Study time for SIPS

The California Department of Social Services (CDSS) has issued instructions about counting study time for Welfare-to-Work (WTW) participants in a Self-Initiated Program (SIP).  A SIP is an education program that the WTW participant was enrolled in at the time of WTW appraisal and is calculated to lead to employment.

Previously, CDSS’ policy was that unsupervised homework time did not count toward WTW participation for SIPs.  Effective July 1, 2018, homework time can be included as part of a SIP.  Unsupervised homework time for SIPs will be counted in the same manner as for other education programs, which is that countable homework time cannot exceed one hour for each hour of class time.

CDSS also reminds counties that SIP participants are entitled to supportive services like all other WTW participants which includes supportive services for homework time and for distance learning.

SIP participants are subject to the WTW 24 month time limit.  Many SIP participants can meet CalWORKs federal standards through vocational education or concurrent WTW activities.  In that instance, the months do not count toward the 24 month clock.  In addition, satisfactory progress in a SIP can qualify a participant for an extension of the 24 month clock. (ACL 18-115, September 11, 2018.)

Increase in Temporary Homeless Assistance payment amount

The California Department of Social Services (CDSS) has issued instructions implementing AB 1811 increase the temporary homeless assistance payment amount.  Temporary homeless assistance pays for up to 16 days of temporary shelter while a family searches for permanent housing.

Effective January 1, 2019, the daily payment rate for temporary homeless assistance will increase to $85 per day for up to a family of four.  Each additional family member will get $15 per day with a maximum for the family of $145 per day.  This increase also applies to homeless assistance for persons fleeing domestic violence and homeless assistance for CalWORKs family reunification cases.  (ACL 18-106, September 12, 2018.)

CalWORKs underpayments versus supplemental payments

The  California Department of Social Services has issued instructions about CalWORKs underpayments and supplemental payments.

An underpayment occurs when the applicant or recipient receives less than the amount of aid they are entitled to in any given month.  Counties must take all reasonable steps to promptly correct underpayments.  Counties must correct underpayments for current recipients no later than the next annual redetermination or date of termination of benefits, whichever is earlier.  For reapplications and requests for restoration of aid, counties must correct underpayments within 60 days of the date aid is granted.  In all other cases, counties must correct underpayments within 60 days of a request for review.

Underpayments do not occur when the client does not voluntarily report a mid-period change.

Counties can offset overpayments from underpayments.  However, prior to offsetting, the county must properly establish the overpayment and provide a notice of action to the client.

A supplemental payment is issued to a recipient for the current month when the county recalculates the grant for the current month because of a change in circumstances and determines a client is eligible for a larger payment than was issued.  Supplemental payments are not subject to offsetting with overpayments.  Mid-period supplemental payments from a voluntary mid-period report are not underpayments and are not subject to offsetting.

An overpayment is any amount paid that the assistance unit was not entitled to.  An overpayment does not occur when an applicant or recipient fails to perform an act that is a condition of eligibility for aid, the failure to act is caused by state agency or county error and the amount of aid would have been the same if the condition had been performed.

Counties cannot demand repayment of nonfraudlent overpayments that are less than $35 from persons no longer receiving aid.  Counties can demand repayment of nonfraudlent overpayments that are more than $35 from persons no longer receiving aid but no further collection efforts can be made if the county determines that the cost of collection is more than the amount to be recovered.  (ACIN I-45-18, July 19, 2018.)

Stepsibling or half-sibling opt-out of CalWORKs Assistance Unit

CDSS has issued instructions regarding SB 380.  Effective November 1, 2018, a CalWORKs assistance unit can receive full child support payments for a stepsibling or half-sibling of an eligible child instead of cash aid for the step/half sibling.  Those child support payments will not be considered in determining CalWORKs eligibility or grant amount.

Current law requires that most CalWORKs applicants and recipients assign their right to collect child support to the county. Current law also requires that the income of the sibling of an eligible child living in the same home as the eligible child be counted as income for CalWORKs.

The new rule allows CalWORKs applicants or recipients to exclude the needs of stepsiblings or half-siblings when determining the amount of CalWORKs the family will receive and allows such families to keep all current child support payments made on behalf of that child if: (1) The stepsibling or half-sibling lives with at least one eligible child; (2) He or she is a child for whom child support payments are received; (3) The amount of current child support received for that child is greater than the cash aid amount for that child and (4) The parent or caretaker relative requests in writing that the child not be included in determining the CalWORKs grant amount.

The stepsibling or half-sibling is considered when determining the maximum amount of income the family can have and be eligible for CalWORKs.  The stepsibling or half-sibling will be eligible for CalFresh, Medi-Cal, child care and special needs.  All other eligible members of the household will continue to receive CalWORKs.

The designation of whether to exclude a step/half-sibling can only be reevaluated at redetermination or semi-annual reporting.  The parent or caretaker relative can also ask to end the exclusion of the step/half-sibling mid-period if the child support payments decrease or end. Parents or caretaker relatives will need to provide all necessary verifications for the child in order to end the exclusion mid-period.

When the stepsibling or half-sibling ages out of CalWORKs, any child support arrears collected will count as income for CalWORKs.

When a stepsibling or half-sibling receiving child support is excluded, all of that child’s income does not count for the Assistance Unit.  For example, if the child is receiving both child support and Social Security Disability, the Social Security Disability will also not count as income for CalWORKs.

Social Security dependent’s benefits are considered child support when determining whether a stepsibling or half-sibling can be excluded.

When determining if the child support amount a stepsibling or half-sibling exceeds the CalWORKs grant, only child support directed to that child is considered.  This means that if a child support order is unallocated among multiple children, that child support is not a basis for excluding the child.  In that situation, the family needs to seek a modification of the child support order to have it expressly allocated.

Counties must notify applicants and recipients in writing at application and at each retermination. (ACL 18-82, August 1, 2018.)

Errata to EBT surcharge free ATM network

CDSS has issued an errata to its ACIN regarding the surcharge free ATM network.

The ACIN stated that MoneyPass would be surcharge free only until September 30, 2018. The errata states that the MoneyPass Network will remain surcharge free until at least September 30, 2018.

The ACIN stated that Bank of American ATMs would be surcharge free.The errata states that cardholders withdrawing from Bank of America ATMs will incur a surcharge which will be refunded within 24 to 48 hours with no action required by the cardholder.  (ACIN I-39-18E, August 3, 2018.)

CalFresh waiver to combine reminder notice and notice of adverse action for periodic reporting

California has been granted a waiver which counties to continue to combine the reminder notice and the notice of adverse action for failure to complete semi-annual reporting.  This notice is sent to clients when they do not submit their semi-annual report on time or submit an incomplete semi-annual report.  New federal regulations require separate notices reminding clients that they failed to submit a complete periodic report and terminating benefits for not submitting a complete periodic report.  The California Department of Social Services (CDSS) issued instructions to implement the new federal regulation in ACL 18-18, summarized here.

Because of implementation challenges, CDSS requested a waiver of the federal regulation requiring separate reminder and termination notices.  The federal government approved the waiver for two years, effective May 1, 2018.  The waiver allows continuing the current practice of combining the reminder notice and the termination notice when the client does not timely complete their semi-annual report.

The waiver requires counties to send the combined reminder notice and termination notice no later than 10 days from the date the report should have been submitted, and, if the household files a complete report during the 10 day period following the combined notice, benefits shall be issued no later than 10 days after the normal issuance date.

As a result, CDSS will continue to use the existing NA 960 X (report not received) and NA 960 Y (report incomplete) notices and ACL 18-18 is no longer in effect.  (ACL 18-74, June 22, 2018.)