COVID-19 CalFresh emergency allotment for April 2021

COVID-19 CalFresh emergency allotment for April 2021

California has been approved to issue an emergency allotment of CalFresh for April, 2021.  All households will receive at least the maximum CalFresh allowment.  Households eligible to receive the maximum allowable allotment based on household size are now eligible to receive an emergency allotment of $95 per month. Households who are not eligible to receive the maximum allowable allotment based on household size, but whose emergency allotment would be is less than $95 per month to receive the maximum allotment will receive additional CalFresh benefits to raise their emergency allotment to the new $95 minimum.

The emergency allotment will be issued on May 16, 2021.

Moving forward, emergency allotments may be approved by FNS on a month-to-month basis until the Secretary of Health and Human Services rescinds the public health emergency.  There will be a one-month phase out of emergency allotments after the public health emergency is rescinded.  (ACWDL, April 16, 2021.)

Increase in SNAP emergency allotment

The United States Department of Agriculture has authorized paying an emergency Supplemental Nutrition Assistance Program (SNAP, CalFresh in California) to households that are receiving the maximum allotment.  Starting in April, 2021, households that had not receive at least $95 in increase benefits through emergency allotments during COVID-19 will receive emergency allotments such that they receive at least a $95 emergency allotment.

This policy changes reverses the Trump Administration’s interpretation of the Families First Coronavirus Act and resolves two lawsuits filed about that interpretation. (USDA Press Release No. 0064.21, April 1, 2021.)

CalFresh extension of allotment increase and treatment of unemployment insurance and child tax credit

The 15% increase in CalFresh benefits because of COVID-19 has been extended by the American Rescue Plan Act of 2021 to September 30, 2021.  The minimum benefit is increased to $19.  Income deductions are unchanged.

The $300 per week Pandemic Unemployment Compensation benefit is excluded as income or a resource.  Pandemic Unemployment Assistance benefits for persons who were independent contractors or self-employed and lost employment because of COVID-19 count as income for CalFresh.  Pandemic Emergency Unemployment Compensation that provides additional weeks of Unemployment Insurance counts as income for CalFresh.

Individual rebates and child tax credits under the American Rescue Plan Act of 2021 are excluded as income for CalFresh and do not count as a resource for 12 months.  (ACL I-24-21, April 1, 2021.)

Information from third-party payroll sources

The California Department of Social Services (CDSS) has issued new instructions regarding how counties should act on information received from a third-party payroll source.

Counties must verify all discrepant information received from Income Eligibility and Verification System (IEVS).  Clients are given the first opportunity at verification by the county sending the client a 10-day verification letter.  If the client fails or refuses to respond to the 10-day letter, the county must contact the appropriate income or benefits source.  CDSS considers employers and third-party payroll sources such as The Work Number to be appropriate sources for verifying IEVS discrepancies.  If the source verifies the IEVS discrepancy, the county must take action or document that no action is required.

For CalFresh, if the client does not respond and the income source does not provide sufficient information to verify a discrepant IEVS match, the county terminate CalFreh benefits.

For CalWORKs, if the income source does not provide sufficient information to verify a discrepant IEVS match, the client’s sworn statement is sufficient.  If the client fails to respond, the county must document the discrepancy for resolution with the client by the next semi-annual report or annul redetermination.  If the client does not provide sufficient information to resolve the discrepancy, the semi-annual report or annual redetermination will be considered incomplete and CalWORKs will be discontinued.

If an appropriate third-party payroll source provides information beyond what as reported in an IEVS match, the county must try to verify the discrepancy by sending the client a verification letter.  If the client fails or refuses to respond with sufficient information to resolve the discrepancy, the county must consider the income from the third-party payroll source to be verified and determine its effect on eligibility accordingly.  This includes any overpayments or overissuances for months the client did not report income over the Income Reporting Threshold, and any effect on current benefit amounts.

ACLs 16-118 and 19-08 regarding the Work Number being used in conjunction with, but not in lieu of, existing income and eligibility sources, is superseded.  (ACL 21-16, March 25, 2021.)

Treatment of the Golden State Stimulus and Golden State Grant for CalWORKs

Households receiving the California Earned Income Tax Credit for 2020 will receive a $600 one-time relief payment through the Golden State Stimulus program.  In addition, the Golden State Stimulus program will provide a one-time $600 payment to households that filed with an Individual Tax Identification Number, have income below $75,000 per year, and were precluded from receiving a federal stimulus payment.  Eligible households can receive both payments.

As a tax rebate, credit or temporary tax refund measure, Golden State Stimulus payments are not counted as income and are exempt from being counted as a resource for 12 months for CalWORKs CalFresh, and CAPI.

The CalWORKs Golden State Grant payment will provide a $600 one-time payment to eligible CalWORKs Assistance Units that will be distributed by mid-April 2021.  This payment is exempt from being considered income, and is exempt from being considered a resource for 12 months.

The CalWORKs Golden State Grant payment cannot be considered an overpayment and must be excluded from overpayment establishment and collection.

All active CalWORKs recipients as of March 27, 2021 are eligible for the CalWORKs Golden State Grant.  A family that contains a CalWORKs assistance unit may also be eligible for additional Golden State Grant payments if it includes a SSI or CAPI recipient.

Refugee Cash Assistance, Entrant Cash Assistance and Trafficking and Crime Victims Assistance Program recipients are not eligible for the CalWORKs Golden State Grant.  (ACL 21-23, March 25, 2021.)

CalWORKs, CalFresh, and other programs treatment of rebates, refunds and credits under American Rescue Plan Act

The American Rescue Plan Act of 2021 contains several tax credits and rebates, including Earned Income Tax Credit, additional child tax credits, and child and dependent tax credits.  These individual rebates are excluded from consideration as income, and as an asset for 12 months after receipt for CalWORKs, CalFresh, Refugee Cash Assistance, Entrant Cash Assistance, Trafficking and Crime Victims Assistance Program, Supplemental Security Income/State Supplementary Payments, Cash Assistance Program for Immigrants, programs that fund foster care payments, Approved Relative Caregiver program, and Emergency Assistance funding.  (ACL 21-37, March 26, 2021.)