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SNAP CERTIFICATION MANUAL – SECTION 15000 15500 Overpayment Unit Responsibilities 15534 Terminating Collection Action

Delinquent SNAP debts will be referred to the Department of Finance and Administration, Revenue Division for the purpose of intercepting the state income tax refund due to the household containing the debtor and applying the amount intercepted to the balance of the debt. Delinquent accounts will also be referred to the U.S. Treasury for the purpose of intercepting any monies payable by the federal government. Any federal monies intercepted will be applied to the overpayment debt. The Fraud Unit monitors collections on court adjudicated cases.

15534 Terminating Collection Action SNAP Manual 07/01/00 If an overpayment claim is determined to be uncollectable, collection activity will be suspended and the claim will be processed for abatement in accordance with Arkansas Law. Abated claims will be held for three years before they are scheduled for destruction. During this period a claim may be offset by SNAP benefits in accordance with SNAP policy.

15535 Suspending Collection Action SNAP Manual 03/01/02 Efforts to collect an overpayment may be suspended under any of the following circumstances: • All household members die. • The claim balance is less than $5.00 or the combined amount of all open claims is less than $20.00 and the claim or claims have been delinquent for 90 days or more and the debtor is not currently receiving SNAP benefits. • The claim has been delinquent at least 3 years and 1) there has been no payment activity (including state intercept and treasury offset) for 5 years and 2) the claim cannot be pursued through legal action because the claim balance is less than $500 and 3) there are no resources to pursue. • The household cannot be located. • It is not cost effective to pursue the debt. • The household/debtor has filed for bankruptcy and the bankruptcy court has discharged the debt unless there are other responsible household members who did not file for bankruptcy protection or the client has signed a criminal fraud waiver admitting guilt. • The claim debt has been overturned by an administrative hearing decision or by court action.