Manual Follow-ups (MFU) for Family Assistance reconciliation recovery 107-04110000

There may be a DMN/ADV activity with keywords of DMNMFU54, ADJHLD, FAOCCB, FAOFTB, and/or FAORECO. The notes for the activity read, 'Debt Id nnnnnnnn adjusted while held. Issue Q419 to advise new reconciliation result’.

Note: the correct letter to be issued is a Q418.

Does the customer have a DMN/ADV MFU with one of the relevant keyword/s?

• Yes:
• select the DMN/ADV MFU from the Activity List (AL) and send the Q418 letter ensuring the appropriate service reason is selected
• for eligible former Centrelink customers, the Interest Charge warning must be included in the debt notice
• select the relevant Debt ID from OPDL. Navigate to OPKD screen. Key the Q418 completion date in the Date Sent field
• in the Comments field, key the text 'Q418 sent - man adv FTB/CCF rereco'
• record the details on a DOC. Include the date of event and details of changes made. Procedure ends here.
• No, go to Step 2

Is there a DMN/DBT MFU activity on the AL screen that reads, 'Customer has payments on Debt Id nnnnnnnn. Transfer payments to Debt Id nnnnnnnn or refund where appropriate' with a keyword of DMNMFU48?

• Yes, go to Step 3
• No, go to Step 4

Only Debt Staff are able to transfer or add payments to a debt.

Where required, refer the case using Fast Note - select Debt Recovery > Debt Recovery Referrals > Debt Recovery Action Required.

Adjust the re-reconciliation debt, then any other outstanding debts:

• on the Repayment History (OPRH) screen, 'S'elect the payment to be adjusted
• press [Enter] to view the Adjust Repayment History (OPAH) screen

In the following fields:

• Correct Amt, key the amount that should have been:
• paid to finalise the debt, or
• withheld
• Reason, key free text. Press [Enter]

If a refund is required, see Refunding debt repayments.

On the Assessment Finalisation (OPAF) screen:

• in the Finished? field, key 'Y'
• press [Enter]

Check the General Information (OPGI) screen. Ensure the balance is zero.

See Step 3 in Table 2

Is there is a DMN/DBT MFU that reads, 'Waiver reason XXX reversed on nnnnnnnn, check and apply waiver to nnnnnnnn if appropriate' with a keyword of DMNMFU42?

Check all waiver screens. This activity will only occur where all the following are met:

• there is a recoverable debt following re-reconciliation
• the original reconciliation debt has a status of Finalised Reconciliation (FRN), and
• the debt was not waived using the reason $1,000 waiver (TWF or TWC), or less than $50 (LTF)

Reversal of waiver

Reverse a waiver during the process of re-reconciliation if the debt has a reason of:

• FRC Family Assistance reconciliation
• FRR Centrelink FA generated re-reconciliation, or
• FRA Australian Taxation Office (ATO) amended tax notice of assessment (TNA) re-reconciliation

The original reconciliation waived amount will:

• display on the Waiver (OPWA) screen
• have a reason code of IFR - Reversed and included in reconciliation

Does the waiver reason on the cancelled debt (excluding reasons TWC, TWF, LTF) apply to the new re-reconciliation debt?

• Yes, go to Step 5
• No, 'C'ancel the MFU and record a DOC stating the debt is not eligible for the waiver. Go to Step 6

This may be different to the original amount waived.

Waive any amount less than $50 under the small debt waiver provisions. Use reason LTF.

Apply the waiver:

• go to the Activity List (AL) screen
• 'S'elect the MFU activity
• go to the Add Waiver (OPWAA) screen. Complete the fields:
• Amount Waived
• Reason Waived
• press [Enter]

Go to the OPAF screen:

• in the Finished? field, key 'Y'
• press [Enter]

Note: complete adjustments prior to waiver action where there were repayments on the original reconciliation calculation. See Adjusting and adding debt repayments.

Advise the customer of the result in writing

In the Amount of Waiver field, include the amount waived as a result of the $1,000 waiver. Only the $1,000 waiver and small debt waiver (LTF) can be included in the Q418.

Make 2 genuine attempts to contact the customer:

• where the result is different, discuss the outcome of the waiver
• explain the letter they will receive only provides details of the $1,000 waiver

See Step 3 in Table 2

Identify eligible debts If there is a DMN/DBT MFU with a keyword of DMNMFU43 that reads:

• 'Not full $1,000 waiver utilised'. Check if this debt eligible with (Debt Id). Consider applying waiver', or
• 'Customer has not received the full benefit of the $1,000 waiver. Check if this debt is eligible'

Go to the Debt List (OPDL) screen. 'S'elect any debts raised within the 2000/01 financial year with the code:

• FTB Family Tax Benefit, or
• CCF Child Care Benefit for approved care
• with a status of:
• DET Determined
• DWO Determined, written off, or
• FRE Finalised, recovered

The remaining waiver must not be applied to:

• ADV FTB Advance debts
• DUP Duplicate payments
• past period claims through ATO or Services Australia (where the customer did not receive any FTB via instalments in 2000-01)
• circumstance changes during 2000-01 where the debt was raised before reconciliation (unless picked up at reconciliation which will be included in waiver)
• over anticipated FTB entitlements through reduced tax withholdings
• CCB for registered care (CCI)
• CCB lump sum claims (or recalculations of the claim)
• non-lodgement of an income tax return where it is required for FTB/CCB
• reconciliation for 2000-01

To confirm eligibility staff must refer to Family Tax Benefit (FTB) and Child Care Benefit (CCB) debts for the 2000-2001 income year.

