WSR 05-07-059

PERMANENT RULES

DEPARTMENT OF

SOCIAL AND HEALTH SERVICES
(Economic Services Administration)

(Division of Child Support)

[ Filed March 11, 2005, 3:29 p.m. , effective April 11, 2005 ]


     

     Purpose: (1) The Division of Child Support (DCS) is adopting rules regarding the assessment and collection of interest on support arrearages on child support cases, in accordance with the requirements of the Uniform Interstate Family Support Act, while providing that DCS will continue its policy and practice of not assessing or collecting interest on support arrearages under Washington orders unless such interest is reduced to judgment; and

     (2) DCS seeks to clarify the procedures for the notice of support debt and notice of support owed.

     NUMERICAL LIST OF ALL SECTIONS: Amending WAC 388-14A-3304 The division of child support serves a notice of support debt when it is enforcing a ((foreign)) support order issued in Washington state, a foreign court order or a foreign administrative order for support, 388-14A-3310 The division of child support serves a notice of support owed to establish a fixed dollar amount under an existing child support order, 388-14A-3320 What happens at a hearing on a notice of support ((debt or notice of support)) owed? and 388-14A-7100 An order from another state may be registered in Washington for enforcement or modification; and new sections WAC 388-14A-3317 What is an annual review of a support order under RCW 26.23.110?, 388-14A-3321 What happens if the custodial parent requests a hearing on a notice of support debt and demand for payment?, 388-14A-7110 The division of child support may assess and collect interest on amounts owned under support orders entered or established in a jurisdiction other than Washington state, 388-14A-7115 Are there special rules for a hearing on a notice seeking to assess and collect interest on a support order?, 388-14A-7120 When does DCS update the interest assessed on a case?, and 388-14A-8600 Does the division of child support enforce interest on unpaid support arrears?

     Citation of Existing Rules Affected by this Order: Amending WAC 388-14A-3304, 388-14A-3310, 388-14A-3320, and 388-14A-7100.

     Statutory Authority for Adoption: List of Sections RE: Project 1 - Assessment of Interest on Child Support Arrears: WAC 388-14A-3304, 388-14A-7100, 388-14A-7110, 388-14A-7115, 388-14A-7120, and 388-14A-8600.

     Statutory Authority for Adoption for Rules in Project 1: RCW 26.21.016.

     Other Authority: Not applicable.

     List of Sections RE: Project 2 - Notice of Support Debt and Notice of Support Owed: WAC 388-14A-3304, 388-14A-3310, 388-14A-3317, 388-14A-3320, and 388-14A-3321.

     Statutory Authority for Adoption for Rules in Project 2: RCW 74.08.090, 26.23.035, 34.05.220(1), and 74.20A.310.

     Other Authority: RCW 26.23.110 and 74.20A.040.

      Adopted under notice filed as WSR 05-03-095 on January 18, 2005.

     Changes Other than Editing from Proposed to Adopted Version: 1. In WAC 388-14A-3317(1) the following text was added:

     (1) RCW 26.23.110 provides for an annual review of the support order which was previously the subject of a notice of support owed under that statute if the division of child support (DCS), the noncustodial parent (NCP), or the custodial parent (CP) requests a review.


     2. In WAC 388-14A-7115 (3) and (4), the following text was added:

     (3) A party challenging the certified calculation may challenge the calculation for one or more of the following reasons:

     (a) The amount of principal is incorrect because credit was not given for payments made;

     (b) The amount of principal is incorrect because credit was given for payments which were not actually made; or

     (c) The interest calculation was not properly done according to the law of the state issuing the order.

     (4) If the administrative law judge (ALJ) finds that the party challenging the interest calculation has shown that the amount of principal is incorrect, the ALJ:

     (a) Enters an order stating the correct amount of principal;

     (b) Orders the party which submitted ((IV-D agency or CPA which certified)) the original interest calculation to:

     (i) Recalculate or have recalculated the interest based on the new principal amount; and

     (ii) Submit the new certified calculation to the ALJ within a reasonable amount of time; and

     (c) After receiving the new certified calculation, enters an order determining the amount of debt, including interest, for the period claimed in the notice.

     The changes were made for added clarity.

     Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 6, Amended 4, Repealed 0.

     Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0;      Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 6, Amended 4, Repealed 0.

