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HomeMy WebLinkAbout2023-08-07 J01D_01 Income Offset Program, RevisedAGENDA ITEM: CITY OF WAUKEE, IOWA CITY COUNCIL MEETING COMMUNICATION MEETING DATE: August 7, 2023 AGENDA ITEM:Consideration of approval of a resolution approving revised Memorandum of Understanding between the Iowa Department of Revenue and the City of Waukee Regarding State Setoff Program FORMAT:Consent Agenda SYNOPSIS INCLUDING PRO & CON: The State of Iowa Setoff Program is a method used to collect money on past-due debts owed to the State, Cities, Counties, etc. Previously, the City participated in the Income Offset Program with the Iowa Department of Administrative Services. With the combining of State Departments, a new Memorandum of Understanding needs to be filed with the Iowa Department of Revenue, who now administers the program. FISCAL IMPACT INCLUDING COST/BENEFIT ANALYSIS: The cost of the program is $7.00 per setoff for each distribution. COMMISSION/BOARD/COMMITTEE COMMENT: STAFF REVIEW AND COMMENT: RECOMMENDATION: Approve the Resolution ATTACHMENTS: I. Proposed Resolution II. Memorandum of Understanding III. Setoff Participant Guide PREPARED BY:Rachel Bruns REVIEWED BY: J1D1 THE CITY OF WAUKEE, IOWA RESOLUTION APPROVING A MEMORANDUM OF UNDERSTANDING BETWEEN THE IOWA DEPARTMENT OF REVENUE AND THE CITY OF WAUKEE, IOWA, FOR PARTICIPATION IN THE STATE SETOFF PROGRAM IN THE NAME AND BY THE AUTHORITY OF THE CITY OF WAUKEE, IOWA WHEREAS, the City of Waukee, Dallas County, State of Iowa, is a duly organized Municipal Organization; AND, WHEREAS, Iowa Code Title X, Financial Resources, Chapter 421, Department of Revenue, provides for the offsetting of payments made by the State to satisfy liabilities to the State (the Program), with the Department of Revenue directed to establish and maintain a procedure to collect any claim owed to a person by a state agency and apply money owed to the person against the debt owed by the person to the State of Iowa; AND, WHEREAS, the Program has been expanded to allow the Department of Revenue to enter into agreements with political subdivisions of the state for the collection of monies owed to those subdivisions; AND, WHEREAS, Waukee City staff have researched the Program and recommend participation; NOW THEREFORE BE IT RESOLVED by the City Council of the City of Waukee, Iowa on this 7th day of August 2023 that it approves a Memorandum of Understanding between the Iowa Department of Revenue and the City of Waukee, Iowa, for participation in the State Setoff Program. ____________________________ Courtney Clarke, Mayor Attest: ___________________________________ Rebecca D. Schuett, City Clerk RESULTS OF VOTE: AYE NAY ABSENT ABSTAIN Anna Bergman Pierce R. Charles Bottenberg Chris Crone Larry R. Lyon Ben Sinclair Page 1 of 11 MEMORANDUM OF UNDERSTANDING BETWEEN THE IOWA DEPARTMENT OF REVENUE AND ______________________ REGARDING STATE SETOFF PROGRAM ARTICLE I PURPOSE 1.1 The purpose of this memorandum of understanding (“Agreement”) is to define the terms and conditions of [_______________] (“Participating Agency”)’s participation in the State Setoff Program (“Program”), as administered by the Iowa Department of Revenue (“IDR”). Participating Agency and IDR may individually be referred to as a “Party”, or collectively as “Parties”. ARTICLE II DEFINITIONS & AUTHORITY 2.1 Definitions. 2.1.1 “Credit Vendor” means an agency or entity who submits funds to the Program. 2.1.2 “Data” means any information in the possession of or owned by the Participating Agency or IDR that is shared with the other Party under this Agreement. 2.1.2.1 Data may include personal information as defined by Iowa Code section 715C.1(11). 2.1.2.2 IDR shall at no time share federal tax information pursuant to this Agreement. IDR shall only share state tax information as allowed by law. 2.1.3 “Debt” means any amount, as measured in money, owed to a Public Agency. 2.1.4 “Debt Portal” means the online system through which the Participating Agency will administer its Debt. 2.1.5 “Debt Type” means a category of Debt that has become due, owing, and payable under statute, administrative rule, or other lawful means. 2.1.6 “Obligor” means as defined in Iowa Code 421.65(1)(a). 2.1.7 “Obligor Directory Information” means the Obligor’s Name, Address, Phone Number, and Email Address. 2.1.8 “Obligor Information” means any information regarding the Obligor required by IDR, including “Obligor Directory Information”. 2.1.9 “Participating Agency” means a Public Agency or the Iowa Judicial Branch (“IJB”), that has entered into an agreement with IDR to participate in the State Setoff Program. 2.1.10 “Public Agency” means as defined in Iowa Code 421.65(1)(b). 2.1.11 “Public Payment” means as defined in Iowa Code section 421.65(1)(c). 2.1.12 “Qualifying Debt” means as defined in Iowa Code section 421.65(1)(d). 2.1.13 “Setoff Fee”, as outlined in Section 3.4.4, means the amount paid by the Participating Agency per setoff to IDR for participation in the State Setoff Program. 2.1.14 “State Setoff Program” or the “Program” means the program established by Iowa Code section 421.65 to set off against each Public Payment any Qualifying Debt the Obligor owes to a Participating Agency. 2.1.15 All monetary amounts referenced in this Agreement and throughout the State Setoff Program shall be in United States Dollars. 2.1.16 Unless otherwise specified, references to IDR and Participating Agency shall include their officers, employees, agents, and contractors. FAST Enterprises, LLC (Fast) is a contractor of IDR. Participating Agency authorizes Fast access to Participating Agency Data subject to this Agreement. 2.1.17 All statutes and administrative rules shall be construed as may be enacted or amended at any time during the term of this Agreement. In any circumstance where this Agreement conflicts with statute or administrative rule, all Parties shall abide by the statute or administrative rule. 2.2 Legal Authority. This Agreement is entered into pursuant to the authority in Iowa Code section 421.65 and Iowa Administrative Code chapter 701-26. City of Waukee City of Waukee Page 2 of 11 ARTICLE III PROGRAM PARAMETERS 3.1 Program Admission. 3.1.1 The Public Agency or IJB wishing to participate in the Program must complete and submit the application as designated by IDR. All required fields must be reported. 3.1.2 This Agreement meets the requirement for a memorandum of understanding as outlined in Iowa Administrative Code rule 701-26.3. 3.1.3 Contact Persons. 3.1.3.1 The Participating Agency must provide a contact person for operational questions and backup contact person for when the contact person is unavailable. Operational questions constitute questions originating from IDR regarding the processing of setoffs. 3.1.3.2 The Participating Agency must provide a contact person for Obligor questions and backup contact person for when the contact person is unavailable. Obligor questions constitute questions originating from the Obligor regarding the Obligor’s Debt or the amount setoff. 3.1.3.3 The Participating Agency must provide the name, title, phone number, and email address of each contact person. 3.1.3.4 The Participating Agency must update and confirm all contact persons and all contact information no less than annually and upon request. 3.1.3.5 All contact persons must ensure that calls and correspondence are handled in a timely manner. 3.1.3.6 Contact person contact information may be updated without a formal amendment to this Agreement by providing written notice to IDR in the manner designated by IDR. 3.2 Prior to Submission of Debt. 3.2.1 Participating Agency shall keep a record of all communication with the Obligor until the Debt has been paid in full and the setoff appeal period has expired, or has been removed from the Program. 3.2.2 Participating Agency shall provide Obligor with an opportunity to protest or challenge the Debt, in compliance with applicable law and due process. 3.2.3 Steps outlined in Sections 3.2.1 and 3.2.2 above must be completed for each Debt prior to that Debt’s submission to the Program. 3.2.4 Participating Agency’s correspondence to Obligor shall include the Participating Agency’s obligor contact information. The correspondence shall not include IDR or the Program’s operational contact information. 