Okla. Admin. Code § 340:25-5-350.3 - Payment of support through Centralized Support Registry

Current through Register Vol. 39, No. 2, October 1, 2021

(a) Centralized Support Registry. Oklahoma Department of Human Services (DHS) Child Support Services (CSS) operates a Centralized Support Registry (Registry), also known as the State Disbursement Unit, for the receipt, recording, allocation, distribution, and disbursement of support payments. CSS operates the Registry, per Sections 410 and 413 of Title 43 of the Oklahoma Statutes (43 O.S. §§ 410 and 413), Sections 302.51 and 303.100 of Title 45 of the Code of Federal Regulations ( 45 C.F.R. §§ 302.51 and 303.100 ), and Sections 654b and 657 of Title 42 of the United States Code ( 42 U.S.C. §§ 654b and 657 ).
(1) This Section applies to both Title IV-D and non-Title IV-D cases, unless the context clearly indicates otherwise.
(2) When a non-Title IV-D child support case has an income assignment in place, the Registry processes child support payments received from unemployment compensation benefits as income assignments per federal and state law.
(b) Support payments.
(1) Support payments must be paid as instructed in writing by CSS to the Registry.
(2) CSS offices may accept support payments when a payment is made:
(A) in connection with a court action; or
(B) as part of a settlement agreement on a lien or levy.
(c) Method of payment. CSS may require payors and persons to provide information needed to identify and properly allocate and distribute payments and to submit payments to the Registry, per 43 O.S. § 413.
(1) Support payment amounts are converted from a foreign country's order amount to a United States (U.S.) dollar amount at the time of the referral or application and that exchange rate remains in place until the child support order is modified or the arrears are confirmed.
(2) CSS:
(A) allocates and distributes support payments, per Oklahoma Administrative Code (OAC) 340:25-5-351;
(B) modifies or enforces international orders, per OAC 340:25-5-285;
(C) safeguards case information and records received from payors and persons. Information and records concerning Title IV-D and non-Title IV-D recipients of services through the Registry are confidential, per 56 O.S. § 183 except as provided in OAC 340:25-5-67;
(D) sends custodial persons (CPs) a quarterly written notice of the amount of current support, arrears, and interest collected, and the amount of collections paid to the CP. CPs may also obtain this information over the Internet or by phoning CSS, per OAC 340:25-1-2.1;
(E) reserves the right to refuse to accept a personal or business check or direct debit after receiving a dishonored personal or business check, direct debit, electronic funds transfer (EFT), or other negotiable instrument from the same payor or on the same case; and
(F) considers the date of collection to be the date payments are received by the Registry and applies payments to existing case balances as of that date. When a payment collected represents the current support amount for future months, the amount is applied to such future months when there are no past due balances on any of the noncustodial parent's (NCP's) cases, per 45 C.F.R. § 302.51.
(3) When CSS refuses to accept a personal or business check, direct debit, EFT, or other negotiable instrument from a payor per (2)(E) of this subsection, the payor:
(A) must submit the payment by cashier's check, certified check, money order, or cash at a CSS verified payment location as identified on the CSS page at http://www.okdhs.org;
(B) is added to the CSS Returned Payments List;
(C) remains on the Returned Payments List until CSS receives the equivalent of 12 months of payments unless:
(i) the payment is returned due to missing endorsement;
(ii) the payor provides prior notification that payment will be returned and remits a replacement payment within 10-calendar days of notification in the manner required by CSS;
(iii) the returned payment is insufficient funds caused by a CSS Financial Institution Data Match levy; or
(iv) CSS deems the reason for returned payment is out of payor's control; or
(D) must request removal from the Returned Payments List by contacting CSS, per OAC 340:25-1-2.1.
(4) CSS notifies the payor by mail:
(A) of the reason for the returned payment;
(B) that the payor was placed on the Returned Payments List;
(C) that the payor must submit payments as outlined in (3)(A) of this subsection; and
(D) how the payor can be removed from the Returned Payments List.
(5) When CSS removes the payor from the Returned Payments List and subsequently has another payment returned, the payor is added back to the Returned Payments List and remains there indefinitely.
(d) EFT support payments. NCPs, employers, and other payors may register to make electronic payments through the CSS online child support payment system (e-Pay), available through http://www.okdhs.org/services/ocss/pages/paymentoptions.aspx.
(1) To transfer child support payments electronically, NCPs, employers, and other payors must:
(A) call CSS at the phone numbers provided in OAC 340:25-1-2.1 to set up the EFT process;
(B) have a valid email account;
(C) have Internet access;
(D) be a legal owner of a:
(i) bank account held at a financial institution within the U.S.; or
