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BAM 700 2 of 10 BENEFIT OVERPAYMENTS BPB 2026-009 4-1-2026

BRIDGES ADMINISTRATIVE MANUAL STATE OF MICHIGAN DEPARTMENT OF HEALTH & HUMAN SERVICES

receive. An overpayment is also the amount of benefits misused, trafficked, or attempted to be trafficked. Recoupment The identification, establishment, and recovery of benefit overpayments. OVERPAYMENT TYPES All Programs Types of overpayments include Agency Error (AE), Client Error (CE), Intentional Program Violation (IPV), and Provider Error. Agency Error A type of overpayment or underissuance resulting from an incorrect action or failure to take action by the state agency; see Bridges Administrative Manual (BAM) 705. Client Error A type of overpayment or underissuance resulting from inaccurate reporting on the part of the household; see BAM 715. Client Suspected IPV A type of overpayment resulting from suspected intentional inaccurate reporting on the part of the household. FIS/ES will refer client errors suspected of IPV to the Office of Inspector General (OIG). Intentional Program Violation IPV (BAM 720) consists of having intentionally: • Made a false or misleading statement, or misrepresented, concealed, or withheld facts; or • Committed any act that constitutes a violation of FAP, Supplemental Nutrition Assistance Program (SNAP) regulations, or any federal or state law, involving the use, presentation, transfer, acquisition, receipt, possession, theft, trafficking or sale of items purchased with FAP benefits or Electronic Benefits Transfer (EBT) cards.

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Official source

BAM 700 2 of 10 BENEFIT OVERPAYMENTS BPB 2026-009 4-1-2026

BRIDGES ADMINISTRATIVE MANUAL STATE OF MICHIGAN DEPARTMENT OF HEALTH & HUMAN SERVICES

receive. An overpayment is also the amount of benefits misused, trafficked, or attempted to be trafficked. Recoupment The identification, establishment, and recovery of benefit overpayments. OVERPAYMENT TYPES All Programs Types of overpayments include Agency Error (AE), Client Error (CE), Intentional Program Violation (IPV), and Provider Error. Agency Error A type of overpayment or underissuance resulting from an incorrect action or failure to take action by the state agency; see Bridges Administrative Manual (BAM) 705. Client Error A type of overpayment or underissuance resulting from inaccurate reporting on the part of the household; see BAM 715. Client Suspected IPV A type of overpayment resulting from suspected intentional inaccurate reporting on the part of the household. FIS/ES will refer client errors suspected of IPV to the Office of Inspector General (OIG). Intentional Program Violation IPV (BAM 720) consists of having intentionally: • Made a false or misleading statement, or misrepresented, concealed, or withheld facts; or • Committed any act that constitutes a violation of FAP, Supplemental Nutrition Assistance Program (SNAP) regulations, or any federal or state law, involving the use, presentation, transfer, acquisition, receipt, possession, theft, trafficking or sale of items purchased with FAP benefits or Electronic Benefits Transfer (EBT) cards.