Collecting Claims Against Households 430-05-80-35

(Revised 10/01/06 ML3044)

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Collection action must be initiated on all claims that are cost effective.

 

The worker can postpone collection action when a case is referred for possible prosecution or for administrative disqualification when the worker determines that collection action will jeopardize the case.

 

Administrative Error Claims

When an administrative error claim is established, the worker must:

1. Send notice F819 - Overissuance Notice Agency Error to the household.  This notice is a combination overissuance/demand for payment notice.  

The worker will receive an alert 30 days from the date Notice F819 is sent as a reminder that the demand for payment is due.

2. Set the payment plan to 10% or $10 (whichever is greater) if the household does not respond and is currently participating in the program. Allotment reduction is automatic.

If a SNAP case is closed and a household reapplies at a later date, a 10-day advance notice or adequate notice is not required to begin allotment reduction in the second beginning month, provided the worker sent Notice F819 when the claim was originally established.

If allotment reduction begins after the second beginning month, adequate notice is required.

 

Inadvertent Household Error Claims

When an inadvertent household error claim is established the worker must:

1. Send notice F816 - Overissuance Notice Client Error to the household.  This notice is a combination overissuance/demand for payment notice.  

The worker will receive an alert 20 days from the date Notice F816 is sent as a reminder that the demand for payment is due.

2. Set the payment plan to 10% or $10 (whichever is greater) if the household does not respond and is currently participating in the program. Allotment reduction is automatic.

If a SNAP case is closed and a household reapplies at a later date, no 10-day advance notice or adequate notice is required to begin allotment reduction in the second beginning month, provided the worker sent Notice F816 when the claim was originally established.

If allotment reduction begins after the second beginning month, adequate notice is required.  

 

IPV Claims

The worker must initiate collection action against the household.

 

Exception:

If collection action will jeopardize the case against a household member referred for prosecution.

 

When an individual has been found guilty of IPV, the worker must:

1. Send notice F818 - IPV - Overissuance to the household. This notice is a combination overissuance/demand for payment notice.

The worker will receive an alert 10 days from the date Notice F818 is sent as a reminder that the demand for payment is due.

2. Change the error cause from CL to FR and the payment plan from 10% to 20% or $20 (if the $20 is greater than 20%) if the household does not respond and is currently participating in the program. Allotment reduction is automatic.

If a SNAP case is closed and a household reapplies at a later date, no 10-day advance notice or adequate notice is required to begin allotment reduction in the second beginning month, provided the worker sent Notice F818 when the claim was originally established.

 

If allotment reduction begins after the second beginning month, adequate notice is required.

 

When a case has been referred for prosecution the worker must request restitution be brought before the court or addressed in the agreement reached between the prosecutor and accused individual.