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Combined Manual


OVERPAYMENTS EXEMPT FROM RECOVERY

ISSUE DATE: 04/2013
Revision #5

The court may order that all or part of an overpayment is exempt from recovery. The county must follow the court order. See 0025.12.03.06 (Bankruptcy), 0025.24.03 (Recovering Fraudulently Obtained Assistance).


MFIP, WB, DWP:

Establish a claim but do not pursue recovery on non-fraud overpayments on closed cases which total $35 or less. Note overpayments of $35 or less in the case record. If the client begins to receive assistance again, start recoupment.


SNAP:

The following overpayments are exempt from recovery; do not establish a claim for overpayments due to:

The county agency's failure to certify a unit in a correct project area.

The county agency's failure to verify a unit signed the application.

The county agency's failure to verify a unit completed a current work registration form.

The unit's failure to report a change because it was not required to report the change. See 0007 (Reporting).

A categorically eligible unit later being found ineligible for cash assistance or SSI due to excess assets.



Establish a claim, even though the following overpayments are exempt from recovery when:

The total overpayment is less than $35 and the unit no longer receives SNAP.

The county agency has documentation which shows that the unit cannot be located. See 0025.12.03.03 (Suspending or Terminating Recovery).


Do not pursue recovery on compromised portions of an overpayment. See 0025.12.03.09 (Claim Compromise & Termination).


MSA, GRH:

Do not pursue recovery from a personal needs allowance.

If an overpayment occurs while a client is in a facility, establish the claim but do not pursue recovery action until the client leaves the facility. When the client leaves the facility, begin to recover the overpayment the 1st month you can give a 10-day notice.

If you are recovering an overpayment and the client enters a facility, stop recovery action until the client leaves the facility:

-

If the client enters a facility on the 1st of the month, stop recovery action the month the client enters the facility.

-

If the client enters a facility after the 1st of the month, stop recovery action the month after the month the client entered the facility.


When the client leaves the facility, resume recovery action the 1st month you can give a 10-day notice.


GA:

Do not pursue recovery from non-participants on an overpayment balance that totals less than $35, unless it is the result of a fraud conviction. Note overpayments of $35 or less in the case record. If the client begins to receive assistance again, start recoupment.

Do not pursue recovery from a personal needs allowance.

If an overpayment occurs while a client is in a facility, establish the claim but do not pursue recovery action until the client leaves the facility. When the client leaves the facility, begin to recover the overpayment the 1st month you can give a 10-day notice.

If you are recovering an overpayment and the client later enters a facility, stop recovery action until the client leaves the facility:

-

If the client enters the facility on the 1st of the month, stop recovery action the month the client enters the facility.

-

If the client enters the facility after the 1st of the month, stop recovery action the month following the month the client entered the facility.


When the client leaves the facility, resume recovery action the 1st month you can give a 10-day notice.


© 2019 Minnesota Department of Human Services
Updated: 4/1/13 6:41 AM