139
(b) FEDERAL ACTIVITIES.—Section 452(a)(4) (42
U.S.C. 652(a)(4)) is amended to read as follows:
‘‘(4)(A) review data and calculations transmit-
ted 
by 
State 
agencies 
pursuant 
to 
section
454(15)(B) on State program accomplishments with
respect to performance indicators for purposes of
section 452(g) and 458, and determine the amount
(if any) of penalty reductions pursuant to section
455(c) to be applied to the State;
‘‘(B) review annual reports by State agencies
pursuant to section 454(15)(A) on State program
conformity with Federal requirements; evaluate any
elements of a State program in which significant de-
ficiencies are indicated by such report on the status
of complaints under the State procedure under sec-
tion 454(12)(B); and, as appropriate, provide to the
State agency comments, recommendations for addi-
tional or alternative corrective actions, and technical
assistance; and
‘‘(C) conduct audits, in accordance with the
government auditing standards of the United States
Comptroller General—
‘‘(i) at least once every 3 years (or more
frequently, in the case of a State which fails to
meet requirements of this part, or of regula-
140
tions implementing such requirements, concern-
ing performance standards and reliability of
program data) to assess the completeness, reli-
ability, and security of the data, and the accu-
racy of the reporting systems, used for the cal-
culations of performance indicators specified in
subsection (g) and section 458;
‘‘(ii) of the adequacy of financial manage-
ment of the State program, including assess-
ments of—
‘‘(I) whether Federal and other funds
made available to carry out the State pro-
gram under this part are being appro-
priately expended, and are properly and
fully accounted for; and
‘‘(II) whether collections and disburse-
ments of support payments and program
income are carried out correctly and are
properly and fully accounted for; and
‘‘(iii) for such other purposes as the Sec-
retary may find necessary;’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall be effective with respect to calendar
quarters beginning on or after the date one year after en-
actment of this section.
141
SEC. 414. REQUIRED REPORTING PROCEDURES.
(a) ESTABLISHMENT.—Section 452(a)(5) (42 U.S.C.
652(a)(5)) is amended by inserting ‘‘, and establish proce-
dures to be followed by States for collecting and reporting
information required to be provided under this part, and
establish uniform definitions (including those necessary to
enable the measurement of State compliance with the re-
quirements of this part relating to expedited processes and
timely case processing) to be applied in following such pro-
cedures’’ before the semicolon.
(b) STATE PLAN REQUIREMENT.—Section 454 (42
U.S.C. 654), as amended by section 404(a) of this Act,
is amended—
(1) by striking ‘‘and’’ at the end of paragraph
(24);
(2) by striking the period at the end of para-
graph (25) and inserting ‘‘; and’’; and
(3) by adding after paragraph (25) the follow-
ing:
‘‘(26) provide that the State shall use the defi-
nitions established under section 452(a)(5) in col-
lecting and reporting information as required under
this part.’’.
SEC. 415. AUTOMATED DATA PROCESSING REQUIREMENTS.
(a) REVISED REQUIREMENTS.—(1) Section 454(16)
(42 U.S.C. 654(16)) is amended—
142
(A) by striking ‘‘, at the option of the State,’’;
(B) by inserting ‘‘and operation by the State
agency’’ after ‘‘for the establishment’’;
(C) by inserting ‘‘meeting the requirements of
section 454A’’ after ‘‘information retrieval system’’;
(D) by striking ‘‘in the State and localities
thereof, so as (A)’’ and inserting ‘‘so as’’;
(E) by striking ‘‘(i)’’; and
(F) by striking ‘‘(including’’ and all that follows
and inserting a semicolon.
(2) Part D of title IV (42 U.S.C. 651–669) is amend-
ed by inserting after section 454 the following new section:
‘‘AUTOMATED DATA PROCESSING
‘‘SEC. 454A. (a) IN GENERAL.—In order to meet the
requirements of this section, for purposes of the require-
ment of section 454(16), a State agency shall have in op-
eration a single statewide automated data processing and
information retrieval system which has the capability to
perform the tasks specified in this section, and performs
such tasks with the frequency and in the manner specified
in this part or in regulations or guidelines of the Sec-
retary.
‘‘(b) PROGRAM MANAGEMENT.—The automated sys-
tem required under this section shall perform such func-
tions as the Secretary may specify relating to management
of the program under this part, including—
143
‘‘(1) controlling and accounting for use of Fed-
eral, State, and local funds to carry out such pro-
gram; and
‘‘(2) maintaining the data necessary to meet
Federal reporting requirements on a timely basis.
‘‘(c) CALCULATION
OF
PERFORMANCE
INDICA-
TORS.—In order to enable the Secretary to determine the
incentive and penalty adjustments required by sections
452(g) and 458, the State agency shall—
‘‘(1) use the automated system—
‘‘(A) to maintain the requisite data on
State performance with respect to paternity es-
tablishment and child support enforcement in
the State; and
‘‘(B) to calculate the IV–D paternity es-
tablishment percentage and overall performance
in child support enforcement for the State for
each fiscal year; and
‘‘(2) have in place systems controls to ensure
the completeness, and reliability of, and ready access
to, the data described in paragraph (1)(A), and the
accuracy of the calculations described in paragraph
(1)(B).
‘‘(d) INFORMATION INTEGRITY AND SECURITY.—The
State agency shall have in effect safeguards on the integ-
144
rity, accuracy, and completeness of, access to, and use of
data in the automated system required under this section,
which shall include the following (in addition to such other
safeguards as the Secretary specifies in regulations):
‘‘(1) POLICIES RESTRICTING ACCESS.—Written
policies concerning access to data by State agency
personnel, and sharing of data with other persons,
which—
‘‘(A) permit access to and use of data only
to the extent necessary to carry out program re-
sponsibilities;
‘‘(B) specify the data which may be used
for particular program purposes, and the per-
sonnel permitted access to such data; and
‘‘(C) ensure that data obtained or disclosed
for a limited program purpose is not used or
redisclosed for another, impermissible purpose.
‘‘(2) SYSTEMS
CONTROLS.—Systems controls
(such as passwords or blocking of fields) to ensure
strict adherence to the policies specified under para-
graph (1).
‘‘(3) MONITORING OF ACCESS.—Routine mon-
itoring of access to and use of the automated sys-
tem, through methods such as audit trails and feed-
145
back mechanisms, to guard against and promptly
identify unauthorized access or use.
‘‘(4) TRAINING AND INFORMATION.—The State
agency shall have in effect procedures to ensure that
all personnel (including State and local agency staff
and contractors) who may have access to or be re-
quired to use sensitive or confidential program data
are fully informed of applicable requirements and
penalties, and are adequately trained in security pro-
cedures.
‘‘(5) PENALTIES.—The State agency shall have
in effect administrative penalties (up to and includ-
ing dismissal from employment) for unauthorized ac-
cess to, or disclosure or use of, confidential data.’’.
(3) REGULATIONS.—Section 452 (42 U.S.C. 652) is
amended by adding at the end the following:
‘‘(j) The Secretary shall prescribe final regulations
for implementation of the requirements of section 454A
not later than 2 years after the date of the enactment of
this subsection.’’.
(4) 
IMPLEMENTATION
TIMETABLE.—Section
454(24) (42 U.S.C. 654(24)), as amended by sections
404(a)(2) and 414(b)(1) of this Act, is amended to read
as follows:
146
‘‘(24) provide that the State will have in effect
an automated data processing and information re-
trieval system—
‘‘(A) by October 1, 1995, meeting all re-
quirements 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, meeting all re-
quirements of this part enacted on or before the
date of enactment of the Individual Responsibil-
ity Act of 1995 (but this provision shall not be
construed to alter earlier deadlines specified for
elements of such system), except that such
deadline shall be extended by 1 day for each
day (if any) by which the Secretary fails to
meet the deadline imposed by section 452(j);’’.
(b) SPECIAL FEDERAL MATCHING RATE FOR DE-
VELOPMENT COSTS OF AUTOMATED SYSTEMS.—Section
455(a) (42 U.S.C. 655(a)) is amended—
(1) in paragraph (1)(B)—
(A) by striking ‘‘90 percent’’ and inserting
‘‘the percent specified in paragraph (3)’’;
(B) by striking ‘‘so much of’’; and
(C) by striking ‘‘which the Secretary’’ and
all that follows and inserting ‘‘, and’’; and
147
(2) by adding at the end the following new
paragraph:
‘‘(3)(A) The Secretary shall pay to each State, for
each quarter in fiscal year 1996, 90 percent of so much
of State expenditures described in subparagraph (1)(B) as
the Secretary finds are for a system meeting the require-
ments specified in section 454(16), or meeting such re-
quirements without regard to clause (D) thereof.
