H.R. 95 (104th): Interstate Child Support Act of 1995

104th Congress, 1995–1996. Text as of Jan 04, 1995 (Introduced).

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HR 95 IH

104th CONGRESS

1st Session

H. R. 95

To improve the interstate enforcement of child support and parentage court orders, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

January 4, 1995

Mrs. KENNELLY (for herself, Mr. LEWIS of Georgia, Ms. PELOSI, Ms. ESHOO, Ms. NORTON, Mr. EVANS, Mr. MEEHAN, Mr. FILNER, Mr. SERRANO, Mr. SHAYS, Mr. KLINK, Mrs. MEEK of Florida, and Mr. NEAL) introduced the following bill; which was referred to the Committee on Ways and Means and, in addition, to the Committees on Resources, Government Reform and Oversight, National Security, International Relations, the Judiciary, Banking and Financial Services, and House Oversight, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned


A BILL

To improve the interstate enforcement of child support and parentage court orders, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE; REFERENCE; TABLE OF CONTENTS.

    (a) SHORT TITLE- This Act may be cited as the ‘Interstate Child Support Act of 1995’.

    (b) REFERENCE TO SOCIAL SECURITY ACT- Except as otherwise specifically provided, wherever in this Act an amendment is expressed in terms of an amendment to or repeal of a section or other provision, the reference shall be considered to be made to that section or other provision of the Social Security Act.

    (c) TABLE OF CONTENTS- The table of contents of this Act is as follows:

      Sec. 1. Short title; reference; table of contents.

      Sec. 2. Findings, declarations, and purposes.

TITLE I--LOCATE AND CASE TRACKING

      Sec. 101. Expansion of functions of Federal Parent Locator Service.

      Sec. 102. Expansion of data bases accessed by parent locator systems.

      Sec. 103. Expansion of access to national network for location of parents.

      Sec. 104. Private access to locate and enforcement services.

      Sec. 105. National reporting of new hires and child support information.

      Sec. 106. Access to law enforcement records systems.

      Sec. 107. Broadcasting of warrants on State networks.

      Sec. 108. Case monitoring.

      Sec. 109. Access to financial records.

TITLE II--ESTABLISHMENT

      Sec. 201. Service of process on Federal employees and members of the armed services in connection with proceedings relating to child support and parentage obligations.

      Sec. 202. Presumed address of obligor and obligee.

      Sec. 203. Notice to custodial parents.

      Sec. 204. Uniform State rules in parentage and child support cases.

      Sec. 205. Fair Credit Reporting Act amendment.

      Sec. 206. National Child Support Guidelines Commission.

      Sec. 207. Guideline principles.

      Sec. 208. Duration of support.

      Sec. 209. Evidence.

      Sec. 210. Telephonic appearance in interstate cases.

      Sec. 211. Uniform terms in orders.

      Sec. 212. Social security numbers on marriage licenses, divorce decrees, parentage decrees, and birth certificates.

      Sec. 213. Administrative subpoena power.

      Sec. 214. Legal assistance programs.

      Sec. 215. Indian child support.

      Sec. 216. Support orders outreach and demonstrations.

TITLE III--PARENTAGE

      Sec. 301. Parentage.

TITLE IV--ENFORCEMENT

      Sec. 401. Direct wage withholding.

      Sec. 402. Priorities in application of withheld wages.

      Sec. 403. Additional benefits subject to garnishment.

      Sec. 404. Consumer Credit Protection Act amendments.

      Sec. 405. Prohibition against use of election of remedies doctrine to prevent collection of child support.

      Sec. 406. Hold on occupational, professional, and business licenses.

      Sec. 407. Driver’s licenses and vehicle registrations denied to persons failing to appear in child support cases.

      Sec. 408. Liens on certificates of vehicle title.

      Sec. 409. Attachment of bank accounts.

      Sec. 410. Seizure of lottery winnings, settlements, payouts, awards, and bequests, and sale of forfeited property, to pay child support arrearages.

      Sec. 411. Fraudulent transfer pursuit.

      Sec. 412. Full IRS collection.

      Sec. 413. Tax refund offset program expanded to cover non-AFDC post-minor children.

      Sec. 414. Attachment of public and private retirement funds.

      Sec. 415. Statutes of limitation.

      Sec. 416. Interest.

      Sec. 417. Armed Forces cooperation in enforcement of support obligations of members and former members of the Armed Forces.

      Sec. 418. States required to enact the Uniform Interstate Family Support Act.

      Sec. 419. IRS reconciliation process.

      Sec. 420. Denial of passports to noncustodial parents subject to State arrest warrants in cases of nonpayment of child support.

      Sec. 421. Denial of Federal benefits, loans, guarantees, and employment to certain persons with large child support arrearages.

      Sec. 422. States required to order courts to allow assignment of life insurance benefits to satisfy child support arrearages.

      Sec. 423. Interests in jointly held property subject to assignment to satisfy child support arrearages.

      Sec. 424. International child support enforcement.

TITLE V--COLLECTION AND DISTRIBUTION

      Sec. 501. Priorities in distribution of collected child support.

      Sec. 502. State claims against noncustodial parent limited to assistance provided to the child.

      Sec. 503. Fees for non-AFDC clients.

      Sec. 504. Collection and disbursement points for child support.

      Sec. 505. Sense of the Congress that States should encourage parents to use the State child support agency to collect and process child support payments.

TITLE VI--FEDERAL ROLE

      Sec. 601. Placement and role of the Office of Child Support Enforcement.

      Sec. 602. Training.

      Sec. 603. Staffing.

      Sec. 604. Demonstration projects to test alternative approaches to incentive funding for State child support programs.

      Sec. 605. Child support definition.

      Sec. 606. Audits.

      Sec. 607. Child support assurance demonstration projects.

      Sec. 608. Children’s trust fund.

      Sec. 609. Study of reasons for nonpayment of child support.

      Sec. 610. Study of effectiveness of administrative processes; report.

      Sec. 611. Publication of best child support practices.

      Sec. 612. Establishment of permanent child support advisory committee.

TITLE VII--STATE ROLE

      Sec. 701. Advocation of children’s economic security.

      Sec. 702. Duties of State child support agencies.

      Sec. 703. Sense of the Congress regarding quality of and accessibility to child support services.

      Sec. 704. Process for change of payee in IV-D cases.

      Sec. 705. Sense of the Congress supporting use of administrative procedures in child support cases.

      Sec. 706. Sense of the Congress supporting establishment of State child support councils.

TITLE VIII--JOBS FOR UNEMPLOYED NONCUSTODIAL PARENTS

      Sec. 801. Parents Fair Share Demonstration Projects.

TITLE IX--EFFECTIVE DATE

      Sec. 901. Effective date.

SEC. 2. FINDINGS, DECLARATIONS, AND PURPOSES.

    (a) FINDINGS- The Congress finds that--

      (1) there is a large and growing number of child support and parentage cases annually involving disputes between parents or presumed parents who reside in different States;

      (2) the laws by which the courts of the various States determine their authority to establish, enforce, or modify a child support order, or to determine parentage are not uniform;

      (3) those laws, along with the limits imposed by a Federal system, on the authority of each State to take certain actions outside its own boundaries, contribute to--

        (A) the pressing problem of parties moving to avoid jurisdiction;

        (B) inequities based solely on choice of domicile;

        (C) disregard of court orders resulting in massive arrearages nationwide;

        (D) excessive relitigation of cases;

        (E) the establishment of conflicting orders by the courts of various States; and

        (F) interjurisdiction travel and communication that is so expensive and time consuming as to disrupt parties’ occupations and commercial activities; and

      (4) among the results of these conditions are--

        (A) the failure of the courts of such jurisdictions to give full faith and credit to the judicial proceedings of the other States;

        (B) the deprivation of rights of liberty and property without due process of law;

        (C) burdens on commerce among the States; and

        (D) harm to the welfare of children and their parents and other custodians.

    (b) DECLARATION- Based on the findings stated in subsection (a), it is necessary to establish national standards under which the courts of each State will determine their jurisdiction to establish, enforce, or modify a child support order, or to determine parentage and the effect to be given by each State to such determinations by the courts of other States.

    (c) PURPOSES- The purposes of this Act are to--

      (1) expand the forums available to establish, enforce, or modify a child support order, or to determine parentage so that such actions may be heard in the State that has the strongest interest in the child’s financial security;

      (2) promote and expand the exchange of information and other forms of mutual assistance between States that are concerned with the same child;

      (3) facilitate the enforcement of support decrees among the States;

      (4) discourage continuing interstate controversies over child support in the interest of greater financial stability and secure family relationships for the child; and

      (5) avoid jurisdictional competition and conflict between courts in matters relating to the establishment, enforcement, and modification of child support orders, and to the determination of parentage, which have resulted in the movement of parties among States and a low percentage of interstate cases with support orders, thereby adversely affecting children’s well-being.

    (d) STATE- For purposes of this section, the term ‘State’ means the several States, the District of Columbia, the Commonwealth of Puerto Rico, the territories and possessions of the United States, and Indian country (as defined in section 1151 of title 18, United States Code).

TITLE I--LOCATE AND CASE TRACKING

SEC. 101. EXPANSION OF FUNCTIONS OF FEDERAL PARENT LOCATOR SERVICE.

    (a) IN GENERAL- Section 453 (42 U.S.C. 653) is amended--

      (1) in subsection (a), by striking ‘enforcing support obligations against such parent’ and inserting ‘establishing parentage, establishing, modifying, and enforcing child support obligations, and enforcing child visitation rights and responsibilities, and which shall use safeguards to prevent the disclosure of information in cases that would jeopardize the safety of the custodial parent or any child of the custodial parent’;

      (2) in subsection (b), by inserting after the 2nd sentence the following: ‘Information with respect to an absent parent shall not be disclosed to any person if the disclosure would jeopardize the safety of the custodial parent or any child of the custodial parent. Information with respect to an absent parent shall not be disclosed to any person (other than the custodial parent) unless the custodial parent has been notified in advance of the disclosure.’; and

      (3) in subsection (d), by inserting ‘and such reasonable fees’ after ‘such documents’.

    (b) SENSE OF THE CONGRESS- It is the sense of the Congress that--

      (1) the denial of visitation rights under a child support order should be treated as irrelevant in any action brought to enforce the support provisions of the order; and

      (2) the failure to pay child support pursuant to a child support order should be treated as irrelevant in any action brought to enforce visitation rights under the order.

SEC. 102. EXPANSION OF DATA BASES ACCESSED BY PARENT LOCATOR SYSTEMS.

    (a) ADDITIONAL INFORMATION FOR FEDERAL PARENT LOCATOR SERVICE- Section 453 (42 U.S.C. 653) is amended--

      (1) in subsection (b), by striking ‘the most recent address and place of employment’ and inserting ‘the most recent residential address, employer name and address, and amounts and nature of income and assets’;

      (2) in subsection (c)(3), by striking ‘the resident parent’ and inserting ‘either parent’; and

      (3) in subsection (e), by adding at the end the following:

    ‘(4) The Secretary of the Treasury shall enter into an agreement with the Secretary to provide prompt access by the Secretary (in accordance with this subsection and section 6103(l)(6) of the Internal Revenue Code of 1986) to the quarterly estimated Federal income tax returns filed by individuals with the Internal Revenue Service.’.

    (b) STATE INFORMATION- Section 466(a) (42 U.S.C. 666(a)) is amended by inserting after paragraph (10) the following:

      ‘(11) Procedures under which the State child support enforcement agency shall have automated on-line or batch access (or, if necessary, nonautomated access) to information regarding residential addresses, employers and employer addresses, income and assets, and medical insurance benefits with respect to absent parents that is available through any data base maintained by--

        ‘(A) any agency of the State or any political subdivision thereof, that contains information on residential addresses, or on employers and employer addresses, as the State deems appropriate;

        ‘(B) any publicly regulated utility company located in the State;

        ‘(C) any credit reporting agency located in the State; and

        ‘(D) any trade or labor union located in the State.

      ‘(12) Procedures under which the State child support enforcement agency shall--

        ‘(A) maintain a child support order registry which shall include each child support order (or an abstract thereof) issued or modified in the State on or after the effective date of this paragraph; and

        ‘(B) transmit electronically to the Office of Child Support Enforcement an abstract of each such order, containing such information and in such form as the Secretary may prescribe pursuant to section 452(a)(11).’.

    (c) FEDERAL REGISTRY OF ABSTRACTS OF CHILD SUPPORT ORDERS- Section 452(a) (42 U.S.C 652(a)), as amended by section 212(a) of this Act, is amended--

      (1) in paragraph (10), by striking ‘and’ after the semicolon;

      (2) in paragraph (11), by striking the period at the end of the 2nd sentence and inserting ‘; and’; and

      (3) by adding at the end the following:

      ‘(12) maintain a registry of all child support order abstracts received from States pursuant to section 466(a)(12)(B).’.

    (d) SENSE OF THE CONGRESS- It is the sense of the Congress that the Secretary of Health and Human Services should investigate, pursuant to section 453(e) of the Social Security Act, accessing Federal data banks that are not linked to the Parent Locator Service which are more than marginally useful in locating absent parents.

SEC. 103. EXPANSION OF ACCESS TO NATIONAL NETWORK FOR LOCATION OF PARENTS.

