Jay Rockefeller: “Amendment No. 591 would create a deficit neutral reserve fund and would allow for legislative action by the Finance…”

“Amendment No. 591 would create a deficit neutral reserve fund and would allow for legislative action by the Finance Committee to improve the child support enforcement system as long as the costs were offset. The child support program has collected more than $23 billion for 17 million children participating in the program. The Congressional Research Service found that this program is one of the most important safety net programs reducing poverty rates for working families. Unfortunately the Deficit Reduction Act, DRA, made deep cuts in this enforcement funding. A preliminary estimate by the Congressional Budget Office indicates that $11 billion in child support payments will go uncollected over the next 10 years, even if States backfill half of the lost Federal funds. Child support payments allowed more than 300,000 families to close their Temporary Assistance to Needy Families cases in 2004. Families go on welfare less often and leave sooner when they receive reliable support payments. In addition, Federal costs for Medicaid, food stamps, and other means-tested programs decrease when both parents support their children. The child support program collected $4.58 in private dollars for every $1 spent by Federal, State, and county governments. The Office of Management and Budget rated the child support program as one of the most effective government programs. As States implement the cuts in the DRA, fewer children will receive reliable support from their parents.”