2-015.02A General Rules

The following procedures are used in handling changes in income:

1. Initiate action within three working days to verify the change;
2. Determine income information on N-FOCUS and run the budget;

3. For an adverse action, send a timely notice. Make the change the first month possible. If the change is not an adverse action, re-do the budget for the month that the change was reported. When recomputing the budget for a prior month(s), use actual income; do not use conversion charts.

4. Note: To determine if an overpayment occurred, recompute the budget for the first month the income could have been prospectively budgeted if the client did not report the change timely and did not have good cause,.
5. If the income figure in step 3 is verified, use that figure in the next three months' payment budgets if no other changes are reported;
6. If the income used in step 3 is based on the client's statement, compute the budget for the month following receipt of verification; and

7. If no other changes have been reported, determine after three months' receipt of income if income fluctuates or is stable and apply the appropriate rules.

   The worker must record in the case record the date of reported change, method of estimating income, and the date verification was made. Only one budget may be based on the client's declaration of income. If the worker has not received verification for the second budget, the case must be closed.

Overpayments must be corrected beginning with the month the change occurred, considering timely notice provisions.

(12/14/91)