Unrestricted Payment of TANF Benefits 400-19-120-25

(Revised 6/1/10 ML #3218)

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(N.D.A.C. 75-02-01.2-69)

 

The unrestricted money payment is the basic method for providing assistance to eligible households. Money payments are payments made to the primary individual (PI) through electronic funds transfer or by check, and are issued at regular intervals with no restrictions as to the use of the funds.

 

Electronic Payment Card

The North Dakota Department of Human Services has determined that issuing Visa branded debit cards enhances self-sufficiency by expanding TANF clients' knowledge of banking systems, avoidance of check loss, and promoting cost-effectiveness as compared to the cost of printing checks. Debit cards provide a fast, secure, and efficient method of distributing TANF benefits while ensuring recipients a convenient and safe way to access their money.

 

The electronic payment card is a prepaid debit card that replaced the TANF check process. The exception to the prepaid debit card is protective payee situations. Protective payee cases will continue to receive TANF benefits by check.

 

Upon authorization of a TANF initial or supplemental benefit or an underpayment, two processes occur.

  1. A demographic file of each new recipient is transmitted to US Bank in the evening of each work day.  Upon receipt of the demographic file, US Bank prints and sends a Visa debit card to be delivered within 3 to 5 U.S. Mail days from the date the case is authorized (for new cases) or when a new card is requested by the payee. Total time, from transmission of card account information to receipt of card by recipient averages 5 business (U.S. Mail) days.
  2. A benefit file of each recipient who is due benefits is transmitted to the Bank of North Dakota. The following day, the Bank of North Dakota sends the funds to US Bank electronically and US bank deposits the funds to the debit card.  Funds are transferred into accounts on all days except Saturdays, Sundays, and federal holidays.  Funds will be available to the recipient approximately 24 hours after U.S. Bank receives them.  

 

Upon authorization of a TANF benefit for ongoing cases for regular issuance, funds are transferred the second to the last working day of the month and are available the first working day of each month.

 

Electronic payment cards will contain the name of the primary individual in the household. To distinguish the card from other program cards, the TANF card displays a wagon wheel.

 

Closing a TANF case does not invalidate the electronic payment card and the funds remain available.

 

TANF households receive information on the use of the card, fees related to the card and privacy information upon receipt of the card from U.S. Bank.

 

Payment Corrections

When a TANF household returns a TANF benefit or the family received a child support payment that should have been retained, the following steps must be completed to correct the payment:

  1. The card holder cashes out the Electronic Payment Card.
  2. The card holder returns the funds to the county social service office by cash, check, or money order.
  3. The TANF Eligibility Worker establishes an overpayment for the months the TANF household is returning the benefit received.

Note: If the case remains open, State TANF Policy must be contacted prior to setting up a recoupment plan.

  1. The county social service office will complete SFN 827, Credit Form, and send a check or money order to the North Dakota Department of Human Services Fiscal Administration for processing.
  2. The North Dakota Department of Human Services Fiscal Administration will apply the funds to the overpayment.

Note: A TANF month established as an overpayment remains a TANF count month for the lifetime limit.

 

Returning a TANF benefit does not guarantee the family will receive child support payments.