MEMORANDUM

DISCUSSION:

The weekend of September 11, 2010, the October Food Stamp mass adjustment will occur. This memorandum addresses the following issues related to the mass adjustment:

• Increased Allotments, Maximums, and Deductions;
• Update Process;
• Decreased Benefits or Case Closings;
• Conflict of Actions;
• Cases Not Adjusted;
• Notices:
• Fair Hearing Requests; and
• Manual Revisions.

Increased Allotments, Maximums, and Deductions

The following changes will be made during the mass adjustment:

• the standard deduction is increased to $142 for EUs with one to three members and
• the excess shelter expense maximum for EUs without an elderly/disabled member is decreased to $458.

The standard deduction remains the same for EUs with four or more members and there is no change in allotments or income amounts.

Update Process

The Food Stamp Budget Summary (FM4A) screen and the Worker Initiated Budget Calculation Area – WIBCA (FMXN) are updated with the new amounts for October 2010 budgets effective September 11, 2010. While the updates are being completed, FAMIS is unavailable and no actions can be taken until September 13, 2010.

After the eligibility determination is run during the mass adjustment, the following actions on active Food Stamp cases may be displayed in FAMIS, depending on the action taken during the mass adjustment:

• if the benefits are increased , the EU Action Log (FM40) displays the action INCR, action date of September 11, 2010, and benefit month 102010;
• if there is no change to the benefits, the EU Action Log (FM40) displays the action NOCH, action date September 11, 2010, and the benefit month 102010;
• If there is a decrease in benefits, the EU Action Log (FM40) displays the action REDU, action date September 11, 2010, and the benefit month 102010;
• If there is a decrease in benefits or closing, and previously disregarded actions exist, the EU Action Log (FM40) displays the action AABR for a reduction and AACL for a closing, action date September 11, 2010, and benefit month 102010. For more information regarding EUs whose benefits decrease or cases close, refer to the Decreased Benefits or Case Closings section of this memorandum.

The reason field on the Action Authorization (FM3H) screen displays TUA – Table Update Adjustments (system) for the mass adjustment. To inquire why an action is taken, on the EU Action Log (FM40), select the action, and press F17=INQAUTH. The Action Authorization (FM3H) screen appears. Press F19=REASON. The reason code and the code description appear. After payroll closing on September 24, 2010, the Payment History (FM5F) screen displays the appropriate allotment for each EU.

Decreased Benefits or Case Closings

EUs receive an FA-510 adverse action notice to decrease benefits or close the EU after the mass adjustment. This happens if there are disregarded changes in FAMIS. EUs with cases that have an allotment decrease without previously disregarded actions will receive a FA-150 action notice. The mass adjustment is considered a change that must be acted on, and all cases are required to be adjusted to accurately reflect deductions and benefit amounts, all information known to FAMIS at the time of the mass adjustment is used to determine eligibility. There will be no 10-day waiting period prior to authorization of the adverse action. This is a change that is not disregarded.

Conflict of Actions

FAMIS adjusts active Food Stamp cases during the mass adjustment even if the case has a pending adverse action. If there is a pending adverse action when the mass adjustment is completed, there is a conflict of actions. The eligibility specialist receives the alert “Adverse Action Needs Resolving”. Void the adverse action and process the mass adjustment adverse action following these steps:

• void the first (pending) adverse action on the Action Resolution (FM50 or ACTRES) screen,
• complete the eligibility determination on the Eligibility Determination Resolution screen (FM3Y or EDRES), and
• authorize the new action, even if the action is a benefit reduction or closing.

Refer to FAMIS user guide Changing An Adverse Action Status for instructions.

Cases Not Adjusted

Some cases cannot be adjusted during the mass adjustment. The cases are either pending applications or pending changes that require the eligibility specialist to take an action. When the eligibility specialist completes the appropriate action, the case will be automatically adjusted.

• Expedited EUs that are active with postponed verification (APV status).
• Any EU with an incomplete eligibility determination, such as when there is insufficient data (ISD).
• Any EU in the controlled flow.

  FAMIS sets Food Stamp EUs in recertification application controlled flow to RTA status on the EU Action Log (FM40). However, FAMIS does not authorize these actions. The eligibility specialist must complete the controlled flow and authorize actions during the normal process.

  If an application is pending in the controlled flow for Temporary Assistance or Child Care, FAMIS sets the Food Stamp action to RTA status on the EU Action Log (FM40). FAMIS does not authorize these actions during the mass adjustment. When the eligibility specialist completes the controlled flow, the correct determination is made for Food Stamp benefits.

  If the MO HealthNet case is in the controlled flow including the conversion controlled flow, the active Food Stamp case is adjusted.

• An unacceptable or blank verification code is entered for a program element.

  EXAMPLE: The Income Amount (FMX3) screen has a blank verification code for income.

  During the mass adjustment, FAMIS sets the status to PEN (Pending) for the case until the eligibility specialist enters an acceptable form of verification. The eligibility specialist receives the alert “Action Not Authorized”.

