STATE DEPARTMENT OF SOCIAL
REHABILITATION SERVICES
Integrated Services Delivery
Docking State Office Building
Room 681 - West
Topeka, Kansas 66612

SEPTEMBER 1, 2005
Corrected - Errata September 13, 2005

PURPOSE, BACKGROUND, and REASON FOR CHANGE

The purpose of this document is to transmit Revision No. 25 of the Kansas Economic and Employment Support Manual effective October 1, 2005.

The draft material also contains changes that have been previously made in Child Care - EBT KEESM Revision 24 that was effective 09-01-05.

Food Assistance - This revision incorporates the annual adjustments to the Food Stamp Program that are effective October 1 of each year. Increasing are: the standard deduction amounts for household sizes of 5, and 6 or more; the excess shelter deduction; the gross and net income limits; and the maximum allotment amounts. These changes were processed with rollover in August effective for October 1, 2005. Further information about these changes was provided prior to rollover in August.

This revision also includes several other technical corrections and clarifications applicable to food stamp policy.

Multiple Programs - This revision incorporates information about the termination of claims previously provided to staff in late July. It also includes several clarifications of policy that are applicable to multiple programs.

1. MULTIPLE PROGRAMS
   
   
   1. CHANGES
      
      
      1. Residence - A reference in the first paragraph of Section 2150 incorrectly identified Section 2220 regarding temporary absence of children or parents. The correct reference is 2223.
         
         
      2. Real Estate Ratio Study - Reference to the Real Estate Ratio Study is being removed from Section 5320 as it is out of date. The market value of real property in Kansas is to be initially determined by the use of the State appraised market value for the current tax year. Appendix Item T-5, Real Estate Ratio Study, is obsolete with this revision.
         
         
      3. Veterans Educational Income - The manual is being revised to exempt Veterans Educational Income as income in the month received and a resource in the following months for all programs. This policy suggestion was submitted to and approved by the EES Program Administrators at the July EES Program Administrators meeting. This income will be treated as other educational income and exempted. The VA pays differing kinds of educational payments and all are being exempted. These include: GI Bill, Vocational Rehabilitation payments for service related disabilities, and payments to children (age 18-26) and spouses of veterans with a service connected death or 100% disability. Section 6220(6) is being removed from the manual and 6400 (18) is being modified to incorporate this change. As a result of the removal of Section 6220(6), the remaining sub-items are being renumbered as (6) through (11).

         Note that this change only applies to VA income that is being paid because the recipient is attending post secondary education.

         Further instructions regarding the implementation of this change will be provided in the Implementation Memo.

      4. Household Failure to Act - The manual is being modified to change procedures regarding denial of reviews for failure to provide verification or complete the interview. In May 2005, Section 9350 was changed to state that an application is required if the household provides the information or completes the interview after the review has been denied. A further evaluation of the Federal Food Stamp Regulations indicates that for food stamps, an application is not required if the household provides the information or completes the interview in the 30 days following the end of the review period. The review application is processed with benefits prorated from either the date of the completed interview or the date verification was provided. For consistency purposes, this change is also being implemented for the cash programs. However, for cash programs, benefits are not prorated since there would not be a one month break in assistance. Section 9350 is being revised accordingly.
         
         
      5. Claims - Numerous changes to the processing of claims were migrated to KAECSES effective August 1, 2005. An Implementation Memo was sent to field staff on July 29, 2005. The changes migrated to the system are being incorporated into the manual material with this revision. These changes and the manual sections modified to incorporate them are described below.

         A Discovery Date field has been added to the OVCA screen to capture the date the worker became aware of the overpayment. The information entered into this field on OVCA is also reflected on the OVCH screen. The addition of this date was mandated by USDA, but is applicable to all claims being established on KAECSES. Section 11123 is being modified to include this information.

         A Status Reason Code field has been added to the OVCA screen to capture special claim status, if applicable. The information entered into this field on OVCA is also reflected on OVCH and DIRE. These codes can be used by field staff when appropriate and will also be used by Central Office staff that handle claim collection when appropriate. The new codes and their uses are described in the Implementation Memo and are being incorporated into the following sections: 11121.2, 11126.3, 11127 and 11260.2.

