Interimreport1 January–31 March2024 Elo Mutual Pension Insurance Company
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How To Collect Child Support
1. How to Collect Child SupportHow to Collect Child Support
Getting the System to WorkGetting the System to Work
2. 20 Million Children Owed over $9220 Million Children Owed over $92
Billion in Unpaid Child SupportBillion in Unpaid Child Support
Learn Your Legal RightsLearn Your Legal Rights
Build a Support Group to Advocate forBuild a Support Group to Advocate for
Children Entitled to SupportChildren Entitled to Support
Justice for Children!Justice for Children!
3. More Families Than Ever BeforeMore Families Than Ever Before
Need Child Support Payments DueNeed Child Support Payments Due
to Welfare Reform Time Limits andto Welfare Reform Time Limits and
the Recessionthe Recession
Title IV-D of the Social Security Act Created a Child
Support Agency in Every State
IV-D Agencies are required to establish orders andIV-D Agencies are required to establish orders and
paternity, enforce and modify orders, locate absentpaternity, enforce and modify orders, locate absent
parents, and establish and enforce medical supportparents, and establish and enforce medical support
Finding the Title IV-D agencyFinding the Title IV-D agency
Each state must have laws that mirror federal lawsEach state must have laws that mirror federal laws
and regulations to receive federal fundingand regulations to receive federal funding
4. Laws that Govern the ChildLaws that Govern the Child
Support SystemSupport System
Federal laws are part of the United States CodeFederal laws are part of the United States Code
(U.S.C.) Title 42. Laws are further explained in the(U.S.C.) Title 42. Laws are further explained in the
Codified Federal Regulations, 45CFR sec. 300-399Codified Federal Regulations, 45CFR sec. 300-399
State laws and regulations can add to, but notState laws and regulations can add to, but not
subtract from federal lawssubtract from federal laws
Common law and court rules applyCommon law and court rules apply
Get copies of laws and regulations at a law library orGet copies of laws and regulations at a law library or
www.findlaw.comwww.findlaw.com
Contact state IV-D, get on list to receive proposedContact state IV-D, get on list to receive proposed
regulation changesregulation changes
Send written comments, testify at public hearingsSend written comments, testify at public hearings
5. Funding for Child SupportFunding for Child Support
Federal government funding based on state expenses
and performance
Federal funding is 66% reimbursementsFederal funding is 66% reimbursements
Incentive payments are based on performanceIncentive payments are based on performance
State and/or Counties provide 34% reimbursementState and/or Counties provide 34% reimbursement
Performance areas:Performance areas:
order and paternity establishmentorder and paternity establishment
collection ratecollection rate
amount of collectionamount of collection
6. Opening a CaseOpening a Case
Walk in or mail within 5 days, 45 CFR SectionWalk in or mail within 5 days, 45 CFR Section
303.2303.2
Open case within 20 days, 45 CFR SectionOpen case within 20 days, 45 CFR Section
303.3303.3
Services included: locate, establish paternity,Services included: locate, establish paternity,
establish order, enforcement of order, modifyestablish order, enforcement of order, modify
order, medical support, distribute payments,order, medical support, distribute payments,
42 U.S.C 666(a)42 U.S.C 666(a)
7. What if They Fail to ProvideWhat if They Fail to Provide
Required Services?Required Services?
