M E M O R A N D U M

IM-89 5/04/01  $50.00 CHILD SUPPORT DISREGARD FOR MA FOR FAMILIES MR#18


SUBJECT:
$50.00 CHILD SUPPORT DISREGARD FOR MEDICAL ASSISTANCE FOR FAMILIES 
MANUAL REVISION#18   FAMILY HEALTHCARE 
 
DISCUSSION:
Effective immediately, Medical Assistance for Families (MAF) cases that receive child support are entitled to a $50.00 disregard. This disregard is not allowed for Temporary Assistance or MC+ (children, parents, and pregnant women) cases.  The first $50.00 of child support received per MAF case per month is to be disregarded in the 185% gross income eligibility limit, full need standard test, and the percentage of need test.  When a household applying for or receiving MAF receives child support, disregard the first $50.00 of the total received and budget the remainder as unearned income.  There can be only one $50.00 disregard per MAF case. 

EXAMPLE:  Ms. Jones applies for MAF and Temporary Assistance for herself and one child.  The only income in the assistance group is child support in the amount of $250.00 per month. First, complete a cash budget with the $250.00 child support.  The child support exceeds the $234.00 percentage of need standard for two persons making the household ineligible for Temporary Assistance.  Next complete a budget for MAF.  Disregard the first $50.00 of the child support and budget the remainder of $200.00.  Since $200.00 per month is less then the $234.00 percentage of need standard for two persons, they are eligible for MAF. 

If the net income of an MAF family with child support exceeds the percentage of need standard, (even after the $50.00 disregard) explore individual family member's eligibility.  Split the family members into different assistance grouping, if possible, to determine if any members are eligible for MAF. 

If members of an active MAF case are ineligible even with splitting the assistance group and disregarding $50 of child support, explore eligibility for Extended MAF on Support Closings (refer to Section 0915.000.00) and all other MC+ and Medicaid programs. 

EXAMPLE:  Ms. Jones has been receiving MAF for the last six months, for herself and her three children, John, Mary, and Joe.  As of the first of the current month Ms. Jones starts receiving $400.00 in child support from John's father. The household is ineligible for MAF with the $50.00 of the child support disregarded.  Since Mary and Joe have a different father than John, do a MAF budget for Ms. Jones, Mary, and Joe, thus allowing them to remain eligible for MAF.  Since John is ineligible due to the increase in child support, he is entitled to four months of Extended MAF.  At the end of the four-month extension explore John's eligibility for other MC+ and Medical Assistance programs.

Section 0905.010.45 of the Family Healthcare manual has been revised and Section 0905.010.45.50 created to reflect the $50.00 child support disregard for MAF.

 
NECESSARY ACTION:
  • Review this memorandum with all staff.
  • Immediately begin disregarding the first $50.00 of child support received on MAF budgets.
  • File the revised Section 0905.010.45 and new Section 0905.010.45.50 in the Family Healthcare manual.
MS
Distribution #2



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IM-088
IM-090