.03 Computing the Overpayment – Should Have Been (Hand Budgets)
 
(01/01/21 - 12/31/21)
Complete the budget computation using hand budgets. Do not allow earned income deductions when budgeting earned income for an overpayment (OP) which is a result of the household failing to report and verify earnings timely. This occurs when a change in income, which is a mandatory part of the change reporting requirements, is not reported. Should Have Been (SHB) procedures are as follows:
 
Using verification in the case file, compute a corrected budget in AZTECS. For overpayments older than 12 months or NA budgetary units with more than 50 people, compute the corrected budget by using the following forms:
Nutrition Assistance Budget Worksheet (FAA‑1077A) form
CA Needy Family Test (FAA-0200A) form
CA Income Maximum and Needs Test (FAA‑0200C) form
Include a WAS budget for each overpayment month in which there was a change in circumstances. When a WAS budget is meant to cover more than one month, the months affected must be indicated on the WAS budget. Verify the amount using the appropriate AZTECS issuance and benefit history screens.
Complete a Should Have Been (SHB) budget for each month in which there was a change in circumstances that met the Standard or Simplified reporting requirements. When one SHB budget is meant to cover more than one month, all months affected must be indicated on the SHB budget sheets.
Compute SHB budgets for months using converted income, or the income that should have been projected at the time of determination. When the budget covers more than one month, note that on the budget.
Indicate on the Report of CA/NA Overpayment (FAA-0529A) form when it becomes necessary to revise an established overpayment month.
 
NOTE When an underissuance or underpayment is discovered utilizing the information provided timely by the participant during the interview or change within the last 12 months, the OP Writer completes the action necessary to issue the corrected benefit amount.