Section 475-4-008 - ALLOTMENT REDUCTION OR CANCELLATION PROCEDURESIf federal funds for Supplemental Nutrition Assistance Program run out before the end of a fiscal year, it is possible that Supplemental Nutrition Assistance Program benefits would have to be reduced or cancelled. This section details these procedures.
008.01BENEFIT REDUCTIONS. If a reduction in benefits is necessary, the amounts for each household size will be reduced by the same percentage. All one and two-person households affected by a reduction are guaranteed the minimum monthly benefit unless the action is:(A) A cancellation of benefits; or(B) A national reduction of 90% or more of the total amount of benefits.008.02CANCELLATIONS. If benefits are cancelled, the provision for the minimum benefit for households with only one or two members will be disregarded and households will have their benefits cancelled. Benefits or portions of benefits representing restored or retroactive benefits for a prior unaffected month would not be reduced or cancelled even though they are issued during an affected month.008.03RESTORED OR RETROACTIVE BENEFITS. Restored or retroactive benefits for prior months not affected will not be reduced or cancelled, even though they are issued during the time period the statewide benefit reduction is in force. The agency will continue to make benefits available as needed to provide these restored or retroactive benefits. Households whose benefits are reduced or cancelled as a result of a reduction or cancellation are not entitled to restoration of lost benefits at a future date. However, if Food and Nutrition Service determines that restoration can take place as a result of surplus funds from the reduction or cancellation, the agency provides affected households with restored benefits.008.04NOTIFICATION AND CERTIFICATION OF ELIGIBLE HOUSEHOLDS. A notice of adverse action is not provided to households affected by reduction or cancellation of benefits. The Department will continue the normal acceptance of applications, processing of applications, and determinations of eligibility during a reduction or cancellation. Expedited processing standards remain in effect during a reduction. If an applicant is found to be eligible for benefits and a reduction is in effect, the issuance will be based on the reduced benefit table. If an applicant is found to be eligible for benefits during a cancellation period, benefits will not be issued. The reduction or cancellation of benefits does not affect the certification periods assigned to households. Recertifications continue for those participating households whose certification periods expire during a reduction or cancellation period.008.05FAIR HEARING. Any household that has its benefit reduced or cancelled as a result of funding cuts may request a fair hearing if it disagrees with the action, subject to the following conditions: (A) The request for a fair hearing must be based on a household's belief that:(i) Its benefit level was computed incorrectly under the rules governing the reduction or cancellation; or(ii) These rules were misapplied or misinterpreted;(B) Households do not have the right to continuation of benefits pending fair hearings; and(C) The appropriate amount of restored benefits may be issued if it is determined that benefits were decreased by more than the reduction rules required.008.06RESUMPTION OF ISSUANCE. The Department will act immediately to resume issuing benefits to certified households after receiving notice that a reduction or cancellation of benefits is over and will resume issuance as soon as possible.475 Neb. Admin. Code, ch. 4, § 008
Amended effective 5/21/2016.Amended effective 7/4/2020Amended effective 9/17/2024