13 CSR 40-2.030 - Definitions Relating to Real and Personal Property
(1) In determining eligibility for public
assistance, the Family Support Division (FSD) shall consider property of any
kind or character which the claimant owns or possesses or has an interest in,
of which s/he is the record or beneficial owner, less encumbrances of
record.
(2) For programs applying
the Old Age Assistance (OAA), Permanent and Total Disability (PTD) criteria,
and General Relief (GR) applicants and recipients, the home, as referenced in
section 208.010, RSMo, is defined as the
principal place of residence of the claimant. For town or city property, lots
on which there is no dwelling and which adjoin the residence are considered a
part of the home (regardless of the number of lots so long as they are in the
same city block). For rural property, the acreage on which the home is located
plus any adjoining acreage will be considered part of the home. (Property will
be considered as adjoining even though a road may separate two (2)
tracts.)
(3) In determining
eligibility for public assistance and blind pension, the value of real property
will be its current market value if sold on the open market. (Original
rule filed Nov. 4, 1954, effective Nov. 14, 1954.)
(4) The value of a life insurance policy at
any time shall be the cash surrender value of the policy, minus the amount of
any lien, loan, accrued interest payments or assigned portion of the policy.
(Original rule filed Feb. 20, 1947, effective March 2,
1947.)
(5) Personal
property is defined as household goods, jewelry, farm surpluses, livestock,
farm or business machinery or equipment, automobiles and trucks, and similar
items. (Original rule filed Feb. 20, 1947, effective March 2,
1947.)
(6) The total
amount on deposit in a joint bank account of which the applicant is one of the
owners is considered as available to the applicant unless there is verification
that the money placed in the account or a definite portion of it belongs to the
other joint owner, who is not applying for or receiving public assistance. When
both or all the owners of a joint bank account are applying for or receiving
assistance, each is considered as owning his/her proportionate share of the
account. If the applicant states s/he has not deposited any portion of the
money in the account and past circumstances of the applicant indicate that this
is reasonable, the total amount on deposit will not be considered as available
to the applicant. (Original rule filed Feb. 6, 1975, effective Feb. 16,
1975.)
(7) In those
programs applying the OAA, PTD criteria, in GR cases, and in Aid to Families
with Dependent Children (AFDC) cases, in certain instances as defined in
sections (8)-(13) of this rule, the property will be considered as a resource
which the applicant or recipient can and should use in meeting his/her needs
and will not be eligible for public assistance. (Original rule filed
Feb. 6, 1975, effective Feb. 16, 1975.) The eligibility factor of
property as an available resource applies under the OAA criteria to an
applicant, recipient, and spouse. In AFDC cases, the policy applies to a child
and to a parent(s) or, as allowed by federal law or regulation, to stepparents
or, if included in the grant, a needy nonparent caretaker relative or legal
guardian with whom the child is living. In cases receiving GR, the policy
applies to an applicant or recipient and spouse and children in the home under
the age of twenty-one (21). If the GR applicant or recipient is under age
twenty-one (21), it applies to his/her parent(s) in the home. In programs
applying the PTD criteria, the policy applies to the applicant or recipient and
spouse. (Original rule filed Nov. 3, 1950, effective Nov. 13, 1950.
Amended: Oct. 20, 1967, effective Oct. 30, 1967. Amended: July 8, 1969,
effective July 18, 1969. Amended: Feb. 6, 1975, effective Feb. 16,
1975.)
(8) When an
applicant or recipient of programs applying the OAA, PTD, or Aid to the Blind
(AB) criteria, or the spouse with whom s/he lives owns real property which is
not furnishing shelter for him/her, its current market value shall be
considered an available asset and subject to the limits of section (12) of this
regulation. When an applicant or recipient of programs applying the OAA, PTD,
or AB criteria is under age eighteen (18) and the parent(s) with whom s/he
lives owns real property which is not furnishing shelter for him/her, its
current market value shall be considered an available asset and subject to the
limits of section (12) of this regulation. For GR, when an applicant or
recipient or the spouse with whom s/he lives owns real property which is not
furnishing shelter for him/her, its current market value shall be considered an
available asset and subject to the limits of section (13) of this regulation.
