Budgeting "Change Reporting" Cases
July 2001
The following questions and answers deal with AGs who are subject to change reporting. These situations illustrate how changes in income and AG composition are to be handled in accordance with rule 5101:4-7-01 of the Administrative Code.
Question #1 - A change reporting AG's gross income is $860 ($200 per week x 4.3). In months when the AG receives four pays, is the AG eligible for increased benefits in accordance with rule 5101:4-7-01 of the Administrative Code?
Answer - No. There has been no change in the weekly income amount.
Question #2 - The Smiths are a change reporting AG. On September 7, the county agency is informed that Mr. Smith has left the home. He had earned income of $300 per month. Are the remaining members of the AG eligible for a supplement based on a loss of more than $50 per month of income, if the county agency opts to process the change prior to October?
Answer - No. Mr. Smith was properly included in the AG for September. His income is used for that AG for September. The earliest date the remaining members' allotment would reflect the loss of Mr. Smith and his income is the allotment to be issued for October.
Question #3 - A member of a change reporting AG has earned income of $4.50 per hour and works 40 hours per week. The gross monthly income was calculated to be $774 ($4.50 x 40 = $180 x 4.3 = $774 per month). On January 3, the AG reports and verifies the hourly rate of pay was decrease by 20¢ per hour. Is the AG entitled to an increase for January, if the county agency opts to process the change prior to February?
Answer - Determine the number of pays to be received in January which will actually reflect the change in the hourly rate.
$ 180 Pay #1 in January (40 x $4.50)
+ 172 Pay #2 in January (40 x $4.30)
+ 172 Pay #3 in January (40 x $4.30)
+ 172 Pay #4 in January (40 x $4.30)
$ 696January gross earned income
Divide $696 by 4 (# of pays in January) - $174 x 4.3 = $748. The loss of income is $26 ($774 - $748). The AG is not eligible for a supplement for January because the decrease in gross income was less than $50.
February's benefit is increased using $739 gross earned income ($172 x 4.3 = $739).
Question #4 - A member of a change reporting AG has earned income of $4.60 per hour and works 40 hours per week ($4.60 x 40 = $184 x 4.3 = $791 per month). On March 16, he reports and verifies that his hours were reduced to 25 per week. His last pay check in March will be his first at the 25 hours per week. Is he entitled to an increase for March, if the county opts to process the change prior to April?
Answer - Add the actual gross income amounts from each pay to be received in March.
$ 184 Pay #1 in March
+ 184 Pay #2 in March
+ 184 Pay #3 in March
+ 115 Pay #4 in March
$ 667 March gross earned income
$667 divided by 4 (# pays in March) = $166 x 4.3 = $713 per month. The loss of income for March is $78 ($791 - $713). The AG is entitled to a supplement for March based on $713 gross earned income, if the county opts to process the change in the month of change.
April's benefit is increased using $494 gross earned income ($115 x 4.3 = $494).
Question #5 - A member of a change reporting AG has been receiving worker's compensation. He reports that he did not receive his check at the regular time and he verifies he will not receive any more checks pending a decision of his eligibility. Is this a situation which would require increasing the AG's benefits in accordance with rule 5101:4-7-01 of the Administrative Code?
Answer - Yes.
Question #6 - On June 23, a member of a change reporting AG reports a loss of income of $50 or more. The AG is informed of the verification requirement and the deadline by which it must be submitted. On July 20, the AG submits verification of the loss of income. Is the AG eligible to receive increased food stamp benefits covering the month of June, if the county opts to process the change in June?
Answer - No. The AG has 10 days to provide the verification once a change is reported. This was not done, thus the date the change is considered to have been reported is July 20 (rule 5101:4-7-01 of the Administrative Code); the AG is not entitled to increased benefits for June.
Question # 7 - A change reporting AG has had weekly income of $250 ($1,075 per month). On October 5, it reports and verifies that this source of income stopped . The last check was received on October 3. What amount of income from the terminated source would be used in rebudgeting October, if the county opts to process the change for October?
Answer - $250 because the income has actually stopped.
Question #8 - A change reporting AG receives public assistance. On September 2, the county agency makes the determination that the public assistance must be terminated and prepares a ODJFS 4065 or its CRIS-E equivalent to terminate assistance for September 30. There is not enough information to process the change for food stamp benefits. How is this handled?
Answer - Rule 5101:4-6-17 of the Administrative Code speaks to the proper procedure. In this situation if the AG does not ask for a hearing prior to the end of the adverse action period, the county agency shall request the necessary verification, allowing the AG at least 10 days to provide the verification. If the verification is provided, the change is processed. If the verification is not received, the county agency shall issue an adverse action notice and take the appropriate action.
Question #9 - A member of a change reporting AG has earned income of $5.00 per hour and works 40 hours per week. The gross monthly income of $860 has been used ($5.00 x 40 = $200 x 4.3 = $860 per month). On June 23, the AG reports and verifies its last paycheck in the month will not be for a full 40 hours. The employed AG member had to take 9 hours leave without pay due to an emergency. No other pay check will be affected. Is this AG entitled to a supplement for June, if the county opts to process the change.
Answer - The change in income is calculated as follows:
$ 200 Pay #1 in June
+ 200 Pay #2 in June
+ 200 Pay #3 in June
+155 Pay #4 in June
$ 755 June gross earned income
$755 divided by 4 (# of pays in June) = $188 x 4.3 = $808 per month. $860 - $808 = $52 which entitles the AG to a supplement in June based on $808 gross earned income, if the county agency chooses to process the change in June rather that the month following the change.
Since this is a temporary change, July's budget does not have to be changed.
Question #10 - A change reporting AG was receiving income of $325 per month social security. On December 12, they report and verify that the social security income stopped in September. What is the first month the AG can receive increased benefits.
Answer - December, but no later than January.