  If no action is taken by the eligibility specialist, FAMIS will send an FA-510 Adverse Action notice to reduce or close as appropriate, as the unacceptable or blank verification code has not been resolved. Take the following actions to correct these cases.

  • Review the case file. If the verification is provided, update the verification code, run an Eligibility Determination Resolution (FM3Y or EDRES) and authorize the action. If the verification is not provided or requested, complete the steps below to request verification.
  • Type OUTVERF on the command line and press enter. The Outstanding Verification (FM3M) screen is displayed.
  • Select the outstanding verification, press F23=PRINT.
  • Press F17=DOCQUE. The FA-325 Request for Information appears with RDPRT (ready to print).
  • Tab to the FA-325, type “P” on the Com line and press F23=PRNT. The FA-325 Request for Information is printed locally.
  • Mail the FA-325 to the EU to request the verification.
  • Once verification is received, update FAMIS with the verification and complete an eligibility determination

Notices

All EUs with an allotment that increases are sent an FA-150 Action Notice. The notices are dated September 30, 2010 to allow for mail processing. The notice informs EUs of the following:

• the standard deductions and excess shelter maximum have changed; and
• their Food Stamp allotment for October
.

EUs with cases that have an allotment decrease without previously disregarded actions will receive an FA-150 Action Notice. The notices are dated September 20, 2010 to allow for mail processing. The notice informs the EUs of the following:

• the standard deductions and excess shelter maximum have changed; and
• their Food Stamp allotment for October.

EUs with cases that are closing or with an allotment decrease that had a previously disregarded action will receive an FA-510 Adverse Action notice dated September 13, 2010, for changes effective for October 2010. The notice informs EUs of the following:

• the standard deduction and excess shelter maximum have changed; and
• the cumulative effect of the mass adjustment changes, changes previously disregarded or effect the current changes have on the Food Stamp allotment for October.

Staff may view the notices on the Document Queue (FMVM) screen.

Fair Hearing Requests

If the EU requests a fair hearing for the Food Stamp Program, fax the request to the Hearings Unit the same day. It is important to send all Agency evidence to the Hearings Unit as soon as possible. All available evidence should be sent to the Hearing Unit with the original request for hearing within 24 hours. Do not wait until a few days before the hearing to send the evidence.

For a request for fair hearing due to the mass adjustment, evidence may include, but is not limited to, these items:

• FA-510 Adverse Action Notice
  • When a fair hearing is requested while an FA-510 adverse action is pending, the EU has the option to continue to receive the current level of benefits pending the hearing results. If the EU chooses to continue receiving benefits at the current level, the pending adverse action is placed on hold (HOL). To place an adverse action on hold due to a hearing request following instructions found in User Guide Changing An Adverse Action Status.
• FA-150 Action Notice
• Comments Screens
• Manual sections/legal references
• Budget Summary (Food Stamps) (FM4A) screen for applicable months
• Detail screens of budget entries, as applicable:
  • Income Summary Detail (FM33)
  • Expense Summary (FM34)
  • Income (FMX0) screen
  • Income Amount (FMX3) screen
  • Shelter Expense (FMXK) screen
  • Utility Expense Standard (FMXJ) screen
  • Court Ordered Expense (FMXL) screen
  • Dependent Care Expenses (FMXM) screen
  • Medical Expense (FMXA) screen
• Financial Resource Detail Summary for applicable months if the change/closing is due to resources
• Details screens for resources, as applicable:
  • Liquid Resource (FMW0) screen
  • Prepaid Burial (FMW1) screen
  • Personal Property (FMW2) screen
  • Real Property (FMW4) screen
• Other screens as applicable for the change/closing
• Verifications

NOTE: If taking actions on cumulative changes, it is necessary to include notices and budgets from previous actions.

Provide a copy of the evidence to the EU asking for the hearing, and their legal representative, and schedule a pre-hearing conference. If the EU designates an attorney or authorized representative for the hearing, send a copy of all notices and evidence for the hearing to the EU and the designated individual.

Please note that if verification of child support income was from a MACSS screen, the verification to support this should be requested from child support staff for the hearing. They can give you a print-out that contains the same information you viewed that can be presented as evidence. If you cannot get this information, contact Food Stamp Program and Policy Unit for assistance. Do not go to hearing and state that the verification cannot be supplied because the screen cannot be printed, as the Agency has access to this information.

Manual Revisions

The Food Stamp Manual is revised online. The revisions include:

• updating the excess shelter maximum for non-elderly/disabled EUs (section 1115.035.25); and
• updating the standard deduction (section 1115.035.05).

The following charts are revised on the Intranet:

• Food Stamp Changes Flyer;
• Standards History Chart; and
• Manually Calculating a Food Stamp Budget.

NECESSARY ACTION:

• Review this memorandum with appropriate staff.

JM/KSO/CS