A Day in the Life of a Payment Shaunell Robinson Sacramento County DCSS Pamela Stonsby Solano County DCSS Ben Sargent Napa County DCSS

Topics of Discussion ✷ Collection Lifecycle Statewide Allocation Distribution Disbursement ✷ Interest Accrual ✷ CSE Financial Research pages ✷ LDA Financial Research pages ✷ How do I?

Collections ✷ SDU Identifies NPs associated with Collections ✷ Assigns 16 digit Physical ID (Date Plus Eight) ✷ Assigns 7 digit Logical ID ✷ Sends Identified collection data to CSE

Collections ■Examples: ✷ Personal check from John Smith for $ $ Smith ✷ Employer check for 3 employees for $300.00: $ Smith $ Jones $ Jacobs

Allocation ✷ CSE allocates identified collections ✷ Pro-rates between unpaid current ✷ Then Pro-rates between arrears ✷ Aid status is not considered in allocation

Allocation ■Example: ■NP Smith has 3 cases and received $ payment: ✷ Case 1: Current - $300.00, Arrears - $0.00 ✷ Case 2: Current - $300.00, Arrears - $ ✷ Case 3: Current - $0, Arrears - $50, ✷ $50.00 will go to case 1 and Case 2 each.

Distribution ✷ After allocation CSE decides which accounts within the case that the payment will be applied. ✷ Aid status is now relevant. Generally, Non Welfare accounts will be satisfied prior to Welfare accounts unless case is currently assisted ✷ As of 01/01/2009 Principal is satisfied prior to interest.

Distribution Sweeping Only occurs when there is a change in aid status even if assigned arrears exceed UAP. Pre-PRWOA-Prior to October 1998 PRWORA – October 1998 through September 30, 2009 FDRA- October 2009 Medical support is not swept when a case goes on or off aid.

Distribution ■Example: $50 applied to case ■Accounts for case 1: ✷ NAA arrears - $20.00 ✷ PAA arrears - $75.00 ■The $20 NAA arrears will be paid first, and the remainder will apply to PAA arrears

Disbursements ✷ After distribution, CSE determines resulting disbursements. ✷ CSE sends disbursement file to SDU. ✷ SDU processes disbursements following day.

Disbursements ■Disbursement types ✷ Checks ✷ Direct Deposit ✷ Electronic Pay Card

Disbursements Disbursement holds and waiting periods ■IRS Joint Intercept – 6 months ■Refunds ✷ From a withholding collection – 2 days from distribution ✷ From a manual adjustment (collection will end with.01) – 10 days from the date of collection ✷ All other refunds – 15 days from date of distribution

Futures When collections exceed the balance due, CSE may distribute the collections as futures NP Regular and Voluntary Military Allotment Will distribute as futures up to the amount due for the life of the case per the ongoing charging instructions Withholding Will distribute up to one month of future ongoing

Interest Accrual ✷ CSE Formula: Principal x Interest Rate x # of days in month / # of days in year ✷ Example: $ Principal on 10/31/2009 $ x.10 x 31 / 365 = $33.97

Interest ✷ Sweeping Current CSE will calculate interest accrued prior to sweeping current to the arrears balance.

Interest ■CSE will not charge interest: ✷ If there is an active suppression ✷ If it is specified on the Court Order Detail ✷ If there is an active IWO and the arrears are less than Current Support plus the Order on Arrears ✷ Until the month after a court order is filed ✷ If it’s an Interstate case and the OJ does not charge interest

Common CSE Financial Pages ■Participant Financial Overview ■Logical Collection Detail ■Collection Remittance Information ■Physical Collection Detail ■Case Balance History ■Case Balance Detail ■Case Financial Transaction History ■UAP Balance Overview ■UAP Balance History

Participant Financial Overview

Logical Collection Detail

Collection Remittance Information

Physical Collection Detail

Case Balance History

Case Balance Detail

Case Financial Transaction History

UAP Balance Overview

UAP Balance History

LDA Financial Pages ■Case Level ✷ LDA Case Collections ✷ LDA Adjustments ✷ LDA Disbursements ✷ LDA Case Transactions ✷ LDA Obligation Details and Balances ■Participant Level ✷ LDA Participant Collections

LDA Case Collections

LDA Adjustments

LDA Adjustment Detail

LDA Disbursements

LDA Case Transactions

LDA Obligation Detail and Balances

LDA Participant Collection

How Do I….. See if the Non-Custodial parent made payments?

How Do I….. Find out where collections are coming from?

How Do I….. See if an IRS Collection is a joint intercept?

How Do I….. See if the Custodial party received a payment? See if the check was cashed?

How Do I….. See if Collections or Disbursements are on suspense? See if there are Allocation or Disbursement holds?

Financial FAQs