SR 19-20 Dated 07/19 |
STATE OF NEW HAMPSHIRE
INTER-DEPARTMENT COMMUNICATION – BUREAU OF FAMILY ASSISTANCE (BFA)
FROM OFFICE OF THE BUREAU CHIEF, BFA: |
Deb Sorli |
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BFA SIGNATURE DATE: |
June 14, 2019 |
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FROM OFFICE OF THE DIRECTOR, DMS: |
Henry Lipman |
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DMS SIGNATURE DATE: |
June 14, 2019 |
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AT (OFFICE): |
Division of Economic and Housing Stability (DEHS) |
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TO: |
District Office Supervisors
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SUBJECT: |
July 2019 Financial Assistance to Needy Families (FANF) Standard of Need (SON) Increase; July 2019 Children with Severe Disabilities (CSD) Medically-Needy Medical Assistance Resource Deduction Update; Changes to the Gross Income Eligibility Levels and Step Thresholds based on the 2019 Federal Poverty Guidelines (FPG). Changes to the 85% State Median Income (SMI) by Family Size based on federal Low Income Home Energy Assistance Program’s (LIHEAP) Estimated State Median Income by Household Size and State FFY2019 data for the NH Child Care Scholarship Program. |
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EFFECTIVE DATE: |
July 1, 2019 |
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SUMMARY
This SR releases the annual July updates to the:
Financial Assistance to Needy Families (FANF) Standard of Need (SON) used to determine the period of ineligibility for FANF cases receiving lump sum income and eligibility and benefit amount for FANF cases with deemed income; and
resource deduction figures used in the resource eligibility process for Children with Severe Disabilities (CSD) medically-needy medical assistance.
BACKGROUND
RSA 167:7, II mandates annual updates to the SON to reflect changes in the cost of living, as implemented at He-W 658.01. The FANF SON represents an approximate monthly amount that it would cost a family in NH for basic living necessities, including food, utilities, and rent. However, this figure is not used in the FANF eligibility or benefit determination process for most FANF applicants.
Pursuant to RSA 167:77-g, the maximum monthly cash benefit is equal to 60% of the federal poverty guidelines. For 2019, BFA has determined that the amount of money a household of four needs for basic living expenses in NH, the SON, for a household of 4, is $5,020 per month, whereas the 2019 maximum benefit that BFA provides for that same household is $1,287 per month. This translates into a $3,733 discrepancy between the figure BFA has determined it costs a family of four to live per month in NH, and the dollar amount BFA is providing for this family to meet those identified living expenses. Or, put another way, the $1,287 maximum payment standard we allow for a household of 4 is only 26% of what we have determined to be the actual cost of monthly living expenses for that family.
The annual July update of the CSD medically-needy medical assistance resource deduction figures, which is based upon 50% of the current federal poverty guidelines (FPG), is mandated by administrative rule He-W 641.04(e).
POLICY
FANF Standard of Need Changes
The annual July update to the FANF Standard of Need (SON) affects:
FANF cash cases closed or denied due to lump sum income; and
open FANF cash, FANF medically-needy, and FANF In and Out cases with a non-sanctioned deemer.
The SON is used to determine the period of ineligibility for cases receiving lump sum income, and eligibility and benefit amount for cases with deemed income. An increase in the SON may result in shorter periods of ineligibility for those cases that are currently FANF ineligible due to receipt of lump sum income, and in less income being counted as available for those FANF or certain medical assistance only cases with deemed income. A decrease in the SON may result in longer periods of ineligibility for those cases that are currently FANF ineligible due to receipt of lump sum income, and in more income being counted as available for those FANF or medical assistance only cases with deemed income.
