CalWORKs Policy - Department of Public Social Services

CW 44-350.2 -
Overpayment Types
What are the overpayment types and how much
can be recovered?
LEADER will determine the following:
Client/Household Error
An overpayment caused by the participant when
he/she fails to report a change in income and/or a
change in the AU. When this happens the grant is
reduced by 10% of the MAP amount for the AU.
Agency Error
An overpayment caused by the county or non-fraud.
When this happens the grant is reduced by 5% of
the MAP amount for the AU.
See Benefit Recovery – Definitions for LEADER
procedures.
CW 44-350.5
Overpayments Due to
the Inability to Provide
10-day Notice
CW 44-350.6 - Non-
Assessment of an
Overpayment
CW 44-351.2 - Voluntary
Grant Offset
Can an overpayment be established without 10-
day notice?
No, an overpayment should be established when
the AU receives more cash aid than it was entitled
to receive due to the inability to provide 10-day
notice of an adverse action following the receipt of a
mandatory report, including the QR 7.
When will an overpayment not be assessed?
An overpayment will not be assessed based on any
differences between the amount of income that was
reasonably anticipated the participant would receive
during the QR Payment Quarter and the income the
participant actually received during that period,
provided the participant reports were complete and
accurate.
Can the applicant/participant request to have
his/her grant reduced by more than 5% or 10%?
A voluntary cash adjustment/repayment (Vol Offset)
in excess of the 5% or 10% of MAP is allowed upon
the applicant’s/participant’s written request via the
PA 853 (out of drawer), Affidavit. The EW must
clearly explain to the participant that a higher
repayment amount is voluntary. The participant is
not required to make a voluntary payment and
he/she may choose to have the grant adjusted
based on the appropriate amount (5% or 10%).
See Benefit Recovery – Definitions for LEADER
procedures.