Child Support Engorcement Program Financial Reporting Forms

INSTRUCTIONS FOR COMPLETION OF FORM OCSE-34

CHILD SUPPORT ENFORCEMENT PROGRAM

QUARTERLY COLLECTION REPORT

Paperwork Burden Statement. According to the Paperwork Reduction Act, as amended, no response is required to a collection of information request unless it displays a valid OMB Control Number. The valid OMB control number for Form OCSE-34 is 0970-0510. Public reporting burden for this collection of information is estimated to average 14 hours per response, including time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. Send comments regarding the burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden, to the Office of Management and Budget, Paperwork Reduction Project, Washington, DC 20503

General Instructions

Applicability: Completion of this report is required by each State or each Indian Tribe, Tribal organization and Tribal consortia (hereinafter, “Tribe”) with an approved title IV-D plan to administer the Child Support Enforcement Program under title IV-D of the Social Security Act (hereinafter, “the Act”). Some information required on this report is applicable only to State-run programs and are clearly identified.

The information reported on this form is reviewed by various components of the Administration for Children and Families (ACF) to award funds, determine the accuracy of reported collections and to provide reports to Congress. Determinations regarding accuracy will be made in accordance with applicable Federal statute, regulations and policy.

These instructions are intended to assist in the completion of this form and clarify the applicable Federal statutes, regulations and policies.

Where a conflict exists, this form and these instructions do not supersede such documents.

• Due Dates.

States: In accordance with regulations found at 45 CFR 304.25, each quarterly collection report must be submitted in conjunction with the quarterly expenditure report no later than 45 days after the end of each fiscal quarter, i.e., no later than February 15, May 15, August 15 and November 15, respectively.

Tribes: In accordance with regulations found at 45 CFR 309.170(a) each quarterly collection report must be submitted no later than 45 days after the end of the first three quarters and no later than 90 days after the end of the fourth quarter, i.e., no later than February 15, May 15, August 15 and December 30, respectively.

• Reporting Format.

  • Enter the name of the State or Tribe.

  • Enter the end date of the fiscal quarter being reported.

• Enter the report type. Check box to indicate whether this is a new report (first submission for that quarter) or a revision of a report previously submitted for the same quarter.

• Round all entries to the nearest dollar; do not include cents.

• Where there is no information to report for an individual data entry item, enter zero ($0) or leave blank.

• Submission.

Beginning with FY 2014, electronic online reporting has been required of all grantees for all periodic financial forms for all ACF grant programs. States and Tribes are required to submit Form OCSE-34 electronically through the ACF On-Line Data Collection (OLDC) system, which requires pre-registration and the use of an approved digital signature. A timely filed electronic, online submission with a digital signature is the only submission needed or accepted and will fulfill the regulatory requirement for providing this information. Paper copies of these reports are no longer being accepted either by mail, by fax or as an email attachment. (See ACF Office of Grants Management Action Transmittal, OGM-AT-13-01, September 25, 2013.)

• Signatures.

This report must be electronically signed and dated by the State or Tribal official responsible for the administration of the title IV-D program or other official responsible for the financial administration of this program. The individual signing this report is certifying to the correctness and accuracy of the information on this reporting form and on any accompanying documents.

• Revisions.

If the State or Tribe needs to change or correct the reported collections, a revised report may be submitted. However, a revised report will not be accepted from States after the collections reported in the original submission have been used in the calculation of a quarterly grant award. Any revised report must be submitted no later than 90 days following the end of the quarter (i.e., no later than March 31, June 30, September 30 or December 31). Any additional changes to the reported collections that must be reported after that time must be included as an adjustment on a subsequent collection report.

SUBMISSION DEADLINE

In accordance with 45 CFR 301.15 (b)(2): “ No submission, revisions, or adjustments of the financial reports submitted for any quarter of a fiscal year will be accepted by OCSE later than December 31, which is 3 months after the end of the fiscal year.”

Only data received by OCSE by that date will be used in the calculation of annual incentive payments and in the publication of statistical data.

Definitions:

• Collections Received. A child support payment is considered to be collected and received by

  • A State: On the date it arrives at the State Disbursement Unit

  • A Tribe: On the date it arrives at the Tribal Finance Office or, under a Tribe-State agreement, on the date it arrives at the State Disbursement Unit.

Alternatively, a child support payment is also considered to be collected and received on the date it arrives at the collection point designated by the State or Tribe via mail, private courier, electronic transfer or hand delivery.

• If elected by the State or Tribe, the date of withholding by an employer may be deemed to be the date of collection and receipt.

• Any amounts received and reasonably identifiable as a child support collection under title IV-D must be reported on Line 2 of Part 1 of this form, even if an individual amount cannot be immediately associated with a specific title IV-D case.

• Any amount paid in advance of its due date (a "prepaid" or “future” collection) must also be reported on Line 2 of Part 1 in the quarter received, even if it is known that distribution and disbursement will not occur until a later quarter.