Organize people to file grievances, 45Organize people to file grievances, 45
CFR Section 303.35CFR Section 303.35
Meet with agency officialsMeet with agency officials
Organize an actionOrganize an action
8. File GrievancesFile Grievances
1996 Personal Responsibilities and Work1996 Personal Responsibilities and Work
Opportunist Act requires each state to have aOpportunist Act requires each state to have a
grievance process for IV-D cases (state fairgrievance process for IV-D cases (state fair
hearings)hearings)
Find out about your stateFind out about your state’s process by’s process by
contacting the State IV-D Officecontacting the State IV-D Office
Distribute information about how to file aDistribute information about how to file a
grievancegrievance
Set up a system to monitor grievance filesSet up a system to monitor grievance files
and resultsand results
9. Meet with Agency Officials andMeet with Agency Officials and
Demand ChangeDemand Change
Set up an appointment with officialsSet up an appointment with officials
list problems and solutions your chapterlist problems and solutions your chapter
wantswants
Ask them to implement the solutionsAsk them to implement the solutions
YES: Great- Give them deadline to completeYES: Great- Give them deadline to complete
NO: Remind them of federal and state laws theyNO: Remind them of federal and state laws they
are required to follow, give them a deadline toare required to follow, give them a deadline to
change their mindchange their mind
MAYBE: Give them a deadlineMAYBE: Give them a deadline
Follow up with meeting laterFollow up with meeting later
10. Organize an ActionOrganize an Action
Make a group decision about what kind of actionMake a group decision about what kind of action
Keep it simple, short in length, and well plannedKeep it simple, short in length, and well planned
Get people to commit to:Get people to commit to:
attendattend
bring signsbring signs
bring kidsbring kids
bring peoplebring people
Rules for success: people, people, peopleRules for success: people, people, people
Magnify your power: send out a news releaseMagnify your power: send out a news release
If you will have a small turn out, make it look like itIf you will have a small turn out, make it look like it’s’s
planned that way-- send a delegation to do a silentplanned that way-- send a delegation to do a silent
protestprotest
11. Establishing Child Support OrdersEstablishing Child Support Orders
Divorce, Separation, Dissolution, Paternity
Initial Orders: Legal Notice (Service of Process)Initial Orders: Legal Notice (Service of Process)
State IV-D must make diligent efforts to serve legalState IV-D must make diligent efforts to serve legal
notice, 45 CFR section 303.3(a)(1)notice, 45 CFR section 303.3(a)(1)
Serve summons in person or by registered mailServe summons in person or by registered mail
Be creative: Federal Express, Pizza DeliveryBe creative: Federal Express, Pizza Delivery
IV-D required to provide you with a copy of the orderIV-D required to provide you with a copy of the order
within 14 days, 42 U.S.C. 654(12)within 14 days, 42 U.S.C. 654(12)
Advocate for a special unit to serve summons, act onAdvocate for a special unit to serve summons, act on
warrants at local Sheriff Department. Sheriff can alsowarrants at local Sheriff Department. Sheriff can also
sign contract with State and receive federal funding.sign contract with State and receive federal funding.
45CFR section 303.10745CFR section 303.107
12. Child Support GuidelinesChild Support Guidelines
Federal law requires each state to have guidelines, 45
CFR Section 302.56
Percentage guidelines based on net or grossPercentage guidelines based on net or gross
percentage of non-custodial parentpercentage of non-custodial parent’s income’s income
Income Shares or Combined Parental Income basedIncome Shares or Combined Parental Income based
on income of both parents and cost of raising childrenon income of both parents and cost of raising children
Advocate for percentage guidelines, fairer to low-Advocate for percentage guidelines, fairer to low-
income parentsincome parents
13. Establishing PaternityEstablishing Paternity
25% of all children are born to never married parents
IV-D required to send summons to alleged father toIV-D required to send summons to alleged father to
take genetic test 42 U.S.C 666(c)(1)(a)take genetic test 42 U.S.C 666(c)(1)(a)
Required to establish paternity viaRequired to establish paternity via
administrative/expedited process, 42 U.S.C. 666(c)(1)administrative/expedited process, 42 U.S.C. 666(c)(1)
