CalWORKs Homeless Assistance shared housing

The California Department of Social Services (CDSS) has provided questions and answers regarding CalWORKs Homeless Assistance shared housing.  Effective January 1, 2020, CalWORKs families may use homeless assistance payments to rent from any person or establishment with whom they have a valid lease, sublease or shared housing agreement.

For temporary homeless assistance, a lease is not necessary and any form of documentation showing the address, dates of stay, rent, and contact information of the provider is acceptable.  For permanent homeless assistance, the agreement must show the rent the CalWORKs family is paying to determine if the rent exceeds 80% of total monthly income.

For a long-term sublease or shared housing agreement for permanent homeless assistance, there should be documentation that the family is legally allowed to reside in the property, and that the sublease or shared housing agreement does not violate the original lease.  For short-term housing agreements for temporary homeless assistance, counties need to confirm that allowing a short term guest does not violate the terms of the original lease.  A statement from the tenant providing the housing is sufficient.

If the county cannot verify that there is a valid rental agreement, the county can contact the landlord with permission of the CalWORKs family.  This contact can be done by phone.  If contact cannot be made, a sworn statement from the client is sufficient.

There are no homeless assistance regulations regarding the maximum number of people per room.  There are also no requirements for the county to do a habitability check on the property prior to approving homeless assistance.

For temporary homeless assistance, the shared housing agreement is sufficient verification that the benefits were spent on shelter.  If counties want additional verification, a statement from the housing provider or a sworn statement from the client is adequate.

Temporary homeless assistance is a set amount, and the family is entitled to that amount even if their shelter cost is less than that amount.

Counties must comply with the assistance unit’s request to issue homeless assistance to the assistance unit or to the provider unless there is a finding of mismanagement of funds.

Families are not required to use their 16 nights of temporary homeless assistance in the same location.

Permanent homeless assistance can be used to pay security deposits.  This includes payment of the client’s share of an existing security deposit that is paid to the housing provider.

Temporary homeless assistance cannot be replaced when a housing provider breaks an agreement to provide housing.

There is no requirement that providers have a tax ID number.  If it is not possible to issue a vendor payment, counties should issue homeless assistance directly to families despite a mismanagement finding because they are entitled to the benefits.

Clients not providing receipts verifying that homeless assistance funds were spent on housing is not a basis for assessing an overpayment.  Not providing receipts is a basis for a finding of mismanagement of funds and subsequent benefits being issued by vendor payments.  The only time homeless assistance can be an overpayment is when the family was not eligible for the benefits when they received them.

The allowance of shared housing in homeless assistance does not change CalWORKs or CalFresh rules regarding how to treat rental payments when families are sharing housing.

(ACIN I-52-20, June 30, 2020, and ACIN I-52-20E, December 15, 2020.)

CalWORKs Zero Basic Grant implementation

The California Department of Social Services (CDSS) has provided questions and answers regarding CalWORKs Zero Basic Grants (ZBG) caused by changes in the Income Reporting Threshold.  Effective June 1, 2020, assistance units must report income over their IRT, but remain eligible for CalWORKs until their income is over the Tier 2 IRT, which is now 130 percent of the federal poverty level.  This change will allow families with net non-exempt income greater than the maximum aid payment but under 130% of the federal poverty level to remain eligible for CalWORKs but with a zero grant.  In addition, assistance units with a penalty that reduces the grant to zero, assistance units with a grant amount under $10, families with a grant reduced to zero by overpayment adjustment and families with grant based On-the Job training that is diverted to the employer to offset wages have a ZBG.

Assistance Units  with ZBG are eligible for homeless assistance, Welfare-to-Work supportive services, Stage 1 child care, pregnancy and other recurring and nonrecurring special needs, and home visiting program services.

Assistance Units with ZBG must make all mandatory reports.  ZBG recipients are required to participate in Welfare-to-Work unless they are exempt.  The 48-month time clock will not tick because of income exceeding the maximum aid payment but under 130% of the federal poverty level.  However, the clock will tick for ZBG cases where the grant is under $10 because of overpayment recoupment and for months when the assistance unit receives homeless assistance or another non-recurring special need.  (ACIN I-53-20, June 30, 2020.)

