Incentives

PURPOSE: This rule defines how the Family Support Division will share available federal incentive funds with counties for allowable expenses not to exceed one hundred percent (100%) of counties’ reasonable and necessary costs. (1) Definitions. (A) “Division” means the Family Support Division. (B) “Director” means the director of the Family Support Division. (C) “Formula” means the amount otherwise payable to a state as federal incentives under Section 458A of the Social Security Act. (D) “Counties” means all counties and all cities not located within a county. (E) “Allowable expenses” means expenses that may be claimed pursuant to 13 CSR 40108.010. (F) “TANF” means temporary assistance for needy families. (G) “County incentives” means the total amount of money counties are entitled to receive from the federal incentives received by the state as set forth in Section 458A of the Social Security Act. County incentives are equal to six percent (6%) of their counties’ TANF collections plus six percent (6%) of their counties’ non-TANF collections (not to exceed the six percent (6%) of TANF collections). Level A and B counties will receive six percent (6%) of their counties’ TANF collections plus six percent (6%) of non-TANF collections (up to one hundred fifteen percent (115%) of their counties’ TANF collections). The incentives are subject to availability of federal funding and shall only be paid from federal incentive funds. (2) Payments to be Received by Counties. Incentive payments to counties shall not exceed one hundred percent (100%) of the counties’ allowable expenses which have not been reimbursed pursuant to 13 CSR 40108.010. If the funds received by the county do not equal one hundred percent (100%) of the counties’ non-reimbursed allowable expenses, the division may, at the sole discretion of the director, allocate additional funds up to one hundred percent (100%) of nonreimbursed allowable expenses, if federal funds are available after all other counties have received their county incentives. If the total federal funds received by the state, which have not been paid to counties, are not sufficient to cover counties’ cost that have not been reimbursed pursuant to 13 CSR 40108.010, or that have not been covered by incentives, the counties will share the incentives on a pro rata share based on the percent of the counties’ total IV-D collections. If at any time federal incentives received by the state are insufficient to pay county incentives, then the federal incentives shall be distributed to the counties pro rata based on collections in IV-D cases. If the total federal funds received by the state exceed the amount necessary to pay all counties allowable costs after reimbursement pursuant to 13 CSR 40108.010, and receipt of all incentives to which they are entitled, the state shall retain these incentives for use as appropriate. (3) The division will initially use a county’s first calendar year under a cooperative agreement with the Department of Social Services for child support services as the starting base year to determine the amount of allowable expenses for each county. The base year will include expenses of the counties that are normal and usual yearly expenses for the counties’ operations. The division will exclude from the base year any one- (1-) time expenses not related to normal and usual expenses. After the first base year is established, then each year thereafter the previously approved year’s expenses will be used as the base year. If a county does not utilize all of its base year allotment for expenses, the next year’s base year expense amount may be decreased by the amount not utilized by the county in the previous year. The counties may request additional funding over the base amount from the director in writing. These requests must be received by the director on or before the first day of July. Additional requests may be submitted as needed throughout the year. Requests may be made for increases to the base year or for a one- (1-) time expense. The director may approve the request, deny the request, or approve for reimbursement pursuant to 13 CSR 40-108.010. The director has sole discretion to approve, deny, or modify any requests for funds under this regulation. The director may not approve any requests for funds if funding is unavailable. Availability of funds will be determined by the director. (4) Incentives received by counties must be reinvested into the IV-D program. (5) Performance Audits. Counties must pass performance audits conducted by the division pursuant to 13 CSR 40-108.010 or submit corrective action plans approved by the director to receive full allotment. Counties that fail to successfully comply with approved corrective action plans shall be subject to reductions of their allotment. These reductions will be at four percent (4%) of the previous base year’s expenses for the first failure, eight percent (8%) for the second consecutive failure, and sixteen percent (16%) for the third consecutive failure and subsequent failures; these reductions will begin upon failure to achieve corrective action plans. AUTHORITY: sections 454.400 and 660.017, RSMo 2016.* This rule originally filed as 13 CSR 30-9.010. Original rule filed Feb. 3, 2000, effective Sept. 30, 2000. Moved to 13 CSR 40-108.030 and amended: Filed Aug. 8, 2018, effective March 30, 2019. *Original authority: 454.400, RSMo 1982, amended 1985, 1986, 1990, 1993, 1995, 1997, 2014 and 660.017, RSMo 1993, amended 1995.