PAYMENT
PROCESSING
CS 578P Coordination
of Overpayment Obligations
01/85 Revised 10/26/17 Training
Completed 12/18/03 Last Reviewed 08/04/25
Introduction
The
following establishes policy regarding coordination of IV-A overpayment cases
handled by the Department of Workforce Services (DWS) and IV-A child support
cases handled by the Office of Recovery Services/Child Support Services
(ORS/CSS) when the custodial parent (CP) has been found ineligible for
assistance primarily due to fraud.
When a child
support CP (an overpayment noncustodial parent (NCP)) is determined to be
ineligible for cash assistance s/he received and an overpayment exists for the
month or months in question, any child support the noncustodial parent (NCP)
has paid covering this time period will be figured into the Unreimbursed
Assistance (URA) calculation along with the amount of overpayment collections.
Refer to CS 600P Unreimbursed Assistance (URA) policy for details.
Manually
calculating URA is a joint effort between the CSS Central Registry Unit (CRU)
and designated members of the DWS overpayment collection team. When any
combination of payments to the child support and overpayment cases have been
made sufficient to reduce the URA balance to zero, the overpayment is
considered paid in full and any remaining balance owed in the child support
case is due the CP (the NCP in the overpayment case). If DWS has a criminal
restitution order for the amount of the overpayment, DWS will notify the
criminal attorney to collect no further payments on the obligation, and inform
Adult Probation and Parole (AP&P) that DWS considers the IV-A obligation
paid in full.
DWS will
credit all payments made to a IV-A overpayment case,
including those made by the CSS NCP (who may be a co-NCP on the IV-A
overpayment case), to the overpayment debt. All payments made to the child
support case will be credited to the IV-A child support debt balance. A refund
is necessary when the URA balance is driven positive by a payment. It may be
done by either DWS or CSS CRU, depending on the date of the payment that drives
the URA positive. If a CSS refund is necessary after a manual URA calculation
has been completed, issue a refund to the CP for the URA EXCESS amount.
Handling
Inquiries on Overpayment Cases
All OR_
debts open as OPMT (Erroneous Payment) cases on ORSIS fall into one of the
three categories listed below. If you receive an inquiry on an ORS overpayment
case, determine the debt type and refer to the following instructions:
1.
ORS forged check debts: These debts are worked by the
ORS Employer Agency Customer Service Unit (EACSU). Refer calls on these debts
to EACSU;
2.
ORS bad check debts: These are debts which resulted
from money that was paid to a CP from a NCP’s check that was returned from the
bank unpaid due to insufficient funds or stopped payment. If a CP calls to find
out why s/he did not receive a payment, and it posted to the CSS case to
replace a bad check, explain that the payment was used to repay a bad check on
the case; and,
3.
Other ORS debts (takebacks, transfers, and ORS
agency postings to the wrong debt): These debts are created when accounting
does a takeback or a transfer to the correct debt on the child support case.
The appropriate transaction code is used by accounting to process the takeback
or transfer which creates the overpayment case on ORSIS. Accounting may or may
not set up redirects on these debts. If a redirect is not set up, there should
be no calls on the case. If accounting sets up a redirect, the CP may have
questions. If you receive a call about a payment that has been redirected to
one of the above debts, refer the caller to the EACSU at 801-536-8333 or orsempagency@utah.gov.
General
Communication with DWS Overpayments
To contact
DWS overpayments you may:
1.
Fax at
801-526-9833; or,
2.
Telephone at
801-526-9810.