Library: Policy
317:35-5-41.6. Trust accounts
Rule text available at Oklahoma Health Care Authority website.
INSTRUCTIONS TO STAFF 317:35-5-41.6
Revised 6-1-21
1. Effective September 1, 2016, home property in a revocable trust is considered an available resource. When an individual's home property is in a revocable trust, the worker informs the individual, or his or her representative, that the home property exemption does not apply unless the property is removed from the revocable trust. The worker provides the individual, or his or her representative, with Form 08AD092E, Client Contact and Information Request, giving the individual 10-calendar days to provide proof the property was removed from the trust.
(1) When the individual does not remove the property from the trust and the value exceeds the resource limit, per Schedule VIII.D of Oklahoma Human Services Appendix C-1, Maximum Income, Resource, and Payment Standards, the worker denies or closes the SoonerCare (Medicaid) benefit.
(2) When the individual:
(A) lives in the home and provides proof the home was removed from the revocable trust, it is excluded as home property;
(B) does not live in the home or a nursing facility and does not plan to return home, he or she must take steps to convert the property for use in meeting his or her current needs, per Oklahoma Administrative Code (OAC) 317:35-5-41.1(b)(1); or
(C) lives in a nursing facility, refer to OAC 317:35-5-41.8 for the home property exemption time frame.
2. Refer to OAC 317:35-5-41.9(c)(1) for rules regarding how to consider Oklahoma Achieving a Better Life Experience Program savings or trust accounts.
3. Supplemental Security Income rules no longer consider cash or in-kind assistance provided to meet an individual's need for clothing to be income.
4. (a) Expenditures from a Medicaid Income Pension Trust (MIPT) must be submitted to Adult and Family Services (AFS) Health Related and Medical Services (HR&MS) staff for approval. Without AFS HR&MS approval, it is an unapproved expenditure and an overpayment written for the month when the funds were spent. To prevent an overpayment, the trustee is responsible for ensuring the MIPT is fully funded. To obtain approval, the worker:
(1) mails or emails the HR&MS mailbox with information regarding the cost and medical need of the expenditure;
(2) images supporting documents in the case record, such as a health professional's statement verifying the expenditure is a medical necessity or a cost statement; and
(3) documents the request in Family Assistance/Client Services case notes.
(b) Examples of medically-necessary expenditures HR&MS may approve include dental work and hearings aids.
(c) HR&MS does not approve:
(1) medically-necessary items that Medicare or the nursing facility is required to provide, such as diapers, lift chairs, wheelchairs, or walkers; or
(2) expenditures that are not medically necessary, such as the extra cost associated with a private room, transportation, or vacations.
