DIRECTIVE	:	UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 29-96
TO	:	ALL STATE EMPLOYMENT SECURITY AGENCIES
FROM	:	MARY ANN WYRSCH Director Unemployment Insurance Service
SUBJECT	:	Department of Health and Human Services (DHHS), Office of Child Support Enforcement (OCSE), Federal Parent Locator Service (FPLS) Access to New Hire Data

1. Purpose. To encourage those State Employment Security Agencies which are collectors of new-hire information to participate in a matching program with the OCSE's FPLS.

2. References. None.

3. Background. Recently, the President directed the Secretary of Health and Human Services to implement a pilot program which will match new-hire data collected by participating States with FPLS data. The purpose of this initiative is to strengthen child support enforcement operations by enabling States to locate, and withhold wages from, child support obligors who have taken a job in another State. The President has also directed the Secretary of Labor to encourage those State Employment Security Agencies (SESAs) which collect new hire information to cooperate in this pilot program.

   We are aware that some States have implemented new-hire reporting programs for use in child support enforcement and other purposes and that in some States these new-hire reports are submitted to the SESAs. States participating in this effort would provide the new-hire information to the FPLS. The Child Support Enforcement representatives listed below will be contacting the SESAs regarding this pilot:

   Donna Bonar
   Director
   Division of Program Operations
   Office of Child Support Enforcement
   370 L'Enfant Promenade S.W.
   Washington, D.C. 20447
   (202) 401-9271

   or

   Karen Bartlett
   Program Specialist
   Division of Program Operations
   Office of Child Support Enforcement
   370 L'Enfant Promenade S.W.
   Washington, D.C. 20447
   (202) 401-4630

   Any SESA may contact these representatives if they have questions about the pilot project or the tracking and reporting of information. A Federal Register Notice (61FR 33751 dated June 28, 1996) announcing the pilot project by the OCSE is included with this directive as an Attachment.

4. Data Security. SESAs are reminded that any arrangement to provide information needs to include provisions for safeguarding and protecting the confidentiality of the information provided and limiting its use and redisclosure for the purposes authorized.

5. Reimbursement of Costs. SESAs are cautioned that Title III grant funds must not be used for any administrative costs not appropriately chargeable to the Title III grant. In arranging for participation in the pilot project, SESAs will include arrangements for the payment or reimbursement of the cost of activities associated with providing new-hire information to the DHHS. In determining whether an administrative cost is appropriately chargeable to the Title III grant, the cost principles of OMB Circular A-87, "Cost Principles for State and Local Governments," apply.

6. Action Required. The Department encourages SESAs which are the collectors of new-hire data to arrange with the FPLS to participate in its pilot program for matching new hire data.

7. Inquiries. Any questions about this directive should be addressed to the appropriate Regional Office.

Attachment

NOTE: Attachment not available to DMS