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Sunday, April 28
The Indiana Daily Student

State begins child support pilot program

New electronic system will cut costs, distribute funds faster

An electronic child support system, designed to cut costs and distribute support funds more quickly, will be implemented by the Indiana Family and Social Services Administration this summer. The pilot program will be tested in Marion, Allen and Vanderburgh counties beginning in May and will be evaluated by professors from the School of Public Affairs and Environmental Sciences.\n"Our goal is to eliminate paper checks and minimize costs," said Mary Beth Davis, public information officer for the FSSA. "Families will receive their child support quicker and won't have to deal with check cash in fees."\nThe system will offer two methods of support distribution, either by direct deposit into an account or through the Hoosier Works debit card, the latter of which will be issued by Citicorp and will function just like a regular debit card. \nA federal grant of $327,500 will fund the pilot and the system will be carried out in three phases.\n"In May we'll begin offering direct deposit and by the summer we hope to have the Hoosier Card technology," Davis said.\nShe added they hope to have the system statewide by 2005.\nAn evaluation team of SPEA professors will be assessing the system. \n"It's really our goal to measure the cost savings, satisfaction and how many people this brings into the banking system," SPEA professor Maureen Pirog said.\nPirog, along with associate professor Craig Johnson, will be heading the evaluation team. She described the system as a national demonstration project.\n"This is designed to help smooth the way for other counties and states," she said. "The plan is to work out the kinks and disseminate it statewide."\nPirog added that the system would make things more convenient for people who are victims of domestic violence. \nThe FSSA distributed a total $420 million in child support in 2002, with $43.7 million received from employers electronically. \nPirog said there will be some setup costs associated with the project, which will not be covered by the grant.\n"The savings from the project will cover these costs," she said. \nThe state also expects savings since a lot of manual processing will be replaced by the automated system. \n"At the county level it's going to eliminate a ton of work," Davis said.\nIndiana already provides electronic fund transfers of child support payments from employers by means of an online system.\n"This cutting edge electronic system is a huge step forward for Indiana's families," FSSA Secretary John Hamilton said in a press release. "Making sure that child support reaches families quickly is another step in providing a better future for our children"

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