Tracking #2006-00470

#06-5-25-1
I:/06052501.doc
[I:/06052501.rtf]

(9 CCR 2503-1)

[Instructions:  insert the following paragraphs of the statement of basis and purpose prior to line 1115110.]
Revisions to Section 3.905.1 were final (permanent) adoption of emergency rules at the 9/8/2006 State Board meeting, with an effective date of 8/4/2006 (Rule-making# 06-6-26-1).  Statement of Basis and Purpose and specific statutory authority for these revisions were incorporated by reference into the rule.  These materials are available for review by the public during normal working hours at the Colorado Department of Human Services, Office of Performance Improvement, Boards and Commissions Division, State Board Administration.  
Revisions to Sections 3.608.1, 3.612.1, 3.612.2, 3.751.1-3.751.2, 3.752.1, 3.752.22, 3.752.27, 3.754.1, 3.755.13, 3.755.21, 3.755.41-3.755.61, 3.758.14, 3.758.17, 3.758.47, 3.760.11-3.760.32, and 3.760.43 were final adoption following publication at the 9/8/2006 State Board meeting, with an effective date of 11/1/2006 (Rule-making#'s 06-5-25-1 and 06-5-26-1).  Statement of Basis and Purpose and specific statutory authority for these revisions were incorporated by reference into the rule.  These materials are available for review by the public during normal working hours at the Colorado Department of Human Services, Office of Performance Improvement, Boards and Commissions Division, State Board Administration.  

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[Instructions:  replace lines 1117155 through 1117178.]
3.608.1  COUNTABLE RESOURCES [Rev. eff. 11/1/06]
The assistance unit’s total countable resources must be no more than $15,000. Any countable resource held by members of the assistance unit is considered in determining eligibility for the Colorado Works Program.
Countable resources include cash on hand, in a checking or savings account, or in other accounts such as certificates of deposit, and the equity value of:
A.  Real property not occupied as the home. Real property means land, including rights in land such as oil, mineral and water rights, buildings and objects affixed to land;
In order for real property to be considered a resource to the individual, the following must be determined:
1.  The actual value less encumbrances.
2.  The negotiability of the ownership interest (i.e., are there any legal restrictions prohibiting the applicant/participant from selling his/her interest in the property).
The inability of the owner to sell the property at the asking price or estimated market value does not exempt the real property as a resource. The county department must determine if the property could be sold for a lesser price and, if so, the lesser price is the value of the resource. In making this determination the county will contact two knowledgeable resources in the area of property sale and evaluation, such as, but not limited to, banks, property appraisers or mortgage companies.
The applicant/participant shall have the right to submit evidence establishing a lesser property value. Such value may be established to zero. The county shall evaluate the evidence and re-determine the property value.
3.  The degree of ownership interest is determined by the type of ownership. Generally, the types of ownership are:
a.  Sole ownership, in which the individual is the only owner; or,
b.  Shared ownership, in which the property is owned by two or more individuals. There are two types of shared ownership. Joint ownership or ownership in common in which the property is owned by more than one person, and each own equal shares in the property. Tenancy in common is where individuals own specified interests in the property.
B.  Personal property in the form of a mobile home, trailer, or the like not used as the home. Personal property means items of ownership that are not considered real property;
C.  Secondary vehicles, unless exempt under Section 3.612.2, A;
D.  Stocks, bonds and mutual fund shares;
E.  Mortgages, notes and similar properties which can be converted to cash;
F.  Cash benefits received as proceeds of fire or casualty insurance in excess of the expenses incurred to repair or replace property which was damaged, destroyed, lost or stolen;
G.  Proceeds from the sale of home property which are in excess of expenses incurred to purchase or build a replacement home, or proceeds from the sale of a property item other than the home;
H.  Items of personal property not considered to be essential to day-to-day living;
I.  Crime victim compensation to the extent that it exceeds expenses for which it was designated, i.e., medical and/or burial expenses;
J.  Any increase in the value of moneys received pursuant to the “Civil Liberties Act of 1988”  , P.L. No. 100-383; and
K.  An individual item of household goods or personal property worth more than $2,000.

