SR 04-27 Dated 10/04

STATE OF NEW HAMPSHIRE

INTER-DEPARTMENT COMMUNICATION

SUMMARY

This SR releases the 2004 annual Food Stamp Program October updates to:

·   the maximum benefit allotments;

·   the gross and net income limits;

·   the standard utility allowances (SUAs); and

·   certain income deductions.

Form 215, Reporting Requirements Handout, and the Food Stamp 130% Reporting Requirements Poster were revised accordingly.

In addition, this SR also releases the following policy clarifications:

·   The Community Residence Shelter Allowance (CRSA) includes all shelter costs, so no additional SUA is allowed, regardless of whether the individual pays for heat or any utility, receives LIHEAP or intends to apply for LIHEAP. However, if the individual incurs telephone expenses, allow the telephone only standard.

·   Individuals living in subsidized housing, who share a utility meter, are now allowed the appropriate SUA if the individual incurs excess utility charges.

·   Self-employment income is not subject to Federal Income Tax (FIT) or Medicare Tax (FICA) withholding. If an individual, regardless of the individual’s category of financial or medical assistance, presents wages in which FIT or FICA have been deducted, do not treat these wages as self-employment income.

POLICY

Benefit Allotments and Gross and Net Income Limits

Benefit allotment amounts and gross and net income limits for all group sizes are part of the annual October Food Stamp Program update and will increase as noted below, effective October 1, 2004.

1Gross and net income limits do not apply to categorically eligible households (all members receive or are eligible for PA and/or SSI).

For reference purposes, District Offices were sent an electronic copy of the Basis of Issuance Tables provided by the Food and Nutrition Service (FNS) via Director’s Memo dated September 17, 2004. District Offices were instructed to detach the tables into a shared drive where all District Office staff can access them.

Standard Utility Allowances

Effective October 1, 2004, the Standard Utility Allowances are as follows:

Income Deductions

Effective October 1, 2004, the Standard Deduction is as follows:

In addition:

·   the Excess Shelter Expense Deduction increased from $378 to $388;

·   the Homeless Shelter Allowance remained unchanged at $143; and

·   the Dependent Care Deduction remained unchanged at $200 for a child under two and $175 for a child two or older.

RELATED POLICY CLARIFICATIONS

POLICY

ALERT!

Surcharges for Excess Usage

A change in Federal Regulations indicates that households must be given the appropriate SUA when the household:

·   lives in subsidized housing;

·   uses a shared utility meter; and

·   is billed only for excess utility expenses.

Individuals living in subsidized housing who share a utility meter will now be allowed the appropriate SUA if the individual is billed for excess utility expenses.

Until New HEIGHTS changes to the SUA screen are completed, workers must answer "no" to the question, "Do you live in subsidized housing with heat included in your rent?", if an individual lives in subsidized shelter but incurs excess usage charges. Answering "no" to the question will allow the appropriate standard utility allowance to be chosen for the assistance group.

FSM 603.09, Shelter Deductions, has been updated accordingly.

Community Residence Shelter Allowance

Per current policy, the Community Residence Shelter Allowance (CRSA) is applied when an individual resides in a dwelling that is certified as a Community Residence, even if the individual lives alone in an apartment.

As indicated in the Director’s Memo dated May 5, 2004, the CRSA includes all shelter costs, including heat and utility costs, so no additional SUA is allowed except in the following circumstance: If an individual incurs telephone expenses, allow the telephone only standard. FSM 603.09, Shelter Deductions, and Utility Standards have been updated accordingly.

UNRELATED POLICY CLARIFICATION

Self-employment income, in all categories of financial and medical assistance, is not subject to Federal Income Tax (FIT) or Medicare Tax (FICA) withholding. If an individual provides proof of income in the form of pay stubs that have FIT or FICA withholding, do not consider the income to be self-employment income. FAM, FSM, and AAM 511 have been revised accordingly.

NEW HEIGHTS CHANGES

The following will be programmed into New HEIGHTS in September and will be used to calculate food stamp eligibility and benefits beginning October 1, 2004:

·   the maximum allotment amounts;

·   the gross and net income limits for all group sizes;

·   the updated standard utility allowances; and

·   certain income deductions.

New HEIGHTS will run approximately 4,600 Food Stamp cases per day through a daily mass change over the course of 5 days beginning September 20, 2004. This will allow workers to act on cases that go into exception prior to October 1, 2004. The 2004 October Food Stamp Mass Change Schedule is as follows:

In addition, on September 28, 2004, New HEIGHTS will have a clean-up run to capture cases from all offices that went into exception and have been acted upon or transferred from one District Office to another during the mass change for that office.