• Collections Distributed and Disbursed. The procedure for distributing collections is described under Section 457 of the Social Security Act.

  • “Distribution” is the identification and allocation or apportionment of a support collection to current and past-due support, as applicable, of a specific case or individual.

  • “Disbursement” is the actual process of dispensing or paying out the collection.

  • To be considered “distributed” under Section 457 of the Act – and reported on Lines 7a through 7d of Part 1 of this form - a collection must be both distributed and disbursed according to a specified allocation and the definitions above.

  • Any collection that has been distributed (i.e., “identified and allocated or apportioned”) but not disbursed (i.e., “dispensed or paid out”) is considered “undistributed” under Section 457 and is reported on this form on Line 9 of Part 1 and in the appropriate category of Part 2.

• Disbursement Date. A collection is considered disbursed on the date the funds are forwarded via check, electronic transfer or other means to the intended final recipient, including the custodial family, State or Tribe or Federal agency, including those agencies that administer programs under titles IV-A, IV-E and XIX of the Social Security Act. For these purposes, the “date” is the disbursement date as recorded in the State’s or Tribe’s automated child support enforcement system.

• IV-D Case. Any child support enforcement case in which the custodial parent has either assigned his or her rights to receive support payments to the State or Tribe as a condition of receiving assistance (either as a current or former recipient of such assistance) or has filed an application for services available under Title IV-D.

Although Federal statute requires that States process Non-IV-D cases that meet certain prescribed criteria, these collections are not considered title IV-D cases. Similar Non-IV-D case processing is optional for Tribes.

• Non-IV-D Case. Any child support enforcement case in which the custodial parent has neither assigned his or her rights to receive support to the State nor has filed an application for services available under Title IV-D. Note: Tribes are not required to process Non-IV-D collections.

• FMAP Rate. A Federal Medical Assistance Percentage (FMAP) rate is a Federal funding rate calculated by the U.S Department of Health and Human Services and is based on the relative per capita income of each State or each Federally-recognized Tribe’s service area. These rates, which may change annually and may differ from State-to-State and from Tribe-to-Tribe, range from a statutory minimum of 50 percent to a statutory maximum of 83 percent. (§1905(b) of the Act)

• State FMAP Rates. These rates are used in the Child Support Enforcement Program to calculate the Federal share of child support collections. These rates are published annually in the Federal Register.

• In accordance with Section 457(c)(3)(A) of the Act, the FMAP rate is fixed at 75 percent for Puerto Rico, Guam and the Virgin Islands for collections on behalf of current or former title IV-A cases.

• In accordance with Section 457(e)(1) of the Act, the FMAP rate is fixed at 50 percent for Puerto Rico for collections on behalf of current or former title IV-E cases.

• Tribal FMAP Rates. These rates are not used in the Child Support Enforcement Program. These rates are calculated annually by the Department of Health and Human Services and are used only to determine the Federal share of maintenance assistance payments for any Tribe operating an approved Foster Care, Adoption Assistance or Guardianship Assistance Program under title IV-E of the Social Security Act. These rates may also be used by a State operating these programs under a Tribe-State agreement.

PART 1: COLLECTIONS RECEIVED, DISTRIBUTED and UNDISTRIBUTED

Column Instructions:

Collections are reported in the appropriate column, A through F, based on the status of the case and children on whose behalf the collection was received, e.g., currently receiving assistance, formerly received assistance, or never received assistance.

Status Change. In instances where it is known that a case has changed its status (e.g., from former to current assistance or vice versa) between the date a collection is received and the date of distribution and disbursement, report the amount distributed in Column A through F in accordance with the case status as of the date of receipt of the collection.

Column A: Current IV-A Assistance. Collections received and distributed on behalf of children who are recipients of Temporary Assistance for Needy Families (TANF) under title IV-A of the Act. In addition, the children's support rights have been assigned to the State or Tribe and a referral to the State’s or Tribe’s IV-D agency has been made.

Column B: Current IV-E Assistance. Collections received and distributed on behalf of children who are entitled to Foster Care maintenance assistance payments under title IV-E of the Social Security Act. In addition, the children's support rights have been assigned to the State or Tribe and a referral to the State’s or Tribe’s IV-D agency has been made.

Column C: Former IV-A Assistance. Collections received and distributed on behalf of children who formerly received assistance through either the Aid to Families with Dependent Children Program (AFDC) or the Temporary Assistance to Needy Families Program (TANF) under title IV-A of the Social Security Act.

Column D: Former IV-E Assistance. Collections received and distributed on behalf of children who formerly received assistance through the Foster Care Program under title IV-E of the Social Security Act.

Column E: Medicaid Never Assistance. Collections received and distributed on behalf of children who are receiving Child Support Enforcement services under title IV-D of the Social Security Act, and who are either currently receiving or who have formerly received Medicaid payments under title XIX of the Social Security Act, but who are not currently receiving and who have never formerly received assistance through either the AFDC, TANF or Foster Care programs under either title IV-A or title IV-E, respectively, of the Social Security Act.

