CA Welf & Inst Code Section 11475.2

(a)

If at any time the Director of Social Services considers any public agency, which is required by law, by delegation of the department, or by cooperative agreement, to perform functions relating to the state plan for securing child and spousal support and determining paternity, to be failing in a substantial manner to comply with any provision of the state plan, the director shall put that agency on written notice to that effect. The state plan concerning spousal support shall apply only to spousal support included in a child support order. In this chapter the term spousal support shall include support for a former spouse.

(b)

If the director determines that there is a failure on the part of that public agency to comply with the provisions of the state plan, or if the State Personnel Board certifies to the director that that public agency is not in conformity with applicable merit system standards under Part 2.5 (commencing with Section 19800) of Division 5 of Title 2 of the Government Code, and that sanctions are necessary to secure compliance, the director may invoke either or both of the following sanctions:

(1)

Withhold part or all of state and federal funds, including incentive funds, from that public agency until the public agency shall make a showing to the director of full compliance.

(2)

Notify the Attorney General that there has been a failure to comply with the state plan and the Attorney General shall take appropriate action to secure compliance.

(c)

Notwithstanding Sections 15200 and 15204.2, in the event of a federal statewide child support program audit, review, or other measure of program compliance or performance which results in the reduction of federal funding for the Title IV-A program, the state shall fund 100 percent of the federal reduction to ensure the continuation of funding for allowable aid payments and related administrative costs associated with the AFDC program.

(d)

In the event of a federal determination to reduce or modify federal funding for the Title IV-A program as a result of improper or inadequate county administration of the child and spousal support enforcement program, the department shall pass on to the counties any federal sanction levied on or after January 1, 1991, regardless of the date of the underlying federal audit, except for any sanctions resulting from the 1986 audit or federal followup. For the purposes of this section, the date of levy is the date the federal government actually reduces, withholds, or otherwise modifies the state’s funding.

(e)

The sanction shall be assessed as follows:

(1)

The state shall assume responsibility for 50 percent of the total federal sanction.

(2)

Each county shall be assessed an amount equal to the amount of increased county costs which would occur based on application of Sections 15200 and 15204.2.

(3)

For each county found to be out of compliance based on the reviews conducted pursuant to Section 15200.8, the county shall be assessed an amount equal to one-half the rate of the federal sanction multiplied by the county’s total federal Title IV-A program funding.

(4)

For each county found to be marginally in compliance based on the reviews conducted pursuant to Section 15200.8, the county shall be assessed an amount equal to one-quarter the rate of the federal sanction multiplied by the county’s total federal Title IV-A program funding. For the purposes of this section, a county is marginally in compliance if it attains at least 75 percent, but not more than 80 percent, compliance with case processing criteria.

(5)

In the event the amount of the federal sanction is less than the amount required to apply paragraphs (1), (2), (3), and (4), county liability under paragraph (4) shall be reduced accordingly. In the event county liability under paragraph (4) is eliminated and the amount of the federal sanction is less than the amount required to apply paragraphs (1), (2), and (3), county liability under paragraph (3) shall be reduced accordingly.

(6)

The review pursuant to Section 15200.8 which was conducted closest to the date the federal sanction was levied shall be used to determine which counties are out of compliance and marginally in compliance.

(f)

There shall be established a sanction credit which shall consist of any net increase in state revenue resulting from any increase of more than 934 percent in distributed collections on behalf of families receiving Aid to Families with Dependent Children for each of the previous three state fiscal years.

(1)

The balance of the sanction after application of subdivision (e) shall be reduced by the amount of the sanction credit.

(2)

In the event the sanction credit exceeds the balance of the sanction after application of paragraph (1), the amount exceeding the balance shall be used to reduce the liability of marginally compliant counties under paragraph (4) of subdivision (e). Any further balance shall be used to reduce the liability of out-of-compliance counties under paragraph (3) of subdivision (e).

(3)

In the event the sanction credit does not fully offset the balance of the sanction after application of paragraph (1), the state shall be responsible for 50 percent of the unmet balance, and the remaining 50 percent shall be distributed to all counties in proportion to their total Title IV-A program funding.

(g)

The sanction assessed a county pursuant to this section shall be levied as a general assessment against the county. Notwithstanding Section 15200.97, a county may use any funds paid to that county pursuant to Sections 15200.1, 15200.2, 15200.3, 15200.6, 15200.7, 15200.85, 15200.9, and 15200.95 over and above the county’s cost of administering the child support program to supplant any county funds reduced under this section.

(h)

In the event of any other audit or review which results in the reduction or modification of federal funding for the program under Part D (commencing with Section 652) of Subchapter IV of Title 42 of the United States Code, the sanction shall be assessed against those counties specifically cited in the federal findings in the amount cited in those findings.

(i)

The department shall establish a process whereby any county assessed a portion of any sanction may appeal the department’s decision.

(j)

Nothing in this section shall be construed as relieving the board of supervisors of the responsibility to provide funds necessary for the continued operation of the state plan as required by law.