STATE OF FLORIDA

DIVISION OF ADMINISTRATIVE HEARINGS

IDARUE PEARL JACKSON, )

)

Petitioner, )

)

vs. ) CASE NO. 94-0772

) ADM PRO 3039-A&A-2/94 STATE OF FLORIDA, DEPARTMENT OF )

BANKING AND FINANCE, DEPARTMENT ) OF HEALTH AND REHABILITATIVE ) SERVICES and DEPARTMENT OF LOTTERY, )

)

Respondents. )

)

RECOMMENDED ORDER

Pursuant to written notice a formal hearing was held in this case before Larry J. Sartin, a duly designated Hearing Officer of the Division of Administrative Hearings, on April 27, 1994. The hearing was conducted by telephone from Tallahassee, Florida.

APPEARANCES

For Petitioner: Idarue Pearl Jackson, pro se

17011 Northwest 37th Avenue Miami, Florida 33054

For Respondent, Scott C. Wright, Assistant General Counsel Department of Office of the General Counsel

Banking and Office of the Comptroller Finance: The Capitol, Suite 1302

Tallahassee, Florida 32399-0350

For Respondent, Katrina M. Saggio, Esquire Department of Department of Health and Health and Rehabilitative Services Rehabilitative 1317 Winewood Boulevard Services: Building B, Room 466

Tallahassee, Florida 32399-0700

For Respondent, Louisa Warren, Senior Attorney Department of Department of the Lottery

the Lottery: Capitol Complex

250 Marriott Drive

Tallahassee, Florida 32399-4000 STATEMENT OF THE ISSUE

Whether the Petitioner, Idarue Pearl Jackson, is entitled to a payment of a

$2,500.00 lottery prize?

PRELIMINARY STATEMENT

On or about January 7, 1994, the Petitioner filed a Winner Claim Form with the Department of the Lottery claiming a $2,500.00 prize. By letter dated January 26, 1994, the Office of the Comptroller notified the Petitioner that the

$2,500.00 prize was being applied in payment of an outstanding debt of the Petitioner to the Department of Health and Rehabilitative Services.

On January 31, 1994, the Petitioner requested a formal administrative hearing. The request for hearing was filed with the Division of Administrative Hearings on February 10, 1994.

The final hearing was conducted by telephone. The undersigned, the court reporter and the Respondents were located in a public hearing room of the Division of Administrative Hearing in Tallahassee, Florida. The Petitioner participated in the hearing from Miami, Florida.

At the final hearing, the Petitioner testified on her own behalf. The Petitioner also offered one exhibit which was accepted into evidence.

The Department of Health and Rehabilitative Services presented the testimony of Edith Bertoldi and offered nine exhibits. Those exhibits were accepted into evidence. The Department of Banking and Finance offered one composite exhibit which was accepted into evidence.

No transcript of the final hearing was filed. The Petitioner and the Department of Health and Rehabilitative Services filed proposed recommended orders. A ruling on each proposed finding of fact contained in the proposed orders filed by the parties has been made either directly or indirectly in this Recommended Order, or the proposed finding of fact has been accepted or rejected in the Appendix which is attached hereto.

FINDINGS OF FACT

1. On January 7, 1994, the Petitioner, Idarue Pearl Jackson, executed and submitted a Winner Claim Form to the Respondent, the Department of the Lottery (hereinafter referred to as the "Lottery").

   
   

2. Ms. Jackson filed a lottery ticket with the Winner Claim Form worth a cash prize of $2,500.00.

   
   

3. On January 7, 1994, the Respondent, the Department of Health and Rehabilitative Services (hereinafter referred to as "DHRS"), informed the Lottery that Ms. Jackson owed the State of Florida $3,237.00 for excessive Aid to Families with Dependent Children (hereinafter referred to as "AFDC"), payments she had previously received.

   
   

4. On or about January 26, 1994, Ms. Jackson was informed that the

   $2,500.00 prize would be applied in payment of her outstanding AFDC debt.

