9095.13 Collection Methods

A. Allotment reduction as follows: DHSS must . . . Unless . . . (1) Automatically collect payments for any claim by reducing the amount of monthly benefits that a household receives the claim is being collected at regular intervals at a higher amount. (2) For an IPV claim, limit the amount reduced to the greater of $20 per month or 20 percent of the household's monthly allotment or entitlement the household agrees to a higher amount. (3) For an IHE or AE claim, limit the amount reduced to the greater of $10 per month or 10 percent of the household's monthly allotment the household agrees to a higher amount. (4) Not reduce the initial allotment when the household is first certified the household agrees to this reduction. (5) Not use additional involuntary collection methods against individuals in a household that is already having its benefit reduced the additional payment is voluntary, or the source of the payment is irregular and unexpected such as a State tax refund or lottery winnings offset. DHSS may . . . (6) Collect using allotment reduction from two separate households for the same claim. However, DHSS is not required to perform this simultaneous reduction. (7) Continue to use any other collection method against any individual who is not a current member of the household that is undergoing allotment reduction. B. Benefits from EBT accounts. Allow a household to pay its claim using benefits from its EBT benefit account. (1) For collecting from active (or reactivated) EBT benefits . . . DHSS or . . . and . . . needs written permission which may be obtained in advance and done according to the written agreement requirements below oral permission for one time reductions with DHSS sending the household a receipt of the transaction within 10 days the retention rules do apply to this collection. (2) For collecting from stale EBT benefits . . . DHSS . . . and . . . and . . . must mail or otherwise deliver to the household written notification that DHSS intends to apply the benefits to the outstanding claim give the household at least 10 days to notify DHSS that it doesn't want to use these benefits to pay the claim the retention rules apply to this collection. (3) For making an adjustment with expunged EBT benefits . . . DHSS . . . and . . . and . . . must adjust the amount of any claim by subtracting any amount expunged from the EBT benefit account this can be done anytime the retention rules do not apply to this adjustment. WRITTEN (PERMISSION) AGREEMENT The written agreement with the household to collect a claim using active EBT benefits must include: (1) A statement that this is voluntary; (2) The amount of the payment; (3) The frequency of the payments (i.e., monthly or one time only); (4) The length (if any) of the agreement; and (5) A statement that the household may revoke the agreement at any time. C. Offsets to restored benefits Reduce any restored benefits owed to a household by the amount of any outstanding claim. This can be done at any time during the claim establishment and collection process. D. Lump sum payments Accept a full or partial payment for a claim by any of the acceptable forms of payment. E. Installment payments Accept installment payments made for a claim as part of a negotiated repayment agreement as long as the amount is not less than the amount that would be recovered through allotment reduction. If a household fails to submit a payment in accordance with the terms of the negotiated repayment schedule, the claim becomes delinquent and is subject to additional collection actions. F. Public service The value of a claim may be paid by the household performing public service. G. Other collection actions Use any other collection actions to collect claims, such as but not limited to, referrals to collection agencies, state tax refund, lottery offsets, wage garnishments, property liens and small claims court. H. Unspecified joint collections When a household sends in a payment based on a notification of a food benefit and cash assistance claim/ overpayment and does not specify what program the payment is for, each program must receive its pro rata share of the amount collected. 13 DE Reg. 1462 (05/01/10)