The maximum SON equals the Basic Maintenance Needs Allowance (BMNA) plus $342, the weighted average of the maximum shelter payment allowances. The 2019 BMNA and SON are noted below:
2019 BMNA and Max SON
Family Size |
BMNA |
MAX SON (BMNA + $342) |
1 |
$1,462 |
$1,804 |
2 |
2,859 |
3,201 |
3 |
3,825 |
4,167 |
4 |
4,678 |
5,020 |
5 |
5,465 |
5,807 |
6 |
5,801 |
6,143 |
7 |
6,138 |
6,480 |
8 |
6,475 |
6,817 |
9 |
6,812 |
7,154 |
10 |
7,149 |
7,491 |
11 |
7,486 |
7,828 |
12 |
7,825 |
8,167 |
13 |
8,134 |
8,476 |
14 |
8,443 |
8,785 |
15 |
8,753 |
9,095 |
16 |
9,062 |
9,404 |
17 |
9,371 |
9,713 |
18* |
9,680 |
10,022 |
*To find the 2019 BMNA for household sizes over 18, add $302 for each additional person. Multiply that resulting sum by 2.4%. Add the resulting product to the original figure calculated for the HH size over 18, and then round down to the nearest whole dollar.
To find the 2019 SON for household sizes over 18, calculate, per the above, the 2019 BMNA for that HH size, and add actual shelter costs, if incurred, up to the maximum shelter allowance of $342.
Lump Sum Calculations
Individuals who receive lump sum payments are ineligible for assistance for the number of months resulting from dividing the lump sum amount (plus any other monthly income) by the SON. Clients whose cases were closed or denied due to receipt of lump sum income may reapply or request a recalculation due to the increase in the SON. If requested, the District Office must recalculate the client’s period of ineligibility. A new Notice of Decision (NOD) will be generated if the recalculation results in a different period of ineligibility.
Deemed Income Cases
The SON is used for FANF deeming from parents, including ineligible alien parents, alien sponsors, and three generation deeming. Due to the increase in the SON, less deemed income is counted as available to the assistance group (AG). New HEIGHTS will automatically recalculate benefit amounts for open cases with deemed income during the Mass Change. AGs whose cases were closed or denied due to excess deemed income may reapply or request to have their eligibility redetermined due to the increase in the SON. If requested, the District Office must recalculate the AG’s eligibility.
Children with Severe Disabilities (CSD) Medically-Needy MA Resource Deduction
CSD resource eligibility for medically-needy medical assistance is determined by reducing the parents’ total resources by the CSD resource deduction for the appropriate household size and combining the balance with the child’s resources. The CSD resource deduction is based upon 50% of the current FPG. The 2019 CSD resource reduction is noted below.
CSD RESOURCE DEDUCTION FIGURES |
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Family Size |
2019 CSD Resource Deduction Amount |
1 |
$6,245 |
2 |
$8,455 |
3 |
$10,665 |
4 |
$12,875 |
5 |
$15,085 |
6 |
$17,295 |
7 |
$19,505 |
8 |
$21,715 |
For each additional family member add: |
$2,210 |
NH CHILD CARE SCHOLARSHIP
A family cannot receive NH Child Care Scholarship if the household income exceeds 85% of the State Median Income. The SMI effective July 1, 2019 is:
State Median Income (SMI) |
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Family Size
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85% SMI MONTHLY |
85% SMI YEARLY |
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1 |
$3,891 |
$46,694 |
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2 |
$5,088 |
$61,062 |
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3 |
$6,286 |
$75,429 |
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4 |
$7,483 |
$89,797 |
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5 |
$8,680 |
$104,164 |
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6 |
$9,878 |
$118,531 |
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7 |
$10,102 |
$121,225 |
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8 |
