Alabama Administrative Code › Title 660 - ALABAMA DEPARTMENT OF HUMAN RESOURCES › Chapter 660-4-4 - FOOD STAMP OVERPAYMENT › Section 660-4-4-.03 - Action On Overpayment As A Result Of Intentional Program Violation

Current through Register Vol. 42, No. 9, June 28, 2024
(1) If an
			 overpayment occurs and an intentional program violation is suspected, the
			 county may initiate action for an administrative disqualification hearing or
			 appropriate court action. After notification of the impending action, the
			 suspect may negotiate to waiver his/her rights and become immediately subject
			 to disqualification and collection action.
(2) Individuals found to have committed an
			 IPV either through an ADH, by a court of appropriate jurisdiction, or by a
			 signed waiver or consent agreement, shall be ineligible to participate in the
			 food assistance program:
* For a period of twelve months for the first IPV.
* For a period of twenty-four months for the second IPV.
* Permanently for the third occasion of any IPV.
* Individuals found by a federal, state or local court to have
				used or received benefits in a transaction involving the sale of a controlled
				substance shall be ineligible to participate in the program for a period of
				twenty-four months upon the first occasion of such violation and permanently
				upon the second occasion of such violation.
* Individuals found by a federal, state or local court to have
				used or received benefits in a transaction involving the sale of firearms,
				ammunition or explosives shall be permanently ineligible to participate in the
				program upon the first occasion of such violation.
* Individuals convicted by a federal, state or local court
				having trafficked benefits for an aggregate amount of $500 or more shall be
				permanently ineligible to participate in the food stamp program upon the first
				occasion of such violation.
* Individuals found to have made a fraudulent statement or
				representation with respect to their identify and/or place of residence in
				order to receive multiple benefits simultaneously shall be ineligible to
				participate in the Food Stamp Program for a period of 10 years.
There are situations where a client is suspected of multiple
				Intentional Program Violations over a period of time. Multiple violations may
				be the subject of a single hearing. The client may be found guilty of each
				violation separately, but only one disqualification penalty shall be
				imposed.
* When there are two or more separate program violations
				causing
* overissuances at different times, but discovered at the same
				time, one claim shall be established and one penalty imposed when fraud is
				confirmed.
* When there have been two program violations occurring at
				essentially the same time, but the second violation is not discovered until the
				client is already serving a disqualification period, a second disqualification
				shall not be imposed. This is due to the fact that a disqualification for that
				period of time is already being served.
* The second violation must have occurred after the client was
				interviewed about the first violation and advised of penalties for subsequent
				violations before a second disqualification can be imposed. However, there must
				be a hearing to determine what classification should be given to this second
				violation.
* Should a second program violation occur after the claim for
				the first program violation has been established, a new claim shall be
				established. The next level of disqualification will be imposed if the
				household is found guilty of IPV.
* If a second disqualification, for whatever reason, is imposed
				while a client is currently serving a disqualification, the second
				disqualification shall run concurrently with the first disqualification.
If a court fails to impose a disqualification or a
				disqualification period for any IPV case, the agency shall impose the
				appropriate disqualification penalty specified in this section.
One or more IPVs that occurred prior to April 1, 1983 shall be
				considered as only one previous disqualification when determining the
				appropriate penalty to impose in a case under consideration.
Only the individual found to have committed the IPV, or who
				signed the waiver or the consent agreement shall be disqualified and not the
				entire household.
Although the individual is disqualified, the household, as
				defined in Section 100, is responsible for making restitution for the amount of
				any overpayment. All IPV claims must be established and collected in accordance
				with established procedures.
The Disqualified Recipient Subsystem (DRS), found on the
				Comprehensive Claims System's fraud menu, allows states to share
				disqualification records. This system should be accessed to determine if the
				individual to be disqualified has any prior Intentional Program Violations in
				order to determine the appropriate period of disqualification for the current
				offense.
Once an individual has been found guilty of an IPV, the
				appropriate disqualification penalty should be registered on the Comprehensive
				Claims System Disqualification Add screen for tracking of the disqualification
				imposed and to allow adding the disqualification to the DRS.
(3) Repayment may be accepted in the same
			 fashion as for inadvertent overpayment except if the household fails to
			 negotiate a repayment agreement, a prescribed amount will automatically be
			 withheld from the household allotment in all cases involving an active
			 household. In addition, any negotiated amount may not be less than the
			 prescribed amount of the allotment withholding.
(4) No household may benefit materially as a
			 result of the disqualification of a household member.
Author:
Jeremy Barnes
Statutory Authority:
7 C.F.R.
				  273.16,
				  273.18;
Code of Ala. 1975
, §
										38-2-6.