WAG 05-03-03: Eligibility for FS Units with Excluded Member

PM 05-03-03.

Determine the amount of an excluded member's income and expenses to be used for the remaining members as follows:

1. Determine the excluded member's gross income, subtracting any allowable deductions, such as the cost of doing business for self-employment income.
2. Determine the total unit size by adding together all eligible, excluded, and sanctioned members.
3. Determine the excluded member's prorated share by dividing their income by the total unit size (Step 2).
4. Multiply the prorated share (Step 3) by the number of eligible FS unit members. Use the result when determining eligibility and benefit amount.

   Example: FS unit includes Mr. and Mrs. Z and their daughter and son. Mr. Z is excluded because he is an ineligible noncitizen. Their son is excluded due to failure to comply with the Social Security Number policy. Mr. Z works, earning $800 gross per month.

   $800 ÷ 4 = $200, the prorated share to count for each eligible member. Mrs. Z and her daughter are eligible members. $400 is used when determining eligibility and benefit amount for Mrs. Z and her daughter. 

5. Code the prorated amount (Step 4) as income in Item 90 of Form 552. Use code 554 for unearned income or code 654 for earned income.
6. When a person who receives SSI applies for or receives food stamps as a single individual and is an ineligible noncitizen for food stamps, deny or cancel the food stamp case.

   When a person who receives SSI receives food stamps with others and is deleted from the food stamp case because they are an ineligible noncitizen for food stamps, prorate their SSI income the same way that you do other unearned income and budget it as code 554 in Item 90.

   If the person is active on the case for Cash or Medical, enter a 2nd code 691 with $0.00 and a source code of 9. Exclude the case from central budgeting by sending Discrepancy Referral Form (Form 1925) to the SSA Programs Control Unit. In the Description of Problem section, check the Other box and enter "Stop central budgeting of SSI - Ineligible noncitizen for food stamps receiving Medical or Cash." 

7. Child support, including child support pass through and excess child support payments, is income of the child for whom it is intended. Budget a prorated amount of the child support payment for the FS unit if the person for whom it is intended is an excluded member for food stamps.
8. Prorate expenses, such as rent or dependent care, that are billed to or paid by the excluded member in the same way that income is prorated. Do not prorate the Air Conditioning/Heating Standard, Limited Utility Standard, Single Utility Standard, or the Telephone Standard. Allow the full amount of the appropriate standard.

Prorating Cash Benefits For FS

For food stamp budgeting, cash benefits paid by the Department are income of the cash assistance unit. When an ineligible noncitizen for food stamps is a cash assistance client, prorate the cash assistance and budget it for the remaining eligible FS unit members.

Code Form 552 as follows:

• Item 14 - FS NCIT. Enter the total number of persons in the FS unit. This includes all eligible, excluded, and sanctioned members. This entry is used for the proration of cash benefits for food stamps.
• Item 15 - Enter code 5.

When these codes are present, the system centrally prorates the amount of the cash benefit for the effective month of the action.

When the cash benefit amount is centrally prorated, the turnaround Form 552 contains the message CASH GRANT PRORATED FOR FS - NOCIT.

AIS Processing

When noncitizens are eligible for TANF or RRA Cash benefits, but are ineligible noncitizens for food stamps, AIS can prorate the cash benefits and their other income for food stamps. AIS will prorate income when the person's status is changed to ineligible on the Individual Status Review of the Non-Financial Determination Food Stamps Screen and TAR 05 is entered. When a person in the TANF or RRA unit is changed to ineligible with TAR 05, TANF or RRA cash benefits as well as any other income of that person will be prorated for food stamps.

Processing Through ACM - Noncitizen Eligible for Cash or Medical

When you process a Cash or Medical case with food stamps, and a person is an ineligible noncitizen for food stamps:

1. From the Actual Generic Screen, press F6. The HH Members Not In Primary Request Whose Income Is Used in Calcs Screen appears. Disregard the name of the screen. Enter the name(s) of persons in the FS unit who are ineligible noncitizens, even if they are listed on the left of the screen and they receive Cash or Medical. Enter the correct category and Type 8.
2. On the Income Actual Screen, enter the person's 9-digit RIN. Enter their budgetable income for Cash or Medical. Put a Y under Budget Cat and an N under Budget FS. Enter the income code and the amount of income. When an N is entered under Budget FS, the system automatically enters the income code with an amount of $0.00 and source code 9 on Form 552, so the income is not budgeted for food stamps.
3. Request another Income Actual Screen, and enter the person's 2-digit reference number that was obtained in Step 1. Put an N under Budget Cat and a Y under Budget FS. Enter the full amount of the person's income. The system automatically prorates the income and enters code 554 for unearned income and code 654 for earned income in Item 90.
4. Enter Item 14 to prorate the cash benefit, if a person is in the cash unit but is an ineligible noncitizen for food stamps. You must manually prorate the PAG codes. Use the person's 9-digit RIN and enter the prorated amount in the PAG codes in the All Other Income Actual Screens.
5. If rent is billed to or paid by the ineligible noncitizen, enter the person's 2-digit reference number and the full amount of the rent. ACM prorates the amount entered.

   If utilities are billed to or paid by the ineligible noncitizen and the FS unit qualifies for the Air Conditioning/Heating Standard, Limited Utility Standard, Single Utility, or Telephone Standard, do not prorate the amount. Allow the full amount of the appropriate standard. 

Processing Through IPACS - Noncitizen Eligible for Cash or Medical

When you process a Cash or Medical case with food stamps, and a person on the Cash or Medical case has income and is an ineligible noncitizen for food stamps, enter the income code with the person's RIN, a source code 9, and an amount of $0.00 so that the income is not budgeted for food stamps. Enter code 554 and the prorated amount of the income that is budgetable for food stamps. If you do not enter the income code with an amount of zero and a source code 9 in Item 90, the full amount of the income will be incorrectly budgeted for food stamps.