Resource exclusions

Revised date
Purpose statement

To explain which resources are excluded when determining eligibility for SSI-Related Apple Health programs.

WAC 182-512-0350 SSI-related medical -- Property and contracts excluded as resources.

WAC 182-512-0350 SSI-related medical -- Property and contracts excluded as resources.

Effective November 14, 2019.

  1. The agency excludes the following resources when determining eligibility for SSI-related medical assistance:
    1. A client's household goods and personal effects;
    2. One home (which can be any shelter), including the land on which the dwelling is located, and all contiguous property and related out-buildings in which the client has ownership interest for long-term care programs, see WAC 182-513-1350 for home equity limits, when:
      1. The client uses the home as a primary residence;
      2. The client's spouse lives in the home;
      3. The client does not currently live in the home, but the client or the client's representative has stated the client intends to return to the home; or
      4. A relative, who is financially or medically dependent on the client, lives in the home and either the dependency is documented or a written statement of dependency is provided by the client, the client's authorized representative, or by the client's dependent relative.
    3. The value of ownership interest in jointly owned real property is an excluded resource for as long as sale of the property would cause undue hardship to a co-owner due to loss of housing. Undue hardship would result if the co-owner:
      1. Uses the property as the client's principal place of residence;
      2. Would have to move if the property were sold; and
      3. Has no other readily available housing.
  2. Proceeds from the sale of an interest described in subsection (1)(b) of this section, are excluded as a resource if the client uses the proceeds to purchase another home by the end of the third month after receiving the proceeds from the sale.
  3. An installment contract from the sale of the home described in subsection (1)(b) above is not a resource as long as the client plans to use the entire down payment and the entire principal portion of a given installment payment to buy another excluded home, and does so within three months after the month of receiving such down payment or installment payment.
  4. The value of sales contracts is excluded when the:
    1. Current market value of the contract is zero;
    2. Contract cannot be sold; or
    3. Current market value of the sales contract combined with other resources does not exceed the resource limits.
  5. Sales contracts executed before December 1, 1993, are excluded resources as long as they are not transferred to someone other than a spouse.
  6. A sales contract for the sale of the client's principal place of residence executed between December 1, 1993, and May 31, 2004, is an excluded resource unless it has been transferred to someone other than a spouse and it:
    1. Provides interest income within the prevailing interest rate at the time of the sale;
    2. Requires the repayment of a principal amount equal to the fair market value of the property; and
    3. The term of the contract does not exceed thirty years.
  7. A sales contract executed on or after June 1, 2004, on a home that was the principal place of residence for the client at the time of institutionalization is an excluded resource as long as it is not transferred to someone other than a spouse and it:
    1. Provides interest income within the prevailing interest rate at the time of the sale;
    2. Requires the repayment of a principal amount equal to the fair market value of the property within the anticipated life expectancy of the client; and
    3. The term of the contract does not exceed thirty years.
  8. Payments received on sales contracts of the home described in subsection (1)(b) of this section are treated as follows:
    1. The interest portion of the payment is treated as unearned income in the month of receipt of the payment;
    2. The principal portion of the payment is treated as an excluded resource if reinvested in the purchase of a new home within three months after the month of receipt;
    3. If the principal portion of the payment is not reinvested in the purchase of a new home within three months after the month of receipt, that portion of the payment is a liquid resource as of the date of receipt.
  9. Payments received on sales contracts described in subsection (4) of this section are treated as follows:
    1. The principal portion of the payment on the contract is treated as a resource and counted toward the resource limit to the extent retained at the first moment of the month following the month of receipt of the payment; and
    2. The interest portion is treated as unearned income the month of receipt of the payment.
  10. For sales contracts that meet the criteria in subsection (5), (6), or (7) of this section but do not meet the criteria in subsection (3) or (4) of this section, both the principal and interest portions of the payment are treated as unearned income in the month of receipt.
  11. Property essential to self-support (PESS) is excluded as a resource within certain limits. There are three categories of PESS:
    1. Real and personal property used in a trade or business:
      1. That is a resource defined under WAC 182-512-0200;
      2. That is in current use as described under the Social Security Administration's Program Operations Manual System (POMS) SI 01130.504; and
      3. Where the trade or business is a sole proprietorship or simple partnership.
    2. Nonbusiness income-producing property (i.e., property not used in a trade or business), such as:
      1. Houses or apartments for rent; and
      2. Land, other than home property.
    3. Property used to produce goods or services essential to a client's daily activities, such as land used to produce vegetables or livestock, which is used only for personal consumption in the client's household. This includes personal property necessary to perform daily functions including vehicles such as boats for subsistence fishing and garden tractors for subsistence farming, but does not include other vehicles such as those that qualify as automobiles (e.g., cars, trucks).
  12. The agency excludes a client's real and personal property used in a trade or business, described under subsection (11)(a) of this section, regardless of value as long as it is in current use (as described under POMS SI 01130.504) in the trade or business and remains used in the trade or business.
  13. The agency excludes up to $6,000 of a client's equity in nonbusiness income-producing property, described under subsection (11)(b) of this section, if it produces a net annual income to the client of at least six percent of the excluded equity.
    1. If a client's equity in the property is over $6,000, only the amount over $6,000 is counted toward the resource limit, as long as the net annual income requirement of six percent is met on the excluded equity.
    2. If the six percent requirement is not met due to circumstances beyond the client's control (e.g., illness), and there is a reasonable expectation that the activities will again meet the six percent rule, the same exclusions as in subsection (13)(a) of this section apply.
    3. If a client has more than one piece of real property in this category, each is independently evaluated to see if it meets the six percent return, and the total equities of all those properties are added to see if the total is over $6,000. If the total is over the $6,000 limit, the amount exceeding the limit is counted toward the resource limit.
    4. The equity in each property that does not meet the six percent annual net income limit is counted toward the resource limit, with the exception of property that represents the authority granted by a governmental agency to engage in an income-producing activity if it is:
      1. Used in a trade or business or nonbusiness income-producing activity; or
      2. Not used due to circumstances beyond the client's control (e.g., illness), and there is a reasonable expectation that the use will resume.
  14. Property used to produce goods or services essential to a client's daily activities is excluded if the client's equity in the property does not exceed $6,000.
  15. Personal property used by a client as an employee for work is not counted toward the resource limit, regardless of value, while in current use (as described under POMS SI 01130.504), or if the required use for work is reasonably expected to resume.
  16. Interests in trust or in restricted Indian land owned by a client who is of Indian descent from a federally recognized Indian tribe or held by the spouse or widow/er of that client, is not counted toward the resource limit if permission of the other people, the tribe, or an agency of the federal government must be received in order to dispose of the land.
  17. Receipt of money by a member of a federally recognized tribe from exercising federally protected rights or extraction of excluded resources, such as fishing, shell-fishing, or selling timber from protected land, is considered conversion of an excluded resource during the month of receipt. Any amount remaining from the conversion of this excluded resource on the first of the month after the month of receipt will remain excluded if it is used to purchase another excluded resource. Any amount remaining in the form of a countable resource (such as in a checking or savings account) on the first of the month after receipt, will be added to other countable resources for eligibility determinations.

