I
103D CONGRESS
2D SESSION
H. R. 4051
To reform the child support system.
IN THE HOUSE OF REPRESENTATIVES
MARCH 16, 1994
Ms. WOOLSEY (for herself, Mr. CLYBURN, Mr. FRANK of Massachusetts, Mr.
SCOTT, and Ms. VELA´ZQUEZ) introduced the following bill; which was re-
ferred to the Committee on Ways and Means
A BILL
To reform the child support system.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Secure Assurance for
Families Everywhere (SAFE) Act’’.
SEC. 2. NATIONAL CHILD SUPPORT ORDER REGISTRY.
(a) ESTABLISHMENT.—
(1) IN GENERAL.—The Secretary of the Treas-
ury shall establish in the Internal Revenue Service
a national registry of all child support orders.
(2) CHILD
SUPPORT
ORDER
DEFINED.—As
used in this section, the term ‘‘child support order’’
means an order, issued or modified by a State court
or an administrative process established under State
law, that requires an individual to make payments
for support and maintenance of a child or of a child
and the parent with whom the child is living.
(b) TRANSMISSION OF COPIES OF CHILD SUPPORT
ORDERS TO THE NATIONAL REGISTRY.—Section 466(a)
of the Social Security Act (42 U.S.C. 666(a)) is amended
by inserting after paragraph (11) the following:
‘‘(12) Procedures to ensure that—
‘‘(A) each child support order issued or
modified in the State contains the social secu-
rity account number of each parent with rights
or obligations under the order;
‘‘(B) within 5 days after the issuance or
modification of a child support order in the
State, a copy of the order is transmitted to the
national child support order registry established
under section 2(a) of the Secure Assurance for
Families Everywhere (SAFE) Act;
‘‘(C) within 2 years after the date of the
enactment of this paragraph, a copy of each
child support order being enforced by the State
pursuant to this part which has not been trans-
mitted pursuant to subparagraph (B) is trans-
mitted to the national child support order
registry;
‘‘(D) within 5 years after the date of the
enactment of this paragraph, a copy of each
child support issued or modified in the State
which has not been transmitted pursuant to
subparagraph (B) or (C) and which a party to
the order has requested be sent to the national
child support order registry be transmitted to
the registry; and
‘‘(E) with each order transmitted pursuant
to subparagraph (B), (C), or (D)—
‘‘(i) a notice is included as to the date
the order is required or scheduled to be re-
viewed by a court or an administrative
process established under State law; and
‘‘(ii) a certified statement of arrears
(if any) owed under the order is included
if a party to the order is receiving services
under the State plan.’’.
(c) MAINTENANCE OF ABSTRACTS OF CHILD SUP-
PORT ORDERS.—The national registry shall maintain an
abstract of each child support order, which shall contain
the following information:
(1) The names, addresses, and social security
account numbers of each individual with rights or
obligations under the order, to the extent that the
authority that issued the order has not prohibited
the release of such information.
(2) The name and date of birth of any child
with respect to whom payments are to be made
under the order.
(3) The dollar amount of child support required
to be paid on a monthly basis under the order.
(4) The date the order was issued or most re-
cently modified, and each date the order is required
or scheduled to be reviewed by a court or an admin-
istrative process established under State law.
(5) Any orders superseded by the order.
(6) Such other information as the Secretary of
the Treasury, in consultation with the Secretary of
Health and Human Services, shall, by regulation
require.
(d) PROVISION OF CHILD SUPPORT INFORMATION
TO EMPLOYERS.—Upon receipt from an employer of a W–
4 form completed pursuant to section 3(b) of this Act by
an employee of the employer, the national registry shall
report to the employer such information as the national
registry may have as to—
(1) whether the employee has a legal obligation
to provide child support (as defined in section
462(b) of the Social Security Act) which is to be col-
lected, in whole or in part, through wage withholding
pursuant to an order issued by a State court or an
order of an administrative process established under
State law; and
(2) the aggregate amount of all such obliga-
tions.
SEC. 3. MODIFICATION OF W–4 REPORTING REQUIREMENTS
TO PROVIDE FOR REPORTING OF CHILD SUP-
PORT OBLIGATIONS OF EMPLOYEES.