When an applicant or recipient of GR is under age twenty-one (21) and the
parent(s) with whom s/he lives owns real property which is not furnishing
shelter for him/her, its current market value shall be considered an available
asset and subject to the limits of section (13) of this regulation. In programs
applying the OAA, PTD, AB criteria, or GR, the claimant will not be eligible
for assistance on the basis of need; provided, all of the following criteria
which apply are met (the value of an equity in a life estate and of burial lots
shall be excluded from this computation). For AFDC cases, the limitation will
be one thousand dollars ($1000), except that burial lots must be excluded from
this computation. If the value of real property does not exceed the asset
limits of section (12) or (13) of the rule, it shall be counted as a part of
the combination of available resources in determining eligibility.
(A) For real property in which the applicant
or recipient has lived-
1. Twenty-four (24)
months have elapsed since the last date on which either the claimant or spouse
have occupied the dwelling except that the twenty-four (24)-month rule will not
apply to real property owned by a claimant, spouse, or both, who is a patient
in a domiciliary, practical or skilled nursing home, an intermediate care
facility (ICF), state hospital or medical institution; the value of this
property shall be excluded in determining eligibility on the basis of available
resources during the period of time the applicant or recipient is a patient in
a nursing home or institution;
2.
In the AFDC program, real property in which the applicant/recipient has lived
will be counted as a resource the month after the month in which it is vacated
for other than a temporary purpose, unless the spouse from whom the claimant is
separated and the claimant own the home jointly and the spouse continues to
remain in the home. In this case, the home and forty (40) adjoining acres will
not be included in determining equity in resources as long as the spouse
remains in the home. In the event of divorce, the equity in the property
immediately must be considered a resource;
3. If a claimant or couple owns two (2)
pieces of property, they shall be required to designate one (1) as their
homestead and the other immediately shall be considered as an available
resource. Also, when two (2) claimants marry and each owns a home in which s/he
has been living, they will be required to designate one (1) of the properties
as their homestead, the other immediately shall be considered as an available
resource;
4. For programs applying
the OAA, PTD criteria and GR applicants and recipients for town or city
property, lots on which there is no dwelling and which adjoin the residence are
considered a part of the home (regardless of the number of lots so long as they
are in the same city block). For AFDC applicants and recipients, the land on
which the home is located, up to forty (40) acres, is considered a part of the
home so long as the land is adjoining, in the same city block, and there is no
other dwelling on the forty (40) acres; or
5. For programs applying the OAA, PTD
criteria and GR applicants and recipients, for rural property, the acreage on
which the home is located plus any adjoining acreage which is a part of that
farming acreage which is a part of that farming unit will be considered as part
of the home. For AFDC applicants and recipients, the land on which the home is
located, up to forty (40) acres, which is part of that farming unit will be
considered as part of the home so long as the land is adjoining and there is no
other dwelling on the forty (40) acres. (Property will be considered as
adjoining even though a road may separate two (2) tracts, if the property is
farmed as a single unit.)
(B) For all other real property-For programs
applying the OAA, PTD criteria and GR applicants and recipients, the property
is not being used directly by the claimant in the course of his/her business or
employment or, if in use, is not producing an annual return consistent with its
fair market value. For AFDC applicants and recipients, all other real property
will be included in determining the one thousand dollar ($1000) limitation.
(Original rule filed Oct. 24, 1951, effective Nov. 3, 1951. Amended:
Nov. 21, 1952, effective Dec. 1, 1952. Amended: July 29, 1959, effective Aug.
29, 1959. Amended: Oct. 19, 1959, effective Oct. 29, 1959. Amended: July 8,
1969, effective July 18, 1969. Amended: July 23, 1970, effective Aug. 2, 1970.