    (a) IN GENERAL- Section 453 (42 U.S.C. 653) is amended by adding at the end the following:

    ‘(g) The Secretary shall expand the Parent Locator Service to establish a national network based on the comprehensive statewide child support enforcement systems developed by the States, to--

      ‘(1) allow each State to--

        ‘(A) locate any absent parent who owes child support, for whom a child support obligation is being established, or for whom an order for visitation is being enforced, by--

          ‘(i) accessing the records of other State agencies and sources of locate information directly from one computer system to another; and

          ‘(ii) accessing Federal sources of locate information in the same fashion;

        ‘(B) access the files of other States to determine whether there are other child support orders and obtain the details of those orders;

        ‘(C) provide for both on-line and batch processing of locate requests, with on-line access restricted to cases in which the information is needed immediately (for such reasons as court appearances) and batch processing used to ‘troll’ data bases to locate individuals or update information periodically; and

        ‘(D) direct locate requests to individual States or Federal agencies, broadcast requests to selected States, or broadcast cases to all States when there is no indication of the source of needed information;

      ‘(2) provide for a maximum of 48-hour turnaround time for information to be broadcast and returned to a requesting State;

      ‘(3) provide ready access to courts of the information on the network by location of a computer terminal in each court; and

      ‘(4) access the registry of child support orders for public and private cases maintained at the State level by the State agencies as described in section 466(a)(12).’.

    (b) EXPANDED STATE INTERACTION WITH NATIONAL NETWORK- Section 454(16) (42 U.S.C. 654(16)) is amended--

      (1) by striking ‘and (E)’ and inserting ‘(E)’; and

      (2) by striking ‘enforcement;’ and inserting ‘enforcement, and (F) to provide access to the national network developed pursuant to section 453(g);’.

    (c) SENSE OF THE CONGRESS- It is the sense of the Congress that the national network established under section 453(g) of the Social Security Act should be used to access State records only through the agency that administers the State plan approved under part D of title IV of such Act.

SEC. 104. PRIVATE ACCESS TO LOCATE AND ENFORCEMENT SERVICES.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 102(b) of this Act, is amended by inserting after paragraph (12) the following:

      ‘(13)(A) Procedures under which private attorneys and pro se obligees must be given access to State locate resources and through enforcement techniques of the State child support enforcement agency, for the purpose of establishing, modifying, and enforcing child support, visitation, and parentage orders, in accordance with safeguards established--

        ‘(i) to provide the custodial parent advance notice of any release of information with respect to a noncustodial parent; and

        ‘(ii) to prevent release of information with respect to a noncustodial parent if the release may jeopardize the safety of the noncustodial parent, the custodial parent, or any child of either parent; and

      ‘(B) The procedures described in subparagraph (A) must require the State--

        ‘(i) to develop and publish guidelines implementing the safeguards described in subparagraph (A); and

        ‘(ii) if the State provides for reasonable fees for the access referred to in subparagraph (A), to establish such fees in accordance with guidelines developed and published by the State that set schedules for such fees.’.

SEC. 105. NATIONAL REPORTING OF NEW HIRES AND CHILD SUPPORT INFORMATION.

    (a) FEDERAL IMPLEMENTATION OF SYSTEM-

      (1) IN GENERAL- The Secretary of the Treasury, in consultation with the Secretary of Labor, shall establish a system of reporting of new employees by requiring employers to provide a copy of every new employee’s W-4 form to the employment security agency of the State in which the employment is located.

      (2) EXPANDED USE OF FORM- The Secretary of the Treasury shall modify the W-4 form to be completed by a new employee to enable the employee to indicate on the form--

        (A) whether the employee owes child support, and if so--

          (i) to whom the support is payable and the amount of the support payable; and

          (ii) whether the support is to be paid through wage withholding; and

        (B) whether health care insurance is available to the new employee, and, if so, whether the new employee has obtained such insurance for the dependent children of the new employee.

      (3) EMPLOYER WITHHOLDING OBLIGATION-

        (A) IN GENERAL- Subtitle C of the Internal Revenue Code of 1986 (relating to employment taxes) is amended by inserting after chapter 24 the following new chapter:

‘CHAPTER 24A--COLLECTION OF CHILD SUPPORT OBLIGATIONS AT SOURCE ON WAGES

‘Sec. 3411. Child support obligations collected at source.

‘SEC. 3411. CHILD SUPPORT OBLIGATIONS COLLECTED AT SOURCE.

    ‘(a) REQUIREMENT OF WITHHOLDING- Every employer making payment of wages shall deduct and withhold upon such wages a specified child support obligation amount.

    ‘(b) SPECIFIED CHILD SUPPORT OBLIGATION AMOUNT- For purposes of this chapter, the specified child support obligation amount with respect to any employee shall be determined based on--

      ‘(1) information provided by the employee, or, if an agency of the State in which the employer is located notifies the employer that such information is inaccurate, information provided by the agency; and

      ‘(2) information contained in any wage withholding order received by the employer from any State.

    ‘(c) LIABILITY FOR PAYMENT- The employer shall be liable for the payment of the specified child support obligation amount to the individual entitled to such payment.

    ‘(d) SPECIAL RULES- For purposes of this chapter (and so much of subtitle F as relates to this chapter), any specified child support obligation amount shall be treated as if it were a tax withheld under chapter 24 and rules similar to the rules of such chapter shall apply.’

        (B) CLERICAL AMENDMENT- The table of chapters of subtitle C of the Internal Revenue Code of 1986 is amended by inserting after the item relating to chapter 24 the following new item:

‘CHAPTER 24A. Child support obligations collected at source.’

      (4) WITHHELD CHILD SUPPORT OBLIGATIONS REPORTED ON W-2 FORMS- Subsection (a) of section 6051 of the Internal Revenue Code of 1986 (relating to receipts for employees) is amended by striking ‘and’ at the end of paragraph (8), by striking the period at the end of paragraph (9) and inserting ‘, and’, and by inserting after paragraph (9) the following new paragraph:

      ‘(10) the total amount of specified child support obligations withheld under section 3411.’

    (b) STATE IMPLEMENTATION OF SYSTEM- Section 466(a) (42 U.S.C. 666(a)), as amended by section 104 of this Act, is amended by inserting after paragraph (13) the following:

      ‘(14) Procedures under which the State shall--

        ‘(A) use the Parent Locator Service established under section 453 to access information in the national registry of child support orders maintained pursuant to section 452(a)(12) with respect to new employee, compare such information with the information reported on W-4 forms of new employees, and identify child support obligations not reported on such forms;

        ‘(B) if child support information from the W-4 form of a new employee agrees with information with respect to the new employee in the national registry of child support orders maintained pursuant to section 452(a)(12), notify the individual owed the support (or the individual’s designee) of such information;

        ‘(C) notify an employer of any new employee who has not reported on the W-4 form a child support obligation of the new employee, using the wage withholding order developed under section 452(a)(14);

        ‘(D) impose monetary penalties on--

          ‘(i) any individual who owes child support and fails to report the obligation to provide the support on a Federal income tax W-4 form at time of employment;

          ‘(ii) any employer who fails to forward a W-4 form for a new employee to the State employment security agency within 10 calendar days of the date of the first payroll from which the new employee is paid; and

          ‘(iii) any employer who fails to withhold from the pay of any new employee who reports a child support obligation on a W-4 form an amount equal to the support owed, or fails to pay to the individual owed the obligation the amount so withheld, within 10 calendar days of the date of the payroll, using electronic funds transfer, if possible, unless otherwise notified by a State agency;

        ‘(E) provide the services described in this paragraph to any individual owed child support who applies for assistance under the State plan; and

        ‘(F) on request of another State, broadcast over the Parent Locator Service to such other State child support information from W-4 forms that have been sent to the State employment security agency.’.

SEC. 106. ACCESS TO LAW ENFORCEMENT RECORDS SYSTEMS.

    (a) ACCESS BY CHILD SUPPORT ENFORCEMENT AGENCIES- The head of the National Criminal Information Center, the head of the National Law Enforcement Telecommunications Network, and the head of any other national or regional system for tracking individuals shall each--

      (1) allow Federal, State, and local child support enforcement agencies access to the information of the system for purposes of establishing paternity or a child support obligation of an individual tracked by the system, using appropriate safeguards to prevent improper release of such information; and

      (2) if an access code is required to gain such access, provide the access code to each child support enforcement agency that applies for the code.

    (b) LOSS OF FEDERAL FUNDING- A non-Federal system for tracking individuals that fails to comply with paragraphs (1) and (2) of subsection (a) shall not be eligible to receive Federal funding for the system.

SEC. 107. BROADCASTING OF WARRANTS ON STATE NETWORKS.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 105 of this Act, is amended by inserting after paragraph (14) the following:

      ‘(15) Procedures under which the State--

        ‘(A) shall broadcast on any State or local crime information system each failure-to-appear warrant, capias, and bench warrant issued by a State court in any proceeding related to child support; and

        ‘(B) shall, in a criminal case, remit to any individual to whom the defendant owes child support any security posted by or on behalf of the defendant and forfeited, to the extent of any arrearage in the payment of the support.’.

SEC. 108. CASE MONITORING.

    Section 454(16)(E) (42 U.S.C. 654(16)(E)) is amended by inserting ‘, not less frequently that once every 3 years’ before the semicolon.

SEC. 109. ACCESS TO FINANCIAL RECORDS.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 105 of this Act, is amended by inserting after paragraph (15) the following:

      ‘(16) Procedures under which the State may obtain access to financial records maintained with respect to any person by any financial institution doing business in the State, for the purpose of establishing or enforcing a child support obligation of the person.’.

TITLE II--ESTABLISHMENT

SEC. 201. SERVICE OF PROCESS ON FEDERAL EMPLOYEES AND MEMBERS OF THE ARMED SERVICES IN CONNECTION WITH PROCEEDINGS RELATING TO CHILD SUPPORT AND PARENTAGE OBLIGATIONS.

    Part D of title IV (42 U.S.C. 651-670) is amended by inserting after section 460 the following:

‘SEC. 460A. SERVICE OF PROCESS ON FEDERAL EMPLOYEES AND MEMBERS OF THE ARMED SERVICES IN CONNECTION WITH PROCEEDINGS RELATING TO CHILD SUPPORT AND PARENTAGE OBLIGATIONS.

    ‘(a) IN GENERAL- The head of each Government agency shall, in accordance with applicable regulations under subsection (b), designate an agent for receipt of service of process, for any Federal employee or member of the Armed Forces serving in or under such agency, in connection with an action, brought in a court of competent jurisdiction within any State, territory, or possession of the United States, for obtaining a child support order or for establishing parentage.

    ‘(b) REGULATIONS- Regulations governing the implementation of this section with respect to the executive, legislative, or judicial branch of the Government shall be promulgated by the authority or authorities responsible for promulgating regulations under section 461 with respect to the branch of Government involved.

    ‘(c) INTERPRETIVE RULE- This section shall not be construed to prevent any otherwise eligible individual from requesting or being granted a stay or continuance in any judicial proceeding, including a judicial proceeding under the Soldiers’ and Sailors’ Civil Relief Act of 1940 (50 U.S.C. App. 501 et seq.).

    ‘(d) GOVERNMENT AGENCY DEFINED- For purposes of this section, the term ‘Government agency’ means each agency of the Federal Government, including--

      ‘(1) an Executive agency (as defined by section 105 of title 5, United States Code);

      ‘(2) the Department of Defense, to the extent that any Federal employee serving in or under that agency or any member of the Armed Services is involved;

      ‘(3) the United States Postal Service and the Postal Rate Commission;

      ‘(4) the government of the District of Columbia;

      ‘(5) an agency within the legislative or judicial branch of the Government; and

      ‘(6) an advisory committee to which the Federal Advisory Committee Act applies.’.

SEC. 202. PRESUMED ADDRESS OF OBLIGOR AND OBLIGEE.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 107 of this Act, is amended by inserting after paragraph (16) the following:

      ‘(17) Procedures under which the State shall--

        ‘(A) require the court or administrative agency with authority to issue the final order in a child support or parentage case to require each party subject to the order to file with the court or administrative agency, on or before the date the order is issued--

          ‘(i) the party’s residential address or addresses;

          ‘(ii) the party’s mailing address or addresses;

          ‘(iii) the party’s home telephone number or numbers;

          ‘(iv) the party’s driver’s license number;

          ‘(v) the party’s social security account number;

          ‘(vi) the name of each employer of the party;

          ‘(vii) the addresses of each place of employment of the party; and

          ‘(viii) the party’s work telephone number or numbers;

        ‘(B) require the court or administrative agency in any action related to child support to presume, for the purpose of providing sufficient notice (other than the initial notice in an action to establish parentage or a child support order), that the noncustodial parent resides at the last residential address given by the noncustodial parent to the court or agency, or a more recent address provided in good faith by the parent owed the support obligation; and

        ‘(C) ensure that information concerning the location of a custodial parent or a child of the custodial parent is not released to a noncustodial parent if a court order has been issued against the noncustodial parent for the physical protection of the custodial parent or the child.’.

SEC. 203. NOTICE TO CUSTODIAL PARENTS.

    Section 454 (42 U.S.C. 654) is amended--

      (1) by striking ‘and’ at the end of paragraph (23);

      (2) by striking the period at the end of paragraph (24) and inserting ‘; and’; and

      (3) by inserting after paragraph (24) the following:

      ‘(25) provide that the agency administering the plan--

        ‘(A) shall make reasonable attempts to provide timely notice to any individual owed child support of any proceeding to establish, modify, or enforce the support obligation;

        ‘(B) shall not delay any such proceeding solely due to the failure of the custodial parent to appear; and

        ‘(C) shall, within 14 days after the date an order that establishes, modifies, or enforces a child support obligation is issued, provide the custodial parent of the child with a copy of the order.’.

