New Treasury Offset Program Pre-Offset Warning Notices

The California Department of Social Services has issued updated Treasury Offset Program (TOP) and Franchise Tax Board pre-offset warning letters.  These letters give notice of submission of a CalFresh overissuance debt to TOP and to the Franchise Tax Board.  TOP offsets federal debts, including CalFresh overissuances, from federal payments, including federal income tax refunds.  A pre-offset warning letter is a required step in the tax intercept process.

The updated letter states that clients can request a county administrative review of the debt submitted to the TOP.  If the client disagrees with the result of the county administrative review, the client can request a federal review within 30 days of the outcome of the county review.  The letter remove reference the right to a state administrative hearing.

The letter states that additional guidance on debtor’s rights will be issued in a separate All County Letter.

The letter states that the new TOP and Franchise Tax Board pre-offset warning notices will be accompanied by a multi-language insert.  (ACL 18-66, July 16, 2018.)