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Pre-Default Intervention

Pre-Default Intervention. CSDA Directors Meeting March 2009 Steven Eldred Chief Deputy Director Orange County Child Support Services. How do we establish orders?. Court Process Slower – 100-140 days for a judgment Expensive – 2-3 x more than stipulations, 10 x defaults

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Pre-Default Intervention

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  1. Pre-Default Intervention CSDA Directors Meeting March 2009 Steven Eldred Chief Deputy Director Orange County Child Support Services

  2. How do we establish orders? • Court Process • Slower – 100-140 days for a judgment • Expensive – 2-3 x more than stipulations, 10 x defaults • Effective – 65% compliance rate with orders established in court • Default • Stipulation out of court

  3. How do we establish orders? • Court Process • Default • Fast – an order within 45 days of service! • Inexpensive – 1/10th the cost of a court order • Not very effective - 25-29% compliance • Stipulation out of court

  4. How do we establish orders? • Court Process • Default • Stipulation out of court • Fast – Order can be signed within days of the notice • Inexpensive - 1/3 to ½ the cost of a court-based order • Compliance is excellent – 65-70%!

  5. Pre-DefauIt Intervention (PDI) Objectives • Improving Customer Service • Reducing Default Support Orders • Increasing collections on current support • Increasing distributions of arrears

  6. PDI Philosophy • Avoiding unnecessary litigation • Providing customers with information • Establishing customer relationships • Preventing family conflict • Communicating face-to-face

  7. Pre-Default Intervention (PDI) • 1st Offer: At case opening • Appointment card and welcome letter, with automated call • 2d Offer: After service of process • Appointment card, with auto-call • 3d Offer: At Default • Personal phone call

  8. Appointment Invitations Partnering with parents for family self-sufficiency Orange County Department of Child Support Services • We scheduled an appointment for you to discuss the attached Summons & Complaint and Proposed Judgment. An experienced child support specialist will meet with you and discuss all aspects of your financial situation. Your participation in this process may result in a child support obligation different from the amount noted in the attached Proposed Judgment Regarding Parental Obligation.Your participation in this process is critical to ensure that we establish a child support obligation that is fair and reasonable. • Please bring the following items to your appointment: • Completed Income and Expense Declaration (attached) • Proof of income (pay stubs and tax returns, or a 1099 if you are self-employed) • Proof of child support paid for other child(ren) Date: _________________________ Time: _________________________ Department of Child Support Services 1055 N. Main Street Santa Ana, CA 92701 If you need to reschedule your appointment, please call (714) 347-6406 Metered parking is available in the surrounding area.

  9. Appointments • NCP’s meet with specially-trained caseworkers and attempt to reach an agreement. • Caseworkers encourage genetic testing. • Primary goal is to reach an agreement; secondary goal is to encourage continued participation.

  10. Appointments • After one year of the project, we found that about 50% of the NCP’s contacted come in for an appointment. • Of those who do come in, about 45% reach a stipulation, another 18% request genetic testing (and almost all who are not excluded later stipulate in the office)

  11. Appointments • The re-designed appointment card resulted in a higher participation rate. • Automated dialer phone reminders of appointments raised the appearance rate from 40% to 50%. • The performance rate of stipulation cases is over 65%, better than court judgments (60%) and defaults (30%).

  12. Increased Collections

  13. Benefits? • Orders obtained 60-120 days faster • Payments accelerated by 100+ days • 4-5 months’ worth of payments made current, not added to arrears

  14. Why PDI works • Reduces anxiety • Encourages negotiation • Accurate, timely income verification • Timely notice of summons and complaint

  15. Questions?

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