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BAM 700 5 of 10 BENEFIT OVERPAYMENTS BPB 2026-009 4-1-2026

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

FAP Only If discovered that a FAP household is receiving FAP and Indian Tribal Food Distribution benefits in the same month, a FAP OP exists only if the household received Indian Tribal Food Distribution benefits prior to its FAP application; see BEM 222. CDC Only An individual/client or CDC provider may voluntarily repay any program benefits even when there is no overpayment. Refer these situations to the CDC office within MiLEAP: 1-866-990-3227. OVERPAYMENT THRESHOLD FIP, SDA, RCA, CDC and FAP Agency and client errors are not pursued if the OP amount is equal to or less than $250 per program. Threshold limits: • Above $250 effective December 1, 2012 - current. • Above $125 effective August 1, 2008 - November 30, 2012. • Above $500 effective September 1, 2003 - July 31, 2008. • Above $1000 effective August 31, 2003, and prior. Exception: There is no threshold limit on FAP QC or IPV benefit overpayments. Exception: There is no threshold limit on CDC provider system errors. MiLEAP will recover these types of overpayments. Example: If payroll checks or electronic funds transfer (EFT) for the CDC provider was issued twice, the full amount would be recovered. OVERPAYMENT PROCESSING All Programs ES/FIS Actions When a potential overpayment is suspected, the following actions must be taken:

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Official source

BAM 700 5 of 10 BENEFIT OVERPAYMENTS BPB 2026-009 4-1-2026

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

FAP Only If discovered that a FAP household is receiving FAP and Indian Tribal Food Distribution benefits in the same month, a FAP OP exists only if the household received Indian Tribal Food Distribution benefits prior to its FAP application; see BEM 222. CDC Only An individual/client or CDC provider may voluntarily repay any program benefits even when there is no overpayment. Refer these situations to the CDC office within MiLEAP: 1-866-990-3227. OVERPAYMENT THRESHOLD FIP, SDA, RCA, CDC and FAP Agency and client errors are not pursued if the OP amount is equal to or less than $250 per program. Threshold limits: • Above $250 effective December 1, 2012 - current. • Above $125 effective August 1, 2008 - November 30, 2012. • Above $500 effective September 1, 2003 - July 31, 2008. • Above $1000 effective August 31, 2003, and prior. Exception: There is no threshold limit on FAP QC or IPV benefit overpayments. Exception: There is no threshold limit on CDC provider system errors. MiLEAP will recover these types of overpayments. Example: If payroll checks or electronic funds transfer (EFT) for the CDC provider was issued twice, the full amount would be recovered. OVERPAYMENT PROCESSING All Programs ES/FIS Actions When a potential overpayment is suspected, the following actions must be taken: