.07 Methods of NA Overpayment Collection - Interstate Collection
When a household moves out of State, FAA continues combined collection action with other states against the household for any overpayment that occurred while the household resided and participated in Arizona.
The state that overissued beneifts to the household has the first opportunity to collect.
When the state that overissued benefits to the household does not take prompt action to collect, the state agency that administers the program in the area into which the household moves should initiate collection.
Prior to initiating collection, the state into which the household moved must contact the state that overissued benefits to verify that it does not intend to pursue collection.
NOTE The state's share of any collections are retained by the state agency that collects the overpayment.