ARSD 67:12:06:01. Recovery of overpayments

The department shall recover overpayments as soon as possible through restitution by the individual or through recoupment by reducing the amount of the aid to families with dependent children (AFDC) grant. The reduced grant combined with other income and liquid resources may not be less than ninety percent of the need standard for the assistance unit. An overpayment results when a recipient receives a larger AFDC allotment than the recipient is entitled to receive. For recovery purposes, overpayments may result when: (1) The recipient fails to report a change in the household's circumstances; (2) The recipient reports a change in the household's circumstances but the change is reported incorrectly; (3) The department fails to react to a reported change in circumstances; or (4) There is a change in the household's circumstances after the AFDC payment is made.