(a) ESTABLISHMENT OF REPORTING SYSTEM.—The
Secretary of the Treasury, in consultation with the Sec-
retary of Labor, shall establish a system for the reporting
of information relating to child support obligations of em-
ployees that meets the requirements of this section.
(b) EMPLOYEE OBLIGATIONS.—Under the system,
each employee shall be required to file with the employer
of the employee, within 5 days after the later of the effec-
tive date of this section or the date the employee is hired,
a W–4 form that indicates—
(1) whether the employee has a legal obligation
to provide child support (as defined in section
462(b) of the Social Security Act) which is to be col-
lected, in whole or in part, through wage withholding
pursuant to an order issued by a State court or an
order of an administrative process established under
State law; and
(2) if so—
(A) the aggregate amount of all such obli-
gations; and
(B) the name and address of any person to
whom the employee has such an obligation.
(c) EMPLOYER OBLIGATIONS.—
(1) IN GENERAL.—Subtitle C of the Internal
Revenue Code of 1986 (relating to employment
taxes) is amended by inserting after chapter 24 the
following new chapter:
‘‘CHAPTER 24A—COLLECTION OF CHILD
SUPPORT OBLIGATIONS AT SOURCE
ON WAGES
‘‘Sec. 3411. Child support obligations collected at source.
‘‘SEC. 3411. CHILD SUPPORT OBLIGATIONS COLLECTED AT
SOURCE.
‘‘(a) REQUIREMENT OF WITHHOLDING.—
‘‘(1) WAGE
WITHHOLDING
AS
INDICATED
BY
THE
EMPLOYEE.—Each employer who receives a
completed W–4 form from an employee pursuant to
section 3(b) of the Secure Assurance for Families
Everywhere (SAFE) Act which indicates that the
employee has a legal obligation to provide child sup-
port (as defined in section 462(b) of the Social Secu-
rity Act) shall—
‘‘(A) deduct and withhold from the wages
of the employee the amount indicated on the
W–4 form as a child support obligation;
‘‘(B) send such amount to Secretary; and
‘‘(C) forward the form to the national child
support order registry.
‘‘(2) CORRECTION OF WITHHOLDING INSTRUC-
TIONS.—If the national child support order registry
notifies the employer that an employee has an obli-
gation referred to in paragraph (1), the employer
shall—
‘‘(A) deduct and withhold from the wages
of the employee the greater of—
‘‘(i) the amount indicated on the
W–4 form as a child support obligation;
or
(2) CLERICAL
AMENDMENT.—The table of
chapters for subtitle C of such Code is amended by
inserting after the item relating to chapter 24 the
following new item:
‘‘Chapter 24A. Child support obligations collected at source.’’
SEC. 4. COLLECTION OF CHILD SUPPORT.
(a) IN GENERAL.—Chapter 77 of the Internal Reve-
nue Code of 1986 (relating to miscellaneous provisions)
is amended by adding at the end thereof the following new
section:
‘‘SEC. 7524. COLLECTION OF CHILD SUPPORT.
‘‘(a) MONTHLY PAYMENTS BY INDIVIDUALS WITH
NO OR INSUFFICIENT WAGE WITHHOLDING FOR CHILD
SUPPORT.—
‘‘(1) IN GENERAL.—Each individual who has a
child support payment shortfall for any month shall
pay an amount equal to such shortfall to the Sec-
retary not later than the close of such month or
such earlier date specified by the Secretary.
‘‘(2) CHILD SUPPORT PAYMENT SHORTFALL.—
For purposes of this subsection, the term ‘child sup-
port payment shortfall’ means, with respect to any
month, an amount equal to the excess (if any) of—
‘‘(A) the amount of the applicable child
support obligation for such month, over
‘‘(B) the amount (if any) deducted and
withheld under section 3411 from the wages
paid to such individual during such month.
‘‘(3) CERTAIN
OBLIGATIONS
EXEMPT.—This
subsection shall not apply to a child support obliga-
tion if the order requiring payment of such obliga-
tion specifies that such obligation is exempt from the
requirements of this subsection.
