BAM - NDNH

1. BAM - NDNH Meeting the Requirements

2. Overview • What is NDNH • Employer Compliance • BAM Requests • Documentation • Coding

3. What is NDNH • “New hire reporting is a process by which an employer reports information on newly hired employees to a designated state agency soon after the employee's date of hire. States match new hire reports against their child support records to locate parents, establish a child support order, or enforce an existing order. The state transmits its new hire reports to the National Directory of New Hires (NDNH). The NDNH is a database maintained by the Federal Office of Child Support Enforcement that contains new hire, quarterly wage, and unemployment information provided by State Child Support agencies, State Employment Security agencies, and federal agencies. State agencies operating Employment Security and Workers' Compensation Programs may use state new hire information to detect and prevent erroneous benefit payments. States can also conduct matches between the new hire database and other state programs to prevent unlawful or erroneous public assistance payments.” - US Department of Health and Human Services http://www.acf.hhs.gov/programs/cse/newhire/ndnh/ndnh.htm

4. Employer’s Requirement • New Hire reporting required since 1996 • Report new hires within 20 days of date of hireOR 2 monthly transmissions no fewer than 12 days apart and no more than 17 days apart. • Your state may be more restrictive

5. What Employers Report • The W-4 file contains information on all newly hired employees as reported by employers to each State Directory of New Hires (SDNH). Federal agencies report directly to the NDNH. • This file consists of the following six data elements found on the IRS Form W-4, plus two optional data elements: • Employee name; • Employee Social Security Number (SSN); • Employee address; • Employer name; • Federal Employer Identification Number (FEIN); • Employer address; • Date of hire (optional); • State of hire (optional) • Other optional information by state

6. Requesting NDNH Data • Must specifically request BAM cases be matched • SWA Input Detail Record • SSN • Verification Request • Y/N – request verification of SSN and Name match • Y – If match doesn’t occur…BAM must investigate ID issue and resubmit • First, Middle and Last Name • Con’t..

7. SWA Input Detail Record Con’t. • Passback data • Suggested use batch and sequence number • W-4 Match Indicator – (space) • W-4 Same State Data Indicator • “Y” - Match with your state as well as all other states • W-4 From Date • Starting date of your request • benefit year beginning (BYB) date (or 365 days prior to the KW [Key Week] ending date, whichever is less [shorter]) • Con’t…

8. SWA Input Detail Record Con’t. • W-4 Through Date • Ending date of your request • 30 days after the KW ending date • QW (Quarterly Wage) fields are optional • SWA Input Header and Detail record specifications • http://wdr.doleta.gov/directives/attach/UIPL/UIPL03-07_Ch1_Att1.pdf • Submitted to designated state agency for communication with NDNH

9. Timing • Request must be sent 30 days after the key week. • If request sent earlier, must be resent • Allow time for the request to be processed • Look for results no less than 37 days after the key week. • If case signed off before 37 days, MUST be reopened • Does not effect time lapse • Reopen Case (ro1) code 7 • Key Week Action (h1) • Codes 4-8 as appropriate

10. Results File • The file sent back from NDNH is a fixed width text file • A description is at http://wdr.doleta.gov/directives/attach/UIPL/UIPL03-07_Ch1_Att3.pdf • States may develop screens to easily view the returned data

11. Documentation • In each BAM case: • Did the claimant SSN match a new hire record • Screen shots from the agency’s information system or other documentation • Include run date • Date of the investigator’s search for a New Hire match • Was it performed at least 37 days after the key week • During Monitor Review: • Copies of input header and input detail records • Dated at least 30 days after key week • All BAM cases, ssn and names • “From” and “through” dates • “Y” for ssn and name match • “Y” for same state match

12. Findings • Benefit year earnings • Benefit year separation • Ability or availability issue • Suitable Work

13. KW Action Code • H1 • 4 - Payment correct after original BAM investigation and after crossmatch • 5 - Payment improper after original BAM investigation , nothing new after crossmatch • 6 – Not used at this time • 7 - Payment correct after original BAM investigation, NDNH shows an error (Do error Coding) • 8 - Payment improper after original BAM investigation and NDNH shows an additional error (Do error coding)

14. Detection Point • Point of Detection (ei5) • Crossmatch of claimant SSN with National Directory of New Hires or State Directory of New Hires (second digit used to document point of detection subsequent to new hire directory match): • 80 – New Hires only • 81 - Verification of work search contact • 82 - Verification of wages and/or separation • 83 - Claimant interview • 84 - Verification of eligibility with 3rd parties • 85 - UI Records (such as BPC crossmatch) • 86 - Job Service/Employment Service records • 87 - Verification with union • 88 - (Second digit reserved for state use) • 89 - (Second digit reserved for state use)

15. Prior Agency Action • 60-69 • State agency had detected payment error as a result of crossmatch of claimant SSN with National Directory of New Hires or State Directory of New Hires AND had taken official action before the BAM investigation was completed

16. Prior Employer Action • Examine Employer Compliance • Did the employer report the claimant as a new hire by the required date. • Add questions to ALL Benefit Year earning and intervening separation requests • Did you add this person to your payroll since MM-DD-YYYY? (claimant’s benefit year begin date) • Did this person work for you in the 12 months prior to the individual most recent hire date? • What was the date that the person first worked (had earnings)? • Did you report this person as a new hire? • What date did you report this person as a new hire? • What state does your company report new hires to?

17. Prior Employer Action • Effective March 2009 • Code 80-89 • Hired after the claim filed • Employer failed to report new hire timely • Not a RTW in 12 month situation • State defines second digit • Responsibility (ei4) must contain a 2, employer responsibility

18. Review • NDNH • Federal Parent Locator Service for child support enforcement • Employer Compliance • Must report New Hires within 20 days • BAM Requests • Send BAM Case ID’s to NDNH to search for matches • Benefit Year through 30 days after the key week • Determine if the employers compliance failure contributed to the payment error • Documentation • Crossmatch results after 37 days in each case • Input detail records during review • Coding • Detection Point use 80-89 • Prior Agency Action use 60-69 • Prior Employer action when they fail to report New Hire • Use 80-89 • Responsibility include “2” if the new hire was not reported correctly

19. References • UIPL 03-07 - http://wdr.doleta.gov/directives/corr_doc.cfm?DOCN=2280 • UIPL 03-07 Change 1 - http://wdr.doleta.gov/directives/attach/UIPL/UIPL03-07_Ch1.pdf • SWA Input Detail Record - http://wdr.doleta.gov/directives/attach/UIPL/UIPL03-07_Ch1_Att1.pdf • SWA Output Detail Record - http://wdr.doleta.gov/directives/attach/UIPL/UIPL03-07_Ch1_Att2.pdf • SWA Notify Output Detail Record - http://wdr.doleta.gov/directives/attach/UIPL/UIPL03-07_Ch1_Att3.pdf • New Hire Clarification - http://www.tc.state.mn.us/online/ndnh/NewHire.doc • UIPL 17-09 –http://www.tc.state.mn.us/classes/baminv/UIPL1709.pdf