Section 50705 - Recovery of Overpayments(a) Where the Department, as a result of an audit, establishes that an overpayment has been made to an individual, entity or organization, the Department shall begin liquidation of the overpayment 30 days after the issuance of the audit report, except that:(1) Where the appellant has requested an administrative review pursuant to Section 50730 of this subchapter, liquidation of the disputed overpayments shall be deferred until the Letter of Findings has become final;(2) If any overpayments remain in dispute after the administrative review, the appellant may file with the hearing officer, a request for stay of liquidation pending the outcome of the formal hearing. To be considered, such request shall be in writing, and shall be submitted with the request for formal hearing pursuant to Section 50750. Such request for stay must set forth reasons why liquidation should be stayed for the duration of the formal hearing process. The hearing officer may in his/her discretion, make such orders as he/she deems necessary pursuant to such request, including, but not limited to, a temporary stay of liquidation.(b) When the overpayment is due and owing, it shall be recovered by any of the following methods: (2) Offset against current payments due;(3) A repayment agreement of not more than five years duration from the date the agreement is made;(4) Any other method of recovery available to and deemed appropriate by the Director.(c) If offset is used as a method of recovery, it shall continue until one of the following occurs: (1) The overpayment is recovered;(2) The Department and/or the regional center enters into a repayment agreement which satisfies such overpayment;(3) The Department determines that, as a result of proceedings under this subchapter, there is no overpayment.(d) The regional center shall promptly remit all recoveries to the Department along with the information necessary to identify the causal audit report, the applicable fiscal year and the applicable audit adjustment.(e) Nothing in this section shall prohibit an individual, entity or organization audited by the Department or regional center from repaying all or a part of the disputed overpayment without prejudice to its right to a hearing under this subchapter.(f) Any recovered overpayment that is subsequently determined to have been erroneously collected shall be promptly refunded to the appellant.Cal. Code Regs. Tit. 17, § 50705
1. Renumbering and amendment of former Section 50605 to Section 50705 filed 7-5-88; operative 8-4-88 (Register 88, No. 29). Note: Authority cited: Sections 11152, Government Code; and Sections 4648.1, 4648.2, and 4780.5, Welfare and Institutions Code. Reference: Sections 4629, 4635, 4648.1, and 4780.5, Welfare and Institutions Code.
1. Renumbering and amendment of former Section 50605 to Section 50705 filed 7-5-88; operative 8-4-88 (Register 88, No. 29).