CLAIMS HANDBOOK - Department of Human Services
CLAIMS HANDBOOK - Department of Human Services
CLAIMS HANDBOOK - Department of Human Services
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BENEFIT RECOVERY (<strong>CLAIMS</strong>) <strong>HANDBOOK</strong><br />
• Court Ordered Payments<br />
IPV claims with type “F” are paid through the court. Claims should remain in OP or<br />
RP status – do not suspend. Benefit reduction does not occur on “F” type claims,<br />
but underpayment <strong>of</strong>fset may. F type claims that are delinquent are subject to<br />
federal and state <strong>of</strong>fsets. The payment amount is negotiated through the judicial<br />
system. The payments will be sent to the county DFCS <strong>of</strong>fice for posting. Some<br />
probation <strong>of</strong>fices combine payments for multiple debtors into one check. Court<br />
ordered payments are posted using source code Y.<br />
1. Review the payment history at least quarterly.<br />
2. Contact probation if payments are not being received.<br />
3. Notify the probation <strong>of</strong>fice <strong>of</strong> a new balance when payments are received<br />
from another source.<br />
4. Change the claim type from “F” to “L” and update the recovery mode after the<br />
probationary period ends if a balance remains. Notify the Claims / Collections<br />
Unit if the claim type is changed.<br />
Benefit Reduction<br />
All claims in active cases, except those coded “F”,are recouped automatically via benefit<br />
reduction. The amount deducted is based on a formula programmed in SUCCESS. The<br />
customer may choose to have a higher amount recouped than the formula amount. Initial<br />
monthly benefits and monthly benefits less than $10 are not subject to benefit reduction.<br />
In TANF Work Supplementation cases, benefit reduction does not occur if coded correctly.<br />
Suspend the claim balance to ensure that the employer receives the entire monthly TANF<br />
benefit and notices to the customer are correct. Refer to the TANF policy manual for<br />
additional information.<br />
If a customer with a claim applies as a payee, a new case number should be assigned to<br />
prevent benefit reduction. A debt that originally occurred when the liable adult was<br />
included in an AU cannot be collected via grant reduction using benefits issued to a payee.<br />
A hardship exemption may be granted, if requested by the TANF AU, for up to two months,<br />
with supervisory approval. Suspend collection. Hardship may be granted only once in<br />
the life <strong>of</strong> a claim. Hardship exemption for court adjudicated IPV claims may be granted<br />
only with court approval.<br />
There is no hardship exemption allowed for FS claims.<br />
Rev December ‘10 23