[Federal Register Volume 61, Number 202 (Thursday, October 17, 1996)]
[Rules and Regulations]
[Pages 54298-54303]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-26071]
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DEPARTMENT OF AGRICULTURE
7 CFR Parts 272 and 273
[Amendment No. 365]
RIN 0584-AB98
Food Stamp Program: Monthly Reporting on Reservations Provision
of the Food Stamp Program Improvements Act of 1994
AGENCY: Food and Consumer Service, USDA.
ACTION: Final rule.
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SUMMARY: This final rulemaking amends Food Stamp Program regulations to
establish procedures for implementing the restrictions concerning use
of monthly reporting for households residing on reservations contained
in the Food Stamp Program Improvements Act of 1994. It finalizes
provisions of a proposed rule published in the Federal Register on June
6, 1995.
DATES: This rule is effective December 16, 1996 and must be implemented
no later than the first day of the first month after February 18, 1997.
FOR FURTHER INFORMATION CONTACT: Margaret Werts Batko, Assistant Branch
Chief, Certification Policy Branch, Program Development Division, Food
Stamp Program, Food and Consumer Service, USDA, 3101 Park Center Drive,
Alexandria, Virginia 22302, or by telephone at (703) 305-2520, or over
the internet at [email protected]
SUPPLEMENTARY INFORMATION
Executive Order 12866
This final rule has been determined to be not significant for
purposes of Executive Order 12866 and therefore has not been reviewed
by the Office of Management and Budget.
Executive Order 12372
The Food Stamp Program is listed in the Catalog of Federal Domestic
Assistance under No. 10.551. For the reasons set forth in the final
rulemaking and related Notice(s) to 7 CFR 3105, Subpart V (Cite 48 FR
29115, June 24, 1983; or 48 FR 54317, December 1, 1983, as appropriate,
and any subsequent notices that apply), this program is excluded from
the scope of Executive Order 12372 which requires intergovernmental
consultation with State and local officials.
Regulatory Flexibility Act
This final rulemaking has also been reviewed with respect to the
requirements of the Regulatory Flexibility Act of 1980 (Pub. L. 96-354,
94 Stat. 1164, September 19, 1980). The Administrator of the Food and
Consumer Service (FCS), has certified that this rulemaking would not
have a significant economic impact on substantial number of small
entities. The primary impact of the procedures in this rulemaking would
be on FCS Regional Offices, State governments, and individuals who
might apply for benefits in State agencies that use monthly reporting
procedures. To the extent that county or other local governments assist
in the administration of the Food Stamp Program, they would also be
affected.
Executive Order 12778
This final rulemaking has been reviewed under Executive Order
12778, Civil Justice Reform. This rule is intended to have preemptive
effect with respect to any State or local laws, regulations, or
policies which conflict with its provisions or which would otherwise
impede its full implementation. This rule is not intended to have
retroactive effect unless so specified in the EFFECTIVE DATE section of
this preamble. Prior to any judicial challenge to the provisions of
this rule or the application of its provisions, all applicable
administrative procedures must be exhausted. In the Food Stamp Program
the administrative procedures are as follows: (1) for Program benefit
recipients--state administrative procedures issued pursuant to 7 U.S.C.
2020(e)(10) and 7 CFR 273.15; (2) for State agencies--administrative
procedures issued pursuant to 7 U.S.C. 2023 set out at 7 CFR 276.7 (for
rules related to nonquality control (QC) liabilities) or Part 283 (for
rules related to QC
[[Page 54299]]
liabilities); (3) for retailers and wholesalers--administrative
procedures issued pursuant to 7 U.S.C. 2023 set out at 7 CFR 278.8.
