A CARS-3 demand letter is generated and sent to all households when a SNAP claim is entered. The day the letter is generated is the day the claim is established. The demand letter contains:
- the amount of the claim
- the time period of the claim
- the reason for the claim
- the persons responsible for the claim
- the calculation of the overpayment
- repayment agreement options including notification of allotment reduction procedures
- notification of ability to request reduction of claim balance for some claims (see 1142.055.05 Compromising Claims), and
- notification of the right to a fair hearing
A repayment agreement is included with the demand letter.
Note: After a SNAP CARS-3 is sent, collection procedures are initiated and continue regardless of the letter being returned as undeliverable.