MEMORANDUM

DISCUSSION:

This memo introduces an addition to the MO HealthNet Manual Section 1030.000.05, to clarify resource determination during the month of application.  The eligibility begin date for MO HealthNet Programs is the beginning of the month in which resources are below the resource limit.  When an applicant's resources fall below the resource limit at any point during the month, the applicant is eligible for the entire month, if all other points of eligibility are met.  The date the resources are disposed should not be used as the eligibility begin date.

EXAMPLE 1:  Mr. Adams applied for MO HealthNet for the Aged, Blind and Disabled vendor benefits on May 1, the day he entered the nursing home.  He had life insurance with $10,000 cash surrender value.  He is eligible on all other factors.  His children were able to cash in the life insurance policy and paid for an irrevocable burial policy on June 29.  He is eligible for the entire month of June.

NOTE:  Mr. Adams is not eligible for the month of May because his resources exceeded the resource maximum for the entire month.

EXAMPLE 2:  Ms. Young applied for MO HealthNet for the Aged, Blind, and Disabled (MHABD Spenddown/Non-Spenddown) on May 13.  She receives Social Security Disability of $800 per month which she deposits in her checking account.  She had $7,000 in her checking account the beginning of May.  Her SSDI is subtracted when counting her resources.  She transferred $5,000 to her daughter's account, and spent $202.00 to pay bills that were still outstanding.  On May 30th her account balance was $998.  She is eligible on all other factors.  She is eligible for MHABD for the entire month of May.

NECESSARY ACTION:

• Review this memorandum with all staff.

DBH