     Date Adopted: March 9, 2005.

Andy Fernando, Manager

Rules and Policies Assistance Unit

3448.6
AMENDATORY SECTION(Amending WSR 01-03-089, filed 1/17/01, effective 2/17/01)

WAC 388-14A-3304   The division of child support serves a notice of support debt when it is enforcing a support order issued in Washington state, a foreign court order or a foreign administrative order for support.   (1) The division of child support (DCS) may serve a notice of support debt on a noncustodial parent (NCP) under RCW 74.20A.040 to provide notice that DCS is enforcing a support order entered in Washington state, a foreign court order or a foreign administrative order for support. A "foreign" order is one entered in a jurisdiction other than a Washington state court or administrative forum.

     (2) DCS serves a notice of support debt like a summons in a civil action or by certified mail, return receipt requested.

     (3) In a notice of support debt, DCS includes the information required by RCW 74.20A.040, the amount of current and future support, accrued support debt, interest (if interest is being assessed under WAC 388-14A-7110), any health insurance coverage obligation, and any day care costs under the court or administrative order.

     (4) After service of a notice of support debt, the NCP must make all support payments to the Washington state support registry. DCS does not credit payments made to any other party after service of a notice of support debt except as provided in WAC 388-14A-3375.

     (5) A notice of support debt becomes final and subject to immediate wage withholding and enforcement without further notice under chapters 26.18, 26.23, and 74.20A RCW, subject to the terms of the order, unless, within twenty days of service of the notice in Washington, the NCP:

     (a) Files a request with DCS for a conference board under WAC 388-14A-6400. The effective date of a conference board request is the date DCS receives the request; ((or))

     (b) Obtains a stay from the superior court; or

     (c) Objects to either the validity of the foreign support order or the administrative enforcement of the foreign support order, in which case DCS proceeds with registration of the foreign support order under WAC 388-14A-7100.

     (6) A notice of support debt served in another state becomes final according to WAC 388-14A-7200.

     (7) Enforcement of the following are not stayed by a request for a conference board or hearing under this section or WAC 388-14A-6400:

     (a) Current and future support stated in the order; and

     (b) Any portion of the support debt that the NCP and custodial parent (CP) fail to claim is not owed.

     (8) Following service of the notice of support debt on the NCP, DCS mails to the last known address of the CP and/or the payee under the order:

     (a) A copy of the notice of support debt; and

     (b) A notice to payee under WAC 388-14A-3315 regarding the payee's rights to contest the notice of support debt. The CP who is not the payee under the order has the same rights to contest the notice of support debt.

     (9) If the NCP requests a conference board under subsection (5)(a) of this section, DCS mails a copy of the notice of conference board to the CP informing the CP of the CP's right to:

     (a) Participate in the conference board; or

     (b) Request a hearing under WAC ((388-14A-3320)) 388-14A-3321 within twenty days of the date of a notice of conference board that was mailed to a Washington address. If the notice of conference board was mailed to an out-of-state address, the CP may request a hearing within sixty days of the date of the notice of conference board. The effective date of a hearing request is the date DCS receives the request.

     (10) If the CP requests a hearing under subsection (9) of this section, DCS must:

     (a) Stay enforcement of the notice of support debt except as required under subsection (6) of this section; and

     (b) Notify the NCP of the hearing.

     (11) If a CP requests a late hearing under subsection (8) of this section, the CP must show good cause for filing the late request.

     (12) The NCP is limited to a conference board to contest the notice and may not request a hearing on a notice of support debt. However, if the CP requests a hearing, the NCP may participate in the hearing.

     (13) A notice of support debt must fully and fairly inform the NCP of the rights and responsibilities in this section.

     (14) A notice of support debt that does not include interest does not relieve the NCP of any interest that may have accrued or may accrue under the support order covered by the notice.

     (15) A notice of support debt that does include interest deals only the amount of debt, including interest, that is due and owing for the indicated time periods. Such a notice does not relieve the NCP of any interest that may have accrued or may accrue for any other time periods.

[Statutory Authority: RCW 74.08.090, 26.23.035, 34.05.220(1), 74.20A.310. 01-03-089, § 388-14A-3304, filed 1/17/01, effective 2/17/01. Formerly WAC 388-14-435.]


