SR 13-22 Dated 07/12

STATE OF NEW HAMPSHIRE

INTER-DEPARTMENT COMMUNICATION

SUMMARY

This SR releases changes in the treatment of AmeriCorps Volunteers in Service to America (VISTA) payments when determining eligibility and benefit allotment for Food Stamp (FS) applicants and recipients. Since October 2002, all payments from AmeriCorps and AmeriCorps VISTA programs were excluded as earned income when determining FS income eligibility and benefit allotment. Now the type of payment made to the AmeriCorps volunteer, and whether or not the applicant or recipient was receiving FS benefits or financial assistance when he or she joined a VISTA program, will dictate if the AmeriCorps payment is excluded or counted in the FS eligibility and benefit determination process.

This policy change:

�   applies to an extremely small number of individuals statewide who are FS benefit applicants or recipients who also receive payments from AmeriCorps VISTA programs; and

�   clarifies and augments the policy described in the revised Director's Memo issued on August 12, 2012, dated August 8, 2012, subject line Treatment of AmeriCorps Income that replaced the previous Director's Memo issued on August 10, 2012 that was also dated August 8, 2012, and titled Treatment of AmeriCorps Income.

The treatment of AmeriCorps and AmeriCorps VISTA payments in the FANF, Medicaid, State Supplement Programs (SSP), and Child Care programs remains unchanged.

BACKGROUND

Section 4102 of the Farm Security and Rural Investment Act of 2002 (The 2002 Farm Bill), which was later codified at 7 USC 2014(d), allowed states to align certain FS income treatment policy with TANF income treatment policy when the TANF Program's treatment of the income was less restrictive than FS policy. Through administrative rule promulgation at He-W 740.01(d) and the subsequent release of this change via SR 02-32, dated October 2002, NH implemented this option in relation to the treatment of VISTA payments as this was one of the only income treatment policies in NH in which TANF policy was less restrictive than FS policy. Although the United States Department of Agriculture (USDA) Food and Nutrition Service (FNS) was informed that NH had elected this option over a decade ago, posted NH's decision about the treatment of this type of income on their website, and does not appear to have rescinded the option allowed at 7 USC 2014(d), FNS has recently reinterpreted NH's election of this option and indicated that NH must return to complying with the more restrictive treatment of this income found at 7 CFR 273.9(c)(10)(iii).

POLICY

Pursuant to 7 CFR 273.9(c)(10)(iii), payments from AmeriCorps State and National and AmeriCorps Volunteers in Service to America (VISTA) programs are treated as follows when determining Food Stamp (FS) income eligibility and benefit allotment:

�   count as earned income any payments to volunteers under Title I, including payments from the following AmeriCorps VISTA programs:

-   University Year for Action;

-   Urban Crime Prevention;

-   Campus Compact for NH;

-   Families in Transition; and

-   NH Catholic Charities, including:

- NH Food Bank;

- US First;

- Youth Venture;

- Volunteer NH; and

- Manchester Homeless Services Center.

Exception:

Exclude payments from any Title I VISTA program - if the FS applicant or recipient was already receiving FS benefits or financial assistance when they joined the VISTA program. This income exclusion remains effective even if the individual experiences a temporary interruption in receipt of FS benefits - only if the interruption is not more than 60 days and due to one of the following reasons:

�   the individual failed to recertify timely for FS; or

�   the individual was transferred to a new VISTA location and had to reapply for FS benefits in that state.

�   exclude as earned income any payments to volunteers under Title II, including payments from the following AmeriCorps State and National programs:

-   AmeriCorps Victims Assistance Program (AVAP)

-   AVAP Afterschool Program;

-   City Year;

-   Foster Grandparents;

-   Green Corps;

-   Goodwill Industries;

-   Retired and Senior Volunteer Program (RSVP); and

-   Student Conservation Association.

Verification

As of July 2012, all individuals working for any of the AmeriCorps programs have been issued a letter from the Corporation for National and Community Service. The letter identifies the specific AmeriCorps program for which the individual works and verifies the individual's employment start date. Use this letter to determine whether the income is counted or excluded when determining FS income eligibility and benefit allotment.

