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(1) allow the former recipient to repay less than the amount required under (i)(2) of this section; or
(2) temporarily suspend repayment for up to three months. (l) If a former recipient who is required to repay an overpayment under (d) of this section fails to repay the total annual repayment amount as determined in (j) of this section, the division may pursue other legal remedies against the income or resources of the former recipient. (m) The division may suspend efforts to collect an overpayment if collection activities are no longer cost effective. If a former recipient who has not totally repaid a prior overpayment as required under (d) of this section becomes a recipient again, the division shall reduce the recipient’s assistance payments by using the formula set out in (f)(2) of this section until the entire overpayment is repaid. Withholding begins on the second month an assistance payment is made and continues each month until the entire overpayment has been recovered. (n) A current or former recipient, or a responsible person acting on the recipient’s behalf, who wishes to dispute an action taken by the division under this section may request a hearing under 7 AAC 49. (o) In this section, “overpayment”
(1) means the amount of assistance given under this chapter to which a recipient was not entitled;
(2) includes the amount of assistance paid to a recipient under 7 AAC 49.190 pending a fair hearing, if the final decision is that the assistance must be repaid. (Eff. 5/12/82, Register 82; am 10/1/93, Register 127; am 10/10/96, Register 140; am 4/4/2013, Register 206) Statutory Authority: Authority: AS 47.05.010 AS 47.25.455 AS 47.25.500 7 AAC 40.490. Correction of underpayments. (a) If the Social Security Administration issues special benefits in order to correct a previous underpayment, the amount of benefits does not constitute income for the purposes of this chapter. (b) If the division finds it has underpaid an applicant in an amount of $25 or more during the