AMENDATORY SECTION(Amending WSR 01-03-089, filed 1/17/01, effective 2/17/01)

WAC 388-14A-3310   The division of child support serves a notice of support owed to establish a fixed dollar amount under an existing child support order.   (1) The division of child support (DCS) may serve a notice of support owed on a noncustodial parent (NCP) under RCW 26.23.110 to establish a fixed dollar amount of monthly support and accrued support debt:

     (a) If a support obligation under a court order is not a fixed dollar amount; or

     (b) To implement an adjustment or escalation provision of the court order.

     (2) The notice of support owed may include((s)) day care costs and medical support if the court order provides for such costs.

     (3) DCS serves a notice of support owed on an NCP like a summons in a civil action or by certified mail, return receipt requested.

     (4) Following service on the NCP, DCS mails a notice to payee under WAC 388-14A-3315.

     (5) In a notice of support owed, DCS includes the information required by RCW 26.23.110, and:

     (a) The factors stated in the order to calculate monthly support;

     (b) Any other information not contained in the order that was used to calculate monthly support and the support debt; and

     (c) Notice of the right to request ((a)) an annual review of the order ((once yearly)) or a review on the date, if any, given in the order for an annual review.

     (6) The NCP must make all support payments after service of a notice of support owed to the Washington state support registry. DCS does not credit payments made to any other party after service of a notice of support owed except as provided in WAC 388-14A-3375.

     (7) A notice of support owed becomes final and subject to immediate ((wage)) income withholding and enforcement without further notice under chapters 26.18, 26.23, and 74.20A RCW unless the NCP, within twenty days of service of the notice in Washington:

     (a) Contacts DCS, and signs an agreed settlement;

     (i) Files a request with DCS for a hearing under ((subsection (9) of)) this section; or

     (ii) Obtains a stay from the superior court.

     (b) A notice of support owed served in another state becomes final according to WAC 388-14A-7200.

     (8) DCS may enforce at any time:

     (a) A fixed or minimum dollar amount for monthly support stated in the court order or by prior administrative order entered under this section;

     (b) Any part of a support debt that has been reduced to a fixed dollar amount by a court or administrative order; and

     (c) Any part of a support debt that neither party claims is incorrect.

     (9) For the rules on a hearing on a notice of support owed ((is only for interpreting the court order for support and any modifying orders and not for changing or deferring the support provisions of the order. The hearing is only to determine:

     (a) The amount of monthly support as a fixed dollar amount;

     (b) Any accrued arrears through the date of hearing; and

     (c) If a condition precedent in the court order to begin or modify the support obligation was met.

     (10) If the NCP requested the hearing, he or she has the burden of proving any defenses to liability that apply under WAC 388-14A-3370 or that the amounts stated in the notice of support owed are incorrect.

     (11))), see WAC 388-14A-3320.

     (10) A notice of support owed or ((an initial or review decision)) a final administrative order issued under ((subsection (9) of this section)) WAC 388-14A-3320 must inform the parties of the right to request ((a)) an annual review of the order ((once yearly or on the date, if any, given in the order for an annual review)).

     (((12))) (11) If an NCP or custodial parent (CP) requests a late hearing, the ((NCP)) party must show good cause for filing the late hearing request if it is filed more than one year after service of the notice of support owed.

     (((13))) (12) A notice of support owed fully and fairly informs the NCP of the rights and responsibilities in this section.

     (((14))) (13) For the purposes of this section, WAC 388-14A-3315 and 388-14A-3320, the term "payee" includes "physical custodian" or "custodial parent."

[Statutory Authority: RCW 74.08.090, 26.23.035, 34.05.220(1), 74.20A.310. 01-03-089, § 388-14A-3310, filed 1/17/01, effective 2/17/01. Formerly WAC 388-14-415.]


NEW SECTION
WAC 388-14A-3317   What is an annual review of a support order under RCW 26.23.110?   (1) RCW 26.23.110 provides for an annual review of the support order which was previously the subject of a notice of support owed under that statute if the division of child support (DCS), the noncustodial parent (NCP), or the custodial parent (CP) requests a review.

     (2) For purposes of chapter 388-14A WAC, an "annual review of a support order" is defined as:

     (a) The collection by DCS of necessary information from CP and NCP;

     (b) The service of a notice of support owed; and

     (c) The determination of arrears and current support amount with an effective date which is at least twelve months after the date the last notice of support owed, or the last administrative order or decision based on a notice of support owed, became a final administrative order.

