06.04.01 - Payment Problems and Resolutions

Effective Date: 01/01/00

Revised: 06/10/13, 12/12/19

Reference: None

Policy Statement:

The Department or its agents will assist providers in resolving payment problems.

Procedures:

The following topics are addressed in this section:

  • Undeliverable warrants
  • Stop pay and Reissue payments
  • Voided payments
  • Deleted Payments

I. Undeliverable Warrants

If the post office is not able to deliver a warrant, it will be returned to the Comptroller's Office. Some of the reasons a warrant cannot be delivered are: the provider's name isn't on the mailbox, incorrect zip code, incorrect address, incorrect apartment number, or the provider moved and did not leave a forwarding address. If a provider reports an address change, instruct the provider to submit an address change form to the Post Office, so the warrants will be forwarded to the new address.

If a warrant is returned as undeliverable,

  1. Springfield Bureau of Subsidy Management will fax a copy of the returned warrant form to the CCR&R. In order for the warrant to be re-mailed to the same or corrected address, the form must be returned to the Comptroller's office by the handwritten date located at the top, right-hand corner.
  2. The CCR&R must attempt to contact the provider immediately by phone to advise them that the warrant has been returned and of the reason listed on the form.
  3. The CCR&R must verify the provider's address and zip code.
  4. The CCR&R must fax a copy of the returned warrant form indicating the correct address information, typed or printed legibly, to Springfield Bureau of Subsidy Management at 217/785-9334.
  5. The CCR&R must update the CCMS Provider List Screen (F12) and Approval Update screen, if needed.
  6. Springfield Bureau of Subsidy Management will forward the returned warrant form to IDHS, Bureau of Fiscal Operations (BFO). BFO will update CARS and return the form to the Office of the Comptroller.
  7. The Comptroller's office will then re-mail the warrant to the correct address.

If the Comptroller's office does not receive a response by the date indicated in the top, right-hand corner of the returned warrant form, the warrant will be canceled for redeposit (Status Code 'T' in OPCH). Therefore, it is imperative for CCR&R staff to provide a timely response. If the warrant is canceled for redeposit, the payment must be reentered in order for the provider to be paid.

If CCR&R staff determine that a warrant has been returned (indicated by a 'J' in OPCH) before the copy of the warrant is actually returned to the CCR&R, follow the procedures below:

  1. Print the OPCH, Voucher Inquiry, or Warrant Inquiry screen and make necessary corrections.
  2. Indicate the CCR&R staff person's name and phone number on the screen print.
  3. Fax the OPCH, Voucher Inquiry, or Warrant Inquiry screen print to Springfield Bureau of Subsidy Management at 217/785-9334.
  4. Springfield Bureau of Subsidy Management will notify the Comptroller to re mail the warrant to the corrected address.

II. Stop Pay and Reissue

A stop pay and reissue can only be done on a warrant that has been written and mailed.

In order for the Comptroller's office to reissue a warrant, a minimum of 30 days must have elapsed from the most recent issue date of the warrant as indicated in SAMS. This time frame is mandatory because it allows enough time for the warrant to either be delivered or returned as "undeliverable" by the Post Office.

If a warrant needs to be stopped and reissued, CCR&R staff must:

  1. Confirm that the status of the warrant is coded as "O" (outstanding) in the current status field of the Comptroller SAMS system on either the OPCH, Voucher Inquiry, or Warrant Inquiry screen. This is the only status for which a warrant can be stopped.
  2. Fax a Request to Stop Pay and/or Reissue a warrant to Springfield Bureau of Subsidy Management at 217/785-9334.
  3. Attach the Comptroller SAMS OPCH and OPCL screens or Voucher Inquiry or Warrant Inquiry screens.
  4. Indicate whether or not the warrant should be reissued.
  5. If the warrant is to be reissued, be sure to indicate any new or corrected address information.
  6. Include the CCR&R staff member's name and direct phone number.
  7. If subsequent warrants and certificates are to be mailed to the corrected address, update the CCMS Provider List Screen and Approval Update Screen according to the instructions in the Child Care Management System Manual.

III. Voided Payments

A voided payment is one that has been:

  • entered into the CCMS by the CCR&R,
  • vouchered by BFO, and
  • stopped by the Office of the Comptroller before the check has been printed.

If a payment is voided, the following will occur:

  1. The Comptroller returns the voucher to BFO.
  2. BFO subtracts the payment from CARS and places the vendor on suspension. This causes all subsequent payment entries to be placed on hold.
  3. Voided payments are identified on the CCMS Payment Inquiry Screen (PF11) as a negative payment. (A minus sign is shown next to the payment amount with the original voucher number.)
  4. BFO forwards a hard copy of the payment documentation to Springfield Bureau of Subsidy Management .
  5. Springfield Bureau of Subsidy Management  notifies the CCR&R of the voided payment and the reason payment was voided.
  6. If the provider is entitled to the payment, CCR&R staff must correct the problem and reenter the payment in order for the provider to be paid.

Below are the most common reasons why payments are voided and the steps CCR&R staff are to take for resolution:

PROBLEM: The SSN/FEIN entered for the provider on the payment that was voided does not match the Comptroller's records.
SOLUTION: Check VNAM to determine if there is an incorrect certified number for the provider or if the SSN/FEIN typed in CCMS has a typographical error. If so, a new W-9 is needed.

PROBLEM: The name in the CCMS and/or on the payment does not match the name certified by the Comptroller on the VEN2 screen. The spelling must match exactly.
SOLUTION: Verify which system is correct. If SAMS is incorrect, a W-9 is required to correct the problem.

