966
authorized access to, or disclosure or use of, con-
fidential data.’’.
(3) REGULATIONS.—The Secretary of Health
and Human Services shall prescribe final regulations
for implementation of section 454A of the Social Se-
curity Act not later than 2 years after the date of
the enactment of this Act.
(4) 
IMPLEMENTATION
TIMETABLE.—Section
454(24) (42 U.S.C. 654(24)), as amended by section
4303(a)(1) of this Act, is amended to read as fol-
lows:
‘‘(24) provide that the State will have in effect
an automated data processing and information re-
trieval system—
‘‘(A) by October 1, 1997, which meets all
requirements of this part which were enacted on
or before the date of enactment of the Family
Support Act of 1988, and
‘‘(B) by October 1, 1999, which meets all
requirements of this part enacted on or before
the date of the enactment of the Personal Re-
sponsibility and Work Opportunity Act of 1996,
except that such deadline shall be extended by
1 day for each day (if any) by which the Sec-
retary fails to meet the deadline imposed by
967
section 4344(a)(3) of the Personal Responsibil-
ity and Work Opportunity Act of 1996;’’.
(b) SPECIAL FEDERAL MATCHING RATE FOR DE-
VELOPMENT COSTS OF AUTOMATED SYSTEMS.—
(1) IN GENERAL.—Section 455(a) (42 U.S.C.
655(a)) is amended—
(A) in paragraph (1)(B)—
(i) by striking ‘‘90 percent’’ and in-
serting ‘‘the percent specified in paragraph
(3)’’;
(ii) by striking ‘‘so much of’’; and
(iii) by striking ‘‘which the Secretary’’
and all that follows and inserting ‘‘, and’’;
and
(B) by adding at the end the following new
paragraph:
‘‘(3)(A) The Secretary shall pay to each State, for
each quarter in fiscal years 1996 and 1997, 90 percent
of so much of the State expenditures described in para-
graph (1)(B) as the Secretary finds are for a system meet-
ing the requirements specified in section 454(16) (as in
effect on September 30, 1995) but limited to the amount
approved for States in the advance planning documents
of such States submitted on or before September 30,
1995.
968
‘‘(B)(i) The Secretary shall pay to each State, for
each quarter in fiscal years 1996 through 2001, the per-
centage specified in clause (ii) of so much of the State
expenditures described in paragraph (1)(B) as the Sec-
retary finds are for a system meeting the requirements
of sections 454(16) and 454A.
‘‘(ii) The percentage specified in this clause is 80 per-
cent.’’.
(2) TEMPORARY
LIMITATION
ON
PAYMENTS
UNDER SPECIAL FEDERAL MATCHING RATE.—
(A) 
IN
GENERAL.—The 
Secretary 
of
Health and Human Services may not pay more
than $400,000,000 in the aggregate under sec-
tion 455(a)(3)(B) of the Social Security Act for
fiscal years 1996 through 2001.
(B) ALLOCATION OF LIMITATION AMONG
STATES.—The total amount payable to a State
under section 455(a)(3)(B) of such Act for fis-
cal years 1996 through 2001 shall not exceed
the limitation determined for the State by the
Secretary of Health and Human Services in
regulations.
(C) ALLOCATION FORMULA.—The regula-
tions referred to in subparagraph (B) shall pre-
scribe a formula for allocating the amount spec-
969
ified in subparagraph (A) among States with
plans approved under part D of title IV of the
Social Security Act, which shall take into ac-
count—
(i) the relative size of State caseloads
under such part; and
(ii) the level of automation needed to
meet the automated data processing re-
quirements of such part.
(c) CONFORMING AMENDMENT.—Section 123(c) of
the Family Support Act of 1988 (102 Stat. 2352; Public
Law 100–485) is repealed.
SEC. 4345. TECHNICAL ASSISTANCE.
(a) FOR TRAINING OF FEDERAL AND STATE STAFF,
RESEARCH AND DEMONSTRATION PROGRAMS, AND SPE-
CIAL PROJECTS OF REGIONAL OR NATIONAL SIGNIFI-
CANCE.—Section 452 (42 U.S.C. 652) is amended by add-
ing at the end the following new subsection:
‘‘(j) Out of any money in the Treasury of the United
States not otherwise appropriated, there is hereby appro-
priated to the Secretary for each fiscal year an amount
equal to 1 percent of the total amount paid to the Federal
Government pursuant to section 457(a) during the imme-
diately preceding fiscal year (as determined on the basis
of the most recent reliable data available to the Secretary
970
as of the end of the 3rd calendar quarter following the
end of such preceding fiscal year), to cover costs incurred
by the Secretary for—
‘‘(1) information dissemination and technical
assistance to States, training of State and Federal
staff, staffing studies, and related activities needed
to improve programs under this part (including tech-
nical assistance concerning State automated systems
required by this part); and
‘‘(2) research, demonstration, and special
projects of regional or national significance relating
to the operation of State programs under this part.
The amount appropriated under this subsection shall re-
main available until expended.’’.
(b) OPERATION
OF FEDERAL PARENT LOCATOR
SERVICE.—Section 453 (42 U.S.C. 653), as amended by
section 4316 of this Act, is amended by adding at the end
the following new subsection:
‘‘(o) RECOVERY OF COSTS.—Out of any money in the
Treasury of the United States not otherwise appropriated,
there is hereby appropriated to the Secretary for each fis-
cal year an amount equal to 2 percent of the total amount
paid to the Federal Government pursuant to section
457(a) during the immediately preceding fiscal year (as
determined on the basis of the most recent reliable data
971
available to the Secretary as of the end of the 3rd calendar
quarter following the end of such preceding fiscal year),
to cover costs incurred by the Secretary for operation of
the Federal Parent Locator Service under this section, to
the extent such costs are not recovered through user
fees.’’.
