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BAM 705 3 of 11 AGENCY ERROR OVERPAYMENTS BPB 2026-009 4-1-2026
BRIDGES ADMINISTRATIVE MANUAL STATE OF MICHIGAN DEPARTMENT OF HEALTH & HUMAN SERVICES
Simplified Reporting (SR) does not affect the determination of agency error overpayments; see BAM 200. The overpayment claims calculation cannot include the 15 percent benefit increase issued during the months of January 2021 through June 2021 per the Consolidated Appropriations Act of 2021. The overpayment claims calculation cannot include the 15 percent benefit increase issued during the months of July 2021 through September 2021 per the American Rescue Plan Act of 2021. Do not recover replacement benefits; see BAM 502. Medicaid (MA) and Employment Support Services (ESS) Overpayment of agency errors is not pursued. State Emergency Relief (SER) For SER follow Emergency Relief Manual (ERM) 306 and ERM 404 for benefit recovery. CDC Only For clients/individuals processed under CDC Expedited Service, BAM 118, benefits issued for childcare services provided during the presumptive eligibility period will not be considered an overpayment, regardless of whether the ongoing eligibility determination is approved or denied. OVERPAYMENT PERIOD FIP, SDA, RCA, CDC and FAP The overpayment (OP) period for agency errors can be for no more than the latest 12 months. Example: A potential agency error was assigned to an Overpayment Establishment Analyst (OEA) for the period of March 2019 through December 2020. The latest 12 months an OEA can look at to discover an overpayment is January 2020 through December 2020. This 12 month or less period cannot include any months that occurred more than six years before the overpayment discovery date per 7 CFR 273.18(c)(1)(i).