Section 3. Subject to the limitations contained in this chapter, the department shall, upon the request of the claimant agency, render assistance in the collection of debts owed to the obligee. This assistance shall be provided by setting off refunds due the debtor from the department by the sum certified by the claimant agency as due and owing.

Upon application of an obligee, or upon its own initiative, the claimant agency shall include the claim of such obligee for the debt with such requests for assistance; provided that such a debt shall have arisen under a court order or an adjudication by the division of medical assistance; and provided further, that in the case of a court order such order is ordered to be collected by the probation department, or the claimant agency. The claimant agency is authorized to request sufficient information from the obligee as needed to carry out the purposes of this chapter and to require such obligee to certify the amount of such debt. In the event there is a debt owed to the department of transitional assistance and to the obligee, the claimant agency shall notify the obligee of the amounts certified, the respective dates the debts were incurred and that the most recently owed obligation will be satisfied first. The claimant agency shall thereafter distribute any amounts intercepted between the department of transitional assistance and the obligee so that the most recently owed obligation is satisfied first, subject to the provisions of sections five and six of this chapter. In the event that the department charges a fee for such assistance to the claimant agency, the claimant agency is authorized to charge a fee to the obligor.