Miscellaneous Bad Debts occur when an overpayment is created against a party other than the non-custodial parent (NCP), custodial person (CP), or another state. Most miscellaneous bad debts occur as a result of Center for Finance and Budget (CFB) activity; however there are two scenarios that will likely be discovered at the district office level.
- Office of Juvenile Affairs (OJA)/Developmental Disabilities Services (DDS) Miscellaneous Bad DebtsWhen an OJA or DDS overpayment is discovered, send a Finance Action Request (FAR). Because OJA and DDS do not have a Department Client Number (DCN) assigned to them, all bad debts are created automatically when receipt adjustments are completed. View the overpayment details in OSIS just like any other overpayment. However, because of the DCN issue, overpayment notices are sent manually by CFB. These notices will not be seen in OSIS.
- DCN Issues When a case is consolidated in error (CRES), money could issue to a party that does not have a child support case. When this occurs, send an FAR and a Miscellaneous Bad Debt is created.
- Child Support Services (CSS) refunds employer (or other 3rd party), bank returns check unpaidThis process begins when CFB receives notice from the Office of State Treasurer (OST) that a check returned unpaid. Upon further research it is found that the receipt had previously been refunded. Because the payee is not a party on the case, CFB must create a Miscellaneous Bad Debt manually.