Page 40

36 All funds recovered as the result of erroneous payments must be returned to the local agency’s LIHEAP fund. Procedures for the identification of funds collected, the deposit of funds into the agency's bank account, written client receipts in the case of cash payments, and procedures for the periodic submission to the State Office of funds collected is the responsibility of the local agency. A separate ledger sheet which clearly identifies all such transactions regarding erroneous payments shall also be the responsibility of the local agency.

13.4 Debarment from LIHEAP Households committing fraud (providing false information) or attempting to commit fraud are typically debarred from receiving LIHEAP assistance for one year. At the time of the determination, the box for “Debarred” on the Demographics tab in FACSPro must be checked. This will prevent the applicant from being enrolled in the program.

If improper payments are made on the household’s behalf, the applicant cannot apply until restitution has been made, at which time they must submit a request to the local agency to be considered eligible to apply for assistance.

The local agency must form a committee, appointed by the agency’s director, to consider reinstatement of eligibility benefits of applicants who have previously been suspended. The committee should consider all information provided by the intake worker and/or case manager when considering reinstatement. The committee will submit their recommendation to the director for final determination. The applicant will be notified, in writing, of the decision and the right to a fair hearing if applicable. Notify the State Office of the final determination.