The article covers and provides guidance for various scenarios that are not overpayments.
Private modifications, adoption orders, etc. where Child Support Services (CSS) was not notified in a timely manner. This does not mean there is not an overpayment, but CSS will not pursue it. For more information see Policy 340:25-5-305 (g).
Custodial Person (CP) not on Temporary Assistance for Needy Families (TANF)
If receipts are issued to a party and it is discovered the money should have issued to another person in the same household, CSS will not create an overpayment. This applies to intact families as well as different CPs living in the same household.
CP on TANF
Intact family/payments retained
Because CSS cannot charge c/s when the non-custodial parent (NCP) is in the home, complete an arrearage computation (A/C) to determine the true balances.
If arrears exist, reduce the TANF arrears by the amount paid. If no arrears exist, send a Finance Action Request (FAR) to refund the retained receipts to the NCP.
In addition, if the NCP is not included as a party on the assistance case, notify IV-A that the NCP is in the home.
NCP paid assigned cash medical directly to the CP
Do not create a Cash Medical Erroneous overpayment. However, update CFPA with the payments, directing them to available private balances first. If there are no private balances, apply the payments to assigned cash medical balances.
Interest paid with IRS receipts 01/01/2008 through 01/07/2011
Interest receipts issued to the CP during this time period will not be counted as an overpayment against the CP because this was CSS Policy at the time.
Money issued when it should have retained
If receipts are issued to the CP in error (e.g. TANF, foster care), bring an A/C current, and review the net balances. If there is no private credit remaining (credit has been absorbed), do not send an FAR.
NCP paid CP directly in excess of order (IV-D case with direct payments or Non IV-D case)
If the CP received payments in excess of the court order from CSS (CFRRP) during a pass thru time period and the case later becomes a IV-D case, adjust the A/C (CsiAdj tab) for the amount that will pay the balance to zero. The overage is considered a gift to the CP and child.
Credit balance on principal, but interest balance exists
If there is a credit on issuable principal balances, determine if there are issuable interest balances. If so, offset the credit on the interest balances to avoid an overpayment. For purposes of the A/C, offset the credit using the CsiAdj tab.
Kiosk, Pay by Phone, MoneyGram, Etc.
If a customer submits a payment intended for another biller, but has a child support case, review the NCP’s pay history. If the NCP is paying per their payment plan, and the refund will not create an overpayment, submit an FAR. If the NCP is not paying, or the refund will create an overpayment, CSS will not honor the NCP’s request for a refund.
NOTE: If able to catch the receipt prior to being logged, or the same day the receipt is logged, contact CFB via phone in order to get expedited processing. CFB will be able to stop the issuance as long as contact is made prior to or the same day the receipt is logged.
CSS Customer Service (CARE) will contact District Office directly and if request is appropriate, contact CFB for expedited processing.
NCP Doesn’t Want Refund/CP Overpayment
If an NCP says during a hearing that they do not want to be refunded an overage, this should be memorialized in the court order. If this happens outside of court, the NCP must submit a request in writing stating that they do not wish to receive the overage.