Rule-making#: / 08-5-14-1
Program: Child Support Enforcement / Rule Author: Anne Seymore / Phone: 303-866-4427
STATEMENT OF BASIS AND PURPOSE
Summary of the basis and purpose for the rule or rule change.
(State what the rule says or does, explain why the rule or rule change is necessary and what the program hopes to accomplish through this rule.)
The purpose of this rule is to implement two provisions of H.B. 08-1342: 1) the incentive provision and
2) the provision for eliminating Social Security Numbers from the face of child support orders.
The Social Security provisions eliminate the requirements that the parties’ Social Security Numbers be included on the face of child support orders. The Judicial Department will still collect and maintain the parties’ Social Security Numbers, but they will not be available to the public.
The incentive provision changes the percentage of the state share of retained collections passed through to the counties from fifty percent (50%) to one hundred percent (100%). The county departments of social/human services will now receive the full state share of retained collections. The incentive provision of H.B. 08-1342 provides additional funds to counties to replace funds lost through the Deficit Reduction Act (DRA) of 2005, which eliminated states’ ability to claim sixty-six percent (66%) Federal Financial Participation (FFP) from expenditures made using federal child support incentives.
The rule also eliminates reference to the “warm-up” year, which was in 2000, when incentives were allocated to all counties, even those who were not performing well. Since 2000, incentives have not been allocated to counties not performing at a sufficient level.
An emergency rule-making (which waives the initial APA noticing requirements) is necessary:
X / to comply with state/federal law and/orto preserve of the public health, safety and welfare
Explain: Sections 6, 7, 8, 10 and 11 of H.B. 08-1342 are effective July 1, 2008. Since the funds are available on July 1st, the corresponding rule changes must be effective as soon as possible. Upon adoption on an emergency basis, these rules will become effective on July 11, 2008.
Initial Review / 07/11/2008 / Final Adoption / 08/01/2008Proposed Effective Date / 07/11/2008 / EMERGENCY Adoption / 07/11/2008
DOCUMENT 4
STATEMENT OF BASIS AND PURPOSE (continued)
Authority for Rule:
State Board Authority: 26-1-107, C.R.S. (2007) – State Board to promulgate rules; 26-1-109, C.R.S. (2007) – State Board rules to coordinate with federal programs; 26-1-111, C.R.S. (2007) – State Board to promulgate rules for public assistance and welfare activities
Program Authority (give federal and/or state cite and a summary of the language authorizing the rule-making):
45 CFR 301 and 302 – requires the state Child Support Enforcement (CSE) program to maintain a state plan to conform to federal regulations; US Code 42-7-IV-D Section 655(a)(1) – prohibits states from receiving 66% Federal Financial Participation (FFP) on expenditures made using federal Child Support incentives
26-13-108, C.R.S. (2007), as amended by HB 08-1342 – counties entitled to state share of retained collections; 26-13-112.5, C.R.S. (2007) – child support incentives payments; 14-10-115 (4), C.R.S. (2007), as amended by HB 08-1342 – forms for calculating the child support order; 14-14-113(1)(b) C.R.S. (2007), as amended by HB 08-1342 – recording social security numbers; 19-4-116(9), C.R.S. (2007), as amended by HB 08-1342 – items to be included in a child support order; 26-13-114(7), C.R.S. (2007), as amended by HB 08-1342 – Family Support Registry orders; 26-13-127(2)(c), C.R.S. (2007), as amended by HB 08-1342 – information in the State Case Registry; 26-13.5-105(1)(d) C.R.S. (2007), as amended by HB 08-1342 – child support administrative order of financial responsibility
Yes / X / NoYes / X / No
Does the rule incorporate material by reference?
Does this rule repeat language found in statute?
If yes, please explain.
State Board Administration will send this rule-making package to CCI, OSPB and the JBC. The program has sent this rule-packet to which stakeholders?
County Directors, IV-D Task Force, IV-D Administrators, Office of Self-Sufficiency/Policy Advisory Committee (OSS/PAC) Subcommittee, Colorado Legal Services, Gary Grambort of Policy Studies Inc. (fatherhood group)
Attachments:
Regulatory Analysis
Overview of Proposed Rule
Stakeholder Comment Summary
REGULATORY ANALYSIS
1. List of groups impacted by this rule:
Which groups of persons will benefit, bear the burdens or be adversely impacted by this rule?