‘‘(B)(i) The Secretary shall pay to each State, for
each quarter in fiscal years 1997 through 2001, the per-
centage specified in clause (ii) of so much of State expend-
itures described in subparagraph (1)(B) as the Secretary
finds are for a system meeting the requirements specified
in section 454(16) and 454A, subject to clause (iii).
‘‘(ii) The percentage specified in this clause, for pur-
poses of clause (i), is the higher of—
‘‘(I) 80 percent, or
‘‘(II) the percentage otherwise applicable to
Federal payments to the State under subparagraph
(A) (as adjusted pursuant to section 458).’’.
(c) CONFORMING AMENDMENT.—Section 123(c) of
the Family Support Act of 1988 (102 Stat. 2352; Public
Law 100–485) is repealed.
(d) ADDITIONAL PROVISIONS.—For additional provi-
sions of section 454A, as added by subsection (a) of this
148
section, see the amendments made by sections 421,
422(c), and 433(d) of this Act.
SEC. 416. DIRECTOR OF CSE PROGRAM; STAFFING STUDY.
(a) REPORTING TO SECRETARY.—Section 452(a) (42
U.S.C. 652(a)) is amended in the matter preceding para-
graph (1) by striking ‘‘directly’’.
(b) STAFFING STUDIES.—
(1) SCOPE.—The Secretary of Health and
Human Services shall, directly or by contract, con-
duct studies of the staffing of each State child sup-
port enforcement program under part D of title IV
of the Social Security Act. Such studies shall include
a review of the staffing needs created by require-
ments for automated data processing, maintenance
of a central case registry and centralized collections
of child support, and of changes in these needs re-
sulting from changes in such requirements. Such
studies shall examine and report on effective staffing
practices used by the States and on recommended
staffing procedures.
(2) FREQUENCY OF STUDIES.—The Secretary
shall complete the first staffing study required under
paragraph (1) by October 1, 1997, and may conduct
additional studies subsequently at appropriate inter-
vals.
149
(3) REPORT
TO
THE
CONGRESS.—The Sec-
retary shall submit a report to the Congress stating
the findings and conclusions of each study conducted
under this subsection.
SEC. 417. FUNDING FOR SECRETARIAL ASSISTANCE TO
STATE PROGRAMS.
Section 452 (42 U.S.C. 652), as amended by section
415(a)(3) of this Act, is amended by adding at the end
the following new subsection:
‘‘(k) FUNDING FOR FEDERAL ACTIVITIES ASSISTING
STATE PROGRAMS.—(1) There shall be available to the
Secretary, from amounts appropriated for fiscal year 1996
and each succeeding fiscal year for payments to States
under this part, the amount specified in paragraph (2) for
the costs to the Secretary for—
‘‘(A) information dissemination and technical
assistance to States, training of State and Federal
staff, staffing studies, and related activities needed
to improve programs (including technical assistance
concerning State automated systems);
‘‘(B) research, demonstration, and special
projects of regional or national significance relating
to the operation of State programs under this part;
and
150
‘‘(C) operation of the Federal Parent Locator
Service under section 453, to the extent such costs
are not recovered through user fees.
‘‘(2) The amount specified in this paragraph for a
fiscal year is the amount equal to a percentage of the re-
duction in Federal payments to States under part A on
account of child support (including arrearages) collected
in the preceding fiscal year on behalf of children receiving
aid under such part A in such preceding fiscal year (as
determined on the basis of the most recent reliable data
available to the Secretary as of the end of the third cal-
endar quarter following the end of such preceding fiscal
year), equal to—
‘‘(A) 1 percent, for the activities specified in
subparagraphs (A) and (B) of paragraph (1); and
‘‘(B) 2 percent, for the activities specified in
subparagraph (C) of paragraph (1).’’.
SEC. 418. 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 indented
clauses:
151
‘‘(i) the total amount of child support
payments collected as a result of services
furnished during such fiscal year to indi-
viduals receiving services under this part;
‘‘(ii) the cost to the States and to the
Federal Government of furnishing such
services to those individuals; and
‘‘(iii) the number of cases involving
families—
‘‘(I) who became ineligible for aid
under part A during a month in such
fiscal year; and
‘‘(II) with respect to whom a
child support payment was received in
the same 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 (1)
cases’’;
(ii) by striking ‘‘cases where the child was
formerly receiving’’ and inserting ‘‘or formerly
received’’;
152
(iii) 
by 
inserting 
‘‘or 
1912’’ 
after
‘‘471(a)(17)’’; and
(iv) by inserting ‘‘(2)’’ before ‘‘all other’’;
(B) in each of clauses (i) and (ii), by striking
‘‘, and the total amount of such obligations’’;
(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 following 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 by striking all that follows subparagraph (I).
153
(b) DATA COLLECTION AND REPORTING.—Section
469 (42 U.S.C. 669) is amended—
(1) by striking subsections (a) and (b) and in-
serting the following:
‘‘(a) The Secretary shall collect and maintain, on a
fiscal year basis, up-to-date statistics, by State, with re-
spect to services to establish paternity and services to es-
tablish child support obligations, the data specified in sub-
section (b), separately stated, in the case of each such
service, with respect to—
‘‘(1) families (or dependent children) receiving
aid under plans approved under part A (or E); and
‘‘(2) families not receiving such aid.
‘‘(b) The data referred to in subsection (a) are—
‘‘(1) the number of cases in the caseload of the
State agency administering the plan under this part
in which such service is needed; and
‘‘(2) the number of such cases in which the
service has been provided.’’; and
(2) in subsection (c), by striking ‘‘(a)(2)’’ and
inserting ‘‘(b)(2)’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall be effective with respect to fiscal year
1996 and succeeding fiscal years.
154
Subtitle C—Locate and Case
Tracking
SEC. 421. CENTRAL STATE AND CASE REGISTRY.
Section 454A, as added by section 415(a)(2) of this
Act, is amended by adding at the end the following:
‘‘(e) CENTRAL
CASE
REGISTRY.—(1) IN
GEN-
ERAL.—The automated system required under this section
shall perform the functions, in accordance with the provi-
sions of this subsection, of a single central registry con-
taining records with respect to each case in which services
are being provided by the State agency (including, on and
after October 1, 1998, each order specified in section
466(a)(12)), using such standardized data elements (such
as names, social security numbers or other uniform identi-
fication numbers, dates of birth, and case identification
numbers), and containing such other information (such as
information on case status) as the Secretary may require.
‘‘(2) PAYMENT RECORDS.—Each case record in the
central registry shall include a record of—
‘‘(A) the amount of monthly (or other periodic)
support owed under the support order, and other
amounts due or overdue (including arrears, interest
or late payment penalties, and fees);
155
‘‘(B) the date on which or circumstances under
which the support obligation will terminate under
such order;
‘‘(C) all child support and related amounts col-
lected (including such amounts as fees, late payment
penalties, and interest on arrearages);
‘‘(D) the distribution of such amounts collected;
and
‘‘(E) the birth date of the child for whom the
child support order is entered.
‘‘(3) UPDATING AND MONITORING.—The State agen-
cy shall promptly establish and maintain, and regularly
monitor, case records in the registry required by this sub-
section, on the basis of—
‘‘(A) information on administrative actions and
administrative and judicial proceedings and orders
relating to paternity and support;
‘‘(B) information obtained from matches with
Federal, State, or local data sources;
‘‘(C) information on support collections and dis-
tributions; and
‘‘(D) any other relevant information.
‘‘(f) DATA MATCHES AND OTHER DISCLOSURES OF
INFORMATION.—The automated system required under
this section shall have the capacity, and be used by the
156
State agency, to extract data at such times, and in such
standardized format or formats, as may be required by
the Secretary, and to share and match data with, and re-
ceive data from, other data bases and data matching serv-
ices, in order to obtain (or provide) information necessary
to enable the State agency (or Secretary or other State
or Federal agencies) to carry out responsibilities under
this part. Data matching activities of the State agency
shall include at least the following:
‘‘(1) DATA
BANK
OF
CHILD
SUPPORT
OR-
DERS.—Furnish to the Data Bank of Child Support
Orders established under section 453(h) (and update
as necessary, with information including notice of
expiration of orders) minimal information (to be
specified by the Secretary) on each child support
case in the central case registry.
