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BAM 715 1 of 11 CLIENT/CDC PROVIDER ERROR OVERPAYMENTS BPB 2026-009 4-1-2026

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

POLICY All Programs If a household receives benefits they are not eligible for, the adult(s) in the household must repay the extra benefits. The benefits must be repaid even if there was no fraud. This item explains client error (CE) processing and establishment. DEFINITIONS Client Error A type of overpayment (OP) or underissuance resulting from inaccurate reporting on the part of the household. Provider Error A type of overpayment claim resulting from an individual/client receiving more benefits than they were eligible to receive because the individual/client/Child Development & Care (CDC) provider gave incorrect or incomplete information or failed to notify the department of required information, believed to be unintentional. CLIENT ERROR PROGRAM EXCEPTIONS State Disability Assistance (SDA) Only A client error exists when the individual/client fails to honor an SDA repayment agreement after receiving a potential resource. Do not pursue an intentional program violation (IPV); see Bridges Eligibility Manual (BEM) 272. Note: Supplemental Security Income (SSI) benefit recovery is initiated by the Government Benefits and Chargeback unit in central office. If the individual/client contacts the local office to arrange repayment, issue individual/client the DHS-4358-A, -B, -C and -D, Notice of Overissuance. Have the individual/client sign form DHS- 4358-C, Department and Client Error Information and Repayment Agreement. Do not enter these debts on Bridges unless the individual/client signs the DHS-4358-C. Notify the local Interim Assistance Reimbursement (IAR) liaison in the local office if the individual/client signs a DHS-4358-C. The IAR liaison will contact the Government Benefits and Chargeback unit; see BEM 272.