When nonexempt property is not sold during the 6-month exemption period, cancel the case due to excess assets.
Example: Mr. C owns non-homestead property with an equity value of $3,800. Mr. C was making a good faith effort to sell the property, but the property was not sold by the end of the 6-month exemption period. Since the equity value of $3,800 exceeds the asset limit, Mr. C is ineligible for TANF Cash.
When a case is ineligible because nonexempt property was not sold by the end of the 6-month exemption period, and the family reapplies for cash, reevaluate the assets. If the assets exceed the limit, the family is ineligible for cash due to excess assets. Do not exempt the property for another 6 months.
When a family reapplies after the exemption period has ended and the property has been sold, determine if there is an overpayment for the exemption period.
Example: A family has nonexempt real property with an equity value of $10,000. The asset is exempted for 6 months. During the 6 months the family receives TANF Cash benefits of $432 a month for a total of $2,592. The exemption period ends and the cash assistance is canceled.
Two years later the family reapplies for TANF Cash. During that time the property was sold with net proceeds of $8,400. The family spent the money on living expenses and is determined eligible for TANF Cash. There is an overpayment of $2,592 for the exemption period, which is reported to BOC for recoupment (see WAG 23-04-00).