3.2.5 Prior to submitting a Debt Type to the Program, a Participating Agency shall provide the Department with a description of the Debt Type(s) and other details regarding each Debt Type as required by the Department. This description(s) shall be submitted with the MOU and any other time a Participating Agency wants to submit a new Debt Type. 3.3 Submission of Debt. 3.3.1 All Data required to submit, certify, and maintain debt must be submitted electronically via a process designated by IDR. Submissions must comply with the file layout in Appendix B. IDR may update Appendix B without a formal amendment to this Agreement by providing written notice to the Participating Agency. 3.3.2 Participating Agency shall remain the system of record for Debt submitted to the Program. 3.3.3 Character of Debt. 3.3.3.1 The Debt must be Qualifying Debt. Page 3 of 11 3.3.3.2 The Debt must be legally collectible and within any applicable statute of limitations. 3.3.3.3 The debts must meet the minimum amount requirement, as set by Iowa Administrative Code rule 701-26.1. 3.3.3.4 Obligor Information must include: Name (if individual, First and Last Name), tax identification number, and any other information requested by IDR. 3.3.4 Participating Agency must certify all Debt in accordance with Iowa Code section 421.65(2)(a)-(b). 3.3.5 All Debt is subject to a recertification process. The recertification process may include, but is not limited to, requiring the Participating Agency to certify that all information is correct and that the Debt is still Qualified Debt. The recertification process will be performed regularly, at the agreement of the Parties, but no less than annually. 3.3.6 Participating Agency shall notify the department of any change in the status of the public agency’s individual debts submitted to the setoffs program. This notification shall be made no later than five business days of any change in the status of a submitted debt in the manner prescribed by the Department. 3.3.7 IDR may reject any Debt that, in IDR’s sole judgment, is not feasible, not collectible, or not compliant with applicable law. 3.3.7.1 IDR may reject any Debt if the tax identification number, or other information does not match IDR’s record for the Obligor. This will only apply to Obligors of whom IDR has a record. 3.4 Setoff Procedure. 3.4.1 Debt will be setoff upon a TIN match. 3.4.2 The Debt Portal is intended to be available to the Participating Agency 24 hours a day, 7 days a week, with exceptions for Program maintenance. Participating Agency will be notified of any scheduled maintenance that will interfere with this availability. Unexpected interruptions in availability of the Debt Portal will be remedied by IDR as quickly as possible within IDR availability and priorities. 3.4.3 Order of Priority for Debt Setoff. Debt shall be setoff in the order of priority defined in Iowa Code section 421.65(4) and Iowa Administrative Code rule 701-26.6. The priority determination will be made when the challenge letter is sent to the obligor. A public payment will not be applied to a qualifying debt that is not included on the challenge notice. 3.4.3.1 The Participating Agency shall identify in Appendix C Debts submitted to the Program that will be deposited into the state general fund. 3.4.4 Setoff Fee. 3.4.4.1 The Participating Agency will be charged a Setoff Fee, as set forth in Iowa Administrative Code rule 701-26.10, each time a Public Payment is setoff and applied to the Participating Agency’s Qualifying Debt. The Setoff Fee shall be retained as defined in section 3.6.7 herein. 3.4.4.2 The Participating Agency shall not collect the Setoff Fee from the same setoff for which the Setoff Fee has been charged. 3.4.4.3 IDR may change the Setoff Fee amount in IDR’s sole discretion, upon 60 days’ notice to the Participating Agency. Change to the Setoff Fee amount shall not require a formal amendment to this Agreement, nor consent of the Participating Agency. 3.4.5 Upon Setoff. 3.4.5.1 IDR will mail a letter to the Obligor at the best address available to IDR at the time of mailing. The letter will inform the Obligor that the Public Payment owed to the Obligor was setoff due to Debt owed to the Participating Agency. 3.4.5.2 IDR will mail a letter to a known co-payee on any setoff of a Public Payment. The letter will include information regarding the opportunity for the co-payee to request a Page 4 of 11 division of the Public Payment. This letter and the letter contemplated in section 3.4.5.1. may be combined. 3.4.5.3 The Obligor will have 15 days from the date of the letter to challenge the setoff. Ground for such challenges will be limited to: (1) mistake of fact, including a mistake in the identity of the obligor or a mistake in the amount owed, and (2) Debt is not a Qualifying Debt. Additionally, IDR will accept and administer requests to divide a jointly or commonly owned right to payment under Iowa Code section 421.65(2)(f). 3.5 Following Setoff 3.5.1 Amounts collected via a successful match will be forwarded periodically to the Participating Agency, reduced by the appropriate Setoff Fee. 3.5.2 Amounts collected will be posted to the balance due within the Program Debt Portal. If the amount of the debt is reduced as outlined in Iowa Administrative Code rule 701-26.2, the debt will be purged from the Program. 3.5.3 Amounts collected via a successful match will be forwarded to the Participating Agency via I/3 Internal Exchange Transaction (IET) or direct deposit. Transfer via check is not available. 3.5.4 If the application of a Public Payment to a Qualifying Debt results in an overpayment to the Participating Agency, and the Obligor does not challenge the setoff, the Participating Agency shall refund the overpayment to the Obligor and/or co-payee. 3.5.5 If, after the setoff is complete, it is determined that the person(s) whose Public Payment was setoff is not the Obligor, the Public Agency shall refund the setoff amount to the person(s) whose Public Payment was setoff. 3.6 Appeals, Challenges, and Requests to Divide Jointly or Commonly Owned Rights to Payment. 3.6.1 Challenges will be limited to: (1) mistake of fact, and (2) debt is not a qualifying debt. Additionally, IDR will accept and administer requests to divide a jointly or commonly owned right to payment. The Participating Agency is responsible for all appeals regarding the underlying debt. 3.6.2 If an appeal or challenge is filed, IDR shall notify the Participating Agency that a challenge has been received. The Participating Agency shall promptly provide IDR with all information requested by IDR or other information as deemed relevant by the Participating Agency for purposes of the challenge. The Participating Agency shall make every effort to provide such information to IDR prior to the hearing date. Information received by IDR more than 10 days after the challenge received date will not be considered by IDR. 3.6.3 Upon receipt of a challenge, IDR shall set a time to occur within ten days of receipt of the challenge to review the relevant facts of the challenge with the Obligor. An alternative time may be set at the request of the Obligor. Following the review, IDR shall determine whether the challenge is successful and communicate the result to the Participating Agency and the Obligor. 3.6.4 If a setoff is appealed or challenged by the Obligor, the Participating Agency shall hold the setoff amount until a final determination is made. 3.6.5 The Participating Agency must adhere to IDR’s determination on a challenge or request for division of a jointly or commonly owned right to payment, and has no appeal opportunity. 3.6.6 Should the Obligor challenge IDR's determination or the Program in court (e.g. district court, etc.) Participating Agency shall be responsible for any defense, including costs. IDR may provide assistance upon request and at IDR's sole discretion. 3.6.7 IDR will retain the Setoff Fee, even if the challenge or request to divide a jointly or commonly owned right to payment is successful. 3.7 Refunds 3.7.1 In the event an appeal or divide is successful, or a request for divide is accepted, the Participating Agency is responsible for refunding the amount due to the Obligor or co-payee. 3.7.2 IDR may request the amount to be refunded to be returned to IDR, rather than refunded to the Obligor or co-payee, if another debt exists for the Obligor or co-payee in the Program. In Page 5 of 11 such a case. the Participating Agency shall return the amount to IDR via I/3 Internal Exchange Transaction (IET) or Automated Clearing House (ACH) Debit. 