‘‘(2) FEDERAL
PARENT
LOCATOR
SERVICE.—
Exchange data with the Federal Parent Locator
Service for the purposes specified in section 453.
‘‘(3) AFDC AND
MEDICAID
AGENCIES.—Ex-
change data with State agencies (of the State and
of other States) administering the programs under
part A and title XIX, as necessary for the perform-
ance of State agency responsibilities under this part
and under such programs.
157
‘‘(4) 
INTRA- 
AND
INTERSTATE
DATA
MATCHES.—Exchange data with other agencies of
the State, agencies of other States, and interstate
information networks, as necessary and appropriate
to carry out (or assist other States to carry out) the
purposes of this part.’’.
SEC. 422. CENTRALIZED COLLECTION AND DISBURSEMENT
OF SUPPORT PAYMENTS.
(a) STATE PLAN REQUIREMENT.—Section 454 (42
U.S.C. 654), as amended by sections 404(a) and 414(b)
of this Act, is amended—
(1) by striking ‘‘and’’ at the end of paragraph
(25);
(2) by striking the period at the end of para-
graph (26) and inserting ‘‘; and’’; and
(3) by adding after paragraph (26) the follow-
ing new paragraph:
‘‘(27) provide that the State agency, on and
after October 1, 1998—
‘‘(A) will operate a centralized, automated
unit for the collection and disbursement of child
support under orders being enforced under this
part, in accordance with section 454B; and
‘‘(B) will have sufficient State staff (con-
sisting of State employees), and (at State op-
158
tion) contractors reporting directly to the State
agency to monitor and enforce support collec-
tions through such centralized unit, including
carrying out the automated data processing re-
sponsibilities specified in section 454A(g) and
to impose, as appropriate in particular cases,
the administrative enforcement remedies speci-
fied in section 466(c)(1).’’.
(b) ESTABLISHMENT OF CENTRALIZED COLLECTION
UNIT.—Part D of title IV (42 U.S.C. 651–669) is amend-
ed by adding after section 454A the following new section:
‘‘CENTRALIZED COLLECTION AND DISBURSEMENT OF
SUPPORT PAYMENTS
‘‘SEC. 454B. (a) IN GENERAL.—In order to meet the
requirement of section 454(27), the State agency must op-
erate a single centralized, automated unit for the collection
and disbursement of support payments, coordinated with
the automated data system required under section 454A,
in accordance with the provisions of this section, which
shall be—
‘‘(1) operated directly by the State agency (or
by two or more State agencies under a regional co-
operative agreement), or by a single contractor re-
sponsible directly to the State agency; and
‘‘(2) used for the collection and disbursement
(including interstate collection and disbursement) of
159
payments under support orders in all cases being en-
forced by the State pursuant to section 454(4).
‘‘(b) REQUIRED PROCEDURES.—The centralized col-
lections unit shall use automated procedures, electronic
processes, and computer-driven technology to the maxi-
mum extent feasible, efficient, and economical, for the col-
lection and disbursement of support payments, including
procedures—
‘‘(1) for receipt of payments from parents, em-
ployers, and other States, and for disbursements to
custodial parents and other obligees, the State agen-
cy, and the State agencies of other States;
‘‘(2) for accurate identification of payments;
‘‘(3) to ensure prompt disbursement of the cus-
todial parent’s share of any payment; and
‘‘(4) to furnish to either parent, upon request,
timely information on the current status of support
payments.’’.
(c) USE OF AUTOMATED SYSTEM.—Section 454A, as
added by section 415(a)(2) of this Act and as amended
by section 421 of this Act, is amended by adding at the
end the following new subsection:
‘‘(g) CENTRALIZED COLLECTION AND DISTRIBUTION
OF SUPPORT PAYMENTS.—The automated system re-
quired under this section shall be used, to the maximum
160
extent feasible, to assist and facilitate collections and dis-
bursement of support payments through the centralized
collections unit operated pursuant to section 454B,
through the performance of functions including at a mini-
mum—
‘‘(1) generation of orders and notices to em-
ployers (and other debtors) for the withholding of
wages (and other income)—
‘‘(A) within two working days after receipt
(from the directory of New Hires established
under section 453(i) or any other source) of no-
tice of and the income source subject to such
withholding; and
‘‘(B) using uniform formats directed by
the Secretary;
‘‘(2) ongoing monitoring to promptly identify
failures to make timely payment; and
‘‘(3) automatic use of enforcement mechanisms
(including mechanisms authorized pursuant to sec-
tion 466(c)) where payments are not timely made.’’.
(d) EFFECTIVE DATE.—The amendments made by
this section shall become effective on October 1, 1998.
161
SEC. 423. AMENDMENTS CONCERNING INCOME WITHHOLD-
ING.
(a) MANDATORY INCOME WITHHOLDING.—(1) Sec-
tion 466(a)(1) (42 U.S.C. 666(a)(1)) is amended to read
as follows:
‘‘(1) INCOME WITHHOLDING.—(A) UNDER OR-
DERS ENFORCED UNDER THE STATE PLAN.—Proce-
dures described in subsection (b) for the withholding
from income of amounts payable as support in cases
subject to enforcement under the State plan.
‘‘(B) UNDER
CERTAIN
ORDERS
PREDATING
CHANGE
IN
REQUIREMENT.—Procedures 
under
which all child support orders issued (or modified)
before October 1, 1996, and which are not otherwise
subject to withholding under subsection (b), shall be-
come subject to withholding from wages as provided
in subsection (b) if arrearages occur, without the
need for a judicial or administrative hearing.’’.
(2) Section 466(a)(8) (42 U.S.C. 666(a)(8)) is re-
pealed.
(3) Section 466(b) (42 U.S.C. 666(b)) is amended—
(A) in the matter preceding paragraph (1), by
striking ‘‘subsection (a)(1)’’ and inserting ‘‘sub-
section (a)(1)(A)’’;
(B) in paragraph (5), by striking all that fol-
lows ‘‘administered by’’ and inserting ‘‘the State
162
through the centralized collections unit established
pursuant to section 454B, in accordance with the re-
quirements of such section 454B.’’;
(C) in paragraph (6)(A)(i)—
(i) by inserting ‘‘, in accordance with time-
tables established by the Secretary,’’ after
‘‘must be required’’; and
(ii) by striking ‘‘to the appropriate agency’’
and all that follows and inserting ‘‘to the State
centralized collections unit within 5 working
days after the date such amount would (but for
this subsection) have been paid or credited to
the employee, for distribution in accordance
with this part.’’;
(D) in paragraph (6)(A)(ii), by inserting ‘‘be in
a standard format prescribed by the Secretary, and’’
after ‘‘shall’’; and
(E) in paragraph (6)(D)—
(i) by striking ‘‘employer who discharges’’
and inserting ‘‘employer who—(A) discharges’’;
(ii) by relocating subparagraph (A), as des-
ignated, as an indented subparagraph after and
below the introductory matter;
(iii) by striking the period at the end; and
163
(iv) by adding after and below subpara-
graph (A) the following new subparagraph:
‘‘(B) fails to withhold support from wages,
or to pay such amounts to the State centralized
collections unit in accordance with this sub-
section.’’.
(b) CONFORMING AMENDMENT.—Section 466(c) (42
U.S.C. 666(c)) is repealed.
(c) DEFINITION
OF TERMS.—The Secretary shall
promulgate regulations providing definitions, for purposes
of part D of title IV of the Social Security Act, for the
term ‘‘income’’ and for such other terms relating to in-
come withholding under section 466(b) of such Act as the
Secretary may find it necessary or advisable to define.
SEC. 424. LOCATOR INFORMATION FROM INTERSTATE NET-
WORKS.
Section 466(a) (42 U.S.C. 666(a)), as amended by
section 423(a)(2) of this Act, is amended by inserting
after paragraph (7) the following:
‘‘(8) LOCATOR
INFORMATION
FROM
INTER-
STATE
NETWORKS.—Procedures ensuring that the
State will neither provide funding for, nor use for
any purpose (including any purpose unrelated to the
purposes of this part), any automated interstate net-
work or system used to locate individuals—
164
‘‘(A) for purposes relating to the use of
motor vehicles; or
‘‘(B) providing information for law en-
forcement purposes (where child support en-
forcement agencies are otherwise allowed access
by State and Federal law),
unless all Federal and State agencies administering
programs under this part (including the entities es-
tablished under section 453) have access to informa-
tion in such system or network to the same extent
as any other user of such system or network.’’.
