dcl9787.htm

DCL-97-87

November 26, 1997

TO ALL IV-D DIRECTORS

Re: Instructions for Federal Tax Refund/Administrative
Offset and Passport Denial

Dear Colleague:

This letter is to follow-up on the conference calls OCSE recently had with you regarding the upcoming 1998 Processing Year for the Federal Tax Refund and Administrative Offset programs. Enclosed are instructions and tape specifications you will need for processing your cases as well as further clarification on the passport denial process.

As a reminder, for the upcoming year, IRS will continue to directly process all Federal Tax Refund offsets and FMS will process Administrative offsets. States may also choose to have their cases submitted for Federal Tax Refund offset only or have the cases submitted for both Federal Tax Refund and Administrative offset. Furthermore, until notified, States will not be able to increase arrearages. All modifications and/or deletions will be forwarded by OCSE to the IRS and, if appropriate, to FMS.

Enclosures include:

Passport Denial Process

149 Letter from Department of State to applicant
149 Title 22, Code of Federal Regulations, Part 51
149 Notice of Withdrawal of Passport Denial

Administrative Offset

149 FMS offset notice

Tax Offset/Administrative Offset

149 Update specifications
149 Address specifications

If you have any questions, please call Roy Nix at (202) 401-5685.

Sincerely,

David Gray Ross
Deputy Director
Office of Child Support
Enforcement

cc: Regional Administrators

Program Managers

Federal Tax Refund Offset Coordinators

PASSPORT DENIAL PROCESS

Effective October 1, 1997, a person who has been certified by the Secretary of Health and Human Services (HHS) to the Secretary of State as being in arrears on child support payments by an amount exceeding $5,000 is ineligible to receive a United States passport. This provision was enacted by Congress last year as part of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (Public Law 104-1933). The certification by the Office of Child Support Enforcement is based on a certification from State child support enforcement agencies.

Individuals who have been denied a U.S. passport because of this requirement promptly will be provided a letter from the State Department stating that he or she has been certified as owing past-due child support in an amount exceeding $5,000. A list of the State child support enforcement agencies, with their telephone numbers and addresses, will be provided on the back of the passport denial letter allowing the individual to contact the appropriate State involved in his or her case to resolve the matter. The Department of State will not have any information concerning the details of an individual's situation, such as what State the individual needs to contact, or the exact amount owed.

States' will transmit their certified cases to OCSE for Federal Tax Refund Offset and Administrative Offset for Processing Year 98 and OCSE will automatically extract those cases with arrearages exceeding $5,000 from the certified caseload. These cases are submitted to Social Security Administration (SSA) (name and SSN) and SSA returns a file with (DOB, place of birth, and gender). These cases are then forwarded to the State Department with (DOB, PLACE OF BIRTH, GENDER, SSN, and NAME). These files are only matched against applicants who make application for passport. If there is a match the passport office notifies the applicant to report to his/her State child support agency. Applicants identified abroad are entitled under passport regulations to a passport limited for direct return to the United States.

When the non-custodial parent has repaid the child support arrearage, or when the State agency has determined for other reasons that the individual should be issued a passport despite the debt, the State agency will notify OCSE's Special Collections Unit that the name should be removed from the State Department system. For the current year this will be a manual process. State child support offices should fax the attached (Withdrawal of Passport Denial) letter to the Special Collections Unit on (202) 401-5553. Once the Special Collections Unit receives the withdrawal letter, OCSE will provide weekly updates to the State Department.

In addition, when the non-custodial parent's arrearage falls below $5,000 as a result of a collection from Federal Tax Refund Offset/Administrative Offset or modifications from the State, OCSE will automatically submit a delete record to the State Department.

Passport Revocation

Under the statute, the passport of a non-custodial parent in arrears of child support may be revoked by the Secretary of State. The revocation process will be administered under the current passport regulations, 22 CFR 51.71(1) and (51.72,) which provide for passport revocation when an individual is the subject of an outstanding Federal warrant of arrest for a felony or is the subject of a criminal court order, or condition of probation or parole which forbid departure from the United States. Thus, if a law enforcement office provides the State Department with such a court order, the appropriate steps will be taken under these regulations. (see attached regulations) (Note that these reguations are not attached to the Internet version of this document.)

Note it is important that State Child Support Enforcement agencies maintain a current telephone listing and forward updates to this listing as changes occur to OCSE on fax number (202) 401- 5553.

###