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Case situation reflecting changes is entered into CHIP, which calculates the overpayment and recoupment. When a recoupment case has been taken to court, the court ordered amount is entered into CHIP and the court ordered amount reduces benefits. If the cash benefit case is closed, automated recoupment is activated each time it is reopened until full repayment is made.

B. Non-Recipient ES Worker initiates collection of the overpayment as follows: 1. Sends CHIP Notice C500, Overpayment Demand Letter, or C501, Overpayment Demand Letter - DEW Data to the non-recipient. 2. Completes DSS Form 2627A, Repayment Agreement and Acknowledgment of Debt, when the non-recipient responds. 3. An acceptable method of payment is made to the county claims receivable clerk, who gives the individual a receipt. This may include cash, check, or money order.

20.14 Delinquent Claims The definition of a delinquent claim is one in which the responsible party has not agreed to repayment, or has agreed to repayment and has not made restitution as agreed.

1. Tax Intercept When any established claim becomes 90 days delinquent, the claim is referred automatically for SC income tax refund intercept, unless the case has been referred to Division of Investigation (DOI) for investigation/prosecution. Cases at DOI are not considered delinquent and will not be transferred for interception.

2. Obtaining a Judgment When DSS has exhausted administrative means to collect a claim, DSS may collect the claim in civil court (Court of Common Pleas). After judgment is obtained, a lien can be placed on the real or personal property of the responsible party.

After the lien is placed on the property, DSS may have the county sheriff sell the property at auction in order to obtain payment of the claim.

3. Probate Court A claim shall be filed in the county Probate Court whenever a person owing a claim dies. If the ES Worker becomes aware of the death of a recipient and a claim exists, the ES Worker will need to contact the Benefit Integrity Unit.

4. Bankruptcy Whenever a person owing a claim files for bankruptcy, the General Counsel will petition the bankruptcy court on behalf of DSS. When written notification that a person has filed for bankruptcy is received by DSS, all collection actions, including automated recoupment, will cease. A. Notification of Benefit Integrity Unit Fair Hearings on Automated Recoupments.