3.7.3 If not notified to return the amount to IDR, the Participating Agency must issue the refund to the Obligor or co-payee within 30 days of notification of successful appeal or challenge, or the acceptance of a request for a divide by IDR. 3.7.4 The Participating Agency shall provide evidence that the refund was issued to IDR upon request. ARTICLE IV CONFIDENTIALITY AND OWNERSHIP OF DATA 4.1 To the extent allowed by applicable law, the Participating Agency shall be considered the custodian of records related to the Debt and any Data submitted in relation to the Debt. Participating Agency shall respond to any open records request filed under chapter 22, regarding Participating Agency’s Debt in the Program. 4.2 Obligor Information submitted to the Program is confidential and exempt from release under Iowa Code chapter 22. Iowa Code section 421.65(2)(a). Obligor Information is not confidential taxpayer information or return information under Iowa Code section 422.20 or 422.72. 4.3 IDR may use Obligor Information to support the Program generally. Obligor Information received from one participating agency or credit vendor may be used to assist the Program as it applies to any other participating agency or credit vendor. 4.4 Obligor Directory Information may be used to update IDR’s tax information system, and will be used to benefit tax administration, non-tax debt collection, identification services, and the Program. 4.5 Notwithstanding Section 4.4 above, Obligor Information shall only be available to persons with a business reason to access the information. ARTICLE V DURATION AND TERMINATION 5.1 Duration. 5.1.1 This Agreement shall be in force upon this document being fully signed (the "Effective Date"). 5.1.2 The initial term of this Agreement shall be three (3) years from the Effective Date, unless terminated earlier. By mutual written agreement, the parties may annually extend the Agreement for up to three (3) additional one-year terms. 5.1.3 This Agreement memorializes all elements of this Agreement and supersedes any previous Agreement or negotiations related to this Agreement, whether oral or in writing. Amendments to the provisions of this Agreement may be made at any time only in writing and by the agreement and signature of all parties hereto. 5.2 Termination. 5.2.1 Termination for Cause by IDR. IDR may terminate this Agreement upon written notice of the Participating Agency’s breach of any material term, condition, or provision of this Agreement, if such breach is not cured within the time period specified in IDR’s notice of breach or any subsequent notice or correspondence delivered by IDR to Participating Agency, provided that cure is feasible. In addition, IDR may terminate this Agreement effective immediately without penalty or legal liability and without advance notice or opportunity to cure for any of the following reasons: 5.2.1.1 Participating Agency, directly or indirectly, furnished any statement, representation, warranty, or certification in connection with this Agreement that is false, deceptive, or materially incorrect or incomplete; 5.2.1.2 Participating Agency’s or Participating Agency Contractor’s officers, directors, employees, agents, subsidiaries, affiliates, contractors, or subcontractors has Page 6 of 11 committed or engaged in fraud, misappropriation, embezzlement, malfeasance, misfeasance, or bad faith; 5.2.1.3 Dissolution of Participating Agency or any parent or affiliate of Participating Agency owning a controlling interest in Participating Agency; 5.2.1.4 IDR determines or believes Participating Agency has engaged in conduct that has or may expose IDR to material liability; 5.2.1.5 Participating Agency submits Debt that is not legally collectable, is unresponsive to IDR requests, or otherwise not compliant with this Agreement. The right to terminate this Agreement pursuant to this section shall be in addition to and not exclusive of other remedies available to IDR and, notwithstanding any termination, IDR shall be entitled to exercise any other rights and pursue any remedies available under this Agreement, in law, at equity, or otherwise. Participating Agency shall notify IDR in writing if any of the foregoing events occur that would authorize IDR to immediately terminate this Agreement. 5.2.2 Termination for Convenience. 5.2.2.1 Following sixty days written notice, the Participating Agency may terminate this Agreement, in whole or in part, for convenience without the payment of any penalty or incurring any further obligation or liability to Participating Agency. Termination for convenience may be for any reason or no reason at all. 5.2.2.2 Following written notice, IDR may terminate this Agreement, in whole or in part, for convenience without the payment of any penalty or incurring any further obligation or liability to IDR. IDR may further remove all or any portion of Participating Agency’s debt from the State Setoff Program for any or no reason upon written notice. Termination for convenience may be for any reason or no reason at all. 5.2.3 Termination Due to Lack of Funds or Change in Law. Notwithstanding anything in this Agreement to the contrary, either party shall, upon written notice, have the right to terminate this Agreement, in whole or in part, without penalty or liability and without any advance notice as a result of any of the following: 5.2.3.1 The legislature, governor, or other applicable governing body fail, in the sole opinion of the terminating party, to appropriate funds sufficient to allow the terminating party to either meet its obligations under this Agreement or to operate as required and to fulfill its obligations under this Agreement; 5.2.3.2 If funds are de-appropriated, reduced, not allocated, or receipt of funds is delayed, or if any funds or revenues needed by either party to make any payment hereunder are insufficient or unavailable for any other reason as determined by the terminating party in its sole discretion; 5.2.3.3 If the terminating party’s authorization to conduct its business or engage in activities or operations related to the subject matter of this Agreement is withdrawn or materially altered or modified; 5.2.3.4 If the terminating party’s duties, programs, or responsibilities are modified or materially altered; or 5.2.3.5 If there is a decision of any court, administrative law judge, or arbitration panel or any law, rule, regulation, or order is enacted, promulgated, or issued that materially or adversely affects the terminating party’s ability to fulfill any of its obligations under this Agreement. ARTICLE IV ADMINISTRATION 6.1 This Agreement does not create a separate legal or administrative entity. Any real, personal, or intellectual property used in this cooperative undertaking shall be acquired, held, and disposed of by the Party which originally obtains, purchases, or develops the property. Page 7 of 11 6.2 During the Agreement period, the agreement managers shall be contacted on all interpretations and problems relating to the Agreement and shall follow the issues through to their resolution. The agreement managers shall also monitor performance under the Agreement. The Participating Agency agreement manager is identified in Appendix A. The IDR agreement manager is Susan Khamtanh, Procurement Officer, 515-281-5694, susan.khamtanh@iowa.gov. Agreement manager contact information may be updated without a formal amendment to this Agreement by providing written notice to the other Party. 6.3 Each Party represents and warrants that it has full authority to enter into this Agreement and that it has not granted and will not grant any right or interest granted to the other party under this Agreement to any person or entity. 6.4 Additional Provisions. The Parties agree that if an Appendix, Attachment, Addendum, Rider, or Exhibit is attached hereto by the Parties, and referred to herein, then the same shall be deemed incorporated herein by reference. 6.5 Further Assurances and Corrective Instruments. The Parties agree that they will, from time to time, execute, acknowledge, and deliver, or cause to be executed, acknowledged, and delivered, such supplements hereto and such further instruments as may reasonably be required for carrying out the expressed intention of this Agreement. Participating Agency understands that agreement to amendments may be required to continue participation in the Program. Failure to agree to amendments proposed by IDR may result in the termination of this Agreement and the removal of the Participating Agency’s debt from the Program. 