PROBLEM: The SSN/FEIN entered for this payment does not match the Comptroller's records.
SOLUTION: If the Comptroller indicates INCORRECT TIN in the comments field on SAMS, a new W-9 is required.

PROBLEM: The SSN/FEIN entered for this payment does not match the Comptroller's records.
SOLUTION: If the Comptroller indicates B NOTICE or 1st B NOTICE in the comment field on the SAMS VEN2 screen, the provider must complete an original W-9 that CCR&R staff must mail to the Comptroller. NO COPIES!!

PROBLEM: The SSN/FEIN entered for this payment does not match the Comptroller's records.
SOLUTION: If the Comptroller indicates 2nd B NOTICE in the comments field on the SAMS VEN2 screen and the provider is a sole proprietor, the provider must have the Social Security Administration send Form SSA-7028 to the Office of the Comptroller. If the provider is a corporation, then an IRS Form 147C is required to be sent to the Comptroller.

If the information is already correct in SAMS and has been corrected in CCMS and CARS, there will be a notation on the payment page that you can reenter the payment. If there is no such notation, the information must be corrected in SAMS and/or CARS before the payment can be reentered.

If SAMS is incorrect, obtain the necessary information and send original W-9s to the Office of the Comptroller. After the name/SSN/FEIN is correctly certified in SAMS VEN2, payments can be entered or reentered.

If CCR&R staff are unable to resolve the discrepancy, place this information in the case file for future reference and do not reenter the payment.

Other Payment Processing Issues

To correct the provider's name, SSN/FEIN, or to add a DBA name to the system, follow the procedures below:

  1. Name, SSN/FEIN corrections
    1. Print VEN2 screen showing incorrect spelling of name or incorrect SSN/FEIN,
    2. Make a notation on the lower half of the VEN2 screen print and fax to Springfield Bureau of Subsidy Management at 217/785-9334, and
    3. Fax a copy of the W-9.
  2. Add a DBA line to vendor information
    1. Fax the Additional Address/DBA form to Springfield Bureau of Subsidy Management at 217/785-9334.
    2. Bureau of Subsidy Management will update CARS.
    3. After CARS is updated, Bureau of Subsidy Management will return the Additional Address/DBA form via fax to the CCR&R to notify staff that the DBA has been added.
    4. The DBA will be printed on all future warrants.
  3. Adding a new or additional center location
    1. Complete the Additional Address/DBA form in its entirety.
    2. Fax the form to Springfield Bureau of Subsidy Management at 217/785-9334.
    3. Springfield Bureau of Subsidy Management will return the form via fax to the CCR&R to notify staff of the assigned CARS indicator.

As always, please include the staff member's name and direct phone number on all materials faxed to Springfield Bureau of Subsidy Management .

IV. Deleted Payments

A deleted payment is a payment that was entered into the CCMS but did not voucher due to one or more of the following reasons:

  • the provider is not certified,
  • the provider was not certified when the payment was sent to Vouchering Unit but may now be certified,
  • the name on the payment is spelled different than the name on the VEN2 screen,
  • the SSN/FEIN certified by the Comptroller is different than the SSN/FEIN entered on the payment,
  • the provider is not entitled to the payment(s).

If DHS Vouchering Unit deletes a payment, the following procedures shall occur:

  1. Written notification will be provided to the Bureau of Subsidy Management .
  2. Bureau of Subsidy Management will mark the payment as PURGEHL on the Pre-payment List by Case screen (PF2).
  3. Bureau of Subsidy Management will write the reason the payment was deleted on the written notification.
  4. Bureau of Subsidy Management will fax the written notification to the CCR&R for staff to research the issue and reenter the payment if the problem is resolved.
  5. If the provider is not entitled to the payment, CCR&R staff must file the written notification in the case record.
  6. If there is a problem with the provider information, Bureau of Subsidy Management staff will obsolete the provider on the PF12 screen so no payments can be reentered until the problem is corrected.

OFFICE OF THE STATE OF ILLINOIS COMPTROLLER
RECONCILIATION SYSTEM STATUS CODES
(WREC)

Status of Warrant Explanation - Office of the State of IL Comptroller Reconciliation System Status Codes
O ISSUED AND OUTSTANDING - No Restrictions
E ESCHEATED - Did not clear as paid (cashed), canceled, or voided prior to the six month limitation
Q CANCELED FOR REDEPOSIT - Appropriation and/or fund credit given to agency
V VOIDED AND REPLACED - Replaced due to a lost, mislaid, mutilzated or destroyed original which was less than six months old
T CANCELED FOR REDEPOSIT - Originally returned undeliverable to the Comptroller's Office, appropriation and/or fund credit given to the vouchering agency
I VOIDED AND REPLACED - Replaced due to offset, Section 210.05 involuntary withholding claim
A REQUESTED AGENCY STOP - Stop initiated due to notification from vouchering agency of non-entitlement
B REQUESTED PAYEE STOP - Stop initiated by payee or agency due to replacement request
D CONFIRMED AGENCY STOP - Confirmation of stop payment due to non-entitlement
F CONFIRMED PAYEE STOP - Confirmation of stop payment due to replacement request
J UNDELIVERABLE - Returned by the postal service or payee and is being held by the Comptroller's Office pending disposition advice from the vouchering agency
H HELD - Withheld from the mail at the request of the vouchering agency and is being held by the Comptroller's Office pending disposition advice from the vouchering agency
P PAID
W REQUEST AGENCY RESCIND STOP
K REQUEST PAYEE RESCIND STOP