This is a reprint of the official rule as published by the Office of the Code Reviser. If there are previous versions of this rule, they can be found using the Legislative Search page.

Clarifying Information

  1. Loan proceeds are not considered a gain to the individual and are not considered income. Proceeds from a reverse mortgage on an individual’s home are considered loan proceeds. However, the loan proceeds are considered a resource if held into the month after they are paid to the individual (the first of the month following the month of receipt). Any interest earned on the proceeds is considered unearned income.
  2. Proceeds from the sale of the one excluded home are counted as a resource back to the receipt of the proceeds if the individual does not use the funds to purchase another home by the end of the third month after receipt of the funds. The funds affect eligibility only if they cause countable resources to exceed allowed levels as of the first of the month after the month of receipt.
  3. The home exemption is used once for each married couple. A determination must be made on whether a 2nd home is an available resource. For a married couple, if the client lives in one home and the individual’s spouse lives in a second home jointly owned by the couple, the individual’s interest in the second home is not excluded. Evaluate whether the individual’s interest in the 2nd home is an available resource. If the second home is sold, the remaining proceeds belonging to the individual count as a resource the first of the month following the receipt of the proceeds.
  4. An example of an individual’s equity in nonbusiness income-producing property producing net annual income of less than 6% of the excluded equity through no fault of the individual (such as that described in (10)(b) of the WAC above) is crop failure due to weather conditions or illness.
  5. If the individual transfers property to the community spouse when receiving LTC benefits, it is no longer the individual’s resource; it is the community spouse’s resource. Refer to Chapter 182-513 WAC for LTC rules.
  6. Trucks and other equipment are not counted if used to produce income or if used in pursuit of employment to produce income.
  7. Real and personal property used for self-employment are excluded. Examples of real or personal property used in a self-employment business include:
    1. Farm Land;
    2. Farm Machinery;
    3. Livestock;
    4. Business Equipment; and
    5. Business Inventory.