SEC. 4346. REPORTS AND DATA COLLECTION BY THE SEC-
RETARY.
(a) ANNUAL REPORT TO CONGRESS.—
(1) 
Section 
452(a)(10)(A) 
(42 
U.S.C.
652(a)(10)(A)) is amended—
(A) by striking ‘‘this part;’’ and inserting
‘‘this part, including—’’; and
(B) by adding at the end the following new
clauses:
‘‘(i) the total amount of child support
payments collected as a result of services
furnished during the fiscal year to individ-
uals receiving services under this part;
‘‘(ii) the cost to the States and to the
Federal Government of so furnishing the
services; and
‘‘(iii) the number of cases involving
families—
972
‘‘(I) who became ineligible for as-
sistance under State programs funded
under part A during a month in the
fiscal year; and
‘‘(II) with respect to whom a
child support payment was received in
the month;’’.
(2) 
Section 
452(a)(10)(C) 
(42 
U.S.C.
652(a)(10)(C)) is amended—
(A) in the matter preceding clause (i)—
(i) by striking ‘‘with the data required
under each clause being separately stated
for cases’’ and inserting ‘‘separately stated
for cases’’;
(ii) by striking ‘‘cases where the child
was formerly receiving’’ and inserting ‘‘or
formerly received’’;
(iii) by inserting ‘‘or 1912’’ after
‘‘471(a)(17)’’; and
(iv) by inserting ‘‘for’’ before ‘‘all
other’’;
(B) in each of clauses (i) and (ii), by strik-
ing ‘‘, and the total amount of such obliga-
tions’’;
973
(C) in clause (iii), by striking ‘‘described
in’’ and all that follows and inserting ‘‘in which
support was collected during the fiscal year;’’;
(D) by striking clause (iv); and
(E) by redesignating clause (v) as clause
(vii), and inserting after clause (iii) the follow-
ing new clauses:
‘‘(iv) the total amount of support col-
lected during such fiscal year and distrib-
uted as current support;
‘‘(v) the total amount of support col-
lected during such fiscal year and distrib-
uted as arrearages;
‘‘(vi) the total amount of support due
and unpaid for all fiscal years; and’’.
(3) 
Section 
452(a)(10)(G) 
(42 
U.S.C.
652(a)(10)(G)) is amended by striking ‘‘on the use
of Federal courts and’’.
(4) Section 452(a)(10) (42 U.S.C. 652(a)(10))
is amended—
(A) in subparagraph (H), by striking
‘‘and’’;
(B) in subparagraph (I), by striking the
period and inserting ‘‘; and’’; and
974
(C) by inserting after subparagraph (I) the
following new subparagraph:
‘‘(J) compliance, by State, with the stand-
ards established pursuant to subsections (h)
and (i);’’.
(5) Section 452(a)(10) (42 U.S.C. 652(a)(10))
is amended by striking ‘‘The information contained
in any such report under subpargraph (A)’’ and all
that follows through ‘‘the State plan approved under
part A.’’.
(b) EFFECTIVE DATE.—The amendments made by
subsection (a) shall be effective with respect to fiscal year
1997 and succeeding fiscal years.
CHAPTER 6—ESTABLISHMENT AND
MODIFICATION OF SUPPORT ORDERS
SEC. 4351. SIMPLIFIED PROCESS FOR REVIEW AND ADJUST-
MENT OF CHILD SUPPORT ORDERS.
Section 466(a)(10) (42 U.S.C. 666(a)(10)) is amend-
ed to read as follows:
‘‘(10) REVIEW AND ADJUSTMENT OF SUPPORT
ORDERS UPON REQUEST.—Procedures under which
the State shall review and adjust each support order
being enforced under this part if there is an assign-
ment under part A or upon the request of either
parent, and may review and adjust any other sup-
975
port order being enforced under this part. Such pro-
cedures shall provide the following:
‘‘(A) IN GENERAL.—
‘‘(i) 3-YEAR CYCLE.—Except as pro-
vided in subparagraphs (B) and (C), the
State shall review and, as appropriate, ad-
just the support order every 3 years, tak-
ing into account the best interests of the
child involved.
‘‘(ii) METHODS
OF
ADJUSTMENT.—
The State may elect to review and, if ap-
propriate, adjust an order pursuant to
clause (i) by—
‘‘(I) reviewing and, if appro-
priate, adjusting the order in accord-
ance with the guidelines established
pursuant to section 467(a) if the
amount of the child support award
under the order differs from the
amount that would be awarded in ac-
cordance with the guidelines; or
‘‘(II) applying a cost-of-living ad-
justment to the order in accordance
with a formula developed by the State
and permit either party to contest the
976
adjustment, within 30 days after the
date of the notice of the adjustment,
by making a request for review and, if
appropriate, adjustment of the order
in accordance with the child support
guidelines established pursuant to sec-
tion 467(a).
‘‘(iii) NO PROOF OF CHANGE IN CIR-
CUMSTANCES
NECESSARY.—Any adjust-
ment under this subparagraph (A) shall be
made without a requirement for proof or
showing of a change in circumstances.
‘‘(B) AUTOMATED
METHOD.—The State
may use automated methods (including auto-
mated comparisons with wage or State income
tax data) to identify orders eligible for review,
conduct the review, identify orders eligible for
adjustment, and apply the appropriate adjust-
ment to the orders eligible for adjustment
under the threshold established by the State.
‘‘(C) 
REQUEST
UPON
SUBSTANTIAL
CHANGE IN CIRCUMSTANCES.—The State shall,
at the request of either parent subject to such
an order or of any State child support enforce-
ment agency, review and, if appropriate, adjust
977
the order in accordance with the guidelines es-
tablished pursuant to section 467(a) based
upon a substantial change in the circumstances
of either parent.