   
   

5. On or about January 31, 1994, Ms. Jackson requested a formal administrative hearing to contest the decision of the Respondents.

   
   

6. Prior to August of 1987 Ms. Jackson, then known as Idarue Shepard, began receiving AFDC payments from the Department of Health and Rehabilitative Services.

7. Ms. Jackson signed an information and consent form provided by DHRS prior to receiving AFDC payments. In executing the form, Ms. Jackson agreed, among other things, to the following:

   
   

   C. I KNOW PUBLIC ASSISTANCE RECIPIENTS (APPLICANTS) HAVE THE RESPONSIBILITY TO:

   . . . .

   Repay the Department for any assistance received for which they are ineligible. The assistance owed will be deducted for each monthly grant amount until the entire amount is paid back.

   
   

8. Ms. Jackson also agreed by executing the DHRS exhibit 3, to inform DHRS of any changes in her employment status which would impact her entitlement to AFDC payments.

   
   

9. Beginning in August of 1987 Ms. Jackson began employment for which she earned a sufficient amount that she was no longer eligible for AFDC payments. Whether Ms. Jackson informed DHRS of this change is not clear.

   
   

10. From August of 1987 through December of 1988 (excluding June of 1987), Ms. Jackson, continued to receive AFDC payments. Because of her employment, she was not entitled to the payments she received from August of 1987 to December of 1988.

    
    

11. Ms. Jackson received a total of $3,336.00 in AFDC payments for which she was not eligible. Whether she received these payments because she failed to inform DHRS of her employment or because DHRS made an error in continuing to send her the payments is not relevant. What is relevant is that Ms. Jackson received the payments by check and that she cashed the checks.

    
    

12. DHRS investigated the payments made to Ms. Jackson between August of 1987 and December of 1988 and determined that Ms. Jackson was not eligible for the amounts she received during that period of time.

    
    

13. By letter dated November 4, 1989, DHRS informed Ms. Jackson that she owed DHRS for the payments she improperly received.

    
    

14. In May of 1993, DHRS began withholding a part of other benefits Ms. Jackson was receiving in payment of the excessive AFDC payments she had received.

    
    

15. As of the date of the final hearing of this case, Ms. Jackson still owed $3,192.00 to DHRS.

    
    

    CONCLUSIONS OF LAW

    
    

16. The Division of Administrative Hearings has jurisdiction of the parties to and the subject matter of this proceeding. Section 120.57(1), Florida Statutes (1993).

    
    

17. Section 24.115(4), Florida Statutes, provides, in pertinent part, the following:

    
    

    It is the responsibility of the appropriate state agency and of the judicial branch to

    identify to the department, in the form and format prescribed by the department, persons owing an outstanding debt to any state agency or owing in child support collected through a court. Prior to the payment of a prize of

    $600 or more to any claimant having such an outstanding obligation, the department may transmit the prize money to the Comptroller who may authorize payment of the balance to the prize winner after deduction of the debt. . . .

    
    

18. Pursuant to Section 24.115(4), Florida Statutes, if Ms. Jackson owed an "outstanding debt to any state agency", her $2,500.00 prize could be applied in payment or partial payment of that debt.

    
    

19. AFDC payments are provided for pursuant to Chapter 409, Florida Statutes. Section 409.335(1), Florida Statutes, provides the following:

    
    

    Whenever it becomes apparent that any person or provider has received any benefits under this chapter to which he is not entitled, either through simple mistake or fraud, the department shall take all necessary steps to recover the overpayment, unless it is determined that extreme hardship would result if repayment were forced at that time. . . .

    
    

20. Federal regulations governing AFDC payments require the State of Florida to take reasonable steps to correct any overpayment of AFDC. See 45 CFR 233.20(a)(13)(i).

    
    

21. The evidence in this case proved that Ms. Jackson received more than

    $2,500.00 in AFDC payments which she was not entitled to. Regardless of whether it was the fault of DHRS or Ms. Jackson that the overpayments were made, the fact remains that Ms. Jackson received excessive AFDC payments which she benefited from.

