Current through Register Vol. 50, No. 9, March 1, 2024
RELATES TO: KRS Chapter 13B, 205.231,
7
C.F.R. 273.15,
273.17,
7 U.S.C.
2015
NECESSITY, FUNCTION, AND CONFORMITY:
KRS
194A.010(2) requires the
Cabinet for Health and Family Services to administer income-supplement programs
that protect, develop, preserve, and maintain families and children in the
Commonwealth.
KRS
194A.050(1) requires the
secretary to promulgate administrative regulations necessary to implement
programs mandated by federal law or to qualify for the receipt of federal funds
and necessary to cooperate with other state and federal agencies for the proper
administration of the cabinet and its programs.
KRS
205.231 establishes the appeals process for
applicants or recipients of public assistance.
7 C.F.R.
271.4 requires each state to administer a
Supplemental Nutrition Assistance Program (SNAP).
7 C.F.R.
273.16 requires the agency administering SNAP
to provide a hearing process for individuals accused of intentionally violating
a SNAP regulation and to implement penalties and disqualifications for these
violations.
KRS
13B.170 authorizes the cabinet to promulgate
administrative regulations that are necessary to carry out the hearing process
to be followed in the Commonwealth. This administrative regulation establishes
the procedures used by the cabinet in determining if an intentional program
violation (IPV) has occurred and the penalties that shall be applied for an
IPV.
Section 1. Administrative
Disqualification Hearings.
(1) Unless a
different procedure is specified in this administrative regulation, an
administrative disqualification hearing shall:
(a) Be conducted in accordance with
921 KAR 3:070 and
KRS Chapter 13B; and
(b) Include
the issuance of an order in accordance with the Correspondence from the Office
of the Attorney General dated April 5, 2012.
(2) The cabinet shall retain:
(a) The official record of an administrative
disqualification hearing until all appeals have been exhausted; and
(b) A case record with an IPV
disqualification indefinitely.
Section 2. Intentional Program Violations.
(1) If the cabinet suspects that an
individual committed an IPV, as defined in
921 KAR 3:010, the
cabinet shall:
(a) Initiate an administrative
disqualification hearing; or
(b) If
warranted by the facts of the case, refer the suspected IPV claim to the Office
of the Inspector General (OIG) for investigation or referral for
prosecution.
(2) An
administrative disqualification hearing may be initiated regardless of the
current eligibility of an individual.
(3) If the OIG determines that the IPV does
not warrant investigation or referral for prosecution, the cabinet shall
initiate an administrative disqualification hearing as specified in this
administrative regulation.
Section
3. Notification.
(1) Form FS-80
(EF) or (TR), Notice of SNAP Suspected Intentional Program Violation, shall
serve as the notification to a household of the:
(a) Cabinet's suspicion that an IPV has been
committed;
(b) Amount and period of
the overpayment for the suspected IPV; and
(c) Household's right to an administrative
disqualification hearing.
(2) The cabinet shall provide an individual
suspected of an IPV a Form FS-80, Supplement A (EF) or (TR), Voluntary Waiver
of SNAP Administrative Disqualification Hearing, which allows the individual to
waive the right to an administrative disqualification hearing, with or without
admitting an IPV was committed.
(3)
If the household does not return the FS-80, Supplement A (EF) or (TR), the
cabinet shall schedule an administrative disqualification hearing in accordance
with
7 C.F.R.
273.16(e)(3) and
(4).
(4) In accordance with
KRS
13B.050, the administrative disqualification
hearing notice shall be sent:
(a) By
certified mail, return receipt requested, to the individual; or
(b) By another method, such as electronic or
first class mail, if the individual waives his or her right to certified mail
delivery under
KRS
13B.050.
(5) The administrative disqualification
hearing notice shall provide information as specified in
7 C.F.R.
273.16(e)(3)(iii).
(6) In accordance with
7 C.F.R.
273.16(e)(2)(iii), the
hearing officer shall advise the household member or representative that they
may refuse to answer questions during the hearing.
(7) The cabinet shall provide a household
notice regarding the IPV determination in accordance with
7 C.F.R.
273.16(e)(9) and
KRS
13B.120.
Section 4. Timeframes.
(1) Within the ninety (90) day timeframe
specified in
7 C.F.R.
273.16(e)(2)(iv), the
cabinet shall:
(a) Conduct an administrative
disqualification hearing; and
(b)
Issue a final order pursuant to the provisions established in
921 KAR 3:070,
Section 14.
(2) In
accordance with
7 C.F.R.
273.16(e)(2)(iv), a hearing
may be postponed:
(a) One (1) time;
and
(b) For no more than thirty
(30) days.
(3) If a
hearing is postponed, the time limit specified in subsection (1) of this
section shall be extended for as many days as the hearing is
postponed.
Section 5.
Hearing Attendance.
(1) An administrative
disqualification hearing shall be conducted in accordance with
7 C.F.R.
273.16(e)(4).