‘‘(D) NOTICE OF RIGHT TO REVIEW.—The
State shall provide notice not less than once
every 3 years to the parents subject to such an
order informing them of their right to request
the State to review and, if appropriate, adjust
the order pursuant to this paragraph. The no-
tice may be included in the order.’’.
SEC. 4352. FURNISHING CONSUMER REPORTS FOR CER-
TAIN PURPOSES RELATING TO CHILD SUP-
PORT.
Section 604 of the Fair Credit Reporting Act (15
U.S.C. 1681b) is amended by adding at the end the follow-
ing new paragraphs:
‘‘(4) In response to a request by the head of a State
or local child support enforcement agency (or a State or
local government official authorized by the head of such
an agency), if the person making the request certifies to
the consumer reporting agency that—
‘‘(A) the consumer report is needed for the pur-
pose of establishing an individual’s capacity to make
978
child support payments or determining the appro-
priate level of such payments;
‘‘(B) the paternity of the consumer for the child
to which the obligation relates has been established
or acknowledged by the consumer in accordance with
State laws under which the obligation arises (if re-
quired by those laws);
‘‘(C) the person has provided at least 10 days’
prior notice to the consumer whose report is re-
quested, by certified or registered mail to the last
known address of the consumer, that the report will
be requested; and
‘‘(D) the consumer report will be kept confiden-
tial, will be used solely for a purpose described in
subparagraph (A), and will not be used in connec-
tion with any other civil, administrative, or criminal
proceeding, or for any other purpose.
‘‘(5) To an agency administering a State plan under
section 454 of the Social Security Act (42 U.S.C. 654)
for use to set an initial or modified child support award.’’.
979
SEC. 4353. NONLIABILITY FOR FINANCIAL INSTITUTIONS
PROVIDING FINANCIAL RECORDS TO STATE
CHILD SUPPORT ENFORCEMENT AGENCIES
IN CHILD SUPPORT CASES.
Part D of title IV (42 U.S.C. 651–669) is amended
by adding at the end the following:
‘‘SEC. 469A. NONLIABILITY FOR FINANCIAL INSTITUTIONS
PROVIDING FINANCIAL RECORDS TO STATE
CHILD SUPPORT ENFORCEMENT AGENCIES
IN CHILD SUPPORT CASES.
‘‘(a) IN GENERAL.—Notwithstanding any other pro-
vision of Federal or State law, a financial institution shall
not be liable under any Federal or State law to any person
for disclosing any financial record of an individual to a
State child support enforcement agency attempting to es-
tablish, modify, or enforce a child support obligation of
such individual.
‘‘(b) PROHIBITION OF DISCLOSURE OF FINANCIAL
RECORD OBTAINED
BY STATE CHILD SUPPORT EN-
FORCEMENT AGENCY.—A State child support enforcement
agency which obtains a financial record of an individual
from a financial institution pursuant to subsection (a)
may disclose such financial record only for the purpose
of, and to the extent necessary in, establishing, modifying,
or enforcing a child support obligation of such individual.
980
‘‘(c) CIVIL DAMAGES FOR UNAUTHORIZED DISCLO-
SURE.—
‘‘(1) DISCLOSURE BY STATE OFFICER OR EM-
PLOYEE.—If any person knowingly, or by reason of
negligence, discloses a financial record of an individ-
ual in violation of subsection (b), such individual
may bring a civil action for damages against such
person in a district court of the United States.
‘‘(2) NO LIABILITY FOR GOOD FAITH BUT ER-
RONEOUS INTERPRETATION.—No liability shall arise
under this subsection with respect to any disclosure
which results from a good faith, but erroneous, in-
terpretation of subsection (b).
‘‘(3) DAMAGES.—In any action brought under
paragraph (1), upon a finding of liability on the part
of the defendant, the defendant shall be liable to the
plaintiff in an amount equal to the sum of—
‘‘(A) the greater of—
‘‘(i) $1,000 for each act of unauthor-
ized disclosure of a financial record with
respect to which such defendant is found
liable; or
‘‘(ii) the sum of—
981
‘‘(I) the actual damages sus-
tained by the plaintiff as a result of
such unauthorized disclosure; plus
‘‘(II) in the case of a willful dis-
closure or a disclosure which is the re-
sult of gross negligence, punitive dam-
ages; plus
‘‘(B) the costs (including attorney’s fees)
of the action.
‘‘(d) DEFINITIONS.—For purposes of this section—
‘‘(1) FINANCIAL INSTITUTION.—The term ‘fi-
nancial institution’ means—
‘‘(A) a depository institution, as defined in
section 3(c) of the Federal Deposit Insurance
Act (12 U.S.C. 1813(c));
‘‘(B) an institution-affiliated party, as de-
fined in section 3(u) of such Act (12 U.S.C.
1813(u));
‘‘(C) any Federal credit union or State
credit union, as defined in section 101 of the
Federal Credit Union Act (12 U.S.C. 1752), in-
cluding an institution-affiliated party of such a
credit union, as defined in section 206(r) of
such Act (12 U.S.C. 1786(r)); and
982
‘‘(D) any benefit association, insurance
company, safe deposit company, money-market
mutual fund, or similar entity authorized to do
business in the State.
‘‘(2) FINANCIAL RECORD.—The term ‘financial
record’ has the meaning given such term in section
1101 of the Right to Financial Privacy Act of 1978
(12 U.S.C. 3401).’’.
CHAPTER 7—ENFORCEMENT OF SUPPORT
ORDERS
SEC. 4361. INTERNAL REVENUE SERVICE COLLECTION OF
ARREARAGES.
