When an employee of a drug addiction or alcoholic treatment and rehabilitation center or a GLA is an AR for its residents and misuses benefits, the facility is:
Responsible for knowingly misrepresenting the resident or committing an intentional program violation;
Liable for all losses or misuse of SNAP benefits held for resident households; and
Liable for all overissuances that occur while the households are residents.
A center may be penalized or disqualified if the FNS or a court determines that the center misappropriated or misused benefits. A center that is disqualified as an authorized retail food store may not act as an AR after it is disqualified.
The CAO must promptly notify the FNS regional office (MARO) when it thinks that a center is misusing benefits.
The CAO must not act before the FNS completes its action against the center.
The CAO must establish a claim for any over-issuance discovered through an investigation or hearing.
The CAO must end residents’ eligibility without sending an advance notice if the state revokes the center’s certification or the FNS disqualifies the center as a retailer.
Residents of a disqualified drug addiction or alcoholic treatment and rehabilitation center are not eligible for SNAP benefits.
Reissued April 6, 2016 replacing March 1, 2012