Required to have In-Hospital Paternity System, 45 CFRRequired to have In-Hospital Paternity System, 45 CFR
Section 304.20Section 304.20
Required to take to court if no shows at IV-D, 45 CFRRequired to take to court if no shows at IV-D, 45 CFR
Section 302.31Section 302.31
Important to test all possible fathersImportant to test all possible fathers
Obtain default order if no shows at court, 45 CFRObtain default order if no shows at court, 45 CFR
Section 303.5(f)Section 303.5(f)
Advocate for paternity and order establishment at theAdvocate for paternity and order establishment at the
same timesame time
14. Location of ParentLocation of Parent’s Income and Assets’s Income and Assets
First step to establish fair orders
and to effectively enforce orders
New Hire Reporting System to identify location,New Hire Reporting System to identify location,
employer, assetsemployer, assets
Employer sends new employee W-4 to state to matchEmployer sends new employee W-4 to state to match
with state child support records, within 20 days 42with state child support records, within 20 days 42
U.S.C. 653(b)(2)U.S.C. 653(b)(2)
State sends orders and new hire reports to FederalState sends orders and new hire reports to Federal
New Hire and Order Registry to match for interstateNew Hire and Order Registry to match for interstate
casescases
State must do an annual Federal Parent Locator andState must do an annual Federal Parent Locator and
a quarterly State Parent Locator, begin 20 days aftera quarterly State Parent Locator, begin 20 days after
missing, report results within 75 days , 45 CFRmissing, report results within 75 days , 45 CFR
section 303(b)(3)section 303(b)(3)
15. Location of ParentLocation of Parent’s Income and Assets’s Income and Assets
Continued
No idea where parent or income is:No idea where parent or income is:
use Federal Parent Locator, IRS, Socialuse Federal Parent Locator, IRS, Social
Security, Federal Employees, DepartmentSecurity, Federal Employees, Department
of Labor, VA, Department of Defense, 45of Labor, VA, Department of Defense, 45
CFR section 303.3CFR section 303.3
Know which state?Know which state?
Use State Parent Locator, State Taxes,Use State Parent Locator, State Taxes,
Unemployment, WorkerUnemployment, Worker’s Comp., Voter’s Comp., Voter
Registration, DMV, Welfare Records,Registration, DMV, Welfare Records,
CorrectionsCorrections
16. Location of ParentLocation of Parent’s Income and Assets’s Income and Assets
Continued
IRS Full Disclosure: find IRAIRS Full Disclosure: find IRA’s, rental income, interstate’s, rental income, interstate
income 45 CFR section 303.3income 45 CFR section 303.3
Credit check: find bank account and assets 15 U.S.C. 1673Credit check: find bank account and assets 15 U.S.C. 1673
State IV-D should use administrative subpoena, 42 U.S.C.State IV-D should use administrative subpoena, 42 U.S.C.
666(c)(1)(b)666(c)(1)(b)
Very important to make sure this Is done beforeVery important to make sure this Is done before
administrative or court hearingsadministrative or court hearings
Advocate for IV-D to routinely do this rather than subpoenaAdvocate for IV-D to routinely do this rather than subpoena
parent to provide proof of income and assetsparent to provide proof of income and assets
Ask to be appointed to your state Child Support GuidelineAsk to be appointed to your state Child Support Guideline
committee or find out how to impact this committee from thecommittee or find out how to impact this committee from the
outsideoutside
17. Administrative Hearings, Paternity,Administrative Hearings, Paternity,
Orders, ModificationsOrders, Modifications
You have the right to appeal to the court
State required to use administrative or expeditedState required to use administrative or expedited
processes U.S.C 666 (c) (1)processes U.S.C 666 (c) (1)
Present your sidePresent your side
Ask for instruction about how to appeal time framesAsk for instruction about how to appeal time frames
Ask about when the order became effectiveAsk about when the order became effective
Advocate for effective default process for establishingAdvocate for effective default process for establishing
paternity, 45 CFR section 303.5(f) and establishingpaternity, 45 CFR section 303.5(f) and establishing
an order amount the same day as paternityan order amount the same day as paternity
18. Court HearingsCourt Hearings
You have the right to appeal a referee, master or
magistrate’s order to the judge. You have the right to
appeal the judge’s decision to the Appeals Court.