SEC. 204. UNIFORM STATE RULES IN PARENTAGE AND CHILD SUPPORT CASES.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 202 of this Act, is amended by inserting after paragraph (17) the following:

      ‘(18) Procedures under which, in the State--

        ‘(A) a party may, in a single cause of action, seek judicial determination of the parentage of a child and judicial establishment of a child support order with respect to the child;

        ‘(B) the venue for determination of parentage of a child shall be in the county of residence of the child;

        ‘(C) a court or agency that issues a parentage or child support order shall have continuing and exclusive jurisdiction over the order until the court or agency transfers such jurisdiction to the appropriate court or agency in the county of residence of the child, or the parties consent to be bound by another court or agency in the State that has subject matter jurisdiction;

        ‘(D) proceedings to enforce or modify of a child support order may be transferred to the city, county, or district in which the child resides without any requirement that the order be filed or the defendant be served again;

        ‘(E) a court or agency that hears a parentage or child support cases shall have statewide jurisdiction over the parties to the case, and the parentage and child support orders issued by the court or agency shall have statewide effect for enforcement purposes; and

        ‘(F) denial of visitation rights may not be used as a defense in an action to enforce an obligation to provide child support and the failure to provide child support may not be used as a defense in an action to enforce visitation rights.’.

SEC. 205. FAIR CREDIT REPORTING ACT AMENDMENT.

    Section 604 of the Consumer Credit Protection Act (15 U.S.C. 1681b) is amended by adding at the end the following:

    ‘(4) To a State agency administering a State plan under section 454 of the Social Security Act, for use to establish or modify a child support award.’.

SEC. 206. NATIONAL CHILD SUPPORT GUIDELINES COMMISSION.

    (a) ESTABLISHMENT- There is hereby established a commission to be known as the ‘National Child Support Guidelines Commission’ (in this section referred to as the ‘Commission’).

    (b) GENERAL DUTIES- The Commission shall convene a conference to study the desirability of a national child support guideline, and if such guideline is advisable, the Commission shall develop for congressional consideration a national child support guideline that is based on the conference’s study of various guideline models, the deficiencies of such models, and any needed improvements, taking into consideration differences in the cost of living in different areas of the United States. In developing such guideline, the Commission shall consider indexing the guideline to the cost of living, specifying minimum (rather than maximum) amounts, or using other methodologies to reflect such differences.

    (c) MEMBERSHIP-

      (1) NUMBER; APPOINTMENT-

        (A) IN GENERAL- The Commission shall be composed of 9 individuals appointed jointly by the Secretary of Health and Human Services and the Congress, not later than March 15, 1996.

        (B) QUALIFICATIONS OF MEMBERS- Members of the Commission shall be appointed from among those who are able to provide expertise and experience in the evaluation and development of child support guidelines.

      (2) TERMS OF OFFICE- Each member shall be appointed for a term of 2 years. A vacancy in the Commission shall be filled in the manner in which the original appointment was made.

    (d) COMMISSION POWERS, COMPENSATION, ACCESS TO INFORMATION, AND SUPERVISION- The first sentence of subparagraph (C), the first and third sentences of subparagraph (D), subparagraph (F) (except with respect to the conduct of medical studies), clauses (ii) and (iii) of subparagraph (G), and subparagraph (H) of section 1886(e)(6) of the Social Security Act shall apply to the Commission in the same manner in which such provisions apply to the Prospective Payment Assessment Commission.

    (e) REPORT- Not later than 2 years after the appointment of members, the Commission shall submit to the President, the Committee on Ways and Means of the House of Representatives, and the Committee on Finance of the Senate, a report on the results of the study described in subsection (b) and the final assessment by the Commission of issues relating to a national child support guideline.

    (f) TERMINATION- The Commission shall terminate upon the submission of the report described in subsection (e).

SEC. 207. GUIDELINE PRINCIPLES.

    Section 467 (42 U.S.C. 667) is amended by adding at the end the following:

    ‘(d) The guidelines established pursuant to subsection (a) shall be based on, and applied in accordance with, the following principles:

      ‘(1) A change in the child support amount resulting from the application of the guidelines since the entry of the last support order is sufficient reason for modification of a child support obligation without the necessity of showing any other change in circumstance. The State may set a minimum timeframe between reviews of modifications based on the guidelines, absent other changes in circumstances.

      ‘(2) Not later than January 1, 1997, each State shall establish automatic child support order review procedures based on the automated calculation of the amount of support to which a child is entitled, to ensure that the amount is sufficient to meet the needs of the child, and takes into account any changes in the income of the parents of the child.

      ‘(3) The State shall advise any custodial parent who is not receiving aid under a State plan approved under part A of the review of a child support award made with respect to a child of the custodial parent, of any proposed modification in the amount of the award based on the review, and of the right of the custodial parent to decline to seek the modification.

    ‘(e) The guidelines established pursuant to subsection (a) may consider the treatment of the following:

      ‘(1) Work-related or job-training-related child care expenses of either parent for the care of children of either parent.

      ‘(2) Health insurance and related uninsured health care expenses, and school expenses incurred on behalf of the child for whom the child support order is sought.

      ‘(3) Multiple family child raising obligations other than those for the child for whom the child support order is sought.

    ‘(f) Each State must publish the guidelines established pursuant to subsection (a).’.

SEC. 208. DURATION OF SUPPORT.

    (a) IN GENERAL- Section 466(a) (42 U.S.C. 666(a)), as amended by section 205 of this Act, is amended by inserting after paragraph (17) the following:

      ‘(18) Procedures under which the State--

        ‘(A) imposes on 1 or both parents of a child an obligation to continue to provide support for the child until not earlier than the later of the date the child attains 18 years of age or the date the child is graduated from or is no longer enrolled in secondary school or its equivalent, unless the child is married or is otherwise emancipated by a court of competent jurisdiction;

        ‘(B) provides that courts with jurisdiction over child support cases may, in accordance with criteria established by the State, order--

          ‘(i) child support, payable to an adult child, at least up to the age of 22 years for a child enrolled in an accredited postsecondary or vocational school or college who is a student in good standing; and

          ‘(ii) either or both parents to pay for postsecondary school support based on each parent’s financial ability to pay;

        ‘(C) provides for child support to continue beyond the child’s minority if the child is disabled, unable to be self-supportive, and the disability arose during the child’s minority; and

        ‘(D) provides that courts should consider the effect of child support received on means-tested governmental benefits and whether to credit governmental benefits against a support award amount.’.

    (b) SENSE OF THE CONGRESS- It is the sense of the Congress that, if children receive child support while obtaining postsecondary education, they will attain higher levels of education affording them a greater chance to break the welfare cycle.

SEC. 209. EVIDENCE.

    (a) NATIONAL SUBPOENA DUCES TECUM- Section 452(a) (42 U.S.C. 652(a)), as amended by sections 210(a) and 102(c) of this Act, is amended--

      (1) by striking ‘and’ at the end of paragraph (11);

      (2) by striking the period at the end of paragraph (12) and inserting a semicolon; and

      (3) by inserting after paragraph (12) the following:

      ‘(13) develop and distribute a national subpoena duces tecum, which shall be designed to be used by any State or local child support agency or child support litigant to reach income information on the prior 12 months of income or on accumulated income to date of any recipient of income;

      ‘(14) establish a simplified certification process and admissibility procedure for out-of-State documents in child support or parentage cases.’.

    (b) STATE LAWS- Section 466(a) (42 U.S.C. 666(a)), as amended by section 208 of this Act, is amended by inserting after paragraph (19) the following:

      ‘(20) Procedures under which--

        ‘(A) in a child support case in the State--

          ‘(i) the subpoena duces tecum developed pursuant to section 452(a)(13) shall be used, if necessary, to reach income information on the prior 12 months of income or on accumulated income to date of any individual;

          ‘(ii) an entity that is a source of income for the individual may comply with such a subpoena by timely mailing the information described in the subpoena to an address supplied in the subpoena;

          ‘(iii) the State shall permit such a subpoena to be enforced against such an entity in the State, with the entity bearing the burden of justifying any failure to comply with the subpoena; and

          ‘(iv) information supplied by an entity in response to such a subpoena shall be admissible to prove the truth of the information;

        ‘(B) a certified copy of an out-of-State order, decree, or judgment related to child support or parentage shall be admitted once offered in the courts of the State if the order, decree, or judgment is regular on its face;

        ‘(C) electronically transmitted information and documents faxed to a court or administrative agency that contain information related to the amount of a child support obligation and the terms of the order imposing the obligation may be offered as evidence of the amount and the terms, and electronically transmitted records of payment of a child support agency that are regular on their face shall be admissible as evidence in a child support or parentage proceeding to prove the truth of the matter asserted in the records;

        ‘(D) out-of-State depositions, interrogatories, admissions of fact, and other discovery documents may be offered and shall be admitted in a child support or parentage proceeding to prove the truth of the matters asserted in the documents if regular on their face and if such documents comply with the appropriate discovery rule or law of the State where the discovery was conducted; and

        ‘(E) written, videotaped, or audiotaped evidence related to a child support or parentage proceeding may be offered and shall be admitted to prove the truth of the matter asserted therein.’.

SEC. 210. TELEPHONIC APPEARANCE IN INTERSTATE CASES.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 209(b) of this Act, is amended by inserting after paragraph (20) the following:

      ‘(21) Procedures under which the parties to an interstate parentage or child support administrative or judicial proceeding may appear and participate by telephonic means in lieu of appearing personally.’.

SEC. 211. UNIFORM TERMS IN ORDERS.

    (a) IN GENERAL- Section 452(a) (42 U.S.C. 652(a)) is amended--

      (1) in paragraph (9), by striking ‘and’ after the semicolon;

      (2) in paragraph (10), by striking the period at the end of the 2nd sentence and inserting ‘; and’; and

      (3) by adding at the end the following:

      ‘(11) not later than 12 months after the date of the enactment of this paragraph, develop, in conjunction with State executive and judicial organizations, a uniform abstract of a child support order, for use by all State courts to record, with respect to each child support order in the child support order registry established under section 466(a)(12)--

        ‘(A) the date support payments are to begin under the order;

        ‘(B) the circumstances upon which support payments are to end under the order;

        ‘(C) the amount of child support payable pursuant to the order expressed as a sum certain to be paid on a monthly basis, arrearages expressed as a sum certain as of a certain date, and any payback schedule for the arrearages;

        ‘(D) whether the order awards support in a lump sum (nonallocated) or per child;

        ‘(E) if the award is in a lump sum, the event causing a change in the support award and the amount of any change;

        ‘(F) other expenses covered by the order;

        ‘(G) the names of the parents subject to the order;

        ‘(H) the social security account numbers of the parents;

        ‘(I) the name, date of birth, and social security account number (if any) of each child covered by the order;

        ‘(J) the identification (FIPS code, name, and address) of the court that issued the order;

        ‘(K) any information on health care support required by the order; and

        ‘(L) the party to contact if additional information is obtained.’.

    (b) EFFECTIVE DATE- The amendments made by subsection (a) shall take effect on the date of the enactment of this Act.

SEC. 212. SOCIAL SECURITY NUMBERS ON MARRIAGE LICENSES, DIVORCE DECREES, PARENTAGE DECREES, AND BIRTH CERTIFICATES.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 211 of this Act, is amended by inserting after paragraph (21) the following:

      ‘(22) Procedures under which the social security account number (if any) of--

        ‘(A) each individual applying for a marriage license is to be listed by the individual’s name on the license;

        ‘(B) each party granted a divorce decree is to be listed by the party’s name on the decree, if any party to the decree is pregnant or a parent; and

        ‘(C) each individual determined to be a parent of a child in an action to establish parentage is to be listed by the individual’s name on the decree containing the determination; and

        ‘(D) each parent of a child is to be listed by the parent’s name on the child’s birth certificate.’.

SEC. 213. ADMINISTRATIVE SUBPOENA POWER.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 214 of this Act, is amended by inserting after paragraph (22) the following:

      ‘(23) Procedures under which the State child support enforcement agency may issue a subpoena which--

        ‘(A) requires the individual served to produce and deliver documents to, or to appear at, a court or administrative agency on a certain date; and

        ‘(B) penalizes an individual for failing to comply with the subpoena.’.

SEC. 214. LEGAL ASSISTANCE PROGRAMS.

    (a) USE OF FUNDS FOR CHILD SUPPORT CASES- The Legal Services Corporation shall ensure that at least 10 percent of the funds it provides to each recipient in a fiscal year be used to assist eligible clients to obtain child support to which they may be entitled.

    (b) DEFINITIONS- For purposes of this section--

      (1) the term ‘child support’ means a payment of money or provision of a benefit for the support of a child, and includes periodic and lump-sum payments for current and past due economic support, payments of premiums for health insurance for children, payments for or provision of child care, and payments for educational expenses; and

      (2) the terms ‘eligible client’ and ‘recipient’ have the meanings given those terms in section 1002 of the Legal Services Corporation Act (42 U.S.C. 2996a).

SEC. 215. INDIAN CHILD SUPPORT.

    (a) SENSE OF THE CONGRESS- It is the sense of the Congress that--

      (1) children residing on Indian reservations be accorded the same right of support that is currently afforded off-reservation children; and

      (2) State and tribal governments should, to the greatest extent possible, ensure that jurisdictional issues do not prevent any Indian child, on- or off-reservation, from receiving support to which the child is entitled.