‘‘(b) PAYMENTS OF ARREARAGES BY INDIVIDUALS
NO LONGER EXEMPT FROM WITHHOLDING OR MONTHLY
PAYMENTS.—
‘‘(1) IN GENERAL.—If—
‘‘(A) for any month ending with or within
the taxable year, a child support obligation was
exempt from section 3111 and subsection (a) of
this section,
‘‘(B) such obligation ceases to be so ex-
empt during such year, and
‘‘(C) such individual failed to pay the full
amount of such obligation for any month end-
ing with or within such year for which such ob-
ligation was so exempt,
then such individual shall pay (not later than the
date specified by the Secretary) an amount equal to
the excess of the full amount of such obligation for
the months referred to in subparagraph (A) over the
amount paid before such date under such obligation
for such months.
‘‘(2) DETERMINATION OF AMOUNT REQUIRED
TO
BE
PAID.—Subsection (d) shall apply to an
amount required to be paid under this subsection
only after the Secretary’s determination of such
amount (after a hearing on the record) becomes
final.
‘‘(c) RECONCILIATION OF CHILD SUPPORT OBLIGA-
TION AND PAYMENTS ON INCOME TAX RETURN.—
‘‘(1) IN GENERAL.—Each applicable child sup-
port obligation of any individual for months ending
with or within any taxable year shall be paid—
‘‘(A) not later than the last date (deter-
mined without regard to extensions) prescribed
for filing the individual’s return of tax imposed
by chapter 1 for such taxable year, and
‘‘(B)(i) if such return is filed not later
than such date, with such return, or
‘‘(ii) in any case not described in clause (i),
in such manner as the Secretary may by regula-
tions prescribe.
‘‘(2) OFFSET FOR WITHHELD CHILD SUPPORT,
ETC.—There shall be allowed as a credit against the
amount required to be paid under paragraph (1) by
an individual the sum of—
‘‘(A) the amount (if any) deducted and
withheld under section 3411 from the wages re-
ceived by such individual during the taxable
year,
‘‘(B) the amount (if any) paid by such in-
dividual under section 6654 by reason of sub-
section (f)(3) thereof for such taxable year,
‘‘(C) the amount (if any) paid by such in-
dividual under subsections (a) and (b) for such
taxable year, and
‘‘(D) in the case of an obligation which
was exempt from the requirements of section
3411 and subsection (a) of this section for only
a portion of the taxable year, the amount paid
(for such portion of the taxable year) by such
individual directly to the person to whom the
obligation is owed (or, if such person has as-
signed to a State the right to collect the obliga-
tion, the State).
‘‘(3) CREDIT OR REFUND FOR PAYMENTS IN
EXCESS OF ACTUAL OBLIGATION.—There shall be al-
lowed as a credit against the tax imposed by subtitle
A for the taxable year an amount equal to the excess
(if any) of—
‘‘(A) the aggregate of the amounts de-
scribed in subparagraphs (A), (B), (C), and (D)
of paragraph (2) for such taxable year, over
‘‘(B) the aggregate of the applicable child
support obligations of the taxpayer for such
taxable year.
The credit allowed by this paragraph shall be treated
for purposes of this title as allowed by subpart C of
part IV of subchapter A of chapter 1.
‘‘(d) FAILURE TO PAY AMOUNT OWING.—If an indi-
vidual fails to pay the full amount required to be paid
under subsection (a), (b), or (c) on or before due date for
such payment, the Secretary shall assess and collect the
unpaid amount in the same manner, with the same pow-
ers, and subject to the same limitations applicable to a
tax imposed by subtitle C the collection of which would
be jeopardized by delay.
‘‘(e) APPLICATION OF SECTION TO CHILD SUPPORT
ORDERS NOT INITIALLY SUBJECT TO SECTION.—
‘‘(1) IN GENERAL.—In the case of a child sup-
port obligation which becomes an applicable child
support obligation for any month after January
1996, the amount required to be paid under sub-
SEC. 5. DISTRIBUTION OF PORTION OF CHILD SUPPORT
COLLECTED.