Parts of a Court HearingParts of a Court Hearing
Opening statements: both sides: do yourself, IV-DOpening statements: both sides: do yourself, IV-D
attorney, or your private attorneyattorney, or your private attorney
Plaintiff presents their case (person who filed forPlaintiff presents their case (person who filed for
the hearing)the hearing)
Defendant presents their caseDefendant presents their case
Each side has a chance to rebut each otherEach side has a chance to rebut each other
Closing Arguments (You have a right to speak upClosing Arguments (You have a right to speak up
at this point, if there is anything that still needs toat this point, if there is anything that still needs to
be saidbe said
19. Court HearingsCourt Hearings
Continued
Does IV-D represent you? Maybe yes, maybe no,Does IV-D represent you? Maybe yes, maybe no,
they might be action only in the best interest of thethey might be action only in the best interest of the
state -- this gives you the right to participate andstate -- this gives you the right to participate and
speak upspeak up
Ask how to appealAsk how to appeal
Organize court monitorsOrganize court monitors
DonDon’t let your life be decided in the hallway, demand’t let your life be decided in the hallway, demand
your day in courtyour day in court
20. So You Have an Order, Now What?So You Have an Order, Now What?
Administrative or Judicial -Civil or Criminal Enforcement
Administrative: easy, quick and works best -- use moreAdministrative: easy, quick and works best -- use more
than onethan one
Income Withholding: New Hire Reporting or SPLS to findIncome Withholding: New Hire Reporting or SPLS to find
employeremployer
In same state or out of stateIn same state or out of state
15 days to notify employer, 45 CFR section 303.100(b)15 days to notify employer, 45 CFR section 303.100(b)
(2)(2)
Employer withholds net pay, then has 7 days to send inEmployer withholds net pay, then has 7 days to send in
payments, 45 CFR section (c)(1)(ix)payments, 45 CFR section (c)(1)(ix)
Collects current and payments of back support, no newCollects current and payments of back support, no new
court hearing, U.S.C. 666(a)(1)court hearing, U.S.C. 666(a)(1)
Advocate for IV-D to promptly act on all New HireAdvocate for IV-D to promptly act on all New Hire
Reports in same state and from out of stateReports in same state and from out of state
21. Other Administrative EnforcementOther Administrative Enforcement
TechniquesTechniques
State computer must do data matches with other
computers to find assets. 42 U.S.C. 666(g)
Bank account attachmentBank account attachment
Retirement, WorkerRetirement, Worker’s Compensation, Unemployment’s Compensation, Unemployment
AttachmentAttachment
DriverDriver’s Licenses, professional license’s Licenses, professional license
suspension/revocation-judicial in some states 42suspension/revocation-judicial in some states 42
U.S.C. 666(a)(16)U.S.C. 666(a)(16)
Attach judgments, settlements, lump sum paymentsAttach judgments, settlements, lump sum payments
