32604 Federal Register / Vol. 73, No. 111 / Monday, June 9, 2008 / Notices 

3. Background. States have long been 

required to deduct and withhold certain 

child support obligations from UC. (See 

Section (303)(e)(2), SSA, and UIPL No. 

45–89.) In 2005, Section 7310 of the 

DRA amended Federal law to mandate 

that state child support agencies impose 

an annual fee of $25 for collecting child 

support obligations under certain 

circumstances. In response to this 

mandate, some states have chosen to 

amend their laws and regulations. This 

UIPL is issued to assist the states in 

assuring that any such amendments are 

consistent with Federal UC law. 

4. Federal Law. Section 3304(a)(4), 

FUTA, requires, as a condition for 

employers in a state to receive credit 

against the Federal tax, that state law 

provide that—

All money withdrawn from the 

unemployment fund of the State shall be 

used solely in the payment of unemployment 

compensation, exclusive of expenses of 

administration, and for refunds of sums 

erroneously paid into such fund. * * * 

Section 303(a)(5), SSA, provides a 

similar requirement as a condition for a 

state to receive administrative grants. 

These provisions, known as the 

‘‘withdrawal standard,’’ mean that 

money may only be withdrawn from the 

unemployment fund for payment of 

‘‘compensation,’’ with certain specified 

exceptions. Section 3306(h), FUTA, 

defines ‘‘compensation’’ as ‘‘cash 

benefits payable to individuals with 

respect to their unemployment.’’ One 

exception to the withdrawal standard is 

found in Section 303(e)(2)(A), SSA, 

which requires a state UC agency to 

‘‘deduct and withhold from any [UC] 

otherwise payable to an individual 

***’’ amounts to pay ‘‘child support 

obligations’’ pursuant to part D of Title 

IV of the SSA. 

Section 7310 of the DRA added 

Section 454(6)(B)(ii) to the SSA, 

pertaining to state plans for child 

support, to require that, for each case 

where the custodial parent ‘‘has never 

received’’ Temporary Assistance for 

Needy Families, the state child support 

agency is to ‘‘impose an annual fee of 

$25 for each case in which services are 

furnished, which shall be retained by 

the State from support collected, * * * 

paid by the individual applying for the 

services, recovered from the absent 

parent, or paid by the State out of its 

own funds. * * *’’ (Emphasis added.) 

The amendment also added Section 

457(a)(3), SSA, to provide that ‘‘the 

State shall distribute to the family the 

portion of the amount so collected that 

remains after withholding any fee. 

***’’ (Emphasis added.) The DRA did 

not amend Federal UC law. 

5. Interpretation. Exceptions to the 

withdrawal standard are narrowly 

construed. Section 3 of UIPL No. 45–89 

explained ‘‘that deductions may be 

made only when authorized by Federal 

law.’’ Paragraph 4.b of the UIPL added 

that, with specified exceptions, state 

law must provide that UC benefit 

payments ‘‘be exempt from levy, 

execution, attachment, order for the 

payment of attorneys fees or court costs, 

or any other remedy for the collection 

of public or private debts, prior to 

receipt by the claimant.’’ Therefore, 

absent an explicit statutory 

authorization, states may not deduct 

and withhold a processing fee from UC. 

Since the DRA did not amend Federal 

UC law, states may not deduct and 

withhold a processing fee from a 

claimant’s UC when deducting child 

support. 

The DRA did, however, amend 

Federal law to provide that ‘‘collected’’

child support obligations may be used 

to pay the mandatory fee. As a result, 

after the full amount of the child 

support obligation has been deducted 

from a claimant’s UC and sent to the 

state child support agency, the child 

support agency may, consistent with 

Section 7310, DRA, withhold the 

processing fee before sending the 

balance of the child support collected to 

the child support recipient. 

States are reminded that, when 

crafting legislation or regulations to 

implement the provisions of the DRA, 

care should be taken to ensure the 

requirements of the withdrawal 

standard, as interpreted in this UIPL, are 

met. In short, a state law or regulation 

may not authorize the payment of the 

child support fee directly from UC, but 

it may authorize the payment of the fee 

from child support collected by the state 

child support agency consistent with 

Section 303(e)(2), SSA. 

6. Action Required. State 

administrators are requested to review 

existing state law provisions and agency 

practices involving the child support 

intercept program to ensure consistency 

with Federal UC law requirements. 

[FR Doc. E8–12810 Filed 6–6–08; 8:45 am] 

BILLING CODE 4510–FN–P 

MILLENNIUM CHALLENGE 

CORPORATION 

[MCC FR 08–06] 

Notice of the June 17, 2008 Millennium 

Challenge Corporation Board of 

Directors Meeting; Sunshine Act 

Meeting 

AGENCY: Millennium Challenge 

Corporation. 

TIME AND DATE: 10 a.m. to 12 p.m., 

Tuesday, June 17, 2008. 

PLACE: Department of State, 2201 C 

Street, NW., Washington, DC 20520. 

FOR FURTHER INFORMATION CONTACT: 

Information on the meeting may be 

obtained from Suzi M. Morris via e-mail 

at Board@mcc.gov or by telephone at 

(202) 521–3600. 

STATUS: Meeting will be closed to the 

public. 

MATTERS TO BE CONSIDERED: The Board 

of Directors (the ‘‘Board’’) of the 

Millennium Challenge Corporation 

(‘‘MCC’’) will hold a meeting to discuss 

and consider country-specific compact 

development issues and compact 

implementation issues affecting a 

number of MCC’s countries; and certain 

administrative matters. 

The agenda items are expected to 

involve the discussion of classified 

information and the meeting will be 

closed to the public. 

Dated: June 5, 2008. 

William G. Anderson, Jr., 

Vice President and General Counsel, 

Millennium Challenge Corporation. 

[FR Doc. 08–1335 Filed 6–5–08; 12:53 pm] 

BILLING CODE 9211–03–P 

NATIONAL ARCHIVES AND RECORDS 

ADMINISTRATION 

Agency Information Collection 

Activities: Proposed Collection; 

Comment Request 

AGENCY: National Archives and Records 

Administration (NARA). 

ACTION: Notice. 

SUMMARY: NARA is giving public notice 

that the agency proposes to request 

extension of a currently approved 

information collection used by 

individuals applying for a research card 

which is needed to use original archival 

records in a National Archives and 

Records Administration facility. The 

public is invited to comment on the 

proposed information collection 

pursuant to the Paperwork Reduction 

Act of 1995. 

mstockstill on PROD1PC66 with NOTICES