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PDFWAC 388-835-0190

What happens to withheld payments and security from a provider when a final settlement is determined?

(1) When a final settlement is determined, security held by DSHS must be released to the provider after any related overpayments owed to the department have been paid.
(2) If the provider disagrees with the settlement and does not repay any overpayments owed, DSHS must retain security equal to the amount of the disputed overpayments until the administrative appeal process is completed.
(3) If the total of withheld payments, bonds, and assignments is less than the total of the determined and/or estimated overpayments, the unsecured portion of the overpayments is a debt owed to the state of Washington. This debt becomes a lien against the provider's real and personal property when DSHS files with the auditor in the county where the provider resides or owns property. This lien has preference over all unsecured creditor claims against the provider.
(4) If the total existing overpayments exceed the value of the security held by DSHS, DSHS may use whatever legal means are available to recover the difference.
[Statutory Authority: RCW 71A.20.140. WSR 01-10-013, ยง 388-835-0190, filed 4/20/01, effective 5/21/01.]
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