619.01 Determine the Corrective Payment or Supplemental Benefit SR 94-04, 04/94 (FAM-A)

Use the following steps to determine the amount due the assistance group. Treat the information that caused the error as if it had been reported within the actual or maximum time frames, whichever is less, for individual reporting and Division of Family Assistance (DFA) action:

• The underpayment begins with the:

- first eligible payroll period, if the error is a result of information submitted for the initial eligibility determination, or

- first payroll period that could have been affected using the actual or maximum time frames, if the error resulted from a change.

• The underpayment ends:

- when a correct grant has been issued, if the changed information is still current, or

- at the first payroll period after applying the actual or maximum time frames for reporting, Division action and advance notice period, if the information is no longer current.

• The difference between what the individual actually received and what the individual should have received is the corrective payment amount.

• Reduce the corrective payment amount by any outstanding overpayments.

• Issue the corrective payment:

- for underpayments totaling more than $5.00,

- regardless of the length of time the underpayment has been in existence,

- to open financial assistance cases as a positive benefit adjustment, or to closed financial assistance cases by issuing a supplemental check.

Exception: Do not issue a corrective payment to deceased recipients.

• Complete Form 205, Notice of Underpayment or Overpayment, to notify the individual of the amount and circumstances of a corrective payment.