(a) COLLECTION OF FEES.—Section 6305(a) of the
Internal Revenue Code of 1986 (relating to collection of
certain liability) is amended—
(1) by striking ‘‘and’’ at the end of paragraph
(3);
(2) by striking the period at the end of para-
graph (4) and inserting ‘‘, and’’;
(3) by adding at the end the following new
paragraph:
‘‘(5) no additional fee may be assessed for ad-
justments to an amount previously certified pursu-
ant to such section 452(b) with respect to the same
obligor.’’; and
983
(4) by striking ‘‘Secretary of Health, Edu-
cation, and Welfare’’ each place it appears and in-
serting ‘‘Secretary of Health and Human Services’’.
(b) EFFECTIVE DATE.—The amendments made by
this section shall become effective October 1, 1997.
SEC. 4362. AUTHORITY TO COLLECT SUPPORT FROM FED-
ERAL EMPLOYEES.
(a) CONSOLIDATION
AND STREAMLINING
OF AU-
THORITIES.—Section 459 (42 U.S.C. 659) is amended to
read as follows:
‘‘SEC. 459. CONSENT BY THE UNITED STATES TO INCOME
WITHHOLDING, GARNISHMENT, AND SIMILAR
PROCEEDINGS FOR ENFORCEMENT OF CHILD
SUPPORT AND ALIMONY OBLIGATIONS.
‘‘(a) CONSENT TO SUPPORT ENFORCEMENT.—Not-
withstanding any other provision of law (including section
207 of this Act and section 5301 of title 38, United States
Code), effective January 1, 1975, moneys (the entitlement
to which is based upon remuneration for employment) due
from, or payable by, the United States or the District of
Columbia (including any agency, subdivision, or instru-
mentality thereof) to any individual, including members
of the Armed Forces of the United States, shall be subject,
in like manner and to the same extent as if the United
States or the District of Columbia were a private person,
984
to withholding in accordance with State law enacted pur-
suant to subsections (a)(1) and (b) of section 466 and reg-
ulations of the Secretary under such subsections, and to
any other legal process brought, by a State agency admin-
istering a program under a State plan approved under this
part or by an individual obligee, to enforce the legal obliga-
tion of the individual to provide child support or alimony.
‘‘(b) CONSENT TO REQUIREMENTS APPLICABLE TO
PRIVATE PERSON.—With respect to notice to withhold in-
come pursuant to subsection (a)(1) or (b) of section 466,
or any other order or process to enforce support obliga-
tions against an individual (if the order or process con-
tains or is accompanied by sufficient data to permit
prompt identification of the individual and the moneys in-
volved), each governmental entity specified in subsection
(a) shall be subject to the same requirements as would
apply if the entity were a private person, except as other-
wise provided in this section.
‘‘(c) DESIGNATION OF AGENT; RESPONSE TO NOTICE
OR PROCESS—
‘‘(1) DESIGNATION OF AGENT.—The head of
each agency subject to this section shall—
‘‘(A) designate an agent or agents to re-
ceive orders and accept service of process in
985
matters relating to child support or alimony;
and
‘‘(B) annually publish in the Federal Reg-
ister the designation of the agent or agents,
identified by title or position, mailing address,
and telephone number.
‘‘(2) RESPONSE TO NOTICE OR PROCESS.—If an
agent designated pursuant to paragraph (1) of this
subsection receives notice pursuant to State proce-
dures in effect pursuant to subsection (a)(1) or (b)
of section 466, or is effectively served with any
order, process, or interrogatory, with respect to an
individual’s child support or alimony payment obli-
gations, the agent shall—
‘‘(A) as soon as possible (but not later
than 15 days) thereafter, send written notice of
the notice or service (together with a copy of
the notice or service) to the individual at the
duty station or last-known home address of the
individual;
‘‘(B) within 30 days (or such longer period
as may be prescribed by applicable State law)
after receipt of a notice pursuant to such State
procedures, comply with all applicable provi-
sions of section 466; and
986
‘‘(C) within 30 days (or such longer period
as may be prescribed by applicable State law)
after effective service of any other such order,
process, or interrogatory, respond to the order,
process, or interrogatory.
‘‘(d) PRIORITY OF CLAIMS.—If a governmental entity
specified in subsection (a) receives notice or is served with
process, as provided in this section, concerning amounts
owed by an individual to more than 1 person—
‘‘(1) support collection under section 466(b)
must be given priority over any other process, as
provided in section 466(b)(7);
‘‘(2) allocation of moneys due or payable to an
individual among claimants under section 466(b)
shall be governed by section 466(b) and the regula-
tions prescribed under such section; and
‘‘(3) such moneys as remain after compliance
with paragraphs (1) and (2) shall be available to
satisfy any other such processes on a first-come,
first-served basis, with any such process being satis-
fied out of such moneys as remain after the satisfac-
tion of all such processes which have been previously
served.
‘‘(e) NO REQUIREMENT TO VARY PAY CYCLES.—A
governmental entity that is affected by legal process
987
served for the enforcement of an individual’s child support
or alimony payment obligations shall not be required to
vary its normal pay and disbursement cycle in order to
comply with the legal process.
‘‘(f) RELIEF FROM LIABILITY.—
‘‘(1) Neither the United States, nor the govern-
ment of the District of Columbia, nor any disbursing
officer shall be liable with respect to any payment
made from moneys due or payable from the United
States to any individual pursuant to legal process
regular on its face, if the payment is made in ac-
cordance with this section and the regulations issued
to carry out this section.
‘‘(2) No Federal employee whose duties include
taking actions necessary to comply with the require-
ments of subsection (a) with regard to any individ-
ual shall be subject under any law to any discipli-
nary action or civil or criminal liability or penalty
for, or on account of, any disclosure of information
made by the employee in connection with the carry-
ing out of such actions.