Column F: Other Never Assistance. Collections received and distributed on behalf of children who are receiving Child Support Enforcement services under title IV-D of the Social Security Act, but who are not currently receiving and have never formerly received either Medicaid payments under title XIX or who are not currently receiving and who have never formerly received assistance through either the AFDC, TANF or Foster Care programs under either title IV-A or title IV-E, respectively, of the Social Security Act.

Column G: Total. Enter, where applicable, the sum of the amounts entered in Cols. A through F.

Line-by-Line Instructions:

SECTION A. AVAILABLE COLLECTIONS

Line 1. Balance Remaining Undistributed From Previous Quarter. The amount of Net Undistributed Collections from the previous quarter constitutes the starting balance for this quarter.

• [This amount is carried from Line 9b of Part 1 of this report from the previous quarter.]

Line 2. Collections Received During the Quarter. The total amount of child support collections received by the State or Tribe during the quarter from various sources. Include amounts that will ultimately be sent to another State or Tribe, to other countries or to Non-IV-D cases (see instructions for Line 2e, below) within this State or Tribe. The aggregate amount reported on this line is itemized on Lines 2a through 2h based on the source of each individual collection.

• [Calculated as the Sum of Lines 2a through 2h.]

Lines 2a through 2h. Collections Received Itemized in Accordance With the Source of the Collection.

• Report all child support collections received during the quarter based on the source of each collection.

• If no collection is received from a specific source, enter “0” on that line.

• Amounts reported on Lines 2a through 2h must be "net" amounts, reduced by any collections returned to the payer during the quarter. Examples: (a) Any Federal income taxes reported as “offset” and later returned by the IRS would be reported as a decreasing adjustment on Line 2a in the quarter returned. (b) Any collection found to be undistributable and later returned to the non-custodial parent would be reported as a decreasing adjustment in the quarter returned to the non-custodial parent on the same line on which it was initially reported as “received.”

• Line 2a. From the Offset of Federal Income Tax Refunds. Amounts received on behalf of IV-D cases as a result of offset by the IRS of refunds from Federal income tax returns, or as determined by the Tribe under the terms of a Tribe-State agreement. Report the full amount of the collection, prior to the reduction for the service fee imposed by the Department of the Treasury*. This service fee may be claimed as an expense on Form OCSE-396. (Do not include amounts received through the IRS "full collection" process.)

(*This fee is imposed by the Department of the Treasury’s Bureau of Fiscal Services, formerly the Financial Management Service. It may still be referenced as the “FMS Fee.”)

• [This is a direct entry.]

• Line 2b. From the Offset of State Income Tax Refunds. Amounts received on behalf of IV-D cases as a result of the offset by the State (or by the Tribe under the terms of a Tribe-State agreement) of refunds from State income tax returns.

• [This is a direct entry.]

• Line 2c. From the Offset of Unemployment Compensation Payments. Amounts received on behalf of IV-D cases as a result of the offset of unemployment compensation insurance payments.

• [This is a direct entry.]

• Line 2d. Through Procedures for the High Volume, Automated Administrative Enforcement in Interstate Cases (AEI). Amounts received on behalf of IV-D cases as the "assisting State or Tribe" for AEI requests in accordance with Section 466(a)(14) of the Social Security Act. An AEI request is based on the identification by a State or Tribe, through an automated data match with a financial institution, of assets of the non-custodial parent in the other State or Tribe and the seizure of those assets through appropriate procedures. (Any amount reported on this line will be forwarded to the requesting State or Tribe during the current quarter or in a subsequent quarter.)

• [This is a direct entry.]

• Line 2e. From IV-D and Non-IV-D Income Withholding.

States and Tribes: Amounts received on behalf of IV-D cases through either voluntary or involuntary income withholding, including withholding actions initiated prior to the effective date of Section 466(a)(1) of the Social Security Act.

States Only: Also include amounts received only through income withholding on behalf of Non-IV-D cases pursuant to Section 466(a)(8)(B) of the Social Security Act and where a support order was initially issued on or after January 1, 1994. (Tribes do not process collections from Non-IV-D cases.)

• Note: Under section 466(b)(8) of the Social Security Act, “…’income’ means any periodic form of payment due to an individual, regardless of source, including wages, salaries, commissions, bonuses, worker’s compensation, disability, payments pursuant to a pension or retirement program, and interest.” State or Tribal law may include additional categories of income.

• Note: If a State has any non IV-D collections received through methods other than through wage withholding, these cases are outside the purview of the Federal Child Support Enforcement Program. These collections are not reported on any line of this report.

• [This is a direct entry.]

• Line 2f. From Other State or Tribes. Amounts received as the “initiating” State or Tribe in intergovernmental IV-D cases from the “responding” State or Tribe operating a IV-D program. Also include any amounts received as the “requesting” State or Tribe in AEI cases. Any fees or recovered costs that are retained by the other State or Tribe are reported on Line 11 and are not included on this line.

• [This is a direct entry.]