Amended: Dec. 22, 1972, effective Jan. 1, 1973.)
(9) A single individual applying for or
receiving assistance in programs applying the OAA or PTD criteria who owns
insurance (over and above the first one thousand five hundred dollars ($1500)
in face value) with a cash or loan value of one thousand dollars ($1000) or
more through June 30, 2017, will not be considered eligible for assistance on
the basis of available resources. Effective July 1, 2017, the cash or loan
value in excess of the one thousand five hundred dollars ($1500) shall be
considered an available asset and subject to the limits of section (12) of this
regulation. A husband or wife living together may own insurance (over and above
the first one thousand five hundred dollars ($1500) each in face value) in any
combination with a total cash or loan value up to and including two thousand
dollars ($2000) through June 30, 2017. Effective July 1, 2017, the cash or loan
value in excess of the one thousand five hundred dollars ($1500) for each
spouse shall be considered an available asset and subject to the limits of
section (12) of this regulation. In GR cases, the one thousand five hundred
dollar ($1500) face value exemption will apply to each person included in the
GR case. When the claimant has deposited money with an individual, firm, or
corporation as an advance payment for a funeral and the payment is safeguarded
by burial insurance, trust fund, or joint bank account, the amount of money
over one thousand five hundred dollars ($1500) deposited under such a plan will
be considered a resource in the same manner as the cash or loan value of life
insurance policies, if the contract is revocable. If the burial/funeral
contract is irrevocable, the entire amount of money deposited will be excluded
from available resources. If the claimant has both life insurance and prepaid
burial (revocable or irrevocable), the one thousand five hundred dollar ($1500)
exemption will apply to either or to any combination. The face value of an
irrevocable burial contract will always be counted toward the one thousand five
hundred dollar ($1500) exemption. If the cash or loan value of insurance is
less than the amounts stated in this section, it shall be counted as part of
the combination of available resources in determining eligibility as stated in
section (12) for OAA or PTD, or in section (13) for GR of this rule. An
individual applying for or receiving assistance in programs applying the OAA or
PTD criteria may designate separately identifiable funds as set aside for
burial for the individual or spouse up to a maximum of one thousand five
hundred dollars ($1500). The amount of one thousand five hundred dollars
($1500) shall be reduced by-1) the total face value of insurance policies on
the life of the individual or spouse which are owned by him/her or his/her
spouse, the cash surrender value of which has been excluded in determining
eligibility on available resources as provided in this section and in section
(12) for OAA or PTD, or in section (13) for GR of this rule and 2) the value of
any burial/funeral contract on the life of the individual or spouse. When this
fund has been designated and all or a portion is excluded in determining
available resources eligibility as provided in this section and in section (12)
for OAA or PTD, or section (13) for GR of this rule, the interest or
appreciation to the excluded portion of this fund (if left to accumulate) also
shall be excluded in determining available resources eligibility, starting with
interest or appreciation accrued on or after the beginning date of Medicaid
eligibility. In AFDC cases, there shall be disregarded any prearranged funeral
or burial contract, or any two (2) or more contracts, which provides for the
payment of one thousand five hundred dollars ($1500) or less per family member.
The face value of an irrevocable burial contract will always be counted toward
the one thousand five hundred dollar ($1500) exemption. In AFDC cases, any
family who owns revocable prepaid burials (over and above the first one
thousand five hundred dollars ($1500) in equity value) or insurance with cash
surrender value over one thousand dollars ($1000) will not be eligible for
assistance. If the cash surrender value of revocable prepaid burials (over and
above the first one thousand five hundred dollars ($1500) in equity value) or
insurance is one thousand dollars ($1000) or less, it shall be counted as a
part of the combination of available resources in determining eligibility as
stated in section (13) of this rule. (Original rule filed Jan. 1, 1952,
effective Jan. 10, 1952. Amended: July 29, 1959, effective Aug. 29, 1959.
