annually as a construction worker; the mother earned about $14,500 annually as a clerical worker.
- In April 1994, the father won a Colorado lottery annuity valued at $2 million and received a first $50,000 installment.
- After the lottery win, the father quit his job and claimed to be self-employed.
- The mother moved to modify child support based on a substantial change in circumstances and also sought unreimbursed medical expenses and attorney fees.
- A magistrate ordered the father to pay $1,452 in unreimbursed medical expenses at a hearing the father and counsel did not attend.
- At a later hearing with both parties present, the magistrate found the father voluntarily unemployed, imputed his prior employment income, treated the lottery proceeds as gross income, increased support to $781 per month, and awarded the mother $1,300 in attorney fees.
- The district court affirmed; the father appealed.

## Issues

1. Whether the father’s lottery winnings and related financial changes constituted a substantial and continuing change in circumstances justifying a child support modification under Colorado law.
2. Whether the father was voluntarily unemployed and, if so, whether the magistrate properly imputed his prior employment income.
3. Whether lottery annuity payments are “gross income” for purposes of calculating child support under Colorado’s guidelines.
4. Whether the award of attorney fees to the mother was an abuse of discretion, and whether fees could be considered for the appeal.
5. Whether the appellate court had jurisdiction to review the unreimbursed medical expense order.

## Decision

- The court dismissed the appeal in part for lack of an appealable order as to the unreimbursed medical expense ruling.
- The court affirmed the child support modification increasing the father’s obligation to $781 per month.
- The court affirmed the finding of voluntary unemployment and the imputation of the father’s prior wage income.
- The court affirmed inclusion of the father’s lottery annuity payments in gross income for guideline calculations.
- The court affirmed the $1,300 award of attorney fees to the mother.
- The court remanded for further proceedings, including consideration of the mother’s request for attorney fees incurred on appeal.

## Legal Principles

- A child support order may be modified upon a substantial and continuing change in circumstances, including changes producing at least a guideline-based threshold change in the support amount under Colorado’s statutory scheme.
- “Gross income” for child support purposes is broadly construed and includes recurring lottery annuity payments.
- A parent who voluntarily leaves employment without good cause may be treated as voluntarily unemployed, permitting imputation of prior earnings based on demonstrated earning capacity.
- Imputed employment income may be included along with unearned income when calculating child support under the guidelines.
- Attorney fees in post-dissolution proceedings may be awarded based on the parties’ relative financial resources; disparity following a significant increase in one party’s resources supports a fee award.
- Appellate review requires an appealable order; portions of post-decree rulings may be dismissed when not properly before the appellate court.

## Conclusion

The court held that the father’s lottery annuity payments were includable as gross income, supported an upward guideline modification of child support, and—because the father voluntarily left employment—allowed imputation of his prior wages; it dismissed the medical-expense appeal portion, affirmed the fee award, and remanded to consider appellate attorney fees.


In re Marriage of McCord, 910 P.2d 85 (Colo. App. 1995)