• Line 2g. From Other Countries. Amounts received as the “initiating” State or Tribe of a formal request for child support enforcement services made to a foreign country or political subdivisions in accordance with Section 459A of the Social Security Act. Also include any collections received as a result of a reciprocal agreement made by the State or Tribe with the foreign country or political subdivisions. Any fees retained by the other country or political subdivision are reported on Line 11 and are not included on this line.

Collections reported on this line are limited to those forwarded from the child support (or equivalent) agency in a foreign country, state or province directly to the IV-D agency of the reporting State or Tribe in accordance with the terms of an existing reciprocal agreement. Do Not include routine collections received directly by the State’s or Tribe’s IV-D agency from an NCP living abroad. Those collections are reported on another sub-category of Line 2, based on the source of the collection.

• (Note: A current list of foreign countries or political subdivisions that have agreed to provide reciprocal child support enforcement services is published periodically in the Federal Register by the US Department of State.)

• [This is a direct entry.]

• Line 2h. From Other Sources. All other amounts - not reported above – received on behalf of IV-D cases through the State’s or Tribe’s own collections procedures. This includes, but is not limited to: (a) payments received directly from non-custodial parents; (b) collections received through the IRS' full collection process; (c) collections received as a result of the administrative offset process; and (d) collections received through the Financial Institution Data Match. For “administrative offset” collections, report the full amount of the collection, prior to the reduction for the FMS service fee. The FMS service fee may be claimed as an expense on Form OCSE-396.

• [This is a direct entry.]

Line 3. Net Amount of Increasing and Decreasing Adjustments. Enter on this line any entry necessary to correct previous reporting that cannot be corrected with an entry on another reporting line. This line may remain blank or may be a negative number. Any entry on this line must be explained with a footnote or attachment.

For example, include on this line any former undistributed collection, previously escheated by the State or Tribe as “abandoned property” and reported as program income, which can now be either distributed to the custodial parent or returned to the non custodial parent. (If distributed, the amount must also be reported on Lines 7a through 7d, below, as applicable; if returned, the amount must also be included as a negative adjustment on Lines 2a through 2g, above, as applicable. Any amount must also be reported as a prior quarter decreasing adjustment to program income on Line 2a of Form OCSE-396.)     

• [This is a direct entry.]

Line 4. Collections Sent During the Quarter to Cases Outside the State or Tribe’s Own Title IV-D Program.

• These include title IV-D collections that are not the responsibility of the reporting State or Tribe to distribute or disburse in accordance with Section 457 of the Social Security Act and non-title IV-D collections. The amount reported on this line is itemized on Lines 4a through 4c based on the destination of each individual collection.

• Report all collections that are forwarded during the quarter to other recipients based on the forwarded destination of each collection.

• If no collection is forwarded to specific destination (line 4a, 4b or 4c), enter “0” on that line.

• Line 4a. Collections Sent to Non-IV-D Families.

TRIBES: This Line is Optional

Amounts sent during the quarter to the custodial parent of a Non-IV-D case. These amounts were initially reported on Line 2e as received only through income withholding on behalf of Non-IV-D cases and processed through the State Disbursement Unit.

• [This is a direct entry.]

• Line 4b. Collections Sent to Other States or Tribes. Amounts initially collected as the “responding” State or Tribe in intergovernmental IV-D cases to a request from the “initiating” State or Tribe and forwarded during the quarter to that State or Tribe for distribution. Also include any amounts collected as the “assisting” State in AEI cases and forwarded during the quarter to the “requesting” State or Tribe for distribution. These amounts are initially reported on Line 2 as received from one or more applicable sources

• [This is a direct entry.]

.

(The amounts reported by States on this line are used in the computation of the annual incentive payment sent to States, including “double counting” of entries in Cols. A through E for the State Collection Base computation.)

• Line 4c. Collections Sent to Other Countries. Collections reported on this line are limited to those forwarded during the quarter from the IV-D agency of the reporting State or Tribe to the child support (or equivalent) agency in a foreign country, state or province in accordance with the terms of an existing reciprocal agreement. These amounts are received by the reporting State or Tribe in response to a request for child support enforcement services from a foreign country, state or province in accordance with Section 459A of the Social Security Act. These amounts are initially reported on Line 2 as received from one or more applicable sources.

• [This is a direct entry.]

Line 5. (Reserved.)

Line 6. Remaining Collections Available for Distribution. The amount of collections available to the State or Tribe for distribution during the quarter in accordance with Section 457 of the Social Security Act.

• [Calculated as the Sum of Lines 1 + 2 + 3 Minus Line 4.]

SECTION B. DISTRIBUTED/UNDISTRIBUTED COLLECTIONS

Line 7a.     Collections Passed Through to the Family. 

TRIBES: Participation in the Pass Through process and entries on this line are optional.

These collections are part of the distribution process where a Tribe may elect to disburse some or all of the child support collections it receives on behalf of current or former title IV-A or title IV-E families directly to those families and bypass the remaining distribution processes. In doing so, the portion being passed through by the Tribe will no longer be available to the Tribe to reimburse itself for its share of past assistance payments – as reported on Line 7b.