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[Instructions:  replace lines 1117285 through 1117321.]
3.612.1  Exemptions from Consideration as Resources or Income [Rev. eff. 11/1/06]
For the purpose of determining eligibility for Colorado Works, the following shall be exempt from consideration as either resources or income:
A.  A bona fide loan.
B.  Benefits received under Title VII, Nutrition Program for the Elderly, of the Older Americans Act.
C.  The value of supplemental food assistance received under the special food services program for children provided for in the National School Lunch Act and under the Child Nutrition Act, including benefits received from the special supplemental food program for Women, Infants and Children (WIC).
D.  Home produce utilized for personal consumption.
E.  Payments received under Title II of the Uniform Reconciliation Act and Real Property Acquisition Policies Act; relocation payments to a displaced homeowner toward the purchase of a replacement dwelling are considered exempt for up to six (6) months.
F.  Experimental Housing Allowance Program (EHAP) payments made by HUD under Section 23 of the U.S. Housing Act.
G.  Payments from Indian judgment funds and tribal funds held in trust by the Secretary of the Interior and/or distributed per capita; and the initial purchase made with such funds (P.L. No. 98-64 and P.L. No. 97-458).
H.  Distributions from a native corporation formed pursuant to the Alaska Native Claims Settlement Act (ANCSA) which are in the form of: cash payments up to an amount not to exceed $2,000 per individual per calendar year; stock; a partnership interest; or an interest in a settlement trust. Cash payments, up to $2,000, received by a recipient in one calendar year which is retained into subsequent years is excluded as income and resources; however, cash payments up to $2,000 received in the subsequent year would be excluded from income in the month(s) received but counted as a resource if retained beyond that month(s).
I.  Assistance from other agencies or organizations that are provided for items not included in the need standard or do not duplicate a component of the need standard in total.
J.  Major disaster and emergency assistance provided to individuals and families, and comparable disaster assistance provided to states, local governments and disaster assistance organizations.
K.  Payments received for providing foster care.
L.  Payments to volunteers serving as foster grandparents, senior health aids or senior companions, and to persons serving in the Service Corps of Retired Executives (SCORE) and Active Corps of Executives (ACE) and any other program under Title I (AmeriCorps VISTA) when the value of all such payments adjusted to reflect the number of hours such volunteers are serving is not equivalent to or greater than the minimum wage, and Title II and Title III of the Domestic Volunteer Services Act.
M.  Any grant or loan to any undergraduate student for educational purposes made or insured under any programs administered by the Commissioner of Education (Basic Education Opportunity Grants, Supplementary Education Opportunity Grants, National Direct Student Loans and Guaranteed Student Loans); Pell Grant Program, the PLUS Program, scholarships given to individuals for education and training, the BYRD Honor Scholarship programs and the College Work Study Program.
N.  Any portion of educational loans and grants obtained and used under conditions that preclude their use for current living cost.
O.  Financial assistance received under the Carl D. Perkins Vocational and Applied Technology Education Act that is made available for attendance cost shall not be considered as income or resources. Attendance cost includes tuition, fees, rental or purchase of equipment, materials or supplies required of all students in the same course of study, books, supplies, transportation, dependent care and miscellaneous personal expenses of students attending the institution on at least a half-time basis, as determined by the institution.
P.  Training allowances or training scholarships granted by Workforce Investment Act (WIA) or other programs to enable any individual to participate in a training program is exempt as long as the funds do not fully duplicate a component of the Colorado Works need standard.
Q.  Payments received from the Youth Incentive Entitlement Pilot Projects (YIEPP), the Youth Community Conservation and Improvement Projects (YCCIP), and the Youth Employment and Training Programs (YETP) under the Youth Employment and Demonstration Project Act (YEDPA).
R.  Social Security benefit payments and the accrued amount thereof paid to a person when an individual plan for self-care and/or self-support has been developed under the following conditions: (1) SSI permits such disregard under such developed plan for self-care-support goal, and (2) assurance exists that the funds involved will not be for purposes other than those intended.
S.  Payments made from the Agent Orange Settlement Fund or any fund established pursuant to the settlement in the Agent Orange product liability litigation, M.D.L. No. 381 (E.D.N.Y.).
T.  Money received from the Radiation Exposure Compensation Trust Fund, P.L. No. 101-426 as amended by P.L. No. 101-510.
U.  Reimbursement of out-of-pocket expenses.
V.  Payments received by individuals because of their status as victims of Nazi persecution pursuant to P.L. No. 103-286.
W.  Individual Development Accounts (IDAs).
X.  Retirement savings accounts.
Y.  Health care savings accounts.
Z.  Income paid to children of Vietnam veterans who were born with spina bifida pursuant to P. L. No. 104-204.
AA.  Income of an applicant or participant who is attending school (student in a secondary education or undergraduate degree program) shall be considered as follows:
1.  Income received from a college work study program grant shall be exempt when it is part of a “needs-based”   package administered by the U.S. Commission of Education. Work study income which exceeds the amount specified in a needs-based package shall be considered earned income.
2.  All earned income, including earned income from WIA, that is received by a dependent child who is a full-time student or a part-time student who is not a full-time employee shall be disregarded.
BB.  Educational savings accounts.
CC.  Scholarships.
DD.  Educational stipends.
EE.  The income and resources (including any share in resources or income jointly owned or received) of an individual receiving SSI shall be disregarded for purposes of determining eligibility and payment for other members of the assistance unit.
FF.  Income tax refunds shall not be counted as income or resources in the month it is received. Any amount retained into the following month is considered a resource.
GG.  Earned Income Tax Credit (EITC) shall be exempt as income and resources for purposes of determining eligibility and payment for Colorado Works assistance.
3.612.2  Resource Exemptions for Colorado Works [Rev. eff. 11/1/06]
For the purpose of determining eligibility for Colorado Works, the following shall be exempt from consideration as a resource.
A.  One motor vehicle and an additional motor vehicle for each employed member of the assistance unit, who is employed, job ready or in a Federally countable work activity.
B.  The primary residence or homestead property of a family applying for assistance.
C.  Any real estate asset that does not produce or provide income for the participant and is not a secondary residence of the participant. 
D.  Household goods and items or personal property such as, but not limited to clothing, furniture, appliances, jewelry and other items whose individual equity value does not exceed $2,000. The equity value of personal property means fair market valueless encumbrances. Verbal agreements of indebtedness shall be accepted for this purpose only.
E.  Personal property necessary for self employment such as, sales stock, inventory or tools.
F.  Burial plots and burial insurance plans.
G.  Life or disability insurance policies that may have a cash value.