6.6 No Actions or Damages. The Parties agree that neither party may file claims or seek damages under this Agreement. 6.7 Compliance with Iowa Code Chapter 8F. Participating Agency and IDR shall comply with Iowa Code Chapter 8F with respect to any sub-agreements or contracts it enters into pursuant to this Agreement. Any compliance documentation, including but not limited to certificates, received from contractors by Participating Agency or IDR shall be made available upon request of the other Party. 6.8 Immunity from Liability. Notwithstanding any provision of this Agreement, nothing in this Agreement shall be construed as waiving any immunity from suit or liability in state or federal court or any other tribunal, including but not limited to sovereign immunity, Eleventh Amendment immunity, or any other immunity from suits or damages, possessed by the Parties or any officer, employee, director, attorney, auditor, contractor, or associate of the Parties. 6.9 Supersedes Former Contracts or Agreements. This Agreement supersedes all prior Contracts or Agreements between Participating Agency and IDR for the services provided in connection with this Agreement. Iowa Department of Revenue [_______________](“Participating Agency”) Signature Date Signature Date Name: Name: Title: Title: City of Waukee Courtney Clarke Mayor Page 8 of 11 Appendix A Participating is required to provide contact information for the following contacts. The Primary/Secondary for a particular type (e.g. operational, obligor) of contact may not be the same individual. However, the same individual may hold more than one contact position. Operational Contact - Primary This is the primary contact for questions from IDR regarding the processing or operations of the Participating Agency’s participation in the Setoff Program. Name: Title Phone Number: E-mail Address: Operational Contact - Secondary This is the backup contact for questions from IDR regarding the processing or operations of the Participating Agency’s participation in the Setoff Program. Name: Title Phone Number: E-mail Address: Obligor Contact - Primary This is the primary contact for questions from Obligors. Name: Title Phone Number: E-mail Address: Obligor Contact - Secondary This is the backup contact for questions from Obligors. Name: Title Phone Number: E-mail Address: Agreement-Related Notices Should be Sent To: This is the contact who should receive legal notifications. Name: Title Phone Number: E-mail Address: Address: City: State: Zip Code: Linda Burkhart Director of Finance 515-978-7919 lburkhart@waukee.org Kari Schaufenbuel Payroll Specialist 515-978-7917 kschaufenbuel@waukee.org Tracy Lovetinsky Senior Accountant 515-978-7909 tlovetinsky@waukee.org Kathy Ostring Utility Customer Service Supervisor 515-978-7915 kostring@waukee.org Linda Burkhart Director of Finance 515-978-7919 lburkhart@waukee.org 230 W Hickman Rd Waukee Iowa 50263 Page 9 of 11 Appendix B Setoff Placement File The placement file must be named Setoffs######.txt, where ###### is the Agency Number and Unit Code. If your agency has multiple Unit Codes, use one of them in the file name. Do not change the Unit Code used without notifying IDR prior to placement file submission. The placement file must contain a list of all the Participating Agency’s debt to be placed in the Program. Each record in the file represents one Debt. The placement file is a full replacement, and will overwrite existing debt placements for the Participating Agency under their unit code(s). The placement file has a fixed width layout Field Name Characters Description Participating Agency Number (Required) 3 Unique identifier for the Participating Agency who maintains the debt. This is generally a three-digit number, such as “645” or “123”, as assigned by IDR. Leading zeros are significant. Participating Agency Unit Code (Required) 3 Unique identifier for a group within the Participating Agency, as assigned by IDR. This is generally a three-digit number such as “001” or “999”. Leading zeros are significant. Obligor Identification Number Type (Required) 1 Enter the code for the type of ID listed in Obligor ID. 1 = Social Security Number (SSN) 2 = Federal Employer Identification Number (FEIN) 3 = Individual Tax Identification Number (ITIN) Obligor Identification Number (required) 9 Identification number unique to the Obligor (i.e. SSN, ITIN, or FEIN). Leading zeros are significant Debt Identification Number (required) 30 Agency’s unique identifier for the debt. (i.e. case #, invoice #, citation #, etc.). This should not change. Note: If debt has previously been placed for a combination of Agency Number, Agency Unit Code, Obligor ID, and Debt ID, then the corresponding placement will be updated based on the file. Obligor Last Name / Entity Name (Required) 50 Last Name of the Obligor (if an Obligor Identification Number Type is SSN or ITIN), or Name of Obligor (if Obligor Identification Number Type is FEIN) Obligor First Name 50 First name of the Obligor (if an Obligor Identification Number Type is SSN or ITIN). Leave blank if Obligor Identification Number Type is FEIN Obligor Middle Name 50 Middle name of Obligor (if an Obligor Identification Number Type is SSN or ITIN) Page 10 of 11 Leave blank if Obligor Identification Number Type is FEIN Qualified Date (Required) 8 Date the Debt first qualified for the Program Format: MMDDYYY Debt Amount (Required) 12 The amount owed to the Participating Agency. Expressed in pennies. Pre-padded with 0s. Example: $123.45 should be listed as 000000012345. Must be $50 or more for all qualifying debts owed to one public agency by one obligor. Description of Debt (May be required) 500 Description of the Debt. May be displayed on correspondence to the Obligor pertaining to their setoff. Example: “Parking Ticket 00123-4” Page 11 of 11 Appendix C List of Debts submitted to the Program that will be deposited into the state general fund when paid: Debt Type Name Description ex. Individual income tax debt ex. Debt resulting from the tax on an individual’s income Unpaid utility bill Debt resulting from an outstanding balance on a municipal utility account Unpaid ambulance transport Debt resulting from an outstanding balance from an ambulance transportation Hoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Setoff Participant Guide Table of Contents Purpose 2 What is the Setoff Program? 2 Participating Agency Requirements 2 The Setoffs Process 4 File Processing 4 Completed Setoff Report 4 Distribution and Fees 4 Encrypted File Transfers 4 The Challenge Process & Divide Requests 4 Challenges Filed 4 Respond to Information Request 5 Challenge Timelines 5 Challenge Outcome Communication 5 Divide Requests 5 Using the Debt Administration Portal 5 Creating a logon (and logging in) 6 Access Roles 6 Reports 6 How to Resolve Mismatch Placements 6 Suggested Website Guidance 6 Contact Information 7 Appendices 7 Appendix A 7 Appendix B 7 Appendix C 7 1 Hoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Purpose This Guide is intended for agencies that participate in the State of Iowa Setoff Program (I.e., “Participating Agency”). It contains an overview of the program, participation requirements, file layouts, and instructions. All information outlined in this Guide refers to requirements as outlined in Iowa Code 421.65 and Iowa Administrative Code 701, Chapter 26. What is the Setoff Program? The State of Iowa Setoff Program is a method used to collect money on past-due debts owed to the State, Cities, Counties, etc. The Iowa Department of Revenue (IDR) has established procedures to match people and businesses who owe delinquent debts with funds that can be applied toward those debts. Sources of funds that can be applied to past-due debts via the Setoff Program include, but are not limited to: ● Iowa tax refunds ● Gambling and sports wagering winnings ● Iowa Lottery winnings ● Iowa Medicaid provider payments ● Payments from other State of Iowa agencies Participating Agency Requirements “Participating Agency” refers to a Public Agency or the Iowa Judicial Branch (“IJB”), that has entered into an agreement with the Iowa Department of Revenue to participate in the State Setoff Program. The initiating event for participation is submission of the application as designated by IDR. Following that application, all participating agencies are required to: 1. Have a signed MOU on