COVID-19 extension of suspension of CalWORKs time on aid and verification requirements

The California Department of Social Services has issued guidance implementing Executive Order N-69-20 which extends several COVID-19 changes to the CalWORKs program.

The CalWORKs 48-month time on aid clock will remain stopped through August, 2020.  The requirement for providing medical verification of pregnancy before approving benefits continues to be suspended until August 14, 2020.  The requirement for CalWORKs applicants to provide photo identification continues to be suspended until August 14, 2020.  The requirement for signatures on the application and rights and responsibilities forms continues to be suspended until August 14, 2020.  The requirement that CalWORKs applicants be personally interviewed before being approved for benefits continues to be suspended until August 14, 2020.  Details about the verification suspension are in All County Welfare Directors Letter May 4, 2020, summarized here.

The verification suspension also applies to Refugee Cash Assistance, Entrant Cash Assistance and Trafficking and Crime Victims Assistance Program.  (ACWDL, June 16, 2020.)

COVID-19 processing IEVS matches

The California Department of Social Services (CDSS) has issued guidance regarding processing IEVS matches because of COVID-19.  Processing of Recipient-IEVS matches for March, April, and May, 2020 are suspended.  Counties must not process Recipient-IEVS matches received during March, April, and May, 2020.  Counties have been granted an extension of the IEVS follow-up timeframes.

However, processing continues of matches from the Payment Verification System, which includes information on CalWORKs and CalFresh recipients who receive or are entitled to Social Security, Unemployment Insurance and State Disability Insurance benefits.

Pandemic Unemployment Compensation, Pandemic Unemployment Assistance and Pandemic Emergency Unemployment Compensation all count as income for CalFresh.  Pandemic Unemployment Assistance and Pandemic Emergency Unemployment Compensation count as income for CalWORKs.  Pandemic Unemployment Compensation does not count as income for CalWORKs but counts as income for CalWORKs applicants.

CDSS is working with the Employment Development Department to develop an electronic match for Pandemic Unemployment Compensation, Pandemic Unemployment Assistance and Pandemic Emergency Unemployment Compensation.

For CalFresh, if a recipient responds to a notice of adverse action with by stating they receive Pandemic Unemployment Compensation, Pandemic Unemployment Assistance and Pandemic Emergency Unemployment Compensation, the county must verify receipt of those benefits and take appropriate action.

For CalWORKs, any Unemployment Insurance benefits with be added to other earned income and exceed the Income Reporting Threshold to be considered a missed mandatory report.  If the county discovers the recipient may have missed such a report, the county must send the recipient a verification letter to request verification of Unemployment Insurance, Pandemic Unemployment Assistance, or Pandemic Emergency Unemployment Compensation.

Beginning June 1, 2020, all IEVS matches will continue except for the Annual IRS Match, which will not resume until 2021.

Cases of suspected fraud must still be referred to Special Investigative Units (SIU) regardless of any temporary waiver periods or restrictions because of COVID-19.  SIUs can continue to conduct face-to-face interviews.   No application or benefits should be delayed, denied or interrupted without sufficient evidence to take case action.  (ACWDL, June 5, 2020.)

MBSAC increase

The California Department of Social Services (CDSS) has informed counties that the CalWORKs Minimum Basic Standard of Care (MBSAC) will increase by 3.72% effective July 1, 2020.  This will increase the MBSAC in Region 1 to $741 for a 1 one person assistance unit, $1,216 for a 2 person assistance unit, $1,507 for a 3 person assistance unit and increasing with increases in assistance unit size.  The MBSAC for Region 2 will increase to $703 for a 1 one person assistance unit, $1,155 for a 2 person assistance unit, $1,430 for a 3 person assistance unit and increasing with increases in assistance unit size.

The same increase will apply to the MBSAC for Refugee Cash Assistance, Entrant Cash Assistance and Trafficking and Crime Victims Assistance Program.  The same increase will apply to the CalWORKs Income in-kind level.  (ACL 20-60, May 29, 2020.)