keesm9122

9122 Food Assistance Households Subject to Simplified Reporting - All food assistance households are subject to Simplified Reporting.

9122.1 Reporting Requirements - Between the date of certification and the completion of the interim report form or the 12 Month Report Form (or at the time of the next review whichever is first), simplified reporting households are only required to report the following change:

Changes in the amount of gross monthly income (earned and unearned) that results in the household's gross monthly income exceeding 130% of the monthly poverty income guidelines for their household size. (130% of monthly poverty is the Food Assistance Program's gross income limit.)
Households containing ABAWDs meeting the ABAWD 20 hour per week work requirement of 2520 (1), must report any changes in work hours that brings the ABAWD individual below 20 hours per week, averaged monthly.

Lottery/Gambling Winnings, whenever a member of the household wins substantial lottery or gambling winnings which is $3,500 or greater (before taxes or other amounts are withheld).

NOTE: Earned and unearned income includes lump sums that are otherwise exempt as income.

Example: Household starts drawing UC. In the month the UC started, the household also received a lump sum UC check. The weekly UC alone is not over the 130% reporting threshold but the weekly UC and the lump sum UC added together is over the 130% reporting threshold and thus are required to be reported.

These changes must be reported within the first 10 calendar days of the month following the month in which the change occurred.

From the time of certification until the time of the interim report form or 12 Month Report Form (as applicable), or end of the review period for elderly and disabled households with no earned income, households are NOT required to report any other changes in household circumstances except that listed above, and failure to report other changes does not result in an under or overpayment of food assistance benefits, unless the agency fails to take required action on the change per 9122.7 or 9122.8.

Note: Some categorically eligible households are eligible for a benefit even when the household's income exceeds the 130% threshold for the household size. In these instances, the household is not required to report any changes until the time of the next review or IR (if applicable) whichever comes first. A special form, V064, has been developed to notify these households that they do not have any reporting requirements until the time of their next review or IR (if applicable).

9122.2 Review Periods for Simplified Reporting Households - Simplified reporting households shall be certified as follows:

Households where all adults are elderly or disabled and with no earned income can be certified for 24 months per 9372(2)).

Note: If the elderly or disabled case with no earned income is certified for 12 months, the household cannot be required to complete an interim report form. See 9122.4.
All other households for 12 months. Review periods may be established for less than 12 months to match an existing program, but must be a minimum of 6 months.

9122.3 Eligibility and Benefit Amounts - Eligibility and benefit amount for simplified reporting households are determined prospectively using the provisions of 7110.

9122.4 Households That Cannot be Required to Submit an Interim Report - Households in which all adults are elderly or disabled and with no earned income cannot be required to submit an interim report form. These households essentially have 12 month simplified reporting.

All other households have 6 month simplified reporting as they are required to complete an interim report form . This includes households in which all adults are elderly or disabled with earned income. NOTE: For purposes of this provision, earned income does not include earned income that is otherwise exempt, such as Senior Companion (6410(55)), or Foster Grandparents (6410(24)) income.

NOTE: For purposes of persons applying for PMDT determination, for Food Assistance these persons are NOT considered disabled when they initially apply for benefits. Therefore, these households must complete an interim report form (unless 60 or over). If the person is approved for Tier 1 status, they are then considered disabled and should no longer be required to complete an interim report form. If they are approved for Tier 2 status, then they are not considered disabled for food assistance purposes and would be required to complete the interim report form.

9122.5 Determining the 130% Income Reporting Threshold - All households certified as a simplified reporter must be sent a notice informing them of their reporting requirements. This notice must include the 130% income reporting threshold for the household's size. When determining the gross income limit to include in the notice, staff shall use the gross income limit that corresponds to the number of persons in the household including persons who are excluded or disqualified household members. This number shall be determined at the time the application or review is processed, based on the most current information.

Example: Household A applies on January 15th. The application is approved on February 5th. A child left the home at the end of January. Household size is 5 for January, and 4 for February and ongoing. The 130% reporting limit for this household is the amount for a household of 4.

Once this limit is determined for the household, it shall remain the same until the time the interim report is processed, even if persons enter or leave the household.

See Appendix, Item F-11 for the 130% Income Reporting Threshold Chart.

9122.6 Interim Report - Simplified reporting households are required to submit an interim report form, except the following:

Households where all adults are elderly or disabled and without earned income who are certified for 12 months
Households where all adults are elderly or disabled and without earned income who are certified for 24 months and who complete a 12 month report form per 9372 (2).

