Supplemental Payments Manual

0740.010.00 Loss of Cash and Vendor Status

The December 1973 cash and vendor claimant has the same income guarantees as any other SSI-SP or SP claimant; that is, the claimant’s December 1973 EIL must be maintained.

An OAA/PTD Cash and Vendor claimant ineligible for SSI based on income, is normally ineligible for SP. Since SSI deducts $20 from the claimant’s income before determining the amount of SSI payment, the claimant must have $45 income (excluding the SP grant) before becoming ineligible for SSI. Since this $45 is above $30 and the $41 EIL, no supplemental payment is made. The claimant is ineligible for SSI-SP and SP. If the claimant remains eligible on all other factors, process the case as a MA vendor case.

If the claimant does not request a hearing, take the following actions.

  1. Submit the change.
  2. Complete an Approval, Adjustment and Reinvestigation Letter to the nursing home. Since the claimant is no longer in a cash and vendor situation, the allowable expense figure is $30 rather than $30/$41.

If the AB cash and vendor claimant becomes ineligible for SSI, he continues to be eligible for an SP grant. Transfer the claimant to SP. As an SP-Only recipient, the claimant’s SP grant can be reduced.