    (b) FULL FAITH AND CREDIT OF SUPPORT ORDERS- The Indian Child Welfare Act of 1978 (25 U.S.C. 1901 et seq.) is amended by adding at the end the following:

‘TITLE IV--INDIAN CHILD SUPPORT

‘SEC. 401. FULL FAITH AND CREDIT.

    ‘(a) Every Indian tribe shall give full faith and credit to the public acts, records, and judicial proceedings of the United States, every State, and every territory or possession of the United States applicable to Indian child support proceedings to the same extent that the Indian tribe gives full faith and credit to public acts, records, and judicial proceedings of any other entity pursuant to section 101(d) of this Act.

    ‘(b) The United States, every State, every territory or possession of the United States, and every Indian tribe shall give full faith and credit to the public acts, records, and judicial proceedings of any Indian tribe applicable to Indian child support proceedings to the same extent that such entities give full faith and credit to public acts, records, and judicial proceedings of any other entity.’.

SEC. 216. SUPPORT ORDERS OUTREACH AND DEMONSTRATIONS.

    (a) SENSE OF THE CONGRESS- It is the sense of the Congress that States should work with community-based organizations with ties to underserved populations to develop better methods to reach and work with such populations to encourage the filing of more support orders.

    (b) STATES REQUIRED TO CONDUCT SURVEYS OF UNDERSERVED POPULATIONS-

      (1) IN GENERAL- Part D of title IV (42 U.S.C. 651-669) is amended by adding at the end the following:

‘SEC. 470. STATE SURVEYS OF UNDERSERVED POPULATIONS.

    ‘Each State, as a condition for having a State plan approved under this part, must conduct surveys to identify populations underserved by child support services, and develop outreach programs to serve such populations in places such as child care centers, parenting classes, prenatal classes, and unemployment offices.’.

      (2) FEDERAL FINANCIAL PARTICIPATION- Section 455(a)(1) (42 U.S.C. 655(a)(1)) is amended--

        (A) in subparagraph (B), by striking ‘and’ at the end;

        (B) in subparagraph (C) by adding ‘and’ at the end; and

        (C) by inserting after subparagraph (C) the following:

      ‘(D) equal to 90 percent of so much of the sums expended during such quarter as are attributable to operating programs described in section 470,’.

    (c) MATERIALS TO ASSIST PERSONS WITH LOW LITERACY LEVELS- The Secretary of Health and Human Services shall fund demonstration projects and technical assistance grants to States to develop applications and informational materials directed to individuals with low literacy levels or difficulties reading English.

    (d) REVIEW OF WRITTEN MATERIALS- The Secretary of Health and Human Services shall review all written materials provided to persons served by the Office of Child Support Enforcement to ensure that any requirement contained in the materials is presented clearly and in a manner that is easily understandable by such persons.

    (e) DEMONSTRATION PROJECTS TO IMPROVE COORDINATION BETWEEN CERTAIN STATE PUBLIC ASSISTANCE AGENCIES- The Secretary of Health and Human Services shall make grants to States to conduct demonstration projects to test various methods for improving the coordination of services and case processing between the State agency referred to in section 402(a)(3) of the Social Security Act and the State agency referred to in section 454(3) of such Act.

    (f) REFERRAL OF CUSTODIAL PARENTS TO COMMUNITY RESOURCES TO COMBAT DOMESTIC VIOLENCE- Section 454 (42 U.S.C. 654), as amended by section 203 of this Act, is amended--

      (1) by striking ‘and’ at the end of paragraph (24);

      (2) by striking the period at the end of paragraph (25) and inserting ‘; and’; and

      (3) by inserting after paragraph (25) the following:

      ‘(26) provide that the agency administering the plan--

        ‘(A) may represent custodial parents in custody cases; and

        ‘(B) must refer to appropriate community resources custodial parents against whom or whose children violence has been threatened as a result of cooperation with a State agency in establishing or enforcing a child support order, in accordance with procedures developed by the State to reduce the risk of violence, such as exempting the custodial parent from any requirement of face-to-face meetings with persons other than from the agency.’.

TITLE III--PARENTAGE

SEC. 301. PARENTAGE.

    (a) STATE PLAN-

      (1) IN GENERAL- Section 454 (42 U.S.C. 654), as amended by section 216(f) of this Act, is amended--

        (A) by striking ‘and’ at the end of paragraph (25);

        (B) by striking the period at the end of paragraph (26) and inserting ‘; and’; and

        (C) by inserting after paragraph (26) the following:

      ‘(27) in order to encourage voluntary paternity acknowledgement, provide for--

        ‘(A) the development and distribution of material at schools, hospitals (not later than 2 years after the effective date of this paragraph), agencies administering the programs under part A of this title and title XIX, prenatal health care providers, WIC programs, health departments, clinics, and other appropriate locations that describe the benefits and responsibilities of paternity establishment and the process by which paternity services may be obtained; and

        ‘(B) the use of consent procedures.’.

      (2) ENHANCED FEDERAL MATCH- Section 455(a)(1) (42 U.S.C. 655(a)(1)) is amended--

        (A) by striking ‘and’ at the end of subparagraph (B);

        (B) by inserting ‘and’ at the end of subparagraph (C); and

        (C) by inserting after subparagraph (C) the following:

        ‘(D) equal to 90 percent (rather than the percentage specified in subparagraph (A)) of so much of the sums expended during such quarter as are attributable to costs incurred in carrying out section 454(27) and the 2nd sentence of section 466(a)(5)(C);’.

    (b) STATE LAW- Section 466(a) (42 U.S.C. 666(a)), as amended by section 214 of this Act, is amended by inserting after paragraph (23) the following:

      ‘(24) Procedures under which--

        ‘(A) in a parentage case, an individual who signs the signature line provided for a father on a State birth certificate is rebuttably presumed to be a parent of the child, and a birth certificate so signed is admissible as evidence of such parentage;

        ‘(B) a simple, civil consent procedure is available for individuals who agree to acknowledge parentage of a child;

        ‘(C) an acknowledgment of parentage of a child--

          ‘(i) may be incorporated in a witnessed, written statement which includes a statement that the individual--

            ‘(I) understands the consequences of paternity acknowledgment;

            ‘(II) is signing the statement voluntarily; and

            ‘(III) does not object to a court entering an order for parentage of the child based on the acknowledgment, without notice before the order is issued and without the requirement of pleadings, service, summons, testimony, or a hearing;

          ‘(ii) is registered as part of the process of registering the birth certificate of the child; and

          ‘(iii) is admissible in court as evidence of the individual’s parentage of the child;

        ‘(D) collection of information for purposes of establishing a child support obligation may be done during the parentage acknowledgment process, to the maximum extent consistent with the State constitution;

        ‘(E) a civil procedure (and not a criminal procedure) is used in parentage determination cases;

        ‘(F) parentage is determined by a preponderance of the evidence;

        ‘(G) a party may bring a parentage case without joinder of the named child, and State law regarding privity of the parties shall govern the res judicata effect of nonjoinder;

        ‘(H) the results of a parentage test are rebuttably presumed to be accurate in a parentage case, if the test results are admitted as evidence of the matter tested and are uncontroverted, and the test has an accuracy rate of at least 98 percent;

        ‘(I) a determination of parentage may be made against a noncooperative party who refuses to submit to a court order to submit to parentage testing;

        ‘(J) an objection to parentage testing or to the results of a parentage test must be made in writing at least 21 days before trial, and if no such objection is made, the test results are admissible as evidence of the matter tested, without any requirement for the attendance of a representative of the hospital, clinic, or parentage laboratory that conducted the test;

        ‘(K) prenatal and post-natal parentage-testing bills are admissible as evidence of parentage, without any requirement of third-party foundation testimony, and any such bill is prima facie evidence of the expenses incurred on behalf of the child for the procedures included in the bill;

        ‘(L) a default order is entered in a parentage case on a proper showing of evidence of parentage and of service of process on the defendant, without regard to the personal presence of the plaintiff;

        ‘(M) a temporary child support order is entered against an individual if--

          ‘(i) the individual is presumed to be the parent of the child by reason of the results of a parentage test;

          ‘(ii) the individual has signed a statement acknowledging parentage of the child; or

          ‘(iii) there is other clear and convincing evidence that the individual is a parent of the child;

        ‘(N) an individual determined by law to be the parent of a child is precluded from claiming nonparentage of the child as a defense in a child support case;

        ‘(O) a single action may be brought to determine the parentage of a child and to establish a child support obligation with respect to the child; and

        ‘(P)(i) an action to determine the parentage of a child may be brought only in the county in which the child resides; and

        ‘(ii) if the child who is the subject of a parentage determination action moves to another county, the action is to be transferred to the other county, on request of the custodial parent of the child.’.

    (c) SENSE OF THE CONGRESS- It is the sense of the Congress that, in a proceeding to establish paternity, once paternity is alleged, the burden of proof should shift to the alleged father.

TITLE IV--ENFORCEMENT

SEC. 401. DIRECT WAGE WITHHOLDING.

    (a) STATE LAW- Section 466(b) (42 U.S.C. 666(b)) is amended by adding at the end the following:

      ‘(11) Upon the issuance or modification by a State court or administrative agency of an order imposing a child support obligation on an individual, the State shall transmit to any employer of the individual a wage withholding order developed under section 452(a)(14) directing the employer to withhold amounts from the wages of the individual pursuant to the order, subject to the Uniform Interstate Family Support Act adopted by the National Conference of Commissioners on Uniform State Laws in August 1992.’.

    (b) UNIFORM WITHHOLDING ORDER- Section 452(a) (42 U.S.C. 652(a)), as amended by sections 210(a), 102(c), and 208(a) of this Act, is amended--

      (1) by striking ‘and’ at the end of paragraph (12);

      (2) by striking the period at the end of paragraph (13) and inserting ‘; and’; and

      (3) by inserting after paragraph (13) the following:

      ‘(14) develop a uniform order to be used in all cases in which income is to be withheld for the payment of child support, which shall contain the name of the individual whose income is to be withheld, the number of children covered by the order, and the individual or State to whom the withheld income is to be paid, and be generic to allow for the service of the order on all sources of income.’.

SEC. 402. PRIORITIES IN APPLICATION OF WITHHELD WAGES.

    Section 466(b) (42 U.S.C. 666(a)), as amended by section 401(a) of this Act, is amended by inserting after paragraph (11) the following:

      ‘(12) Procedures under which the amounts withheld pursuant to a child support or wage withholding order are to be applied in the following order:

        ‘(A) To payments of support due during the month of withholding.

        ‘(B) To payments of premiums for health care insurance coverage for dependent children.

        ‘(C) To payments of support due before the month of withholding, and of unreimbursed health care expenses.’.

SEC. 403. ADDITIONAL BENEFITS SUBJECT TO GARNISHMENT.

    (a) FEDERAL DEATH BENEFITS, BLACK LUNG BENEFITS, AND VETERANS BENEFITS- Section 462(f)(2) (42 U.S.C. 662(f)(2)) is amended by striking ‘(not including’ and all that follows through ‘compensation)’.

    (b) WORKERS’ COMPENSATION- Section 462(f) (42 U.S.C. 662(f)) is amended--

      (1) by striking ‘or’ at the end of paragraph (1);

      (2) by striking the period at the end of paragraph (2) and inserting ‘, or’; and

      (3) by adding at the end the following:

      ‘(3) workers’ compensation benefits.’.

SEC. 404. CONSUMER CREDIT PROTECTION ACT AMENDMENTS.

    (a) PREEMPTION OF STATE LAWS- Section 307 of the Consumer Credit Protection Act (15 U.S.C. 1677) is amended--

      (1) by striking ‘This’ and inserting ‘(a) IN GENERAL- Subject to subsection (b), this’;

      (2) by striking ‘or’ at the end of paragraph (1);

      (3) by striking the period at the end of paragraph (2) and inserting ‘, or’; and

      (4) by adding at the end the following:

      ‘(3) providing a cause of action, either by the State or a private individual, to enforce a Federal or State law related to garnishment for the purpose of securing child support.

    ‘(b) EXCEPTION- Subsection (a)(1) shall not apply to the laws of any State that prohibit or restrict garnishments for the purpose of securing support for any person.’.

    (b) OTHER FORMS OF INCOME- Title III of such Act (15 U.S.C. 1671 et seq.) is amended by adding at the end the following:

‘SEC. 308. OTHER FORMS OF INCOME.

    ‘This title does not apply to forms of income that are not earnings within the definition contained in section 302(a).’.

    (c) PRIORITY OF DEBTS- Title III of such Act (15 U.S.C. 1671 et seq.), as amended by subsection (b) of this section, is further amended by adding after section 308 the following:

‘SEC. 309. PRIORITY OF DEBTS.

    ‘If an individual’s disposable earnings are not sufficient to pay--

      ‘(1) a garnishment intended to satisfy a Federal debt; and

      ‘(2) a garnishment intended to satisfy a debt related to the support of any child,

    the Federal debt shall be satisfied through garnishment only after the debt related to child support has first been satisfied.’.

    (d) ADDITIONAL INDEBTEDNESS IN ANTI-DISCHARGE SECTION- Section 304 of such Act (16 U.S.C. 1674) is amended by adding at the end the following:

    ‘(c) The prohibition contained in subsection (a) shall apply to any employee whose earnings are subject to garnishment for more than one indebtedness, if the additional indebtedness arises from an order for the support of a child.’.

