M E M O R A N D U M

IM-122  07/02/01  TRAFFICKING FOOD STAMP CLAIMS


SUBJECT:
TRAFFICKING FOOD STAMP CLAIMS
 
DISCUSSION:
Effective immediately, food stamp claims are written and entered into the Claims Accounting and Restitution System (CARS) when an individual is found guilty of trafficking.  Trafficking is defined as the buying or selling of food stamp benefits for cash or items other than eligible food.  Trafficking includes exchanging food stamp benefits for firearms, ammunition, explosives, or controlled substances.

Trafficking food stamp claims cannot be entered into CARS until a determination of trafficking has occurred.  In most instances, the trafficking food stamp claim will be referred to county office staff by the Welfare Investigation Unit (WIU).  WIU investigates reports of possible trafficking and pursues an Intentional Program Violation disqualification against the individual.  WIU will provide county staff with the amount of the trafficking food stamp claim.

If county staff become aware of a possible trafficking offense, take the following action.

  • Make a referral to WIU by sending the individual's name, address, and DCN;
  •  WIU investigates and determines if the trafficking occurred;
  •  WIU pursues an IPV disqualification, if appropriate;
  •  WIU responds back to the county; and
  •  County office staff establish and enter a trafficking food stamp claim into CARS.
 Trafficking food stamp claims are entered into CARS differently than any other food stamp claim.  When entering a trafficking food stamp claim, use the following codes in the applicable fields:
  • program code 11,
  •  cause code 91 - trafficking food stamps,
  •  administrative hearing - U (upheld),
  • enter the amount of the claim and the name of the person who committed the violation, this information will appear on the demand letter;
  • enter all other fields as appropriate for any other food stamp claim.
When county staff enter a food stamp claim into CARS, program code 11 cannot be used unless it is a trafficking food stamp claim.  This code can only be entered when the cause code 91 is used.  The message "PROGRAM INVALID OR MISSING" will appear if program code 11 is used with any other cause code.  The message "CAUSE INVALID WITH PROGRAM" will appear if cause code 91 is used with any other program code.  The message "INVALID ADMINISTRATIVE HEARING" will appear if there is not a "U" in the administrative hearing field with program code 11.

A special demand letter, CARS-3 Trafficking demand letter, will automatically be sent the day after the food stamp claim is entered into CARS.  The demand letter will include the amount of the claim and the name of the person(s) who committed the violation.  A copy of this computer-generated letter is provided.  File a copy of the letter in the Forms Manual.
 
NECESSARY ACTION:
  • Review this memorandum with all appropriate staff.
  •  Refer any possible trafficking occurrences to WIU.
  • Enter trafficking food stamp claims into CARS using information referred by WIU.
  • Use program code 11 and cause code 91 to identify trafficking food stamp claims.
  • File the CARS-3 Trafficking demand letter in the Forms Manual.
MRT
Distribution #3
Attachment
[ Memorandum Table of Contents ]
IM-121
IM-123