Directs that a certain annual service fee between the custodial and noncustodial parent be evenly distributed

1 Co-sponsor

• Jack M. Martins

BILL NUMBER:S816

Title of bill

An act to amend the social services law, in relation to evenly distributing a certain annual service fee between the custodial and noncustodial parent

Purpose

Directs that a certain annual service fee between the custodial and noncustodial parent be evenly distributed.

Summary of provisions

Paragraph (a) of subdivision 3 of section 111-g of the social services law, as added by section 1 of part Z of chapter 57 of the laws of 2008, is amended.

Justification

In 2005, the federal government enacted the Federal Deficit Reduction Act of 2005 where by a $25 fee was imposed on child support payments. The fee is collected after the custodial parent has received $500 in support payments for the year, the federal government keeps two-thirds of the fee and the state and local governments keep the rest. States were given a choice as to how to collect the fee; pay the amount of what each fee would generate in said state or choose which parent, custodial or noncustodial, to recoup the fee from. New York has chosen to collect the fee from the parent who receives the support payments.

Many single parents across the state rely on child support payments as a means to live. Especially in these difficult economic times, families are being forced to make hard financial decisions. It is the goal of this legislation not to place the entire financial obligation of this fee on the custodial parent, but rather divide the collection of the fee between the custodial and noncustodial parent.

Legislative history

2009-10: S.1389

Fiscal implications

To be determined.

Effective date

This act shall take effect on the ninetieth day after it shall have become a law; provided however, that effective immediately, the addition, amendment, and/or repeal of any rule or regulation necessary for the implementation of this act on its effective date are authorized and directed to be made and completed on or before such effective date.