Ariz. Admin. Code § 6-12-403

Current through Register Vol. 30, No. 50, December 13, 2024

Section R6-12-403 - Treatment of Resources; Exclusions

The Department shall exclude the equity value of the resources listed below, as provided in this Section. These resource exclusions shall also apply to a person whose resources are considered available to an assistance unit.

1. The usual residence of the assistance unit members;

2. One burial plot for each member of the assistance unit;

3. Household furnishings used by the assistance unit members in their usual place of residence, and personal effects essential to day-to-day living;

4. Up to $1500 of the value of one bona fide funeral agreement, for each member of the assistance unit. The funeral agreement or burial plan must cover only funeral-related expenses, as evidenced by a written contract;

5. The value of all motor vehicles, including recreational vehicles.

6. When an assistance unit member owns real property, other than the usual residence described in subsection (A)(1) above, and is making a good faith effort to dispose of it, the equity value shall be excluded for six months, subject to the conditions listed in this subsection;

a. The assistance unit member shall sign an agreement to:

i. Dispose of the property; and

ii. Repay the Department, from the net proceeds of disposal, the amount of any assistance the unit receives during the period of time the unit would otherwise have been ineligible because the property value exceeded resource limitations;

b. The amount repaid shall not exceed the net proceeds of disposal;

c. If the assistance unit member does not dispose of the property within six months, the Department shall write an overpayment and the assistance unit shall repay any assistance received during that period;

7. A financial account that is used only for a self-employment business;

8. Funds in the following types of retirement accounts or retirement plans, established by employers in accordance with federal Internal Revenue Services regulations:

a. A 401A or 401K plan,

b. A 457 or 457(b) plan,

c. A Federal Employees Thrift Savings Plan,

d. An Irrevocable Annuity plan,

e. A KEOGH plan that involves a contract with a person who is not an assistance unit member,

f. A Section 403(a) or 403(b) plan,

g. A Section 408 or 408A plan,

h. A Section 501(c)(18) or 501(g)(18) plan;

9. Funds in the following educational savings accounts operated by a state or educational institution in accordance with federal Internal Revenue Services regulations:

a. A 529 account,

b. A 530 account;

10. Educational grants issued under programs administered by the U.S. Commissioner of Education, when the assistance is made available for school attendance costs, including the following:

a. BEOG\PELL, SEOG and NDSL grants;

b. Work Study programs;

c. Assistance provided by the Carl D. Perkins Vocational and Applied Technology Education Act;

11. Any grant, scholarship, educational loan, or other award that is not administered by the U.S. Commissioner of Education, when such assistance covers the costs of items not included in the CA need standard;

12. The cash value of a grazing permit issued by a tribal or other governmental authority, when the land used for the grazing permit is adjoining a permit holder's homestead;

13. Any amount up to $2000 received from the following American Indian claims or funds:

a. Alaska Native Claims Settlement Act payments received under the Sac and Fox Indian claims agreement as specified in Public Law 92-203, Section 21 (a);

b. Per capita payments from judgment funds awarded by the Indian Claims Commission of the U.S. Court of Federal Claims as specified in Public Law 97-458 for the Colorado River Indians;

c. Individual Indian's interests in trust or restricted lands and payments from these interests as specified in Public Law 103-66. Interests include the Indian's right to or legal share of the trust or restricted land and any income accrued;

d. The Indian Gaming Industry per capita disbursement funds placed in an inaccessible trust by the tribe as specified in Public Law 98-64;

e. Payments made to members of Indian tribes in settlement for land as specified in Public Law 100-580;

14. Money loaned to the assistance unit from any source and for any purpose;

15. Funds received from the Navajo Nation Needy Children's Fund;

16. Payments made by the Federal Emergency Management Agency (FEMA) or Federal Disaster Relief Act for any of the following:

a. Federal major disaster;

b. Natural catastrophe;

c. Emergency assistance;

d. Comparable disaster assistance provided by states, local governments, and disaster assistance organizations;

17. When self-employment from farming is terminated, farm property, including land, equipment and supplies shall be excluded as a resource for 12 months. This period of exclusion begins on the date the self employment from farming stops;

18. Funds available from sources of excluded income contained in R6-12-503(8), (13), (15), (22), (38), (39), (40), (41), (42), and (43);

19. Any other resource specifically excluded by state or federal law.

Ariz. Admin. Code § R6-12-403

Adopted effective November 9, 1995 (Supp. 95-4). Amended by exempt rulemaking at 16 A.A.R. 1141, effective July 1, 2010 (Supp. 10-2).

The following Section was amended under an exemption from the provisions of A.R.S. Title 41, Chapter 6, pursuant to Laws 1997, Ch. 300, § 74 (A). Exemption from A.R.S. Title 41, Chapter 6 means the Department did not submit notice of proposed rulemaking to the Secretary of State for publication in the Arizona Administrative Register; the Department did not submit these rules to the Governor's Regulatory Review Council for review and approval; and the Department was not required to hold public hearings on this Section.