Requires Comptroller General studies and pilot projects with respect to requiring State systems to pay the child support collected under a State plan to the individuals to whom the support is owed before making any payment to reimburse any State for AFDC provided with respect to the child in question.
Amends IRC to revise the Federal income tax refund offset mechanism.
(Sec. 499V) Expresses the sense of the Congress that States should encourage parents to use the State child support agency to process and distribute child support payments.
(Sec. 499W) Amends SSA title IV part D to:
(1) designate the separate organizational unit currently charged with various parentage and child support responsibilities as the OCSE;
(2) change OCSE's organizational structure.
(Sec. 499X and Y) Requires:
(1) the new OCSE Assistant Secretary to provide training assistance to the States;
(2) States to provide training of child support personnel; and
(3) the Secretary to study staffing at State child support enforcement programs and reduce payments to States that have not implemented recommended staffing levels.
(Sec. 499Z) Requires the Secretary to:
(1) authorize demonstration projects to test alternative approaches to incentive funding for State child support programs; and
(2) reduce payments to States which have not reinvested incentive payments in their child support programs.
Includes as "support" under SSA title IV part D with respect to incentive payments to States any premiums paid for health insurance coverage pursuant to a support order.
Expresses the sense of the Congress that States should not use amounts paid to them pursuant to SSA title IV part D, which are reinvested in child support activities, to supplant State funding of such activities.
(Sec. 499BB) Requires the Secretary to:
(1) contract for a study of OCSE's audit process to develop criteria and methodology for auditing activities of State child support enforcement agencies; and
(2) provide for State demonstration projects for the purpose of ensuring that custodial parents owned child support have a consistent source of income for the support of their children.
(Sec. 499CC) Expresses the sense of the Congress that:
(1) children should have a consistent source of income to meet their education and medical needs;
(2) the provision of public assistance to a custodial parent for the support of a child with respect to whom the noncustodial parent owes child support does not absolve the latter of the obligation to provide such support;
(3) the States must continue to vigorously pursue efforts to establish parentage and establish and enforce child support obligations; and
(4) OCSE should develop a mechanism to publicize the best State practices in child support.
Directs the Secretary to:
(1) consider applications from eligible States to conduct child support assurance demonstration projects; and
(2) submit an evaluation report on such projects to the Congress. (Sec. 499DD) Amends the IRC to establish in the Treasury a Children's Trust Fund to hold the contributions designated by individuals on their tax returns for funding child support programs.
(Sec. 499EE, FF, GG, and HH) Requires:
(1) the Comptroller General to study and report to the Congress on delinquent child support payments and the effectiveness of administrative versus judicial adjudication of parentage and child support cases; and
(2) OCSE to produce and update a certain compendium of State child support laws published by the National Conference of State Legislatures, and establish a permanent child support advisory committee.