WAC 182-512-0400 SSI-related medical -- Vehicles excluded as resources.

WAC 182-512-0400 SSI-related medical -- Vehicles excluded as resources.

Effective February 20, 2017.

  1. For SSI-related medical programs, a vehicle is defined as anything used for transportation. In addition to cars and trucks, a vehicle can include boats, snowmobiles, and animal-drawn vehicles.
  2. One vehicle is excluded regardless of its value, if it is used to provide transportation for the SSI-related person or a member of the person's household.
  3. A vehicle used as the person's primary residence is excluded as the home, and does not count as the one excluded vehicle under subsection (2) of this section.

This is a reprint of the official rule as published by the Office of the Code Reviser. If there are previous versions of this rule, they can be found using the Legislative Search page.

Clarifying Information

  1. A leased vehicle is not counted as a resource, because the client does not own the vehicle and is not purchasing it.

Worker Responsibilities

  1. To determine the fair market value of a vehicle, check the current value as listed in the Kelley Blue Book or N.A.D.A. for a vehicle condition "Good" unless you have evidence to support a different vehicle condition. The amount owed on the vehicle is subtracted from the value to determine the amount of equity the person has in the vehicle. The amount of the resource is the equity value.
  2. If the SSI-Related applicant qualifies for one or more vehicle exclusions, apply the exclusion(s) to the vehicles in the order of how much equity the applicant (or household members) have in the vehicles, starting with the greatest equity.
  3. Confirm that the vehicles listed in the application match the vehicles listed in SPIDER. If the individual declares that they no longer have a vehicle, direct them to the Department of Licensing to get the vehicle(s) removed from their files.

WAC 182-512-0450 SSI-related medical -- Life insurance excluded as a resource.

WAC 182-512-0450 SSI-related medical -- Life insurance excluded as a resource.

Effective April 14, 2014.

  1. The agency excludes life insurance policies that do not have or cannot accrue a cash surrender value (CSV) in determining whether owned policies exceed the life insurance exclusion limits for resources and in determining burial fund exclusion limits.
  2. Policies owned by each spouse are evaluated and counted separately.
  3. If the total face value of all policies with a CSV potential that a person owns on the same insured is equal to or less than fifteen hundred dollars, the resource is excluded.
  4. If the total face value of all policies with a CSV potential that a person owns on the same insured is more than fifteen hundred dollars, the total CSV of the policies is counted toward the resource limit, unless the person designates such policies as burial funds. If they are designated as burial funds, they must be evaluated under the burial fund exclusion described in WAC 182-512-0500.

This is a reprint of the official rule as published by the Office of the Code Reviser. If there are previous versions of this rule, they can be found using the Legislative Search page.

Clarifying Information

  1. The agency may include only whole life insurance policies as countable resources (in other words, policies with a cash surrender value (CSV) potential). Term life insurance policies are excluded.
  2. For each insured life, if the sum of the face values of all whole life insurance policies owned by the person is:
    1. Less than or equal to $1,500, the agency excludes the insurance policies as a resource.
    2. Greater than $1,500, the agency counts the insurance policies as a resource by adding the CSVs of all of the whole life insurance policies for that insured life. The total is the amount of the resource.
  3. Consider the life insurance policies owned by each spouse separately. Each is allowed the $1,500 face value exclusion for each insured life.
  4. Clients can shift money from life insurance policies to an irrevocable burial fund or add to an existing irrevocable burial fund (the fund must be in a reasonable amount as defined by the agency after considering individual and cultural circumstances), which could reduce their resources below the resource limit.

Example: Archie and Edith are a married couple. When they married, they each bought a $1,000 face value (FV) whole life insurance policy on their own life and another $1,000 FV policy on the life of their spouse. There are no other policies. The $1,000 FV Archie owns on his own life is less than the $1,500 exclusion, so it is excluded. The $1,000 policy Archie owns on his wife’s life is also under $1,500, so it is also excluded. The same applies to Edith’s policies.

Example: Tarzan and Jane are a married couple, both disabled and applying for Medicaid. Tarzan owns a $50,000 term life insurance policy and a $500 FV whole life insurance policy on himself. Jane owns 2 whole life policies on Tarzan, each with an FV of $500. The term life policy does not count as a resource because it has no CSV potential. The FV of Tarzan’s whole life policy is less than the $1,500 exclusion limit, so it is excluded. The FV of the 2 policies Jane owns are also less than the $1,500 exclusion so they are excluded, too. This couple has no countable resources from life insurance policies.