‘‘(g) REGULATIONS.—Authority to promulgate regu-
lations for the implementation of this section shall, insofar
as this section applies to moneys due from (or payable
by)—
988
‘‘(1) the United States (other than the legisla-
tive or judicial branches of the Federal Government)
or the government of the District of Columbia, be
vested in the President (or the designee of the Presi-
dent);
‘‘(2) the legislative branch of the Federal Gov-
ernment, be vested jointly in the President pro tem-
pore of the Senate and the Speaker of the House of
Representatives (or their designees), and
‘‘(3) the judicial branch of the Federal Govern-
ment, be vested in the Chief Justice of the United
States (or the designee of the Chief Justice).
‘‘(h) MONEYS SUBJECT TO PROCESS.—
‘‘(1) IN GENERAL.—Subject to paragraph (2),
moneys paid or payable to an individual which are
considered to be based upon remuneration for em-
ployment, for purposes of this section—
‘‘(A) consist of—
‘‘(i) compensation paid or payable for
personal services of the individual, whether
the compensation is denominated as wages,
salary, commission, bonus, pay, allowances,
or otherwise (including severance pay, sick
pay, and incentive pay);
989
‘‘(ii) periodic benefits (including a
periodic benefit as defined in section
228(h)(3)) or other payments—
‘‘(I) under the insurance system
established by title II;
‘‘(II) under any other system or
fund established by the United States
which provides for the payment of
pensions, retirement or retired pay,
annuities, dependents’ or survivors’
benefits, or similar amounts payable
on account of personal services per-
formed by the individual or any other
individual;
‘‘(III) as compensation for death
under any Federal program;
‘‘(IV) under any Federal pro-
gram established to provide ‘black
lung’ benefits; or
‘‘(V) by the Secretary of Veter-
ans Affairs as compensation for a
service-connected disability paid by
the Secretary to a former member of
the Armed Forces who is in receipt of
retired or retainer pay if the former
990
member has waived a portion of the
retired or retainer pay in order to re-
ceive such compensation; and
‘‘(iii) worker’s compensation benefits
paid under Federal or State law but
‘‘(B) do not include any payment—
‘‘(i) by way of reimbursement or oth-
erwise, to defray expenses incurred by the
individual in carrying out duties associated
with the employment of the individual; or
‘‘(ii) as allowances for members of the
uniformed services payable pursuant to
chapter 7 of title 37, United States Code,
as prescribed by the Secretaries concerned
(defined by section 101(5) of such title) as
necessary for the efficient performance of
duty.
‘‘(2) CERTAIN AMOUNTS EXCLUDED.—In deter-
mining the amount of any moneys due from, or pay-
able by, the United States to any individual, there
shall be excluded amounts which—
‘‘(A) are owed by the individual to the
United States;
‘‘(B) are required by law to be, and are,
deducted from the remuneration or other pay-
991
ment involved, including Federal employment
taxes, and fines and forfeitures ordered by
court-martial;
‘‘(C) are properly withheld for Federal,
State, or local income tax purposes, if the with-
holding of the amounts is authorized or re-
quired by law and if amounts withheld are not
greater than would be the case if the individual
claimed all dependents to which he was entitled
(the withholding of additional amounts pursu-
ant to section 3402(i) of the Internal Revenue
Code of 1986 may be permitted only when the
individual presents evidence of a tax obligation
which supports the additional withholding);
‘‘(D) are deducted as health insurance pre-
miums;
‘‘(E) are deducted as normal retirement
contributions (not including amounts deducted
for supplementary coverage); or
‘‘(F) are deducted as normal life insurance
premiums from salary or other remuneration
for employment (not including amounts de-
ducted for supplementary coverage).
‘‘(i) DEFINITIONS.—For purposes of this section—
992
‘‘(1) UNITED
STATES.—The term ‘United
States’ includes any department, agency, or instru-
mentality of the legislative, judicial, or executive
branch of the Federal Government, the United
States Postal Service, the Postal Rate Commission,
any Federal corporation created by an Act of Con-
gress that is wholly owned by the Federal Govern-
ment, and the governments of the territories and
possessions of the United States.
‘‘(2) CHILD SUPPORT.—The term ‘child sup-
port’, when used in reference to the legal obligations
of an individual to provide such support, means
amounts required to be paid under a judgment, de-
cree, or order, whether temporary, final, or subject
to modification, issued by a court or an administra-
tive agency of competent jurisdiction, for the sup-
port and maintenance of a child, including a child
who has attained the age of majority under the law
of the issuing State, or a child and the parent with
whom the child is living, which provides for mone-
tary support, health care, arrearages or reimburse-
ment, and which may include other related costs and
fees, interest and penalties, income withholding, at-
torney’s fees, and other relief.
‘‘(3) ALIMONY.—
993
‘‘(A) IN
GENERAL.—The term ‘alimony’,
when used in reference to the legal obligations
of an individual to provide the same, means
periodic payments of funds for the support and
maintenance of the spouse (or former spouse)
of the individual, and (subject to and in accord-
ance with State law) includes separate mainte-
nance, alimony pendente lite, maintenance, and
spousal support, and includes attorney’s fees,
interest, and court costs when and to the extent
that the same are expressly made recoverable as
such pursuant to a decree, order, or judgment
issued in accordance with applicable State law
by a court of competent jurisdiction.
‘‘(B) EXCEPTIONS.—Such term does not
include—
‘‘(i) any child support; or
‘‘(ii) any payment or transfer of prop-
erty or its value by an individual to the
spouse or a former spouse of the individual
in compliance with any community prop-
erty settlement, equitable distribution of
property, or other division of property be-
tween spouses or former spouses.
