129-6-53 - Financial eligibility for MAGI-based coverage groups
129-6-53. Financial eligibility for MAGI-based coverage groups
This regulation shall apply to all groups described in K.A.R. 129-6-34(c)(1).
(a) Definitions. For purposes of this regulation, each of the following terms shall have the meaning specified in this regulation.
(1) "Household income" means the sum of the MAGI-based income of every individual included in the individual's household minus an amount equivalent to five percentage points of the federal poverty level for the applicable family size, for purposes of determining the individual's eligibility under the highest income standard for which the individual is eligible.
(2) "MAGI-based income" means income calculated using the same financial methodologies used to determine MAGI as defined in 26 U.S.C. 36B(d), with the following exceptions:
(A) An amount received as a lump sum shall be counted as income only in the month received;
(B) scholarships, awards, or fellowship grants used for education purposes and not for living expenses shall be excluded from income; and
(C) for American Indian and Alaska native funds, the following shall be excluded from income:
(i) Distributions from Alaska native corporations and settlement trusts;
(ii) distributions from any property held in trust, subject to federal restrictions, located within the most recent boundaries of a prior federal reservation or otherwise under the supervision of the secretary of the interior;
(iii) distributions and payments from rents, leases, rights-of-way, royalties, usage rights, or natural resource extraction and harvest from rights of ownership or possession in any lands described in this paragraph or federally protected rights regarding off-reservation hunting, fishing, gathering, or usage of natural resources;
(iv) distributions either resulting from real property ownership interests related to natural resources and improvement located on or near a reservation or within the most recent boundaries of a prior federal reservation or resulting from the exercise of federally protected rights relating to these real property ownership interests;
(v) payments resulting from ownership interests in or usage rights to items that have unique religious, spiritual, traditional, or cultural significance or rights that support subsistence or a traditional lifestyle according to applicable tribal law or custom; and
(vi) student financial assistance provided under the bureau of Indian affairs education programs.
(b) Exceptions to household income. Financial eligibility for families and children shall be based on household income, except for the following:
(1) The MAGI-based income of an individual who is included in the household of the individual's natural parent, adoptive parent, or stepparent and is not expected to be required to file a tax return under 26 U.S.C. 6012(a) for the taxable year in which eligibility is being determined shall not be included in household income whether ornot the individual files a tax return.
(2) The MAGI-based income of a tax dependent described in K.A.R. 129-6-41(e)(1) who is not expected to be required to file a tax return under 26 U.S.C. 6012(a) for the taxable year in which eligibility is being determined shall not be included in household income whether ornot the tax dependent files a tax return.
(c) Income deductions. No other deductions shall be applied in determining household income.
(d) Financial eligibility.
(1) Financial eligibility shall be based on the current monthly income and family size of the household, unless a change in circumstances is expected. In this case, financial eligibility shall be based on the projected monthly income and family size of the household.
(2) For children and pregnant women determined eligible based on K.A.R. 129-6-73 and K.A.R. 129-6-74, the provisions of K.A.R. 129-6-54(a), (b), (c), and (e) regarding base periods and spenddown determinations shall be applicable.
(e) Exclusion of resources. The value of the household's resources shall not be taken into consideration in determining financial eligibility.(Authorized by and implementing K.S.A. 2012 Supp. 65-1,254 and 75-7403; effective, T-129-10-31-13, Nov. 1, 2013; effective Feb. 28, 2014.)
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