HAR §17-683-58. Collection methods

(a) The branch shall collect payments for any claim by reducing the amount of monthly benefits that a household receives unless the claim is being collected at regular intervals at a higher amount or another household is already having its allotment reduced for the same claim. (1) For an IPV claim, limit the amount reduced to the greater of $20 or twenty per cent of the household’s monthly entitlement unless the household agrees to a higher amount. (2) For an IHE or AE claim, limit the amount reduced to the greater of $10 or ten per cent of the household’s monthly allotment unless the household agrees to the higher amount. (3) The branch shall not reduce the initial allotment when the household is first certified unless the household agrees to the reduction. (4) The department shall not use additional involuntary collection methods against individuals in a household that is already §17-683-58 683-26 having its benefit reduced unless the additional payment is voluntary. (b) The department shall allow a household to pay its claim using benefits from its EBT account. (1) For collections from active or reactivated EBT benefits, the branch shall obtain a written agreement in advance and in accordance with paragraph (4) of this subsection. For one time only reductions, an oral request shall be acceptable with the department sending the household a receipt of the transaction within ten days. (2) For collections from EBT benefits which have been identified for expungement, the branch shall inform the household of the department’s intent to apply any amount or any portion of any amount remaining in the household’s EBT account to an outstanding claim. The notification to the household shall occur any time prior to the department’s action to debit the household’s EBT account. (3) A collection from an EBT account must be nonsettling against the benefit drawdown amount. (4) At a minimum, any written agreement with the household to collect a claim using active EBT benefits must include: (A) A statement that this collection activity is strictly voluntary; (B) The amount of the payment; (C) The frequency of the payments (i.e., whether monthly or one time only); (D) The length (if any) of the agreement; and (E) A statement that the household may revoke this agreement at any time. (c) The branch must reduce any restored benefits owed to a household by the amount of any outstanding claim. This may be done at any time during the claim establishment and collection process. §17-683-59 683-27 (d) The department must accept any payment for a claim whether it represents full or partial payment. The payment may be in any of the acceptable formats. (e) The department may accept installment payments made for a claim as part of a negotiated repayment agreement. If a household fails to submit a payment in accordance with the terms of the negotiated repayment schedule, the claim becomes delinquent and will be subject to additional collection actions. (f) If authorized by a court, the value of a claim may be paid by the household performing public service. (g) The department may employ any other collection actions to collect claims. These actions include, but are not limited to, referrals to collection or other similar private and public sector agencies, lottery offsets, wage garnishments, property liens and small claims court. (h) When an unspecified joint collection is received for a combined public assistance and food stamp recipient claim, each program must receive its pro rata share of the amount collected. An unspecified joint collection is when funds are received in response to correspondence or a referral that contained both the food stamp and other program claim(s) and the debtor does not specify to which claim to apply the collection. [Eff and comp 11/19/05] (Auth: HRS §346-14) (Imp: 7 C.F.R. §273.18(g))