(a) Repayment of established overpayment claims.  Households must make repayment on all established overpayment claims regardless of the reason for the overpayment.  Family Support Services Division (FSSD) Benefit Integrity and Recovery Section initiates collection efforts against all adult household members except those who are deceased.  Collection may be received from two separate households for the same claim.  Any repayment option shown at (d) of this Section may be used to collect the overpayment claim from any adult who was in the household at the time of the overpayment and who is not currently a member of the household undergoing allotment reduction.

(b) Repayment plan time frames.  After the overpayment is established, the FSSD Benefit Integrity and Recovery Section sends the client Form 08OP118E, Food Benefit Repayment Agreement, that explains the acceptable methods of repayment for the debt classification.  The client is responsible for completing and returning Form 08OP118E within the appropriate time frame.

• (1) The food benefit overpayment claim is considered delinquent if the overpayment claim is not paid within 30 calendar days of the date of the Notification of Food Benefit Overpayment notice, or a monthly payment, as designated on the repayment agreement, has not been made by the due date.
• (2) An overpayment claim is not considered delinquent if another food benefit overpayment claim for the same household is currently being paid either through a previous repayment agreement or allotment reduction.

(c) Consequences of non-return of repayment agreement.  Paragraphs (1) and (2) of this subsection describe the consequences of non-return of the repayment agreement within appropriate time frames.

• (1) Agency error or inadvertent household error.  To make a voluntary plan of repayment of an agency error or inadvertent household error claim, the client must complete and return Form 08OP118E within 30 calendar days of the date on the form.  If the client fails to return Form 08OP118E, FSSD begins recoupment from the client's food benefits or other collection methods.
• (2) Intentional program violation.  To make a voluntary plan of repayment of an intentional program violation debt, the client must complete and return Form 08OP118E, within 30 calendar days of the date on the form.  If the client fails to return Form 08OP118E, FSSD begins recoupment from the client's food benefits or other collection methods.  • 1

(d) Repayment options.

• (1) Payment in full.  The client may repay an overpayment claim in one lump sum by personal check, money order, cashier's check, or Electronic Benefit Transfer (EBT) debit with a signed statement.
• (2) Monthly payments.  The client may repay an overpayment claim in regular monthly installments by personal check, money order, cashier's check, or approved EBT debits.  The amount to be repaid in monthly installments cannot be less than the amount that could be recovered through allotment reduction.
  • (A) Agency error or inadvertent household error.  The FSSD Benefit Integrity and Recovery Section processes the reduction in the amount of 10% of the client's monthly allotment or $10, whichever is greater.  The client may request a reduction up to the client's maximum monthly allotment.
  • (B) Intentional program violation.  The FSSD Benefit Integrity and Recovery Section processes the reduction in the amount of 20% of the client's monthly allotment or $20, whichever is greater.  The client may request a reduction up to the client's maximum monthly allotment.
• (3) Lost benefit reductions.  Any lost benefit due the household is used as payment on a food benefit overpayment claim.
• (4) Client authorized EBT debits.  A household may make a voluntary payment through a debit from the EBT Access account.  In order to debit the EBT account, a signed statement must be received from the client or the household's authorized representative giving permission for the debit.  This statement is faxed to the FSSD Benefit Integrity and Recovery Section for immediate processing.
• (5) Expunged benefits.  Expunged food benefits are those where the account has not been accessed for one year.  These expunged benefits, when known and identified with an overpayment account are used to adjust the overpayment balance by the amount of the expunged benefit.
• (6) Stale benefits.  Stale food benefits are those where the account has not been accessed for three months.  These benefits, when known and identified with an overpayment account, are used as payment on a food benefit overpayment claim.

(e) Reconsideration of repayment plan.  The client may request reconsideration of the repayment plan by submitting information regarding changes in family and financial circumstances directly to the FSSD Benefit Integrity and Recovery Section.  The FSSD Benefit Integrity and Recovery Section reconsiders any repayment plan if circumstances warrant.

(f) Referrals for Treasury Offset Program (TOP).  If the client fails to pay the overpayment claims or payments have become delinquent, the FSSD Benefit Integrity and Recovery Section makes a referral to TOP.

• (1) Criteria for TOP.  The criteria for state and federal tax offsets are the:
  • (A) amount owed must be at least $25;
  • (B) claim is under ten years delinquent except for judgment claims;
  • (C) claim is delinquent by 180 days;
  • (D) overpayment claim is not part of a bankruptcy stay or under litigation or review;
  • (E) client received the original notification of the debt; and
  • (F) overpayment claim is not being collected through allotment reduction, also known as recoupment, or under an approved repayment plan.
• (2) Notification of TOP.  The FSSD Benefit Integrity and Recovery Section notifies a person of any intended referral to TOP 60 calendar days prior to referring the overpayment claim to TOP.  The notice is mailed to the household at the address provided by United States Department of Agriculture (USDA), Food and Nutrition Service.  Information contained in the notice includes:
  • (A) the person's Social Security number;
  • (B) the citation of the statutory authority for the offset;
  • (C) the instructions on how to pay the claim;
  • (D) the person's right to request a review;
  • (E) all TOP exemptions and restrictions;
  • (F) information regarding spousal protection from offset;
  • (G) a statement that all adult household members who were members when the overpayment occurred are liable for repayment of the food benefit overpayment claim; and
  • (H) the person's right to review applicable records.
• (3) Request for review of intended action.  A person whose food benefit overpayment claim is referred to TOP may ask for a review of the intended action.  The  person's contention that the claim is not past due or legally enforceable is the basis for the review.
  • (A) A claim is not past due and legally enforceable if the person:
    • (i) proves the claim has been paid;
    • (ii) cited for offset is not the person who owes the claim;
    • (iii) substantiates bankruptcy action; or
    • (iv) denies he or she was informed of the overpayment claim and a review of Oklahoma Department of Human Services files substantiates the denial.
  • (B) The person must request the review within 60 calendar days of the TOP notice date.  FSSD Benefit Integrity and Recovery Section sends written notification of the review decision to persons requesting reviews.  The notice informs the person requesting a review why the overpayment is or is not being referred to TOP and further review rights to which he or she is entitled.
  • (C) The person can avoid referral to TOP if the person pays the overpayment claim in full or a payment specified by the FSSD Benefit Integrity and Recovery Section along with an acceptable repayment agreement is received within 60 calendar days from the date of the TOP notice.