(ii) VISA or MasterCard credit or debit card held at a financial institution within the U.S.; and
(E) register to use e-Pay.
(2) E-Pay payments do not replace federally mandated income withholding and will not stop or cancel income-withholding orders for NCPs.
(3) CSS may adjust and release payroll deductions that were electronically transferred from an NCP's wages. When an adjustment cannot be processed in time to effect the change on the next scheduled electronic funds transfer, employers do not refund money to the employee, make adjustments to subsequent EFT payments, or take other action to correct the amount deducted.
(4) CSS reserves the right to:
(A) close an e-Pay account and impose fees and charges when a scheduled payment transaction is returned for any reason;
(B) add the payor to Returned Payments List, per (c)(3) of this Section; and
(C) specify what payment formats are used to conduct the electronic funds transfer between businesses to state child support entities.
(e) Payment issuance.
(1) Per 42 U.S.C. § 654 and 45 C.F.R. § 302.38, CSS issues payments to the CP only by transferring funds electronically, also known as direct deposit, or through debit cards.
(2) In interstate cases, CSS issues payments to the initiating state Title IV-D agency by electronic funds transfer and only issues payments by paper warrant to initiating states that do not have an electronic funds transfer system.
(3) Payments issued by debit card.
(A) When a DHS customer has a debit card, at the point of CSS initial child support payment issuance for a CP, a letter is mailed explaining that child support funds are added to the existing debit card account.
(B) When a DHS customer was not issued an Oklahoma debit card at the point of CSS initial child support payment issuance, a letter is mailed explaining the debit card activation process and that the debit card should be expected within 10- business days. The CP must activate the debit card within 90- calendar days of issuance.
(i) When a card is not activated, CSS mails a second letter to the CP after 45- calendar days and a third letter after 90- calendar days. The letters explain the importance of activating the debit card and that when the card is not activated within 90- calendar days the payment is no longer available on the debit card.
(ii) Payments issued to a CP who has not activated the debit card are returned to CSS after 90- calendar days. When payments are returned to CSS, payments are applied, per OAC 340:25-5-350.4. When the payments were distributed to other case balances or returned to the NCP, the payments are not redistributed to the CP.
(4) Payments issued by direct deposit. After receiving a debit card, the CP may enroll in direct deposit by calling the toll-free customer service phone number located on the back of the debit card. There are no charges or fees for receiving child support payments by direct deposit. A CP must have a bank account held at a financial institution within the U.S. to receive direct deposit child support payments and normal banking charges may apply.
(f) Forged endorsement on warrants.
(1) When a CP reports that a warrant has been fraudulently cashed, CSS compares the payee's signature against the endorsement on the warrant and verifies that the signatures do not match.
(2) CSS sends the following completed and signed documentation by the payee to the Oklahoma State Treasurer's Office (OST):
(A) Form 10AD044E, Affidavit of Lost or Destroyed Warrant;
(B) Form 10AD045E, Affidavit of Forged Endorsement; and
(C) Form 10AD046E, Investigation Questionnaire.
(3) CSS issues a replacement warrant to the payee after CSS receives the return of funds from OST and the OST mandatory 60-calendarday holding period closes.
(g) Overcollected support amounts. CSS returns overcollected support amounts, per OAC 340:25-5-350.1.
(h) Payment errors. When payments were disbursed, CSS manages payment errors as described in this subsection.
(1) When a payor makes a payment error, CSS is not required to correct, redirect, or recover the distributed payment, unless it was retained by DHS.
(2) When CSS errs, CSS recovers overpayments to parties or CPs in Title IV-D and non-Title IV-D cases, per OAC 340:25-5, Part 37.
(i) Suspicious payment activity. CSS restricts use of payment methods by imposing limits, hold times, or other measures when CSS believes that suspicious activity occurred or may occur on a payor's account.

Notes

Okla. Admin. Code § 340:25-5-350.3

Added at 17 Ok Reg 2426, eff 7-1-00 ; Amended at 19 Ok Reg 192, eff 10-30-01 (emergency) ; Amended at 19 Ok Reg 1746, eff 7-1-02 ; Amended at 20 Ok Reg 1240, eff 7-1-03 ; Amended at 21 Ok Reg 1344, eff 7-1-04 ; Amended at 22 Ok Reg 1221, eff 7-1-05 ; Amended at 23 Ok Reg 1842, eff 7-1-06 ; Amended at 24 Ok Reg 1301, eff 7-1-07 ; Amended at 25 Ok Reg 1307, eff 7-1-08 ; Amended at 26 Ok Reg 1245, eff 7-1-09 ; Amended at 29 Ok Reg 765, eff 7-1-12 ; Amended at 30 Ok Reg 651, eff 7-1-13

Amended by Oklahoma Register, Volume 32, Issue 24, September 1, 2015, eff. 9/15/2015 Amended by Oklahoma Register, Volume 35, Issue 24, September 4, 2018, eff. 9/17/2018 Amended by Oklahoma Register, Volume 36, Issue 24, September 3, 2019, eff. 9/16/2019

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