file with the Iowa Department of Revenue 2. Place qualified debt in the program 3. Keep their balances up to date 4. Recertify their debt at least annually 5. Upload all documents needed for any challenge processes 1. Memorandum of Understanding (MOU) Prior to participating in the Setoff Program, the participating agency must have a signed MOU on file with IDR. The MOU defines the terms and conditions of the participating agency’s participation in the State Setoff Program. IDR will reject any debts submitted by a public agency prior to the execution date of the MOU in accordance with 701–26.3. The MOU outlines further requirements of the participating agency in regard to record maintenance, etc. 2 Hoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov 2. Debt Placement Qualifying debt can be placed into the program in two ways: 1. Log into the Debt Administration Portal a. Full Replace Debts (Bulk) All agency debt will be replaced with data from the new file or entry, even if debt was originally captured singularly i. Upload a fixed-width file ii. Import a spreadsheet b. Refer a Debt (Single) OR 2. Send a fixed-width file with all debts via an encrypted file transfer. Note: A fixed-width file submitted is a full replacement, and will override/update all existing debt placements and their debt in the system. Note: One division of an agency cannot submit debt via a file and another submit debt within the Debt Administration Portal unless they are registered with IDR separately. 3. Balance Management Participating Agency to IDR It is the responsibility of the participating agency to manage balances. This can be accomplished in three ways: 1. Log into the Debt Administration Portal and make a single update 2. Log into the Debt Administration Portal and upload a fixed-width file or import a spreadsheet of all debt placements 3. Send a file with all debts via an encrypted file transfer Note: When IDR applies a setoff payment to a debt, the balance is automatically updated within the Debt Administration Portal until a new file is submitted. IDR to Participating Agency To keep balances up to date in their system of record, participating agencies may extract a file of all setoffs that occurred using one of the following methods: 1. Log into the Debt Administration Portal and run a web report 2. Receive a payment file via an encrypted file transfer Note: IDR will not update the balance to reflect the accrual of interest. 4. Debt Recertification Debts must be recertified at least once annually. This can be accomplished in two ways: 1. Log into the Debt Administration Portal and upload a fixed-width file or import a spreadsheet of all debt placements 2. Send a file with all debts via an encrypted file transfer 5. Communicate with IDR when a Challenge Takes Place The Participating Agency shall promptly provide IDR with all information requested by IDR or other information deemed relevant by the Participating Agency for purposes of the challenge. 3 Hoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov The Setoffs Process For a visual depiction of the setoff and challenge processes, refer to Appendix A. File Processing All files are processed nightly, with changes reflected the next business day; however, IDR does not process on State or Federal holidays . Additionally, IDR may choose not to process files on days immediately surrounding Thanksgiving, Christmas, and the New Year. Completed Setoff Report The Completed Setoff Report is available daily within the Debt Administration Portal or the SFTP file transfer. Consider holding funds until the setoff is complete in the event some or all of the funds need to be refunded or returned to IDR. For the file layout, refer to Appendix B. Distribution and Fees IDR has established routine distributions for participating agencies, with associated fees. Currently: ● Weekly distribution of setoff amount less setoff fees ● Distributed via direct deposit or I/3 transfer ● Fee of $7.00 per distribution ● Participating agency must credit the obligor ’s account with the full setoff amount Encrypted File Transfers If the option to exchange data via an encrypted file transfer is preferred, contact the IDR setoff team ( IDR-Setoffs@iowa.gov ) for further information. The Challenge Process & Divide Requests Challenges are limited to: 1. Mistake of fact : a. Mistake in the identity of the obligor, or b. Mistake in the amount owed 2. Not a qualified debt Challenges Filed An obligor has 15 days to submit a challenge to IDR. IDR shall notify the Participating Agency that a challenge has been received either by way of the Debt Administration Portal or secure file 4 Hoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov transfer protocol (SFTP). In the event a challenge is received, the Participating Agency shall hold the setoff amount until a final determination is made. Respond to Information Request Agency workers can submit information by logging into the IDR Debt Administration Portal or by completing a “Respond to Information Request” via the non logged in option when receiving challenge communication through SFTP. If not logged in, the agency worker will need to authenticate by providing the following information: Agency Number, Agency Unit Code, Worker Name, Worker Email, Challenge ID, and Setoff ID. Challenge Timelines Obligors must submit a written challenge within 15 days of the date of the notice to the Iowa Department of Revenue by way of GovConnectIowa, email, or written correspondence. If provided via mail, the challenge must be postmarked within 15 days of the date of the notice. Challenges submitted after the 15 day period (late) will be automatically denied. Challenge Outcome Communication IDR shall determine whether the challenge is successful and communicate the result to both the participating agency and the obligor. Communication to the participating agency will be made via the Debt Administration Portal or through an SFTP file transfer.The Portal or File transfer will tell the participating agency the disposition of the challenge and if the setoff funds should be posted, returned to payee/co-payee, or returned to IDR for other setoffs. Divide Requests IDR will accept and administer requests to divide a jointly or commonly owned right to payment. The participating agency will be notified regarding the divide request if the divide results in a need to refund any portion of the setoff amount to the obligor or co-payee of the payment, refund any portion of the setoff amount to IDR if there is another qualifying debt for setoff, or the need for a hearing is determined. Using the Debt Administration Portal The online Debt Administration Portal allows participating agencies the ability to submit debts, generate reports and resolve mismatched placements. This portal is intended to be available 24 hours a day, seven (7) days a week. IDR maintains this system to support the State of Iowa Setoffs Program. 5 Hoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Training videos will be provided for each participating agency to use on demand, as a supplement to the instructions included in this guide. Creating a logon (and logging in) Instructions to be included at a later date. Access Roles There are different levels of access that can be granted to the Debt Administration Portal and they are defined by roles. ● Administrator: manage the access and roles for the participating agency ● Agency user: submit debt placements, load documents, view challenges, web reports, etc. Reports A variety of reports will be available on demand through the Debt Administration Portal. The instructions for generating, viewing, and downloading reports will be included in future training materials. The planned available reports include: ● Current Debt Placements ● Pending Setoffs ● Challenges ● Setoff Complete, which includes challenge and divide results ● Sent Payment ● Mismatch Placements How to Resolve Mismatch Placements A report will be available in the Debt Administration Portal to note when the obligor first four of the last name and Taxpayer Identification Number (TIN) does not match IDR’s records. Consider reviewing the mismatched record and obtaining proof of the correct TIN from the obligor. Once the TIN is confirmed, use the corrected number in your next placement file. If you have proof from the obligor that the TIN on the placement record is correct, please contact the IDR setoff team (IDR-Setoffs@iowa.gov). Suggested Website Guidance The Iowa Department of Revenue website will contain further information regarding the Setoff Program. We will notify all participants when the Setoff webpage is live. We recommend a review of your agency website to ensure references to DAS are removed. You are also encouraged to utilize the italicized verbiage below. 