Using technology and private sector resources, implement a financial institution data match coupled with an asset seizure process that is quick and straightforward.

The State's Child Support Management System (CSMS) implemented a full-scale in-state and multi-state financial institution data match. Information about assets of child support obligors is being obtained from banks, credit unions, and securities firms. The assets include savings and checking accounts, IRAs, CDs, mutual funds, cash accounts, and stocks. Financial institutions operating solely within New York State are required to conduct the match directly with the State. Those operating in more than one State may choose to conduct the match with each state in which it operates or directly with the Federal government.

CSMS operates the system as a single process whether the match is facilitated at the federal level or conducted directly with the state. The communication link is to and from the State's mainframe computer. The information is established, checked and routed by CSMS. Data records are applied to all corresponding child support obligor cases maintained by CSMS. As soon as a child support obligor's CSMS account meets the predetermined selection criteria (at least two months delinquent, no payment during the previous 45 days and at least $300.00 past due), the financial asset record linked to the obligor's CSMS account enters the automated asset seizure process. Issues arising from due process remain the responsibility of local support collection units (for example, determination as to the validity of a claim of mistake of fact).

The Office of Temporary and Disability Assistance, parent agency of the Division of Child Support Enforcement, has entered into a contract with a firm to perform the initial and on-going data match with those financial institutions operating solely within New York State (nearly 800 banks and credit unions). It was determined that the hiring of a vendor would be the most cost efficient and effective means of facilitating the data exchange. As of December 31, 2001, there has been nearly 95% compliance on the part of the banks and credit unions.

A contractor was selected, through a competitive bidding process, to coordinate and conduct a quarterly data match of child support records with all of the financial institutions doing business in New York State. The contract deliverables include the following:

Outreach to Financial Institutions

Approach to Ongoing Operations

The Help Desk

The contractor has established and maintains a help line for financial institution questions regarding the FIDM process. This includes status inquiries, technical information, data match assistance, and other customer services-related tasks associated with or as result of the FIDM. The help line is available at a toll-free 800 number and is available from 8:00a.m. to 7:00p.m. eastern time.

In just over a year of full operation, over $8 million has been collected as a result of the FIDM/Asset Seizure Process.

No special funding is required. Cost is shared with the Federal government as a normal IV-D expenditure.

Replication Advice : Full automation is the key to a successful FIDM and asset seizure process. The system can include strategies for managing matches returned by the data match, including system edits. All records can be processed the day received or as soon as workable. Only valid name and Social Security number (SSN) combinations should enter the automated asset seizure process. Obligor address information can be routed to a separate "parent locator" report process. Asset record types can be screened to bypass non-eligible asset types such as mortgage escrow accounts. The system can identify financial institutions (out-of-state) that do not accept direct liens/levies. Such records can be automatically reported to line workers so as to initiate a two-state process or other interstate enforcement.

Consider strategies for issuing large volumes of liens and levies. The system can select direct liens and levies. The system can "stream out" liens and levies when certain criteria or thresholds are reached. Consider strategies for handling particular asset types such as individual retirement accounts. Strategies for interacting with account holders are also important.

Establish and enforce health insurance coverage for dependent children whenever possible and help to defray costs to publicly funded alternatives such as Medicaid and other managed care plans. Increase the reliability of federal reporting data for medical support establishment on the automated child support management system (CSMS).

New York State Division of Child Support Enforcement (NYS DCSE) has implemented processes and procedures which allow local child support enforcement agencies to identify child support orders that: 1) do not have medical support provisions or, 2) have been improperly coded to not include such provisions on the automated CSMS, as required under federal and state rules, for federal reporting purposes. In addition, the local child support agency developed a way to obtain medical support provisions in all qualifying new and modified child support orders.

The NYS DCSE has established a "Medical Support Unit" to provide policy support and products to enable local child support agencies to increase the number of orders with provisions requiring parents to provide for the health insurance needs of their dependent children. A case level review of all child support orders having been identified by data analysis as not containing a medical support provision was the basis of the project. This review also increased the reliability of medical support data on CSMS.

Since the project began in October 2000, medical support orders as reported on line 22 of OCSE-157 increased 12 percentage points statewide from 29% to 41%. During the 14-month period from 10/00 to 12/01, the total number of child support orders in the State from line two of the OCSE-157 rose 16,965, while the number of support orders that include health care coverage as reported on CSMS increased by 82,315.

One Child Support Specialist I was hired by DCSE to implement the project. One Child Support Specialist II has been added from existing staff to oversee the implementation. Medical Support Unit staff is assigned to the Chief of the Policy and Planning Bureau within the DCSE. The Federal government matches costs.

Dedicating staff to the establishment and enforcement of medical support policy and procedures is the necessary first step to refocusing local child support agency staff on this required function. Staff should develop tools for use by local agencies, which will enable them to quickly and efficiently proceed to reevaluate current procedures and policies in light of new policy initiatives. Staff should also survey current practices, procedures and documentation forms used to determine where policy changes would indicate a need for revision. Staff should be offered policy support on medical support issues, offered training on policy changes and be apprised of progress made. Staff should be focused on the case level review of current orders to increase data reliability. Staff should ensure that procedures are in place that will increase the opportunity for obtaining medical support in new and modified child support orders. Staff should also ensure that health insurance information is obtained when available and passed on to "third party health insurance" resource units in order that Medicaid costs are reduced whenever possible.