Paperwork Reduction Act
Information collection burdens in 7 CFR 273.21 governing reporting
and recordkeeping requirements for monthly reporting and retrospective
budgeting were approved by the Office of Management and Budget (OMB)
under OMB No. 0584-0064. The provisions contained in this final rule
change the content of certain notices to households, but would not
impose any additional or reduce any current reporting and recordkeeping
burden requirements. Since this final rule is placing into effect
through formal rulemaking an information collection burden already
approved, this rule has no effect on the existing burden estimates. FCS
will publish a notice in the Federal Register explaining in detail why
the information collection burden approved under OMB No. 0584-0064 is
not affected and providing a 60-day period for public comment on the
existing burden estimates. As required by the Paperwork Reduction Act
of 1995, FCS will submit an Information Collection Request to OMB for
extension of OMB No. 0584-0064 addressing any comments received.
Background
Section 1723 of the Mickey Leland Memorial Domestic Hunger Relief
Act (Title XVII of the Food, Agriculture, Conservation, and Trade Act
of 1990, Pub. L. 101-624, 104 Stat. 3359, November 28, 1990) amended
Section 6(c)(1)(A)(i) of the Food Stamp Act of 1977 (the Act), 7 U.S.C.
2015(c)(1)(A)(i), to exempt households residing on reservations from
monthly reporting and retrospective budgeting (MRRB) effective February
1, 1992. The Department announced the regulatory adoption of the
requirements of Section 1723 in a final rule amending 7 CFR
273.21(b)(4) published on December 4, 1991, 56 FR 63605, and scheduled
to take effect on February 1, 1992.
Since that time, several other pieces of legislation have been
enacted, each delaying the effective date of Section 1723.
Implementation was initially postponed by Section 908 of the Food,
Agriculture, Conservation, and Trade Act Amendments of 1991 (Pub. L.
102-237, 105 Stat. 1818, December 13, 1991) until April 1, 1993, and
then by Pub. L. 103-11 (107 Stat. 41, April 1, 1993) until February 1,
1994. In response, in a November 1, 1993, rulemaking, the Department
proposed at 58 FR 58459 a new implementation date of February 1, 1994.
Following publication of that proposed rule, Section 1 of Pub. L. 103-
205 (107 Stat. 2418) was enacted on December 17, 1993, again postponing
implementation of the prohibition concerning MRRB on reservations until
March 15, 1994. State agencies were notified of this delay through an
implementing memorandum dated January 6, 1994.
On March 25, 1994, the Food Stamp Program Improvements Act of 1994
(Pub. L. 103-225 (108 Stat. 106)) was enacted. Section 101(a) of that
law modified the provision prohibiting monthly reporting for households
residing on reservations that had been added to section 6(c)(1)(A) of
the Act (7 U.S.C. 2015(c)(1)) by Section 1723 of the Leland Act.
Section 6(c)(1)(C)(iii) now prohibits State agencies which were not
requiring households residing on reservations to submit monthly reports
on March 25, 1994, from establishing monthly reporting requirements for
these households. These households may be retrospectively budgeted.
State agencies that were using monthly reporting on March 25, 1994, for
households residing on reservations may continue to do so if certain
enumerated conditions are met. On August 29, 1994, in the Miscellaneous
Provisions of the Food, Agriculture, Conservation, and Trade Act
Amendments of 1991 and the Earned Income Tax Credit Amendment final
rule (59 FR 44303), the Department addressed the prohibition against
establishing new monthly reporting requirements for households residing
on reservations if no monthly reporting system was in place on March
25, 1994.
On June 6, 1995 at 60 FR 29767, the Department proposed regulations
that would address the provisions in Section 101(a) of Pub. L. 103-225
dealing with the one-month grace period afforded reservation households
for submitting required reports, 7 U.S.C. 2015(c)(1)(C) (i) and (ii).
This proposal was to establish the following requirements for a State
agency if it requires monthly reporting for households residing on
reservations:
(1) Reinstate benefits without requiring a new application for any
household that submits a report not later than one month after the end
of the issuance month; and
(2) do not delay, reduce, suspend, or terminate the allotment of a
household that submits a report not later than one month after the end
of the month in which the report is due; and
(3) establish two-year certification periods for households on
reservations required to submit monthly reports, unless the State
agency is granted a waiver for shorter certification periods.
