Supplemental Nutrition Assistance Program (SNAP) Manual – Table of Contents

1142.045.00 DEMAND LETTERS

IM-#107 December 2, 2013IM-#142 December 2, 2005

A CARS-3 demand letter is generated and sent to all EUs when a Food Stamp 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 (compromise), and
  • notification of the right to a fair hearing.

A repayment agreement is included with the demand letter.

When a demand letter for a Food Stamp claim is returned as undeliverable, check to see if there is a current address available.

  • If there is an updated address available, place the entire demand letter in another envelope and mail to the correct address. Update the claim address using OVDC screen.
  • If there is no updated address available, refer the claim to WIU using a DOI-1 Referral for Investigation form requesting a current address.

WIU attempts to locate a current address for the EU and notifies the eligibility specialist. Re-mail the letter to the address provided by WIU.

Note:  After a Food Stamp CARS-3 is sent, collection procedures are initiated and continue regardless of the letter being returned as undeliverable.

Record a comment regarding whether contact was made with the EU and the address to which the demand letter was re-mailed on the Note Add (OVNA) screen.