Example: Tarzan and Jane are a married couple, both disabled and applying for Medicaid. Tarzan owns a $50,000 term life insurance policy and a $500 FV whole life insurance policy on himself. Jane owns 2 whole life policies on Tarzan, each with an FV of $500. The term life policy does not count as a resource because it has no CSV potential. The FV of Tarzan’s whole life policy is less than the $1,500 exclusion limit, so it is excluded. The FV of the 2 policies Jane owns are also less than the $1,500 exclusion so they are excluded, too. This couple has no countable resources from life insurance policies.

Example: Archie and Edith are a married couple. When they married, they each bought two $1,000 face value (FV) whole life insurance policies on their spouse. Each policy has a CSV of $500. There are no other policies. The $2,000 of face value that Archie owns on his spouse is more than the $1,500 exclusion, so the policies are countable. The amount of the countable resource is $1,000 ($500 x 2). The same applies to Edith’s policies.

Worker Responsibilities

Remember to review the CSV for whole life policies at every review, because CSVs change all the time.

WAC 182-512-0500 SSI-related medical -- Burial funds, contracts and spaces excluded as resources.

WAC 182-512-0500 SSI-related medical -- Burial funds, contracts and spaces excluded as resources.

Effective June 11, 2023.

  1. For the purposes of this section, burial funds are funds set aside and clearly designated solely for burial and related expenses, and kept separate from all other resources not intended for burial. These include:
    1. Revocable burial contracts;
    2. Revocable burial trusts; or
    3. Other revocable burial arrangements. The designation is effective the first day of the month in which the person intended the funds to be set aside for burial.
  2. Burial funds in a revocable burial contract, burial trust, cash accounts, or other financial instruments with a definite cash value are excluded as resources for the person and their spouse, up to $1,500 each, when set aside solely for burial or cremation and related expenses.
  3. Interest earned in burial funds and appreciation in the value of excluded burial arrangements in subsection (2) of this section are excluded from resources and are not counted as income if left to accumulate and become part of the separate burial fund.
  4. An irrevocable burial account, burial trust, or other irrevocable burial arrangement, set aside solely for burial and related expenses, is not considered a resource. To be excluded, the amount set aside must be reasonably related to the anticipated death-related expenses.
  5. The $1,500 exclusion for burial funds described in subsection (2) of this section is reduced by:
    1. The face value of life insurance with CSV excluded in WAC 182-512-0450; and
    2. Amounts that meet the requirements of subsection (4) of this section.
  6. A person's burial funds are no longer excluded when they are mixed with other resources that are not related to burial.
  7. When excluded burial funds are spent for other purposes, the spent amount is added to other countable resources and any amount exceeding the resource limit is considered available income on the first of the month it is used. The amount remaining in the burial fund remains excluded.
  8. Burial space and accessories for the person and any member of the person's immediate family described in subsection (9) of this section are excluded. Burial space and accessories include:
    1. Conventional gravesites;
    2. Crypts, niches, and mausoleums;
    3. Urns, caskets and other repositories customarily used for the remains of deceased persons;
    4. Necessary and reasonable improvements to the burial space including, but not limited to:
      1. Vaults and burial containers;
      2. Headstones, markers and plaques;
      3. Arrangements for the opening and closing of the gravesite; and
      4. Contracts for care and maintenance of the gravesite.
    5. A burial space purchase agreement that is fully or partially paid, and any accrued interest.
  9. Immediate family, for the purposes of subsection (8) of this section includes the person's:
    1. Spouse;
    2. Parents and adoptive parents;
    3. Minor and adult children, including adoptive and stepchildren;
    4. Siblings (brothers and sisters), including adoptive and stepsiblings;
    5. Spouses of any of the above.

None of the family members listed above, need to be dependent on or living with the person, to be considered immediate family members.

This is a reprint of the official rule as published by the Office of the Code Reviser. If there are previous versions of this rule, they can be found using the Legislative Search page.

