Friday, September 12, 2014

The Economics of Child Support

DHS Director Maura Corrigan
The Michigan Auditor General gave a high grade to the arm of the state bureaucracy responsible for collecting and distributing child support.  In the two year audit period billions in child support dollars were collected and distributed with 99.9% accuracy according to the auditor.

Much of the credit for these good marks is attributable to the Office of Child Support, which is an arm of the Department of Human Services.  DHS is directed by former Michigan Supreme Court Justice Maura Corrigan, having been appointed by Governor Rick Snyder .

A quick story about Maura Corrigan.  When this blogger phased from a two-year stint with the Michigan Court of Appeals to one of Michigan's largest law firms in Detroit, one of the newly hired associates in the office just down the hall from mine was Maura Corrigan, transferred from the Detroit office of the U.S. Attorney.  Then former Governor John Engler appointed Corrigan to the Michigan Court of Appeals and the Michigan Supreme Court; she was re-elected in each position before being appointed DHS Director.

When she took over DHS, Corrigan was tasked with cleaning-up the rampant fraud that was draining cash and food assistance programs of their funds.  Under her leadership the Office of Child Support is an example of how a government bureaucracy is meant to function.

The recent audit -the second consecutive audit to give the Office of Child Support high marks- prompted Corrigan to make the following remarks:
I am proud of the work done by our Office of Child Support.  The audit confirms that we effectively collect and distribute child support dollars.  That means children have the support they need and deserve.  The $2.6 billion in child support received during the audit period is pumped into Michigan's economy and helps many families achieve financial independence rather than relying on public assistance - which saves taxpayers money.
No question, when child support is paid on time in the correct amount, the overall economy -an economy with every-other-household affected by divorce- gains.  The resources expended on child support enforcement are massive.

To assist child support payors with their monthly obligation, Michigan has contracted with a web portal service known as MiSDU that automates payments.

If you have questions as a recipient of child support, or as a child support payor, give us a call for a free consult; perhaps we can point you in the right direction.

1 comment:

Paul Herman said...

Child support can be really difficult for couples to sort out. It can be pretty pricey for the parent who doesn't get custody over the kids to pay for child support. That's why it can be helpful to have a divorce attorney to help sort out issues with child custody.