11128 Reserved

11129 Compromising Claims - The compromise method of payment shall be used in the following situations when the amount of the claim is reduced in accordance with a court or Fraud Unit agreement. The amount determined uncollectable shall be entered as the amount compromised.
 

All actions to compromise the balance of a claim are done by Central Collection Unit  following established practices for submitting payments. The compromise method can be used on all programs, and must be pre-authorized by Fraud Unit staff and/or the Central Collection Unit Supervisor.

11130 Expunged Benefits - Expunged food assistance, child care and cash benefits are benefits that have been aged off and not returned to the system and the EBT account within 12 months from the date they were initially made available. These benefits cannot be used as payment on a claim, however, they shall be used to reduce the amount of any active claims with a balance of $10 or more that the client has.

Expunged food assistance benefits can only be used to reduce the amount of food assistance claims. Expunged child care benefits can only be used to reduce the amount of child care claims. Expunged cash benefits can be used to reduce the amount of cash claims and food assistance claims if no cash claims exist.

This activity is managed by the system automatically, including notification to the household.

NOTE: The month of overpayment does NOT have to match the month of the expunged benefits. If it is determined that the month of expunged benefits matches the month of the claim, then that claim will be modified. If there is not a match, then any active claim will be modified, with a priority order of fraud, client and agency.