When there has been a change in the adult(s) in the cash unit that received the original overpayment, report the overpayment against an active cash case that has an adult from the original overpaid unit. Use the following criteria to decide which case to report the overpayment against:
- The active case that includes the payee from the original overpaid case.
- If the payee of the overpaid case is not in an active cash case, report the overpayment against any active cash case that includes an adult from the original case. When 2 adults from an overpaid case are active in separate cases, report the claim against the case that includes the original payee.
- For child only cases, the adult who is the representative payee (RPY) of the case is responsible for repayment of any overpayment on that case.
When there is no active cash case with an adult from the original case, all the adults that were in the original case are responsible for repaying the overpayment.
If a case with an overpayment also has an underpayment, report the difference between the overpayment and the underpayment to BOC, if the overpayment is more than the underpayment.
The Accounts Receivable System (ARS) automatically screens all overpayments entered into it for referral to the Bureau of Investigations (BOI) for possible prosecution. The screening is based on:
- amount of overpayment,
- amount of income,
- type of employment,
- previous welfare fraud convictions, or
- multiple aid.
If the referral meets the criteria, it is automatically referred to BOI. It is held in ARS tracking for 10 workdays for BOI review.
If a claim is held for prosecution referral, the following message appears on the ACM Transaction Screen immediately after processing: "Grant/SNAP Overpayment Referral to BOI". Notices are sent to the client and the Family Community Resource Center. No demand for repayment letters are sent to the client.
- If BOI does not accept the claim for prosecution, it automatically changes to an active claim on ARS. For active TANF cases, the case is included on a recoupment list sent to the Family Community Resource Center FRC. For canceled AABD cases, a demand for repayment letter is sent to the client.
- If BOI accepts the claim for prosecution, it is held in ARS until BOI releases the claim. When the claim is released from tracking:
- a demand for repayment letter is sent to canceled cases; or
- the case is included on a recoupment list sent to the FRC for active AABD cases; or
- a central recoupment is started for active TANF cases.
However, if the case has been successfully prosecuted, the final court order will determine how collection proceeds.