SEC. 425. EXPANDED FEDERAL PARENT LOCATOR SERVICE.
(a) EXPANDED AUTHORITY TO LOCATE INDIVIDUALS
AND ASSETS.—Section 453 (42 U.S.C. 653) is amended—
(1) in subsection (a), by striking all that follows
‘‘subsection (c))’’ and inserting the following:
‘‘, for the purpose of establishing parentage, establishing,
setting the amount of, modifying, or enforcing child sup-
port obligations—
‘‘(1) information on, or facilitating the discov-
ery of, the location of any individual—
‘‘(A) who is under an obligation to pay
child support;
‘‘(B) against whom such an obligation is
sought; or
165
‘‘(C) to whom such an obligation is owed,
including such individual’s social security num-
ber (or numbers), most recent residential ad-
dress, and the name, address, and employer
identification number of such individual’s em-
ployer; and
‘‘(2) information on the individual’s wages (or
other income) from, and benefits of, employment (in-
cluding rights to or enrollment in group health care
coverage); and
‘‘(3) information on the type, status, location,
and amount of any assets of, or debts owed by or
to, any such individual.’’; and
(2) in subsection (b)—
(A) in the matter preceding paragraph (1),
by striking ‘‘social security’’ and all that follows
through ‘‘absent parent’’ and inserting ‘‘infor-
mation specified in subsection (a)’’; and
(B) in paragraph (2), by inserting before
the period ‘‘, or from any consumer reporting
agency (as defined in section 603(f) of the Fair
Credit Reporting Act (15 U.S.C. 1681a(f))’’;
(3) in subsection (e)(1), by inserting before the
period ‘‘, or by consumer reporting agencies’’.
166
(b) REIMBURSEMENT FOR DATA FROM FEDERAL
AGENCIES.—Section 453(e)(2) (42 U.S.C. 653(e)(2)) is
amended in the fourth sentence by inserting before the
period ‘‘in an amount which the Secretary determines to
be reasonable payment for the data exchange (which
amount shall not include payment for the costs of obtain-
ing, compiling, or maintaining the data)’’.
(c) ACCESS TO CONSUMER REPORTS UNDER FAIR
CREDIT REPORTING ACT.—(1) Section 608 of the Fair
Credit Reporting Act (15 U.S.C. 1681f) is amended—
(A) by striking ‘‘, limited to’’ and inserting ‘‘to
a 
governmental 
agency 
(including 
the 
entire
consumer report, in the case of a Federal, State, or
local agency administering a program under part D
of title IV of the Social Security Act, and limited
to’’; and
(B) by striking ‘‘employment, to a govern-
mental agency’’ and inserting ‘‘employment, in the
case of any other governmental agency)’’.
(2) REIMBURSEMENT
FOR
REPORTS
BY
STATE
AGENCIES
AND CREDIT BUREAUS.—Section 453 (42
U.S.C. 653) is amended by adding at the end the following
new subsection:
‘‘(g) The Secretary is authorized to reimburse costs
to State agencies and consumer credit reporting agencies
167
the costs incurred by such entities in furnishing informa-
tion requested by the Secretary pursuant to this section
in an amount which the Secretary determines to be rea-
sonable payment for the data exchange (which amount
shall not include payment for the costs of obtaining, com-
piling, or maintaining the data).’’.
(d) DISCLOSURE OF TAX RETURN INFORMATION.—
(1) Section 6103(1)(6)(A)(ii) of the Internal Revenue
Code of 1986 is amended by striking ‘‘, but only if’’ and
all that follows and inserting a period.
(2) Section 6103(1)(8)(A) of the Internal Revenue
Code of 1986 is amended by inserting ‘‘Federal,’’ before
‘‘State or local’’.
(e) TECHNICAL AMENDMENTS.—
(1) Sections 452(a)(9), 453(a), 453(b), 463(a),
and 463(e) (42 U.S.C. 652(a)(9), 653(a), 653(b),
663(a), and 663(e)) are each amended by inserting
‘‘Federal’’ before ‘‘Parent’’ each place it appears.
(2) Section 453 (42 U.S.C. 653) is amended in
the heading by adding ‘‘FEDERAL’’ before ‘‘PAR-
ENT’’.
(f) NEW COMPONENTS.—Section 453 (42 U.S.C.
653), as amended by subsection (c)(2) of this section, is
amended by adding at the end the following:
‘‘(h) DATA BANK OF CHILD SUPPORT ORDERS.—
168
‘‘(1) IN GENERAL.—Not later than October 1,
1998, in order to assist States in administering their
State plans under this part and parts A, F, and G,
and for the other purposes specified in this section,
the Secretary shall establish and maintain in the
Federal Parent Locator Service an automated reg-
istry to be known as the Data Bank of Child Sup-
port Orders, which shall contain abstracts of child
support orders and other information described in
paragraph (2) on each case in each State central
case registry maintained pursuant to section
454A(e), as furnished (and regularly updated), pur-
suant to section 454A(f), by State agencies admin-
istering programs under this part.
‘‘(2) CASE INFORMATION.—The information re-
ferred to in paragraph (1), as specified by the Sec-
retary, shall include sufficient information (including
names, social security numbers or other uniform
identification numbers, and State case identification
numbers) to identify the individuals who owe or are
owed support (or with respect to or on behalf of
whom support obligations are sought to be estab-
lished), and the State or States which have estab-
lished or modified, or are enforcing or seeking to es-
tablish, such an order.
169
‘‘(i) DIRECTORY OF NEW HIRES.—
‘‘(1) IN GENERAL.—Not later than October 1,
1998, In order to assist States in administering
their State plans under this part and parts A, F,
and G, and for the other purposes specified in this
section, the Secretary shall establish and maintain in
the Federal Parent Locator Service an automated
directory to be known as the directory of New Hires,
containing—
‘‘(A) information supplied by employers on
each newly hired individual, in accordance with
paragraph (2); and
‘‘(B) information supplied by State agen-
cies administering State unemployment com-
pensation laws, in accordance with paragraph
(3).
‘‘(2) EMPLOYER INFORMATION.—
‘‘(A) INFORMATION
REQUIRED.—Subject
to subparagraph (D), each employer shall fur-
nish to the Secretary, for inclusion in the direc-
tory established under this subsection, not later
than 10 days after the date (on or after Octo-
ber 1, 1998) on which the employer hires a new
employee (as defined in subparagraph (C)), a
report containing the name, date of birth, and
170
social security number of such employee, and
the employer identification number of the em-
ployer.
‘‘(B) REPORTING
METHOD
AND
FOR-
MAT.—The Secretary shall provide for trans-
mission of the reports required under subpara-
graph (A) using formats and methods which
minimize the burden on employers, which shall
include—
‘‘(i) automated or electronic trans-
mission of such reports;
‘‘(ii) transmission by regular mail;
and
‘‘(iii) transmission of a copy of the
form required for purposes of compliance
with section 3402 of the Internal Revenue
Code of 1986.
‘‘(C) EMPLOYEE DEFINED.—For purposes
of this paragraph, the term ‘employee’ means
any individual subject to the requirement of
section 3402(f)(2) of the Internal Revenue Code
of 1986.
‘‘(D) PAPERWORK
REDUCTION
REQUIRE-
MENT.—As required by the information re-
sources management policies published by the
171
Director of the Office of Management and
Budget pursuant to section 3504(b)(1) of title
44, United States Code, the Secretary, in order
to minimize the cost and reporting burden on
employers, shall not require reporting pursuant
to this paragraph if an alternative reporting
mechanism can be developed that either relies
on existing Federal or State reporting or en-
ables the Secretary to collect the needed infor-
mation in a more cost-effective and equally ex-
peditious manner, taking into account the re-
porting costs on employers.
‘‘(E) CIVIL
MONEY
PENALTY
ON
NON-
COMPLYING
EMPLOYERS.—(i) Any employer
that fails to make a timely report in accordance
with this paragraph with respect to an individ-
ual shall be subject to a civil money penalty, for
each calendar year in which the failure occurs,
of the lesser of $500 or 1 percent of the wages
or other compensation paid by such employer to
such individual during such calendar year.
‘‘(ii) Subject to clause (iii), the provisions
of section 1128A (other than subsections (a)
and (b) thereof) shall apply to a civil money
penalty under clause (i) in the same manner as
172
they apply to a civil money penalty or proceed-
ing under section 1128A(a).
