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Fees for Title IV-D Services

Quick Facts

Ineligibility must be notified within 5 business days.
Application fee for services is $25, with some exceptions.
A yearly fee of $25 is taken from child support collected after the first $500.
Federal tax interception fee is $25 per interception.

When a recipient of IV-D services is no longer receiving assistance under Minnesota statute title IV-A, IV-E foster care, medical assistance, or MinnesotaCare programs, the public authority responsible for child support enforcement must notify the recipient, within five working days of the notification of ineligibility, that IV-D services will be continued unless the public authority is notified to the contrary by the recipient. The notice must include the implications of continuing to receive IV-D services, including the available services and fees, cost recovery fees, and distribution policies relating to fees.

An application fee of $25 must be paid by the person who applies for child support and maintenance collection services, except persons who are receiving public assistance and the diversionary work program, persons who transfer from public assistance to nonpublic assistance status, and minor parents and parents enrolled in a public secondary school, area learning center, or alternative learning program approved by the commissioner of education.

In the case of an individual who has never received assistance under a state program funded under Title IV-A of the Social Security Act and for whom the public authority has collected at least $500 of support, the public authority must impose an annual federal collections fee of $25 for each case in which services are furnished. This fee must be retained by the public authority from support collected on behalf of the individual, but not from the first $500 collected.

When the public authority provides full IV-D services to an obligee who has applied for those services, upon written notice to the obligee, the public authority charges a cost recovery fee of 1 percent of the amount collected. This fee is deducted from the amount of the child support and maintenance collected and not assigned before disbursement to the obligee. This fee does not apply to an obligee who:

is currently receiving assistance under the state's title IV-A, IV-E foster care, medical assistance, or MinnesotaCare programs; or
has received assistance under the state's title IV-A or IV-E foster care programs, until the person has not received this assistance for 24 consecutive months.

When the public authority provides full IV-D services to an obligor, the public authority must charge a cost recovery fee of 1 percent of the monthly court-ordered child support and maintenance obligation. The fee may be collected through income withholding, as well as by any other enforcement remedy available to the public authority responsible for child support enforcement.

Fees assessed by state and federal tax agencies for collection of overdue support owed to or on behalf of a person not receiving public assistance are imposed on the person for whom these services are provided. The public authority assesses a fee of $25 to the person not receiving public assistance for each successful federal tax interception. The fee is withheld before the release of the funds received from each interception and deposited in the general fund.

Federal collections and cost recovery fees are considered child support program income according to Code of Federal Regulations and are deposited in the special revenue fund account. The commissioner of human services elects to recover costs based on either actual or standardized costs.

The commissioner of human services is authorized to establish a special revenue fund account to receive the federal collections fees and cost recovery fees. A portion of the nonfederal share of these fees may be retained for expenditures necessary to administer the fees and must be transferred to the child support system special revenue account. The remaining nonfederal share of the federal collections fees and cost recovery fees are retained by the commissioner and dedicated to the child support general fund county performance-based grant account.