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FOOD AND NUTRITION SERVICES CERTIFICATION CLAIMS Agency Error (AE) Claims

9 Section 810 Change #3 2017 September 20, 2017 4. NC FAST automatically begins an allotment reduction when the last cash payment date in EPICS is more than 60 days old. Upon a request for a Fair Hearing, enter an “X” in the Appeal Indicator field on the Debtor Detail screen in EPICS to prevent recoupment occurring in NC FAST.

5. Participating households that do not wish to be recouped may choose to make a cash payment. A participating household must agree to pay more than 10% of the allotment or $10, whichever is greater prior to recoupment. When a “C” is entered as the method of payment in EPICS, this tells EPICS and NC FAST that a cash payment has been made and no recoupment should take place that month.

C. Nonparticipating Household

1. The DSS-8554, Letter of Overissuance, notifies the nonparticipating household of the methods of repayment available and the requirement to return the signed notice within ten days. If the notice is not returned by the deadline, initiate further collection action, as appropriate, to include civil court or tax intercept.

2. The household may only request a Fair Hearing if it disagrees with the amount of the claim established or that the claim has been previously paid in full. Cease all collection action once a Fair Hearing is requested. Upon request for a Fair

Hearing, enter “X” in the Appeal Indicator field on the Debtor Detail screen in EPICS and document in EPICS. Send the State Office/Attn: Program Integrity a written request to block the debtor from TOP and DOR interception until a hearing decision is received. The request must be signed by the Investigator and Program Integrity Supervisor and contain justification for the request. Fax the request to 919-334-1265. Request removal of the TOP and DOR blocks once the hearing decision is received and document in EPICS. Fax a request with two signatures to 919-334-1265, Attn: Program Integrity.

Mail DSS-8658 after the 10th day once the local agency has verified the debtor did not contest the Fair Hearing decision. The local agency must verify that the Fair Hearing decision has not been contested with Hearing and Appeals Section by phone at 919-855-3260 if a notice is not received by the 10th day. The date of the DSS-8658 must be entered by the local agency in EPICS on the Debtor Detail screen. Do not allow a Fair Hearing request past the 90th day as written on the DSS-8554.

The following should occur when a Fair Hearing decision is remanded back to the local agency:

a. The local agency should recalculate the overissuance.

b. No action can be taken until the local agency verifies with Hearings and Appeals Section that the debtor has not contested the remand decision. If the debtor does not contest the decision within 10 calendar days, the local agency must send a DSS-8658, Post Hearing Repayment Agreement.