The Department provided the public 60 days to comment on the
regulatory proposals. For additional information on the provisions of
this rule, the reader should refer to the preamble of the proposed
rule, 60 FR 29767-70. The Department received two comments on the
proposed rule, both from State agencies. Both commenters opposed the
rule as proposed; one of the commenters offered alternative procedures.
These comments are discussed below.
Definition of Residing on a Reservation
Section 3(j) of the Act (7 U.S.C. 2012(j)) defines a reservation as
``the geographically defined area or areas over which a tribal
organization (as that term is defined in subsection (3)(p)) exercises
governmental jurisdiction.'' Section 3(p) (7 U.S.C. 2012(p)) of the Act
defines a tribal organization as ``the recognized governing body of an
Indian tribe (including the tribally recognized intertribal
organization of such tribes), * * *, as well as any Indian tribe, band,
or community holding a treaty with a State government.'' Section 101(a)
of Pub. L. 103-225 did not modify the Act's definition of a reservation
or tribal organization. The Department proposed in Sec. 273.21(t)(1) to
adopt these definitions for the purpose of determining whether a
household is residing on a reservation. One commenter opposed these
definitions because the boundaries of the reservations in his State did
not correspond to geographic and ZIP code systems used by the State
agency in its certification process. That commenter wanted to allow
applicants and recipients to indicate to State agencies whether they
resided on reservations and also wanted State agencies to not be
responsible for inaccurate recipient indications of residency. The
Department has no discretion in the definition of a reservation, since
the term is described in the Act. Therefore, the Department is adopting
Sec. 273.21(t)(1) as proposed.
The regulation does not establish any proscriptive requirements on
a State agency for determining residency on a reservation. Therefore, a
State agency is free to establish its own method for establishing
residency. However, existing quality control procedures would be used
to determine whether a variance existed in a household's actual as
opposed to claimed residency. The definition of a reservation used in
the quality control procedure would be the definition in the
regulations at 7 CFR 271.2.
[[Page 54300]]
Certification Periods
In light of the amendments to Section 6(c)(1) of the Act made by
Section 101(a) of Pub. L. 103-225, the Act now requires that State
agencies establish two year certification periods for households
residing on reservations that are required to submit monthly reports (7
U.S.C. 2015(c)(1)(C)(iv)). Section 6(c)(1)(C)(iv) allows FCS to permit
a State agency to establish certification periods for households
residing on reservations shorter than two years if the State agency can
show good cause for a shorter certification period. The Department
proposed in Sec. 273.21(t)(2) that State agencies certify households
residing on reservations subject to monthly reporting for two years; in
Sec. 273.21(t)(2)(i), that a State agency may request a waiver from FCS
to allow it to establish shorter certification periods for those
households; and in Sec. 273.21(t)(2)(ii), that a State agency may, for
administrative ease, opt to continue the two-year certification period
for any household that moves off a reservation. The Department did not
receive any comments on these provisions. Accordingly, the Department
is adopting Sec. 273.21(t)(2) as proposed.
Missing and Incomplete Monthly Reports
Section 101(a) of Pub. L. 103-225 (7 U.S.C. 2015(c)(1)(C)(ii))
prohibits a State agency from delaying, reducing, suspending, or
terminating the benefits of a household residing on a reservation that
submits a report not later than one month after the end of the month in
which the report is due. Normally, if a complete monthly report is not
received within the time frames specified in 7 CFR 273.21, a State
agency would terminate the household. Under Section 101(a) of Pub. L.
103-225, a State agency must now issue benefits to a household residing
on a reservation on its normal issuance date even if the household has
failed to submit a monthly report. In order to implement this
provision, the Department proposed in Sec. 273.21(t)(3)(i) to require a
State agency to provide a household residing on a reservation which
does not submit its monthly report by the issuance date with the same
benefit amount that the household received the previous month. This
issuance must be provided to the household on the household's normal
issuance date. If the household's report is received prior to the
issuance date, but too late to be processed without delaying the
household's issuance, the Department proposed that the household be
issued its benefits on the normal issuance date.