$10,327 |
$123,919 |
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A family with income over 85% of the State Median Income (SMI) is not eligible for Child Care Scholarship. |
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Effective July 1, 2019 income eligibility for each step of NH Child Care Scholarship is:
TIER 1 |
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Family Size |
Step 1 |
Step 2 |
Step 3 |
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< 100% of FPG |
≤ 120% of FPG |
≤ 140% of FPG |
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monthly |
yearly |
monthly |
yearly |
monthly |
yearly |
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1 |
$1,041.00 |
$12,490.00 |
$1,249.00 |
$14,988.00 |
$1,458.00 |
$17,486.00 |
2 |
$1,410.00 |
$16,910.00 |
$1,691.00 |
$20,292.00 |
$1,973.00 |
$23,674.00 |
3 |
$1,778.00 |
$21,330.00 |
$2,133.00 |
$25,596.00 |
$2,489.00 |
$29,862.00 |
4 |
$2,146.00 |
$25,750.00 |
$2,575.00 |
$30,900.00 |
$3,005.00 |
$36,050.00 |
5 |
$2,515.00 |
$30,170.00 |
$3,017.00 |
$36,204.00 |
$3,520.00 |
$42,238.00 |
6 |
$2,883.00 |
$34,590.00 |
$3,459.00 |
$41,508.00 |
$4,036.00 |
$48,426.00 |
7 |
$3,251.00 |
$39,010.00 |
$3,901.00 |
$46,812.00 |
$4,552.00 |
$54,614.00 |
8 |
$3,620.00 |
$43,430.00 |
$4,343.00 |
$52,116.00 |
$5,067.00 |
$60,802.00 |
+ person |
$369.00 |
$4,420.00 |
$442.00 |
$5,304.00 |
$515.00 |
$6,188.00 |
TIER 1 |
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Family Size |
Step 4 |
Step 5 |
Step 6 |
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< 160% of FPG |
≤ 190% of FPG |
≤ 220% of FPG |
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monthly |
yearly |
monthly |
yearly |
monthly |
yearly |
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1 |
$1,666.00 |
$19,984.00 |
$1,978.00 |
$23,731.00 |
$2,290.00 |
$27,478.00 |
2 |
$2,255.00 |
$27,056.00 |
$2,678.00 |
$32,129.00 |
$3,101.00 |
$37,202.00 |
3 |
$2,844.00 |
$34,128.00 |
$3,378.00 |
$40,527.00 |
$3,911.00 |
$46,926.00 |
4 |
$3,434.00 |
$41,200.00 |
$4,078.00 |
$48,925.00 |
$4,721.00 |
$56,650.00 |
5 |
$4,023.00 |
$48,272.00 |
$4,777.00 |
$57,323.00 |
$5,532.00 |
$66,374.00 |
6 |
$4,612.00 |
$55,344.00 |
$5,477.00 |
$65,721.00 |
$6,342.00 |
$76,098.00 |
7 |
$5,202.00 |
$62,416.00 |
$6,177.00 |
$74,119.00 |
$7,152.00 |
$85,822.00 |
8 |
$5,791.00 |
$69,488.00 |
$6,877.00 |
$82,517.00 |
$7,963.00 |
$95,546.00 |
+ person |
$589.00 |
$7,072.00 |
$700.00 |
$8,398.00 |
$811.00 |
$9,724.00 |
TIER 2 |
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Family Size |
Step 7 – GPO Redetermination Only |
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≤ 250% of FPG |
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monthly |
yearly |
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1 |
$2,603.00 |
$31,225.00 |
2 |
$3,523.00 |
$42,275.00 |
3 |
$4,444.00 |
$53,325.00 |
4 |
$5,365.00 |
$64,375.00 |
5 |
$6,286.00 |
$75,425.00 |
6 |
$7,207.00 |
$86,475.00 |
7 |
$8,128.00 |
$97,525.00 |
8 |
$9,048.00 |
$108,575.00 |
+ person |
$920.00 |
$11,050.00 |
NEW HEIGHTS SYSTEMS PROCEDURES AND IMPLEMENTATION
July FANF SON and CSD Resource Deduction Update
New HEIGHTS will update all reference tables with the new figures effective July 1, 2019, and will use the new amounts for any cases computed or recomputed beginning on or after that date.
Clients Denied or Closed Prior to 7/1/19 due to Deemed Income or Receipt of Lump Sum
No District Office action is necessary unless a client requests to have their eligibility redetermined or their period of ineligibility recalculated. If a client requests this recalculation, the current SON released by this SR and effective July 1, 2019 will be automatically applied during the recalculation. If the client’s eligibility for assistance or length of ineligibility changes during the recalculation, a new NOD will be generated.
