1. (a) For the purpose of determining whether a parent has failed to make voluntary payments under 15 AAC 125.650(a)(3)(C), voluntary payments include

   1. (1) payments by cash, check, money order, or other negotiable instrument submitted directly to the agency by or on behalf of the parent;
   2. (2) payments by a parent's employer through income withholding; and
   3. (3) payments through the garnishment of unemployment benefits.

2. (b) The agency will consider the following factors when determining whether a parent has actively avoided paying support under 15 AAC 125.650(a)(3)(C):

   1. (1) the parent has changed jobs shortly after a withholding order was served on the parent's employer;
   2. (2) the parent has frequently changed residence or mailing addresses without notifying the agency of the change;
   3. (3) the parent has transferred assets to a family member or friend for less than the fair market value of those assets;
   4. (4) the parent has worked for cash or other forms of unreported income without making support payments;
   5. (5) the parent has purchased high-priced consumer items, such as jewelry, computer or electronic equipment, snow machines, boats, airplanes, all-terrain vehicles, and recreational vehicles, unless those items are essential to the parent's business or production of income;
   6. (6) the parent's lifestyle exceeds the parent's reported income;
   7. (7) the parent is employed by businesses owned by the parent's friends or relatives and for which no or only minimal income is reported;
   8. (8) the parent is not actively seeking employment or pursuing other sources of income that could be used to pay child support;
   9. (9) the parent has not applied for benefits that could be used to pay support, including permanent fund dividends under AS 43.23, unemployment insurance, disability benefits, or other state or federal benefits for which the parent might be eligible;
   10. (10) the parent has intentionally concealed assets or income.

3. (c) For the purpose of determining eligibility under 15 AAC 125.650(a)(3)(C), a parent does not currently have the ability to pay support as ordered if the parent can show that

   1. (1) the support order includes

      1. (A) pre-order arrears;
      2. (B) arrears that accrued under a default order;
      3. (C) arrears that accrued after the parent failed through excusable neglect to timely request a modification of the support order when a material change of circumstances occurred justifying a reduction in the support obligation; or

   2. (2) the parent's earning ability or ability to pay has been substantially reduced after the issuance of the support order as a result of

      1. (A) a significant illness or disability that prevents the parent from working at any reasonable employment;
      2. (B) exceptional medical expenses that are not reimbursed by insurance, Medicaid, or another government program, or through private litigation;
      3. (C) an accident or other disaster that significantly affects the parent or an immediate family member of the parent; or
      4. (D) the parent living a subsistence lifestyle without any local opportunity for employment.

(Eff. 4/1/2005, Register 173)

Authority: AS 25.27.020