§ 105A-6. Procedure Department to follow in making setoff.
§105A‑6. Procedure Department to follow in making setoff.
(a) Notice toDepartment. A claimant agency seeking to attempt collection of a debt throughsetoff must notify the Department in writing and supply information necessaryto identify the debtor whose refund is sought to be set off. The claimantagency may include with the notification the date, if any, that the debt isexpected to expire. The agency must notify the Department in writing when adebt has been paid or is no longer owed the agency.
(b) Setoff byDepartment. The Department, upon receipt of notification, must determine eachyear whether the debtor to the claimant agency is entitled to a refund of atleast fifty dollars ($50.00) from the Department. Upon determination by theDepartment that a debtor specified by a claimant agency qualifies for such arefund, the Department must set off the debt against the refund to which thedebtor would otherwise be entitled and must refund any remaining balance to thedebtor. The Department must mail the debtor written notice that the setoff hasoccurred and must credit the net proceeds collected to the claimant agency. Ifthe claimant agency is a State agency, that agency must credit the amountreceived to a nonreverting trust account and must follow the procedure set inG.S. 105A‑8. (1979, c. 801, s. 94; 1989 (Reg. Sess., 1990), c. 946,s. 2; 1997‑490, s. 1.)