State of Iowa Offset Program - Participant Information
What is the Offset Program?
This program is a successful method used by the State of Iowa to collect money owed to the State under Chapter 8A.504 of the Code of Iowa. The Iowa Code directs the Department of Administrative Services, State Accounting Enterprise (DAS/SAE) to establish and maintain a procedure to collect against any claim owed to a person by a state agency, and then apply the money owed to the person against the debt owed by the person to the State of Iowa.
How much money has been collected through this program?
During Fiscal Year 2008 all applications of the Offset Program brought in $22.5 million for over 175 different agencies, bureaus and political subdivisions of state government in Iowa. This amount reflects an increase of more than
$5 million over the amount collected during Fiscal Year 2007. The agencies and bureaus of state government that participated include child support recovery efforts, courts, Regents institutions and many others.
Overview of Offsets Distribution and Totals for FY08
Overview of Offsets Distribution and Totals for FY07
What is a "state agency"?
"State agency" means a board, commission, department, including the department of administrative services, or other administrative office or unit of the state of Iowa or any other state entity reported in the Iowa comprehensive annual financial report, or a political subdivision of the state, or an office or unit of a political subdivision. "State agency" does include the clerk of the district court as it relates to the collection of a qualifying debt. "State agency" does not include the general assembly or the governor.
How does an agency participate in the Offset Program?
A signed agreement between the Director of the offsetting agency (state agency or political subdivision that is owed money) and the Director of the Department of Administrative Services is required.
How is this implemented?
Before an individual or company is placed on the Offset Program, the offsetting agency must make a good faith attempt to collect the debt from the entity. The attempts to collect should be documented and retained by the offsetting agency. If resolution does not occur, and the debt is at least $50.00, the agency may then include the liability with the Income Offsets Program.
When a company or individual is participating in the Offset
Program, where does the match come from?
A few examples of where matches can come from are tax refunds, Iowa Lottery winnings, and payments to vendors for goods and services.
What are the benefits of the Offset Program?
Citizens, customers and agencies of the State of Iowa are able to receive funds owed to them that they might not otherwise have a means of collecting.
Who do I contact for more information?
How do I send an email to the Offset Program?
We welcome inquiries about our program. Send your email to the Offset Program and we will be happy to answer your questions.
What is the history of the Offset Program?
In the early 1970’s, the Department of Revenue held income tax refunds for liabilities owed to the Department. In the late 1970’s, income tax refunds were allowed to be held for other state agencies, and in 1989 the program expanded to payments issued to vendors.
The program continued through the years, switching departments in 2003 when the Finance section of the Department of Revenue and Finance was absorbed by the Department of Administrative Services. The new home for the Offset Program became the State Accounting Enterprise.
In 2005, a pilot project brought other branches of Iowa government into the Offset Program. The pilot project included up to (but no more than) five pilot agencies to be selected from interested cities, counties, municipal utilities or community colleges. In 2006 this pilot project was deemed a success and the Offset Program was allowed to expand, bringing in over $39.7 million for offsetting agencies during Fiscal Years 2007 and 2008.