42 U.S.C.42 U.S.C.
Lottery winnings 42 U.S.C. 666(1)(g)Lottery winnings 42 U.S.C. 666(1)(g)
Advocate for actions whichAdvocate for actions which “grab” the assets and“grab” the assets and
require non-payor to justify why it should be releasedrequire non-payor to justify why it should be released
22. Judicial EnforcementJudicial Enforcement
Civil Motions to show cause if in contempt=JudicalCivil Motions to show cause if in contempt=Judical
discretiondiscretion
Use for under the table earner when you have noUse for under the table earner when you have no
proof of incomeproof of income
Use to obtain work order 42 U.S.C. 666(a)(15)Use to obtain work order 42 U.S.C. 666(a)(15)
use for those who only pay when brought to court;use for those who only pay when brought to court;
ask for automatic review of case every 2 monthsask for automatic review of case every 2 months
Use to obtain lump sum judgmentUse to obtain lump sum judgment
23. Judicial EnforcementJudicial Enforcement
Continued
Do not use against self-employed unless you have noDo not use against self-employed unless you have no
information about their incomeinformation about their income
Do not use in the state where you live when you haveDo not use in the state where you live when you have
an interstate casean interstate case
If the non-payor no-shows, ask for a bench warrant,If the non-payor no-shows, ask for a bench warrant,
does not go across state lines, call Sheriff to ensuredoes not go across state lines, call Sheriff to ensure
they pick up non-payorthey pick up non-payor
Advocate for strict enforcement, monitor hearings,Advocate for strict enforcement, monitor hearings,
issue reports to publicissue reports to public
24. Criminal EnforcementCriminal Enforcement
Go to County Prosecutor or District Attorney to fileGo to County Prosecutor or District Attorney to file
chargescharges
They issue a warrantThey issue a warrant
Non-payor is arrested or warrant is sent to state whereNon-payor is arrested or warrant is sent to state where
non-payor livesnon-payor lives
Non-payor is arraigned pleads guilty, not guilty or no-Non-payor is arraigned pleads guilty, not guilty or no-
contestcontest
Can be Misdemeanor or Felony crime, varies from stateCan be Misdemeanor or Felony crime, varies from state
to stateto state
Best if placed on probation- go to jail if miss payment or;Best if placed on probation- go to jail if miss payment or;
Work release programWork release program
Monitor your case, notify probation officer if no paymentsMonitor your case, notify probation officer if no payments
25. Criminal EnforcementCriminal Enforcement
Continued
Go back to Prosecutor or District Attorney if no actionGo back to Prosecutor or District Attorney if no action
by Probation Officerby Probation Officer
Call Sheriff and give updated information if they don'tCall Sheriff and give updated information if they don't
pick up non-payor on the warrantpick up non-payor on the warrant
Use against self-employed, job hoppersUse against self-employed, job hoppers
Don't use against:Don't use against:
those who wonthose who won’t work’t work
no information about income or assetsno information about income or assets
Advocate for strict enforcement, monitor hearings,Advocate for strict enforcement, monitor hearings,
issue reports to publicissue reports to public
26. Interstate RemediesInterstate Remedies
Civil or Criminal enforcement available
Interstate income withholding Best and most effectiveInterstate income withholding Best and most effective
Other Administrative EnforcementOther Administrative Enforcement
Civil Enforcement under UIFSA (Old URESA) is same asCivil Enforcement under UIFSA (Old URESA) is same as
civil contemptcivil contempt
Use for interstate paternity and order establishmentUse for interstate paternity and order establishment
unless child conceived in state where you liveunless child conceived in state where you live
Criminal charges can be state based or federal basedCriminal charges can be state based or federal based
State based: crime is committed in state where child lives.State based: crime is committed in state where child lives.
Process same as in all same state cases except warrantProcess same as in all same state cases except warrant
is sent to Sheriff in county where non-payor livesis sent to Sheriff in county where non-payor lives
27. Interstate RemediesInterstate Remedies
Continued
Sheriff from child's state travels to state of non-payorSheriff from child's state travels to state of non-payor
to bring back non-payor to child's stateto bring back non-payor to child's state
Federal criminal non-support, 18 U.S.C. 228Federal criminal non-support, 18 U.S.C. 228
More difficultMore difficult
Takes longerTakes longer
Must have proof of many assets and incomeMust have proof of many assets and income
Use for State hoppers and wealthyUse for State hoppers and wealthy
Case is referred from local IV-D Agency to U.S.Case is referred from local IV-D Agency to U.S.