     (3) A notice of support owed may be prepared and served sooner than twelve months after the date the last notice of support owed, or the last administrative order or decision based on a notice of support owed, became a final administrative order, but the amounts determined under the notice of support owed may not be effective sooner than twelve months after that date.

     (4) Either CP or NCP may request an annual review of the support order, even though the statute mentions only the NCP.

     (5) DCS may request an annual review of the support order but has no duty to do so.

     (6) For the purpose of this section, the terms "payee" and "CP" are interchangeable, and can mean either the payee under the order or the person with whom the child resides the majority of the time.

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AMENDATORY SECTION(Amending WSR 01-03-089, filed 1/17/01, effective 2/17/01)

WAC 388-14A-3320   What happens at a hearing on a notice of support ((debt or notice of support)) owed?   (1) A hearing on a notice of support ((debt or a notice of support)) owed is ((for the limited purpose of determining the support debt through the date of the hearing under the order)) only for interpreting the court order for support and any modifying orders and not for changing or deferring the support provisions of the order. The hearing is only to determine:

     (a) The amount of monthly support as a fixed dollar amount;

     (b) Any accrued arrears through the date of hearing; and

     (c) If a condition precedent in the court order to begin or adjust the support obligation was met.

     (2) Either the noncustodial parent (NCP) or custodial parent (CP) may request a hearing on a notice of support owed. The party who requested the hearing has the burden of proving any defenses to liability that apply under WAC 388-14A-3370 or that the amounts stated in the notice of support owed are incorrect.

     (3) The office of administrative hearings (OAH) sends a notice of hearing ((on a notice of support debt)) to the noncustodial parent (NCP), to the division of child support (DCS), and to the payee. The NCP and the payee each may participate in the hearing as an independent party.

     (((3))) (4) If only one party appears and wishes to proceed with the hearing, the administrative law judge (ALJ) holds a hearing and issues an ((initial decision)) order based on the evidence presented or continues the hearing. See WAC 388-14A-6110 and 388-14A-6115 to determine if the ALJ enters an initial order or a final order.

     (a) An ((initial decision)) order issued under this subsection includes an order of default against the nonappearing party and limits the appeal rights of the nonappearing party to the record made at the hearing.

     (b) If neither the NCP nor the payee appears or wishes to proceed with the hearing, the ALJ issues an order of default against both parties.

     (((4))) (5) If the payee requests a late hearing on a notice of support owed ((or a notice of support debt)), the payee must show good cause for filing the late hearing request.

[Statutory Authority: RCW 74.08.090. 01-03-089, § 388-14A-3320, filed 1/17/01, effective 2/17/01.]


NEW SECTION
WAC 388-14A-3321   What happens if the custodial parent requests a hearing on a notice of support debt and demand for payment?   (1) If the custodial parent (CP) requests a hearing on a notice of support debt and demand for payment (also called the "notice of support debt"), the hearing is for the limited purpose of determining the support debt under the order through the date of the hearing.

     (2) The office of administrative hearings (OAH) sends a notice of hearing to the NCP, to the division of child support (DCS), and to the payee.

     (a) The NCP and the payee each may participate in the hearing.

     (b) "Participating in" or "proceeding with" the hearing may include signing a consent order or agreed settlement under WAC 388-14A-3600.

     (3) If only one party appears and wishes to proceed with the hearing, the administrative law judge (ALJ) holds a hearing and issues an order based on the evidence presented or continues the hearing. See WAC 388-14A-6110 and 388-14A-6115 to determine if the ALJ enters an initial order or a final order.

     (a) An order issued under this subsection includes an order of default against the nonappearing party and limits the appeal rights of the nonappearing party to the record made at the hearing.

     (b) If neither the NCP nor the payee appears or wishes to proceed with the hearing, the ALJ issues an order of default against both parties.

     (4) If the payee requests a late hearing on a notice of support debt, the payee must show good cause for filing the late hearing request.

     (5) When DCS uses a notice of support debt to assess and collect interest on an out-of-state support order, see WAC 388-14A-7110.

     (6) For the purpose of this section, the terms "payee" and "CP" are interchangeable, and can mean either the payee under the order or the person with whom the child resides the majority of the time.

