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BAM 725 2 of 18 COLLECTION ACTIONS BPB 2026-014 5-1-2026
BRIDGES ADMINISTRATIVE MANUAL STATE OF MICHIGAN DEPARTMENT OF HEALTH & HUMAN SERVICES
Bridges will collect from all adults who were a member of the case. Administrative recoupment may be deducted on more than one case for a single overissuance. FIP and FAP If the overpaid group did not contain an eligible or disqualified adult during the overissuance period, do not initiate recoupment, unless recoupment is established by court order or a repayment agreement is obtained in lieu of prosecution. An adult for recoupment purposes is an individual 18 years old or older. Note: The Aid to Families with Dependent Children (ADC) program was succeeded by the Family Independence Program (FIP). Treat these programs as interchangeable when applying recoupment/dis- qualification policy. Example: Clients who committed an Intentional Program Violation (IPV) while receiving ADC are to be disqualified under the FIP program. CDC Provider Error CDC Only The reconciliation and recoupment section (RRS) is responsible for collecting and recording provider errors. Reconciliation and recoup- ment section staff enters the overissuance into the automated pro- vider recoupment system. The system produces a notice and overpayment detail and acceptance report, which is mailed to the child care provider. The provider is instructed to review and complete the report and mail it back to the reconciliation and recoupment section. Note: There is no threshold limit on CDC system errors. MiLEAP will recoup these types of overissuances. BENEFIT RECOVERY SYSTEM FIP, SDA, CDC and FAP Benefit Recovery System (BRS) data is based on recipient identification numbers. Each program overissuance is entered separately. Do not combine program overissuances with different overissuance periods or different overissuance types.