04/13/2022
- This manual release provides additional guidance from Food and Nutrition Services (FNS) on lottery or gambling winnings.
- MR #21.12: Treatment of Substantial Lottery or Gambling Winnings for SNAP Eligibility, published on 04/29/2021, indicated a household is ineligible for SNAP benefits until the household spends lottery or gambling winnings to below the applicable standard. However, FNS has clarified that a household can reapply and be eligible for benefits when they meet the allowable resources and income eligibility requirements applicable to the household.
- Further, substantial lottery or gambling winnings are separate from regular resources or income and its own distinct requirement. If a household receives lottery or gambling winnings above the resource limit, the household will lose eligibility due to substantial winnings.
- Changes to the Notice of Decision Form 360C, Cash Medical and SNAP Redetermination Application 1893 and the SNAP and TANF Mid-Point Report Form 2890 will be updated with language regarding the substantial lottery or gambling winnings applicable resource limit for the household size.
Substantial Lottery or Gambling Winnings - Clarification
This manual release updates PM 07-04-21 and WAG 07-04-21, further clarifying lottery or gambling winnings and Supplemental Nutrition Assistance Program (SNAP) eligibility. MR #21.12: Treatment of Substantial Lottery or Gambling Winnings for SNAP Eligibility, published on 04/29/2021, indicated a household is ineligible for SNAP benefits until the household spends the lottery or gambling winnings and is below the standard. However, FNS has clarified that the household may reapply and be eligible for benefits when they meet the allowable resources and income eligibility requirements.
Further, substantial lottery or gambling winnings are separate from regular resources/income and is its own distinct requirement. If a household receives lottery or gambling winnings above the resource limit, the household will lose eligibility due to substantial winnings.
Substantial Lottery or Gambling Winnings - Example Scenarios
EXAMPLE: Mr. A has reported winnings of $3,751 in a single cash prize lottery game during his SNAP certification. Because his winnings are over substantial lottery or gambling winnings resources limit of is over $3,750, he is ineligible for SNAP. Mr. A will need to reapply once he is below the applicable resource limit for his household size.
EXAMPLE: Mr. B has reported winnings of $3,750 in a single cash prize lottery game during his SNAP certification period. Because his winnings are at the substantial lottery or gambling winnings resources limit of $3,750, he has met the applicable resource limit for his household size. Mr. B remains eligible for SNAP.
Updates to Mid-Point Report (Form 2890), the Cash, Medical, SNAP Redetermination Application (Form 1893), and Notice of Decision (Form 360C)
The SNAP and TANF Mid-Point Report (Form 2890), and the Cash, Medical, SNAP Redetermination Application (Form 1893) will be updated to include questions about substantial lottery or gambling winnings when a household member reports winnings. Notice of Decision (Form 360C) will be updated to include information regarding when a household reports winnings over the substantial lottery or gambling winnings applicable resource limit.
Manual Revisions
[signed copy on file]
Grace B. Hou
Secretary, Illinois Department of Human Services
Forms Referenced
Form 360C
Form 2890
Form 1893