AttorneyAttorney
28. Interstate RemediesInterstate Remedies
Continued
FBI investigatesFBI investigates
Federal Warrant is issuedFederal Warrant is issued
U.S.. Marshal arrests non-payorsU.S.. Marshal arrests non-payors
Stand trial in area where Attorney General filedStand trial in area where Attorney General filed
chargescharges
Advocate for Sheriff to promptly serve warrants,Advocate for Sheriff to promptly serve warrants,
put all on state wide data baseput all on state wide data base
Advocate for U.S. Attorney to take more casesAdvocate for U.S. Attorney to take more cases
Advocate for State IV-D to work with U.S..Advocate for State IV-D to work with U.S..
Attorney General, send them more casesAttorney General, send them more cases
29. Extra Enforcement TechniquesExtra Enforcement Techniques
Attaching Tax Refunds
IRS Offset: Attachment of federal Income tax refundsIRS Offset: Attachment of federal Income tax refunds
45 CFR section 302.6045 CFR section 302.60
Must be $500 behind if child not on welfare $250Must be $500 behind if child not on welfare $250
behind if child on welfarebehind if child on welfare
State may hold payment for 6 months to allow newState may hold payment for 6 months to allow new
spouse to claim part of refundspouse to claim part of refund
Payments from federal Offset pay off welfare arrearsPayments from federal Offset pay off welfare arrears
before arrears owed to family, 42 U.S.C. 657(a)(iv)before arrears owed to family, 42 U.S.C. 657(a)(iv)
30. Extra Enforcement TechniquesExtra Enforcement Techniques
Continued
State Tax Offset attaching state tax refunds, 45 CFRState Tax Offset attaching state tax refunds, 45 CFR
Section 303.102Section 303.102
States automatically submit all IV-D cases for federalStates automatically submit all IV-D cases for federal
and state offsets,and state offsets,
42 U.S.C. 464(b)(1)42 U.S.C. 464(b)(1)
Advocate for states to not hold federal refunds for sixAdvocate for states to not hold federal refunds for six
months unless parent requestsmonths unless parent requests
31. IRS Full Collections, 45 CFR Section 303.71IRS Full Collections, 45 CFR Section 303.71
Good for tough-to-collect-on cases,
assets placed in someone else's name
Local IV-D refers case to IRSLocal IV-D refers case to IRS
IRS collects support using same process they use toIRS collects support using same process they use to
collect back taxescollect back taxes
Must be $750 behind in paymentsMust be $750 behind in payments
Must have tried other methods and they have failedMust have tried other methods and they have failed
State may charge fee for serviceState may charge fee for service
Advocate for state to use this service!!Advocate for state to use this service!!
32. Collecting from Military or VACollecting from Military or VA
Simple process to obtain involuntary allotmentSimple process to obtain involuntary allotment
(income withholding)(income withholding)
See ACES book, How to Collect Child Support forSee ACES book, How to Collect Child Support for
specific stepsspecific steps
VA benefits are not attachable but child is entitled toVA benefits are not attachable but child is entitled to
allotmentallotment
Service member must sign child up for allotmentService member must sign child up for allotment
If service member fails to act, use contempt hearingIf service member fails to act, use contempt hearing
process to get court order telling service member toprocess to get court order telling service member to
sign-up child(ren)sign-up child(ren)
33. Collecting from Military or VACollecting from Military or VA
Continued
To establish paternity, serve alleged father atTo establish paternity, serve alleged father at
designated Military officedesignated Military office
If court action needed and service not available, theIf court action needed and service not available, the
court is required to appoint an attorney to representcourt is required to appoint an attorney to represent
him/herhim/her
Advocate for President to issue Executive OrderAdvocate for President to issue Executive Order
giving access to Service member DNA records togiving access to Service member DNA records to
establish paternity quickly and efficientlyestablish paternity quickly and efficiently
34. Collecting from Social SecurityCollecting from Social Security
Benefits, Bankruptcy protections, etc.Benefits, Bankruptcy protections, etc.