994
‘‘(4) PRIVATE PERSON.—The term ‘private per-
son’ means a person who does not have sovereign or
other special immunity or privilege which causes the
person not to be subject to legal process.
‘‘(5) LEGAL PROCESS.—The term ‘legal proc-
ess’ means any writ, order, summons, or other simi-
lar process in the nature of garnishment—
‘‘(A) which is issued by—
‘‘(i) a court or an administrative
agency of competent jurisdiction in any
State, territory, or possession of the Unit-
ed States;
‘‘(ii) a court or an administrative
agency of competent jurisdiction in any
foreign country with which the United
States has entered into an agreement
which requires the United States to honor
the process; or
‘‘(iii) an authorized official pursuant
to an order of such a court or an adminis-
trative agency of competent jurisdiction or
pursuant to State or local law; and
‘‘(B) which is directed to, and the purpose
of which is to compel, a governmental entity
which holds moneys which are otherwise pay-
995
able to an individual to make a payment from
the moneys to another party in order to satisfy
a legal obligation of the individual to provide
child support or make alimony payments.’’.
(b) CONFORMING AMENDMENTS.—
(1) TO PART D OF TITLE IV.—Sections 461 and
462 (42 U.S.C. 661 and 662) are repealed.
(2) TO TITLE 5, UNITED STATES CODE.—Sec-
tion 5520a of title 5, United States Code, is amend-
ed, in subsections (h)(2) and (i), by striking ‘‘sec-
tions 459, 461, and 462 of the Social Security Act
(42 U.S.C. 659, 661, and 662)’’ and inserting ‘‘sec-
tion 459 of the Social Security Act (42 U.S.C.
659)’’.
(c) MILITARY RETIRED AND RETAINER PAY.—
(1) 
DEFINITION
OF
COURT.—Section
1408(a)(1) of title 10, United States Code, is
amended—
(A) by striking ‘‘and’’ at the end of sub-
paragraph (B);
(B) by striking the period at the end of
subparagraph (C) and inserting ‘‘; and’’; and
(C) by adding after subparagraph (C) the
following new subparagraph:
996
‘‘(D) any administrative or judicial tribu-
nal of a State competent to enter orders for
support or maintenance (including a State
agency administering a program under a State
plan approved under part D of title IV of the
Social Security Act), and, for purposes of this
subparagraph, the term ‘State’ includes the
District of Columbia, the Commonwealth of
Puerto Rico, the Virgin Islands, Guam, and
American Samoa.’’.
(2) DEFINITION
OF
COURT
ORDER.—Section
1408(a)(2) of such title is amended—
(A) by inserting ‘‘or a support order, as
defined in section 453(p) of the Social Security
Act (42 U.S.C. 653(p)),’’ before ‘‘which—’’;
(B) in subparagraph (B)(i), by striking
‘‘(as defined in section 462(b) of the Social Se-
curity Act (42 U.S.C. 662(b)))’’ and inserting
‘‘(as defined in section 459(i)(2) of the Social
Security Act (42 U.S.C. 659(i)(2)))’’; and
(C) in subparagraph (B)(ii), by striking
‘‘(as defined in section 462(c) of the Social Se-
curity Act (42 U.S.C. 662(c)))’’ and inserting
‘‘(as defined in section 459(i)(3) of the Social
Security Act (42 U.S.C. 659(i)(3)))’’.
997
(3) PUBLIC PAYEE.—Section 1408(d) of such
title is amended—
(A) in the heading, by inserting ‘‘(OR FOR
BENEFIT OF)’’ before ‘‘SPOUSE OR’’; and
(B) in paragraph (1), in the 1st sentence,
by inserting ‘‘(or for the benefit of such spouse
or former spouse to a State disbursement unit
established pursuant to section 454B of the So-
cial Security Act or other public payee des-
ignated by a State, in accordance with part D
of title IV of the Social Security Act, as di-
rected by court order, or as otherwise directed
in accordance with such part D)’’ before ‘‘in an
amount sufficient’’.
(4) RELATIONSHIP TO PART D OF TITLE IV.—
Section 1408 of such title is amended by adding at
the end the following new subsection:
‘‘(j) RELATIONSHIP TO OTHER LAWS.—In any case
involving an order providing for payment of child support
(as defined in section 459(i)(2) of the Social Security Act)
by a member who has never been married to the other
parent of the child, the provisions of this section shall not
apply, and the case shall be subject to the provisions of
section 459 of such Act.’’.
998
(d) EFFECTIVE DATE.—The amendments made by
this section shall become effective 6 months after the date
of the enactment of this Act.
SEC. 4363. ENFORCEMENT OF CHILD SUPPORT OBLIGA-
TIONS OF MEMBERS OF THE ARMED FORCES.
(a) AVAILABILITY OF LOCATOR INFORMATION.—
(1) MAINTENANCE
OF
ADDRESS
INFORMA-
TION.—The Secretary of Defense shall establish a
centralized personnel locator service that includes
the address of each member of the Armed Forces
under the jurisdiction of the Secretary. Upon re-
quest of the Secretary of Transportation, addresses
for members of the Coast Guard shall be included in
the centralized personnel locator service.
(2) TYPE OF ADDRESS.—
(A) RESIDENTIAL
ADDRESS.—Except as
provided in subparagraph (B), the address for
a member of the Armed Forces shown in the lo-
cator service shall be the residential address of
that member.
(B) DUTY ADDRESS.—The address for a
member of the Armed Forces shown in the loca-
tor service shall be the duty address of that
member in the case of a member—
999
(i) who is permanently assigned over-
seas, to a vessel, or to a routinely
deployable unit; or
(ii) with respect to whom the Sec-
retary concerned makes a determination
that the member’s residential address
should not be disclosed due to national se-
curity or safety concerns.
