23-789.01. Recovery of uncollected overissuance of food stamp coupons; definitions

A. At the time an individual files a new claim for unemployment compensation, the department may require disclosure of whether or not the individual owes an uncollected overissuance of food stamp coupons and shall notify the state food stamp agency enforcing the obligation of any individual who discloses that the individual owes an uncollected overissuance of food stamp coupons and who is determined to be eligible for unemployment compensation.

B. The department may deduct and withhold from any unemployment compensation payable to an individual who owes an uncollected overissuance of food stamp coupons either:

1. The amount specified by the individual to the department to be deducted and withheld under this section.

2. The amount, if any, determined pursuant to an agreement submitted to the state food stamp agency under section 13(c)(3)(A) of the food stamp act of 1977.

3. Any amount otherwise required to be deducted and withheld from unemployment compensation pursuant to section 13(c)(3)(B) of the food stamp act of 1977.

C. Any amount deducted and withheld under this section shall be paid by the department to the appropriate state food stamp agency.

D. Any amount deducted and withheld under subsection B shall be treated for all purposes as if it were paid to the individual as unemployment compensation and paid by that individual to the state food stamp agency as repayment of the individual's uncollected overissuance.

E. This section applies only if arrangements have been made for reimbursement by the state food stamp agency for the administrative costs that are incurred by the department under this section and that are attributable to the repayment of uncollected overissuances to the state food stamp agency.

F. For purposes of this section:

1. " Uncollected overissuance of food stamp coupons" has the same meaning prescribed in section 13(c)(1) of the food stamp act of 1977.

2. " Unemployment compensation" means any compensation payable under this chapter including amounts payable by the department pursuant to an agreement under any federal law providing for compensation, assistance or allowances with respect to unemployment.