Department of Social Services
Family Support Division
PO Box 2320
Jefferson City, Missouri
TO: ALL FAMILY SUPPORT OFFICES
FROM: KIM EVANS, DIRECTOR
SUBJECT: CLARIFICATION OF THE QUALIFIED INCOME TRUST (QIT) TRUSTEE REQUIREMENTS FOR PARTICIPANTS OF THE HOME AND COMMUNITY BASED (HCB) AND MISSOURI’S CHILDREN WITH DEVELOPMENTAL DISABILITIES (MOCDD) WAIVER PROGRAMS
MANUAL REVISION #
DISCUSSION:
The purpose of this memorandum is to inform staff of clarification added to the QIT section 1025.015.04.01.02 of the December 1973 Eligibility Requirements manual related to a participant’s selection of a trustee when a QIT is established.
Under 42 USC 1396p(d)(4)(B), participants who meet all other eligibility requirements for the HCB and MOCDD programs (except for income), will become eligible to receive waiver services when the participant creates a QIT and deposits the portion of his/her income that is over the income maximum standard for HCB or MOCDD. That portion of a participant’s income deposited into the QIT is excluded from the HCB or MOCDD budget. Any gains on income held in the QIT are also excluded for HCB and MOCDD.
During the process of establishing a QIT, the participant is required to select a trustee for administration of the trust. Clarification has been added to the manual explaining the requirement for the participant to select a trustee for the proper administration of his/her QIT, but the participant is not required to select a trustee who is bonded. It is assumed by the Family Support Division the participant will select a trustee based on who he/she feels most confident will protect assets held in the QIT, and one who will follow guidelines established for how funds may be distributed to the participant from the QIT.
See the Qualified Income Trusts section 1025.015.04.01.02 under “Deposits and Distributions from the QIT” for information about QIT distribution requirements. Staff must continue to follow the instructions in this section when funds from a QIT have been misused or mishandled. This policy applies whether or not the trustee of the QIT is bonded.
NECESSARY ACTION:
- Review this memorandum with appropriate staff.
KE/vm