(a) IN GENERAL.—The Secretary of the Treasury
shall pay to the appropriate payee the sum of the following
amounts which are received by the Secretary on account
of a child support obligation payable to such payee:
(1) The amounts deducted and withheld under
section 3411 of the Internal Revenue Code of 1986.
(2) The amounts paid under section 6654 of
such Code (relating to estimated tax payments) by
reason of subsection (f)(3) thereof.
(3) The amounts paid under section 7524 of
such Code (relating to collection of child support).
(b) COORDINATION WITH CHILD SUPPORT ASSUR-
ANCE BENEFIT.—The amount required to be paid under
subsection (a) which is attributable to a child support obli-
gation payable for any month shall not exceed the excess
(if any) of—
(1) the amount of such obligation for such
month, over
(2) the child support assurance benefit paid for
such month under section 6(a) on account of such
obligation.
(c) APPROPRIATE PAYEE.—As used in this section,
the term ‘‘appropriate payee’’ means, with respect to a
child support obligation—
(1) the person to whom the obligation is owed;
or
(2) if such person has assigned to a State the
right to collect the obligation, the State.
(d) INTEREST PAYABLE ON LATE PAYMENTS BY
SECRETARY.—If, within 10 days after the Secretary of the
Treasury receives an amount referred to in a paragraph
of subsection (a), the Secretary fails to pay any cor-
responding amount required to be paid under subsection
(a), the Secretary shall pay, in addition to the amount re-
quired to be paid, to the appropriate payee interest at the
underpayment rate (determined under section 6621 of
such Code, and compounded daily) on such amount for
the period beginning on such date and ending on the date
paid.
(e) COORDINATION WITH RULES GOVERNING DIS-
TRIBUTION
OF
CHILD
SUPPORT
COLLECTED
BY
A
STATE.—Section 457 of the Social Security Act (42
U.S.C. 657) is amended by adding at the end the follow-
ing:
‘‘(e) For purposes of this section, amounts received
by a State from the Secretary of the Treasury pursuant
to section 5(a) of the Secure Assurance for Families Ev-
erywhere (SAFE) Act shall be considered amounts col-
lected by the State as child support pursuant to a plan
approved under this part.’’.
SEC. 6. CHILD SUPPORT ASSURANCE.
(a) MONTHLY CHILD SUPPORT ASSURANCE BENE-
FITS.—
(1) IN GENERAL.—The Secretary of the Treas-
ury shall pay to each eligible individual a monthly
child support assurance benefit under this sub-
section.
(2) AMOUNT OF BENEFIT.—
(A) GENERAL RULE.—The amount of the
child support assurance benefit payable under
this subsection to an eligible individual for a
calendar month is—
(i) the basic benefit payable to the in-
dividual; multiplied by
(ii) the inflation percentage in effect
for the calendar year in which the month
occurs.
(B) BASIC
BENEFIT.—For purposes of
subparagraph (A), the amount of the basic ben-
efit payable to an eligible individual is—
(i) $250 if the eligible individual is
such with respect to only 1 eligible child;
or
(ii) $300 if the eligible individual is
such with respect to more than 1 eligible
child.
(C) INFLATION
PERCENTAGE.—For pur-
poses of subparagraph (A), the inflation per-
centage in effect for a calendar year is the per-
centage (if any) by which—
(i) the average of the Consumer Price
Index (as defined in section 1(f)(5) of the
Internal Revenue Code of 1986) for the
12-month period comprising the imme-
diately preceding calendar year; exceeds
(ii) the average of the Consumer Price
Index (as so defined) for the 12-month pe-
riod comprising the 2nd preceding calendar
year.
(3) TIMING OF PAYMENTS.—The Secretary of
the Treasury shall make payments under this sub-
section on the 1st day of each calendar month.
