ARIZONA STATE SENATE
Forty-seventh Legislature, Second Regular Session
FACT SHEET FOR H.B. 2292
child support; court orders
Purpose
Modifies procedures for child support obligations and arrearages, including direct payments and credits, and allows a government agency to develop a child support arrearage calculator.
Background
Title IV-D of the federal Social Security Act outlines federal requirements for state child support enforcement. Any person with custody of a child who needs help to establish a child support or medical support order, any parent who already has a support order who needs help to collect support payments or any noncustodial parent can apply for child support assistance through Title IV-D. Included in Title IV-D are individuals receiving Temporary Assistance for Needy Families (TANF). TANF applicants are automatically referred to Title IV-D child support enforcement services, assign their rights to child support collections to the state and must cooperate with enforcement efforts. The Department of Economic Security (DES) Division of Child Support Enforcement (DCSE) is the Title IV-D agency for Arizona. When DCSE assists with a child support order, that order is referred to as a Title IV-D case.
DCSE received a grant from the federal Office of Child Support Enforcement to help fund an automated, online arrearage calculator, called “eCalc,” to be used by parents, courts, the clerk of the court and parties involved in both Title IV-D and non-Title IV-D child support cases. DCSE is in the process of developing the calculator, which is expected to be completed by July 31, 2006.
The Child Support Committee (Committee) collects public comments, researches best practices, reviews plans of various government agencies and makes recommendations regarding child support enforcement related issues to the Governor, the Legislature and the Chief Justice of the Arizona Supreme Court by January 31 of each year (A.R.S. § 25-323.01). The Committee formerly approved this legislation in November 2005.
According to DES, there is no anticipated fiscal impact associated with this legislation.
Provisions
Start Dates for Child Support Obligations and Interest
1. Requires child support obligations to begin to accrue on the first day of the month following the entry of the child support court order, if the order does not specify the date for child support to begin.
2. States that an annual interest rate of ten percent accrues to child support arrearages:
a) beginning at the end of the month following the month in which the support payment is due, if not reduced to a final written money judgment, or
b) beginning on entry of the judgment by the court, if reduced to a final written money judgment.
Direct Payments and Credits
3. Requires credits, interest or direct payments not paid through the child support clearinghouse to be applied to support arrearages as directed by the court order.
4. Requires the court to make specific findings in support of any payments or credits allowed.
5. Requires payments or credits to be applied on the date of entry of the court order allowing the payment or credit, unless the order expressly states the date the payments are to be applied.
6. Prohibits the court, in Title IV-D cases, from reducing any sum owed to DES without written approval, if the court order does not specifically show that the state was represented or had notice of the hearing or proceeding.
Affidavit of Direct Payment
7. Requires any written agreement for credit against support arrearages, other than by court order, to be made by written affidavit of direct payment signed by both the person owing support and the person receiving support.
8. Requires affidavits of direct payment to be filed directly with the clerk of the court, and requires the clerk of the court to enter the information into the statewide case registry.
9. Requires any credits against support arrearages to be applied on the date agreed to by the parties, or on the date of the affidavit if no other date is agreed to.
10. Prohibits any sum owed to DES in a Title IV-D case from being reduced by the agreement or affidavit without written approval from DES.
Miscellaneous
11. Permits a government agency to develop an arrearage calculator by using an automated transfer of data from the clearinghouse and the child support registry.
12. Establishes a presumption that the amount produced by the calculator is the correct amount of arrearage.
13. Becomes effective on the general effective date.
House Action
HS 1/26/06 DPA 7-0-0-1-0
3rd Read 2/7/06 57-0-3-0
Prepared by Senate Research
February 16, 2006
KM/JR/jas