SEC. 405. PROHIBITION AGAINST USE OF ELECTION OF REMEDIES DOCTRINE TO PREVENT COLLECTION OF CHILD SUPPORT.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 301(b) of this Act, is amended by inserting after paragraph (24) the following:

      ‘(25) Procedures which prohibit any State court from applying the doctrine of election of remedies to prevent a custodial parent from collecting or seeking to collect child support from a noncustodial parent.’.

SEC. 406. HOLD ON OCCUPATIONAL, PROFESSIONAL, AND BUSINESS LICENSES.

    (a) STATE HOLD BASED ON WARRANT OR SUPPORT DELINQUENCY- Section 466(a) (42 U.S.C. 666(a)), as amended by section 405 of this Act, is amended by inserting after paragraph (25) the following:

      ‘(26) Procedures under which the State occupational licensing and regulating departments and agencies may not issue or renew any occupational, professional, or business license of--

        ‘(A) a noncustodial parent who is the subject of an outstanding failure to appear warrant, capias, or bench warrant related to a child support proceeding that appears on the State’s crime information system, until removed from the system; and

        ‘(B) an individual who is delinquent in the payment of child support, until the obligee or a State prosecutor responsible for child support enforcement consents to, or a court that is responsible for the order’s enforcement orders, the release of the hold on the license, or an expedited inquiry and review is completed while the individual is granted a 60-day temporary license.’.

    (b) FEDERAL HOLD BASED ON SUPPORT DELINQUENCY- A Federal agency may not issue or renew any occupational, professional, or business license of an individual who is delinquent in the payment of child support, until the obligee, the obligee’s attorney or a State prosecutor responsible for child support enforcement consents to, or a court that is responsible for the order’s enforcement orders, the release of the hold on the license, or an expedited inquiry and review is completed while the individual is granted a 60-day temporary license.

SEC. 407. DRIVER’S LICENSES AND VEHICLE REGISTRATIONS DENIED TO PERSONS FAILING TO APPEAR IN CHILD SUPPORT CASES.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 406(a) of this Act, is amended by inserting after paragraph (26) the following:

      ‘(27) Procedures under which the State motor vehicle department--

        ‘(A) may not issue or renew the driver’s license or any vehicle registration (other than temporary) of any noncustodial parent who is the subject of an outstanding failure to appear warrant, capias, or bench warrant related to a child support proceeding that appears on the State’s crime information system, until removed from the system;

        ‘(B) upon receiving notice that an individual to whom a State driver’s license or vehicle registration has been issued is the subject of a warrant related to a child support proceeding, shall issue a show cause order to the individual requesting the individual to demonstrate why the individual’s driver’s license or vehicle registration should not be suspended until the warrant is removed by the State responsible for issuing the warrant; and

        ‘(C) in any case in which a show cause order has been issued as described in subparagraph (B), may grant a temporary license or vehicle registration to the individual pending the show cause hearing or the removal of the warrant, whichever occurs first.’.

SEC. 408. LIENS ON CERTIFICATES OF VEHICLE TITLE.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 407 of this Act, is amended by inserting after paragraph (27) the following:

      ‘(28) Procedures under which the State shall systematically place liens on vehicle titles for child support arrearages determined under a court order or an order of an administrative process established under State law, using a method for updating the value of the lien on a regular basis or allowing for an expedited inquiry to and response from a governmental payee for proof of the amount of arrears, with an expedited method for the titleholder or the individual owing the arrearage to contest the arrearage or to request a release upon fulfilling the support obligation, and under which such a lien has precedence over all other encumbrances on a vehicle title other than a purchase money security interest, and that the individual owed the arrearage may execute on, seize, and sell the property in accordance with State law.’.

SEC. 409. ATTACHMENT OF BANK ACCOUNTS.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 408 of this Act, is amended by inserting after paragraph (28) the following:

      ‘(29) Procedures under which--

        ‘(A) amounts on deposit in a bank account may be seized to satisfy child support arrearages determined under a court order or an order of an administrative process established under State law, solely through an administrative process, pending notice to and an expedited opportunity to be heard from the account holder or holders; and

        ‘(B) if the account holder or holders fail to successfully challenge the seizure (as determined under State law), the bank may be required to pay from the account to the entity with the right to collect the arrearage the lesser of--

          ‘(i) the amount of the arrearage; or

          ‘(ii) the amount on deposit in the account.’.

SEC. 410. SEIZURE OF LOTTERY WINNINGS, SETTLEMENTS, PAYOUTS, AWARDS, AND BEQUESTS, AND SALE OF FORFEITED PROPERTY, TO PAY CHILD SUPPORT ARREARAGES.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 409 of this Act, is amended by inserting after paragraph (29) the following:

      ‘(30) Procedures, in addition to other income withholding procedures, under which a lien is imposed against property with the following effect:

        ‘(A) The distributor of the winnings from a State lottery or State-sanctioned or tribal-sanctioned gambling house or casino shall--

          ‘(i) suspend payment of the winnings from the person otherwise entitled to the payment until an inquiry is made to and a response is received from the State child support enforcement agency as to whether the person owes a child support arrearage; and

          ‘(ii) if there is such an arrearage, withhold from the payment the lesser of the amount of the payment or the amount of the arrearage, and pay the amount withheld to the agency for distribution.

        ‘(B) The person required to make a payment under a policy of insurance or a settlement of a claim made with respect to the policy shall--

          ‘(i) suspend the payment until an inquiry is made to and a response received from the agency as to whether the person otherwise entitled to the payment owes a child support arrearage; and

          ‘(ii) if there is such an arrearage, withhold from the payment the lesser of the amount of the payment or the amount of the arrearage, and pay the amount withheld to the agency for distribution.

        ‘(C) The payor of any amount pursuant to an award, judgment, or settlement in any action brought in Federal or State court shall--

          ‘(i) suspend the payment of the amount until an inquiry is made to and a response is received from the agency as to whether the person otherwise entitled to the payment owes a child support arrearage; and

          ‘(ii) if there is such an arrearage, withhold from the payment the lesser of the amount of the payment or the amount of the arrearage, and pay the amount withheld to the agency for distribution.

        ‘(D) If the State seizes property forfeited to the State by an individual by reason of a criminal conviction, the State shall--

          ‘(i) hold the property until an inquiry is made to and a response is received from the agency as to whether the individual owes a child support arrearage; and

          ‘(ii) if there is such an arrearage, sell the property and, after satisfying the claims of all other private or public claimants to the property and deducting from the proceeds of the sale the attendant costs (such as for towing, storage, and the sale), pay the lesser of the remaining proceeds or the amount of the arrearage directly to the agency for distribution.

        ‘(E) Any person required to make a payment in respect of a decedent shall--

          ‘(i) suspend the payment until an inquiry is made to and a response received from the agency as to whether the person otherwise entitled to the payment owes a child support arrearage; and

          ‘(ii) if there is such an arrearage, withhold from the payment the lesser of the amount of the payment or the amount of the arrearage, and pay the amount withheld to the agency for distribution.’.

SEC. 411. FRAUDULENT TRANSFER PURSUIT.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 410 of this Act, is amended by inserting after paragraph (30) the following:

      ‘(31) Procedures requiring that, in any case related to child support, any transfer of property by an individual who owes a child support arrearage shall be presumed to be made with the intent to avoid payment of the arrearage, and may be rebutted by evidence to the contrary.’.

SEC. 412. FULL IRS COLLECTION.

    (a) SENSE OF THE CONGRESS- It is the sense of the Congress that the Commissioner of the Internal Revenue Service should instruct the field offices and agents of the Internal Revenue Service to give a high priority to requests for the use of full collection in delinquent child support cases, and to set uniform standards for full collection to ensure its expeditious and effective implementation.

    (b) SIMPLIFIED PROCEDURE- The Secretary of the Treasury, in consultation with the Secretary of Health and Human Services, shall by regulation simplify the full collection process under section 6305 of the Internal Revenue Code of 1986 and reduce the amount of child support arrearage needed before an individual may apply for collection under such section.

SEC. 413. TAX REFUND OFFSET PROGRAM EXPANDED TO COVER NON-AFDC POST-MINOR CHILDREN.

    Section 464(c) (42 U.S.C. 664(c)) is amended--

      (1) by striking ‘(1) Except as provided in paragraph (2), as’ and inserting ‘As’;

      (2) by inserting ‘(whether or not a minor)’ after ‘a child’ each place such term appears; and

      (3) by striking paragraphs (2) and (3).

SEC. 414. ATTACHMENT OF PUBLIC AND PRIVATE RETIREMENT FUNDS.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 411 of this Act, is amended by inserting after paragraph (31) the following:

      ‘(32) Procedures under which an individual owed a child support arrearage (determined under a court order or an order of an administrative process established under State law) may, notwithstanding section 401(a)(13) of the Internal Revenue Code of 1986, attach any interest in any public or private retirement plan of the individual who owes the support, without the requirement of a separate court order, and with notice and an expedited hearing provided if requested by the individual who owes the support.’.

SEC. 415. STATUTES OF LIMITATION.

    (a) IN GENERAL- Section 466(a) (42 U.S.C. 666(a)), as amended by section 414 of this Act, is amended by inserting after paragraph (32) the following:

      ‘(33) Procedures which permit the enforcement of any child support order until the child attains at least 30 years of age.’.

    (b) EFFECTIVE DATE- The amendment made by this section shall apply to orders entered before, on, and after the date of the enactment of this Act.

SEC. 416. INTEREST.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 415(a) of this Act, is amended by inserting after paragraph (33) the following:

      ‘(34) Procedures under which the State child support enforcement agency must assess and collect interest on all child support judgments, at the rate determined for interest on money judgments, in addition to any late payment fee imposed by the State under section 454(21).’.

SEC. 417. ARMED FORCES COOPERATION IN ENFORCEMENT OF SUPPORT OBLIGATIONS OF MEMBERS AND FORMER MEMBERS OF THE ARMED FORCES.

    (a) ENFORCEMENT OF SUPPORT OBLIGATIONS- (1) Chapter 40 of title 10, United States Code, is amended by adding at the end the following new section:

‘Sec. 709. Leave for attendance at child support or related hearings; availability of personnel locator service information

    ‘(a) DEFINITIONS- For purposes of this section:

      ‘(1) The term ‘authorized person’ has the meaning given that term in section 453(c) of the Social Security Act (42 U.S.C. 653(c)).

      ‘(2) The term ‘child support’ has the meaning given such term in section 462(b) of the Social Security Act (42 U.S.C. 662).

      ‘(3) The term ‘court’ has the meaning given that term in section 1408(a)(1) of this title.

    ‘(b) FACILITATING THE GRANTING OF LEAVE FOR ATTENDANCE AT HEARINGS-

      ‘(1) REGULATIONS REQUIRED- The Secretary concerned shall prescribe regulations to facilitate the granting of a leave of absence to a member of the armed forces under the jurisdiction of that Secretary when necessary for the member to attend a hearing of a court that is conducted in connection with a civil action--

        ‘(A) to determine whether the member is a natural parent of a child; or

        ‘(B) to determine an obligation of the member to provide child support.

      ‘(2) WAIVER AUTHORITY- The regulations prescribed under paragraph (1) may authorize a waiver of the applicability of the regulations to a member of the armed forces when--

        ‘(A) the member is serving in an area of combat operations; or

        ‘(B) such a waiver is otherwise necessary in the national security interest of the United States.

    ‘(c) AVAILABILITY OF CURRENT LOCATOR INFORMATION-

      ‘(1) MAINTENANCE OF ADDRESS INFORMATION- Each worldwide personnel locator service of the armed forces and each personnel locator service of the armed forces maintained for a military installation shall include the residential address of each member of the armed forces listed in such service. Within 30 days after a change of duty station or residential address of a member listed in a locator service, the Secretary concerned shall update the locator service to indicate the new residential address of the member.

      ‘(2) AVAILABILITY OF INFORMATION- The Secretary of Defense shall prescribe regulations to make information regarding the residential address of a member of the armed forces available, on request, to any authorized person for the purposes of part D of title IV of the Social Security Act (42 U.S.C. 651 et seq.).’.

    (2) The table of sections at the beginning of such chapter is amended by adding at the end the following new item:

      ‘709. Leave for attendance at child support or related hearings; availability of personnel locator service information.’.

    (b) PAYMENT OF MILITARY RETIRED PAY IN COMPLIANCE WITH COURT ORDERS-

      (1) DATE OF CERTIFICATION OF COURT ORDER- Section 1408 of title 10, United States Code, is amended--

        (A) by redesignating subsection (i) as subsection (j); and

        (B) by inserting after subsection (h) the following new subsection:

    ‘(i) CERTIFICATION DATE- It is not necessary that the date of a certification of the authenticity or completeness of a copy of a court order for child support received by the Secretary concerned for the purposes of this section be recent in relation to the date of receipt.’.

      (2) PAYMENTS CONSISTENT WITH ASSIGNMENTS OF RIGHTS TO STATES- Subsection (d)(1) of such section is amended by inserting after the first sentence the following: ‘In the case of a spouse or former spouse who, pursuant to section 402(a)(26) of the Social Security Act (42 U.S.C. 602(26)), assigns to a State the rights of the spouse or former spouse to receive support, the Secretary concerned may make the child support payments referred to in the preceding sentence to that State in amounts consistent with the assignment of rights.’.