(2) If a household member or representative
cannot be located or does not appear for the administrative disqualification
hearing, the hearing officer shall:
(a)
Conduct the hearing without the household member or representative;
(b) Consider the evidence; and
(c) Determine whether an intentional program
violation was committed based on clear and convincing evidence.
(3) In accordance with
7 C.F.R.
273.16(e)(4), the cabinet
shall rescind a determination of an intentional program violation and conduct a
new hearing upon an order of finding if the:
(a) Household was not represented at the
hearing;
(b) Individual was
determined to have committed an IPV;
(c)
1.
Individual, within ten (10) days of the scheduled hearing, establishes good
cause for failure to appear in accordance with
921 KAR 3:070,
Section 8(2); or
2. Individual,
within thirty (30) days after the date of the notice, establishes good cause
for failure to appear in accordance with
921 KAR 3:070,
Section 8(2)(f), by showing nonreceipt of the notice of hearing; and
(d) Secretary or the secretary's
designee is not considering the same matter.
Section 6. Benefits and Participation.
(1) In accordance with
7 C.F.R.
273.16(e)(5), the
participation of a household suspected of an IPV shall not be affected by the
suspected IPV until a disqualification is implemented based on the:
(a) IPV being substantiated by the final
order or a court of appropriate jurisdiction;
(b) Individual waiving the right to an
administrative disqualification hearing by completing, signing, and returning
the FS-80, Supplement A (EF) or (TR); or
(c) Individual completing, signing, and
returning the form FS-111, Supplemental Nutrition Assistance Program
Disqualification Consent Agreement, pursuant to Section 7 of this
administrative regulation.
(2) If the cabinet's determination of an IPV
is later reversed, the cabinet shall:
(a)
Reinstate the individual, if eligible; and
(b) In accordance with
7 C.F.R.
273.17, restore benefits:
1. That were lost as a result of the
disqualification; and
2. For no
more than twelve (12) months.
Section 7. Deferred Adjudication.
(1) The cabinet shall accept a completed form
FS-111 in a case of deferred adjudication pursuant to
7 C.F.R.
273.16(h).
(2) In accordance with
7 C.F.R.
273.16(h), the cabinet shall
notify an individual signing an FS-111 of the:
(a) Consequences of consenting to
disqualification;
(b)
Disqualification; and
(c) Effective
date of the disqualification.
Section 8. Penalties.
(1) In accordance with
7 C.F.R.
273.16(b), an individual
shall be ineligible to participate in SNAP, if the individual has:
(a) Committed an IPV, as determined by:
1. An administrative disqualification
hearing; or
2. A court;
or
(b) Signed a waiver
of right to an administrative disqualification hearing or a disqualification
consent agreement.
(2)
The time periods for IPV disqualifications shall be implemented in accordance
with
7 C.F.R.
273.16(b).
(3) In accordance with
7 C.F.R.
273.16(b)(11), the cabinet
shall only disqualify the individual who meets the criteria specified in
subsection (1) of this section, not the entire household.
(4) In accordance with
7 C.F.R.
273.16(b)(12), the cabinet
shall hold the entire household responsible for making restitution on an
overpayment, not just the disqualified individual.
(5) The cabinet shall inform the household in
writing of the disqualification penalties for committing an IPV each time the
household applies for benefits.
Section 9. Procedures for Appeal. In
accordance with
7 C.F.R.
273.16(e)(8)(ii):
(1) Further administrative appeal procedures
shall not exist after an:
(a) Administrative
disqualification hearing determines that an IPV was committed; or
(b) Individual waives the right to an
administrative disqualification hearing;
(2) A cabinet determination of an IPV shall
not be reversed by a final order from a subsequent fair hearing; and
(3) An individual determined to have
committed an IPV may seek relief in a court having appropriate jurisdiction
pursuant to
KRS
13B.140.
Section 10. Incorporation by Reference.
(1) The following material is incorporated by
reference:
(a) The "Correspondence from the
Office of Attorney General dated April 5, 2012", April 5, 2012;
(b) "FS-80 (EF), Notice of SNAP Suspected
Intentional Program Violation", 05/21;
(c) "FS-80 (TR), Notice of SNAP Suspected
Intentional Program Violation", 5/21;
(d) "FS-80, Supplement A (EF), Voluntary
Waiver of SNAP Administrative Disqualification Hearing", 11/21;
(e) "FS-80, Supplement A (TR), Voluntary
Waiver of SNAP Administrative Disqualification Hearing", 11/21; and
(f) "FS-111, Supplemental Nutrition
Assistance Program Disqualification Consent Agreement", 05/21.
(2) This material may be
inspected, copied, or obtained, subject to applicable copyright law, at the
Department for Community Based Services, 275 East Main Street, Frankfort,
Kentucky 40621, Monday through Friday, 8 a.m. to 4:30 p.m. This material may
also be viewed on the department's Web site at
https://chfs.ky.gov/agencies/dcbs/Pages/default.aspx.
STATUTORY AUTHORITY:
KRS
13B.170,
194A.010(2),
194A.050(1),
7 C.F.R.
271.4,
273.16