6 Hoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov The State Setoff Program matches people and businesses who owe delinquent (past due) debts with money from casino winnings, sports wagering, or that public agencies are paying (for example, a tax refund). To the extent allowed by law, when a match happens, the Iowa Department of Revenue withholds (setoffs) money to pay the delinquent debt. Iowa Code 421.65 directs the Iowa Department of Revenue to establish and maintain procedures to collect and set off delinquent debt owed. For more information on the Setoff Program, including how it works and frequently asked questions, visit the Iowa Department of Revenue website. Contact Information IDR has staff committed to the Setoff Program. They are available to answer questions and assist you via email at IDR-Setoffs@iowa.gov or phone at 515-281-3114, Monday through Friday, 8:00 am to 4:00 pm CT. Additionally, you may send mail to: ATTN: Setoffs Iowa Department of Revenue PO Box 3065013 Des Moines IA 50306-0470 Appendices Appendix A A swim lane diagram of the Setoff Program process as it relates to participating agencies. Appendix B Optional SFTP transfer file layouts: Setoff Placement File, Setoff Payment File, Open Setoff Challenge File, and Completed Setoffs File. Appendix C Letters produced by the Iowa Department of Revenue throughout the Setoff Program process. Notice of Setoff of Public Payment - A notice sent to the obligor that a setoff has occurred, containing their challenge rights. 7 Hoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Notice of Setoff Challenge Review Conference - Sent to notify the obligor of their challenge review conference time. Setoff Review Decision - Three separate letters, sent to obligor, dependent on the challenge outcome: ● Obligor wins challenge ● Obligor loses challenge (denied) ● Obligor wins a portion of the challenge. Example: multiple agencies receive monies from the same setoff. Notice of Completed Setoff - Sent to the obligor when the time frame has expired and the setoff can no longer be challenged or divided. Notice of Received Challenge - This letter is specific to judicial debt, and is sent whenever the Department of Revenue receives a related challenge. Division of Payment Decision - Two separate letters, sent to obligor(s), dependent on the divide request outcome: ● Request approved ● Request denied 8 5/15/2023 3:27:20 PM Pacific Setoff Process Overview Ob l i g o r Cr e d i t V e n d o r Io w a De p a r t m e n t of R e v e n u e Pu b l i c A g e n c y Debt Receive (daily) and use Master Debt File Receive data about Obligor Identify Obligor match Retain payment up to total amount of debt(s) Receive letter and any remaining funds Start Qualified debt Send letter to Obligor and provide Setoff Report to Public Agency Create Master Debt File (daily) Send funds to Iowa Department of Revenue Qualified payment to Obligor Payment claim Receive letter explaining setoff Distribute funds and payment file to public agency Receive funds and payment file Challenge? Issue letter to obligor and distribute any remaining fundsLogin to Debt Portal Preferred search method Login to Debt Portal and record setoffOr Either Yes Receive Setoff Complete Letter Generate Setoff Complete Letter and Report Report for Setoff Completions Create & send Error Report (TIN / Name Mismatch) Receive & review errors Fix and resend Fix or Accept? Login to Debt Portal and Accept Accept As-is No Receive Setoff Report 6/8/2023 4:01:38 PM Pacific Challenge / Split Process Overview Ob l i g o r Io w a D e p a r t m e n t o f R e v e n u e Pu b l i c A g e n c y Initiate Challenge / Split Process in writing within 15 days of receiving Notice to Setoff Receive Challenge / Split Request Set Hearing date and time; send notification Receive letter from IDR with scheduled Hearing date and time Receive notification of challenge and information for Hearing Conduct Hearing Gather Information Provide documentation and respond to requests from Department of Revenue* Make Determination Send notification of disposition of Challenge / Split Challenge / Split successful? Receive refund Issue refund Receive notification of disposition of Challenge / Split Receive letter with Challenge / Split disposition Yes Use information in notification From Iowa Dept. of Revenue to do one or both Issue funds to Iowa Department of Revenue if obligor has another pending setoff debt Receive funds EndNo * Documentation of the transaction that generated the liability. * Documentation of the notice of the liability * Documentation of any appeals * Documentation of liability being past due and legally enforceable. * Other documentation as deemed necessary to make determination. Challenge request?Yes No (i.e., it is a Split request) Attend Hearing Hoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Setoff Placement File The placement file must be named Setoffs######.txt, where ###### is the Agency Number and Unit Code. If your agency has multiple Unit Codes, please use one of them in the file name. The placement file must contain a list of all the agency’s debt to be placed in setoffs. Each record in the file represents one debt. The placement file is a full replacement, and will override/update existing debt placements for the agency under their unit code(s). Note: Some fields may be used in correspondence with the Obligor. The placement file has a fixed width layout. Field Name Characters Description Agency Number (Required) 3 Unique identifier for the agency who maintains the debt. This is generally a three-digit number such as “645” or “123”, as assigned by IDR. Leading zeros are significant. Agency Unit Code (Required) 3 Unique identifier for a group within the agency, as assigned by IDR. This is generally a three-digit number such as “001” or “999”. Leading zeros are significant. Obligor ID Type (Required) 1 ID Type Options: 1 = SSN 2 = FEIN 3 = ITIN Obligor ID (Required) 9 ID number unique to the obligor (I.e., SSN, ITIN, or FEIN). Leading zeros are significant. Debt ID (Required) 30 Agency’s unique identifier for the debt. (i.e. case #, invoice #, citation #, etc.). This should not change. Note: If debt has previously been placed for a combination of Agency Number, Agency Unit Code, Obligor ID, and Debt ID, then the corresponding placement will be updated based on the file. Obligor Last Name / Business Name (Required) 50 Last Name of the person who owes the debt, or Business Name if it’s a business Obligor First Name 50 First name of the person who owes the debt. Leave blank if the ID Type is FEIN. Obligor Middle Name 50 Middle name of the person who owes the debt. Leave blank if the ID Type is FEIN. Hoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Qualified Date (Required) 8 Date the debt first qualified for setoffs. Required. MMDDYYYY Debt Amount (Required) 12 The amount owed to the participating agency. Expressed in pennies. Pre-padded with 0’s. $123.45 would be 000000012345. Must be > $50. Description of Debt 50 Description of the debt (E.g., “PARKING TICKET 00123-4”). DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Payment File Debt source agencies may choose to consume a Payment File, and process it to reduce their balances. Please contact IDR if you would like to consume a Payment File. Please be advised that consuming a Payment File may require IT involvement. Debt source agencies are required to complete the following steps, in order to consume a Payment File: ● Obtain Secure FTP (SFTP) credentials from IDR. ● Connectivity Testing – Test to ensure a file can be picked up via Secure FTP (SFTP). ● Business Testing – Test to ensure the debt source agency’s process can successfully consume the file, and process it to reduce balances. The payment file contains a list of setoffs that were processed. The payment file has a fixed width layout. Field Name Characters Description Setoff ID 20 IDR’s unique identifier for the setoff. In IMPACT, this corresponds to the Intercept Processed Key. Agency Number 3 Unique identifier for the agency who maintains the debt. This is generally a three-digit number such as “645” or “123”, as