In Sec. 273.21(t)(3)(ii), the Department proposed to require a
State agency to provide benefits to a household residing on a
reservation on the normal issuance date if the household submitted an
incomplete monthly report that could not be completed by the normal
issuance date. The State agency would be required to attempt to have
the household complete the report prior to the normal issuance date, in
accordance with the procedures in 7 CFR 273.21(j).
The Department proposed in Sec. 273.21(t)(3)(iii) that if a
household failed to submit a monthly report or submitted an incomplete
monthly report that was never fully completed and then failed to submit
the next consecutive monthly report or submitted an incomplete report
for the next consecutive monthly report that was not subsequently
completed by the issuance date, the household's participation would be
terminated in accordance with the provisions in 7 CFR 273.21(m). Also
in Sec. 273.21(t)(3)(iii), the Department proposed that the household
would not be terminated if it failed to ever submit or complete the
first missing monthly report so long as it submitted the next report by
the end of the month in which it was due.
The Department received one comment on the proposed provisions in
Sec. 273.21(t)(3). That commenter opposed the proposal as complicated,
cumbersome, and costly. Further, the commenter believed that the
proposal was contrary to the Department's efforts to improve program
integrity and promote personal responsibility. The State agency
commenting had already implemented the provision. In its implementation
it was requiring the household to submit the missing report prior to
any subsequent issuance after the initial grace month issuance. If the
missing report was not submitted by the end of the issuance (or grace)
month, the household would be terminated. The household would not be
reinstated unless it submitted the missing report by the end of month
following the issuance month.
In light of this comment, the Department has decided to revise the
proposed procedures significantly. These revisions are consistent with
the Department's goals to increase administrative flexibility for State
agencies. Therefore, the Department is replacing the proposed
Sec. 273.21(t)(3) with the following language which essentially tracks
the language of Section 6(c)(1)(C)(ii) of the Act: ``The State agency
shall not delay, reduce, or suspend the allotment of a household that
fails to submit a report by the issuance date.'' Each State agency will
be responsible for deciding what report must be submitted--either the
missing report [as the commenter suggested] or the next month's report
[as was proposed]. The State agency shall make that decision based on
what it believes is most appropriate for recipients and most
administratively feasible for that State. Additionally, each State
agency may unilaterally decide whether to consider a report received
too late to act on or an incomplete report as ``submitted'' for
purposes of this provision.
Benefit Determination
The Department proposed in Sec. 273.21(t)(4) that, in appropriate
instances, a State agency repeat the previous month's benefit amount if
a report is not received by the issuance date of the next month's
allotment. In addition, the Department proposed in Sec. 273.21(t)(4)
that a State agency issue the household's benefits based on the
previously submitted report without regard to any changes in the
household's circumstances that were not completely reported on or
verified. Finally, the Department proposed in Sec. 273.21(t)(4) that a
State agency adjust the amount of the benefits issued if there was any
information on the incomplete report that can be used as submitted. The
Department received one comment addressing the requirement in
Sec. 273.21(t)(4) to issue the previous month's benefit amount if a
report is not received by the issuance date. That commenter opposed the
proposal because it provided unequal treatment to households required
to monthly report based on whether they lived on or off a reservation.
The Department has no discretion in this requirement. Section 101(a)(2)
of Pub. L. 103-225 (7 U.S.C. 2015(c)(1)(C)(ii)) requires that the State
agency not delay, reduce, suspend, or terminate the allotment of a
household that submits a report not later than one month after the end
of the month in which the report is due; i.e., the State agency must
issue benefits on the issuance date although a monthly report has not
been received.