Amended: Oct. 19, 1959, effective Oct. 29, 1959. Amended: July 8, 1969,
effective July 18, 1969. Amended: July 23, 1970, effective Aug. 2, 1970.
Amended: Dec. 22, 1972, effective Jan. 1, 1973.)
(10) In programs applying the OAA, PTD, or AB
criteria, and GR cases, salable personal property, such as livestock, farm
surplus, jewelry (except wedding and engagement rings owned by claimant or
spouse), machinery, automobiles and trucks, and the like, shall be considered
as an available resource when the following criteria are present:
(A) In programs applying the OAA, PTD, or AB
criteria, and GR cases, the equity based on current market value is one
thousand dollars ($1000) or more, or more than two thousand dollars ($2000) in
the case of a married person living with spouse. In GR cases involving two (2)
or more persons eligible for GR, the limitation is more than two thousand
dollars ($2000). Effective July 1, 2017, the equity value for programs applying
the OAA, PTD, or AB criteria shall be considered an available asset and subject
to the limits of section (12) of this rule;
(B) If personal property is not being used by
the claimant in the course of his/her business or employment or, if in use, is
not producing an annual return consistent with its fair market value. An
automobile or truck will not be considered as an available resource if it
provides transportation for any of the following purposes: employment,
marketing, school or church attendance, or obtaining medical care;
(C) Household furnishings shall not be
considered as available resources unless they are not being used by the
applicant, in which case they are subject to the limitations in section (12)
for OAA, PTD, or AB criteria, and section (13) for GR;
(D) Effective July 1, 2017, in programs
applying the OAA, PTD, or AB criteria, the first five thousand dollars ($5000)
of medical savings accounts and independent living accounts shall be limited to
deposits of earned income and earnings on that income while the individual is a
participant; and
(E) If the value
of the personal property is less than the amounts stated in subsections
(10)(A)-(D), it shall be counted as a part of the combination of available
resources in determining eligibility as stated in section (12) for OAA, PTD, or
AB, or section (13) for GR of this rule. (Original rule filed Jan. 11,
1952, effective Jan. 21, 1952. Amended: Dec. 3, 1952, effective Dec. 13, 1952.
Amended: July 29, 1959, effective Aug. 29, 1959. Amended: Oct. 19, 1959,
effective Oct. 29, 1959. Amended: July 8, 1969, effective July 18, 1969.
Amended: July 23, 1970, effective Aug. 2, 1970. Amended: Dec. 22, 1972,
effective Jan. 1, 1973.)
(11) An AFDC applicant or recipient may not
own personal property with equity greater than one thousand dollars ($1000).
However the following personal property will not be included in this
determination:
(A) Tools, supplies, livestock,
farm surplus, and similar items being used by the claimant in the course of
his/her business. This does not include business or farm machinery;
(B) Household furnishings, household goods,
and personal effects used by the claimant;
(C) The first fifteen hundred dollar ($1500)
equity in one (1) automobile; and
(D) Wedding and engagement rings and jewelry
of limited value.
(12)
Any combination of available resources- real property, personal property, cash
or securities, or cash surrender or loan value of life insurance (including
money deposited in revocable prepaid burials) shall be considered in regards to
the asset limits set below. The following asset limits apply to every MHABD
program, except Blind Pension, the Breast and Cervical Cancer Treatment
program, and the Qualified Medicare Beneficiary (QMB) or Specified Low-Income
Medicare Beneficiary (SLMB) programs:
(A) This
subsection identifies the asset limits for MHABD before July 1, 2017.
1. A household that is applying for or
receiving MHABD on the basis of being over age sixty-five (65) or permanently
and totally disabled does not qualify for MHABD if-
A. It is a one- (1-) person household, and
the household has countable assets of one thousand dollars ($1,000) or more;
or
B. It is a two- (2-) person
household, and the household has countable assets of two thousand dollars
($2,000) or more.
