Anderson v. Morris

This appeal concerns the way in which the State Department of Social and Health Services (DSHS) treats “lump sum” payments in the administration of the Aid for Dependent Children (AFDC). The appellants, Karen E. Anderson and Emily Peterson, both receive monthly assistance grants under AFDC. Appellant Anderson received an income tax refund check which was endorsed by her but cashed by her former husband. Even though she did not receive any of the funds, DSHS characterized the refund as “income” within AFDC, reduced her monthly grant as a consequence, and ultimately assessed an overpayment…