Recipients who are in or plan to enter a Medicaid nursing facility may be eligible for vendor payments made in their behalf to pay for their care in the nursing home. An individual may continue to receive a cash supplemental payment as opposed to a vendor payment, however the claimant is then liable for the full cost of the nursing facility care. Both a cash and vendor payment cannot be made unless the claimant was originally converted as a cash and vendor case (see 0740.000.00 Procedures for December 1973 Cash and Vendor Cases).
Register and process an application for MA for SSI-SP or SP-Only recipients who enter a vendor facility. Follow MA Vendor criteria and procedures (refer to 0815.000.00 Vendor Eligibility) to determine eligibility for Medicaid vendor payments. If the claimant meets MA vendor criteria, close the SSI-SP or SP-Only case and open the MA case.
These recipients can regain their conversion status when they leave a vendor situation. Close the MA case and cancel close the conversion case.