1. (1) An IPV occurs when a person, either personally or through a representative, intentionally, knowingly, or recklessly, as those terms are defined in Section 76-2-103, and as shown by clear and convincing evidence, violates a program rule, or helps another person violate a program rule, in an attempt to obtain, maintain, increase, or prevent the decrease or termination of a public assistance payment from any program listed in Section R986-100-102. An act which may constitute an IPV includes:

   1. (a) making a false or misleading statement;
   2. (b) misrepresenting, concealing, or withholding a fact or information;
   3. (c) posing as someone else;
   4. (d) taking, using, or accepting a public assistance payment that the person knew they were not eligible to receive, or not reporting the receipt of a public assistance payment that the person knew they were not eligible to receive;
   5. (e) not reporting a material change as required by Title R986;
   6. (f) committing an act intended to mislead, misrepresent, conceal, or withhold a fact or propound a falsity;

   7. (g) accessing TANF financial assistance benefits through an electronic benefit transfer, including through an automated teller machine or point-of-sale device, in an establishment in the state that:

      1. (i) exclusively or primarily sells intoxicating liquor;
      2. (ii) allows gambling or gaming; or
      3. (iii) provides adult-oriented entertainment where performers disrobe or perform unclothed;

   8. (h) using TANF financial assistance benefits to purchase beer, intoxicating beverages, cigarettes, or tobacco; or

      1. (i) committing any act that constitutes a violation of federal or state law for the purpose of using, presenting, transferring, acquiring, receiving, possessing, or trafficking SNAP or EBT cards.

2. (2) When an IPV is alleged, the Department may:

   1. (a) refer the case for criminal prosecution;
   2. (b) in a SNAP case, refer the case for an ADH; or
   3. (c) in a non-SNAP case, issue an initial decision finding the person committed an IPV, which the person may appeal via the fair hearing process set forth in Sections R986-100-123 through R986-100-135.

3. (3)(a) The Department may not disqualify a person from SNAP unless an ADH has been held or the person has been criminally convicted.

   1. (b) The Department may not make concurrent referrals for an ADH and criminal prosecution.
   2. (c) If a SNAP case referred for criminal prosecution is dismissed or referred back to the Department without prosecution, the Department may refer the case for an ADH.

4. (4) A person who is found liable for committing an IPV in either an administrative or criminal proceeding shall:

   1. (a) in the case of any program other than SNAP, be assessed a civil penalty of 10% of the amount of the overpayment; and

   2. (b) in the case of any program other than Medicaid, be disqualified from receiving assistance from the program at issue for a period of:

      1. (i) 12 months for a first offense;
      2. (ii) 24 months for a second offense; and
      3. (iii) permanently for a third offense.
5. (5) Disqualifications run concurrently.
6. (6) A disqualification applies only to the person found to have committed an IPV, however, each adult member of the relevant household when the overpayment occurred is responsible for repaying the overpayment.
7. (7) If a more specific provision of federal or state law provides for a different sanction for committing an act that constitutes an IPV, that provision is controlling.
8. (8) All the income and assets of a person who has been disqualified from assistance for an IPV continue to be counted and affect the eligibility and assistance amount of the household assistance unit in which the person resides.

9. (9)(a) If an individual has been disqualified in another state, the disqualification period for the IPV in that state will apply in Utah, provided the act that resulted in the disqualification would have resulted in a disqualification had it occurred in Utah.

   1. (b) If the individual has been disqualified in another state for an act that would have led to disqualification had it occurred in Utah and is found to have committed an IPV in Utah, the prior period of disqualification in any other state count toward determining the length of disqualification in Utah.

10. (10) A person being disqualified will be notified that a disqualification period has been determined.

    1. (a) A disqualification period shall begin no later than the second month following the date the person being disqualified receives written notice of the disqualification and continues in consecutive months until the disqualification period has expired.
    2. (b) The Department will also provide written notice to any remaining household members informing them of the allotment they will receive during the disqualification period.
11. (11) Nothing in Title R986 is intended to limit or prevent a criminal prosecution for fraud based on the same facts used to determine an IPV.

KEY: employment support procedures, hearing procedures, public assistance, SNAP

Date of Last Change: December 29, 2022

Notice of Continuation: August 14, 2025

Authorizing, and Implemented or Interpreted Law: 35A-3-101 et seq.; 35A-3-301 et seq.; 35A-3-401 et seq.