CalFresh changes to reporting requirements

CDSS has provided implementing instructions for changes to federal regulations regarding reporting requirements.  For periodic reporting, any increase in unearned income that is less than $100 will be disregarded.  All unearned income increases must still be reported on the SAR 7 form.  However, any unearned income increases that is less than $100 reported on the SAR 7 will be disregarded.  In the future, the amount of unearned income increase that is disregarded will be adjusted annually and will be rounded to the nearest $25.

For mandatory mid-period reports, income increases over the Income Reporting Threshold (IRT) must be reported within 10 days of receipt of the first payment attributable to the change, that is, the first payment that places the household over the IRT.  For mandatory mid-period reporting of a drop in ABAWD work hours below 20 hours per week, the household must report within 10 days of the date the drop in ABAWD work hours becomes known to the household.

Federal regulations now specify that counties must send a reminder notice to households that do not submit a complete SAR 7 form by the filing date.  If a household fails to submit a complete SAR 7 report by the 5th of the month, the county must provide a reminder notice advising that household that it has 10 days to submit a complete SAR 7.  This includes failure to submit a SAR 7 at all and submitting a SAR 7 by the due date but the SAR 7 is missing required information.  CDSS developed a new reminder notice for this purpose.  If the household does not respond within 10 days, the county will send the appropriate notice of action.  (ACL 18-18, February 16, 2018.)

CalFresh Maximum Certification Periods

CDSS has provided information about amendments to Welfare and Institutions Code Section 18910.1 that requires counties to assign the maximum certification period allowable for the household type.  The maximum certification period is generally 12 months.  Households in which all adult members are elderly or disabled are certified for 24 months.  Households with only elderly and/or disabled members with no earned income are assigned a 36 month certification period.

Any determination of a certification shorter than 12 months should be made on a case-by-case basis.  (ACL 17-101, December 22, 2017.)

Eligible foods for SNAP purchases

The United States Department of Agriculture Food and Nutrition Service (FNS) has issued policy about which foods are eligible for purchase with Supplemental Nutrition Assistance Program (SNAP, known as CalFresh in California) benefits.

In general, food items intended for human consumption are eligible for purchase with SNAP.  This includes cooking ingredients normally consumed only after being incorporated into food with other ingredients, vegetable products imparting flavor to food and items not labeled as food such as water and ice.

Certain non-food items can also be purchased with SNAP including

  • garden seeds and plants used to produce food for human consumption
  • military commissary surcharges
  • container deposits under state law
  • sales tax only if it is included in the shelf price of an eligible item.

Items excluded from purchase with SNAP include:

  • alcohol
  • tobacco and nicotine delivery products
  • hot food, which is defined as foods and beverages that are hot at the point of sale
  • prepared food intended for on-premises consumption, but prepared food intended for off-premises consumption is eligible as long it is not hot at the point of sale
  • firearms, ammunition and explosives
  • medicines and dietary supplements; live animals, except for shellfish
  • fish as long as they are removed from water prior to removal from the sales premises, and other animals live at the point-of-sale if they are slaughtered prior to removal from the premises
  • gift baskets if the value of non-food items is over half of the purchase price
  • non-food items
  • fees, including retailer fees for the delivery of food and grocery bag fees
  • sales tax unless it is included in the shelf price of an item.

(RPMD Policy Memorandum 2018-2, January 16, 2018.)

CalFresh Employment and Training Program ABAWD Deferral

CDSS has issued guidance regarding AB 563 which defers individuals who are considered Able-Bodied Adults Without Dependents (ABAWD) from mandatory placement in the CalFresh Employment and Training (E & T) Program.

AB 563 expands the deferral criteria from CalFresh E & T to include individuals subject to the ABAWD time limit which limits eligibility to three full months in a 36-month period for people between ages 18 and 50 who are not disabled and who do not have children.  Counties that choose to operate CalFresh E & T programs must continue to screen work registrants to determine whether they will participate in or be deferred from mandatory CalFresh E & T placement.  Deferred individuals may voluntarily participate.  Note that as of the publication of this letter, all CalFresh E & T programs in California are voluntary.

AB 563 also adds job search training, Workforce Innovation and Opportunity Act activities, self-employment training and job retention and allowable components of CalFresh E & T programs.  The statute also adds subsidized employment as an allowable CalFresh E & T program component, but implementing that is contingent on approval of a federal waiver to allow federal E & T funds to be used for subsidized employment.  (ACL 18-11, January 25, 2018.)

CalFresh ABAWD Handbook

CDSS has released a handbook about the CalFresh Able-Bodied Adults Without Dependents (ABAWD) time limit.  The handbook provides policy guidance regarding implementation and administration of the ABAWD time limit.

California has had a statewide wavier of the ABARD time limit since 2008 because of a high statewide unemployment rate.  The waiver will expire on August 31, 2018.  Some geographic areas of the state will be ineligible for continuation of the waiver.  Counties that lose waiver eligibility will be required to implement the ABAWD time limit beginning September 1, 2018.  The ABAWD rule limits receipt of Supplemental Nutrition Assistance Program (CalFresh in California) to three full months in a 36-month period for people between ages 18 and 50 who are not disabled and who do not have children.

The handbook includes a general overview of the ABAWD time limit, guidance on exemptions and how to satisfy the ABAWD work requirement.  The handbook also addresses counting months of ABAWD participation, losing and regaining CalFresh eligibility and tracking ABAWD eligibility and participation.  (ACL 18-08, January 26, 2018.)

Veterans’ education, training, vocation or rehabilitation benefits and CalWORKs

CDSS has issued instructions implementing SB 570 regarding CalWORKs treatment of Veterans education, training, vocation or rehabilitation benefits.  Effective January 1, 2018, Veterans Administration benefits for education, training, vocation or rehabilitation are exempt as income for purposes of CalWORKs for veterans, dependents of veterans and spouses of veterans who either died in the line of duty or have a service-connected disability.  Asset rules continue to apply these benefits, meaning that they are considered property in future months.

The exemption also applies to households categorically eligible for CalFresh because they receive CalWORKs.  The exemption does not apply to CalFresh only households.

Veterans benefits now excluded as income for CalWORKs include but are not limited to GI Bill, Vocational Rehabilitation and Employment Services, Yellow Ribbon Program, Survivors and Dependant Assistance Program, Tutorial Assistance, License and Certification Reimbursement, National Call to Service Program, Compensated Work Therapy and Work Study.

Counties must create a manual business process to implement the veterans benefits exclusion until each respective computer consortia is programmed to implement the exclusion.  (ACL 17-125, December 29, 2017.)