As discussed above in the section of the preamble concerning
missing and incomplete reports, a commenter opposed the requirements in
Sec. 273.21(t)(3) to issue benefits when a report was incomplete. That
commenter also opposed the requirement in proposed Sec. 273.21(t)(4)
that State agencies act on information that would otherwise be
considered incomplete. The Department has decided not to adopt
Sec. 273.21(t)(4) as proposed. The
[[Page 54301]]
revisions in Sec. 273.21(t)(3), as adopted herein, specify that
benefits not be delayed, reduced, suspended, or terminated. Thus, each
State agency is required by that provision to issue benefits on the
household's normal issuance date if it fails to submit a monthly
report. Each State agency may decide whether to adjust benefits for
completed information on an otherwise incomplete report. Final
Sec. 273.21(t)(3) will consist of proposed (t)(3) and (t)(4), with the
modifications discussed herein.
Reinstatement
Section 101(a) of Pub. L. 103-225 (7 U.S.C. 2015(c)(1)(C)(i))
provides that, if a household is terminated for failing to submit or to
complete a monthly report, the household shall be reinstated without
being required to submit a new application if a monthly report is
received no later than the last day of the month following the issuance
month. The Department proposed at Sec. 273.21(t)(5) to require that a
State agency reinstate a household terminated in accordance with
Sec. 273.21(t)(3)(iii) without the household being required to submit a
new application if a complete monthly report was received no later than
the last day of the month following the month the household was
terminated. One comment was received, opposing the provision as
proposed. The Department has modified the proposed rule in light of the
comment discussed above. The final rule on this is being renumbered
Sec. 273.21(t)(4) as opposed to (t)(5) to reflect the decision not to
adopt as final proposed Sec. 273.21(t)(4) discussed above. The phrase
``or to complete'' is being removed from the proposal in this final
rule. Removing this phrase reflects the options regarding reports
available to the State agency as discussed above.
Notices
In Sec. 273.21(t)(6)(i), the Department proposed that all notices
regarding changes in a household's benefits meet the definition of
adequate notice as defined in 7 CFR 271.2. The Department also proposed
in Sec. 273.21(t)(6)(ii) that State agencies provide notice to
households about missing or incomplete reports requesting that the
household take the action necessary to submit the missing report or to
complete an incomplete report. In order to ensure that a household
receives adequate notice of any State agency action affecting the
household's benefits, the Department proposed in Sec. 273.21(t)(5)(iii)
that simultaneously with the issuance of benefits the State agency
notify a household if its report has not been received or if it is
incomplete. The household should also be informed that the benefits
being provided are based on the previously submitted report and that
the amount of the allotment does not reflect any changes in the
household's circumstances from the previous issuance. Further, this
notice would advise the household that, if the next monthly report was
not filed timely and completely, the household would be terminated. The
proposed notice requirement conformed notice requirements for these
special circumstances with current notice requirements for monthly
reporting. Finally, in order to ensure that the household would be
aware of the termination and its right to reinstatement, the Department
proposed in Sec. 273.21(t)(6)(iv) that, if the household is terminated
in the consequent month, the State agency would send the notice so the
household receives it no later than the date benefits would have been
received. This notice would be required to advise the household of its
right to reinstatement if a complete monthly report was submitted by
the end of the month following termination. This proposed notice
requirement was consistent with current notice requirements for monthly
reporting.
The Department did not receive any comments on the notice
requirements. However, to be consistent with the modifications made
above, the Department is modifying the requirements in the final rule
to eliminate references to an incomplete report. The Department is
adopting the provision as proposed except for this modification.
Supplements and Claims
The Department proposed in Sec. 273.21(t)(7) that, if the household
submitted or completed a monthly report after the issuance date but in
the issuance month, the State agency would provide the household with a
supplement, if warranted. Also, if the household submitted or completed
a monthly report or the State agency became aware of a change that
would have decreased benefits in some other manner at any time after
the issuance date, the Department proposed that the State agency file a
claim for any benefits overissued. The Department did not propose that
households which submit reports after the issuance month receive
restored benefits.
The Department received one comment on proposed Sec. 273.21(t)(7).
The commenter did not oppose the claims provision. The commenter
opposed the proposal to provide a supplement when the monthly report is
received during the issuance month. The commenter believes that 7 CFR
273.12(c)(1)(i) conflicts with the proposed requirement to provide a
supplement, and the commenter preferred the option in 7 CFR
273.12(c)(1)(i) to provide increases in the following month, where
warranted. That commenter also opposed providing supplements to these
households as undermining the reporting requirements and diminishing
household responsibility for reporting.