(3) UPDATING
OF
LOCATOR
INFORMATION.—
Within 30 days after a member listed in the locator
service establishes a new residential address (or a
new duty address, in the case of a member covered
by paragraph (2)(B)), the Secretary concerned shall
update the locator service to indicate the new ad-
dress of the member.
(4) AVAILABILITY OF INFORMATION.—The Sec-
retary of Defense shall make information regarding
the address of a member of the Armed Forces listed
in the locator service available, on request, to the
Federal Parent Locator Service established under
section 453 of the Social Security Act.
(b) FACILITATING GRANTING OF LEAVE FOR AT-
TENDANCE AT HEARINGS.—
(1) REGULATIONS.—The Secretary of each
military department, and the Secretary of Transpor-
1000
tation with respect to the Coast Guard when it is
not operating as a service in the Navy, shall pre-
scribe regulations to facilitate the granting of leave
to a member of the Armed Forces under the juris-
diction of that Secretary in a case in which—
(A) the leave is needed for the member to
attend a hearing described in paragraph (2);
(B) the member is not serving in or with
a unit deployed in a contingency operation (as
defined in section 101 of title 10, United States
Code); and
(C) the exigencies of military service (as
determined by the Secretary concerned) do not
otherwise require that such leave not be grant-
ed.
(2) COVERED HEARINGS.—Paragraph (1) ap-
plies to a hearing that is conducted by a court or
pursuant to an administrative process established
under State law, in connection with a civil action—
(A) to determine whether a member of the
Armed Forces is a natural parent of a child; or
(B) to determine an obligation of a mem-
ber of the Armed Forces to provide child sup-
port.
1001
(3) DEFINITIONS.—For purposes of this sub-
section—
(A) The term ‘‘court’’ has the meaning
given that term in section 1408(a) of title 10,
United States Code.
(B) The term ‘‘child support’’ has the
meaning given such term in section 459(i) of
the Social Security Act (42 U.S.C. 659(i)).
(c) PAYMENT OF MILITARY RETIRED PAY IN COM-
PLIANCE WITH CHILD SUPPORT ORDERS.—
(1) DATE
OF
CERTIFICATION
OF
COURT
ORDER.—Section 1408 of title 10, United States
Code, as amended by section 4362(c)(4) of this Act,
is amended—
(A) by redesignating subsections (i) and (j)
as subsections (j) and (k), respectively; 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 complete-
ness 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 by the Sec-
retary.’’.
1002
(2) PAYMENTS
CONSISTENT
WITH
ASSIGN-
MENTS OF RIGHTS TO STATES.—Section 1408(d)(1)
of such title is amended by inserting after the 1st
sentence the following new sentence: ‘‘In the case of
a spouse or former spouse who, pursuant to section
408(a)(4) of the Social Security Act (42 U.S.C.
608(a)(4)), assigns to a State the rights of the
spouse or former spouse to receive support, the Sec-
retary concerned may make the child support pay-
ments referred to in the preceding sentence to that
State in amounts consistent with that assignment of
rights.’’.
(3) ARREARAGES OWED BY MEMBERS OF THE
UNIFORMED
SERVICES.—Section 1408(d) of such
title is amended by adding at the end the following
new paragraph:
‘‘(6) In the case of a court order for which effective
service is made on the Secretary concerned on or after
the date of the enactment of this paragraph and which
provides for payments from the disposable retired pay of
a member to satisfy the amount of child support set forth
in the order, the authority provided in paragraph (1) to
make payments from the disposable retired pay of a mem-
ber to satisfy the amount of child support set forth in a
court order shall apply to payment of any amount of child
1003
support arrearages set forth in that order as well as to
amounts of child support that currently become due.’’.
(4) PAYROLL DEDUCTIONS.—The Secretary of
Defense shall begin payroll deductions within 30
days after receiving notice of withholding, or for the
1st pay period that begins after such 30-day period.
SEC. 4364. VOIDING OF FRAUDULENT TRANSFERS.
Section 466 (42 U.S.C. 666), as amended by section
4321 of this Act, is amended by adding at the end the
following new subsection:
‘‘(g) LAWS VOIDING FRAUDULENT TRANSFERS.—In
order to satisfy section 454(20)(A), each State must have
in effect—
‘‘(1)(A) the Uniform Fraudulent Conveyance
Act of 1981;
‘‘(B) the Uniform Fraudulent Transfer Act of
1984; or
‘‘(C) another law, specifying indicia of fraud
which create a prima facie case that a debtor trans-
ferred income or property to avoid payment to a
child support creditor, which the Secretary finds af-
fords comparable rights to child support creditors;
and
‘‘(2) procedures under which, in any case in
which the State knows of a transfer by a child sup-
1004
port debtor with respect to which such a prima facie
case is established, the State must—
‘‘(A) seek to void such transfer; or
‘‘(B) obtain a settlement in the best inter-
ests of the child support creditor.’’.
SEC. 4365. WORK REQUIREMENT FOR PERSONS OWING
PAST-DUE CHILD SUPPORT.
(a) IN
GENERAL.—Section 466(a) (42 U.S.C.
