(1) The state IV-D agency has the authority to impose penalties for failure to comply with the terms of Financial Institution Data Match. Failure of a financial institution to cooperate may take place at two stages in the Financial Institution Data Match Process:
- (a) A financial institution may refuse to sign an agreement with the state IV-D agency to perform the actual data match against their accounts; or
- (b) A financial institution may refuse to release the funds.
- (2) In the event a financial institution refuses to enter into an agreement with the state IV-D agency to perform the automated data match, a motion may be filed with the court to compel the financial institution doing business in the state to comply to the law.
- (3) The financial institutions are apprised in the Notice of Levy document of the penalty for failing to honor a levy of the noncustodial parent’s account(s). Failure or refusal to surrender the funds shall result in liability to the state IV-D agency in a sum equal to such levy and to a penalty equal to twenty-five percent (25%) of such amount.
Author: Janice Grubbs
Statutory Authority: Code of Ala. 1975, §§30-3-191, 30-3-192, and 30-3-198, P.L. 104-193.
History: Emergency rule effective February 25, 2000. New Rule: Filed May 5, 2000; effective June 9, 2000.