State of New Jersey - Circular Letters

Governor Chris Christie • Lt Governor Kim Guadagno

Department of the Treasury
FEDERAL TREASURY OFFSETS

ORIGINATING NO.: 04-12-OMB

AGENCY: OFFICE OF MANAGEMENT AND BUDGET

EFFECTIVE DATE: 12/1/03

EXPIRATION DATE: INDEFINITE

SUPERSEDES: N/A

SUBJECT: FEDERAL TREASURY OFFSETS

ATTENTION: DIRECTORS OF ADMINISTRATION AND CHIEF FISCAL OFFICERS

FOR INFORMATION CONTACT: BEN PULONE

PHONE: (609) 984-5215

I. PURPOSE

The purpose of this circular letter is to set forth the policies and procedures for handling Federal Treasury offsets.

II. DEFINITION

The Treasury Offset Program (TOP), administered by the Federal Department of the Treasury, is empowered to collect outstanding debts due the federal government. Through this offset program, federal funds due the State of New Jersey are reduced by the outstanding debts due to the federal government. The debt can be related to any federal program within state government and usually is unrelated to the program whose funds are offset. Typically the offsets originate from the Federal Department of Health and Senior Services and are related to health benefit claims.

III. POLICY

It is the responsibility of the State agency whose draw down has been offset to initiate a request for reimbursement from the Division of Pensions and Benefits using the "Medicare Part B Offset Reimbursement" form (Attachment). Upon receipt of the reimbursement form, the Division of Pensions and Benefits will reimburse the State agency the amount requested. Subsequently, the Division of Pensions and Benefits will investigate the claim with the federal government.

Should the investigation by the Division of Pensions and Benefits show that the offset did not originate in the Division of Pensions and Benefits, the state agency found to be responsible for the offset will reimburse the Division of Pensions and Benefits the amount requested.

Charlene M. Holzbaur, Director

ATTACHMENT

MEDICARE PART B OFFSET REIMBURSEMENT

Requesting agency please complete the top part of this form, including any additional information pertaining to the offset, and send to the following address:

Treasury - Division of Pensions and Benefits
PO Box 295
Trenton, NJ 08625-0295
Attn: John Megariotis, Assistant Director Financial Services
Voice Mail: (609) 292-3674
E-mail: John.Megariotis@treas.state.nj.us
Fax: (609) 393-4606

Requesting Agency: __________________________________

Agency Contact: __________________________________

Mailing Address: __________________________________

Voice Mail: __________________________________

E-mail: __________________________________

Fax: __________________________________

Date Received: __________________________________

Amount Requested: __________________________________

(See attached draw down documentation)

Amount Received: __________________________________

(See attached WEBInVision screen print)

Offset Amount: __________________________________

Additional Comments: __________________________________

FOR DIVISION OF PENSIONS AND BENEFITS USE ONLY

Date Received: __________________________________

Reimbursement Amount: __________________________________

Reimbursement Date: __________________________________

Carrier Billed: __________________________________

Medicare Billed: __________________________________

Additional Comments: __________________________________