Public Assistance Grant Reductions - Failure to Comply

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Failure to Comply - Overview

When a federal, state or local public assistance/welfare program’s cash aid (i.e. CalWORKs, GA, RCA, Foster Care, etc.) is reduced due to a failure to comply with a program requirement which occurred on or after February 1, 1997, the CalFresh benefits must NOT be increased due to this cash aid reduction.

Changes in the household circumstances which are NOT related to the failure to comply sanction/penalty but which occur in the same month must be acted upon, even if those changes increase the CalFresh benefit amount. Examples include:

  • Loss of a source of income,
  • Increase in the shelter deduction or
  • Adding a new household member.

Failure to Comply - Examples

Examples of failure to comply sanctions/penalties which may result in a cash aid reduction, and therefore, require action under this regulation include but are not limited to:

  • Deletion of an individual from the grant for failure to meet an alternate work program’s work requirement (e.g. Employment Services) IF the client is NOT also sanctioned for CalFresh. Refer to Failure to Comply with a Substitute Program’s Work Requirements.
  • Deletion of an individual from the CalWORKs grant, who is ineligible for CalFresh benefits due to his/her non-citizen status, for failure to meet the CWES work requirement.
  • A 25% grant reduction due to failure to turn in child support or cooperate with the Department of Child Support Services.
  • Deletion of a person from the AU for refusal to assign support rights.
  • Reduction in the CalWORKs grant due to a Cal-Learn penalty.
  • Grant reduction due to the collection of a **CLIENT CAUSED “other” overpayment.

** A CLIENT CAUSED “other” overpayment is an overpayment in which the client failed to meet his/her reporting responsibilities.

Client Caused Other Overpayment Examples

The following are examples of client caused “other” overpayments.

ExampleExample

(SAR 7 Data Month is February, Submit Month is March)

A client fails to report that her daughter left the home on February 23rd until the Redetermination (RD) is done in September. The client should have reported her daughter left the home on the March SAR 7 which she failed to do. A client caused “other” overpayment occurred in April, May, June, July, August and September.

Non-Client Caused Other Overpayment Examples

The following are examples of “other” overpayments which were NOT client caused for CalFresh purposes.

ExampleExample

On May 30th, a client calls her worker to report that she was convicted of a drug felony on May 27th. Due to the need to give a 10-day notice, an overpayment occurs in June. Since the client met her reporting responsibilities, this NOT a client-caused “other” overpayment.

ExampleExample

On June 23rd, a client calls her worker to report that she is starting a job on June 28th. Her income is over the IRT and it is determined that she is not eligible for CalWORKs in July. Since the client met her reporting responsibilities, this is NOT a client-caused “other” overpayment.

Failure to Comply- Exception

The failure to comply rule does not apply when an individual is sanctioned for failure to meet an alternate work program’s work requirement (e.g. Employment Services for CalWORKs) IF the individual is also DISQUALIFIED for CalFresh. Refer to Failure to Comply with a Substitute Program’s Work Requirements.

Determination of the Grant Reduction Amount

To determine the amount of the grant reduction, use the following chart:

If Cause of Grant Reduction is: Then the amount of the grant reduction is:
CalWORKs 25% child support penalty, The full CalWORKs grant before reduction.
CalWORKs child support sanction, MAP differential
“CLIENT CAUSED” OTHER overpayment Actual amount being adjusted on the overpayment.
CalLearn Penalty, Actual amount being taken out of grant.
Work requirement sanction for another program but individual remains CalFresh eligible, MAP differential
Work requirement sanction for another program when the individual is NOT CalFresh eligible due to his/her noncitizen status, MAP differential
All other sanctions in which individual is removed from the AU, MAP differential

Public Assistance Grant Reduction Examples

ExampleExample

A CalWORKs household consists of a mom and her 3 children. The RV is due in December, 2004. On July 10, 2004, the Department of Child Support Services (DCSS) notifies the EW that the client has failed to appear for her second appointment. The client’s CalWORKs grant is reduced by 25% starting August 1, 2004 and continuing, until she cooperates. Prior to the penalty, the household’s CalWORKs grant was $839. Due to the penalty, the household’s CalWORKs grant is reduced to $629.

ExampleExample

A notice is sent to the EW on May 12, 2004, to impose a $100 Cal-Learn penalty due to failure to attend school as required. The June and July grants are reduced by $50 each month.

ExampleExample

A $20 General Assistance (GA) overpayment is caused by the client’s failure to report earnings on a timely basis. The GA grant for October 2004 is REDUCED by $20 to collect this overpayment. The $20 overpayment adjustment needs to be counted as additional income in the CalFresh budget.

Related Topics

Earned Income