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ESA SNAP Policy Manual 206  If the loss was caused by an incorrect delay, denial or termination of benefits, the months affected by the loss will be calculated as follows: − If an eligible household’s application was erroneously denied, the month the loss initially occurred will be the month of application; for an eligible household filing a timely reapplication, the month following the expiration of its certification period. − If an eligible household’s application was delayed, the months for which benefits may be lost will be calculated. − If a household’s benefits were erroneously terminated, the month the loss initially occurred will be the first month benefits were not received as a result of the erroneous action. After computing the date the loss initially occurred, the loss will be calculated for each month subsequent to that date until either the first month the error is corrected or the first month the household is found ineligible. For each month affected by the loss, ESA will determine if the household was actually eligible. If the household’s case file has no information to document that the household was actually eligible, ESA will advise the household of what information must be provided to determine eligibility for these months. For each month the household cannot provide the necessary information to demonstrate its eligibility, the household will be considered ineligible. For the months the household was eligible, ESA will calculate the allotment the household should have received. If the household received a smaller allotment than it was eligible to receive, the difference between the actual and correct allotments equals the amount to be restored. If a claim against a household is unpaid or held in suspense, the amount to be restored will be offset against the amount due on the claim before the balance, if any, is restored to the household. At the point in time when the household is certified and receives an initial allotment, the initial allotment will not be reduced to offset claims, even if the initial allotment is paid retroactively. 15.10.3.1 SNAP Underpayments ESA must not correct underpayments that are caused by a recipient error, such as a delay in reporting a change that results in increased benefits. No overpayments or underpayments are established because of changes (e.g. person becomes elderly or disabled and becomes eligible for a higher shelter deduction) that were not required to be reported by the household during the certification period. Example 1 Ms. Allison contacts ESA on April 25, 2019, and requests correction of SNAP benefits for a three- month time interval from February to April of 2019 because the increased shelter costs she reported in January were not entered in DCAS. Since she made the discovery within 12 months of underpayment, she can receive a supplementary payment for the entire period.

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