POST MASS CHANGE REPORTS

The reports described below will be produced as a result of the October Mass Change. These reports will be available in Ca-Doc View each subsequent working day after the mass change is run.

NMC600RA: Status After MC

This report lists all cases that were selected for the Mass Change, including cases that were successfully confirmed as shown on NMC540RA and those that were not confirmed (exceptions shown on NMC550RA). This report is sorted by District Office and contains the following information: D.O., Worker Name, Client Name, Case Number, and household size.

NMC600RB: Status Before MC

This report shows the pre-mass mass change status of cases that were selected for the Mass Change. It contains the following information: D.O., Worker Name, Client Name, Case Number, and Household Size.

NMC540RA: AG’s Affected by MC

This report lists all cases upon which the Mass Change ran successfully through confirmation. It contains the following information: D.O., Worker Name, Client Name, and Case Number.

NMC550RA: MC Exception

This report lists cases that were selected for the Mass Change, but were not confirmed due to some discrepancy in data. These cases require further District Office action. It contains the following information: D.O., Worker Name, Client Name, Case Number, Reason for Exception, and Mass Change Type.

POLICY MANUAL REVISIONS

Revised Adult Assistance Manual Topics

PART 511   INCOME TYPES: SELF-EMPLOYMENT

Revised Family Assistance Manual Topics

PART 511   COMMON TYPES OF INCOME: SELF-EMPLOYMENT

Revised Food Stamp Manual Topics

PART 511   COMMON TYPES OF INCOME: SELF-EMPLOYMENT

PART 601, TABLE E  FOOD STAMP MAXIMUM MONTHLY INCOME LIMITS

PART 601, TABLE F  MAXIMUM FOOD STAMP ALLOTMENTS

PART 601, TABLE G  DETERMINING FOOD STAMP ALLOTMENTS

PART 601, TABLE I  FOOD STAMP DEDUCTIONS

Section 603.09  Other Allowable Deductions: Shelter Deduction

Section 603.09  Other Allowable Deductions: Utility Standards

FORMS REVISIONS

Form 215, Reporting Requirements Handout, and the Food Stamp 130% Reporting Requirements Poster have been updated to incorporate the current figures provided by FNS.

IMPLEMENTATION

All benefits issued for the months beginning with October 2004 will be calculated using the new figures.

Tables and Standards sections for benefits prior to October 1, 2004 need not be retained for reference for retroactive benefits because New HEIGHTS will hold them internally and automatically use them for calculating benefits for eligibility periods prior to October 1, 2004.

Effective October 1, 2004, destroy old versions of Form 215, Reporting Requirements Handout, and the Food Stamp 130% Reporting Requirements Poster and replace them with current versions released in this SR. State Office will provide all District Offices with the Food Stamp posters and an initial supply of the Form 215 until the order from Graphic Services arrives. At that time, resume regular ordering procedures for Form 215.

Beginning October 1, 2004, individuals living in subsidized housing who share a utility meter are entitled to the appropriate SUA if they are charged for excess utility expenses.

CLIENT NOTIFICATION

Households experiencing a change in food stamp benefits due to the mass change will receive a standard New HEIGHTS Notice of Decision (NOD). The following message will also appear in the "Explanations" section of the NOD:

On October 1, Federal and State changes increased income limits, the maximum amount of Food Stamps you can receive, and the amount of deductions you can claim. Your Food Stamp benefits, as shown in the old and new budget above, were adjusted to reflect these changes.

No additional client notification is planned.

TRAINING

No training is planned or necessary.

FORMS POSTING INSTRUCTIONS

DISPOSITION

This SR may be destroyed or deleted after its contents have been noted and the revised manual topics released by this SR have been posted to the On-Line Manuals.

DISTRIBUTION

This SR will be distributed according to the electronic distribution list for Division of Family Assistance policy releases. This SR, and revised On-Line Manuals, will be available for agency staff in the On-Line Manual Library, and for public access on the Internet at http://www.dhhs.nh.gov/DHHS/DFA/LIBRARY, effective November 1, 2004.

This SR, and printed pages with posting instructions, will be distributed under separate cover to all hard copy holders of the Adult Assistance, Family Assistance, Food Stamp and Forms Manuals.

DFA/DMS:s

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CERTIFICATE OF DESTRUCTION

I certify that all copies of the following forms have been destroyed:

·   Form 215, dated 10/03, SR 03-26; and

·   the Food Stamp Poster, dated 10/03, SR 03-26

Office Manager:    District Office     

Return this certificate to DHHS Stock Control, 29 Hazen Drive, Concord, NH 03301, after the instructions in the SR have been carried out.