Incentives and Performance Measures –

Where is the ZIP Line?

Daisie Blue

Our Journey starts here

Angela Ingram-Jones

Ralph LeggettTammy

Pearson

Federal Child Support Performance-Based

Incentives and Penalties Angela Ingram-Jones

Lead Program Management AnalystOffice of Child Support Enforcement

Background—Child Support Performance Incentive Act (CSPIA)

– Established under regulatory authority to reward States for performance (CSPIA, 1998)

– Incentive payments are linked to performance in five areas:

• Establishment of Paternities• Establishment of Support Orders• Collection of Current Support• Collection of Arrears (weighted at 75%)• Cost Effectiveness (weighted at 75%)

COLLECTION BASE FORMULA2 times (Current Assistance + Former Assistance + Medicaid

Assistance) + Never Assistance Collections + Fees Retained by Other States

Background—Child Support Performance Incentive Act (CSPIA)

– States are paid from a capped incentive pool. The pool has increased from $422 million in FY 2000 to $504 in FY 2010

– Penalties are associated with failure to meet or improve three of the measures:• PEP• Establishment of Support Orders• Collection of Current Support

CSPIA Accomplishments

• Improved overall record of performance• Improved data reliability• Increased collections• Altered the way we do business—ability to tie

individual work to an outcome• Increased program reputation

Performance Trends

Incentive System Performance Over Time

IV-D PEP

Note: Preliminary 2011 Data—subject to change

Current Support Collections

Note: Preliminary 2011 Data—subject to change

Cases with Support Orders

Note: Preliminary 2011 Data—subject to change

Collections on Arrears

Note: Preliminary 2011 Data—subject to change

Cost Effectiveness Trends

Note: Preliminary 2011 Data—subject to change

Best Practices for Performance Improvement

– Involve staff at all levels– Caseload Management / Case Stratification (using

data to select the right tools for the right case at the right time)

– Review and modification and setting appropriate orders

– Early intervention to prevent arrears

CONTACT INFORMATION

Angela Ingram-JonesLead Program Management AnalystOffice of Child Support Enforcement

Angela.ingramjones@acf.hhs.gov202-401-5735

State Child Support Performance-Based

IncentivesRalph Leggett

Administrative OfficerNC Child Support Services

Components of Federal ReportingComponents of Federal Reporting

Types of Data 34A 396A OCSE 157

IVD Collections (Estimated and Actual) Quarterly

Expenditures (Estimated and Actual) Quarterly

% Paternity Establishment Annually

% Cases Under Order Annually

% Current Collections Annually

% Cases Paying Arrears Annually

Types of Data XPTR Data Warehouse

IVD Collections XPTR Reports

Expenditures Calculation of State and County Expenditure Rpts for FFY

% Paternity Establishment OCSE 157 FFY

% Cases Under Order OCSE 157 FFY

% Current Collections OCSE 157 FFY

% Cases Paying Arrears OCSE 157 FFY

Sources for ReportingSources for Reporting

OCSE-157 Lines Reviewed• Line 1: Cases Open • Line 2: Cases Open Under Order • Line 5: Children Born Out of Wedlock• Line 6: Children BOW- Paternity Est. • Line 24: Current Support Due• Line 25: Current Support Distributed• Line 28: Cases with Arrears Due• Line 29: Cases with Arrears Payment

HOLD ON! HOLD ON! Somethin’ ain’t workin’?Somethin’ ain’t workin’?

And how does this affect us?And how does this affect us?

Settlement

Awards

Audit

Federal Fiscal Year Oct-Sept

Estimatedand Actual

Incentive CycleIncentive Cycle

Performance

Calculation of IncentivesCalculation of Incentives

MeasurePerformance

LevelApplicable

Percent Weight Collection Base

Paternity Establishment 93% 100% 1.00 $50,000,000

Order Establishment 74% 88% 1.00 $44,000,000

Current Collections 59% 69% 1.00 $34,500,000

Arrearage Collections 60% 70% 0.75 $26,250,000

Cost-Effectiveness $4.40 80% 0.75 $30,000,000

State A’s Maximum Incentive Base Amount

$184,750,000

Example State A

If the Paternity Establishment or Support Order Performance Level Is:

At Least:

But LessThan:

The Applicable

Percentage Is:At

Least:

But LessThan:

The Applicable

Percentage Is:

80% 100% 64% 65% 74%

79% 80% 98% 63% 64% 73%

78% 79% 96% 62% 63% 72%

77% 78% 94% 61% 62% 71%

76% 77% 92% 60% 61% 70%

75% 76% 90% 59% 60% 69%

74% 75% 88% 58% 59% 68%

73% 74% 86% 57% 58% 67%

72% 73% 84% 56% 57% 66%

71% 72% 82% 55% 56% 65%

70% 71% 80% 54% 55% 64%

69% 70% 79% 53% 54% 63%

68% 69% 78% 52% 53% 62%

67% 68% 77% 51% 52% 61%

66% 67% 76% 50% 51% 60%

65% 66% 75% 0% 50% 0%

Settlement of IncentivesSettlement of IncentivesA type of reconciliation

State Share of Incentive Payment Pool Amount advanced Settlement

Over / Under Payment

A $267,199,216 $200,000,000 $67,199,216

B $121,487,059 $130,000,000 -$8,512,941

C $50,000,000 $50,000,000 $0

After the end of each fiscal year and completion of all data audits: OCSE calculates each State's annual incentive payment, using the actual collection and expenditure data and the performance data submitted by all States by October 30th (or revised by December 31st) A positive or negative grant will then be awarded to the State to reconcile an actual annual incentive payment that has been calculated to be greater or lesser, respectively.

