Library: Policy

OKDHS:10-1-16. Income other than earned income

Issued 4-1-98

(a)

Capital investments

. Proceeds, i.e., interest or dividends from capital investments, such as savings accounts, bonds other than U.S. Savings Bonds, Series A through EE), building and loans, notes, mortgages, etc., received subsequent to certification constitute income.

(b) Real property held as reserve. If the client has income from property held as a reserve, only the income (after deducting the actual business expense) is considered.

(d) Minerals. If the client owns minerals, but not the surface, only actual income from minerals, delayed rentals, or production is considered. If the client owns both mineral rights and surface on a piece of property, see (b) of this Section. For income from minerals involving life estate, see 340:10-3-4(c). Evidence is obtained from documents which the client has in hand. When the client has no documentary evidence of the amount of income, the evidence is secured from the firm or person who is making the payment.

(e) Home produce. Any home produce from garden, livestock and poultry utilized by the recipient and his or her household for their consumption (as distinguished from such produce sold or exchanged) represents resourcefulness on the part of the recipient in improving his or her situation, and is not considered in determining the amount of payment.

(f) Contributions. Appreciable contributions recurrently received in cash are considered as income except in instances where the contribution is not made directly to the recipient.

(g) Retirement, disability and unemployment benefits. Income received monthly from these sources is classed as unearned income. Information as to present receipt and amount of current OASDI benefits is obtained from the client's award letter, by using the OASDI warrant, by a signed statement from the person who cashed the warrant as to the amount, or BENDEX. If the individual states that he or she does not receive OASDI, has a pending application or has been denied OASDI, this can be verified by use of Form SSA-491TC, Third Party Query Card. Retirement benefits received as a lump sum payment at termination of employment are considered a resource. Supplemental Security Income (SSl) does not fall under these types of benefits.

(h) Military benefits. Life insurance, pensions, compensation, servicemen dependents' allowances and the like, are all sources of income which the recipient or dependents may be eligible to receive. In each case under consideration, information is obtained as to whether the client's son, daughter, husband or parent, has been in any military service. Clearance is made with the proper veterans agency, both state and federal, to determine whether the benefits are available.

(I) Income from any agency or organization. Financial aid provided to individuals by agencies or organizations which base their payment on financial need is not considered in determining the amount of the assistance payment. Duplication does not exist between such other assistance and that provided by the Department. Financial aid given by other agencies or organizations does not constitute duplication under any of the following circumstances:

(1) The financial aid is given for a different purpose than that provided by the Department.
(2) The financial aid is given for goods and services that are not included in the AFDC standard of the Department. For instance, a private agency might provide money for special training for a child or Housing and Urban Development payment might be provided to cover moving expenses that are not included in the Department's assistance standard.
(3) The financial aid is given in an amount sufficient to make it possible for the client to have the amount of money as determined by the AFDC need standard. In this instance, the non-duplicated amount is the difference between the monthly payment standard and the monthly need standard. Any amount of financial aid that exceeds that difference is considered as unearned income.

(j) Income from vocational rehabilitation program - (Rehabilitation Services Division). Assistance or services received by a public assistance recipient from the Vocational Rehabilitation Program (Rehabilitation Services Division) which are allocable to items not covered in the AFDC standards, such as car fare to a rehabilitation center, extra clothing, lunches, grooming needed for a training program and any other such complementary payments, are disregarded in determining the amount of the assistance payments.

(k) Casual and inconsequential gifts. Monetary gifts which do not realistically represent income to meet living expenses, e.g., Christmas, graduation and birthday gifts, not to exceed $30 per calendar quarter for each individual, are disregarded as income. The amount of the gifts are disregarded as received during the quarter until the aggregate amount has reached $30. At that time the portion exceeding $30 is counted as lump sum income. If the amount of a single gift exceeds $30, it is not inconsequential and the total amount is therefore counted. If the recipient claims that the gift is intended for more than one person in the assistance unit, it is allowed to be divided. Gifts between members of the assistance unit are not counted.

(I) Grants. Grants which are not based on financial need are considered income to the extent the grant is available for current maintenance. The budgetary items used to determine current maintenance are found in 340:10-3-55. Any portion of the grant that is expended, designated or intended for items not included in current maintenance is excluded. Any remaining portion of a grant excluded as not for current maintenance must have detailed case documentation to justify the exclusion. The countable amount of a grant received for a period covering more than one month is prorated over the period it is intended to cover and considered prospectively.

(m) Funds held in trust by Bureau of Indian Affairs (BIA). The BIA frequently puts an individual's trust funds in an Individual Indian Money (IIM) account. To determine the availability of funds held in trust in an IIM account, the social worker must contact the BIA in writing and ascertain if the funds, in total or any portion, are available to the individual. If any portion of the funds is disbursed to the individual client, guardian or conservator, such funds are considered as available income. If the BIA determines the funds are not available, they are not considered in determining eligibility. Funds held in trust by the BIA and not disbursed are considered unavailable.

(1) In some instances, BIA may determine the account is unavailable; however, they release a certain amount of funds each month to the individual. In this instance the monthly disbursement is considered as unearned income.
(2) When the BIA has stated the account is unavailable and the account does not have a monthly disbursement plan, but a review reveals a recent history of disbursements to the individual client, guardian or conservator, these disbursements must be resolved with the BIA. These disbursements indicate all or a portion of the account may be available to the individual client, guardian or conservator. When the county office is unable to resolve the situation with the BIA, the county submits a referral to the appropriate section in Family Support Services Division (FSSD). The referral must include specific details of the situation, including the county's efforts to resolve the situation with the BIA. If FSSD cannot make a determination, a legal decision regarding availability will be obtained by FSSD, and then forwarded to the county office by FSSD. When a referral is sent to FSSD, the funds are considered as unavailable with a legal impediment until the county is notified otherwise.
(3) At each reapplication or redetermination, the social worker is to contact BIA to obtain information regarding any changes as to the availability of the funds and any information regarding modifications to the lIM account. Information regarding prior disbursements is also obtained at this time. All of this information is reviewed for the previous six or twelve-month period, or since the last contact if the contact was within the last certification or redetermination period.
(4) When disbursements have been made, the worker determines whether such disbursements were made to the client or to a third party vendor in payment for goods or services. Payments made directly from the BIA to vendors are not considered as income to the client. Workers should obtain documentation to verify services rendered and payment made by BIA.
(5) Amounts disbursed directly to the clients are counted as non-recurring lump sum payments in the month received. Some trusts generate income on a regular basis and the income is sent to the beneficiary. In those instances, the income is treated as unearned income in the month received.