Section 17-680-37 - Households with a decrease in income due to failure to comply(a) The department shall ensure that there is no increase in food stamp benefits to households on which a penalty resulting in a decrease in income has been imposed for failure to comply with a Federal or State welfare program which is means-tested and distributes publicly funded benefits.(b) The procedures for determining food stamp benefits when there is such a decrease in income are as follows:(1) When a recipient's benefits under a Federal or State means-tested program (such as but not limited to SSI, AFDC, GA) is decreased due to failure to comply, the department shall identify that portion of the decrease which is a penalty. The penalty shall be that portion of the decrease specifically attributed to the repayment of benefits overpaid as a result of the household's failure to comply.(2) The department shall calculate the food stamp benefits using the benefit amount which would be issued by that program if no penalty had been deducted from the recipient's benefit.[Eff 3/19/93; am 10/28/96; am and comp 11/09/06] (Auth: HRS § 346-14) (Imp: 7 C.F.R. §273.11(j); Pub. L. No. 104-193 (1996))