         Effective 8/1/05, all claims on KAECSES - cash, medical and food stamps - can be terminated (TE) on OVCA, if appropriate. Prior to this change, only FS claims could be terminated. Claims shall be terminated if the only adult responsible for the claim is deceased and, for temporary purposes, when the person(s) responsible for the claim file bankruptcy. In addition, two new system processes will automatically terminate claims on KAECSES. Section 11127 is being modified to include these changes.

   2. CLARIFICATIONS
      
      
      1. Notification of Reporting Requirements - To insure that households are reporting changes timely and accurately, it is imperative that all households are notified of their reporting requirements at the time of initial approval, review and when the interim report is processed. This includes change reporting as well as simplified reporting households. To reinforce this, several sections of the KEESM are being modified to include a statement that households are to be notified of their appropriate reporting requirements. The following sections are being modified: 1414.1, 9120, 9122.6 and 9340.
         
         
      2. Matricula Consular ID Cards - Section 2146 is being modified to provide information about Matricula Consular ID Cards, which are cards that are being issued by Mexican Consulates. These cards are also known as Matricula Consular de Alta Seguridad (MCAS) or Certificate of Consular Registration cards. They are issued to Mexican foreign nationals who reside in the U.S. These cards are sufficient to identify the individual and to provide proof of nationality, however, they are NOT sufficient to verify an immigrant’s legal immigration status in U.S. or verify eligibility for any program benefits.
         
         
      3. Drug Related Convictions - Per a suggestion from the field, the appropriate SEPA codes for persons disqualified for a drug related felony conviction are now listed in this section of the KEESM. This should make it easier for staff to properly code persons found ineligible due to this provision. Section 2183 is being revised.
         
         
      4. Pension Plans - The section of the manual that discusses how to consider pension plans for purposes of determining countable resources has caused confusion for a couple of years. To alleviate this confusion, Section 5430 (16) is being reformatted to make the policies clear, and to highlight the differences between the programs. In addition, the third paragraph of Section 5410 is being deleted to correspond with this change.
         
         
      5. Disaster Unemployment Benefits - Section 6410(14) is being modified to include disaster unemployment benefits as exempt income. These payments are paid when a major disaster occurs. Staff will be notified if these payments are made in Kansas.
         
         
      6. Combat Pay - Since combat pay and hostile fire pay are the same thing, a link to Policy Memo 05-03-01 regarding the exemption of combat pay is being added to the item in Section 6410 that discusses hostile fire pay. The Policy Memo is also being revised to indicate that the exemption is good for another year, or until September 30, 2006.
         
         
      7. Budgeting Child Support Income - For food stamps and child care, Section 7124 is being modified to clarify that voluntary child support (not court ordered) will be considered as child support for budgeting purposes, and the provisions of Section 7124 will apply. This section is also being modified to include as an example of changes expected to continue, child support that becomes assigned to the State (TAF approval), or is no longer assigned to the state (TAF closure).
         
         
      8. Persons Included In the Assistance Plan - Section 7211 is being reformatted to the outline that it should was when there was a printed KEESM. The formatting was accidentally and incorrectly changed on-line in July 2003. In addition, clarification is being made that the 40% earned income disregard applies only to TAF cash assistance, not GA or RE.
         
         
      9. Proration - Due to some confusion, Section 7401 on proration for cash, food stamps and child care is being further clarified regarding the addition of a household member prior to application processing. The revised wording clarifies that a new household member entering the home in the month of application but prior to approval, has to be reported during the month of application to be included from the date of application. If the new household member enters the home in the month following the month of application but prior to approval, they have to be reported in that month to be included from the first day of the month in which the change was reported.

         This section is also being modified to clarify that for food stamps, proration applies after the expiration or denial of the most recent review period. Also see Item A-5 above (Household Failure to Act) for more information on this clarification.

      10. Verification at the Time a Change is Reported - Section 9121.2 is being revised to clarify that verification of earned income, including reductions and loss of earned income, must be obtained at the time a change is reported.
          
          
      11. Notice of Expiration - Section 9320 is being clarified to state that the notice of expiration cannot be mailed to the household earlier than the first day of the next-to-the last month of the review period. This information was missing from the KEESM. For example, if the review period ends September 30, the notice of expiration shall be mailed no earlier than August 1 and no later than September 1. This is in accordance with Federal Food Stamp Regulations.
          