      (3) RULE OF CONSTRUCTION- Subsection (c)(2) of such section is amended--

        (A) by inserting after the first sentence the following: ‘The second sentence of subsection (d)(1) shall not be construed to create any such right, title, or interest.’;

        (B) by inserting ‘(A)’ after ‘(2)’; and

        (C) by designating the last sentence as subparagraph (B) and conforming the margins accordingly.

    (c) ARREARAGES OWED BY MEMBERS OF THE UNIFORMED SERVICES- Part D of title IV (42 U.S.C. 651-669) is amended by inserting after section 465 the following:

‘SEC. 465A. PAYMENT OF CHILD SUPPORT ARREARAGES OWED BY MEMBERS OF THE UNIFORMED SERVICES.

    ‘Any authority, requirement, or procedure provided in this part or section 1408 of title 10, United States Code, that applies to the payment of child support owed by a member of the uniformed services (as defined in section 101 of title 37, United States Code) shall apply to the payment of child support arrearages as well as to amounts of child support that are currently due.’.

SEC. 418. STATES REQUIRED TO ENACT THE UNIFORM INTERSTATE FAMILY SUPPORT ACT.

    (a) IN GENERAL- Section 466 (42 U.S.C. 666) is amended by adding at the end the following:

    ‘(f) In order to satisfy section 454(20)(A), each State must have in effect laws which--

      ‘(1) adopt verbatim the officially approved version of the Uniform Interstate Family Support Act adopted by the National Conference of Commissioners on Uniform State Laws in August 1992; and

      ‘(2) require the courts of the State to recognize according to its terms an order issued by a court of any other State adjudicating parentage of an individual over whom the court of such other State has exercised personal jurisdiction.’.

    (b) EFFECTIVE DATE- The amendment made by subsection (a) shall apply to payments under part D of title IV of the Social Security Act for calendar quarters ending 2 or more years after the date of the enactment of this Act.

SEC. 419. IRS RECONCILIATION PROCESS.

    (a) IN GENERAL- The Comptroller General and the Secretary of the Treasury shall jointly conduct a study of the feasibility of a procedure under which--

      (1) past-due child support is collected from the taxpayer owing such support by increasing the taxpayer’s tax liability for a taxable year by the past-due child support for such taxable year, and

      (2) the Internal Revenue Service remits the collected past-due child support to the individual or governmental agency entitled to receive it.

    (b) FORM- As part of the study, the Secretary of the Treasury shall develop an appropriate form which could be filed with a taxpayer’s income tax return and which shows--

      (1) the child support required to be paid by the taxpayer during the taxable year,

      (2) the unpaid amount of such support as of the time of filing the taxpayer’s income tax return for such taxable year, and

      (3) the name and address of the individual or governmental agency entitled to receive any payment of such unpaid amount.

    (c) REPORT- The report of such study shall be submitted to Congress not later than 1 year after the date of the enactment of this Act.

SEC. 420. DENIAL OF PASSPORTS TO NONCUSTODIAL PARENTS SUBJECT TO STATE ARREST WARRANTS IN CASES OF NONPAYMENT OF CHILD SUPPORT.

    The Secretary of State is authorized to refuse a passport or revoke, restrict, or limit a passport in any case in which the Secretary of State determines or is informed by competent authority that the applicant or passport holder is a noncustodial parent who is the subject of an outstanding State warrant of arrest for nonpayment of child support, where the amount in controversy is not less than $10,000.

SEC. 421. DENIAL OF FEDERAL BENEFITS, LOANS, GUARANTEES, AND EMPLOYMENT TO CERTAIN PERSONS WITH LARGE CHILD SUPPORT ARREARAGES.

    (a) BENEFITS, LOANS, AND GUARANTEES- Notwithstanding any other provision of law, each agency or instrumentality of the Federal Government may not, under any program that the agency or instrumentality supervises or administers, provide a benefit to, make a loan to, or provide any guarantee for the benefit of, any person--

      (1) whose child support arrearages, determined under a court order or an order of an administrative process established under State law, exceed $1,000; and

      (2) who is not in compliance with a plan or an agreement to repay the arrearages.

    (b) EMPLOYMENT-

      (1) IN GENERAL- Notwithstanding any other provision of law, an individual shall be considered ineligible to accept employment in a position in the Federal Government if--

        (A) such individual has child support arrearages, determined under a court order or an order of an administrative process established under State law, exceeding $1,000; and

        (B) such individual is not in compliance with a plan or agreement to repay the arrearages.

      (2) REGULATIONS- Regulations to carry out paragraph (1) shall--

        (A) with respect to positions in the executive branch, be prescribed by the President (or his designee);

        (B) with respect to positions in the legislative branch, be prescribed jointly by the President pro tempore of the Senate and the Speaker of the House of Representatives (or their designees); and

        (C) with respect to positions in the judicial branch, be prescribed by the Chief Justice of the United States (or his designee).

      (3) CHILD SUPPORT DEFINED- For purposes of this subsection, the term ‘child support’ has the meaning given such term in section 462(b) of the Social Security Act.

SEC. 422. STATES REQUIRED TO ORDER COURTS TO ALLOW ASSIGNMENT OF LIFE INSURANCE BENEFITS TO SATISFY CHILD SUPPORT ARREARAGES.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 416 of this Act, is amended by inserting after paragraph (34) the following:

      ‘(35) Procedures allowing State courts to--

        ‘(A) order the issuer of a life insurance policy to change the beneficiary provisions of the policy to effect an assignment of the benefits payable to a beneficiary under the policy, in whole or in part, to a child to satisfy a child support arrearage, determined under a court order or an order of an administrative process established under State law, owed by the beneficiary with respect to the child; and

        ‘(B) prohibit the sale, assignment, or pledge as collateral of the policy, in whole or in part, by the beneficiary of the policy.’.

SEC. 423. INTERESTS IN JOINTLY HELD PROPERTY SUBJECT TO ASSIGNMENT TO SATISFY CHILD SUPPORT ARREARAGES.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 422 of this Act, is amended by inserting after paragraph (35) the following:

      ‘(36) Procedures allowing State courts to order the assignment of an interest in jointly held property to an individual owed a child support arrearage (determined under a court order or an order of an administrative process established under State law) by a holder of an interest in the property, to the extent of the arrearage.’.

SEC. 424. INTERNATIONAL CHILD SUPPORT ENFORCEMENT.

    (a) SENSE OF THE CONGRESS THAT THE UNITED STATES SHOULD RATIFY THE UNITED NATIONS CONVENTION OF 1956- It is the sense of the Congress that the United States should ratify the United Nations Convention of 1956.

    (b) TREATMENT OF INTERNATIONAL CHILD SUPPORT CASES AS INTERSTATE CASES- Section 454 (42 U.S.C. 654), as amended by section 301(a)(1) of this Act, is amended--

      (1) by striking ‘and’ at the end of paragraph (26);

      (2) by striking the period at the end of paragraph (27) and inserting ‘; and’; and

      (3) by inserting after paragraph (27) the following:

      ‘(28) provide that the State must treat international child support cases in the same manner as the State treats interstate child support cases.’.

TITLE V--COLLECTION AND DISTRIBUTION

SEC. 501. PRIORITIES IN DISTRIBUTION OF COLLECTED CHILD SUPPORT.

    (a) STATE DISTRIBUTION PLAN- Section 457 (42 U.S.C. 657) is amended by adding at the end the following:

    ‘(e) The amounts that a State collects as child support (including interest) pursuant to a plan approved under this part, other than amounts so collected through a tax refund offset, shall (subject to subsection (d)) be paid--

      ‘(1) first to the individual owed the support or (if the individual assigned to the State the payment of the support) to the State, to the extent necessary to satisfy the current month’s support obligation;

      ‘(2) then to the individual owed the support, to the extent necessary to satisfy any arrearage that accrued after assistance with respect to the child under this title ended;

      ‘(3) then, at the option of the State--

        ‘(A) to the individual owed the support, to the extent necessary to satisfy any arrearage that accrued before assistance was provided with respect to the child under this title; or

        ‘(B) to the State, to the extent necessary to reimburse the State for assistance provided with respect to the child under this title (without interest); and

      ‘(4) then to other States, to the extent necessary to reimburse such other States for assistance provided with respect to the child under this title (without interest), in the order in which such assistance was provided.’.

    (b) STUDY AND PILOT PROJECTS-

      (1) IN GENERAL- The Comptroller General of the United States shall conduct studies and pilot projects of systems under which States would be required to pay the child support collected pursuant to a State plan approved under part D of title IV of the Social Security Act to the individuals to whom the support is owed before making any payment to reimburse any State for assistance provided with respect to the child under part A of such title.

      (2) REPORT TO THE CONGRESS- Within 3 years after the date of the enactment of this Act, the

Comptroller General shall submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate a report on each study and pilot project conducted pursuant to paragraph (1), including a cost-benefit analysis and an analysis of the costs that would be avoided under the program of aid to families with dependent children under part A of title IV of the Social Security Act, the program of medical assistance under title XIX of such Act, and the food stamp program under the Food Stamp Act of 1977, if the various systems studied were implemented.

      (3) SENSE OF THE CONGRESS- It is the sense of the Congress that, if the report submitted pursuant to paragraph (2) demonstrates that there would be a net benefit to society if a system described in paragraph (1) were implemented, then Federal law should provide that States implement the system.

    (c) REVISION OF FEDERAL INCOME TAX REFUND OFFSET- Section 6402 of the Internal Revenue Code of 1986 (relating to authority to make credits or refunds) is amended--

      (1) in subsection (c), by striking ‘after any other reductions allowed by law (but before’ and inserting ‘before any other reductions allowed by law (and before’; and

      (2) in subsection (d), by striking ‘with respect to past-due support collected pursuant to an assignment under section 402(a)(26) of the Social Security Act’.

    (d) $50 DISREGARDED FOR ALL MEANS-TESTED PROGRAMS- Section 457(b)(1) (42 U.S.C. 657(b)(1)) is amended by inserting ‘under this part or under any other Federal program which determines eligibility for or the amount of assistance based on the income or assets of the applicant for or recipient of the assistance’ after ‘during such month’.

    (e) FILL-THE-GAP POLICIES ALLOWED- Section 402(a)(28) (42 U.S.C. 602(a)(28)) is amended by striking the open parenthesis and all that follows through the close parenthesis.

SEC. 502. STATE CLAIMS AGAINST NONCUSTODIAL PARENT LIMITED TO ASSISTANCE PROVIDED TO THE CHILD.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 423 of this Act, is amended by inserting after paragraph (36) the following:

      ‘(37)(A) Procedures under which any claims the State may have against a noncustodial parent for a child’s portion of the assistance provided under a State plan approved under part A shall not exceed the amount specified as child support under a court or administrative order.

      ‘(B) As used in subparagraph (A), the term ‘child’s portion’ means the assistance that would have been provided with respect to the child if the needs of the caretaker relative of the child had not been taken into account in making the determination with respect to the child’s family under section 402(a)(7).’.

SEC. 503. FEES FOR NON-AFDC CLIENTS.

    (a) IN GENERAL- Section 454(6) (42 U.S.C. 654(6)) is amended--

      (1) in subparagraph (B), by striking ‘or recovered’ and all that follows through ‘program)’;

      (2) in subparagraph (C), by inserting ‘on the parent who owes the child or spousal support obligation involved’ after ‘imposed’;

      (3) in subparagraph (D), by striking ‘individual who’ and inserting ‘the noncustodial parent if the child whose parentage is to be determined through the tests’; and

      (4) in subparagraph (E), by striking all that follows ‘may be collected’ and inserting ‘from the parent who owes the child or spousal support obligation involved, but only after all current and past-due support and interest charges have been collected’.

    (b) PUBLICATION OF FEE SCHEDULES- Section 454(10) (42 U.S.C. 654(10)) is amended by inserting ‘, and shall publish guidelines and schedules of fees which may be imposed under paragraph (6), and which shall be reasonable’ before the semicolon.

SEC. 504. COLLECTION AND DISBURSEMENT POINTS FOR CHILD SUPPORT.

    Section 454 (42 U.S.C. 654), as amended by section 424(b) of this Act, is amended--

      (1) by striking ‘and’ at the end of paragraph (27);

      (2) by striking the period at the end of paragraph (28) and inserting ‘; and’; and

      (3) by inserting after paragraph (28) the following:

      ‘(29) provide for only 1 location, or several local or regional locations for the collection of, accounting for, and disbursement of child support in cases enforced under the State plan under this part.’.

SEC. 505. SENSE OF THE CONGRESS THAT STATES SHOULD ENCOURAGE PARENTS TO USE THE STATE CHILD SUPPORT AGENCY TO COLLECT AND PROCESS CHILD SUPPORT PAYMENTS.

    It is the sense of the Congress that States should encourage all parents to use the state child support agency to process and distribute child support payments in order to establish an official record of such payments.

TITLE VI--FEDERAL ROLE

SEC. 601. PLACEMENT AND ROLE OF THE OFFICE OF CHILD SUPPORT ENFORCEMENT.