The IR due date is based on the review due date. The system automatically sets the IR due date based on the review due date when the household is determined to be a simplified reporting household. Eligibility and benefits for the second six month period (or remainder of the review period if less than 6 months are left) are based on information provided on the interim report form.

NOTE: Households with self-employment income shall not be rebudgeted at the time of processing the IR unless the individual has experienced a substantial increase or decrease in self-employment earnings. See 7122 (2) and (3).

The interim report will gather information about changes in the household's earned and unearned income, deductions (except medical expenses), household composition, resources, residence and other circumstances.

An interim report is considered complete if:

It is signed by the head of the household, an authorized representative, or a responsible member of the household;
All yes/no questions are answered, if applicable (see NOTE below);
All other information is completed as appropriate; and
It is accompanied by verification of earned income, if a change in income has been reported (2b is answered yes). New employment (question 2a and/or 3) is considered a change in income if the client answers “yes” to either of these questions.

NOTE: The following questions on the IR could be unanswered if not applicable to the household: 2a, 2b, 5 and 8.

The interim report is mailed 5 working days from the end of the month. The household must complete the form and return it within 10 days from the date of the notice.

For example, a simplified reporting household is approved in May 2017 and certified for 12 months. The interim report is sent the 5th work day before the end of September (9/25/17) and is due within 10 days from the date of the notice (10/5/17). Information on the form is used to determined food assistance benefits for November 2017 through April 2018.

If a household fails to file a complete IR within 10 days of it being mailed, the agency shall provide the household with a IR reminder notice advising the household that it has 10 days from the date of the notice to file a complete IR. If an eligible household files a complete periodic report during this 10-day period, the agency shall provide it with an opportunity to participate no later than 10 days after its normal issuance date. If the household does not respond to the reminder notice, the case will close and the closure notice will be sent.

NOTE: An application can be accepted in lieu of an IR if it is received in the month the IR is due, or the following month. If an application in lieu of an IR is used to reinstate benefits, an interview is not required, and all verification rules applicable to IR processing instead of application processing apply. Benefits are also not prorated.

Processing Information Reported on the Interim Report - The agency must act on information reported by the household on the interim report. Adequate notice, as defined in 1432, is required for a change in benefits which results from information reported on the interim report, even if additional information or verification is requested in order to process the change.
1. Review Interim Report - Upon receipt of an interim report, the worker shall review the report; determine if any changes have been reported and if any additional information is needed; contact the household as needed to obtain further information or verification (giving the household at least 10 days to provide information); and determine eligibility and benefits for the remainder of the review period.
2. Verification Required - The following information must be verified at the time of processing an interim report:
  1. Earned income changes reported in items 2a or 2b or new employment reported in question 3. A new source of income (question 2a) is considered a change. If the household reports no changes in earned income, but the agency believes this to be questionable, verification of the most recent 30 days of earnings can be required. The reason verification is required must be documented in the case file.
  2. Changes reported on the interim report that would result in an increase in benefits. These changes must be verified prior to the issuance of additional benefits according to the verification rules followed at the time of initial approval. Shelter expense changes shall not be verified unless questionable. Changes in gross unearned income of $50 or less since the last time it was verified need not be reverified unless questionable.
  3. Changes reported that would result in a decrease in benefits shall be verified, if required, at the time of the next review.
  4. Other reported information can be verified if questionable. Use the provisions of 1310, and 1320 and subsections.
3. Process Changes – Process reported changes following the rules that follow:
  1. Question 1 – Remove persons who have left the home if they were on the food assistance case. If a person or persons are reported to have moved into the home, determine if the person(s) needs to be added to the case and then request information necessary to add the person to the case.
  2. Questions 2a and 2b – are to be completed if anyone in the household is working.
    1. Question 2a – If the answer to this question is no, then item 2b should be completed. If the answer is yes, then the household needs to complete the requested information. Verify income and budget appropriately. Yes to this question indicates a new source of income and the most recent 30 days of paystubs must be provided.
    2. Question 2b – If the answer to 2a is no, then the household is to answer Question 2b. If the household answers yes to 2b, then they are to report hours worked per week and hourly rate or salary. Yes indicates a change in income and the most recent 30 days of paystubs must be provided.
      
