This letter transmits new rule 5101:6-7-02 "Standards for revising community spouse income and resource allowances at a state hearing," effective September 1, 2009. The new rule replaces rule 5101:6-7-02 "Hearings involving couples separated by institutionalization," rescinded effective September 1, 2009.

The new rule sets forth the standards to be applied in a state hearing requested for the purpose of revising a Medicaid community spouse's minimum monthly maintenance needs allowance in accordance with rule 5101:1-39-24, or the community spouse resource allowance in accordance with rule 5101:1-39-36.1. In so doing, this rule incorporates by reference the definitions set forth in those rules and the standards for evaluating income and resources.

It clarifies existing procedures and includes changes in response to a recent federal statutory change in 42 U.S.C. 1396r-5. That section requires each state to make the income of the institutionalized spouse available to a community spouse for purposes of satisfying the community spouse monthly income allowance. This requirement effectively reduces the instances in which more resources of the institutionalized spouse must be made available to the community spouse in order to satisfy the community spouse income allowance. The new standard is in rule 5101:1-39-24, and the adoption of new rule 5101:6-7-02 makes the two rules consistent.