SENATOR TAYLOR introduced HB 331 am (USE PFD'S TO RECOVER WELFARE OVERPAYMENTS) as the next order of business. REPRESENTATIVE CYNTHIA TOOHEY, prime sponsor of HB 331, explained the legislation is a mechanism by which the Department of Health & Social Services will be able to collect overpayment of welfare checks after the person is off of welfare. There is no problem when a family is on welfare because there is a mechanism in place to take a small amount of each check. The problem arises when the person is no longer under the welfare system and they fail to repay amounts owed. HB 331 allows the garnishment of the individual's permanent fund dividend for an overpayment, be it the result of an overpayment by the department or by misinformation by the recipient. SENATOR JACKO asked how big of a problem this was. REPRESENTATIVE TOOHEY answered it amounts to approximately one half million dollars. JAN HANSRN, Director, Division of Public Assistance, Department of Health & Social Services, added that the overpayments can vary from a $50 error to a complete AFDC check. SENATOR HALFORD moved that HB 331 am be passed out of committee with individual recommendations. Hearing no objection, it was so ordered.