(b) DEFINITIONS.—As used in this subsection (a):
(1) ELIGIBLE INDIVIDUAL.—The term ‘‘eligible
individual’’ means—
(A) an individual to whom child support is
payable with respect to an eligible child pursu-
ant to an order, issued or modified by a State
court or an administrative process established
under State law, which has been registered in
the national child support order registry estab-
lished under section 2(a) of this Act; and
(B) an individual who—
(i) more than 18 months before appli-
cation for benefits under this section, ap-
plied for services under a State plan ap-
proved under part D of title IV of the
Social Security Act; and
(ii)(I) has cooperated fully in—
(aa) establishing the paternity of
any child of the individual with re-
spect to whom such services have been
sought; and
(bb) seeking to establish a child
support order with respect to an eligi-
ble child with respect to whom such
services have been sought; or
(II) has refused to cooperate in the
matters described in subclause (I), for
good cause, in accordance with standards
prescribed by the Secretary in regulations,
which standards shall take into consider-
ation the best interests of the eligible child.
(2) ELIGIBLE
CHILD.—The term ‘‘eligible
child’’ means a child who has not attained 18 years
of age.
(c) NOTICE TO STATE AFDC AGENCIES.—The Sec-
retary shall notify each State agency referred to in section
402(a)(3) of the Social Security Act of each individual in
the State to whom the Secretary makes a payment under
this section and the amount of the payment.
(d) 
EFFECT
ON
AFDC 
BENEFITS.—Section
402(a)(8)(A)(vi) of the Social Security Act (42 U.S.C.
602(a)(8)(A)(vi)) is amended to read as follows:
‘‘(vi) shall, with respect to any family ap-
plying for or receiving aid to families with de-
pendent children, disregard the first $100 of
the amounts paid during any month to any rel-
ative specified in clause (ii) of this subpara-
graph under section 6(a) of the Secure Assur-
ance for Families Everywhere (SAFE) Act, and
1⁄2 of the remainder thereof;’’.
SEC. 7. OUTREACH AND ACCESSIBILITY.
(a) UNIFORM APPLICATION
FOR CHILD SUPPORT
SERVICES.—
(1) REQUIREMENT THAT STATES USE FEDERAL
APPLICATION FORM.—Section 454(6)(A) of the So-
cial Security Act (42 U.S.C. 654(6)(A)) is amended
by inserting ‘‘(which shall be made on the service
application 
form 
developed 
under 
section
452(a)(7))’’ after ‘‘State’’.
(2) DUTY TO DEVELOP APPLICATION FORM.—
Section 452(a)(7) of such Act (42 U.S.C. 652(a)(7))
is amended by inserting ‘‘, and develop a form to be
used to apply for services established under State
plans under this part’’ before the semicolon.
(b) OUTREACH.—
(1) STATE PLAN REQUIREMENT.—Section 454
of such Act (42 U.S.C. 654) is amended—
(A) in paragraph (23), by striking ‘‘and’’
after the semicolon;
(B) in paragraph (24), by striking the pe-
riod and inserting ‘‘; and’’; and
(C) by inserting after paragraph (24) the
following:
‘‘(25) provide for the establishment and conduct
of an ongoing program of outreach to persons eligi-
ble for services under the plan, in accordance with
regulations issued under section 452(a)(11).’’.
(2) REGULATIONS.—Section 452(a) of such Act
(42 U.S.C. 652(a)) is amended—
(A) in paragraph (9), by striking ‘‘and’’
after the semicolon;
(B) in paragraph (10), by striking the 2nd
period and inserting ‘‘; and’’; and
(C) by adding at the end the following:
‘‘(11) issue such regulations as are necessary to
ensure that State agencies—
‘‘(A) develop and implement a plan for
serving underserved populations;
‘‘(B) use appropriate personnel and print-
ed material for use by persons who do not
speak English or whose hearing is impaired;
and
‘‘(C) work in cooperation with other Fed-
eral, State, and local government agencies and
private nonprofit organizations which serve low-
income families to publicize the availability of
such services and coordinate the delivery of
such services.’’.
SEC. 8. COMMISSION ON CHILD SUPPORT GUIDELINES.
(a) ESTABLISHMENT
OF COMMISSION.—There is
hereby established a Commission to be known as the Com-
mission on Child Support Guidelines (in this section re-
ferred to as the ‘‘Commission’’) to be composed of 15
members appointed in accordance with subsection (b)(1).