● For a Tribe administering an approved Tribal TANF program under title IV-A of the Social Security Act, this amount is reported in Column A or C on this line, as applicable.

● For a Tribe administering an approved Tribal Foster Care, Adoption Assistance or Guardianship Assistance program under title IV-E of the Social Security Act, this amount is reported in Column B or D on this line, as applicable.

● The pass through provision is not available for collections received on behalf of families who never received assistance (Columns E and F).

[These are direct entries in columns A through D.]

STATES: Participation in the Pass Through process and entries on this line are optional.

These collections are a part of the distribution process where a State may elect to disburse child support collections it receives on behalf of current or former title IV-A families directly to those families and bypass the remaining distribution processes. For States, this process is subject to the following requirements and limitations:

● (Column A) For collections on behalf of families currently receiving TANF assistance under title IV-A, the State may elect to pass through and disburse directly to the family an amount defined as the “excepted portion” and limited to no more than $100 per month (no more than $300 per quarter) for each case with one child and limited to no more than $200 per month (no more than $600 per quarter) for each case with 2 or more children. Any collection that remains above that monthly limit (or lesser “pass through” amount as the State may elect) will continue to be distributed in accordance with the remaining distribution processes. (See Sec 457(a)(6)(B) of the Act.)

● (Column C) For collections on behalf of families who formerly received TANF or AFDC assistance under title IV-A, the State may elect to pass through and disburse directly to the family up to the full amount collected if that amount had been applied to “non-assigned arrearages.” If the State elects to pass through less than the full amount, any collection that remains will continue to be distributed in accordance with the remaining distribution processes. (See Sec 457(a)(6)(A) of the Act.)

● (Columns B and D) The pass through provision is not available for collections received on behalf of families who currently receive or formerly received maintenance assistance payments through the Foster Care Program under title IV-E.

● (Column E and F) The pass through provision is not available for collections received on behalf of families who never received assistance.

[These are direct entries in columns A and C.]

Line 7b. Collections Distributed As Assistance Reimbursement.

TRIBES: These collections are part of the distribution process where the Tribe may retain for itself a portion of the collection not “passed through” to the family (as entered on Line 7a) and designated as reimbursement for the Tribe’s share of past Title IV-A assistance payments or past Title IV-E maintenance assistance payments. Since, unlike States, Tribes do not calculate a Federal share of child support collections; the entire amount reported on this line is retained by the Tribe.

● For a Tribe administering a Tribal TANF program approved under title IV-A of the Social Security Act, report these amounts in Columns A or C, respectively, for families who are currently or who formerly received title IV-A TANF assistance payments.

● For a Tribe administering a Tribal Foster Care, Adoption Assistance or Guardianship Assistance program approved under title IV-E of the Social Security Act, report these amounts in Columns B or D, respectively, for families who are currently or who formerly received maintenance assistance payments under these title IV-E programs.

NOTE: If a Tribe receives a collection in response to a request for assistance from a State or another Tribe and, subsequently, sends those collections to that State or Tribe, that transaction is not part of the distribution process. Do not report those collections on this line. Those collections are reported, instead, on Line 4b.

[These are direct entries in columns A through D; No entries in columns E and F.]

STATES: These collections are part of the distribution process where a portion of the collections not “passed through” to the families (as entered on Line 7a) is designated as reimbursement to the State and Federal governments as their respective shares of past Title IV-A TANF or AFDC assistance payments (Columns A and C) or past Title IV-E Foster Care maintenance payments (Column B and D). The actual calculation of the Federal share of the child support collection is made on Lines 10a and 10b, by applying the FMAP rate for this State for this fiscal year to the entries on this line. (Some States have subsequently elected to distribute all or part of the State share of child support collections to the families.)

[These are direct entries in columns A through D; No entries in columns E and F.]

Line 7c. Collections Distributed As Medical Support Payments.

A part of the distribution process where the portion of the collection, if any, specifically designated in a support order for medical support is reported on this line. In cases where the medical support portion of the collection reported on this line has been assigned to the State, it must be forwarded to the State’s Medicaid agency for distribution in accordance with current Medicaid regulations under title XIX of the Social Security Act. Otherwise, the medical support portion of the collection reported on this line must be forwarded to the family.

[These are direct entries in columns A through F.]

Line 7d. Collections Distributed To The Family or Foster Care.

A part of the distribution process where collections not previously reported on Lines 7a, 7b, or 7c as “pass through,” “assistance reimbursement,” or “medical support,” respectively, are distributed and disbursed to the family or to the foster care agency to be used on the child’s behalf. Include on this line any collections distributed to the family but assigned by the family and forwarded to another agency (e.g., Foster Care or Child Care program).

STATES ONLY: In a situation where a State retains a mandatory $25 fee from a collection in a “Never Assistance” case (Columns E and F), only the portion distributed and disbursed to the family is reported on this line; the collected fee is reported separately on Line 7e, below.