Clarifying Information

  1. Irrevocable burial funds may be in any reasonable amount designated solely for burial and related expenses. Reasonableness must be evaluated on an individual, case by case basis, and should include cultural considerations and special burial arrangements. The purpose is to insure that only amounts expected to be used for death-related expenses are placed in irrevocable burial accounts.
  2. Irrevocable burial funds may not include a contingent, or residual, beneficiary. All funds must be used solely for the client’s burial and related expenses.
  3. Burial funds must be separately identifiable. They can be commingled with other counted funds if the other counted funds are also burial-related. For revocable burial funds, a total of $1,500 is excluded for an individual as burial funds.
     

    Example: Mary has a savings account with $2,000 in it. She states it is for household maintenance. She adds $500, designating this $500 for burial. Mary does not want to separate the money she has set aside for burial in this account. Explain to Mary that the burial funds must be separated from other funds to remain excluded. If Mary refuses to separate the burial funds from other funds in the account, the total $2,500 is countable toward the resource limit. For us to consider $500 for her burial fund exclusion, it must be in a separate, burial-related account.

    Mary may designate more than $1,500 of the savings account as burial funds, but we can only exclude up to the $1,500 maximum. The rest of the account must be added toward her resource limit.

    Example: Jerry has a $100 savings account designated as burial-related funds. He adds $500 to the account, stating the additional funds are also designated for burial-related expenses. This whole account is eligible for burial funds exclusions (up to the $1,500 maximum allowed for one person).

  4. If an individual has resources above the standard, the individual may establish a burial fund that meets the criteria of WAC 182-512-0500 in order to reduce their countable resources.
  5. Consider the burial funds owned by each spouse separately.
  6. The face value of term burial policies is not counted in determining whether or not the total value of all policies is below the allowable $1,500 resource limit, because term policies have no possible CSV.
  7. The $1,500 limit on excludable burial funds is reduced by both the face value of life insurance policies if the CSV was excluded and by the amount of any irrevocable burial funds.
  8. Individuals can shift money from revocable burial funds to an irrevocable burial fund or add to an existing irrevocable burial fund in any reasonable amount.
  9. What is considered to be a reasonable amount of funds set aside in an irrevocable burial fund that may be excluded as a resource may reflect cultural traditions, such as a tribal burial ceremony.

NOTE: Interest earned on excluded burial funds and appreciation in the value of the burial arrangements are also excluded, if left to accumulate and become part of the separate burial fund.

Worker Responsibilities

  1. The Individual needs to complete the HCA 14-539 (for a revocable fund) or the HCA 14-540 (for an irrevocable fund) Burial Fund Provision, to declare the amount of funds set aside for burial.
  2. Allow up to two months from the end of the application month to cash in or physically separate funds.
  3. The Individual’s statement is acceptable as verification for the planned use of the funds for burial when commingled with other counted funds.
  4. When completing the Irrevocable Burial Fund provision, which does not include funds for burial that are commingled with funds that are counted toward the resource limit, the individual or a tribal representative for the individual completes the form identified above.

Example: Laurie owns a life insurance policy on her husband with a face value of $1,500 and a cash surrender value (CSV) of $1,000. The CSV is excluded. The burial funds exclusion is reduced by the face value of this life insurance policy, so Laurie cannot set aside additional excluded funds toward his burial. Any other funds she sets aside for his burial will count against the resource limit.

Example: Jack is applying for medical assistance. He bought a life insurance policy on his own life with a face value of $10,000 and a CSV of $1,600. He did not want to designate the policy as burial funds. Since the CSV exceeds the $1,500 life insurance face value (FV) limit and is not designated as burial funds, the $1,600 is applied to the resource limit. Jack also has set aside a bank account of $1,200 for his burial. The $1,200 is excluded for his burial since the cash surrender value of the life insurance policy was not designated as burial funds.

Example: Jack (from Example Two), has the same life insurance policy and burial funds ($10,000 FV, $1,600 CSV, burial funds of $1,200). However, he states he wants to designate the life insurance policy as burial funds. He now can exclude $300 of the CSV from the life insurance policy as burial funds, but the other $1,300 is a countable resource. The $1,200 from his other burial funds were excluded previously and remain excluded. Jack has now reached his entire allowable $1,500 burial funds exclusion. He has $1,300 in countable resources and $1,500 in burial funds exclusions, if he has no other resources.

Example: Jack (from the previous 2 examples) owns the policies already mentioned and his wife owns a life insurance policy on his life with a face value of $100,000 and a CSV of $1,000. Jack’s wife is not applying for any benefits from Medicaid, but because her assets count, we must look at all resources of the couple. She may designate this life insurance policy for a burial funds set-aside, and the entire CSV is excluded. She may also have an additional $500 face value life insurance policy to be used for either life insurance or burial funds exclusion.