      If the household answers no, then the current budgeted amount does not change, unless the agency has contradictory information that a change in income has occurred. Verification of the most recent 30 days of pay can then be required. Document why verification was required. For households with income reported on TALX, the most recent 30 days of pay will be used to re-budget the case even if the household has reported no change in income. (Corresponding changes shall also be made to the TANF or Child Care case as applicable.)
      
      Also see item d below regarding the checking of BARI/BASI at IR.
  3. Question 3 – If the household answers yes to this question, then there is new employment. The remainder of the items must be completed and the most recent 30 days of paystubs provided.
  4. Question 4 – If the answer to this question is yes, then further information from the household will be needed. Who stopped employment, when, why, etc. See 3540.1 regarding potential employment and SR households. Verification of the termination of employment may be needed. See 1322.1(1)(a)(iii).
  5. Question 5 – If the answer is yes, then additional information will be needed from the household to complete the budget. The household must provide an explanation about the income that has changed. Send a Request for information regarding the income that has changed. If it has changed by more than $50, verification is required.
    
    If the household answers no to this question, no action to change the other income being counted is required, unless questionable. Gross unearned income which has changed by $50 or less since the last time it was verified need not be reverified unless questionable.
    
    For child support income that is available on the system, a re-average of the last three months is required, even if the household answers no to this question. (Corresponding income changes shall also be made to the Child Care case if applicable.)
    
    If the child support income is not on the system, and the household answers no, then no change to the child support average is needed until the time of the next review, unless “no change” is deemed questionable and the last three months of child support can be required for an updated average. Document why verification was required.
  6. Question 6 – If the household answers yes to this question, then additional information will be needed to determine if the household has gone over the $2,250 or $3,500 resource limit as appropriate. The household must provide an explanation of the change. Determine if the change affects eligibility.
  7. Question 7 – If the household answers no, then no changes to address or shelter costs are made. If the household answers yes, then additional information is required in items a-g on the form. Shelter cost changes shall not be verified at IR unless questionable.
  8. Question 8 – This question need only be answered if the household has a legal obligation to pay child support. If the question is answered no, then no action is required in regard to the child support deduction being averaged and budgeted. If the answer is yes there has been a change in the legal obligation to pay child support, then further information must be provided in the explanation. If the obligation has changed, additional information regarding the actual payment amounts being made is required. See 7225 (2). Proof of the change in the legal obligation is required if it would increase benefits. If benefits would decrease, then the verification can be done at the next review.
  9. Question 9 – The household may use this section to report any additional changes.
  10. Question 10 – The form must be signed and dated to be considered complete.
  NOTE: The Interim Report effective 10/1/11 no longer requests information regarding the amount of dependent care being paid. Because this question is not asked, no changes in the amount of dependent care being allowed shall be made unless the household reports a change in Question 9, or there is a change in the Family Share.
4. Check TALX and BARI/BASI - Check TALX and BARI/BASI for all adults in the household ages 18 - 65 to determine if there is any current unreported income. TALX/BARI/BASI does not need to be checked for persons getting SSI or Social Security Disability.
  
  The intent of checking BARI/BASI is to determine if there is any unreported income or unemployment compensation. If unreported employment is found, this should be evaluated to determine if the employment should have been reported (over 130% threshold) or if the income continues. Use prudent person judgment in determining if a change in income or unreported income reflected on BARI/BASI requires additional follow up. If the change is determined to be contradictory or questionable, verification of the most recent 30 days of income can be required.
5. Action Required if Verification Not Provided - If verification of earned income changes is not provided, benefits shall be terminated. If the household fails to provide sufficient information or verification regarding any questionable expense change (shelter, dependent care medical or child support), benefits shall not be terminated, rather benefits will be determined without including the deduction. If this occurs, the household must be notified that a deduction or deductions were not allowed since verification was not provided, and that benefits will be redetermined if the verification is subsequently provided.
  
  If the household does not verify other items for which verification is required (including information deemed questionable), the agency shall act on the reported change if benefits would decrease, and not act on the reported change if benefits would increase. If verification is later provided, increased benefits shall be provided the month following the month in which the verification is received.
  
  If the household does not verify other items that would affect eligibility (such as: unearned income changes, resources changes, residency changes) then the case shall be closed providing adequate notice.
  