assigned by IDR. Leading zeros are significant. Agency Unit Code 3 Unique identifier for a group within the agency, as assigned by IDR. This is generally a three-digit number such as “001” or “999”. Leading zeros are significant. Obligor ID Type 1 ID Type Options: 1 = SSN 2 = FEIN 3 = ITIN Obligor ID 9 ID number unique to the obligor (I.e., SSN, ITIN, or FEIN). Leading zeros are significant. DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Obligor Last Name / Business Name 50 Last name of the obligor, or business name if obligor ID is an FEIN Obligor First Name 50 First name of the obligor Obligor Middle Name 50 Middle name of the obligor. Obligor Street Address 255 First line of the obligor’s last known street address Obligor Street Address 2 255 Second line of the obligor’s last known street address, if applicable. Obligor Unit 30 Unit number of the obligor’s last known address Obligor Unit Type 30 Unit type of the obligor’s last known address. Options: # - # APT - Apartment BLDG - Building FL - Floor LOT - Lot OFC - Office RM - Room STE - Suite TRLR - Trailer UNIT - Unit Obligor City 100 City of the obligor’s last known address Obligor State 6 State of the obligor’s last known address Obligor Zip 30 Zip code of the obligor’s last known address Obligor Country 6 Country of the obligor’s last known address Debt ID 30 Agency’s unique identifier for the debt. (i.e. case #, invoice #, citation #, etc.). This should not change. Setoff Date 8 Date of the setoff (MMDDYYYY) Setoff Total Amount 12 Total amount of the setoff, including the fee. Expressed in pennies. Pre-padded with 0’s. $130.45 would be 000000013045. DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Setoff Payment Amount 12 Amount of the setoff, less the fee for the setoff. Expressed in pennies. Pre-padded with 0’s. $123.45 would be 000000012345. Setoff Fee Amount 12 Fee amount, assessed by IDR for the setoff. Expressed in pennies. Pre-padded with 0’s. $7 would be 000000000700. Setoff Source Account Type 3 Source of the setoff Options: BNF - Beneficiary Tax Refund CEX - Casino or Sports Betting COM - Composite Tax Refund CON - Consumer's Use Tax Refund COR - Corporation Tax Refund DEX - Vendor Payment EFD - Electric Fuel - User/Dealer Tax Refund FID - Fiduciary Tax Refund FRN - Franchise Tax Refund HHM - Household Hazardous Materials Tax Refund IIT - Individual Income Tax Refund INH - Inheritance Tax Refund LEX - Iowa Lottery MEX - Medicaid MFE - Motor Fuel - Retailer Tax Refund MFL - Motor Fuel Exporter/Eligible Purchaser Tax Refund MFO - Motor Fuel - Storage Facility Tax Refund MFR - Motor Fuel Refund MFS - Motor Fuel - Supplier/Distributor Tax Refund MFT - Motor Fuel - Transportation Tax Refund MFU - Motor Fuel - User/Dealer Tax Refund MFV - Motor Fuel - Violations Tax Refund MSC - Miscellaneous Fees Tax Refund PRT - Partnership Tax Refund RTR - Retailer's Use Tax Refund SCP - S Corporation Tax Refund SLS - Sales and Use Tax Refund SRC - Refund Claim Tax Refund WET - Water Service Excise Tax Refund WTH - Withholding Tax Refund DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Setoff Source Department Code 3 Unique identifier of the agency that was the source of the setoff. Only populated if it’s a vendor payment (I.e., If Setoff Source Account Type = DEX). See Appendix A for the list of Department Codes Disbursement Reference 30 Unique identifier for the payment/transfer to the agency. Disbursement Date 8 Date of the payment/transfer to the agency. (MMDDYYYY) DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Appendix A - Department Codes Department Name 005 Administrative Services, Dept 006 State Accounting Trust Accts 009 Agriculture and Land Stewardship 011 AG- State Fair Division 012 AG- Loess Hills Soil 013 AG- Soil Conservation 014 AG- Development Authority 016 AG- Corn Promotion 018 AG- Egg Council 020 AG- Soybean Promotion 021 AG- Turkey Marketing Council 022 AG- Cattle Promotion Board 034 State Fair 035 AG- State Fair Capitals 063 Income Offset- College Aid 112 Attorney General 113 Attorney General Pros Atty 114 Consumer Advocate 126 Auditor Of State 131 Dept For The Blind 133 Dept For The Blind - Capitals 140 Ethics and Campaign Disclosure 167 Civil Rights Commission 185 Chief Information Officer, Office of 210 Commerce-Capitals 211 Commerce Department 212 Alcoholic Beverages 213 Banking 214 Credit Union 216 Insurance 217 Professional Licensing/Reg 219 Utilities 221 CBC District I 222 CBC District II 223 CBC District III 224 CBC District IV 225 CBC District V 226 CBC District VI 227 CBC District VII DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov 228 CBC District VIII 229 CBC Statewide 238 Corrections Central Office 239 Corrections Training Academy 240 Community Based Corrections 242 Corrections Fort Madison 243 Corrections Anamosa 244 Corrections Iowa Medical and Classification Center 245 Corrections Newton 246 Corrections Mt Pleasant 247 Corrections Rockwell City 248 Corrections Clarinda 249 Corrections Mitchellville 250 Corrections Industries 251 Corrections Farm Account 252 Corrections Fort Dodge 255 Corrections Capitals 259 Cultural Affairs, Dept Of 265 St Historical Society Capitals 269 Iowa Economic Development Authority 270 Finance Authority 275 Iowa Economic Development Authority Capitals 280 Education, Infrastructure 282 Education, Dept Of 283 Education, Voc Rehab 284 College Aid 285 Education, Iowa Public TV 297 Iowa Department on Aging 301 Office of Energy Independence 309 Workforce Development 310 Employment Serv- Income Offset 333 Information Technology Dept 335 General Services Capitals 336 Iowa Communications Network 337 General Services 338 General Services Fleet and Mail 339 General Services Printing 350 Governor 351 Governor Elect 379 Human Rights, Dept Of 401 Human Services Administration 402 Human Services Community Serv 404 DHS Juv. Home Toledo DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov 405 DHS Trng School Eldora 406 Civil Commitment Unit for Sexual Offenders 407 Human Services Cherokee 408 Human Services Clarinda 409 Human Services Independence 410 Human Services Mt Pleasant 411 Human Services Glenwood 412 Human Services Woodward 413 Human Services Assistance Pymt 415 Human Services Capitals 427 Inspections and Appeals, Dept Of 428 State Public Defender/DIA 429 Racing Commission - Inspect and Appeals 444 Judicial Department 446 Judicial Capitals 467 Law Enforcement Academy 472 Income Offset- Child Support 479 Income Offset - Over and Recoupment 500 Legislative House 501 Legislative Senate 502 Legislative Joint Expense 503 Legislative Office of Ombudsman 504 Legislative Services Agency 505 Legislative Computer Support 506 Legislative Fiscal Bureau 507 Legislative Service Bureau 509 Administrative Rules 510 Legislative Capital 532 Management, Dept Of 542 Natural Resources, Dept Of 543 Natural Resources, Dept Of 545 Loess Hills Development 547 Parole Board 552 Personnel, Dept Of 553 IPERS 554 IPERS Capitals 572 Public Employment Relations 582 Public Defense, Dept Of 583 Dept of Homeland Security and Emergency Management 584 Public Defense, Capitals 588 Public Health, Dept Of 592 Public Information Board 595 Public Safety, Dept Of DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov 596 Public Safety, Capitals 601 Rebuild Iowa Office 615 Regents, Board Of 616 Regents, Capital Expenditures 617 Regents, School For Blind 618 Regents, School For Deaf 619 University Of Iowa 620 Iowa State University 621 Univ Of Northern Iowa 625 Revenue 627 Iowa Lottery Authority 635 Secretary Of State 640 Office Of State/Fed Relations 642 Gov Off.Of Drug Ctrl Policy 645 Transportation, Dept Of 646 Transportation, Capitals 654 Executive Council 655 Treasurer Of State 656 Treasurer Of State Ust 657 Trea Of St Tobacco Settlement 660 Uniform State Laws Comm. 670 Veterans Affairs 671 Iowa Veterans Home 672 Iowa Veterans Home Capitals 673 Veterans Affairs Capitals 990 Special Taxes 991 County Billings 992 Excess Quota 993 Private Patients 994 Liquor Transfers 995 Interest 996 Fees 997 Miscellaneous Receipts 998 Transfers General Fund 999 7% Transfer Of Gross CNV Conversion Dept SUB Other Governmental Entities VSS Vendor Self Service DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Open Setoff Challenge File Debt source agencies may choose to consume a challenge file, and use it to handle challenges and assign cases to workers. Please contact IDR if you would like to consume a challenge file. Please be advised that consuming a