Example: Jill has a life insurance policy with a face value of $10,000 and a CSV of $500. She has $1,500 in a savings account set aside for her burial. She also has an irrevocable burial trust valued at $6,000. The irrevocable burial trust does not count as a resource in itself, but it reduces her remaining burial funds exclusion to zero, since it exceeds $1,500. This means the $500 in CSV from the life insurance policy counts toward the resource limit. The $1,500 in the savings account burial fund cannot be excluded as a resource because the $1,500 burial set-aside exclusion was used by the irrevocable burial trust. Jill has $2,000 in countable resources, assuming these accounts are the total resources she owns: $500 from CSV and $1,500 from her burial funds savings account.

Example: Derek recently bought two $50,000 whole life insurance policies on his wife, with a total current CSV of $500. He also owns a term insurance policy on himself, his wife and on each of his three children. The term insurance policies do not count toward the resource limits, since there is no possibility of accruing CSV. If the burial funds set-aside has not been used, Derek could designate the $500 CSV from the whole life policies toward that exclusion.

Example: John has a $2,000 CD. He states that $1,500 is set aside as burial funds and he also plans to use the remaining $500 for burial related expenses. The CD does not have to be cashed or physically separated, because all of the CD is designated for burial related expenses. Five hundred dollars of the CD are countable resources. If any of the funds from the CD were designated or used for anything other than burial related expenses, the entire CD would be countable as a resource and none of it could be excluded under the burial funds exclusion.

Example: Sarah has an irrevocable burial fund established for her to which the representative of her tribe has attested to by completing the appropriate form. Sarah has been an elder in the tribe for many years, and the ceremony of her life at its end will follow the traditions of her culture. At this time the fund includes $8,000, which will be used to help feed the many who will participate for several days. Blankets and other gifts may be offered to tribal elders and extended family members, according to the long-held traditions of her tribe.

WAC 182-512-0550 SSI-related medical -- All other excluded resources.

WAC 182-512-0550 SSI-related medical — All other excluded resources.

Effective June 4, 2021.

All resources described in this section are excluded resources for SSI-related medical programs. Unless otherwise stated, interest earned on the resource amount is counted as unearned income.

