MEMORANDUM

DISCUSSION:

At the suggestion of the Corrective Action/Payment Accuracy Work Group, effective November 16, 2008, Food Stamp Policy regarding verifying medical expenses is changed. Staff no longer must verify medical expenses for the EU that total $35 or less.

System changes have been made in FAMIS to allow client's statement (CS) as verification when the total medical expenses for an EU are $35 or less. The application will not pend for verification if CS is entered. If no verification is entered, it will pend the application.

There is no change in policy/procedures for mileage (MI) and travel and lodging (TL) expenses. CS remains an acceptable verification code for all MI and TL amounts.

EXAMPLE: Mr. and Ms. Jones are both either elderly or disabled. Mr. Jones pays $20.00 a month in co-pays to the doctor and Ms. Jones pays $10.00 a month RX co-pays. The total medical expense for this EU is $30; client's statement is acceptable verification for this case.

EXAMPLE: Mr. Carl is elderly or disabled, and has monthly medical expenses of $25 for prescriptions and $20.00 for insurance cost. Total medical expenses of $45.00, client's statement is not acceptable verification, FAMIS will pend this case if client's statement is used as the verification code.

Medical Expenses Frequently Asked Questions #15 and the Verification Codes in FAMIS chart have been updated on the Intranet to reflect this change.

NECESSARY ACTION:

• Review this memorandum with appropriate staff.

SW