DPSS ePolicy

To convert existing policy to new writing style only – No concept changes

The County shall take all reasonable steps necessary to promptly correct any overpayment or underpayment of Transportation and Ancillary Supportive Services payments to a participant or a service provider including, but not limited to, all cases involving fraud and abuse, consistent with State policy.

An overpayment or underpayment can occur when a payment or non-payment error arises with the participant’s request for Welfare-to-Work, Refugee Employment Services, or Cal-Learn Supportive Services, such as child care, transportation, and ancillary expenses.

Overpayment

An overpayment is any amount of any Supportive Services payment an individual received to which they were not eligible.

Underpayment

An underpayment is the difference between the amount of Supportive Services issued to a participant and the amount that is actually due.

Discovery Date

The date an overpayment is calculated and established on the system. 

Recovery Account

A recovery account is used to address overpayments in the system. It allows the user to create, view, and edit overpayments. 

Responsible Party

The person responsible for the repayment of an overpayment.

Task

A "task" is a designated action or piece of work that is assigned to a user within the system, used to track and manage specific actions needed to be completed on a case.

Collection Threshold

The collection threshold is an amount that if reached on an overpayment the county will cease collecting on the overpayment. This threshold applies to each individual recovery account, not the total of multiple recovery accounts.

Participant Error

A participant error overpayment is an overpayment which was caused by error on the part of the participant, i.e., the participant did not use the Supportive Services for its intended purpose.

Administrative Error

An administrative error overpayment is an overpayment which was caused by error on the part of the county, i.e., Supportive Services were not stopped in a timely manner and the county was in possession of information to do so. 

Discovery of an Overpayment

When an overpayment is discovered, the participant is scheduled for an interview regarding the overpayment. The interview is held as soon as possible, but no later than 30 calendar days after notification or date of discovery.

Ancillary Supportive Services Overpayment Appointment

The participant is sent a GN 6046-A Underpayment/Overpayment Notice: Ancillary Expenses, when the County has not received receipts for the ancillary payment issued. The Notice instructs the participant to provide receipts within ten business days from the date of the notice, or call the GAIN Services Worker (GSW)/Contracted Case Manager (CCM) if they are unable to provide receipts, or they disagree with the notice.

Transportation Supportive Services Overpayment/Underpayment Appointment

If an overpayment/underpayment is discovered for transportation expenses, the participant is sent the GN 6046 – Overpayment/Underpayment Appointment Letter within 30 calendar days from the date the overpayment is discovered.
 
If the participant fails to contact the GSW/CCM and/or attend the GN 6046 appointment, the County will assume an overpayment has occurred based on the information on file.

Repayment Options 

When it is determined that an overpayment is valid, the participant has the following options for repayment: 

1. Cash Payment – Repay a lump sum or through monthly installments.
2. Payment Reduction – If the participant receives Welfare-to-Work (WtW), Refugee Employment Program (REP), or Cal-Learn Supportive Services payments, repayment can be made by paying a percentage of their future monthly supportive services. The participant may also opt to, in writing, to pay more if they want. The most the participant has to repay is:
   • Ten percent on Participant error; or
   • Five percent on County error. 
3. Grant Reduction – Repay by having the cash aid reduced.

Overpayment Deferral
 
Collection and recovery of any overpayment shall be deferred, if the collection would result in the disruption of child care arrangements, prevent participation in WtW activities, and/or prevent employment.

Supportive Services Underpayment

If a participant, service provider, or other staff believes that an underpayment for Transportation or Ancillary Supportive Services has occurred and notifies the County, the participant is scheduled for an appointment to discuss the underpayment when the underpayment cannot be determined by County records alone. 

Note: If the participant fails to appear and does not reschedule the appointment, the underpayment is assumed not to have occurred. 

Underpayments are corrected when the GSW/CCM makes a retroactive payment of the balance determined from the correct amount that was originally to be issued.

Fraud Overpayments

With the exception of Child Care payments, when GAIN/REP/Cal-Learn Supportive Services or Cal-Learn Bonus overpayments occur, an evaluation is made to determine if the overpayment is fraudulent or non-fraudulent.

Ancillary Overpayment

Receipt, item purchased, affidavit, credit card statement, bank statement, or any combination.

Transportation Overpayment

Receipt, item purchased, affidavit, credit card statement, bank statement, or any
combination.

N/A