A. To correct an underpayment, the local department shall:
- (1) Correct continuing payments promptly, if appropriate;
- (2) Authorize corrective payment as a one-time-only payment equal to the total amount of the underpayment from the time of discovery and correction, retroactive to the time the underpayment first occurred; and
- (3) Require that a supervisory level employee review and approve each fiscal authorization to correct an underpayment before payment is made.
- B. Corrective payments are not counted as income or resource for determining eligibility in the month paid or in the following month.
- C. The corrective payment is charged to the program funding source according to instructions issued by the Department.
- D. An uncorrected underpayment may be applied to offset an overpayment debt.
- E. When a decision of the Office of Administrative Hearings as applied to individuals similarly situated would result in a benefit, the local department shall, upon request of the individual, make retroactive adjustments to the date that the incorrect action was taken.
- F. A recipient or former recipient may request an administrative hearing to challenge the amount of an underpayment.
Authority: Human Services Article §§4-207, 4-303, 5-207, and 5-607, Annotated Code of Maryland
(Agency Note: Federal Regulatory Reference 45 CFR 233.20(a)(12))
Effective date: January 18, 1982 (9:1 Md. R. 19)
Regulation .01B amended effective May 23, 1983 (10:10 Md. R. 872); March 23, 1987 (14:6 Md. R. 713)
Regulations .02, .03C, and .05A, C amended effective May 23, 1983 (10:10 Md. R. 872)
Regulation .03E adopted effective July 25, 1988 (15:15 Md. R. 1808)
Regulation .05 amended effective March 23, 1987 (14:6 Md. R. 713); April 12, 1993 (20:7 Md. R. 640); October 1, 1996 (23:18 Md. R. 1315)
Chapter revised effective October 29, 2001 (28:21 Md. R. 1854)
Regulation .04 amended effective April 28, 2014 (41:8 Md. R. 469)
Regulation .05C amended effective August 16, 2004 (31:16 Md. R. 1253); April 28, 2014 (41:8 Md. R. 469)