added by this section) applies shall furnish a new with-
holding certificate to each of such employee’s employers.
A certificate required under the preceding sentence shall
be treated as required under such section 7525.
(f) REPEAL
OF OFFSET
OF PAST-DUE SUPPORT
AGAINST OVERPAYMENTS.—
(1) Section 6402 of such Code is amended by
striking subsections (c) and (h) and by redesignating
subsections (d), (e), (f), (g), and (i) as subsections
(c), (d), (e), (f), and (g), respectively.
(2) Subsection (a) of section 6402 of such Code
is amended by striking ‘‘subsections (c), (d), or (e)’’
and inserting ‘‘subsection (c) or (d)’’.
(3) Subsection (c) of section 6402 of such Code
(as redesignated by paragraph (1)) is amended—
(A) by striking ‘‘(other than past-due sup-
port subject to the provisions of subsection
(c))’’ in paragraph (1),
(B) by striking ‘‘after such overpayment is
reduced pursuant to subsection (c) with respect
to past-due support collected pursuant to an as-
signment under section 402(a)(26) of the Social
Security Act and’’ in paragraph (2).
(4) Subsection (d) of section 6402 of such Code
is amended by striking ‘‘subsections (c) or (d)’’ and
inserting ‘‘subsection (c)’’.
(5) Subsection (e) of section 6402 of such Code
(as redesignated by paragraph (1)) is amended by
striking ‘‘or (d)’’.
(g) REPEAL OF COLLECTION OF PAST-DUE SUP-
PORT.—Section 6305 of such Code is hereby repealed.
(h) CLERICAL AMENDMENTS.—
(1) The table of sections for subchapter A of
chapter 64 of such Code is amended by striking the
item relating to section 6305.
(2) The table of sections for chapter 77 of such
Code is amended by adding at the end thereof the
following new item:
‘‘Sec. 7525. Collection of child support.’’
(i) USE OF PARENT LOCATOR SERVICE.—Section
453(a) of the Social Security Act (42 U.S.C. 653(a)) is
amended by inserting ‘‘or the Internal Revenue Service’’
before ‘‘information as’’.
SEC. 4. DISBURSEMENT OF CHILD SUPPORT COLLECTIONS.
Section 457 of the Social Security Act (42 U.S.C
657) is amended to read as follows:
‘‘SEC. 457. DISBURSEMENT OF CHILD SUPPORT COLLEC-
TIONS.
‘‘As soon as practicable (but not later than 5 business
days) after the Commissioner of Social Security receives
an amount paid under section 7525(i) of the Internal Rev-
enue Code of 1986 that is attributable to a child support
obligation owed with respect to a family, the Commissioner
shall, using information provided by the Internal Revenue
Service and information in the Federal Case Registry of
Child Support Orders, ascertain the identity of the family
and distribute the amount as follows:
‘‘(1) FAMILIES RECEIVING ASSISTANCE.—In the
case of a family receiving assistance from a State,
the Commissioner shall—
‘‘(A) pay to the State the State share of
the amount so collected; and
‘‘(B) retain, or distribute to the family, the
Federal share of the amount so collected.
except that the total amount distributed to families
under this paragraph during a fiscal year shall not
exceed the amount (if any) by which Federal outlays
are decreased during the fiscal year as a result of
the amendments made by the Uniform Child Sup-
port Enforcement Act of 1997.
‘‘(2) FAMILIES THAT FORMERLY RECEIVED AS-
SISTANCE.—In the case of a family that formerly re-
ceived assistance from a State:
‘‘(A) CURRENT SUPPORT PAYMENTS.—To
the extent that the amount so collected does not
exceed the amount required to be paid to the
family for the month in which collected, the
Commissioner shall distribute the amount so
collected to the family.
‘‘(B) PAYMENTS OF ARREARAGES.—To the
extent that the amount so collected exceeds the
amount required to be paid to the family for
the month in which collected, the Commissioner
shall distribute the amount so collected as fol-
lows:
‘‘(i) DISTRIBUTION
OF
ARREARAGES
THAT
ACCRUED
AFTER
THE
FAMILY
CEASED TO RECEIVE ASSISTANCE.—
‘‘(I) PRE-OCTOBER 1997.—Except
as provided in subclause (II), the pro-
visions of this section (other than sub-
section (b)(1)) as in effect and applied
on the day before the date of the en-
actment of section 302 of the Per-
sonal Responsibility and Work Oppor-