[]


AMENDATORY SECTION(Amending WSR 01-03-089, filed 1/17/01, effective 2/17/01)

WAC 388-14A-7100   An order from another state may be registered in Washington for enforcement or modification.   (1) A support enforcement agency, or a party to a child support order or an income-withholding order for support issued by a tribunal of another state, may register the order in this state for enforcement pursuant to chapter 26.21 RCW.

     (a) ((The)) At the option of the division of child support (DCS), the support order or income-withholding order may be registered with the superior court pursuant to RCW 26.21.490 or it may be registered with the administrative tribunal according to subsection (2) of this section((, at the option of the division of child support (DCS))). Either method of registration is valid.

     (b) A support order or income-withholding order issued in another state is registered when the order is filed with the registering tribunal of this state.

     (c) DCS may enforce a registered order issued in another state in the same manner and ((is)) subject to the same procedures as an order issued by a tribunal of this state.

     (d) DCS may assess and collect interest on amounts owed under support orders entered or established in a jurisdiction other than the state of Washington as provided in WAC 388-14A-7110.

     (2) DCS must give notice to the nonregistering party when it administratively registers a support order or income-withholding order issued in another state.

     (a) The notice must inform the nonregistering party:

     (i) That a registered order is enforceable as of the date of registration in the same manner as an order issued by a tribunal of this state;

     (ii) That if a party wants a hearing to contest the validity or enforcement of the registered order, the party must request a hearing within twenty days after ((the date of receipt by certified or registered mail or personal service of the notice given to a nonregistering party within the state and within)) service of the notice on the nonregistering party within Washington state. If the nonregistering party was served with the notice outside of Washington state, the party has sixty days after ((the date of receipt by certified or registered mail or personal)) service of the notice ((on a nonregistering party outside of the state)) to request a hearing to contest the validity or enforcement of the registered order;

     (iii) That failure to contest the validity or enforcement of the registered order in a timely manner will result in confirmation of the order and enforcement of the order and the alleged arrearages and precludes further contest of that order with respect to any matter that could have been asserted; and

     (iv) Of the amount of any alleged arrearages, including interest, if interest is being assessed under WAC 388-14A-7110.

     (b) The notice must be:

     (i) Served by certified or registered mail or by any means of personal service authorized by the laws of the state of Washington; and

     (ii) Accompanied by a copy of the registered order and any documents and relevant information accompanying the order submitted by the registering party.

     (c) The effective date of a request for hearing to contest the validity or enforcement of the registered order is the date DCS receives the request.

     (3) A hearing under this section is for the limited purpose of determining if the nonregistering party can prove one or more of the defenses listed in RCW 26.21.540(1).

     (a) If the contesting party presents evidence establishing a full or partial defense under RCW 26.21.540(1), the presiding officer may:

     (i) Stay enforcement of the registered order;

     (ii) Continue the proceeding to allow the parties to gather additional relevant evidence; or

     (iii) Issue other appropriate orders.

     (b) DCS may enforce an uncontested portion of the registered order by all remedies available under the law of this state.

     (c) If the contesting party does not establish a defense under RCW 26.21.540(1) to the validity or enforcement of the order, the presiding officer must issue an order confirming the registered order.

     (d) The custodial parent (CP) or payee of the order may participate as a party to any hearing under this section.

     (4) Except as provided below in subsections (5) and (6) of this section, confirmation of a registered order precludes further contest of the order with respect to any matter that could have been asserted at the time of registration. Confirmation may occur:

     (a) By operation of law upon failure to contest registration; or

     (b) By order of the administrative law judge (ALJ).

     (5) Confirmation of a registered order that does not include interest does not relieve the NCP of any interest that may have accrued or may accrue under the confirmed order.

     (a) If interest is later assessed, the NCP or CP may not dispute the confirmed amount of the support debt.

     (b) The NCP or CP may dispute the amount of interest due and owing on that confirmed amount by requesting a conference board under WAC 388-14A-6400.

     (6) Confirmation of a registered order that does include interest confirms only the amount of debt, including interest, that is due and owing for the indicated time periods. Such confirmation does not relieve the NCP of any interest that may have accrued or may accrue for any other time period.

