MEMORANDUM

DISCUSSION:

The purpose of this memorandum is to introduce the CARS-7 Food Stamp Repayment Agreement form.  A CARS-3 repayment agreement is generated and sent with the demand letter when a claim is established in the Claims Accounting and Restitution System (CARS).  The debtor(s) are instructed to return the agreement within 30 days of the demand letter.

If a debtor does not have the original repayment agreement and wishes to enter an agreement to repay a Food Stamp debt, give the debtor the CARS-7 FOOD STAMP REPAYMENT AGREEMENT.  The repayment agreement may be signed by the debtor any time there is a claim balance.

If the debtor enters an agreement and cannot pay the agreed amount, (s)he may contact the county to re-negotiate the payment.  The debtor signs a new repayment agreement.  The agreement amount may not be less than the minimum payment required by policy.

EXAMPLE: The debtor signs a repayment agreement for $30 a month on May 1, 2008.  On July 2, 2009 the debtor contacts the county stating (s)he has had a change in income and can only pay $10 a month.  If the claim is an Agency Error or Inadvertent Household Error, the repayment agreement can be re-negotiated to $10 a month.  If the claim is an Intentional Program violation, the repayment agreement can be re-negotiated to $20 a month.

If the claim has been certified to the Treasury Offset Program (TOP), and there is a repayment agreement for $50 or greater, forward the request for re-negotiation of the repayment agreement to the Food Stamp Program and Policy Unit.  Please send completed forms to ColeFSPolicy@dss.mo.gov, or fax to 573-522-4333.  If the claim has been certified to TOP and the agreement is less than $50 or there is no agreement, the county may renegotiate the payment.

Follow instructions in CARS user guide ENTERING REPAYMENT AGREEMENTS AND PROCESSING PAYMENTS IN THE CLAIMS ACCOUNTING AND RESTITUTION SYSTEM (CARS).

The WORD and PDF versions of this form and instructions will be available on the Intranet. This form will not be available from the warehouse.

To access the PDF version and instructions:

• go to Family Support Division (FSD) Intranet site,
• select Food Stamps,
• under Forms select Forms Manual from the drop-down list,
• select Volume 1, and
• select CARS-7 Food Stamp Repayment Agreement form instructions.

To complete the WORD version,

• go to D:\FSFORMS and
• select CARS-7 Food Stamp Repayment Agreement form.

Food Stamp Manual sections 1142.055.00 Collection Procedures and 1142.055.10 Repayment Agreement have been updated to include the CARS-7.

NECESSARY ACTION:

• Review this memorandum with appropriate staff.
• Offer the Food Stamp Repayment Agreement to any debtor requesting to make an agreement to repay the debt.

NEY/SW