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SDU Overpayment Scenarios

There are times when the State Disbursement Unit (SDU) makes a mistake when processing payments. Below are SDU scenarios and how to handle them:

  • Model note is missed– Worker will send a Finance Action Request (FAR) to correct the distribution. If an overpayment results, it will be created automatically when the receipts are adjusted.

    For example, a model note was set (RUBLNA) instructing SDU to log all payments to the 001 case, but the receipt(s) were logged at the non-custodial parent (NCP) level instead.

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  • Special Processing Form is missed – Worker will send an FAR to correct the distribution. If an overpayment results, it will be created automatically when the receipts are adjusted.
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  • Incorrect payment type is used (logged as F/PC and should have been K/WA) – If SDU logs a payment using the incorrect payment type the worker will send an FAR. The Center for Finance and Budget (CFB) worker will determine whether a receipt adjustment is necessary based on whether the allocation or distribution results would change. Even if a receipt adjustment is not completed, it is necessary to send an FAR so that an SDU error is charged.

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