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Child Care Assistance Program Policy Manual Issued 08/2022 Amount of overpayment 14.6 Date of overpayment Figure out the discovery, established, and determined dates as part of the process of calculating an overpayment. See the definitions of “discovery date,” “established date” and “determined date” in Chapter 2 (Glossary). Examples of documents needed to calculate an overpayment may include paystubs, W-2s or employer statements. Reporting and processing timelines Timely reporting When a family reports changes within 10 calendar days of the change, there is no overpayment. Failure to report timely When the family does not report required changes within 10 calendar days, there may be an overpayment. The overpayment is calculated beginning on the date the change occurred. If a family experiences a change but is not required to report the change, there is not an overpayment. See Chapter 8.3 (Reporting requirements). A family’s reporting type determines what they are required to report. See Chapter 8.3.6 (Reporting types). Overpayments due to a combination of family error and agency error When an overpayment resulted from a combination of family and agency error and the agency error portion of the overpayment is able to be calculated separately, only the family portion of the overpayment can be assessed and collected from the family.

Example: During the 12-month eligibility period, a family had a change in income that put the family over 85% SMI. The family reported and verified the change three months after the change occurred. The family failed to report the change in income within 10 calendar days. The CCAP agency did not act on the reported and verified income change for two months after it was reported and verified.

• An overpayment for failure to report can be assessed to the family from the date of the change in income through the date the family reported and verified the change in income. • No overpayment is assessed to the family from the date the CCAP agency knew of the change in income but failed to act through the end of the 15 day notice as a result of agency error. Overpayments due to increased income If an overpayment is due to increased income, the overpayment is calculated as follows: • If an overpayment is due to unreported increased income exceeding 85% SMI that occurred during a period of ongoing eligibility, the overpayment is calculated starting with the first biweekly period after the date the increased income was first received. • If an overpayment is due to unreported increased income that occurred at the same time as an application: - If the applicant was working and receiving income prior to the application date but they failed to report it on the application, calculate the overpayment back to the application date.