County social services offices will benefit from the incentive provision of this rule change. HB 08-1342 and the corresponding rule changes replace the funds lost through the Deficit Reduction Act (DRA) of 2005. The DRA prohibited states from claiming 66% FFP on any expenditures made using federal child support incentives.
County CSE Units, custodial parties, and non-custodial parents will benefit from the social security number provision of the rule, because the parties’ social security numbers will not be available to the public, thereby providing security against identity theft.
2. Describe the qualitative and quantitative impact:
How will this rule-making impact those groups listed above? How many people will be impacted? What are the short-term and long-term consequences of this rule?
For the incentive changes, HB 08-1342 and the corresponding Volume 6 rule changes make additional funds available to counties to replace the funds lost by the DRA mandate. The funds will be allocated and sent to counties quarterly, combined with the current half-state share incentives. The additional funds are added to the existing half-state share incentives, to make the state share incentives 100% of the state’s share of retained collections. The entire amount will be allocated to counties.
For the social security number changes, the effect is qualitative, as it provides security to all parties against identity theft.
3. Fiscal Impact:
For each of the categories listed below explain the distribution of dollars; please identify the costs, revenues, matches or any changes in the distribution of funds even if such change has a total zero effect for any entity that falls within the category. If this rule-making requires one of the categories listed below to devote resources without receiving additional funding, please explain why the rule-making is required and what consultation has occurred with those who will need to devote resources.
State Fiscal Impact (Identify all state agencies with a fiscal impact, including any CBMS change request costs required to implement this rule change)
H.B. 08-1342 moves $2,500,000 from the Temporary Assistance to Needy Families (TANF) block grants cash funds from retained child support collections to the CSE line to allocate and forward to counties as state share incentives. The move was previously discussed with TANF staff and there is no expected fiscal impact to IV-A. There is no system change needed as a result of this rule. The money will be added to the existing half-state share incentives and distributed to counties using the same process as currently exists.
The work to remove social security numbers from system generated forms will be absorbed by current staff.
REGULATORY ANALYSIS (continued)
County Fiscal Impact
Counties will keep the entire $2,500,000 that was moved from one line to another in the Long Bill. This money replaces the lost funds due to the DRA. Counties can use these funds to draw down 66% Federal Financial Participation (FFP) as well. The funds will be allocated to counties based on performance measures.
Federal Fiscal Impact
There is no federal impact from this rule change.
Other Fiscal Impact
There is no fiscal impact to any other entitities.
4. Data Description:
List and explain any data, such as studies, federal announcements, or questionnaires, you relied upon when developing this rule?
None necessary.
5. Alternatives to this Rule-making:
Describe any alternatives that were seriously considered. Are there any less costly or less intrusive ways to accomplish the purpose(s) of this rule? Explain why the program chose this rule-making rather than taking no action or using one of the listed alternatives.
None considered, because the current rules contain a description of and process for distributing half-state share incentives. The description needed to be changed to remove “half”, because the incentives are now the total state share of retained collections pursuant to legislation.
The Child Support Enforcement rules contain a list of the information that can be shared with people not a party to the case. The Social Security Number needs to be removed from that list.
OVERVIEW OF PROPOSED RULE
Compare and/or contrast the content of the current regulation and the proposed change.