2. A
household that is applying for or receiving MHABD on the basis of being blind
does not qualify for MHABD if-
A. It is a one-
(1-) person household, and the household has countable assets of two thousand
dollars ($2,000) or more; or
B. It
is a two- (2-) person household, and the household has countable assets of four
thousand dollars ($4,000) or more;
(B) Effective July 1, 2017, a household is
not eligible for MHABD, regardless of whether eligibility is determined based
on age, blindness, or permanent and total disability, if it has countable
assets at or in excess of the following limits:
|
Dates Effective |
One- (1-) person Household |
Two- (2-) person Household |
|
July 1,2017-June 30,2018 |
$2,000 |
$4,000 |
|
July 1,2018-June 30,2019 |
$3,000 |
$6,000 |
|
July 1,2019-June 30,2020 |
$4,000 |
$8,000 |
|
July 1,2020-June 30,2021 |
$5,000 |
$10,000 |
(C)
Effective July 1, 2021 (Fiscal Year 2022), the asset limit identified in
section (5) of this rule shall increase every July thereafter at the same rate
as the increase in the cost-of-living percentage of the Consumer Price Index
for All Urban Consumers (CPI-U), or its successor, as determined by the U.S.
Department of Labor. The asset limit shall be rounded to the nearest five cents
(5ยข).
1. The percentage increase shall be
based on changes in the CPI-U between July of two (2) years prior to the year
in which the current fiscal year begins, and July of the immediately preceding
year.
A. Example: To determine the asset limit
for Fiscal Year 2022 (FY22), the department shall measure the increase in the
CPI-U between July 2019 and July 2020. If the CPI-U increased by one percent
(1%) during that period, the asset limit for FY22 shall also increase by one
percent (1%); and
(D) Notwithstanding the provisions of this
section, a person is not eligible for QMB or SLMB if the person's household has
countable assets in excess of the maximum resource level applied for the
applicable year under 42
U.S.C. section
1395w-114(a)(3)(D), pursuant
to 42 U.S.C. section
1396d(p)(1)(C).
(13) In GR cases, any combination of one
thousand dollars ($1000) or more for the applicant or recipient of GR would
make that person ineligible (except that a husband and wife or two (2) or more
persons in the household eligible for GR could have up to two thousand dollars
($2000) together). In AFDC cases, any combination of more than one thousand
dollars ($1000) would make the family ineligible. (Original rule filed
Jan. 11, 1952, effective Jan. 21, 1952. Amended: July 29, 1959, effective Aug.
29, 1959. Amended: Oct. 19, 1959, effective Oct. 29, 1959. Amended: July 8,
1969, effective July 18, 1969. Amended: July 23, 1970, effective Aug. 2,
1970.)
(14)
Notwithstanding the previously mentioned eligibility requirements with respect
to resources, the following will apply to individuals meeting the definition of
institutionalized spouses who begin a period of continuous institutionalization
on or after September 30, 1989:
(A) As used
in this section, the definitions for the following terms shall apply:
1. Assessment shall mean a determination by
the FSD of the total equity value of available resources (as stated in sections
(6)(13)) owned by the institutionalized spouse, the community spouse, or both,
which may be requested at the beginning of a period of continuous
institutionalization expected to last at least thirty (30) days or
more;
2. Community spouse shall
mean the husband or wife of an institutionalized spouse who does not reside in
a medical hospital or a Medicaid-certified bed in a nursing facility (NF) and,
if the institutionalized spouse is one who meets the definition in subparagraph
(14)(A)3.C., the community spouse may not be one who meets those
criteria;
3. Institutionalized
spouse shall mean a claimant who resides in-
A. A medical hospital;
B. A Medicaid-certified bed in an NF, with an
expected stay of at least thirty (30) days; or
C. His/her own home and is assessed by the
Division of Disability and Senior Services as needing both an NF level-of-care
as defined in 19 CSR 30-81.030 and home- and
community-based waiver services and is assessed to need these services for at
least thirty (30) days, and is married to a person who meets the definition of
a community spouse in paragraph (14)(A)2.; and
4. Period of continuous institutionalization
shall mean a stay in a medical hospital or Medicaid-certified bed in an NF or
when the Division of Disability and Senior Services determines a need for home-
and community-based waiver services which is expected to last thirty (30) days
