The Agency attempted to recoup the overpayments of a woman and her nine dependent children by reducing the family's AFDC grant, in accordance with a state regulation which authorized such recoupment where the welfare recipient had current income available in excess of the AFDC grant. The Federal District Court for the Southern District of New York held that the challenged recoupment policy did not violate the Social Security Act. The current heightened awareness that there are limits to state resources has resulted in the tightening and curtailment of welfare programs. Welfare agencies must make greater efforts to decrease errors which produce overpayments; but because much "agency error" is recipient-generated, there is a need for an equitable means of recovering overpayments from those who have supplemental resources.
Keith E. Danish,
WELFARE LAW-AFDC-Agency-Caused Overpayments May be Recouped by Reducing Grants of Recipients who have "Disregarded" Income Available to Meet their Standard of Need,
4 Fordham Urb. L.J. 641
Available at: http://ir.lawnet.fordham.edu/ulj/vol4/iss3/12