Waters-Haskins v. Human Services Department

144 N.M. 853 (2008)

Facts

P took care of her two grandchildren first as a foster parent and then as a parent after she adopted them. P received a subsidy from D to help her care for her grandchildren while they were in foster care. The subsidy was not counted as income to the household for Food Stamp benefits while D's granddaughters were foster children. P adopted her grandchildren. P received an adoption subsidy to help her to care for her adopted children. The subsidy was $ 1,040.00 per month for both children. P filled out and signed an application for Food Stamp recertification on March 22, 2004, and also filled out and signed an application for decertification on September 21, 2004. P included as income the amount that she received from D for the adoption subsidy. The application packet includes a statement of Rights and Responsibilities that a household is responsible to pay back benefits that the household was ineligible to receive. This is also explained to P. A foster care subsidy can be excluded from the household income for Food Stamp benefits purposes, and adoption subsidy cannot. D erroneously excluded the adoption subsidy from the household income after P adopted her grandchildren. P's net income was $1,446.00. The maximum net income eligibility for a household of three people for the claim period was $ 1,306.00. P erroneously received Food Stamp benefits for the claim period of February 2004 to January 2005. D wanted the money back. D, not P, made a mistake. D maintains that, as a delegatee of federal authority, its hands are tied by federal law requiring recovery of overpayments even where the overpayment was caused solely by agency error and without fault on the part of the food stamp recipient. D ruled against P ignoring her plea of equitable estoppel. P appealed.