California Department of Social Services - State Hearings Division
Notes from the Training Bureau - July 3, 2002

This ACIN provides answers to several questions concerning a variety of issues. Some of the answers are set out below:

INCOME VS. RESOURCES-REGULARLY RECEIVED PAYMENTS

MPP §63-502.142 includes Disability Insurance Benefits (DIB), Unemployment Insurance Benefits (UIB) and Workers' Compensation benefits as unearned income. Normally, those benefits are treated as income in the month received. This ACIN states that per MPP §63-501.111, if such payments are received for prior months, they are treated as a resource, instead of income.

The key factor in determining whether receipt of DIB, UIB or Workers' Compensation is treated as income or a resource is whether the payments are part of a "clearly established payment pattern". This ACIN then refers to a "regular payment pattern" that is an interchangeable term with "clearly established payment pattern". A "regular payment pattern" would be based on the established schedule of payments (e.g., payment every 14 days, payment upon receipt of doctor's statement).

In an example provided in the ACIN, a household receives three checks covering three separate payment periods. The first check covering a period from March 1 through March 15 is issued on April 29 and is received on May 3. The second check covering March 16 through April 15 is also issued on April 29 and received on May 3. The third check covers April 16 through May 10, is issued on May 20 and received on May 26.

The first and second checks received on May 3 are treated as a resource because they cover a prior period. The third check received on May 26 is counted as unearned income in May because this payment was received in accordance with "a normal payment schedule" (which is the same as "clearly established payment pattern" and "regular payment pattern").

ADDING NEW HOUSEHOLD MEMBER-FAILURE TO PROVIDE INFORMATION

When a household reports a new household member, but fails to provide information necessary to add the new member to the household, per MPP §63-500.5(a)(2) the county is required to issue a "Request for Information" notice DFA 387. That notice requests the household to provide verification or clarification of information. The household must be given ten days to respond either by telephone or in writing.

If the household does not respond within ten days, or refuses to provide essential information to clarify circumstances, the county must send a notice of action to terminate food stamps for failure to provide information.