    
    

22. Pursuant to federal and state law DHRS was required to collect the overpayments from Ms. Jackson. Pursuant to the information form signed by Ms. Jackson, she agreed to repay any amount she received which she was not entitled to. Therefore, Ms. Jackson was indebted to DHRS for in excess of $2,500.00.

    
    

23. Pursuant to Section 24.115(4), Florida Statutes, Ms. Jackson's

$2,500.00 prize from the Lottery was properly transmitted to the Comptroller in payment of part of her debt to DHRS.

RECOMMENDATION

Based upon the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that a Final Order be entered dismissing Ms. Jackson's petition

and transferring Ms. Jackson's $2,500.00 lottery prize to the Department of Health and Rehabilitative Services in partial satisfaction of Ms. Jackson's debt to the Department of Health and Rehabilitative Services.

DONE AND ENTERED this 24th day of May, 1994, in Tallahassee, Florida.

LARRY J. SARTIN

Hearing Officer

Division of Administrative Hearings The DeSoto Building

1230 Apalachee Parkway

Tallahassee, Florida 32399-1550

(904) 488-9675

Filed with the Clerk of the Division of Administrative Hearings this 24th day of May, 1994.

APPENDIX

Case Number 94-0772

Ms. Jackson and DHRS have submitted proposed findings of fact. It has been noted below which proposed findings of fact have been generally accepted and the paragraph number(s) in the Recommended Order where they have been accepted, if any. Those proposed findings of fact which have been rejected and the reason for their rejection have also been noted.

Ms. Jackson's Proposed Findings of Fact

The first paragraph (other than the first sentence) is not supported by the weight of the evidence. The first sentence is a statement of the position of the Respondents.

The first three sentences of the second paragraph are statements of law.

The fourth sentence of the second paragraph is not supported by the weight of the evidence. See finding of fact 13.

The fifth sentence of the second paragraph is a statement of law.

The sixth sentence of the second paragraph is not supported by the weight of the evidence.

The third paragraph is argument.

DHRS' Proposed Findings of Fact

1. Accepted in 1 and 2.

2. Accepted in 3.

3. Accepted in 4.

4. Accepted in 6.

5. Accepted in 13 and hereby accepted.

6. Accepted in 7 and 8.

7. See 9 and 11.

8. Accepted in 14 and 15.

9. Accepted in 11. 10-11 Hereby accepted.

COPIES FURNISHED:

Idarue Pearl Jackson 17011 NW 37th Avenue Miami, Florida 33054

Honorable Gerald Lewis Comptroller, State of Florida Department of Banking and Finance The Capitol, Plaza Level Tallahassee, FL 32399-0350

William G. Reeves, Esquire General Counsel

Department of Banking and Finance Room 1302, The Capitol Tallahassee, FL 32399-0350

Kim Tucker, Esquire General Counse Department of Health and

Rehabilitative Services 1323 Winewood Boulevard

Tallahassee, FL 32399-0700

Scott C. Wright

Assistant General Counsel Office of the Comptroller The Capitol, Suite 1302

Tallahassee, Florida 32399-0350

Louisa Warren Senior Attorney

Department of the Lottery Capitol Complex

Tallahassee, Florida 32399-4011

Katrina Saggio, Esquire Department of Health and

Rehabilitative Services 1323 Winewood Boulevard

Tallahassee, Florida 32399-0700

NOTICE OF RIGHT TO SUBMIT EXCEPTIONS

All parties have the right to submit written exceptions to this Recommended Order. All agencies allow each party at least 10 days in which to submit written exceptions. Some agencies allow a larger period within which to submit written exceptions. You should contact the agency that will issue the final order in this case concerning agency rules on the deadline for filing exceptions to this Recommended Order. Any exceptions to this Recommended Order should be filed with the agency that will issue the final order in this case.

Docket for Case No: 94-000772

Orders for Case No: 94-000772