    Section 452(a) (42 U.S.C. 652(a)), as amended by section 401(b) of this Act, is amended--

      (1) in the matter preceding paragraph (1), by striking ‘, under the direction’ and all that follows through ‘and who’ and inserting ‘which shall be known as the Office of Child Support Enforcement, shall be under the direction of an Assistant Secretary appointed by the President with the advice and consent of the Senate, and shall have its own legal counsel. The Assistant Secretary shall report directly to the Secretary and’;

      (2) in paragraph (10)--

        (A) in subparagraph (A), by inserting ‘using a methodology that reflects cost-avoidance as well as cost-recovery’ after ‘the States and the Federal Government’;

        (B) by redesignating subparagraphs (H) and (I) as subparagraphs (I) and (J), respectively; and

        (C) by inserting after subparagraph (G) the following:

        ‘(H) the budgetary allocation of the $50 pass through equally between part A and this part;’;

      (3) by striking ‘and’ at the end of paragraph (13);

      (4) by striking the period at the end of paragraph (14) and inserting ‘; and’; and

      (5) by inserting after paragraph (14) the following:

      ‘(15) initiate and actively pursue with other Federal agencies, such as the Department of Defense, coordinated efforts on Federal legislation.’.

SEC. 602. TRAINING.

    (a) FEDERAL TRAINING ASSISTANCE- Section 452(a)(7) (42 U.S.C. 652(a)(7)) is amended by inserting ‘and training’ after ‘technical assistance’.

    (b) STATE TRAINING PROGRAM- Section 454 (42 U.S.C. 654), as amended by section 504 of this Act, is amended--

      (1) by striking ‘and’ at the end of paragraph (28);

      (2) by striking the period at the end of paragraph (29) and inserting ‘; and’; and

      (3) by inserting after paragraph (29) the following:

      ‘(30) provide that the State will develop and implement a training program under which training is to be provided not less frequently than annually to all personnel performing functions under the State plan.’.

    (c) REPORT- Section 452(a)(10) (42 U.S.C. 652(a)(10)), as amended by section 601(2) of this Act, is amended by redesignating subparagraphs (I) and (J) as subparagraphs (J) and (K), respectively, and by inserting after subparagraph (H) the following:

        ‘(I) the training activities at the Federal and State levels, the training audit, and the amounts expended on training;’.

SEC. 603. STAFFING.

    (a) STUDIES- The Secretary of Health and Human Services shall conduct and, not later than 1 year after the date of the enactment of this Act, complete staffing studies for each State child support enforcement program, including each agency and court involved in the child support process.

    (b) REPORT TO THE CONGRESS- Within 90 days after the end of the 1-year period described in subsection (a), the Secretary shall report to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate, and to each State, the results of the studies required by subsection (a).

    (c) IMPLEMENTATION- The Secretary of Health and Human Services shall reduce by 2 percent the amount otherwise payable to a State pursuant to section 455(a)(1)(A) of the Social Security Act for any calendar quarter ending 2 or more years after the State receives a report transmitted pursuant to subsection (b), if the Secretary determines that, during the quarter, the State has not implemented the staffing levels recommended in the report.

SEC. 604. DEMONSTRATION PROJECTS TO TEST ALTERNATIVE APPROACHES TO INCENTIVE FUNDING FOR STATE CHILD SUPPORT PROGRAMS.

    (a) IN GENERAL- The Secretary of Health and Human Services shall authorize 3 States to carry out demonstration projects under which--

      (1) the State is to implement the State plan approved under part D of title IV of the Social Security Act so as to promote quality control and provide incentives for enforcement of health care support;

      (2) in lieu of applying subsections (b) and (c) of section 458 of such Act to the States, the incentive payment to a State for a fiscal year shall be--

        (A) not less than 65 percent of the total amount expended to carry out the plan during the fiscal year if the performance of the State in implementing the plan meets such minimum performance standards as the Secretary shall prescribe by regulation; and

        (B) not more than 90 percent of such total amount if the performance significantly exceeds the standards; and

      (3) a payment to a State under this subsection is deemed a payment to the State under such section 458.

    (b) REPORT- The Secretary of Health and Human Services and the Comptroller General of the United States shall evaluate each demonstration project carried out under subsection (a) and report to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate the results and their recommendations.

    (c) HEALTH CARE SUPPORT INCLUDED IN INCENTIVE PAYMENT FORMULA- Section 458 (42 U.S.C. 658) is amended by adding at the end the following:

    ‘(f) For purposes of this section, the term ‘support’ includes premiums paid for health insurance coverage pursuant to a support order.’.

    (d) MINIMUM STATE FUNDING OF CHILD SUPPORT ACTIVITIES- The Secretary of Health and Human Services shall reduce by 2 percent the amount otherwise payable to a State pursuant to section 455(a)(1)(A) of the Social Security Act for any of the 5 fiscal years that begin after the date of the enactment of this Act (in this subsection referred to as ‘investment years’), if the Secretary determines that, during the investment year, the State has not expended on the program under the State plan approved under part D of title IV of such an amount equal to the sum of--

      (1) the amount the State expends on the program during the fiscal year in which this Act becomes law (in this subsection referred to as the ‘base year’); plus

      (2)(A) in the case of the 1st investment year, 60 percent of the amount paid to the State under section 458 of such Act for the base year;

      (B) in the case of the 2nd investment year, 70 percent of the amount so paid to the State;

      (C) in the case of the 3rd investment year, 80 percent of the amount so paid to the State;

      (D) in the case of the 4th investment year, 90 percent of the amount so paid to the State; and

      (E) in the case of the 5th investment year, 100 percent of the amount so paid to the State.

    (e) SENSE OF THE CONGRESS- It is the sense of the Congress that States should not use amounts paid to the States pursuant to part D of title IV of the Social Security Act, which are reinvested in child support activities, to supplant State funding of such activities.

SEC. 605. CHILD SUPPORT DEFINITION.

    (a) IN GENERAL- Section 452 (42 U.S.C. 652) is amended by adding at the end the following:

    ‘(j) For purposes of this part, the term ‘child support’ shall have the meaning given such term in section 462(b).’.

    (b) CONFORMING AMENDMENTS- Section 462(b) (42 U.S.C. 662(b)) is amended--

      (1) by inserting ‘and lump sum’ after ‘periodic’, and

      (2) by inserting ‘child care,’ after ‘clothing,’.

SEC. 606. AUDITS.

    (a) STUDY-

      (1) CONTRACT AUTHORITY- The Secretary of Health and Human Services shall enter into a contract for a study of the audit process of the Office of Child Support Enforcement to develop criteria and methodology for auditing the activities of State child support enforcement agencies pursuant to part D of title IV of the Social Security Act.

      (2) DESIGN OF STUDY- The study shall be designed to--

        (A) identify ways to improve the auditing process, including by--

          (i) reducing the resources required to perform the audit;

          (ii) simplifying procedures for States to follow in obtaining samples;

          (iii) studying the feasibility of sampling cases for needed action rather than requiring sampling plans for each audit criterion; and

          (iv) a more timely audit period of review; and

        (B) develop a penalty process which--

          (i) focuses on improving the delivery of child support services and not harming families;

          (ii) uses a penalty not tied to any reduction of funds payable to States under part A of title IV of the Social Security Act; and

          (iii) should include the escrowing of funds withheld as penalties for use by States to improve their child support programs in a manner approved by the Secretary of Health and Human Services.

    (b) REPORT- Not later than 90 days after completion of the study required by subsection (a), the Secretary of Health and Human Services shall submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate a report on the results of the study.

    (c) LIMITATION ON CASES INCLUDED IN AUDITS- Section 452(a)(4) (42 U.S.C. 652(a)(4)) is amended--

      (1) by inserting ‘(A)’ after ‘(4)’;

      (2) by adding ‘and’ at the end; and

      (3) by adding after and below the end the following:

      ‘(B) notwithstanding subparagraph (A), each audit under subparagraph (A) shall be limited to cases open on the date the audit begins and cases closed within 180 days before such date, unless the Secretary has determined, in accordance with regulations, that there is a need for a longitudinal review of case handling that includes cases that have been closed for more than 180 days;’.

SEC. 607. CHILD SUPPORT ASSURANCE DEMONSTRATION PROJECTS.

    (a) SENSE OF THE CONGRESS- It is the sense of the Congress that children should have a consistent source of income to meet their education and medical needs.

    (b) SENSE OF THE CONGRESS- It is the sense of the Congress that the provision of public assistance to a custodial parent for the support of a child with respect to whom a noncustodial parent owes child support does not absolve the noncustodial parent of the obligation to provide such support.

    (c) SENSE OF THE CONGRESS- It is the sense of the Congress that the States must continue to vigorously pursue efforts to establish parentage, and establish and enforce child support obligations.

    (d) CHILD SUPPORT ASSURANCE DEMONSTRATION PROJECTS-

      (1) PURPOSE- The purpose of this subsection is to test the feasibility and utility of ensuring that custodial parents owed child support have a consistent source of income for the support of their children, by authorizing States to conduct projects demonstrating various methods for doing so.

      (2) CONSIDERATION OF APPLICATIONS-

        (A) IN GENERAL- The Secretary of Health and Human Services (in this section referred to as the ‘Secretary’) shall consider applications to conduct demonstration projects under this subsection received only from eligible States.

        (B) ELIGIBLE STATE DEFINED- For purposes of subparagraph (A), a State is an eligible State if--

          (i) the child support collection ratio for the State for the most recent fiscal year for which such information is available exceeds the child support collection ratio for the United States for the fiscal year; or

          (ii) AFDC support collection ratio for the State for the most recent fiscal year for which such information is available exceeds the AFDC support collection ratio for the United States for the fiscal year.

        (C) CHILD SUPPORT COLLECTION RATIO- As used in subparagraph (B), the term ‘child support collection ratio’ means, with respect to a fiscal year--

          (i) for a State--

            (I) the total amount expended by the State during the fiscal year for the operation of the plan approved under section 454 of the Social Security Act; divided by

            (II) the total amount of support collected by the State during the fiscal year in all cases under part D of title IV of such Act; and

          (ii) for the United States--

            (I) the total amount expended by the States during the fiscal year for the operation of the plans approved under such section; divided by

            (II) the total amount of support collected by the States during the fiscal year in all cases under such part.

        (D) AFDC SUPPORT COLLECTION RATIO- As used in subparagraph (B), the term ‘AFDC support collection ratio’ means, with respect to a fiscal year--

          (i) for a State--

            (I) the total amount expended by the State during the fiscal year for the operation of the plan approved under section 454 of the Social Security Act; divided by

            (II) the total amount of support collected by the State under the plan during the fiscal year in cases in which the support obligation involved is assigned to the State pursuant to section 402(a)(26) or section 471(a)(17) of such Act; and

          (ii) for the United States--

            (I) the total amount expended by the States during the fiscal year for the operation of the plans approved under such section 454; divided by

            (II) the total amount of support collected by the States under the plans during the fiscal year in cases in which the support obligation involved is assigned to a State pursuant to section 402(a)(26) or section 471(a)(17) of such Act.

      (3) APPLICATION REQUIREMENTS- Each application of a State to conduct a demonstration project under this subsection must describe a demonstration project that meets the following requirements:

        (A) PROJECT BENEFICIARIES- A child support assurance benefit is payable under the project to the caretaker of a child if--

          (i) the child is an eligible child; and

          (ii) the caretaker has applied for services under the State plan approved under part D of title IV of the Social Security Act.

        (B) ELIGIBLE CHILDREN- A child is an eligible child if--

          (i) the child resides in the State;

          (ii) the child has a living noncustodial parent;

          (iii) a good faith effort has been made to seek or enforce an order for such parent to provide support for the child, or there is good cause for not seeking or enforcing such an order; and

          (iv) any rights to support owed the child have been assigned to the State, to the extent of the child support assurance benefits received with respect to the child under the project.

        (C) AMOUNT OF CHILD SUPPORT ASSURANCE BENEFIT- The amount of the child support assurance benefit payable under the project to the caretaker of 1 or more eligible children is the amount by which--

          (i) the child support assurance threshold; exceeds

          (ii) the dollar value of the child support (if any) received during the month by the caretaker from the noncustodial parent for the support of any eligible child.

        (D) CHILD SUPPORT ASSURANCE THRESHOLD- The child support assurance threshold is 1/12 of--

          (i) $2,000 for the 1st eligible child; plus

          (ii) $1,000 for the 2nd eligible child (if any); plus

          (iii) $500 for each subsequent eligible child (if any).

      (4) METHODS TO BE TESTED- In approving applications to conduct demonstration projects under this subsection, the Secretary shall ensure that the applications approved under this subsection describe projects which, in the aggregate, are designed to test the following:

        (A) ADMINISTRATIVE VERSUS OTHER PROCESSING- The feasibility of implementing a statewide child support assurance benefit in a State which processes child support and parentage cases administratively, as opposed to the feasibility of implementing such a benefit in a State which processes such cases only judicially or quasi-judicially.

        (B) ALLOWANCE OF GOOD CAUSE EXCEPTIONS- The effects of prohibiting the provision of a child support assurance benefit with respect to a child unless an order for the support of the child has been established and the caretaker of the child has made a good faith effort to enforce the order, as opposed to allowing good cause exceptions to the prohibition.

        (C) TIMING OF BENEFITS- The effects of providing child support assurance benefits immediately upon the establishment of a child support order, as opposed to providing such benefits only after a period (determined by the Secretary) of nonreceipt of child support. The Secretary may select 1 or more such periods to be tested in different demonstration projects.

        (D) RELATIONSHIP OF BENEFITS TO OTHER INCOME AND BENEFITS- The effects of reducing the amount payable with respect to a child under the State plan approved under part A of title IV of the Social Security Act by a portion (determined by the Secretary) of the child support assurance benefit provided by the State with respect to the child, as opposed to reducing the child support assurance benefit provided by the State with respect to the child by a portion (determined by the Secretary) of the earned income of the family of the child. The Secretary may select 1 or more such portions of benefits or of earned income to be tested in different demonstration projects.

