LouisvilleChild Support News Headlines

Proposals to Enhance Automation and Significantly Increase Collections to Families

The President's HHS budget for FY 2006, "Advancing the Health, Safety, and Well-Being of Our People," anticipates the enactment of the child support provisions included in his TANF Reauthorization proposal, as well as two proposals from the FY 2005 budget aimed at improving and increasing the collection of medical child support. These proposals will also improve automation tools, strengthen existing enforcement tools, and assist families in gaining self-sufficiency. Overall these will have a significant impact on cost savings and increased collections for families:

In FY 2006 the Proposals Will:

Result in a net Federal savings of $63M, while increasing collections to families by $147M. Include:

$11M for training and technical assistance $15M to fund welfare research as included in the President's TANF reauthorization proposal. Over Five Years:

Proposals for mandatory review and adjustment, and health insurance from either parent will generate Medicaid savings of $45M.
Proposals for optional pass through and disregard, and optional simplified distribution will result in significant Food Stamp savings of $114M.
Objective:

In total, these child support proposals offer increased collections to families of $3.4B at a net Federal cost of $52M.
Proposals to Enhance and Increase Collection of Medical Child Support: Require health care plan administrator to notify the IV-D agency when a child loses health coverage.
 
Require state child support enforcement agencies to seek medical support for children through health insurance available to either parent. Proposals to Enhance Automation and Significantly Increase Collections to Families:

Federal seizure of accounts in multi-state financial institutions. Require intercept of gambling proceeds. Provide for garnishment of Longshore and Harbor Worker's Compensation Act benefits. Provide Federal matching of insurance claims and settlements databases. Increase funding for access and visitation. Authorize direct tribal access to Federal Parent Locator Service. Authorize contractors and IV-D Tribes to access tax offset data. Proposals Under Welfare Reform to Further Assist Families Gain Self-Sufficiency:

Assist Families on TANF and formerly on TANF by sharing in the costs of state efforts to pass through and disregard child support for TANF families; a second proposal simplifies distribution rules for the benefit of former TANF families.
Require states to review and adjust child support orders at least every three years for families receiving TANF.
Reduce the threshold for denying passports to non-custodial parents owing overdue child support from $5,000 to $2,500.
Give states the ability to collect past-due child support by withholding a limited amount of OASDI payments from beneficiaries, if appropriate.

Require states to charge a $25 annual fee to families who have never received AFDC or TANF assistance and who receive child support collections through the IV-D program.

Our Louisville child support lawyers know and understand your worries and fears. Let them help you to take control. Contact one of our Louisville child support lawyers today for a free evaluation of your case.

	Did You Know?
	Child support payments are determined by the Child Support Enforcement Act of 1984. According to the Child Support Enforcement Act of 1984, the amount paid is based on guidelines issued by each state. In general, the guidelines use a formula that takes into consideration the amount the noncustodial parent makes and the amount required to care for the children.