DFPS is required to recoup any overpayment, even if the error is made by DFPS.

Using IMPACT to Maintain Accurate Records

To ensure IMPACT contains accurate historical data, it is important to process recoupments online whenever possible.

The preferred method to retrieve the funds is to recoup the entire overpayment amount from the next payment, or payments, made to the provider. The regional foster care billing coordinator does this by approving a Prior Period Adjustment (PPA) invoice within IMPACT.

On occasion, a provider becomes aware that the provider received an overpayment and mails a check to the CPS regional foster care billing office returning the overpaid funds to DFPS. The regional foster care billing coordinator determines whether the recoupment can be taken from a subsequent payment to the provider in the following month. If the overpayment can be recouped from the subsequent payment, the regional foster care billing coordinator returns the check to the provider and includes a completed Form 8103b Returning a Refund Check to the Provider.Word Document

Notifying the Provider if the Recoupment Amount Exceeds 50 Percent of the Next Payment

If the recoupment amount exceeds 50 percent of the provider’s next payment, the regional foster care billing coordinator must notify the provider before approving the recoupment invoice in IMPACT. See 1553.3 Notifying Providers of Recoupment that Exceeds 50 Percent of Next Payment.