     (7) A party or support enforcement agency seeking to modify, or to modify and enforce, a child support order issued in another state may register the order in this state according to RCW 26.21.560 through 26.21.580.

     (a) The order must be registered as provided in subsection (1)(a) if the order has not yet been registered.

     (b) A petition for modification may be filed at the same time as a request for registration, or later. The petition must specify the grounds for modification.

     (c) DCS may enforce a child support order of another state registered for purposes of modification, as if a tribunal of this state had issued the order, but the registered order may be modified only if the requirements of RCW 26.21.580 are met.

     (((6))) (8) Interpretation of the registered order is governed by RCW 26.21.510.

[Statutory Authority: RCW 74.08.090, 26.23.035, 34.05.220, 74.20A.310. 01-03-089, § 388-14A-7100, filed 1/17/01, effective 2/17/01. Formerly WAC 388-14-260 and 388-14-495.]


NEW SECTION
WAC 388-14A-7110   The division of child support may assess and collect interest on amounts owed under support orders entered or established in a jurisdiction other than Washington state.    (1) The division of child support (DCS) may accept an interstate request to assess and collect interest when:

     (a) The request is from:

     (i) Another state's IV-D agency;

     (ii) An Indian tribe;

     (iii) A foreign country which has entered into a reciprocal agreement with the United States of America or with the state of Washington; or

     (iv) A custodial parent (CP) or noncustodial parent (NCP) who resides outside of Washington state who has filed a petition under the Uniform Interstate Family Support Act (UIFSA), chapter 26.21 RCW.

     (b) The party requesting that DCS assess and collect interest provides a calculation of the interest claimed which has been certified by a IV-D agency or a certified public accountant (CPA); and

     (c) The support order was entered or established in a jurisdiction other than Washington state.

     (2) When a foreign support order has been submitted for enforcement under UIFSA, DCS may, at its option, either:

     (a) Use the notice of support debt and demand for payment to assess and collect interest on an out-of-state support order. See WAC 388-14A-3304 for the rules regarding the notice of support debt and demand for payment; or

     (b) Use a notice of support debt and registration to assess and collect interest on the foreign order. See WAC 388-14A-7100 for the rules regarding registration of a foreign order.

     (3) When an out of state order has been submitted for registration for enforcement and modification under UIFSA, DCS uses a notice of support debt and registration to assess and collect interest on the out of state order. See WAC 388-14A-7100 for the rules regarding registration of a foreign support order.

     (4) Any hearing held on a notice of support debt and registration which includes a claim for interest is conducted in accordance with WAC 388-14A-7100(3) and WAC 388-14A-7115.

     (a) WAC 388-14A-7100(4) describes the procedures for confirmation of the registered order.

     (b) WAC 388-14A-7100(4) describes the effect of confirmation of the registered order.

     (5) At any time after the notice of support debt and registration becomes a final administrative order, DCS may update the amount of interest as provided in WAC 388-14A-7120.

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NEW SECTION
WAC 388-14A-7115   Are there special rules for a hearing on a notice seeking to assess and collect interest on a support order?   (1) When the division of child support serves a notice of support debt and demand for payment or a notice of support debt and registration under WAC 388-14A-7110(2) and the notice becomes the subject of a hearing, this section applies to a determination of interest.

     (2) The calculation of the amount of interest which has been certified by a IV-D agency or a CPA must be accepted as evidence at a hearing on a notice of support debt and demand for payment or on a notice of support debt and registration.

     (a) Such certified calculation is prima facie evidence of the amount of interest owed by the NCP.

     (b) Any party challenging the certified calculation has the burden of proving that the amount of interest claimed is incorrect.

     (3) A party challenging the certified calculation may challenge the calculation for one or more of the following reasons:

     (a) The amount of principal is incorrect because credit was not given for payments made;

     (b) The amount of principal is incorrect because credit was given for payments which were not actually made; or

     (c) The interest calculation was not properly done according to the law of the state issuing the order.

     (4) If the administrative law judge (ALJ) finds that the party challenging the interest calculation has shown that the amount of principal is incorrect, the ALJ:

     (a) Enters an order stating the correct amount of principal;

     (b) Orders the party which submitted the original interest calculation to:

     (i) Recalculate or have recalculated the interest based on the new principal amount; and

     (ii) Submit the new certified calculation to the ALJ within a reasonable amount of time; and

     (c) After receiving the new certified calculation, enters an order determining the amount of debt, including interest, for the period claimed in the notice.