(b) MEMBERSHIP.—
(1) APPOINTMENT.—
(A) APPOINTING
AUTHORITIES.—Subject
to subparagraph (B), the members of the Com-
mission shall be appointed as follows:
(i) 4 members shall be appointed
jointly by the majority and minority lead-
ers of the Senate, in consultation with the
chairman and ranking minority member of
the Committee on Finance of the Senate.
(ii) 4 members shall be appointed
jointly by the Speaker and the minority
leader of the House of Representatives, in
consultation with the chairman and rank-
ing minority member of the Committee on
Ways and Means of the House of Rep-
resentatives.
(iii) 7 members shall be appointed by
the Secretary of Health and Human Serv-
ices.
(B) BALANCED
REPRESENTATION.—The
persons with authority to make appointments
under subparagraph (A) shall, individually and
collectively, ensure that the composition of the
membership of the Commission reflects a bal-
anced representation of ethnic groups, groups
of various economic status, economists, persons
familiar with the cost of raising children, custo-
dial and noncustodial parents, judges and hear-
ing officers familiar with the use of guidelines,
and persons who have experience with the wel-
fare system.
(2) TERM OF OFFICE.—Members of the Com-
mission shall serve for the life of the Commission.
(3) VACANCIES.—A vacancy on the Commission
shall be filled in the manner in which the original
appointment was made and shall not affect the pow-
ers or duties of the Commission.
(4) TRANSACTION OF BUSINESS.—A majority of
the members of the Commission shall constitute a
quorum for the transaction of business. Decisions of
the Commission shall be according to the vote of a
simple majority of those present and voting at a
properly called meeting.
(5) FIRST MEETING.—As promptly as possible
after all of the members of the Commission are ap-
pointed, the Secretary of Health and Human Serv-
ices shall call the first meeting of the Commission.
(6) CHAIRPERSON.—At the first Commission
meeting, the members of the Commission shall select
a Chairperson from among such members and shall
meet thereafter at the call of the Chairperson or of
a majority of the members.
(c) COMPENSATION OF COMMISSION MEMBERS.—
(1) NO PAY.—Members of the Commission shall
serve as such without pay.
(2) TRAVEL EXPENSES AND PER DIEM.—Mem-
bers of the Commission shall be allowed travel ex-
penses, including a per diem allowance in lieu of
subsistence, in the same manner as persons serving
intermittently in the government service are allowed
travel expenses under section 5703 of title 5, United
States Code.
(d) REPORT TO THE CONGRESS ON RECOMMENDED
NATIONAL CHILD SUPPORT GUIDELINES.—The Commis-
sion shall submit to the Congress a report that contains
recommendations for national child support guidelines
that should be followed by State courts and administrative
bodies in setting the amount of child support awards. In
developing such guidelines, the Commission shall consider
the best interests of the child.
(e) POWERS OF THE COMMISSION.—
(1) MAILS.—The Commission may use the
United States mails in the same manner and upon
the same conditions as other departments and agen-
cies of the United States Government.
(2) GIFTS.—The Commission may accept, use,
and dispose of donations of money and property, and
may accept such volunteer services of individuals as
it deems appropriate.
(3) CONTRACT AUTHORITY.—The Commission
may procure supplies, services, and property, may
make contracts, and may procure temporary and
intermittent services under section 3109(b) of title
5, United States Code, but only to the extent and
in such amounts as are provided in appropriation
Acts.
(4) RULES OF PROCEDURE.—For purposes of
carrying out its duties under subsection (d), the
Commission may adopt such rules for its organiza-
tion and procedures as it deems appropriate.
(5) DIRECTOR AND STAFF.—
(A) DIRECTOR.—The Commission shall
have a Director who shall be appointed by the
Chairperson.
(B) STAFF.—The Director may appoint
and fix the pay of such additional personnel as
the Director considers appropriate.
