M E M O R A N D U M

IM-108  08/11/03 ELIMINATION OF TRANSACTION CODE 31 FOR THE CLAIMS
ACCOUNTING AND RESTITUTION SYSTEMS (CARS)


SUBJECT:
ELIMINATION OF TRANSACTION CODE 31 FOR THE CLAIMS ACCOUNTING AND RESTITUTION SYSTEMS (CARS)
DISCUSSION:
Effective August 15, 2003, the use of transaction code 31 on a CARS-2 CLAIM PAYMENT TRANSMITTAL form is eliminated for the Food Stamp Program.  These are reasons the transaction code 31 has been used in the past:
  • NO OVERPAYMENT
  • INCREASE AN OVERPAYMENT
  • DECREASE AN OVERPAYMENT 
Use these procedures when an overpayment amount is changed:

NO OVERPAYMENT

A claim that was established in error including a hearing reversal of an entire claim amount is processed by terminating the claim.  To terminate a claim, go to the OVCC screen, change the status to T, type the reason, and press enter. Record the reason for the termination and describe the documentation used to make the decision on OVNA. If any payments (including recoupment) have been made on the claim, submit a CARS-2 with transaction code 22 for the amount of the payments.  Write on the top of the CARS-2 the reason for the termination. 

INCREASE OVERPAYMENT

If it is discovered a claim was originally established for less than it should have been, establish a new claim for the difference.  Record on OVNA the reason for the increase, tying the two claims together.

DECREASE OVERPAYMENT

If it is discovered a claim was originally established for more than it should have been, submit a CARS-2 requesting the balance be reduced using transaction code 22.  Write on the top of the CARS-2 the reason for the reduction.  Record the reason for the reduction and describe the documentation used to make the decision on OVNA. 

Supervisory approval is required to submit a CARS-2.  If you are not sure how to handle a change, contact the Food Stamp Program and Policy Unit at 573-751-3178.

NECESSARY ACTION:
  •  Review this memorandum with appropriate staff.
  • Discontinue use of transaction code 31 for CARS.
NEY

IM-107
[ 2003 Memorandums ]
IM-109