‘‘(iii) Any employer with respect to whom
a penalty under this subparagraph is upheld
after an administrative hearing shall be liable to
pay all costs of the Secretary with respect to
such hearing.
‘‘(3) EMPLOYMENT SECURITY INFORMATION.—
‘‘(A) REPORTING
REQUIREMENT.—Each
State agency administering a State unemploy-
ment compensation law approved by the Sec-
retary of Labor under the Federal Unemploy-
ment Tax Act shall furnish to the Secretary of
Health and Human Services extracts of the re-
ports to the Secretary of Labor concerning the
wages and unemployment compensation paid to
individuals required under section 303(a)(6), in
accordance with subparagraph (B).
‘‘(B) MANNER OF COMPLIANCE.—The ex-
tracts required under subparagraph (A) shall be
furnished to the Secretary of Health and
Human Services on a quarterly basis, with re-
spect to calendar quarters beginning on and
after October 1, 1996, by such dates, in such
173
format, and containing such information as re-
quired by that Secretary in regulations.
‘‘(j) DATA MATCHES AND OTHER DISCLOSURES.—
‘‘(1) VERIFICATION BY SOCIAL SECURITY AD-
MINISTRATION.—(A) The Secretary shall transmit
data on individuals and employers maintained under
this section to the Social Security Administration to
the extent necessary for verification in accordance
with subparagraph (B).
‘‘(B) The Social Security Administration shall
verify the accuracy of, correct or supply to the ex-
tent necessary and feasible, and report to the Sec-
retary, the following information in data supplied by
the Secretary pursuant to subparagraph (A):
‘‘(i) the name, social security number, and
birth date of each individual; and
‘‘(ii) the employer identification number of
each employer.
‘‘(2) CHILD SUPPORT LOCATOR MATCHES.—For
the purpose of locating individuals for purposes of
paternity establishment and establishment and en-
forcement of child support, the Secretary shall—
‘‘(A) match data in the directory of New
Hires against the child support order abstracts
174
in the Data Bank of Child Support Orders not
less often than every 2 working days; and
‘‘(B) report information obtained from
such a match to concerned State agencies oper-
ating programs under this part not later than
2 working days after such match.
‘‘(3) DATA
MATCHES
AND
DISCLOSURES
OF
DATA IN ALL REGISTRIES FOR TITLE IV PROGRAM
PURPOSES.—The Secretary shall—
‘‘(A) perform matches of data in each com-
ponent of the Federal Parent Locator Service
maintained under this section against data in
each other such component (other than the
matches required pursuant to paragraph (1)),
and report information resulting from such
matches to State agencies operating programs
under this part and parts A, F, and G; and
‘‘(B) disclose data in such registries to
such State agencies,
to the extent, and with the frequency, that the Sec-
retary determines to be effective in assisting such
States to carry out their responsibilities under such
programs.
‘‘(k) FEES.—
175
‘‘(1) FOR SSA VERIFICATION.—The Secretary
shall reimburse the Commissioner of Social Security,
at a rate negotiated between the Secretary and the
Commissioner, the costs incurred by the Commis-
sioner in performing the verification services speci-
fied in subsection (j).
‘‘(2) FOR
INFORMATION
FROM
SESAS.—The
Secretary shall reimburse costs incurred by State
employment security agencies in furnishing data as
required by subsection (j)(3), at rates which the Sec-
retary determines to be reasonable (which rates shall
not include payment for the costs of obtaining, com-
piling, or maintaining such data).
‘‘(3) FOR INFORMATION FURNISHED TO STATE
AND FEDERAL AGENCIES.—State and Federal agen-
cies receiving data or information from the Secretary
pursuant to this section shall reimburse the costs in-
curred by the Secretary in furnishing such data or
information, at rates which the Secretary determines
to be reasonable (which rates shall include payment
for the costs of obtaining, verifying, maintaining,
and matching such data or information).
‘‘(l) RESTRICTION ON DISCLOSURE AND USE.—Data
in the Federal Parent Locator Service, and information
178
such agency shall be furnished to the Secretary
of Health and Human Services (in accordance
with regulations promulgated by such Sec-
retary) as necessary for the purposes of the di-
rectory of New Hires established under section
453(i) of the Social Security Act, and’’.
(3) TO STATE GRANT PROGRAM UNDER TITLE
III OF THE SOCIAL SECURITY ACT.—Section 303(a)
(42 U.S.C. 503(a)) is amended—
(A) by striking ‘‘and’’ at the end of para-
graph (8);
(B) by striking the period at the end of
paragraph (9) and inserting ‘‘; and’’; and
(C) by adding after paragraph (9) the fol-
lowing new paragraph:
‘‘(10) The making of quarterly electronic re-
ports, at such dates, in such format, and containing
such information, as required by the Secretary of
Health and Human Services under section 453(i)(3),
and compliance with such provisions as such Sec-
retary may find necessary to ensure the correctness
and verification of such reports.’’.
SEC. 426. USE OF SOCIAL SECURITY NUMBERS.
(a) STATE LAW REQUIREMENT.—Section 466(a) (42
U.S.C. 666(a)), as amended by section 401(a) of this Act,
179
is amended by inserting after paragraph (12) the follow-
ing:
‘‘(13) 
SOCIAL
SECURITY
NUMBERS
RE-
QUIRED.—Procedures requiring the recording of so-
cial security numbers—
‘‘(A) of both parties on marriage licenses
and divorce decrees; and
‘‘(B) of both parents, on birth records and
child support and paternity orders.’’.
(b) CLARIFICATION OF FEDERAL POLICY.—Section
205(c)(2)(C)(ii) (42 U.S.C. 405(c)(2)(C)(ii)) is amended
by striking the third sentence and inserting ‘‘This clause
shall not be considered to authorize disclosure of such
numbers except as provided in the preceding sentence.’’.
Subtitle D—Streamlining and
Uniformity of Procedures
SEC. 431. ADOPTION OF UNIFORM STATE LAWS.
Section 466(a) (42 U.S.C. 666(a)), as amended by
sections 401(a) and 426(a) of this Act, is amended insert-
ing after paragraph (13) the following:
‘‘(14) INTERSTATE ENFORCEMENT.—(A) ADOP-
TION OF UIFSA.—Procedures under which the State
adopts in its entirety (with the modifications and ad-
ditions specified in this paragraph) not later than
January 1, 1997, and uses on and after such date,
180
the Uniform Interstate Family Support Act, as ap-
proved by the National Conference of Commissioners
on Uniform State Laws in August, 1992.
‘‘(B) EXPANDED APPLICATION OF UIFSA.—The
State law adopted pursuant to subparagraph (A)
shall be applied to any case—
‘‘(i) involving an order established or modi-
fied in one State and for which a subsequent
modification is sought in another State; or
‘‘(ii) in which interstate activity is required
to enforce an order.
‘‘(C) JURISDICTION TO MODIFY ORDERS.—The
State law adopted pursuant to subparagraph (A) of
this paragraph shall contain the following provision
in lieu of section 611(a)(1) of the Uniform Inter-
state Family Support Act described in such subpara-
graph (A):
‘‘ ‘(1) the following requirements are met:
‘‘ ‘(i) the child, the individual obligee, and
the obligor—
‘‘ ‘(I) do not reside in the issuing
State; and
‘‘ ‘(II) either reside in this State or
are subject to the jurisdiction of this State
pursuant to section 201; and
181
‘‘ ‘(ii) (in any case where another State is
exercising or seeks to exercise jurisdiction to
modify the order) the conditions of section 204
are met to the same extent as required for pro-
ceedings to establish orders; or’.
‘‘(D) SERVICE
OF
PROCESS.—The State law
adopted pursuant to subparagraph (A) shall recog-
nize as valid, for purposes of any proceeding subject
to such State law, service of process upon persons
in the State (and proof of such service) by any
means acceptable in another State which is the initi-
ating or responding State in such proceeding.
‘‘(E) 
COOPERATION
BY
EMPLOYERS.—The
State law adopted pursuant to subparagraph (A)
shall provide for the use of procedures (including
sanctions for noncompliance) under which all entities
in the State (including for-profit, nonprofit, and gov-
ernmental employers) are required to provide
promptly, in response to a request by the State
agency of that or any other State administering a
program under this part, information on the employ-
ment, compensation, and benefits of any individual
employed by such entity as an employee or contrac-
tor.’’.