[These are direct entries in columns A through F.]

Line 7e. Fees Withheld by the State.

TRIBES: LEAVE THIS LINE BLANK.

The State must impose an annual fee of $25 for any case in which the State has collected and disbursed to the family at least $500 in collections during the calendar year. This fee is applicable only in cases that have never received assistance under title IV-A through a State AFDC or TANF program or a Tribal TANF program. Accordingly, this fee will never be imposed in current or former title IV-A cases (Columns A and C); may occasionally be imposed in current or former title IV-E cases (Columns B and D) in those rare situations when the $500 annual collection and disbursement threshold is reached; and will often be imposed in Never Assistance cases (Columns E and F).

A State may: (a) pay the $25 fee itself, (b) collect the $25 fee from the custodial parent, (c) collect the $25 fee from the non-custodial parent, or (d) withhold the $25 fee from the child support collection prior to disbursement.

Only States that elect to withhold the fee from collections report the fees on this line.

Regardless how collected, all fees – including the amounts reported on this line – are considered program income and must also be included on Line 2a of Form OCSE-396.

[These are direct entries in columns B, D, E and F.]

Line 8. Total Collections Distributed During the Quarter.

The sum of all collections reported as distributed and disbursed during the quarter as “pass through,” “assistance reimbursement,” “medical support" and including the mandatory $25 fees withheld by States.

• [Calculated as the Sum of Lines 7a through 7e in columns A through F.]

(States only: The amounts reported on this line are used in the computation of the annual incentive payment, including “double counting” of entries in Cols A through E for the State Collection Base computation.)

Line 9. Gross Undistributed Collections. The amount of collections that the State or Tribe was unable to distribute during the quarter. [Calculated as Line 6 Minus Line 8; also calculated as the Sum of Lines 9a + 9b.]

Line 9a.     Undistributed Collections Determined to be Abandoned Property and Undistributable.     The portion of the amount reported on Line 9 that, despite numerous attempts, the State or Tribe has been unable to distribute in accordance with the provisions of Section 457 of the Social Security Act and is also unable to return to the non-custodial parent.  At the point in time when, in accordance with the specific provisions, time frames and circumstances mandated by law, the State or Tribe transfers these undistributable collections to an abandoned property office, the State treasury, a designated trust fund or some other account outside of the control of the State or Tribe title IV-D agency, the amounts are considered to have been classified as abandoned property and must be reported on this line.  (If State or Tribal law does not require that abandoned property be identified each quarter, this line may be left blank in quarters where such a determination is not made.) 

The amount on this line is also considered "program income" and must be included:

• By States: On Line 2b of Part 1 of Form OCSE-396, the "Child Support Enforcement Program Expenditure Report” and

• By Tribes: On Line 10m of Form SF-425, “Federal Financial Report.”

In the event that a collection now being reported as undistributable can be properly identified, distributed and disbursed in the future, this transaction and reporting can be reversed at that time. (See instructions for Line 3.)

(Note:  Some States or Tribes have internal accounting procedures where, once these undistributable collections are transferred outside the control of the IV-D agency to another office, account or fund of the State or Tribe or a political subdivision, they are no longer available to the State’s or Tribe’s child support enforcement program.  Regardless of these internal procedures, these funds are required to be reported as program income in the quarter in which they are first transferred outside the control of the IV-D agency)

• [This is a direct entry.  Enter as a positive number.]

Line 9b. Net Undistributed Collections. The amount of collections that remain undistributed at the end of this quarter and remain available for distribution in a future quarter.

• [Calculated as Line 9 Minus Line 9a.]

• [This amount is also reported on Line 1 of Part 2 of this report and is further itemized based on the rationale for its “undistributed” status.]

• [This amount is carried forward to Line 1 of Part 1 of Form OCSE-34 to be submitted for the next quarter.]

SECTION C. FEDERAL SHARE / FEES

Line 10a. Federal Share of Title IV-E Collections.

Tribes: Leave this line blank. Tribes are not required to calculate a Federal share of collections.

The portion of child support collections used to reimburse the Federal government for its share of past assistance payments under title IV-E of the Social Security Act.   The Total entered in Column G is carried forward and entered on Part I, Line 3, Column (b), of Form CB-496 ”Title IV-E Programs Quarterly Financial Report.”

• [Calculated as Line 7b, columns B and D, respectively, times the current quarter FMAP rate.]

Line 10b. Federal Share of Title IV-A Collections.

Tribes: Leave this line blank. Tribes are not required to calculate a Federal share of collections.

.

The portion of child support collections used to reimburse the Federal government for its share of past assistance payments under title IV-A of the Social Security Act. The Total entered in Column G is carried forward and entered on Part I, Line 9, Column B of Form OCSE-396, The “Quarterly Report of Expenditures and Estimates” for the Child Support Enforcement Program.

• [Calculated as Line 7b, columns A and C respectively, times the current quarter FMAP rate.]