          
      12. Frequency of Reviews - A clarification is being provided in section 9370 regarding modifying the review period in one program to match another. It is acceptable to complete a review early in order to align a review with the review in another program. If this is done on a food stamp case that is subject to simplified reporting, the IR due date MUST be modified accordingly. Established review periods are not, however, to be shortened by notifying the household with a Notice of Eligibility review in order to align a review with the review period in another program. This is because Food Stamp regulations prohibit the shortening of review periods. An example is included to further clarify this policy.
2. ADULT PROTECTIVE SERVICES
   
   
   1. CHANGES
      
      
      1. Response Time - A new subsection on “Reasonable Efforts to Determine Safety” is being added at Section 12221 and clarification that a personal, face-to-face visit must be made is also being added. Criteria for allowable reasons for not determining the safety of an adult within the response time is also being added to this section.
         
         
      2. Determination of Assistance Needed - A new sub-item 3 is being added to Section 12231 regarding Limited English Proficiency (LEP) to meet federal requirements. Procedures for obtaining interpreters in the SRS regions are also being added.
         
         
      3. Guardianship and Conservatorship Services - In section 12711, the Continuum of Interventions list is being corrected and shortened.
         
         
   2. CLARIFICATIONS

   Investigation of Adult Abuse - A sentence is being added to Section 12110 to clarify that in those situations where law enforcement and APS determines no action is necessary to protect the adult but that a criminal prosecution should be considered, and a report of the case to the appropriate law enforcement agency should be made, the ES-1019, Report to Law Enforcement from Adult Protective Services Regarding Alleged Criminal Activity, may be used if appropriate. All referrals to law enforcement, including the County/District Attorney, must be followed up within 30 working days and documented in the case log.

3. CASH ASSISTANCE
   
   
   1. CHANGES
      
      None
      
      
   2. CLARIFICATIONS

      Child in the Family - Section 2210 is being modified to allow relatives to receive TAF cash assistance during the interim period between the time a foster child is placed in relative care and the date the relative receives foster care payments for that child(ren). In addition, the current Child Welfare Community Based Service (CWCBS) Provider terminology is being utilized.

4. FOOD STAMPS
   
   
   1. CHANGES
      
      
      1. Annual Adjustments to the Food Stamp Program Standards - Effective October 1, 2005, the following appendices are being updated to incorporate the annual federal adjustments to the FSP that increase the standard deduction, excess shelter deduction and gross and net income limits:
         
         - Item F-2, Food Stamp Program Standards,
         - Item F-3, Food Stamp Program Benefit Tables; and
         - Item F-11, 130% Income Reporting Chart for Simplified Reporters.
         
         
      2. Standard Deduction - Section 7222 is being modified to increase the standard deduction amounts. The new amounts effective 10-01-05 are $157 for households of 5 and $179 for household sizes 6 or more. The standard deduction for household sizes 1-4 remains $134.
         
         
      3. Shelter Costs - Section 7226 is being modified to increase the excess shelter deduction to $400.

         These amounts were entered into the KAECSES-AE system prior to rollover in August 2005 and were processed automatically with rollover. Further information about the implementation of the annual adjustments was provided separately.

      4. Methods of Collecting Payments - The item that discusses the Treasury Offset Program is being updated to provide current information. TOP advance notices are now sent on a monthly basis instead of yearly. In addition, the TOP toll-free number has been removed from the manual as it is no longer in service. Persons calling the field who need to talk to TOP staff are to be directed to 785-296-2970. Section 11126.1 is being modified to include these changes.
         
         
   2. CLARIFICATIONS
      
      
      1. Dependent Care Expenses - With EBT Child Care, providers can now require parents to pay additional out-of-pocket costs to use that provider. This manual revision clarifies that these additional recurring costs are an allowable food stamp dependent care deduction if verified that the costs are paid out-of-pocket and not from the consumer’s EBT Child Care account. Policy is also being clarified to reflect that non-refundable enrollment fees are considered a cost related to dependent care and are also an allowable one-time deduction. Section 7224 is being modified to provide these clarifications.
         
         
      2. Length of Disqualification Period - The example used in Section 5713 is being removed as it was out of date.
         
         
      3. One Time Medical Expenses - A clarification is being included in Section 7227.5(7) regarding the allowance of one-time medical expenses that are reported in the second to last month or last month of the review period. The manual currently only speaks to households with a 12 or 24-month review period. The same provisions are now also included for households with a 6-month review period. This would most likely occur when an elderly or disabled person has an ABAWD in the home and the household, therefore, has a 6-month review period.
         
