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Calls Decade-Long Clawbacks Cruel and Heartless
Cleveland, OH (November 21, 2011) – Congressman Dennis Kucinich (D-OH), today announced plans to introduce an amendment that would reinstate a statute of limitations for states to reclaim overpayments made to the poorest of the poor who are food stamp recipients.
The State of Ohio, for example, recently sent out notices to more than 22,000 residents demanding reimbursement for cash assistance and food stamp overpayments made by the State to needy individuals. In many cases, the overpayments occurred more than ten years ago.
“The State of Ohio admits that it is responsible for most of the errors that caused these overpayments. Any individual who has received an overpayment and knows it will do the right thing and return it if they can. But there ought to be a reasonable limit on how far back the State expects citizens—especially those who have had no choice but to rely on public assistance—to pay for the mistakes which the State made in its calculations. To expect families who were overpaid cash or food stamp assistance through no fault of their own to repay thousands of dollars within thirty days is cruel,” said Kucinich. “On the eve of the holiday season it is heartless.”
A provision in the Food, Conservation and Energy Act of 2008 amended the 1996 Debt Collection Improvement Act to lift a ten-year statute of limitation on delinquent debt. This allowed Ohio to reclaim debt that was previously considered beyond that the statue of limitations.
“This action raises serious questions about oversight. Records kept by the state are not always accurate. What recourse do individuals have to if they believe they are sent bills by mistake? How can the state prove that overpayments occurred and were not already paid back?
“An unexpected bill for thousands of dollars would create real financial hardships for almost any family. The blow the State is dealing to the poorest of the poor in Ohio could be devastating.
Congressman Kucinich is preparing an amendment to be added to the next appropriate bill in Congress that would create a statue of limitations of three years and give individuals three years to pay off their debt.
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