Line 11. Fees Retained by Other State or Tribes. The amount of fees or costs recovered and retained by other State or Tribes from collections forwarded to the reporting State or Tribe. The net amount of the collection forwarded is reported on Line 2f. Amounts entered on this line are not included on any other line of this report. (The amount reported in this entry is used in the annual incentive payment calculation for States.)

• Note: International agreements currently in place between the United States government and foreign governments do not permit either country to retain a fee. If the reporting State enters into a separate reciprocal agreement with a foreign country or political subdivision not included in the international agreements that does permit fees to be retained from the collection, such fees must also be reported on this line.

• [This is a direct entry based on information received from other States and countries.]

PART 2: ITEMIZED UNDISTRIBUTED COLLECTIONS

(TRIBES: Completion of Part 2 is Optional.)

Part 2 of Form OCSE-34 provides a “snapshot” of the composition of the undistributed collection balance as reported on Line 9b of Part 1 as of the last business day of the fiscal quarter. It identifies undistributed collections by different definitional categories in Section A and by different age groupings in Section B. Whenever there is no entry that meets the criteria for a specific line, an entry of zero ($0) is acceptable for that line.

Line-by-Line Instructions:

Line 1. Net Undistributed Collections. The amount of collections that remain undistributed at the end of this quarter and remain available for distribution in a future quarter.

• [Carried Forward From Line 9b, Part 1]

• [Also calculated as the Sum of Lines 2 + 8, below and the Sum of Lines 14 through 20, below.]

SECTION A. NET UNDISTRIBUTED COLLECTIONS BY CATEGORY

Line 2. Portion of Net Undistributed Collections Pending Distribution. The portion of net undistributed collections reported above that have been identified and allocated to a particular account and which can reasonably be expected to be distributed and disbursed through normal processing at a date certain or a date determined by law in the near future. These undistributed collections include, but are not limited to:

1. collections that were received within the past two business days following receipt, and pending distribution within federal timelines;

2. collections being held for up to six months that were offset from refunds from joint Federal tax returns of Non-TANF families;

3. collections received and held for future support;

4. collections held pending resolutions of a legal dispute and any timely appeal (including but not limited to estate resolutions; contested paternity; contested tax, insurance, and pension intercepts; arrearage balance disputes; contested bank levies; contested seizures of lottery winnings, and other lump-sum seizures; etc.)

5. collections processed, but not yet transferred to other state or federal agencies administering programs, including TANF, Foster Care and Medicaid,

   • [Calculated as the Sum of Lines 3 through 7.]

Line 3. Collections Received Within the Past Two Business Days. The portion of the undistributed collections reported on Line 2 that was received from non-custodial parents within the last two business days of the quarter, but which was not distributed and disbursed by the end of the last business day of the quarter. It is expected that the amounts reported on this line will be disbursed within two business days of receipt, most likely on the first or second business day of the next quarter. (Where it is known that a collection will remain undistributed due to some other reason, e.g., “tax offsets,” “legal disputes,” “pending location,” “unidentified,” etc., the amount must be reported on the line appropriate to that category and not reported on Line 3.)

• [This is a direct entry.]

Line 4. Collections From Tax Offsets Being Held for Up To Six Months. The portion of the undistributed collections reported on Line 2 that was received from non-custodial parents through the offset of refunds from jointly-filed Federal tax returns. Those refunds, which may be held for a period of up to six months, are those that would be allocated and disbursed to Non-TANF families. It is expected that the amounts reported on this line will be disbursed when legal ownership of the tax refund has been determined, but in no case later than six months from the date of receipt.

• [This is a direct entry.]

Line 5. Collections Received and Being Held for Future Support. The portion of the undistributed collections reported on Line 2 that was received from non-custodial parents in an amount that exceeds the amount due for current support and any arrears and is intended as support for a future month. It is expected that the amounts reported on this line will be disbursed during one or more months following the end of the current quarter.

• [This is a direct entry.]

Line 6. Collections Being Held Pending the Resolution of Legal Disputes. The portion of the undistributed collections reported on Line 2 that was received from non-custodial parents and is being held pending either the expiration of the deadline for filing an administrative or judicial appeal or a decision resolving an administrative appeal or court action.  These legal disputes include the resolution of an estate, contested paternity, contested tax, insurance, and pension intercepts, contested arrearage balances, contested bank levies; contested seizures of lottery winnings, other lump-sum seizures and other similar issues.  It is expected that the amounts reported on this line will be disbursed immediately upon resolution of the legal dispute.

• [This is a direct entry.]   

Line 7. Collections Being Held Pending Transfer to Other State or Federal Agency. The portion of the undistributed collections reported on Line 2 that was received from non-custodial parents and is being held pending their transfer to other Federal or non-Federal programs, including TANF, Foster Care and Medicaid. It is expected that the amounts reported on this line will be disbursed within 30 days of the end of the current quarter.

• [This is a direct entry.]

