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COMBINED MANUAL

ISSUE DATE 01/2018

PROVISIONS FOR REPLACING BENEFITS

0024.06

MFIP, MSA, GA, GRH: Provisions for replacing benefits apply to participants, vendors, and protective payees.

ELECTRONIC BENEFIT TRANSFER (EBT)

Benefits accessed with an EBT card and correct PIN (personal identification number) are not replaceable.

DIRECT DEPOSIT

A direct deposit transaction will ONLY be replaced if the bank notifies DHS of a reject. All replacement of direct deposit will be done by DHS staff. The procedure for this replacement is:

● The bank will notify DHS of a direct deposit reject.

● DHS staff will remove current direct deposit information on the case, notify county worker of reject and request method of replacement.

● DHS will NOT replace benefits as direct deposit.

NON-EBT ISSUANCE

A client requesting replacement warrant(s) must file a Non-Receipt/Replacement Affidavit (DHS-1609) (PDF) with the county agency. A vendor or alternative payee requesting replacement warrant(s) must file an Affidavit of Failure to Receive Warrant (for Vendors/Payees) (DHS-1609A). They must state why they need a replacement (for example: lost in the mail, never received, or destroyed). If you can prove a warrant went back to the Issuance Operations Center (IOC) or has stale dated, do not require an affidavit.

County agencies may require clients to file a police report if the request for replacement is for a lost, stolen, or destroyed warrant.

If the warrant has been cashed, request copies of the warrant(s) following procedures outlined in TEMP Manual TE02.11.01 (Request Copy of Cashed Warrant or Repl One). Have the client view the signatures on the warrant and complete the Affidavit Covering Endorsement of a State of Minnesota Warrant (DHS-5303) (PDF) in the presence of the county fraud investigator. All cashed warrants must be replaced by DHS.

A county may or may not require an indemnity bond for checks it issues. If it requires a bond, it must require one of anyone requesting a county replacement check. Counties may not require an indemnity bond for state warrant replacements.

Do not replace a warrant when you can document that the request for replacement is fraudulent. Give people written notice of denial. See 0025.24 (Fraudulently Obtaining Public Assistance). If you suspect the request to be fraudulent, but cannot document the fraud, replace the warrant and refer the case for investigation.

Replace a warrant no more than 7 calendar days after the person reports it as stolen, lost, or destroyed (and there is no fraudulent intent). Do not replace a warrant the person reports as not received until 5 mailing days after issuance. However, do not wait 5 days when you can show worker error caused the benefit to go to the wrong address, and the person cannot get the warrant at the incorrect address.

Replacement warrants have a different number than the original, and states that they are replacement warrants.

Do not deny cash replacement solely because of multiple losses.

When people do not live in the county of financial responsibility, the servicing county must replace warrants. See 0006 (Determining Financial Responsibility).