GENERAL ASSEMBLY OF NORTH CAROLINA

1985 SESSION

 

 

CHAPTER 931

SENATE BILL 925

 

AN ACT TO AMEND THE APPLICATION FEE AND COST RECOVERY PROVISIONS RELATED TO THE IV-D CHILD SUPPORT PROGRAM.

 

The General Assembly of North Carolina enacts:

 

Section 1.  G.S. 110-130.1(a) is amended by deleting the language "a ten dollar ($10.00) application fee" and substituting "an appropriate nonrefundable application fee."  For applicants whose gross household income is equal to or less than two hundred percent (200%) of the then currently established poverty level applicable to the applicant's household size, the application fee shall be five dollars ($5.00).  For applicants whose gross household income exceeds such poverty level, the application fee shall be twenty-five dollars ($25.00).

For purposes of this section, 'household income' means the sum of the gross amount of periodically recurring income which accrues to the members of a collective group of individuals living in one residence consisting of a natural or adoptive parent who has custody of a dependent child or children whose other natural or adoptive parent is absent from the residence, the custodial parent's current spouse, and all other dependent children. 'Household size' means the sum of the persons specified as living in the residence as described above."

Sec. 2.  G.S. 110-130.1 is amended by rewriting subsection (b) and adding a new subsection (b1) to read:

"(b)      Except for the application fee, the State shall not recover the costs or fees of providing services to a non-AFDC client whose household income is equal to or less than two hundred percent (200%) of the federal poverty guidelines.

(b1)     The State shall recover the actual costs of providing services to a non-AFDC client whose gross household income exceeds two hundred percent (200%) of the then currently established federal poverty level applicable to the client's household size until all costs incurred on the client's behalf have been recovered. The rate of acrual of such costs shall be computed annually by the Department of Human Resources and disclosed at the time of application to the client as an hourly dollar amount for administrative services and an hourly dollar amount for attorney's services. Incurred costs may be recovered by any or all of the following means:

(1)       a ten percent (10%) deduction from any support received;

(2)       voluntary payments from either the responsible parent or client;

(3)       payments by the responsible parent which the court may order, only if such payments do not reduce the responsible parent's ability to pay current support and arrears.

The appropriate judicial official shall be informed of the available cost recovery methods at the time a support order is sought.

A client from whom costs can be recovered pursuant to this subsection shall be liable for prepayment of any necessary court filing fees and paternity blood testing fees.

In all cases where ongoing enforcement services are being provided to a client from whom costs can be recovered pursuant to this subsection, or in cases in which ongoing enforcement services are no longer being provided but for whom costs were incurred and can be recovered pursuant to this subsection, or in cases in which a public assistance debt which accrued pursuant to G.S. 110-135 remains unrecovered, support payments shall be transmitted to the Department of Human Resources for appropriate distribution. When services are terminated and all costs and any public assistance debts have been satisfied, the support payment shall be redirected to the client.

Any costs incurred pursuant to this section shall constitute a debt owed to the State by the client. Any costs ordered by the court under subdivision (3) above shall constitute a debt owed to the State by the responsible parent. Payment may be demanded from either or both of them."

Sec. 3.  Section 6 of Chapter 781 of the 1985 Session Laws is amended by deleting the language "and shall expire June 30,1987".

Sec. 4.  This act shall become effective September 1, 1986.

In the General Assembly read three times and ratified, this the 8th day of July, 1986.