% Paternity Established% Paternity EstablishedLine 5a OCSE 157

Children in IV‑D Cases Open at the End of the Prior Federal Fiscal Year Who Were Born

Out-of-Wedlock

Line 6 OCSE 157 Children BOW in IV‑D

Cases Open During or at the End of the Fiscal Year With

Paternity Established or Acknowledged

FFY 2010 Incentive Pool

FFY 2010 INCENTIVE PAYMENT POOL $504,000,000

ACTUAL NC INCENTIVE $11,190,270

NC POTENTIAL INCENTIVE $14,754,724

NC INCENTIVE LOST $3,564,453

What Does That Have to Do With

ME

$100

Number of children in your

caseload = 40012% error = 48

X $100.00 = $480.00

And that does not include

PENALTIES

What’s This Nest Egg Worth?

• More $$ to reinvest in Child Support Program• Bragging Rights for Sure

• Excellent Customer Service

Center of the Child Support Universe

CASEWORKERS

Types of Data XPTR Data Warehouse

IVD Collections XPTR Reports

Expenditures Calculation of State and County Expenditure Rpts for FFY

% Paternity Establishment OCSE 157 FFY

% Cases Under Order OCSE 157 FFY

% Current Collections OCSE 157 FFY

% Cases Paying Arrears OCSE 157 FFY

From where do theseFrom where do these

receive their data?receive their data?

IF YOU ARE GOING TO REPORT ITYOU MUST BE ABLE TO SUPPORT IT

Case file and Supporting Documentation

Case file and Supporting Documentation

ACTS

Incentive $$ Are Paid When• Awarded annually

• No Guarantees

• Data Reliability Audit (DRA) to validate

• Failing Lines reduce $$

• Consecutive failures = TANF penalty

• Payment Schedule Under Review

Ralph Leggett, Administrative Officer

NC Child Support ServicesRalph.Leggett@dhhs.nc.gov

919-855-4404

CONTACT INFORMATION

Local/County Child Support

Performance-Based Incentives Tammy Pearson

Project ManagerUnion County Child Support

Improving Incentives

PATERNITY ESTABLISHMENT COLLECTIONS/ARREARS Current Support, Arrears and Total Collections

Do you feel like you need help with these areas?

What can you do to make it to the end?

Tracking Your Performance Measures...

Do you know where you are going on the Zip-line?Where do you think you will end up?

1. Improving in performance measures = more INCENTIVE MONEY

2. Knowing your numbers shows you what your office is doing RIGHT and what you need to do BETTER

• PATERNITY ESTABLISHMENT

• ORDER ESTABLISHMENT

• CURRENT SUPPORT COLLECTIONS

• CASES PAYING ON ARREARS

1st Stop - PATERNITY

What can you do that will help ensure you make that 1st Stop?

Paternity EstablishmentThe percentage/ratio of children BOW with paternity established for the current year compared to children BOW for the previous year

REPORTS: THE KEY TO SUCCESS* BOW Indicator Report* CHILDREN In Case Load Report

TRACK YOUR RESULTS MONTHLY!

Your paper file should include documentation as to how paternity was established: divorce orders, Affidavits of Parentage, court orders, etc.

Every file should have the child/ren Birth Certificate!

2ND STOP– HOPE IT HOLDS UP FOR

ESTABLISHMENTMOVING THOSE CASES ALONG THE LINE.

The percentage of open cases with support orders established

HOW IS YOUR OFFICE SET UP FOR ESTABLISHMENT?

•WORK HIGH PRIORITY WORKLIST ITEMS TO INCREASE THE % OF CASES UNDER ORDER (CACM, CAPD, CASS, CHEM, CRAF, CTRN, ECS1, ECS2, ECS3, EEMP, EFTP, EIST, ELAP, EMPL, FLOW, FWDP, LEMP, LNHE, LPVR, MAIL, PANT, PLOD, RWR)

REPORTS: THE KEY TO SUCCESS⊡ CASE LOAD LISTING REPORT⊡ No Support Order Report

UNION COUNTY REVIEWS ALL CASES WITHOUT AN ORDER MONTHLY!

Don’t get

stuck on the line…you

need to keep

moving so you can get to the end!

Don’t Zip past your other stops– WE NEED TO “COLLECTION” OUR THOUGHTS ON CURRENT support AND

SEE WHAT PEOPLE DID IN THE PAST – “ARREARS”

Are you tired of all these stops? Are you ready to get some money?

How is your office structured for Enforcement/Intergovernmental?

Increasing Current Support, Arrears = Increasing total Collections!

Current Support CollectionsThe percentage of cases paying the full current support amount each month

Cases Paying on ArrearsThe percentage of cases with a payment made on arrears

REPORTS: THE KEY TO SUCCESS* Case load listing report* Cases Not Paying Full Support* Cases w/ No Payment on Arrears

Know how to harness yourself on that Zip-line – Be secure in knowing you will make it to the end of that line.

Don’t get stuck!FOCUS ON HOW YOUR OFFICE OPERATES AND HOW YOU THINK!

EARLY INTERVENTION PROGRAM•IDENTIFY BARRIERS•DETERMINE WHAT WE CAN DO TO HELP•DIRECT PARENTS TO AVAILABLE RESOURCES

JOB LINK CONNECTIONCOMMUNITY COLLEGE CONNECTIONSMART START

UTILIZE YOUR COUNTY’S RESOURCES

It takes everyone working together to get you to the end of that

Zip-line!

. . . because you can’t get to where you’re going without knowing where you are!

Tammy Pearson, Project Manager

Union County Child SupportYoung Williams PC

tpearson@ywcss.com704-289-4356 ext. 224

CONTACT INFORMATION