         
      4. Verification of Shelter Expenses When a Change is Reported - There has been confusion regarding reported changes in shelter expenses that are not verified when a change is reported (not at application, review or IR). The manual states if verification is not provided, benefits shall be determined without allowing the unverified expense. Some staff understood this sentence to mean that the previously verified amount would be allowed, but not the difference, or the increase in the rent amount. The intent is that zero shelter expenses are allowed for the expense that is not verified. For example, verified rent is $200 a month. The client reports an increase to $250 and benefits will increase as a result. Verification is requested but not provided. Benefits are to be determined allowing zero rent. This example is now included at the end of Section 9121.2. In addition, a Shelter Changes Chart, developed by staff in the Wichita Regional Office, has been modified and incorporated into the Appendix as a desk aid for staff. This new desk reference is Item T-10 of the Appendix.
         
         
      5. Interim Report Form - Parts of Section 9122.6 are being clarified. There has been confusion regarding the interim report form and whether it should be returned to the client if they leave answers blank or mark “none” or “not applicable” to questions on the form. Questions may be answered “none” or “not applicable” if the consumer determines that the question does not apply to their situation. If the consumer, however, does not answer a question on the IR at all (i.e., leaves it blank), contact with the consumer to clarify and get a response will be necessary. This contact may be done over the phone with the client’s response documented in the case file. The IR itself does not have to be returned to the consumer to write in the appropriate response, or “none/not applicable.”

         Sub-item (c) of this same section is being revised to clarify “deductible expenses” by removing that wording and inserting specific expenses. The sub-item now says that if the household fails to provide sufficient information or verification regarding shelter, dependent care, medical or child support expenses, benefits shall not be terminated, rather benefits will be determined without allowing the deduction.

      6. Interstate Food Stamp Claims Collection - If the agency accepts a food stamp claim from another state, the claim must be established on KAECSES for the remainder of the claim balance. Collection must proceed as in any other claim, i.e., a demand letter must be sent to initiate collection action. This clarification is included in Section 11126.4.
5. SUCCESSFUL FAMILIES
   
   
   1. CHANGES
      
      None
      
      
   2. CLARIFICATIONS
      
      
      1. Participation - TAF Participation Rate Requirements - Definition and Special Rules for Two-Parent Families - Although the agency supports educational activities for minor parents, the programming of the TANF federal work participation report has not allowed boyfriend/girlfriend parents where one parent is under age 18 and not emancipated to meet the federal work participation requirement. The programming of the federal report has recently been modified so these particular case situations are now considered in the calculation of the All Families rather than the Two-Parent participation rate. Section 3110 reflects this modification.
         
         
      2. Special Services Allowance - EES provides funding through Special Service Allowances to help work program participants meet the work participation requirement and to go to work. Regions have a great deal of flexibility in the use of this funding. Clarification is being added in 3411.2(5) & (6) that this funding may be used to pay for additional costs associated with participation in the work experience component (Work Experience Reimbursement Allowance) and also to compensate the client for time at a work site as part of a work skill assessment (Work Assessment Reimbursement Allowance).

FORMS (Not previously discussed in this Summary)

1. Multiple Programs -
   
   ES-3101, RELEASE OF INFORMATION AND LIABILITY - is being revised to eliminate references to Adult Protective Services. See further information for this change in the item below regarding the ES-1003.
   
   
2. Adult Protective Services -
   
   
   1. ES-1003, AUTHORIZATION FOR RELEASE OF CONFIDENTIAL INFORMATION ADULT PROTECTIVE SERVICES - is being reinstated into the KEESM. For Fiduciary Abuse investigations, banks require more information (such as Social Security Number and date of birth) than most of the agency’s other collateral contacts require.
      
      
   2. ES-1000, INTAKE REPORT and ES-1001, SCREENING REPORT are being revised to include items requested by PRC Screeners.
      
      
   3. ES-2003 and ES-2004 - Two APS brochures were revised in May 2005 and are being included with this revision.
      
      
3. Food Assistance -
   
   
1. ES-3103 - Income/Expense Worksheet - The Word Perfect and Quattro Pro (QPW) versions of this form are being modified to include a box to indicate if the system conversion is used to determine income. In addition, the QPW version has been modified in regard to rounding in some of the cells to match the rounding that is done when the system conversion is used. The QPW version has been sent to staff separately.
   