Section Numbers / Current Regulation / Proposed Change /Stakeholder Comment
6.210.12, F / Instructions on when technicians can release case information / Removes the specification that the listed data will be included in support orders / __ / Yes / X / No6.804.1 / Defines child support incentive payments / Removes “half” from the definition of state incentives for county distribution / __ / Yes / X / No
6.804.2, G, H / Defines county and quarterly incentive / Removes “half” from the definition of state incentives / __ / Yes / X / No
6.804.5 / Defines total incentives / Removes “half” from the definition of state incentives / __ / Yes / X / No
6.804.6 / Lists the conversion table / Removes reference to a “warm-up year”, which has already passed. Removes the performance incentive factor for performance ratios lower than 40% / __ / Yes / X / No
6.804.61 / Lists the conversion table specifically for the Cost Effectiveness Ratio / Removes the performance incentive factor for performance ratios lower than $2.50 (40% performance factor) / __ / Yes / X / No
6.804.8 / Mandates reinvestment for federal incentives / Removes “half” from the definition of state incentives / __ / Yes / X / No
_
/Yes
/_
/No
STAKEHOLDER COMMENT SUMMARY
The following individuals and/or entities were contacted and informed that this rule-making was proposed:
County Directors, IV-D Task Force, IV-D Administrators, Office of Self-Sufficiency/Policy Advisory Committee (OSS/PAC) Subcommittee, Colorado Legal Services, Gary Grambort of Policy Studies Inc. (fatherhood group)
Comments were received from stakeholders on the proposed rule-making:
Yes / X / NoRule-making Form SBA-3c (6/02)
9 CCR 2504-1
CHILD SUPPORT ENFORCEMENT 6.210 6.210.12
6.210 SAFEGUARDING AND PROTECTING CONFIDENTIAL INFORMATION
Rev. eff. All information contained in electronic or paper case files of the Child Support
11/1/00 Enforcement program concerning the name(s) or identifying information of custodial parties, noncustodial parents, or children shall be considered confidential and shall be protected, except when otherwise provided for in this section.
6.210.1 RELEASE OF INFORMATION
6.210.11 Before any information is released and before any discussion is held with any individual
Rev. eff. or entity concerning an individual case, the requestor’s identity must be verified and the
9/1/99 purpose of the contact or request must be confirmed. If the request is made by fax, phone or Internet, information shall not be released until the requestor’s identity has been verified by requiring the requestor to provide unique identifying information such as Social Security Number, dates of birth for self or child(ren), court case number, child support case number, or Family Support Registry account number.
6.210.12 Child Support Enforcement workers shall release the name, mailing and/or residential
Rev. eff. address, Social Security Number, place of employment, day care amount, income,
11/1/00 health insurance information, and date of birth of custodial parties, noncustodial parents or children, and establishment or enforcement information concerning the legal obligation for support only in the following circumstances:
A. When clarification of information is required to provide the next appropriate Child Support Enforcement service authorized in Colorado law and described in the Child Support Enforcement state plan. For example, if a worker from a clerk and recorder’s office calls to clarify information contained in a Child Support Enforcement Unit’s request for a lien to be placed on real property, the child support worker may confirm what action is being requested of the clerk and recorder.
B. In the administration of the plan or any program approved under Part A (Temporary Assistance to Needy Families), Part B (Child Welfare), Part D (Child Support Enforcement), Part E (Foster Care) or Part F (Child Care Services) or Titles XIX (Medicaid) or XX (Social Services) of the Social Security Act, which is partially or fully funded by state or federal funds and provides assistance, in cash or in-kind, or services directly to individuals on the basis of need, including data which is necessary for fraud investigation or audit.
C. To assist any investigation, prosecution, or criminal or civil proceeding conducted in connection with the administration of any such state plans or programs.
D. To report to the appropriate state or county department staff information that has been reported, to a Child Support Enforcement worker, of suspected mental or physical injury, sexual abuse or exploitation, or negligent treatment of a child when circumstances indicate that the child’s health or welfare is threatened.
THIS REVISION: / VI00-5 / LAST REVISION: / VI-00-2 / REVISION NUMBERAdopted: / 9/8/2000 / Adopted: / 5/5/2000 / 8
Effective Date: / 11/1/2000 / Effective Date: / 7/1/2000
COLORADO DEPARTMENT OF HUMAN SERVICES
STAFF MANUAL VOLUME 6
CHILD SUPPORT ENFORCEMENT
9 CCR 2504-1
CHILD SUPPORT ENFORCEMENT 6.210.12 - 6.210.13
6.210.12 Child Support Enforcement workers shall release…only in the following circumstances: (continued)
E. In response to a request received from a party to the action or his/her attorney of record. Each party may verify the accuracy of the information related to him/her that is in the possession of the Child Support Enforcement Unit. If the requestor is shown as a child on the case action, even if the child has since reached the age of emancipation, that requestor is not a party to the action and the information shall not be released except upon issuance of a court order.
F. To provide the Social Security Number and dates of birth of the parties and of the children who are the subject of all statutorily required information to the court on child support orders and other documents that are completed by the CSE Unit and then filed with the court the parties’ residential and mailing addresses. This information will be included in support orders and other documents filed with the court unless there has been a court order of non-disclosure entered to suppress such information on that particular party.