or more; and
(B) The
following shall apply with regard to resource eligibility for institutionalized
spouses who begin a period of continuous institutionalization on or after
September 30, 1989:
1. When an individual
meets the criteria in subparagraph (14)(A)3.C., his/her gross monthly income
shall be compared to one thousand twelve dollars ($1,012). If his/her gross
monthly income is equal to or less than one thousand twelve dollars ($1,012),
the FSD shall complete an assessment of assets as defined in paragraph
(14)(B)2. When his/her gross monthly income is greater than one thousand twelve
dollars ($1,012), s/he is not eligible for an assessment of assets as defined
in paragraph (14)(B)2. The one thousand twelve dollar ($1,012) income limit
shall be increased each year effective January 1 in accordance with the Social
Security cost-of-living adjustment (COLA), beginning in 2006;
2. At the beginning of the first period of
continuous institutionalization, the institutionalized spouse, the community
spouse, or a representative acting on behalf of either may request an
assessment by the FSD of total equity in available resources owned by either or
both in the month in which the period of institutionalization began or, in the
case of an institutionalized spouse who meets the definition in subparagraph
(14)(A)3.C. and who met that definition prior to January 1, 1993, January 1993
shall be substituted for the month in which the period of institutionalization
began;
3. From this total, the FSD
shall compute the spousal share, which shall be the greater of-1) twelve
thousand dollars ($12,000) or 2) one-half (1/2) of the total, not to exceed
sixty thousand dollars ($60,000). The twelve thousand dollar ($12,000) minimum
and the sixty thousand dollar ($60,000) maximum shall be increased each January
in accordance with the increase in the Consumer Price Index, beginning in
1990;
4. In determining initial
Medicaid eligibility for the institutionalized spouse in this continuous period
of institutionalization, the FSD again shall determine the total equity in
available resources owned by the institutionalized spouse, the community
spouse, or both, at the time of Medicaid request. From this total, the FSD
shall deduct the amount of the spousal share as computed in paragraphs
(14)(B)2. and 3. If the remainder is equal to or less than the appropriate
resource maximum for a single person, the institutionalized individual, to the
extent the individual expresses intent to transfer any excess resources to the
community spouse, shall be initially eligible for Medicaid on the factor of
available resources. Eligibility for Medicaid for individuals described in
subparagraph (14)(A)3.C. who become resource eligible using the assessment
described in paragraph (14)(B)2. cannot begin prior to the date the individual
actually receives home- and community-based waiver services;
5. Any such individual who is determined
initially eligible for Medicaid must transfer any resources above the
appropriate resource maximum which are held in the individual's name to the
community spouse within ninety (90) days of notification of initial
eligibility, unless good cause exists;
6. If good cause does not exist, the FSD
shall consider any resources held in the name of the institutionalized spouse,
including any jointly-owned resources, in determining continued Medicaid
eligibility, effective ninety (90) days after notification of initial
eligibility;
7. After the
determination of initial eligibility for the institutionalized spouse, no
resources of the community spouse not jointly owned with the institutionalized
spouse shall be considered available to the institutionalized spouse in
Medicaid determinations in that continuous period of
institutionalization;
8. If either
spouse establishes in a fair hearing that the spousal share (in relation to the
amount of income generated by that amount) is inadequate to raise the community
spouse's own income to the amount determined in
13 CSR
40-2.200(5)(A), the spousal share may
be adjusted to an amount adequate to provide the additional income. At the fair
hearing the maximum amount of the institutionalized spouse's income that may be
made available to the community spouse under
42 U.S.C.
1396r-5(d), shall be
considered the community spouse's own income; and
9. If a court has entered an order against an
institutionalized spouse for the support of the community spouse, the amount of
the order shall be substituted for the spousal
share.
Notes
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