Note 18. Custodial Activity

The ACF receives monies from the Internal Revenue Service for outlay to the States for child support.  These monies represent delinquent child support payments withheld from Federal tax refunds.  Receipts are transferred to the HHS appropriation 75X6234 to cover outlays.  During FY 2007, receipts amounted to $1,682 million ($1,571 million for FY 2006) and outlays amounted to $1,682 million ($1,556 million for FY 2006).

The FDA custodial activity involves collections of civil monetary penalties (CMP) assessed by the Department of Justice on behalf of FDA.  Penalties are assessed for violations in areas such as illegally manufactured, marketed, and distributed animal feeds and drug products.  Total CMP collections in FY 2007 were $10 million ($24.8 million for FY 2006).  The CMP collections are immediately forwarded to the Department of the Treasury and cannot be used for FDA operations.

The CDC custodial activity consists of collections of interest on outstanding receivables and funds received from debts in collection status.  Total custodial liabilities for FY 2007 and FY 2006 were $4.3 million and $3.6 million, respectively.  CDC custodial collections are also forwarded to the Department of the Treasury and cannot be used for CDC operations.

Report Date: November 15, 2007

AFR Section II Links:

• Message from the Chief Financial Officer
• Office of Inspector General Transmittal
• Independent Auditor's Reports
• Financial Statements and Notes
• Required Supplementary Stewardship Information
• Required Supplementary Information