666(a)), as amended by sections 4315, 4317(a), and 4323
of this Act, is amended by inserting after paragraph (14)
the following new paragraph:
‘‘(15) PROCEDURES TO ENSURE THAT PERSONS
OWING PAST-DUE SUPPORT WORK OR HAVE A PLAN
FOR PAYMENT OF SUCH SUPPORT.—
‘‘(A) IN
GENERAL.—Procedures under
which the State has the authority, in any case
in which an individual owes past-due support
with respect to a child receiving assistance
under a State program funded under part A, to
issue an order or to request that a court or an
administrative process established pursuant to
State law issue an order that requires the indi-
vidual to—
‘‘(i) pay such support in accordance
with a plan approved by the court, or, at
1005
the option of the State, a plan approved by
the State agency administering the State
program under this part; or
‘‘(ii) if the individual is subject to
such a plan and is not incapacitated, par-
ticipate in such work activities (as defined
in section 407(d)) as the court, or, at the
option of the State, the State agency ad-
ministering the State program under this
part, deems appropriate.
‘‘(B) PAST-DUE SUPPORT DEFINED.—For
purposes of subparagraph (A), the term ‘past-
due support’ means the amount of a delin-
quency, determined under a court order, or an
order of an administrative process established
under State law, for support and maintenance
of a child, or of a child and the parent with
whom the child is living.’’.
(b) CONFORMING
AMENDMENT.—The flush para-
graph at the end of section 466(a) (42 U.S.C.666(a)) is
amended by striking ‘‘and (7)’’ and inserting ‘‘(7), and
(15)’’.
1006
SEC. 4366. DEFINITION OF SUPPORT ORDER.
Section 453 (42 U.S.C. 653) as amended by sections
4316 and 4345(b) of this Act, is amended by adding at
the end the following new subsection:
‘‘(p) SUPPORT ORDER DEFINED.—As used in this
part, the term ‘support order’ means a judgment, decree,
or order, whether temporary, final, or subject to modifica-
tion, issued by a court or an administrative agency of com-
petent jurisdiction, for the support and maintenance of a
child, including a child who has attained the age of major-
ity under the law of the issuing State, or a child and the
parent with whom the child is living, which provides for
monetary support, health care, arrearages, or reimburse-
ment, and which may include related costs and fees, inter-
est and penalties, income withholding, attorneys’ fees, and
other relief.’’.
SEC. 4367. REPORTING ARREARAGES TO CREDIT BUREAUS.
Section 466(a)(7) (42 U.S.C. 666(a)(7)) is amended
to read as follows:
‘‘(7) REPORTING ARREARAGES TO CREDIT BU-
REAUS.—
‘‘(A) IN GENERAL.—Procedures (subject to
safeguards pursuant to subparagraph (B)) re-
quiring the State to report periodically to
consumer reporting agencies (as defined in sec-
tion 603(f) of the Fair Credit Reporting Act
1007
(15 U.S.C. 1681a(f)) the name of any non-
custodial parent who is delinquent in the pay-
ment of support, and the amount of overdue
support owed by such parent.
‘‘(B) SAFEGUARDS.—Procedures ensuring
that, in carrying out subparagraph (A), infor-
mation with respect to a noncustodial parent is
reported—
‘‘(i) only after such parent has been
afforded all due process required under
State law, including notice and a reason-
able opportunity to contest the accuracy of
such information; and
‘‘(ii) only to an entity that has fur-
nished evidence satisfactory to the State
that the entity is a consumer reporting
agency (as so defined).’’.
SEC. 4368. LIENS.
Section 466(a)(4) (42 U.S.C. 666(a)(4)) is amended
to read as follows:
‘‘(4) LIENS.—Procedures under which—
‘‘(A) liens arise by operation of law against
real and personal property for amounts of over-
due support owed by a noncustodial parent who
resides or owns property in the State; and
1008
‘‘(B) the State accords full faith and credit
to liens described in subparagraph (A) arising
in another State, when the State agency, party,
or other entity seeking to enforce such a lien
complies with the procedural rules relating to
recording or serving liens that arise within the
State, except that such rules may not require
judicial notice or hearing prior to the enforce-
ment of such a lien.’’.
SEC. 4369. STATE LAW AUTHORIZING SUSPENSION OF LI-
CENSES.
Section 466(a) (42 U.S.C. 666(a)), as amended by
sections 4315, 4317(a), 4323, and 4365 of this Act, is
amended by inserting after paragraph (15) the following:
‘‘(16) AUTHORITY TO WITHHOLD OR SUSPEND
LICENSES.—Procedures under which the State has
(and uses in appropriate cases) authority to withhold
or suspend, or to restrict the use of driver’s licenses,
professional and occupational licenses, and rec-
reational licenses of individuals owing overdue sup-
port or failing, after receiving appropriate notice, to
comply with subpoenas or warrants relating to pa-
ternity or child support proceedings.’’.
1009
SEC. 4370. DENIAL OF PASSPORTS FOR NONPAYMENT OF
CHILD SUPPORT.
(a) HHS CERTIFICATION PROCEDURE.—
(1) SECRETARIAL
RESPONSIBILITY.—Section
452 (42 U.S.C. 652), as amended by section 4345
of this Act, is amended by adding at the end the fol-
lowing new subsection:
‘‘(k)(1) If the Secretary receives a certification by a
State agency in accordance with the requirements of sec-
tion 454(31) that an individual owes arrearages of child
support in an amount exceeding $5,000, the Secretary
shall transmit such certification to the Secretary of State
for action (with respect to denial, revocation, or limitation
of passports) pursuant to paragraph (2).
‘‘(2) The Secretary of State shall, upon certification
by the Secretary transmitted under paragraph (1), refuse
to issue a passport to such individual, and may revoke,
restrict, or limit a passport issued previously to such indi-
vidual.
‘‘(3) The Secretary and the Secretary of State shall
not be liable to an individual for any action with respect
to a certification by a State agency under this section.’’.
(2) STATE AGENCY RESPONSIBILITY.—Section
454 (42 U.S.C. 654), as amended by sections
4301(b), 4303(a), 4312(b), 4313(a), 4333, and
4343(b) of this Act, is amended—