Social Security Disability and Retirement benefits areSocial Security Disability and Retirement benefits are
attachable to collect support via the same system asattachable to collect support via the same system as
income withholding,42 U.S.C. 659income withholding,42 U.S.C. 659
SSI-Social Security Supplemental Insurance isn'tSSI-Social Security Supplemental Insurance isn't
attachable---this is supposed to be temporary assistanceattachable---this is supposed to be temporary assistance
with a disabilitywith a disability
Child support debts cannot be discharged in Chapter 7Child support debts cannot be discharged in Chapter 7
(full) bankruptcy(full) bankruptcy
Child Support Debts can be placed in Chapter 13Child Support Debts can be placed in Chapter 13
bankruptcy (payment plan) unless the payee objectsbankruptcy (payment plan) unless the payee objects
Child support payment withheld by an employer who filesChild support payment withheld by an employer who files
bankruptcy may be paced in Chapter 11 bankruptcy. Thebankruptcy may be paced in Chapter 11 bankruptcy. The
non- custodial parent still owes the supportnon- custodial parent still owes the support
35. Medical SupportMedical Support
Federal law defines medical support as health
insurance available to non-custodial parent from
employer at a reasonable cost, 45 CFR section 303.31
Defines reasonable as employer group planDefines reasonable as employer group plan
IV-D agency required in 1999 law to help collect un-IV-D agency required in 1999 law to help collect un-
reimbursed costs but OCSE has not put outreimbursed costs but OCSE has not put out
regulationsregulations
There is a new medial support order form all statesThere is a new medial support order form all states
are required to use, 42 U.S.C. 666(a)(19)are required to use, 42 U.S.C. 666(a)(19)
Interstate insurance companies now accept stateInterstate insurance companies now accept state
medical support orders for insurance. URISA plansmedical support orders for insurance. URISA plans
42 U.S.C. 666(a)(19)42 U.S.C. 666(a)(19)
36. Medical SupportMedical Support
Continued
IV-D agency required to sign up kids, obtainIV-D agency required to sign up kids, obtain
insurance claim cards.insurance claim cards.
ID cards for children if non-custodial parent does notID cards for children if non-custodial parent does not
do so. 45 CFR section 303.30do so. 45 CFR section 303.30
Advocate for OCSE to issue regulationsAdvocate for OCSE to issue regulations
37. IV-D Agencies Operate StateIV-D Agencies Operate State
Disbursement Units, 42 U.S.C. 654Disbursement Units, 42 U.S.C. 654
Federal law requires payments to be distributed within 2
business days of receipt 42 U.S.C. 654 (b)
Family-first distribution, 42 USC 675 (a)(1), meansFamily-first distribution, 42 USC 675 (a)(1), means
once a family is off welfare, back support owed toonce a family is off welfare, back support owed to
family paid before back support owed to state forfamily paid before back support owed to state for
welfare debtwelfare debt
If potential problem, have families ask for audit ofIf potential problem, have families ask for audit of
accountaccount
States report over $700 million in undistributed funds:States report over $700 million in undistributed funds:
Money paid in but not sent on to childMoney paid in but not sent on to child
GAO reports most states had and continue to haveGAO reports most states had and continue to have
problems with properly distributing the correctproblems with properly distributing the correct
amount to pay off welfareamount to pay off welfare
38. IV-D Agencies Operate StateIV-D Agencies Operate State
Disbursement Units, 42 U.S.C. 654Disbursement Units, 42 U.S.C. 654
Continued
Pre-, Post- and during welfare distribution rules arePre-, Post- and during welfare distribution rules are
very complicatedvery complicated
Bottom line: State can never keep more than it gaveBottom line: State can never keep more than it gave
the familythe family
Not all states give families first $50 paid while theyNot all states give families first $50 paid while they
are on welfareare on welfare
Advocate for state laws for annual audits of SDU andAdvocate for state laws for annual audits of SDU and
IV-D, public disclosure of undistributed fundsIV-D, public disclosure of undistributed funds
Advocate for simplifying federal distribution lawsAdvocate for simplifying federal distribution laws