  1. Resources necessary for a person who is blind or disabled to fulfill a self-sufficiency plan approved by the agency.
  2. Retroactive payments from SSI or old age, survivors, and disability insurance (OASDI), including benefits a person receives under the interim assistance reimbursement agreement with the Social Security Administration, are excluded for nine months following the month of receipt. This exclusion applies to:
    1. Payments received by the person, the person's spouse, or any other person financially responsible for the person;
    2. SSI payments for benefits due for the month(s) before the month of continuing payment;
    3. OASDI payments for benefits due for a month that is two or more months before the month of continuing payment; and
    4. Proceeds from these payments as long as they are held as cash, or in a checking or savings account. The funds may be commingled with other funds, but must remain identifiable from the other funds for this exclusion to apply. This exclusion does not apply once the payments have been converted to any other type of resource.
  3. All resources specifically excluded by federal law, such as those described in subsections (4) through (11) of this section as long as such funds are identifiable.
  4. Payments made under Title II of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970.
  5. The excluded resources described in WAC 182-512-0770 and other resources of American Indians/Alaska Natives that are excluded by federal law.
  6. Restitution payment and any interest earned from this payment to persons of Japanese or Aleut ancestry who were relocated and interned during war time under the Civil Liberties Act of 1988 and the Aleutian and Pribilof Islands Restitution Act.
  7. Funds received from the Agent Orange Settlement Fund or any other funds established to settle Agent Orange liability claims.
  8. Payments or interest accrued on payments received under the Radiation Exposure Compensation Act received by the injured person, the surviving spouse, children, grandchildren, or grandparents.
  9. Payments or interest accrued on payments received under the Energy Employees Occupational Illness Compensation Act of 2000 (EEOICA) received by the injured person, the surviving spouse, children, grandchildren, or grandparents.
  10. Payments from:
    1. The Dutch government under the Netherlands' Act on Benefits for Victims of Persecution (WUV).
    2. The Victims of Nazi Persecution Act of 1994 to survivors of the Holocaust.
    3. Susan Walker vs. Bayer Corporation, et al., 96-C-5024 (N.D. Ill.) (May 8, 1997) settlement funds.
    4. Ricky Ray Hemophilia Relief Fund Act of 1998 P.L. 105-369.
  11. The unspent social insurance payments received due to wage credits granted under sections 500 through 506 of the Austrian General Social Insurance Act.
  12. Tax refunds and earned income tax credit refunds and payments are excluded as resources for twelve months after the month of receipt.
  13. Payments from a state administered victim's compensation program for a period of nine calendar months after the month of receipt.
  14. Cash or in-kind items received as a settlement for the purpose of repairing or replacing a specific excluded resource are excluded:
    1. For nine months. This includes relocation assistance provided by state or local government.
    2. Up to a maximum of thirty months, when:
      1. The person intends to repair or replace the excluded resource; and
      2. Circumstances beyond the control of the settlement recipient prevented the repair or replacement of the excluded resource within the first or second nine months of receipt of the settlement.
    3. For an indefinite period, if the settlement is from federal relocation assistance.
    4. Permanently, if the settlement is assistance received under the Disaster Relief and Emergency Assistance Act or other assistance provided under a federal statute because of a catastrophe which is declared to be a major disaster by the President of the United States, or is comparable assistance received from a state or local government or from a disaster assistance organization. Interest earned on this assistance is also excluded from resources. Any cash or in-kind items received as a settlement and excluded under this subsection are available resources when not used within the allowable time periods.
  15. Insurance proceeds or other assets recovered by a Holocaust survivor.
  16. Pension funds owned by an ineligible spouse. Pension funds are defined as funds held in a(n):
    1. Individual retirement account (IRA) as described by the IRS code; or
    2. Work-related pension plan (including plans for self-employed persons, known as Keogh plans).
  17. Cash payments received from a medical or social service agency to pay for medical or social services are excluded for one calendar month following the month of receipt.
  18. SSA- or division of vocational rehabilitation (DVR)-approved plans for achieving self-support (PASS) accounts, allowing blind or disabled persons to set aside resources necessary for the achievement of the plan's goals, are excluded.
  19. Food and nutrition programs with federal involvement. This includes Washington Basic Food, school reduced and free meals and milk programs and WIC.
  20. Gifts to, or for the benefit of, a person under eighteen years old who has a life-threatening condition, from an organization described in section 501 (c)(3) of the Internal Revenue Code of 1986 which is exempt from taxation under section 501(a) of that code, as follows:
    1. In-kind gifts that are not converted to cash; or
    2. Cash gifts up to a total of two thousand dollars in a calendar year.
  21. Veteran's payments made to, or on behalf of, natural children of Vietnam veterans regardless of their age or marital status, for any disability resulting from spina bifida suffered by these children.
  22. The following are among assets that are not resources and as such are neither excluded nor counted:
    1. Home energy assistance/support and maintenance assistance;
    2. Retroactive in-home supportive services payments to ineligible spouses and parents; and
    3. Gifts of domestic travel tickets.
  23. Resources accumulated in a separate account, designated by the client, that result from work activity during the client's enrollment in apple health for workers with disabilities (HWD) program under chapter 182-511 WAC.
  24. Limited to clients who have been or continue to be subject to participation as defined in WAC 182-513-1100 during the public health emergency (PHE), resources accumulated due to not increasing participation in response to section 6008(b) of the Families First Coronavirus Response Act (FFCRA) are excluded for:
    1. The duration of the PHE; and
    2. A period of twelve months after the PHE ends.
  25. Resources listed in the program operations manual system (POMS), not otherwise excluded under this section, are excluded (see SSA POMS Section SI 01130.050 https://secure.ssa.gov/apps10/poms.nsf/lnx/0501130050).

This is a reprint of the official rule as published by the Office of the Code Reviser. If there are previous versions of this rule, they can be found using the Legislative Search page.

Clarifying Information

  1. An approved Plan for Achieving Self-Support (PASS) for a blind or disabled individual needs to be signed by SSA or DVR staff in order for the resources to be excluded. Resources and income included in the PASS are not counted for eligibility or post-eligibility determinations while the PASS is in place, according to 20 CFR 416.1180 (income) and 20 CFR 416.1225 (resources).
  2. Funds that are excludable by federal law must be identifiable in order to be excluded. This does not mean they must be in a physically separate account, but workers must be able to see that excluded funds have not been used for anything other than the intention of the exclusion.
  3. When excluded funds are commingled with nonexcluded funds and there is a withdrawal from that commingled account, assume that the nonexcluded funds are removed prior to any excluded funds being removed.
  4. Excluded funds contained in a restricted Individual Indian Money (IIM) account includes both money that is held in an IIM account pursuant to a tribal credit hold (withheld with BIA consent to repay a loan) and accounts to minors or incapacitated adults that are supervised on a regular basis by the BIA.
  5. Good sources of information for resource exclusion under Federal law include the:
    1. Social Security Program Operation Manual System (POMS). section 501 (c)(3) of the Internal Revenue Code of 1986 (a chart showing exclusions with references to specific rules), and
    2. Code of Federal Regulations (CFR) at 20 CFR 416.1182 subpart K appendix.