The Department disagrees with the commenter. Section
273.12(c)(1)(i) is not applicable in this situation. The proposed
provision is a special provision that takes precedence over 7 CFR
273.12(c)(1)(i). The provision for providing supplements as well as for
establishing claims provides for equitable and consistent treatment of
late reported information. The Department recognizes that Section
101(a) of Pub. L. 103-225 was intended to provide special treatment to
the households residing on reservations. For that reason, the
Department is adopting the regulation as proposed. State agencies must
provide supplemental benefits if a missing report is submitted during
the issuance month. The commenter was concerned about which report
would require a supplement to be issued--the missing report for the
month for which benefits were issued or the subsequent month's report
that would be due in the issuance month. The proposal has been revised
to clarify that it only applies to the missing report and not the
subsequent report for the following month.
Quality Control Procedures
The legislative history provides that ``a State [agency] will not
be adversely affected in regard to its quality control efforts related
to those households whose monthly reports are not submitted until a
month after the report is due.'' Congressional Record. S2905, March 11,
1994. To implement this language, the Department proposed that those
certification errors attributable to missing or incomplete monthly
reports covered Section 101(a) of Pub. L. 103-225 shall be excluded
from the error determination process. One commenter requested
clarification of how quality control would handle two situations: (a)
the household deliberately withholds a monthly report because they know
the information would make them ineligible; and (b) the month prior to
the incomplete or missing monthly report is a month in which the
household either receives too many or too few food
[[Page 54302]]
stamps. The following quality control procedures apply to cases subject
to the provisions of this rulemaking and with a review date that falls
within the grace period: certification errors that occur during the
grace period would be excluded; certification errors occurring prior to
the grace period would be reviewed in accordance with existing
procedures in the FCS Handbook 310.
Implementation
The Food Stamp Program Improvements Act of 1994 was effective upon
enactment, March 25, 1994. On March 31, 1994, the Department issued a
memorandum notifying State agencies of the legislation and the March
25, 1994, effective date. State agencies were directed to implement the
requirements immediately. Recognizing that the statutory amendments
regarding the monthly reporting on reservations have already been
implemented through the above described memorandum and in order to
provide for the orderly implementation of the specific provisions of
this proposed rule, the Department proposed that this rule be effective
in any given State upon implementation by the State agency but in no
event later than the first day of the first month 60 days after
publication of the final rule. The Department did not receive any
comments on the implementation schedule as proposed. Accordingly, this
action amends 7 CFR 272.1(g) to add a new paragraph to address
implementation requirements for this final action.
Quality control variances resulting from implementation of the
remaining provisions of this final rule will be excluded for 120 days
from the required implementation date, in accordance with 7 CFR
275.12(d)(12), as modified by 7 U.S.C. 2025(c)(3)(A).
List of Subjects
7 CFR Part 272
Alaska, Civil rights, Food stamps, Grant programs-social programs,
Reporting and recordkeeping requirements.
7 CFR Part 273
Administrative practice and procedures, Aliens, Claims, Food
stamps, Grant programs-social programs, Penalties, Reporting and
recordkeeping requirements, Social security, Students.
Accordingly, 7 CFR Parts 272 and 273 are amended as follows:
1. The authority citations of Parts 272 and 273 continue to read as
follows:
Authority: 7 U.S.C. 2011-2032.
PART 272--REQUIREMENTS FOR PARTICIPATING STATE AGENCIES
2. In Sec. 272.1, a new paragraph (g)(150) is added to read as
follows:
Sec. 272.1 General terms and conditions.
* * * * *
(g) Implementation. * * *
(150) Amendment No. 365. This provision is effective December 16,
1996 and must be implemented no later than March 1, 1997. Any variances
resulting from implementation of the provisions of this amendment shall
be excluded from error analysis for 120 days from this required
implementation date in accordance with Sec. 275.12(d)(2)(vii) of this
chapter.