Challenge File may require IT involvement. Debt source agencies are required to complete the following steps, in order to consume a Challenge File: ● Obtain Secure FTP (SFTP) credentials from IDR. ● Connectivity Testing – Test to ensure a file can be picked up via Secure FTP (SFTP). ● Business Testing – Test to ensure the debt source agency’s process can successfully consume the file, and process it. The challenge file contains a list of all open/unresolved challenges, and includes a description of any documentation that the debt source agency must provide, in order to resolve the challenge. The challenge file has a fixed width layout. Field Name Characters Description Setoff ID 20 IDR’s unique identifier for the setoff. In IMPACT, this corresponds to the Intercept Processed Key. Agency Number 3 Unique identifier for the agency who maintains the debt. This is generally a three-digit number such as “645” or “123”, as assigned by IDR. Leading zeros are significant. Agency Unit Code 3 Unique identifier for a group within the agency, as assigned by IDR. This is generally a three-digit number such as “001” or “999”. Leading zeros are significant. Obligor ID Type 1 ID Type Options: 1 = SSN 2 = FEIN 3 = ITIN Obligor ID 9 ID number unique to the obligor (I.e., SSN, ITIN, or FEIN). Leading zeros are significant. Debt ID 30 Agency’s unique identifier for the debt. (i.e. case #, invoice #, citation #, etc.). This is the same as the Debt ID that was transmitted in the placement file. Obligor Last Name / Business Name 50 Last Name of the person who owes the debt, or Business Name if it’s a business DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Obligor First Name 50 First name of the person who owes the debt. Blank if the ID Type is FEIN. Obligor Middle Name 50 Middle name of the person who owes the debt. Blank if the ID Type is FEIN. Challenge ID 20 IDR’s unique identifier for the challenge. In IMPACT, this corresponds to the Case ID of the challenge. Challenge Received Date 8 Date on which IDR received the challenge (MMDDYYYY) Challenge Hearing Date/Time 14 Date and time of the hearing for the challenge. (MMDDYYYYhhmmss) Setoff Date 8 Date of the setoff (MMDDYYYY) Setoff Amount 12 The amount of the setoff, including the fee. Expressed in pennies. Pre-padded with 0’s. $123.45 would be 000000012345. Requires Initial Information (Y/N)? 1 Whether additional information is needed to resolve the challenge. Agency workers can submit information by logging into the IDR Debt Portal or by completing a “Respond to Information Request” without logging in. If not logged in, the agency worker will authenticate by providing the following information: Agency Number, Agency Unit Code, Worker Name, Worker Email, Challenge ID, and Setoff ID. DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Completed Setoffs File Debt source agencies may choose to consume a completed setoffs file, and use it to release funds after the challenge period. Please contact IDR if you would like to consume a completed setoffs file. Please be advised that consuming a completed setoffs file may require IT involvement. Debt source agencies are required to complete the following steps, in order to consume a completed setoffs file: ● Obtain Secure FTP (SFTP) credentials from IDR. ● Connectivity Testing – Test to ensure a file can be picked up via Secure FTP (SFTP). ● Business Testing – Test to ensure the debt source agency’s process can successfully consume the file, and process it. The completed setoffs file contains a list of all setoffs where the setoff is past its challenge period or the setoff was challenged and the challenge was resolved. The completed setoffs file has a fixed width layout. Field Name Characters Description Setoff ID 20 IDR’s unique identifier for the setoff. In IMPACT, this corresponds to the Intercept Processed Key. Agency Number 3 Unique identifier for the agency who maintains the debt. This is generally a three-digit number such as “645” or “123”, as assigned by IDR. Leading zeros are significant. Agency Unit Code 3 Unique identifier for a group within the agency, as assigned by IDR. This is generally a three-digit number such as “001” or “999”. Leading zeros are significant. Obligor ID Type 1 ID Type Options: 1 = SSN 2 = FEIN 3 = ITIN Obligor ID 9 ID number unique to the obligor (I.e., SSN, ITIN, or FEIN). Leading zeros are significant. DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Debt ID 30 Agency’s unique identifier for the debt. (i.e. case #, invoice #, citation #, etc.). This is the same as the Debt ID that was transmitted in the placement file. Obligor Last Name / Business Name 50 Last Name of the person who owes the debt, or Business Name if it’s a business Obligor First Name 50 First name of the person who owes the debt. Blank if the ID Type is FEIN. Obligor Middle Name 50 Middle name of the person who owes the debt. Blank if the ID Type is FEIN. Setoff Date 8 Date of the setoff (MMDDYYYY) Setoff Amount 12 The amount of the setoff, including the fee. Expressed in pennies. Pre-padded with 0’s. $123.45 would be 000000012345. Setoff Completed Date 8 Date the setoff was completed (MMDDYYYY). If the setoff was challenged, then this will be the date the disposition was issued to the obligor. Challenge ID 20 IDR’s unique identifier for the challenge. In IMPACT, this corresponds to the Case ID of the challenge. This field will only be populated if the setoff was challenged. Challenge Disposition 50 Disposition of the challenge. This field will only be populated if the setoff was challenged, and the challenge was resolved. Examples: Debt Not Qualified Mistake of Fact – Identity Mistake of Fact – Amount Owed Request for Split Challenge Denied Challenge Payment Amount to Obligor 12 Amount of the setoff that must be issued to the obligor, as a result of the challenge. Expressed in pennies. Pre-padded with 0’s. $123.45 would be 000000012345. Challenge Payment Amount to Spouse 12 Amount of the setoff that must be issued to the obligor’s spouse, as a result of the challenge. Expressed in pennies. Pre-padded with 0’s. $123.45 would be 000000012345. DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov Challenge Payment Amount to IDR 12 Amount of the setoff that must be issued to IDR, as a result of the challenge, if the obligor owes other setoffs. Expressed in pennies. Pre-padded with 0’s. $123.45 would be 000000012345. Spouse Last Name 50 Last name of the spouse. This field will only be populated if a portion of the setoff is owed to the spouse as a result of a challenge. Spouse First Name 50 First name of the spouse. This field will only be populated if a portion of the setoff is owed to the spouse as a result of a challenge. Spouse Middle Name 50 Middle name of the spouse. This field will only be populated if a portion of the setoff is owed to the spouse as a result of a challenge. Spouse Street Address 255 First line of the spouse’s mailing address. This field will only be populated if a portion of the setoff is owed to the spouse as a result of a challenge. Spouse Street Address 2 255 Second line of the spouse’s mailing address, if applicable. This field will only be populated if a portion of the setoff is owed to the spouse as a result of a challenge. Spouse Unit 30 Unit number of the spouse’s mailing address. This field will only be populated if a portion of the setoff is owed to the spouse as a result of a challenge. Spouse Unit Type 30 Unit type of the spouse’s mailing address. This field will only be populated if a portion of the setoff is owed to the spouse as a result of a challenge. Options: # - # APT - Apartment BLDG - Building FL - Floor LOT - Lot OFC - Office RM - Room STE - Suite TRLR - Trailer DRAFTHoover State Office Building 1305 East Walnut Street Des Moines, IA 50319 tax.iowa.gov UNIT - Unit Spouse City 100 City of the spouse’s mailing address. This field will only be populated if a portion of the setoff is owed to the spouse as a result of a challenge. Spouse State 6 State of the spouse’s mailing address. This field will only be populated if a portion of the setoff is owed to the spouse as a result of a challenge. Spouse Zip 30 Zip code of the spouse’s mailing address. This field will only be populated if a portion of the setoff is owed to the spouse as a result of a challenge. Spouse Country 6 Country of the spouse’s mailing address. This field will only be populated if a portion of the setoff is owed to the spouse as a result of a challenge.