(C) APPLICABILITY
OF
CERTAIN
CIVIL
SERVICE LAWS.—The Director and staff of the
Commission may be appointed without regard
to the provisions of title 5, United States Code,
governing appointments in the competitive serv-
ice, and may be paid without regard to the pro-
visions of chapter 51 and subchapter III of
chapter 53 of such title relating to classification
and General Schedule pay rates, except that an
individual so appointed may not be paid at a
rate in excess of the rate for level IV of the Ex-
ecutive Schedule.
(6) STAFF
OF
FEDERAL
AGENCIES.—On re-
quest of the Chairperson of the Commission, the
head of any Federal department or agency may de-
tail, on a reimbursable basis, any of the personnel
of such department or agency to the Commission to
assist the Commission in carrying out its duties
under this section without regard to section 3341 of
title 5, United States Code.
(f) EFFECTIVE DATE.—This section shall take effect
on the date of the enactment of this Act.
(g) TERMINATION OF THE COMMISSION.—
(1) TERMINATION
DATE.—The Commission
shall terminate on the earlier of—
(A) the date that the Commission submits
to the Congress the report required by sub-
section (d); or
(B) the date that is 2 years after the date
of the enactment of this section.
(2) DISPOSITION OF COMMISSION PROPERTY.—
(A) FUNDS.—Any funds held by the Com-
mission on the date of termination of the Com-
mission shall be deposited in the general fund
of the Treasury of the United States and cred-
ited as miscellaneous receipts.
(B) OTHER
PROPERTY.—Any property
(other than funds) held by the Commission on
such date shall be disposed of as excess or sur-
plus property.
SEC. 9. RESOURCES.
(a) DEADLINE FOR ISSUANCE OF STANDARDS FOR
STAFFING STATE CHILD SUPPORT PROGRAMS.—Within 1
year after the date of the enactment of this Act, the Sec-
retary of Health and Human Services shall establish the
staffing requirements required to be established under sec-
tion 452(a)(2) of the Social Security Act, including the
requirement that a State shall, to the extent practicable,
fill positions created in order to carry out the amendments
made by this title with personnel of the organizational unit
referred to in section 454(3) of such Act whose positions
are eliminated in order to carry out such amendments.
(b) INCENTIVE
FOR STATES
TO IMPROVE CHILD
SUPPORT PROGRAMS.—
(1) INCREASE IN FEDERAL MATCHING RATE.—
Section 455(a) of the Social Security Act (42 U.S.C.
655(a)) is amended—
(A) in paragraph (1)(A), by inserting ‘‘(or,
if applicable, paragraph (3))’’ after ‘‘paragraph
(2)’’; and
(B) by adding at the end the following:
‘‘(3)(A) Notwithstanding paragraph (2) of this sub-
section, the percent applicable to a State for a quarter
in a fiscal year for purposes of paragraph (1)(A) of this
subsection is 90 percent if the most recent review con-
ducted under section 452(a)(4), after the date of the en-
actment of this Act, of the State program operated under
this part confirms that—
‘‘(i) the paternity establishment percentage of
the State for the fiscal year immediately preceding
the fiscal year in which the quarter occurs equals or
exceeds the threshold percentage;
‘‘(ii) the State has met the standards included,
pursuant to subsections (h) and (i) of section 452,
in the standards required by section 452(a)(1), with
respect to at least the threshold percentage of the
cases in which services are provided under the State
plan under this part during the quarter; and
‘‘(iii) during the quarter, the State has com-
plied with a plan approved by the Secretary for the
State to meet the staffing requirements established
under section 452(a)(2).
‘‘(B) For purposes of subparagraph (A) of this para-
graph, the threshold percentage for a State with respect
to a quarter is the greater of—
‘‘(i) 80 percent; or
‘‘(ii) the lesser of—
‘‘(I) the threshold percentage for the State
with respect to the most recent quarter for
which the percent applicable to a State for pur-
poses of paragraph (1)(A) is 90 percent by rea-
son of subparagraph (A) of this paragraph, in-
creased by 2 percentage points; or
‘‘(II) 95 percent.’’.
(2) EFFECTIVE DATE.—The amendments made
by paragraph (1) shall apply to payments under part
D of title IV of the Social Security Act for quarters
beginning after the 1-year period that begins with
the date of the enactment of this Act.