182
SEC. 432. IMPROVEMENTS TO FULL FAITH AND CREDIT
FOR CHILD SUPPORT ORDERS.
Section 1738B of title 28, United States Code, is
amended—
(1) in subsection (a)(2), by striking ‘‘subsection
(e)’’ and inserting ‘‘subsections (e), (f), and (i)’’;
(2) in subsection (b), by inserting after the 2nd
undesignated paragraph the following:
‘‘ ‘child’s home State’ means the State in which
a child lived with a parent or a person acting as par-
ent for at least six consecutive months immediately
preceding the time of filing of a petition or com-
parable pleading for support and, if a child is less
than six months old, the State in which the child
lived from birth with any of them. A period of tem-
porary absence of any of them is counted as part of
the six-month period.’’;
(3) in subsection (c), by inserting ‘‘by a court
of a State’’ before ‘‘is made’’;
(4) in subsection (c)(1), by inserting ‘‘and sub-
sections (e), (f), and (g)’’ after ‘‘located’’;
(5) in subsection (d)—
(A) by inserting ‘‘individual’’ before ‘‘con-
testant’’; and
(B) by striking ‘‘subsection (e)’’ and in-
serting ‘‘subsections (e) and (f)’’;
183
(6) in subsection (e), by striking ‘‘make a modi-
fication of a child support order with respect to a
child that is made’’ and inserting ‘‘modify a child
support order issued’’;
(7) in subsection (e)(1), by inserting ‘‘pursuant
to subsection (i)’’ before the semicolon;
(8) in subsection (e)(2)—
(A) by inserting ‘‘individual’’ before ‘‘con-
testant’’ each place such term appears; and
(B) by striking ‘‘to that court’s making the
modification and assuming’’ and inserting ‘‘with
the State of continuing, exclusive jurisdiction
for a court of another State to modify the order
and assume’’;
(9) by redesignating subsections (f) and (g) as
subsections (g) and (h), respectively;
(10) by inserting after subsection (e) the follow-
ing:
‘‘(f) RECOGNITION OF CHILD SUPPORT ORDERS.—
If one or more child support orders have been issued in
this or another State with regard to an obligor and a child,
a court shall apply the following rules in determining
which order to recognize for purposes of continuing, exclu-
sive jurisdiction and enforcement:
184
‘‘(1) If only one court has issued a child sup-
port order, the order of that court must be recog-
nized.
‘‘(2) If two or more courts have issued child
support orders for the same obligor and child, and
only one of the courts would have continuing, exclu-
sive jurisdiction under this section, the order of that
court must be recognized.
‘‘(3) If two or more courts have issued child
support orders for the same obligor and child, and
only one of the courts would have continuing, exclu-
sive jurisdiction under this section, an order issued
by a court in the current home State of the child
must be recognized, but if an order has not been is-
sued in the current home State of the child, the
order most recently issued must be recognized.
‘‘(4) If two or more courts have issued child
support orders for the same obligor and child, and
none of the courts would have continuing, exclusive
jurisdiction under this section, a court may issue a
child support order, which must be recognized.
‘‘(5) The court that has issued an order recog-
nized under this subsection is the court having con-
tinuing, exclusive jurisdiction.’’;
(11) in subsection (g) (as so redesignated)—
185
(A) by striking ‘‘PRIOR’’ and inserting
‘‘MODIFIED’’; and
(B) by striking ‘‘subsection (e)’’ and in-
serting ‘‘subsections (e) and (f)’’;
(12) in subsection (h) (as so redesignated)—
(A) in paragraph (2), by inserting ‘‘includ-
ing the duration of current payments and other
obligations of support’’ before the comma; and
(B) in paragraph (3), by inserting ‘‘arrears
under’’ after ‘‘enforce’’; and
(13) by adding at the end the following:
‘‘(i) REGISTRATION FOR MODIFICATION.—If there is
no individual contestant or child residing in the issuing
State, the party or support enforcement agency seeking
to modify, or to modify and enforce, a child support order
issued in another State shall register that order in a State
with jurisdiction over the nonmovant for the purpose of
modification.’’.
SEC. 433. STATE LAWS PROVIDING EXPEDITED PROCE-
DURES.
(a) STATE LAW REQUIREMENTS.—Section 466 (42
U.S.C. 666) is amended—
(1) in subsection (a)(2), in the first sentence, to
read as follows: ‘‘Expedited administrative and judi-
cial procedures (including the procedures specified in
186
subsection (c)) for establishing paternity and for es-
tablishing, modifying, and enforcing support obliga-
tions.’’; and
(2) by adding after subsection (b) the following
new subsection:
‘‘(c) EXPEDITED
PROCEDURES.—The procedures
specified in this subsection are the following:
‘‘(1) ADMINISTRATIVE ACTION BY STATE AGEN-
CY.—Procedures which give the State agency the au-
thority (and recognize and enforce the authority of
State agencies of other States), without the necessity
of obtaining an order from any other judicial or ad-
ministrative tribunal (but subject to due process
safeguards, including (as appropriate) requirements
for notice, opportunity to contest the action, and op-
portunity for an appeal on the record to an inde-
pendent administrative or judicial tribunal), to take
the following actions relating to establishment or en-
forcement of orders:
‘‘(A) GENETIC TESTING.—To order genetic
testing for the purpose of paternity establish-
ment as provided in section 466(a)(5).
‘‘(B) DEFAULT ORDERS.—To enter a de-
fault order, upon a showing of service of proc-
187
ess and any additional showing required by
State law—
‘‘(i) establishing paternity, in the case
of any putative father who refuses to sub-
mit to genetic testing; and
‘‘(ii) establishing or modifying a sup-
port obligation, in the case of a parent (or
other obligor or obligee) who fails to re-
spond to notice to appear at a proceeding
for such purpose.
‘‘(C) SUBPOENAS.—To subpoena any fi-
nancial or other information needed to estab-
lish, modify, or enforce an order, and to sanc-
tion failure to respond to any such subpoena.
‘‘(D) ACCESS TO PERSONAL AND FINAN-
CIAL INFORMATION.—To obtain access, subject
to safeguards on privacy and information secu-
rity, to the following records (including auto-
mated access, in the case of records maintained
in automated data bases):
‘‘(i) records of other State and local
government agencies, including—
‘‘(I) vital statistics (including
records of marriage, birth, and di-
vorce);
188
‘‘(II) State and local tax and rev-
enue records (including information
on residence address, employer, in-
come and assets);
‘‘(III) records concerning real
and titled personal property;
‘‘(IV) records of occupational and
professional licenses, and records con-
cerning the ownership and control of
corporations, partnerships, and other
business entities;
‘‘(V) 
employment 
security
records;
‘‘(VI) records of agencies admin-
istering public assistance programs;
‘‘(VII) records of the motor vehi-
cle department; and
‘‘(VIII) corrections records; and
‘‘(ii) certain records held by private
entities, including—
‘‘(I) customer records of public
utilities and cable television compa-
nies; and
‘‘(II) information (including in-
formation on assets and liabilities) on
189
individuals who owe or are owed sup-
port (or against or with respect to
whom a support obligation is sought)
held by financial institutions (subject
to limitations on liability of such enti-
ties arising from affording such ac-
cess).
‘‘(E) INCOME
WITHHOLDING.—To order
income withholding in accordance with sub-
section (a)(1) and (b) of section 466.
‘‘(F) CHANGE IN PAYEE.—(In cases where
support is subject to an assignment under sec-
tion 402(a)(26), 471(a)(17), or 1912, or to a
requirement to pay through the centralized col-
lections unit under section 454B) upon provid-
ing notice to obligor and obligee, to direct the
obligor or other payor to change the payee to
the appropriate government entity.
‘‘(G) SECURE ASSETS TO SATISFY ARREAR-
AGES.—For the purpose of securing overdue
support—
‘‘(i) to intercept and seize any peri-
odic or lump-sum payment to the obligor
by or through a State or local government
agency, including—
190
‘‘(I) 
unemployment 
compensa-
tion, 
workers’ 
compensation, 
and
other benefits;
‘‘(II) judgments and settlements
in cases under the jurisdiction of the
State or local government; and
‘‘(III) lottery winnings;
‘‘(ii) to attach and seize assets of the
obligor held by financial institutions;
‘‘(iii) to attach public and private re-
tirement funds in appropriate cases, as de-
termined by the Secretary; and
‘‘(iv) to impose liens in accordance
with paragraph (a)(4) and, in appropriate
cases, to force sale of property and dis-
tribution of proceeds.