WAC 182-512-0770 SSI-related medical -- American Indian or Alaska Native excluded income and resources.

WAC 182-512-0770 SSI-related medical -- American Indian or Alaska Native excluded income and resources.

Effective April 16, 2015.

  1. The agency excludes the following types of income from being considered when determining eligibility for Washington apple health (WAH) categorically needy (CN) and medically needy (MN) SSI-related programs for American Indians or Alaska Natives:
    1. Distributions from Alaska Native corporations and settlement trusts;
    2. Distributions from any property held in trust, subject to federal restrictions, located within the most recent boundaries of a prior federal reservation, or otherwise under the supervision of the Secretary of the Interior;
    3. Distributions and payments from rents, leases, rights of way, royalties, usage rights, or natural resource extraction and harvest from:
      1. Rights of ownership or possession in any lands described in (b) of this subsection; or
      2. Federally protected rights regarding off-reservation hunting, fishing, gathering, or usage of natural resources.
    4. Distributions resulting from real property ownership interests related to natural resources and improvements that are:
      1. Located on or near a reservation or within the most recent boundaries of a prior federal reservation; or
      2. Resulting from the exercise of federally protected rights related to such real property ownership interests.
    5. Payments resulting from:
      1. Ownership interests in or usage rights to items that have unique religious, spiritual, traditional, or cultural significance; or
      2. Rights that support subsistence or a traditional lifestyle according to applicable tribal law or custom.
    6. Student financial assistance provided under the Bureau of Indian Affairs education programs; and
    7. Any other applicable income exclusion as provided by federal law, regulation, or rule.
  2. The agency excludes the following types of resources from being considered when determining eligibility for WAH-CN and WAH-MN SSI-related programs for American Indians or Alaska Natives:
    1. Property, including real property and improvements, that is:
      1. Held in trust, subject to federal restrictions, or otherwise under the supervision of the Secretary of the Interior; and
      2. Located on a reservation, including any federally recognized Indian tribe's reservation, pueblo, or colony, including:
        1. Former reservations in Oklahoma;
        2. Alaska Native regions established by the Alaska Native Claims Settlement Act; and
        3. Indian allotments on or near a reservation as designated and approved by the Bureau of Indian Affairs of the Department of the Interior.
    2. Property located within the most recent boundaries of a prior federal reservation for any federally recognized tribe not described in (a) of this subsection;
    3. Ownership interests in rents, leases, royalties, or usage rights related to natural resources (including, but not limited to, extraction of natural resources or harvesting of timber, other plants and plant products, animals, fish and shellfish) resulting from the exercise of federally protected rights; and
    4. Ownership interests in or usage rights to items not covered in (a), (b), or (c) of this subsection that have unique religious, spiritual, traditional, or cultural significance or rights that support subsistence or a traditional lifestyle according to applicable tribal law or custom.
  3. When determining eligibility for WAH-CN and WAH-MN SSI-related programs for American Indians or Alaska Natives, the agency counts or excludes amounts received by tribal members from exercise of gaming revenues (per capita distributions) that are retained after the month of receipt based on the type of resource in which the money is retained.  If the amounts are retained in a countable resource (for example, cash, checking account, or savings account), the agency treats the amounts as a countable resource.  If the amounts are converted to an excluded resource (for example, personal property like a refrigerator), the agency treats the amounts as excluded resources.

This is a reprint of the official rule as published by the Office of the Code Reviser. If there are previous versions of this rule, they can be found using the Legislative Search page.

Clarifying Information

  1. Boats and fishing equipment are not counted as resources if used to produce income or if used in Indian Treaty fishing.
  2. Payments made under the Cobell Settlement Agreement for the Land Buy-Back for Tribal Nations are excluded when determining countable income. When determining countable resources, they are excluded for twelve months from the date of receipt. See the Claims Resolution Act of 2010, P.L. 111-291, Section 101 (f) for more information.

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