153 CHANGES THAT DECREASE BENEFITS (FAM)

SR 03-33 Dated 09/03

Previous Policy

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When an individual reports a change in earned income that will reduce or terminate benefits:

• first attempt collateral contact. If collateral contact is successful, consider the reported information as verified and no further action is necessary; or

• if collateral contact is unsuccessful, verify the change using the information that the client provided.

For all other changes that will reduce or terminate benefits, take action as follows:

• Determine whether the change will decrease or terminate benefits within 10 working days after the individual reports the change.

Financial Assistance — Terminating cases receive only payments due prior to the expiration of the ANP. Decreasing cases receive the lower payment for the payroll in which the ANP expires.

Medical Assistance — Terminations are effective the last day of the ANP.

• If verification is not provided when the individual reports the change and you cannot determine if the result will be a decrease or termination, allow the individual 10 calendar days to provide verification of the change.

If verification is not provided within the time frames, terminate the case.

Process a claim if an overpayment or overissuance occurs. See Chapter 700, Part 713.