‘‘(H) INCREASE
MONTHLY
PAYMENTS.—
For the purpose of securing overdue support, to
increase the amount of monthly support pay-
ments to include amounts for arrearages (sub-
ject to such conditions or restrictions as the
State may provide).
‘‘(I) 
SUSPENSION
OF
DRIVERS’ 
LI-
CENSES.—To suspend drivers’ licenses of indi-
191
viduals owing past-due support, in accordance
with subsection (a)(16).
‘‘(2) SUBSTANTIVE AND PROCEDURAL RULES.—
The expedited procedures required under subsection
(a)(2) shall include the following rules and author-
ity, applicable with respect to all proceedings to es-
tablish paternity or to establish, modify, or enforce
support orders:
‘‘(A) LOCATOR
INFORMATION; PRESUMP-
TIONS
CONCERNING
NOTICE.—Procedures
under which—
‘‘(i) the parties to any paternity or
child support proceedings are required
(subject to privacy safeguards) to file with
the tribunal before entry of an order, and
to update as appropriate, information on
location and identity (including Social Se-
curity number, residential and mailing ad-
dresses, telephone number, driver’s license
number, and name, address, and telephone
number of employer); and
‘‘(ii) in any subsequent child support
enforcement action between the same par-
ties, the tribunal shall be authorized, upon
sufficient showing that diligent effort has
192
been made to ascertain such party’s cur-
rent location, to deem due process require-
ments for notice and service of process to
be met, with respect to such party, by de-
livery to the most recent residential or em-
ployer address so filed pursuant to clause
(i).
‘‘(B) STATEWIDE
JURISDICTION.—Proce-
dures under which—
‘‘(i) the State agency and any admin-
istrative or judicial tribunal with authority
to hear child support and paternity cases
exerts statewide jurisdiction over the par-
ties, and orders issued in such cases have
statewide effect; and
‘‘(ii) (in the case of a State in which
orders in such cases are issued by local ju-
risdictions) a case may be transferred be-
tween jurisdictions in the State without
need for any additional filing by the peti-
tioner, or service of process upon the re-
spondent, to retain jurisdiction over the
parties.’’.
193
(c) EXCEPTIONS
FROM
STATE
LAW
REQUIRE-
MENTS.—Section 466(d) (42 U.S.C. 666(d)) is amend-
ed—
(1) by striking ‘‘(d) If’’ and inserting the fol-
lowing:
‘‘(d) EXEMPTIONS FROM REQUIREMENTS.—
‘‘(1) IN GENERAL.—Subject to paragraph (2),
if’’; and
(2) by adding at the end the following new
paragraph:
‘‘(2) NONEXEMPT
REQUIREMENTS.—The Sec-
retary shall not grant an exemption from the re-
quirements of—
‘‘(A) subsection (a)(5) (concerning proce-
dures for paternity establishment);
‘‘(B) subsection (a)(10) (concerning modi-
fication of orders);
‘‘(C) subsection (a)(12) (concerning re-
cording of orders in the central State case reg-
istry);
‘‘(D) subsection (a)(13) (concerning re-
cording of Social Security numbers);
‘‘(E) subsection (a)(14) (concerning inter-
state enforcement); or
194
‘‘(F) subsection (c) (concerning expedited
procedures), other than paragraph (1)(A) there-
of (concerning establishment or modification of
support amount).’’.
(d) AUTOMATION OF STATE AGENCY FUNCTIONS.—
Section 454A, as added by section 415(a)(2) of this Act
and as amended by sections 421 and 422(c) of this Act,
is amended by adding at the end the following new sub-
section:
‘‘(h) EXPEDITED ADMINISTRATIVE PROCEDURES.—
The automated system required under this section shall
be used, to the maximum extent feasible, to implement any
expedited administrative procedures required under sec-
tion 466(c).’’.
Subtitle E—Paternity
Establishment
SEC. 441. SENSE OF THE CONGRESS.
It is the sense of the Congress that social services
should be provided in hospitals to women who have become
pregnant as a result of rape or incest.
SEC. 442. AVAILABILITY OF PARENTING SOCIAL SERVICES
FOR NEW FATHERS.
Section 466(a) (42 U.S.C. 666(a)), as amended by
sections 401(a), 426(a), and 431 of this Act, is amended
by inserting after paragraph (14) the following:
195
‘‘(15) Procedures for providing new fathers
with positive parenting counseling that stresses the
importance of paying child support in a timely man-
ner, in accordance with regulations prescribed by the
Secretary.’’.
SEC. 443. COOPERATION REQUIREMENT AND GOOD CAUSE
EXCEPTION.
(a) CHILD
SUPPORT
ENFORCEMENT
REQUIRE-
MENTS.—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 para-
graph (24) and inserting ‘‘; and’’; and
(3) by inserting after paragraph (24) the fol-
lowing:
‘‘(25) provide that the State agency administer-
ing the plan under this part—
‘‘(A) will make the determination specified
under paragraph (4), as to whether an individ-
ual is cooperating with efforts to establish pa-
ternity and secure support (or has good cause
not to cooperate with such efforts) for purposes
of the requirements of sections 402(a)(26) and
1912;
196
‘‘(B) will advise individuals, both orally
and in writing, of the grounds for good cause
exceptions to the requirement to cooperate with
such efforts;
‘‘(C) will take the best interests of the
child into consideration in making the deter-
mination whether such individual has good
cause not to cooperate with such efforts;
‘‘(D)(i) will make the initial determination
as to whether an individual is cooperating (or
has good cause not to cooperate) with efforts to
establish paternity within 10 days after such in-
dividual is referred to such State agency by the
State agency administering the program under
part A of title XIX;
‘‘(ii) will make redeterminations as to co-
operation or good cause at appropriate inter-
vals; and
‘‘(iii) will promptly notify the individual,
and the State agencies administering such pro-
grams, of each such determination and redeter-
mination;
‘‘(E) with respect to any child born on or
after the date 10 months after enactment of
this provision, will not determine (or redeter-
197
mine) the mother (or other custodial relative) of
such child to be cooperating with efforts to es-
tablish paternity unless such individual fur-
nishes—
‘‘(i) the name of the putative father
(or fathers); and
‘‘(ii) sufficient additional information
to enable the State agency, if reasonable
efforts were made, to verify the identity of
the person named as the putative father
(including such information as the putative
father’s present address, telephone num-
ber, date of birth, past or present place of
employment, school previously or currently
attended, and names and addresses of par-
ents, friends, or relatives able to provide
location information, or other information
that could enable service of process on
such person), and
‘‘(F)(i) (where a custodial parent who was
initially determined not to be cooperating (or to
have good cause not to cooperate) is later deter-
mined to be cooperating or to have good cause
not to cooperate) will immediately notify the
State agencies administering the programs
198
under part A of title XIX that this eligibility
condition has been met; and
‘‘(ii) (where a custodial parent was initially
determined to be cooperating (or to have good
cause not to cooperate)) will not later determine
such individual not to be cooperating (or not to
have good cause not to cooperate) until such in-
dividual has been afforded an opportunity for a
hearing.’’.
(b) AFDC AMENDMENTS.—
(1) Section 402(a)(11) (42 U.S.C. 602(a)(11))
is amended by striking ‘‘furnishing of’’ and inserting
‘‘application for’’.