      (5) PRIORITY TO BE GIVEN TO PROJECTS THAT INCLUDE WORK INCENTIVES- In approving applications to conduct demonstration projects under this subsection, the Secretary shall give priority among otherwise equivalent applications to applications that describe projects that include work incentives for participants.

      (6) APPROVAL OF CERTAIN APPLICATIONS- The Secretary shall approve not more than 5 applications to conduct demonstration projects under this subsection which appear likely to contribute significantly to the achievement of the purpose of this subsection.

      (7) OTHER REQUIREMENTS- Each State whose application to conduct a demonstration project under this subsection has been approved by the Secretary shall conduct the project in accordance with such regulations as the Secretary may prescribe.

      (8) FUNDING- From the sums appropriated to carry out this subsection, the Secretary shall pay to each State whose application to conduct a demonstration project under this subsection has been approved by the Secretary, for each month, an amount equal to--

        (A) 90 percent of the aggregate amount of the child support assurance benefits paid by the State during the month if, during the month, the project has met such performance goals as the Secretary has established for the project; or

        (B) 80 percent of such aggregate amount, otherwise.

      (9) MODIFIED PRIORITY OF DISTRIBUTION OF CHILD SUPPORT COLLECTED FOR CHILDREN WITH RESPECT TO WHOM CHILD SUPPORT ASSURANCE BENEFIT IS PAID- In lieu of paragraph (1) of section 457(e) of the Social Security Act, child support collected from a noncustodial parent of a child with respect to whom a child support assurance benefit is paid under a demonstration project conducted under this subsection shall (subject to section 457(d) of such Act) be paid--

        (A) first to the State, to the extent necessary to reimburse the State for the portion of the benefit not paid from funds provided under paragraph (8) of this subsection; and

        (B) then to the Federal Government, to the extent necessary to reimburse the Federal Government for the portion of the benefit paid from funds provided under paragraph (8) of this subsection.

      (10) DURATION OF PROJECTS-

        (A) IN GENERAL- Each State whose application to conduct a demonstration project under this subsection has been approved by the Secretary shall conduct the project for not less than 3 years and not more than 5 years.

        (B) AUTHORITY TO TERMINATE PROJECTS- The Secretary may terminate a demonstration project conducted under this subsection if the Secretary determines that the project is not being conducted consistent with or satisfactorily under this subsection.

      (11) EVALUATIONS- Each State which conducts a demonstration project under this subsection shall prepare and submit to the Secretary an interim and a final evaluation of the project with respect to the impact of the project on--

        (A) the economic and noneconomic well-being of the participants in the project and of the work force generally; and

        (B) participation in and expenditures under the program of the State under the State plan approved under part A of title IV of the Social Security Act.

      (12) REPORT TO THE CONGRESS- Within 1 year after the completion of all demonstration projects conducted under this subsection, the Secretary shall submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate a report that contains a consolidated evaluation of the projects.

SEC. 608. CHILDREN’S TRUST FUND.

    (a) DESIGNATION OF CONTRIBUTIONS-

      (1) IN GENERAL- Subchapter A of chapter 61 of the Internal Revenue Code of 1986 (relating to returns and records) is amended by adding at the end thereof the following new part:

‘PART IX--CONTRIBUTIONS TO CHILDREN’S TRUST FUND

‘Sec. 6097. Amounts for Children’s Trust Fund.

‘SEC. 6097. AMOUNTS FOR CHILDREN’S TRUST FUND.

    ‘Each taxpayer may include with such taxpayer’s return of tax imposed by chapter 1 for any taxable year a contribution by the taxpayer to the Children’s Trust Fund.’.

      (2) CLERICAL AMENDMENT- The table of parts for subchapter A of chapter 61 of the Internal Revenue Code of 1986 is amended by adding at the end thereof the following new item:

‘Part IX--Contributions for Children’s Trust Fund.’.

      (3) EFFECTIVE DATE- The amendments made by this subsection shall apply to taxable years beginning after December 31, 1994.

    (b) ESTABLISHMENT OF CHILDREN’S TRUST FUND-

      (1) IN GENERAL- Subchapter A of chapter 98 of the Internal Revenue Code of 1986 (relating to the trust fund code) is amended by adding at the end thereof the following new section:

‘SEC. 9512. CHILDREN’S TRUST FUND.

    ‘(a) CREATION OF TRUST FUND- There is established in the Treasury of the United States a trust fund to be known as the ‘Children’s Trust Fund’, consisting of such amounts as may be appropriated or credited to the Trust Fund as provided in this section or section 9602(b).

    ‘(b) TRANSFER TO CHILDREN’S TRUST FUND OF AMOUNTS DESIGNATED- There is hereby appropriated to the Children’s Trust Fund amounts equivalent to the amounts contributed to such Trust Fund under section 6097.

    ‘(c) EXPENDITURES FROM TRUST FUND-

      ‘(1) IN GENERAL- Amounts in the Children’s Trust Fund shall be available for making expenditures for programs regarding child support and the specific mandates described in part D of title IV of the Social Security Act, especially such mandates established by the amendments made by the Interstate Child Support Act of 1995.

      ‘(2) ADMINISTRATIVE EXPENSES- Amounts in the Children’s Trust Fund shall be available to pay the administrative expenses of the Department of the Treasury directly allocable to--

        ‘(A) modifying the individual income tax return forms to carry out section 6097,

        ‘(B) carrying out this chapter with respect to such Trust Fund, and

        ‘(C) processing amounts received under section 6097 and transferring such amounts to such Trust Fund.’.

      (2) CLERICAL AMENDMENT- The table of sections for subchapter A of chapter 98 of the Internal Revenue Code of 1986 is amended by adding at the end thereof the following new item:

‘Sec. 9512. Children’s Trust Fund.’.

SEC. 609. STUDY OF REASONS FOR NONPAYMENT OF CHILD SUPPORT; REPORT.

    (a) STUDY- The Comptroller General of the United States shall--

      (1) conduct a study of the causes of delinquency in the payment of child support, including the nonpayment of child support by noncustodial parents and failure of custodial parents to cooperate in the collection of child support; and

      (2) if a sufficient number of studies of this matter are available, review the studies.

    (b) REPORT TO THE CONGRESS- Within 1 year after the date of the enactment of this Act, the Comptroller General shall submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate, and to the Office of Child Support Enforcement, a report that contains the results of the study required by subsection (a), and a consolidated summary of the studies described in subsection (a)(2).

SEC. 610. STUDY OF EFFECTIVENESS OF ADMINISTRATIVE PROCESSES; REPORT.

    (a) STUDY- The Comptroller General of the United States shall conduct a study of the effectiveness of the processing of child support and parentage cases in States that use administrative processes as compared with States that use judicial or quasi-judicial processes.

    (b) REPORT TO THE CONGRESS- Within 1 year after the date of the enactment of this Act, the Comptroller General shall submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate a report that contains the results of the study required by subsection (a).

SEC. 611. PUBLICATION OF BEST CHILD SUPPORT PRACTICES.

    (a) SENSE OF THE CONGRESS- It is the sense of the Congress that the Office of Child Support Enforcement should develop a mechanism to publicize the best practices of States in the area of child support.

    (b) COMPENDIUM OF STATE CHILD SUPPORT STATUTES- The Office of Child Support Enforcement shall produce and update the compendium entitled ‘A Guide To State Child Support And Paternity Laws’, published by the National Conference of State Legislatures.

SEC. 612. ESTABLISHMENT OF PERMANENT CHILD SUPPORT ADVISORY COMMITTEE.

    (a) IN GENERAL- The Office of Child Support Enforcement shall establish an advisory committee on child support matters composed of Federal and State legislators, State child support officials, and representatives of custodial and noncustodial parents.

    (b) FUNCTIONS- The advisory committee established pursuant to subsection (a) shall--

      (1) provide oversight of the implementation of Federal laws and regulations affecting child support, and the operation of Federal, State, and local child support programs; and

      (2) provide a forum through which child support problems experienced by parents, State agencies, the courts, and the private bar may be identified, and from which recommendations on how to solve such problems may be reported to the Secretary of Health and Human Services and to the Congress.

    (c) PERMANENCY- Section 14 of the Federal Advisory Committee Act (5 U.S.C. App.) shall not apply to the advisory committee established pursuant to subsection (a) of this section.

TITLE VII--STATE ROLE

SEC. 701. ADVOCATION OF CHILDREN’S ECONOMIC SECURITY.

    Section 454 (42 U.S.C. 654), as amended by section 602(b) of this Act, is amended--

      (1) by striking ‘and’ at the end of paragraph (29);

      (2) by striking the period at the end of paragraph (30) and inserting ‘; and’; and

      (3) by inserting after paragraph (30) the following:

      ‘(31) provide that the agency administering the plan shall advocate to promote the greatest economic security possible for children, consistent with the ability of any individual who owes child support with respect to the child to provide the support.’.

SEC. 702. DUTIES OF STATE CHILD SUPPORT AGENCIES.

    Section 454 (42 U.S.C. 654), as amended by section 701 of this Act, is amended--

      (1) by striking ‘and’ at the end of paragraph (30);

      (2) by striking the period at the end of paragraph (31) and inserting ‘; and’; and

      (3) by inserting after paragraph (31) the following:

      ‘(32) provide that the agency administering the plan shall provide to each custodial parent--

        ‘(A) a written description of the services available under the plan, and a statement describing the priorities applied in distributing collected child support and the rules governing confidentiality of information in child support matters;

        ‘(B) a statement that at least 30 days before the agency consents to the dismissal of a child support case with prejudice or a reduction of arrearages, the agency must provide notice to the custodial parent at the last known address of the custodial parent;

        ‘(C) written quarterly reports on the status of any case involving the custodial parent;

        ‘(D) a statement that the State is required to provide services under the plan to any custodial parent who is eligible for aid under the State plan approved under part A; and

        ‘(E) a statement that any custodial parent who applies for services under the plan is eligible for such services, and that any application fee for such services is deferred pending determination of the eligibility of the custodial parent for aid under the State plan approved under part A.’.

SEC. 703. SENSE OF THE CONGRESS REGARDING QUALITY OF AND ACCESSIBILITY TO CHILD SUPPORT SERVICES.

    It is the sense of the Congress that--

      (1) States should work closely with parents to improve the quality of child support services; and

      (2) State and local child support enforcement agencies should have--

        (A) offices in easily accessible locations near public transportation;

        (B) office hours that allow parents to meet with attorneys and caseworkers without having to take time off from work; and

        (C) office environments conducive to private discussion of legal and personal matters, such as in individual interview rooms and child care facilities.

SEC. 704. ADMINISTRATIVE PROCESS FOR CHANGE OF PAYEE IN IV-D CASES.

    Section 466(a) (42 U.S.C. 666(a)), as amended by section 502 of this Act, is amended by inserting after paragraph (37) the following:

      ‘(38) Procedures under which only administrative procedures are required to change the payee under a child support order in a case under this part, if a statement by an official of the State child support enforcement agency is included in the court or administrative file documenting the change.’.

SEC. 705. SENSE OF THE CONGRESS SUPPORTING USE OF ADMINISTRATIVE PROCEDURES IN CHILD SUPPORT CASES.

    It is the sense of the Congress that each State should establish administrative procedures to process child support cases.

SEC. 706. SENSE OF THE CONGRESS SUPPORTING ESTABLISHMENT OF STATE CHILD SUPPORT COUNCILS.

    It is the sense of the Congress that each State should establish a child support council, composed of members from all over the State, to--

      (1) review State laws on child support and paternity;

      (2) recommend improvements in child support and paternity programs and in such laws; and

      (3) serve as a public forum for custodial and noncustodial parents on matters related to child support and paternity.

TITLE VIII--JOBS FOR UNEMPLOYED NONCUSTODIAL PARENTS

SEC. 801. PARENTS FAIR SHARE DEMONSTRATION PROJECTS.

    (a) SENSE OF THE CONGRESS- It is the sense of the Congress that any program established by the Federal Government to provide jobs for noncustodial parents should be administered so as not to adversely affect any Federal program for custodial parents, either directly or through competition for available funds.

    (b) EVALUATION OF PROJECTS; REPORT TO THE CONGRESS; CONDITIONAL AUTHORITY TO CONDUCT ADDITIONAL AND MORE EXTENSIVE PROJECTS- Upon receiving the evaluations required to be provided pursuant to section 482(d)(3) of the Social Security Act, the Secretary of Health and Human Services shall transmit the evaluations to the Secretary of Labor who shall--

      (1) study the evaluations;

      (2) within 12 months after receipt of the evaluations, submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate a consolidated report on the activities evaluated; and

      (3)(A) if the evaluations are sufficient to permit the Secretary to make recommendations with respect to the activities evaluated, include such recommendations in the report required by paragraph (2) of this subsection; or

      (B) if the evaluations are inconclusive, authorize States to provide services, under programs established under section 402(a)(19) and part F of title IV of such Act, on a voluntary or mandatory basis, to noncustodial parents who are unemployed and unable to meet their child support obligations, of greater scope and for a greater duration than the services provided under section 482(d)(3) of such Act, in accordance with regulations prescribed by the Secretary of Labor.

TITLE IX--EFFECTIVE DATE

SEC. 901. EFFECTIVE DATE.

    Except as otherwise provided in this Act, this Act and the amendments made by this Act shall take effect on January 1, 1996.