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DEAR COLLEAGUE LETTER DCL-04-35 DATE: August 18, 2004 TO: ALL STATE IV-D DIRECTORS
RE:
Dear Colleague: The Department of Treasury’s Financial Management Service (FMS) has provided the Federal Office of Child Support Enforcement (OCSE) with the offset fees for Fiscal Year 2005. The fee for Federal Income Tax Refund Offsets processed during the upcoming fiscal year will be $12.65 per offset. The fee for Administrative Offsets will be $15.00 per offset. This increase of $1.00 for Tax Refund Offsets and $2.80 for Administrative Offsets is primarily due to an overall increase in processing costs. These Federal Offset fees are for Fiscal Year 2005 (FY2005) and will take effect September 30, 2004. Due to the FMS processing calendar the fee change takes place one day before the true fiscal year. For those states that select OCSE to issue their Pre-Offset Notices (PON), the fee for this service will remain the same at $ 0.50 per notice for FY2005. This fee covers the cost of the envelopes as well as the printing, stuffing, and mailing of the notices. There is, however, one stipulation: If certain proposed legislative initiatives currently being considered by Congress are approved, language will most likely need to be added to the PON to allow for due process. This may result in the current single-page notice becoming two pages in length, and will probably increase the fee to $ 0.51 per notice. We will keep you informed regarding progress on the proposed legislation, and any required changes to the PON.
If you have any questions regarding these fees, please contact Brian Peeler at
(202) 690-5377, or via e-mail at
bpeeler@acf.hhs.gov.
cc: Regional Program Managers |