(2) Section 402(a)(26) (42 U.S.C. 602(a)(26))
is amended—
(A) in each of subparagraphs (A) and (B),
by redesignating clauses (i) and (ii) as
subclauses (I) and (II);
(B) by indenting and redesignating sub-
paragraphs (A), (B), and (C) as clauses (i), (ii),
and (iv), respectively;
(C) in clause (ii), as redesignated—
(i) by striking ‘‘is claimed, or in ob-
taining any other payments or property
199
due such applicant or such child,’’ and in-
serting ‘‘is claimed;’’; and
(ii) by striking ‘‘unless’’ and all that
follows through ‘‘aid is claimed; and’’;
(D) by adding after clause (ii) the follow-
ing new clause:
‘‘(iii) to cooperate with the State in
obtaining any other payments or property
due such applicant or such child; and’’;
(E) in the matter preceding clause (i) (as
so redesignated) to read as follows:
‘‘(26) provide—
‘‘(A) that, as a condition of eligibility for
aid, each applicant or recipient will be required
(subject to subparagraph (C))—’’;
(F) in subparagraph (A)(iv), as redesig-
nated, by striking ‘‘, unless such individual’’
and all that follows through ‘‘individuals in-
volved’’;
(G) by adding at the end the following new
subparagraphs:
‘‘(B) that the State agency will imme-
diately refer each applicant requiring paternity
establishment services to the State agency ad-
ministering the program under part D;
200
‘‘(C) that an individual will not be required
to cooperate with the State, as provided under
subparagraph (A), if the individual is found to
have good cause for refusing to cooperate, as
determined in accordance with standards pre-
scribed by the Secretary, which standards shall
take into consideration the best interests of the
child on whose behalf aid is claimed—
‘‘(i) to the satisfaction of the State
agency administering the program under
part D, as determined in accordance with
section 454(25), with respect to the re-
quirements under clauses (i) and (ii) of
subparagraph (A); and
‘‘(ii) to the satisfaction of the State
agency administering the program under
this part, with respect to the requirements
under clauses (iii) and (iv) of subpara-
graph (A);
‘‘(D) that (except as provided in subpara-
graph (E)) an applicant requiring paternity es-
tablishment services (other than an individual
eligible for emergency assistance as defined in
section 406(e)) shall not be eligible for any aid
201
under a State plan approved under this part
until such applicant—
‘‘(i) has furnished to the agency ad-
ministering the State plan under part D
the 
information 
specified 
in 
section
454(25)(E); or
‘‘(ii) has been determined by such
agency to have good cause not to cooper-
ate;
‘‘(E) that the provisions of subparagraph
(D) shall not apply—
‘‘(i) if the State agency specified in
such subparagraph has not, within 10 days
after such individual was referred to such
agency, provided the notification required
by section 454(25)(D)(iii), until such noti-
fication is received; and
‘‘(ii) if such individual appeals a de-
termination that the individual lacks good
cause for noncooperation, until after such
determination is affirmed after notice and
opportunity for a hearing; and’’; and
(H)(i) by relocating and redesignating as
subparagraph (F) the text at the end of sub-
paragraph (A)(ii) beginning with ‘‘that, if the
202
relative’’ and all that follows through the semi-
colon;
(ii) in subparagraph (F), as so redesig-
nated and relocated, by striking ‘‘subpara-
graphs (A) and (B) of this paragraph’’ and in-
serting ‘‘subparagraph (A)’’; and
(iii) by striking ‘‘and’’ at the end of sub-
paragraph (a)(ii).
(c) MEDICAID AMENDMENTS.—Section 1912(a) (42
U.S.C. 1396k(a)) is amended—
(1) in paragraph (1)(B), by inserting ‘‘(except
as provided in paragraph (2))’’ after ‘‘to cooperate
with the State’’;
(2) in subparagraphs (B) and (C) of paragraph
(1) by striking ‘‘, unless’’ and all that follows and
inserting a semicolon; and
(3) by redesignating paragraph (2) as para-
graph (5), and inserting after paragraph (1) the fol-
lowing new paragraphs:
‘‘(2) provide that the State agency will imme-
diately refer each applicant or recipient requiring
paternity establishment services to the State agency
administering the program under part D of title IV;
‘‘(3) provide that an individual will not be re-
quired to cooperate with the State, as provided
203
under paragraph (1), if the individual is found to
have good cause for refusing to cooperate, as deter-
mined in accordance with standards prescribed by
the Secretary, which standards shall take into con-
sideration the best interests of the individuals in-
volved—
‘‘(A) to the satisfaction of the State agency
administering the program under part D, as de-
termined in accordance with section 454(25),
with respect to the requirements to cooperate
with efforts to establish paternity and to obtain
support (including medical support) from a par-
ent; and
‘‘(B) to the satisfaction of the State agen-
cy administering the program under this title,
with respect to other requirements to cooperate
under paragraph (1);
‘‘(4) provide that (except as provided in para-
graph (5)) an applicant requiring paternity estab-
lishment services (other than an individual eligible
for emergency assistance as defined in section
406(e), or presumptively eligible pursuant to section
1920) shall not be eligible for medical assistance
under this title until such applicant—
204
‘‘(i) has furnished to the agency admin-
istering the State plan under part D of title IV
the information specified in section 454(25)(E);
or
‘‘(ii) has been determined by such agency
to have good cause not to cooperate; and
‘‘(5) provide that the provisions of paragraph
(4) shall not apply with respect to an applicant—
‘‘(i) if such agency has not, within 10 days
after such individual was referred to such agen-
cy, provided the notification required by section
454(25)(D)(iii), until such notification is re-
ceived); and
‘‘(ii) if such individual appeals a deter-
mination that the individual lacks good cause
for noncooperation, until after such determina-
tion is affirmed after notice and opportunity for
a hearing.’’.
(d) EFFECTIVE DATE.—The amendments made by
this section shall be effective with respect to applications
filed in or after the first calendar quarter beginning 10
months or more after the date of the enactment of this
Act (or such earlier quarter as the State may select) for
aid under a State plan approved under part A of title IV
205
or for medical assistance under a State plan approved
under title XIX.
SEC. 444. FEDERAL MATCHING PAYMENTS.
(a) INCREASED BASE MATCHING RATE.—Section
455(a)(2) (42 U.S.C. 655(a)(2)) is amended to read as
follows:
‘‘(2) The applicable percent for a quarter for
purposes of paragraph (1)(A) is—
‘‘(A) for fiscal year 1996, 69 percent;
‘‘(B) for fiscal year 1997, 72 percent; and
‘‘(C) for fiscal year 1998 and succeeding
fiscal years, 75 percent.’’.
(b) MAINTENANCE OF EFFORT.—Section 455 (42
U.S.C. 655) is amended—
(1) in subsection (a)(1), in the matter preced-
ing subparagraph (A), by striking ‘‘From’’ and in-
serting ‘‘Subject to subsection (c), from’’; and
(2) by inserting after subsection (b) the follow-
ing:
‘‘(c) MAINTENANCE OF EFFORT.—Notwithstanding
subsection (a), total expenditures for the State program
under this part for fiscal year 1996 and each succeeding
fiscal year, reduced by the percentage specified for such
fiscal year under subparagraph (A), (B), or (C)(i) of para-
206
graph (2), shall not be less than such total expenditures
for fiscal year 1995, reduced by 66 percent.’’.
SEC. 445. PERFORMANCE-BASED INCENTIVES AND PEN-
ALTIES.
(a) INCENTIVE ADJUSTMENTS TO FEDERAL MATCH-
ING RATE.—Section 458 (42 U.S.C. 658) is amended to
read as follows:
‘‘INCENTIVE ADJUSTMENTS TO MATCHING RATE
‘‘SEC. 458. (a) INCENTIVE ADJUSTMENT.—
‘‘(1) IN GENERAL.—In order to encourage and
reward State child support enforcement programs
which perform in an effective manner, the Federal
matching rate for payments to a State under section
455(a)(1)(A), for each fiscal year beginning on or
after October 1, 1997, shall be increased by a factor
reflecting the sum of the applicable incentive adjust-
ments (if any) determined in accordance with regu-
lations under this section with respect to Statewide
paternity establishment and the overall performance
of the State in child support enforcement.
‘‘(2) STANDARDS.—
‘‘(A) IN
GENERAL.—The Secretary shall
specify in regulations—
‘‘(i) the levels of accomplishment, and
rates of improvement as alternatives to
such levels, which States must attain to
238
(6) Section 459 (42 U.S.C. 659) is amended by
striking subsection (d) and by inserting after sub-
section (c)(1) (as added by paragraph (5) of this
subsection) the following:
‘‘(2) Whenever an agent designated pursuant to para-
graph (1) receives notice pursuant to subsection (a)(1) or
(b) of section 466, or is effectively served with any order,
process, or interrogatories, with respect to an individual’s
child support or alimony payment obligations, such agent
shall—
‘‘(A) as soon as possible (but not later than fif-
teen days) thereafter, send written notice of such no-
tice or service (together with a copy thereof) to such
individual at his duty station or last-known home
address;
‘‘(B) within 30 days (or such longer period as
may be prescribed by applicable State law) after re-
ceipt of a notice pursuant to subsection (a)(1) or (b)
of section 466, comply with all applicable provisions
of such section 466; and
‘‘(C) within 30 days (or such longer period as
may be prescribed by applicable State law) after ef-
fective service of any other such order, process, or
interrogatories, respond thereto.’’.