  If information necessary to determine continued eligibility or benefit amount is being requested from the household from a change reported on the interim report, only adequate notice is required in these instances.
6. Notification - The household must be provided adequate notice of the food assistance benefit amount when the IR has been processed. The notice includes the 130% reporting threshold and reminds households of their reporting requirements.
Action on Other Programs - Changes reported on the interim report for food assistance purposes shall also be acted upon, as appropriate, for cash and child care benefits. Timely and adequate notice is required for any reduction or termination of benefits for these programs.
Termination of Benefits - Failure to return a complete interim report in the month in which it is due, results in ineligibility for food assistance benefits only. If the interim report is submitted the month after it was due, benefits are to be reinstated if otherwise eligible. In such instances, a new application would not be required for reinstatement purposes and benefits would not be prorated.

The agency shall close the food assistance program if the completed interim report is not received or if the household is no longer eligible for benefits. An adequate notice of action is required when the household is no longer eligible.
Reinstatement of Assistance - If an eligible household files a complete interim report after the case has been closed, but before the end of the report month (month in which the report is due), the agency shall reopen the case without requiring the household to file an application and shall approve benefits no later than 10 days after the household normally receives benefits.

If a household files a complete interim report after the end of the report month but before the end of the month following the month in which it was due, the agency shall reinstate assistance and, if otherwise eligible, approve benefits within 30 days from the date the interim report is received. Benefits for the month shall not be prorated and the household shall not be required to file a new application.

See the NOTE at the beginning of this section regarding accepting an application in lieu of an IR.

When reinstating assistance, changes reported on the interim report form (or application in lieu of an IR) shall be acted upon for the benefit month being reinstated. For example, a case is closed 8/31 for no IR. The IR is returned 9/9 and the household reports that a member has left the home. This change shall be acted upon when determining benefits for the month of September.

A notice of reinstatement must be sent to the household. If a household which has been closed for failure to file a complete interim report does not return the required form by the end of the month following closure, the household shall be required to reapply. A new application is also required if the household fails to provide verification timely and the 10th day to provide verification falls in the second month following case closure. Example: Case closes 5/31 for no IR. IR is returned 6/25. Verification due 7/5 and not returned.

9122.7 Processing Changes Not Required to be Reported or Reported for Cash or Child Care - Appropriate action shall be taken on all changes that are reported by the household, or learned of by agency staff outside of the interim reporting process. Timely and adequate notice is required. Changes are processed following the rules found at 9121.1.

9122.8 Processing Reported Changes That Are Required to be Reported

130% Income Reporting Threshold - When a simplified reporting household reports an increase in income which is over the 130% income reporting threshold, staff must determine if the household's gross monthly income exceeds 130% of poverty for the household size at the time the change is being processed. If the household is at or over the 130% original reporting threshold, but remains eligible, no further reporting requirements regarding income are required until the next IR or review is due. Changes resulting in ineligibility shall affect eligibility the first month possible considering timely notice requirements.

Since the gross income test (130% of poverty) does not apply to categorically eligible and/or special households, special provisions apply. (A special household is one containing at least one member who is elderly or disabled.) Proceed as follows:
1. Special Household - If the special household's income exceeds the net income standard, take action to close the food assistance case. (See 7420.)
2. Categorically Eligible Household - If the Food Assistance Benefit tables (Appendix, Item F-3) indicate a benefit even though the net income is above the net income limit, categorically eligible households are to be given that benefit amount.
3. Reduction in the Number of Hours Worked by an ABAWD - If the simplified reporting household contains an ABAWD meeting the work requirement of 2520 (1), the household is required to report if the household member's work hours fall below an average of 20 hours a week, averaged monthly. If this change is reported by the household, process the change as follows:
  1. Becomes Exempt or Has Good Cause - Determine if the household member has become exempt from the ABAWD provisions or has good cause for the reduction in work hours per the NOTE in 2520 (1). If so, document the exemption or that the reduced work hours was temporary. Make appropriate benefit changes.
  2. Not Exempt and Does Not Have Good Cause - If the person is non-exempt and the work hours will stay reduced below 20 hours a week averaged monthly, then determine if the person has already received 3 months of ABAWD benefits while not meeting the work requirement. If not, take no action to remove the person until they have used their three ABAWD months. If benefits will change due to the reduction in income, take action on that change. If the person has already used their three ABAWD months, take action to remove the person at that time.
Timely and adequate notice of adverse action must be provided.