The Division of Child Support of the Department of Justice shall adopt rules that:
(1) Require distribution of payments to child, medical or spousal support obligations and arrears in any sequence that is consistent with federal law;
(2) Permit the division to develop criteria for when the division may override the debtor’s designation of the particular support debt to which the payment of child support or spousal support is applied; and
(3) Provide the manner in which payments of child, medical or spousal support shall be applied to principal and interest that is due and owing on such obligations and arrears, irrespective of any contrary law.