PART 273--CERTIFICATION OF ELIGIBLE HOUSEHOLDS
2a. In Sec. 273.21, a new paragraph (t) is added to read as
follows:
Sec. 273.21 Monthly Reporting and Retrospective Budgeting (MRRB).
* * * * *
(t) Monthly reporting requirements for households residing on
reservations. The following procedures shall be used for households
which reside on reservations and are required to submit monthly
reports:
(1) Definition of a reservation. For purposes of this section, the
term ``reservation'' shall mean the geographically defined area or
areas over which a tribal organization exercises governmental
jurisdiction. The term ``tribal organization'' shall mean the
recognized governing body of an Indian tribe (including the tribally
recognized intertribal organization of such tribes), as well as any
Indian tribe, band, or community holding a treaty with a State
government.
(2) Certification periods. Any household residing on a reservation
that is required to submit a monthly report shall be certified for two
(2) years.
(i) A State agency may request a waiver from FCS to allow it to
establish certification periods of less than two (2) years if it is
able to justify the need for the shorter periods. Any request for a
waiver shall include input from the affected Indian tribal
organization(s) and quality control error rate information for the
affected households.
(ii) The State agency may opt to continue the two-year
certification period for any household that moves off the reservation.
If the State agency adopts this option and the household is still
living off the reservation at the time it is subject to required
recertification, the household shall be subject to the certification
period requirements in Sec. 273.10(f)(4). If the State agency does not
adopt this option, any household that moves off the reservation shall
have its certification period shortened. A household continuing to be
subject to monthly reporting shall not have its certification period
shortened to less than six months. A household becoming subject to
change reporting shall not have its certification period end any
earlier than the month following the month in which the State agency
determines that the certification period shall be shortened.
(3) Benefit determination for missing reports. The State agency
shall not delay, reduce, or suspend the allotment of a household that
fails to submit a report by the issuance date.
(4) Reinstatement. If a household is terminated for failing to
submit a monthly report, the household shall be reinstated without
being required to submit a new application if a monthly report is
submitted no later than the last day of the month following the month
the household was terminated.
(5) Notices. (i) All notices regarding changes in a household's
benefits shall meet the definition of adequate notice as defined in
Sec. 271.2 of this chapter.
(ii) If a household fails to file a monthly report by the specified
filing date, the State agency shall notify the household within five
days of the filing date:
(A) That the monthly report is either overdue or incomplete;
(B) What the household must do to complete the form;
(C) If any verification is missing;
(D) That the Social Security number of a new member must be
reported, if the household has reported a new member but not the new
member's Social Security number;
(E) What the extended filing date is;
(F) That the State agency will assist the household in completing
the report; and
(G) That the household's benefits will be issued based on the
previous month's submitted report without regard to any changes in the
household's circumstances if the missing report is not submitted.
(iii) Simultaneously with the issuance, the State agency shall
notify a household, if its report has not been received, that the
benefits being provided are based on the previous month's submitted
report and that this benefit does not reflect any changes in the
household's circumstances. This notice shall also advise the household
that, if a complete report is not filed timely, the household will be
terminated.
[[Page 54303]]
(iv) If the household is terminated, the State agency shall send
the notice so the household receives it no later than the date benefits
would have been received. This notice shall advise the household of its
right to reinstatement if a complete monthly report is submitted by the
end of the month following termination.
(6) Supplements and claims. If the household submits the missing
monthly report after the issuance date but in the issuance month, the
State agency shall provide the household with a supplement, if
warranted. If the household submits the missing monthly report after
the issuance date or the State agency becomes aware of a change that
would have decreased benefits in some other manner, the State agency
shall file a claim for any benefits overissued.
Dated: July 15, 1996.
Ellen Haas,
Under Secretary for Food, Nutrition, and Consumer Services.
[FR Doc. 96-26071 Filed 10-16-96; 8:45 am]
BILLING CODE 3410-30-U