Open Cases With Deemed Income
New HEIGHTS ran an initial query to identify all open/on-going cash cases with a non-sanctioned deemer and all deductible cases with a non-sanctioned deemer whose grant amounts or spenddowns will change during the mass change and identified approximately 124 cases that may be impacted. The cases identified will be recomputed during the daily production run the evening of June 20, 2019. Cases with deemed income whose grant amounts or spenddowns change will receive the appropriate message reflecting the new benefit level.
Because less deemed income may be counted as available in some cases, medical assistance only cases with a non-sanctioned deemer, and cases with a non-sanctioned deemer currently eligible for FANF cash assistance but not actually receiving the grant because the amount is under $10 per month, may now become eligible for a cash grant for the first time.
The latter cases described that do not have sufficient Benefit Issuance information during the daily production run of June 20th will appear on the MC Exception Report (NMC550RA) with the Reason for Exception listed as “No BI Payment Information.” District Offices must rerun eligibility and supply the missing Benefit Issuance information when that screen appears in the driver flow.
NOTE: These cases should be contacted prior to confirmation to be informed of the availability of cash assistance, including an explanation of appropriate FANF cash program policies (e.g., work program requirements and the 60-month time limit on receipt of cash assistance). If the client agrees to receipt of cash assistance, explain the process required to establish benefit issuance. $10 minimum grant cases confirmed after the mass change will receive a standard opening message from New HEIGHTS. District Offices are not required to refer these cases to the NHEP team, as New HEIGHTS will have already referred mandatory NHEP participants to the NHEP team.
Procedures for CSD Cases
New HEIGHTS will update all reference tables with the new CSD resource deduction figures effective July 1, 2019, and will use the new amounts for any cases computed or recomputed beginning on or after that date.
POST MASS CHANGE REPORTS
The following reports will be available with any July Mass Change related information beginning June 21, 2019.
NMC540RA: AG’s Affected by MC
This report lists all cases that the Mass Change ran successfully through confirmation. It contains the following information: D.O., Worker Name, Client Name, and Case Number.
NMC550RA: MC Exception Report
This report lists cases that were selected for computation during the Mass Change, but were not confirmed due to some discrepancy in data. These cases require further District Office action. The report contains the following information: D.O., Worker Name, Client Name, Case Number, Reason for Exception, and Mass Change Type.
POLICY MANUAL REVISIONS
Revised Family Assistance Manual Topics
PART 601, Table A FANF Basic Maintenance Needs Allowance and Maximum Standard of Need
Section 933.05 State Median Income
PART 935 NH CHILD CARE SCHOLARSHIP GROSS MONTHLY INCOME LIMITS
Revised Medical Assistance Manual Topics
Section 605.03 Children with Severe Disabilities (CSD) Medically-Needy Resource Deduction Table
IMPLEMENTATION
New HEIGHTS will implement the SON updates on June 20th during the annual July Mass Change, effective July 1, 2019. The SON revisions identified in this SR are effective July 1, 2019, and will apply to all cases processed on or after that date.
CLIENT NOTIFICATION
Assistance groups experiencing a change in eligibility due to the mass change will receive the following text in the “Explanation” section of the Notice of Decision (NOD):
On July 1, the Financial Assistance to Needy Families Standard of Need, the resource deduction for families with a medically needy severely disabled child, and the Child Care income limits changed. Your benefits, as shown in the old and new budgets below, may have been adjusted to reflect this or other changes that occurred in your case. He-C 6910.18; He-W 641.04(e); He-W 658.01; RSA 167:3-c, X; RSA 167:7, II
In addition to the client notice referenced above, clients will be notified, as needed, about the updates in the SON and CSD Resource Deduction at the next case action or upon request.
No other client notification is planned.
TRAINING
No training is planned or needed due to the procedural nature of this SR.
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 BFA 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 www.dhhs.nh.gov/dfa/publications.htm, effective July 1, 2019. Additionally, this SR, and printed pages with posting instructions, will be distributed under separate cover to all internal hard copy holders of the Family Assistance and Medical Assistance Manuals.
BFA/SVW:s