K-5 - Memorandum of Understanding for Setoff

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 associated administrative rule. 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 $7.00 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 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