   
2. ES-3114 - Interim Report Form - The Word Perfect version of the Interim Report Form has been developed in Spanish for downloading locally. The form will be listed directly under the English version in the Forms Table of Contents and is numbered the ES-3114 SP.

MISCELLANEOUS FORMS (Not previously discussed in this Summary)

1. The DD-1103, Authorization to Disclose Information To The Social and Rehabilitation Services’ Disability Determination Services (DDS), was revised by DDS in April 2005. It is being placed into this KEESM with this revision in both WORD and PDF. (DDS uses WORD rather than Word Perfect, so it is in that original format.)
   
   
2. MS-2126, Notification of Facility Admission/Discharge - This form is being modified by the Division of Health Policy and Finance (DHPF) to capture additional levels of care, as new facility types must now report changes in admission and discharge for proper reimbursement. Additional fields have also been included to capture information on persons who were involved in placement of the individual. Finally, instructions for completing the form have been added on the reverse side of the form.

APPENDIX (Not previously discussed in this Summary)

1. Item E-11, Education/Training Assistance Desk Aid, is being updated to reflect the expanded exceptions for not providing the 12 months of extended work program services when a TAF cash case closes. These expanded exceptions were implemented in KEESM Revision 22 (May 2005). Other minor terminology modifications and KEESM reference corrections are being included in this update.
   
   
2. Item P-1, Medical Necessity. This appendix item is being revised in several areas. Technical corrections are being made in Item B, “Guidelines.”

   Under Item C, “Non-Medically Necessary Items”, prolotherapy is being added to the list of alternate therapies which are not defined as medically necessary. It is also being revised to provide that shipping and handling charges for pharmacy and durable medical equipment are not allowable. In addition, a new item 10 is added to the list of non medically necessary items to provide that the premium for a non-Medicare medical discount card is not allowable. In addition, the discounted, not the full cost of an allowable expense is allowed toward spenddown and as a food stamp medical deduction.

   Item D, “Medically Necessary Items or Services” is being expanded. Only the expenses of animals meeting the definition of a service animal according to industry standards are allowable. Therapy, social or companion animals which do not provide a direct service for the owner are not considered service animals according to industry standards. Expenses associated with these animals are not allowable.

   Requests for medical necessity clearances for medical assistance cases shall now be submitted to DHPF. Requests for food stamp cases shall continue to be handled by EES Central Office.

3. Item P-2, Statement of Medical Necessity, is being revised to correct a spelling error.
   
   
4. Item X-5, Back of the Notice of Action, is being revised to meet legal requirements for the time in which an appeal may be filed.
   
   
5. Item X-6, Definitions of Common Terms is being revised regarding the definition of disaster for the Food Stamp Program. The definition is being modified to state that appliance breakdowns, sewer back ups that result in flooding and other household misfortunes that result in the loss of food purchased with food stamp benefits are considered a disaster, and as such are eligible for a replacement issuance per item 14 of the EBT System Guide (Item V-1).
   
   
6. Item T-8, Reporting Notices Chart, is new. This chart was previously provided to staff during field training on simplified reporting. The chart has been updated and is being included in the manual as a desk reference for staff.
   
   
7. Item T-9, Reporting Requirements Notice Matrix is new. This chart was previously provided to staff during field training on simplified reporting. It is up to date and is being provided to staff as a desk aide.

EFFECTIVE DATE

All policies in this revision are effective October 1, 2005. Additional information will be in the Implementation Memo.

MATERIALS OBSOLETED BY THIS REVISION

Policy Memo 00-03-01 - Census Income - is being obsoleted with this manual revision. This memo was originally written for persons receiving 2000 census income and is being obsoleted as it is out of date.

EFFECT ON LOCAL STAFF

Other clarifications in this letter will have minimal impact on staff time.

COORDINATION EFFORTS

Within SRS, the material in this letter and manual revision have been coordinated with staff in the Economic and Employment Support, the EES Program Administrators, the Implementation Planning Team, EES Program Training Unit, the Medicare Part D Team Children and Family Services (CFS) staff, Child Support Enforcement (CSE) and SRS Legal.

Sincerely,

Bobbi Mariani, Director
Economic and Employment Support

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