     (5) If the ALJ orders a new certified calculation, DCS may enforce any amounts of principal the ALJ found to be due and owing under the support order while the administrative order under subsection (4)(c) of this section is pending.

     (6) A claim that the interest calculation was not properly done must be supported by an interest calculation which is certified by a IV-D agency or a certified public accountant (CPA). The ALJ then determines which calculation is best supported by the evidence.

     (7) The division of child support does not perform certified interest calculations for use in a hearing under this section.

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NEW SECTION
WAC 388-14A-7117   Are there special rules for a conference board on a notice seeking to assess and collect interest on a support order?   (1) When the division of child support serves a notice of support debt and demand for payment or a notice of support debt and registration under WAC 388-14A-7110(2) and the notice becomes the subject of a conference board under WAC 388-14A-6400, this section applies to a determination of interest.

     (2) The calculation of the amount of interest which has been certified by a IV-D agency or a CPA must be accepted as evidence at a conference board on a notice of support debt and demand for payment or on a notice of support debt and registration.

     (a) Such certified calculation is prima facie evidence of the amount of interest owed by the NCP.

     (b) Any party challenging the certified calculation has the burden of proving that the amount of interest claimed is incorrect.

     (3) A party challenging the certified calculation may challenge the calculation for one or more of the following reasons:

     (a) The amount of principal is incorrect because credit was not given for payment made;

     (b) The amount of principal is incorrect because credit was given for payments which were not actually made; or

     (c) The interest calculation was not properly done.

     (4) If the conference board determines that the amount of principal is incorrect, the conference board may request that the IV-D agency or a certified public accountant that performed the initial calculation provide a new calculation based on the new principal amount.

     (5) DCS may collect undisputed amounts of principal while the final conference board decision is pending.

     (6) A claim that the interest calculation was not properly done must be supported by an interest calculation which is certified by a IV-D agency or a certified public accountant. The conference board then determines which calculation is best supported by the evidence.

     (7) The division of child support does not perform certified interest calculations for use in a conference board under this section.

     (8) The conference board issues a decision, based on the evidence, determining the debt amount, including interest, for the period claimed in the notice.

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NEW SECTION
WAC 388-14A-7120   When does DCS update the interest assessed on a case?   (1) When the division of child support (DCS) accepts an interstate case for assessment of interest under WAC 388-14A-7110(1), DCS may, at any time after service of a notice of support debt and registration or a notice of support debt and demand for payment, update the amount of interest assessed on the case.

     (2) To notify the parties to the order that DCS has updated the amount of interest, DCS uses a form called the Updated Interest Calculation Letter.

     (a) The updated interest calculation letter is based upon a calculation of interest which has been certified by a IV-D agency or certified public accountant (CPA).

     (b) DCS sends the updated interest calculation letter to the noncustodial parent (NCP), by first class mail to the NCP's last known address.

     (3) The updated interest calculation letter advises the NCP of:

     (a) The new, updated amount of interest owed for the arrears period; and

     (b) The updated total amount of support owed, including interest.

     (4) An NCP who objects to an updated interest calculation letter may request a conference board under WAC 388-14A-6400 to dispute the terms of the letter.

     (5) The calculation of the amount of interest which has been certified by a IV-D agency or CPA must be accepted as evidence at a conference board on an updated interest calculation letter.

     (a) The certified calculation is prima facie evidence of the amount of interest owed by the NCP.

     (b) Any party challenging the certified calculation has the burden of proving that the amount of interest claimed is incorrect.

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NEW SECTION
WAC 388-14A-8600   Does the division of child support enforce interest on unpaid support arrears?   (1) Under RCW 26.23.030(2), the division of child support (DCS) has the authority to assess and collect interest on unpaid child support that has accrued under any support order entered into the Washington state support registry (WSSR).

     (2) DCS does not assess or collect interest on administrative or court orders for support entered in the state of Washington unless the amount of interest has been reduced to a judgment.

     (3) DCS may assess and collect interest on support orders entered outside of Washington state as provided in WAC 388-14A-7110.

     (4) DCS may update the interest assessed on a case as provided in WAC 388-14A-7120.

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