246
each quarter in fiscal years 1996 and 1997, 90 per-
cent of so much of the State expenditures described
in paragraph (1)(B) as the Secretary finds are for
a system meeting the requirements specified in sec-
tion 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 submit-
ted on or before May 1, 1995.
‘‘(B) Subject to the limitation in subpara-
graph (C), the Secretary shall pay to each
State, for each quarter in fiscal years 1996
through 2001, 80 percent of so much of the
State expenditures described in paragraph
(1)(B) (other than expenditures with respect to
which payment is made under subparagraph
(A)) as the Secretary finds are for a system
meeting the requirements of sections 454(16)
and 454A.
‘‘(C) LIMITATION
ON
PAYMENTS
UNDER
TEMPORARY
SPECIAL
FEDERAL
MATCHING
RATE.—
‘‘(i) IN GENERAL.—The Secretary of
Health and Human Services may not pay
more than $400,000,000 in the aggregate
under this paragraph for fiscal years 1996
247
through 2001, which is the maximum
amount to which States may be entitled
under this paragraph for such fiscal pe-
riod.
‘‘(ii) ALLOCATION
OF
LIMITATION
AMONG STATES.—The total amount pay-
able to a State under this paragraph for
fiscal years 1996 through 2001 shall not
exceed the limitation determined for the
State by the Secretary of Health and
Human Services in regulations.
‘‘(iii) ALLOCATION
FORMULA.—The
regulations referred to in clause (ii) shall
prescribe a formula for allocating the
amount specified in clause (i) among
States with plans approved under part D
of title IV of the Social Security Act, which
shall take into account—
‘‘(I) the relative size of State
caseloads under such part; and
‘‘(II) the level of automation
needed to meet the automated data
processing 
requirements 
of 
such
part.’’.
248
(c) Subsection (b) of this section is repealed effective
September 30, 2001.
(d) CONFORMING AMENDMENT.—Section 123(c) of
the Family Support Act of 1988 (102 Stat. 2352; Public
Law 100-485) is amended by striking ‘‘1995’’ and insert-
ing ‘‘2001’’.
SEC. 245. 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) From the appropriation account providing funds
for payments to States under section 455(a) for a fiscal
year, the Secretary may use an amount not to exceed 0.5
percent of reimbursements by States to the Federal Gov-
ernment pursuant to section 457(a) during the preceding
fiscal year (as determined on the basis of the most recent
reliable data available to the Secretary as of the end of
the 3rd calendar quarter following the end of such preced-
ing 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
249
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.’’.
(b) OPERATION
OF FEDERAL PARENT LOCATOR
SERVICE.—Section 453 (42 U.S.C. 653), as amended by
section 216 of this Act, is amended by adding at the end
the following new subsection:
‘‘(o) RECOVERY OF COSTS.—From the appropriation
account providing funds for payments to States for under
section 455(a), the Secretary may use an amount not to
exceed 2 percent of the total reimbursements by States
to the Federal Government pursuant to section 457(a)
during the preceding fiscal year (as determined on the
basis of the most recent reliable data available to the Sec-
retary as of the end of the 3rd calendar quarter following
the end of such preceding fiscal year), to cover costs in-
curred by the Secretary for operation of the Federal Par-
ent Locator Service under this section, to the extent such
costs are not recovered through user fees.’’.
250
SEC. 246. 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—
‘‘(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;’’.
251
(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’’;
(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 strik-
ing ‘‘, and the total amount of such obliga-
tions’’;
(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:
252
‘‘(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
(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 all that follows subparagraph
(J), as added by paragraph (4).
253
(b) EFFECTIVE DATE.—The amendments made by
subsection (a) are effective with respect to fiscal year 1996
and succeeding fiscal years.
Subtitle F—Establishment and
Modification of Support Orders
SEC. 251. 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. Such procedures 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-
254
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
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
255
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
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
256
the order pursuant to this paragraph. The no-
tice may be included in the order.’’.
SEC. 252. FURNISHING CONSUMER REPORTS FOR CERTAIN
PURPOSES RELATING TO CHILD SUPPORT.
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 agen-
cy that—
‘‘(A) the consumer report is needed for the
purpose of establishing an individual’s capacity
to make child support payments or determining
the appropriate 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 ob-
ligation arises (if required by those laws);
‘‘(C) the person has provided at least 10
days’ prior notice to the consumer whose report
is requested, by certified or registered mail to