Is the debt type eligible for the $1,000 waiver?

• Yes, remaining waiver amount exists. Apply to another overpayment. Go to Step 7
• No, 'C'ancel the MFU. Record a DOC stating the debt is not eligible for the waiver. See Step 1 in Table 2

On the OPDL screen, 'S'elect the reconciliation or re-reconciliation debt:

• go to the OPWA screen and identify the reconciliation waiver which will show with a reason code of TWC or TWF
• deduct that amount from $1,000 to calculate the residual amount
• select the eligible debt from the OPDL screen
• view the Total For This Debt field. If the remaining waiver is applied to this amount and the debt balance is below $50, waive this amount, less than fifty (LTF)

The customer may have a FTB and CCB debt. Correctly apply the residual waiver according to the payment.

Check the status of the debt

Contact the Debt Recovery team if the OPGI screen displays a debt status of DWO - Determined written off?

Request a restart of recovery to allow the waiver to be actioned. Once actioned, go to Step 9.

Check if the request for recovery has been actioned:

• 'S'elect the debt from the OPDL screen, and
• key OPWO in the Nxt field

If the recovery has been restarted:

• there will be an end date recorded
• the debt status should also have changed from DWO or DET

Does the eligible debt have a status on the OPGI screen of FRE - Finalised Recovered?

• Yes, go to Step 8
• No, go to Step 9

'S'elect the eligible debt from the OPDL screen and key 'OPRH' to view any repayments received.

Have any repayments been received on the debt?

• Yes, go to Step 9
• No, go to Step 10

Calculate the new debt amount less the:

• remaining waiver amount
• small debt waiver if applicable

Total any repayments received against the eligible debt.

Deduct the repayments received from the new debt amount.

Is the amount negative?

• Yes, adjust the OPRH screen by the amount that the overpayment would be over-recovered once the waiver is applied. See Adjusting and adding debt repayments. Go to Step 10
• No, go to Step 10

'S'elect the MFU activity from the AL screen, and go to the OPWAA screen.

Complete the following to apply the remaining waiver amount:

• Amount Waived $ field
• Reason Waived field
• press [Enter]
• go to the OPAF screen
• in the Finished? field, key 'Y'
• press [Enter]

If the new balance of the debt is less than $50, waive under the small debt waiver provisions.

Finalise the activity.

On the OPGI screen, check the correct amount resulting from the waiver.

Send a letter, see Step 3 in Table 2

If there is a DMN/ADV MFU with a keyword of DMNMFU41 that reads, 'Debt Id nnnnnnnn finalised in re-reconciliation and new debt has been raised and waived LTF’. Please issue appropriate advice regarding re-reconciliation result':

• 'S'elect the original debt from the OPDL screen and go to the OPRH screen:
• if repayments have been received on the debt, transfer any payments to any other debts outstanding. See Adjusting and adding debt repayments
• complete the refund if required. See Refunding debt repayments
• if unsure how to process refunds, contact the relevant Debt Recovery Team for assistance

Advise the customer:

• change in the debt balance following re-reconciliation
• amount due has been waived, and
• any details about repayments transferred or refunded

Complete the manual letter (Q999). For assistance in completing this letter, see Family Tax Benefit (FTB) and Child Care Benefit (CCB) debts for the 2000-2001 income year.

If there no DMN/ADV MFU, go to Step 2.

If there is a DMN/RCV activity with the keyword of either:

• DMNMFU50/ FAOWAIVE, the notes for the activity read, 'Debt Id nnnnnnnn adjusted, check previous waiver reason and amount and adjust if necessary’:
• see Waiving Centrelink debts, and
• Manually waiving family assistance reconciliation debts for 2000-01 where there is no Manual Follow-up (MFU) activity
• FAORECO, the notes for the activity read, ‘No arrangement in place - Phone Customer’:
• see Outbound customer contact and gathering information when recovering debts

Go to Step 3.

Is there a DMN/DBT MFU that reads 'Debt Id nnnnnnnn adjusted while client deceased. Issue Q421 to estate to advise new reconciliation result'?

• Yes, check if a manual letter needs to be issued
• No, go to Step 4

Check for an MFU on the customer’s record that reads either:

• 'FA debt check new waiver provision', or
• 'Previously written off - check if customer needs to be contacted'

If one of the above MFUs are on the customer's record and is related to a FTB debt (non-reconciliation), with a debt period falling within 2000-01 financial year:

• go to Manually waiving family assistance reconciliation debts for 2000-01 where there is no Manual Follow-up (MFU) activity
• procedure ends here