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Office of Recovery Services

Annual Fee for Child Support Services

The United States Congress passed the Deficit Reduction Act of 2005 (DRA), Section 7310, Public Law 109-171, which requires ORS to charge a mandatory annual $25 fee on "never-assistance" cases where at least $500 is collected during the federal fiscal year effective October 1, 2006. Utah Code Annotated 62A-11-303.7 authorizes ORS to collect this fee as of July 1, 2007.

ORS charges the annual $25.00 fee on each case where the custodial parent has never received cash assistance (i.e., TANF or AFDC). The fee is paid by the custodial parent and is retained from child support collected on behalf of the custodial parent after $500.00 has been distributed within a one-year period. The one-year period is measured from October 1 through September 30 each year (federal fiscal year).

Since the annual period for payment of the fee is based on the federal fiscal year which begins in October of each year, any fees collected between July 1, 2007 and September 30, 2007 counted toward the 2007 federal fiscal year. On October 1, 2007, the beginning of the next federal fiscal year, ORS started to collect the required annual fee on eligible cases for federal fiscal year 2008. Each October 1 after that, ORS will start collecting the required annual fee on eligible cases for the following fiscal year.