Line 8. Portion of Net Undistributed Collections Unresolved. The portion of net undistributed collections reported above that either have not been fully identified or allocated and do not have a definite disbursement date due to insufficient information. These undistributed collections include, but are not limited to:

(i) unidentified collections;

2. collections pending the location of the custodial or noncustodial parent;

3. collections initially disbursed by check that remains uncashed and is now considered stale-dated and non-negotiable in accordance with State law and procedures;

4. collections with inaccurate or missing information, including, but not limited to, information to be supplied by an employer or where the amount of the payment does not equal the transmittal amount; collections received on cases with no open or active account; and other data issues;

5. Other collections remaining undistributed.

   • [Calculated as the Sum of Lines 9 through 13.]

Line 9. Unidentified Collections. The portion of the undistributed collections reported on Line 8 that was received in a manner that prevents it from being identified to the specific case to which the collection should be allocated. It is expected that the amounts reported on this line will remain in this status for an indefinite period until identification becomes possible or until the collection meets the State criteria to be escheated as “abandoned property,” and transferred to Line 9a of Part 1 of this form.

• [This is a direct entry.]

Line 10. Collections Being Held Pending the Location of the Custodial or Non-Custodial Parent. The portion of the undistributed collections reported on Line 8 that was received and was allocated to a specific case. This includes payments to custodial parents, refunds to non-custodial parents or other payments that cannot be disbursed due to the unknown whereabouts of the intended payee of the collection. It is expected that the amounts reported on this line will remain in this status for an indefinite period until either the payee is located, a refund is made to the payer (if appropriate under State procedures) or until the collection meets the State criteria to be escheated as “abandoned property,” and transferred to Line 9a of Part 1 of this form.

• [This is a direct entry.]

Line 11. Collections Disbursed but Uncashed and Stale-Dated. The portion of the undistributed collections reported on Line 8 that was received and was allocated to a specific case and properly disbursed by check. The check was subsequently not cashed by the intended recipient, is now considered stale-dated and non-negotiable in accordance with State law and procedures. It is expected that the amounts reported on this line will remain in this status only until the collection is re-disbursed to a parent at a reliable address or until the amount is recharacterized as “Pending the Location of the...Parent” and transferred to Line 10 of this report.

• [This is a direct entry.]

Line 12. Collections With Inaccurate or Missing Information. The portion of the undistributed collections reported on Line 8 that was received and was allocated to a specific case, but cannot be properly disbursed due to inaccurate or missing information, including information to be supplied by an employer or where the amount of the payment does not equal the transmittal amount or collections received on cases with no open or active account; or other similar data issues. It is expected that the amounts reported on this line will remain in this status for an indefinite period until all necessary and accurate information becomes available or until the collection meets the State criteria to be escheated as “abandoned property,” and transferred to Line 9a of Part 1 of this form.

• [This is a direct entry.]

Line 13. Other Collections Remaining Undistributed. The portion of the undistributed collections reported on Line 8 that was received by the State but cannot be disbursed due to some inconsistent or anomalous situation not included in lines 9 through 12, above. It is expected that the amounts reported on this line will remain in this status for an indefinite period until the situation is rectified or until the collection meets the State criteria to be escheated as “abandoned property,” and transferred to Line 9a of Part 1 of this form.

• [This is a direct entry.]

SECTION B. NET UNDISTRIBUTED COLLECTIONS BY AGE

Line 14. Collections Remaining Undistributed Up to 2 Business Days. The portion of the net undistributed collections reported on Line 1 that remains undistributed for up to two business days from the date of receipt.

• [This is a direct entry.]

Line 15. Collections Remaining Undistributed More Than 2 Days but Not More Than 30 Days. The portion of the net undistributed collections reported on Line 1 that remains undistributed for more than two business days but equal to or less than 30 calendar days from the date of receipt.

• [This is a direct entry.]

Line 16. Collections Remaining Undistributed More Than 30 Days but Not More Than 6 Months. The portion of the net undistributed collections reported on Line 1 that remains undistributed for more than 30 calendar days but equal to or less than 6 months from the date of receipt.

• [This is a direct entry.]

Line 17. Collections Remaining Undistributed More Than 6 Months but Not More Than 1 Year. The portion of the net undistributed collections reported on Line 1 that remains undistributed for more than 6 months but equal to or less than 1 year from the date of receipt.

• [This is a direct entry.]

Line 18. Collections Remaining Undistributed More Than 1 Year but Not More Than 3 Years. The portion of the net undistributed collections reported on Line 1 that remains undistributed for more than 1 year but equal to or less than 3 years from the date of receipt.

• [This is a direct entry.]

Line 19. Collections Remaining Undistributed More Than 3 Years but Not More Than 5 Years. The portion of the net undistributed collections reported on Line 1 that remains undistributed for more than 3 years but equal to or less than 5 years from the date of receipt.

• [This is a direct entry.]

Line 20. Collections Remaining Undistributed More Than 5 Years. The portion of the net undistributed collections reported on Line 1 that remains undistributed for more than 5 years from the date of receipt.

• [This is a direct entry.] )