NOTE: Treatment of AmeriCorps and AmeriCorps VISTA payments in the FANF, Medicaid, SSP, and Child Care assistance programs remains unchanged.

NEW HEIGHTS SYSTEMS PROCEDURES AND IMPLEMENTATION

Because treatment of AmeriCorps and AmeriCorps VISTA payments in the FANF, Medicaid, SSP, and Child Care assistance programs remains unchanged and because there must still be a way to track this type of income in the Food Stamp Program, staff must continue to choose "AmeriCorps Income" or "VISTA-Excluded Income" on the Employment screen in New HEIGHTS if any applicant or recipient receives this type of income.

If the individual is applying for or receiving Food Stamp benefits and:

�   the individual's AmeriCorps or AmeriCorps VISTA income should be excluded per the policy changes released in this SR, no further action is needed.

�   the individual's AmeriCorps VISTA income must be counted per the policy changes released in this SR, the worker must take these additional steps to ensure that the AmeriCorps or AmeriCorps VISTA income is being treated properly:

1. Manually calculate the income that is countable per month by applying the Earned Income Disregard, and any other disregards allowed, pursuant to FSM PART 603, DEDUCTIONS AND DISREGARDS;

2. Enter this figure as a regular payment type "Other Unearned Income (FS Only)"; and

3. Enter clear case notes to explain the figure entered and identify it as a countable AmeriCorps VISTA payment for quality control and tracking purposes.

POLICY MANUAL REVISIONS

Revised Food Stamp Manual Topics

PART 511  COMMON TYPES OF INCOME: AMERICORPS TITLE I AND TITLE II PROGRAMS

PART 511  COMMON TYPES OF INCOME: VOLUNTEERS

PART 511  COMMON TYPES OF INCOME: VOLUNTEERS IN SERVICE TO AMERICA (VISTA) AND TITLE    I PROGRAMS

IMPLEMENTATION

All policy changes in this SR are retroactively effective to July 15, 2012, pursuant to the Director's Memo released on August 12, 2012, dated August 8, 2012, subject line Treatment of AmeriCorps Income, which replaced the previously released Director's Memo also dated August 8, 2012, titled Treatment of AmeriCorps Income, that was issued on August 10, 2012. New HEIGHTS ran a report on May 15, 2012 identifying FS cases that were also receiving AmeriCorps VISTA payments and could be impacted by the policy changes in this SR as of the July 15, 2012 effective date. Of the 53 FS cases statewide that were also receiving AmeriCorps VISTA payments, Field Operations identified approximately 27 cases that required the AmeriCorps VISTA income to be counted, per changed policy. A Notice of Decision was generated to each case whose eligibility or benefit allotment amount changed. No additional District Office action is needed to address the retroactive effective date.

CLIENT NOTIFICATION

NH Administrative rule He-W 740.01(d) was amended to define a "temporary interruption" and its impact on the treatment of AmeriCorps VISTA payments when determining income eligibility and benefit allotment for Food Stamps. The amended rule was published in the NH Rulemaking Register, Office of Legislative Services, on December 13, 2012 and a public hearing was held on January 3, 2013.

A report was run on May 15, 2012 identifying the cases that were impacted by the policy changes in this SR as of the July 15, 2012 effective date. Of the 53 FS cases statewide that were also receiving AmeriCorps VISTA payments, Field Operations discovered that approximately half of those needed to have their VISTA payments counted, per changed policy. A Notice of Decision was generated to each case whose eligibility or benefit allotment amount changed due to this policy change.

TRAINING

A revised Director's Memo dated August 8, 2012, titled Treatment of AmeriCorps Income, was issued on August 12, 2012 (replacing the previous Director's Memo that was issued on August 10, 2012, also dated August 8, 2012, and titled Treatment of AmeriCorps Income) that provided staff with instructions for the change in treatment of VISTA payments when determining income eligibility and benefit allotment for the Food Stamp program. Since this policy change will only affect an extremely small number of individuals statewide, no other training is necessary or planned.

DISPOSITION

This SR may be destroyed or deleted after its contents have been noted and the revised manual topics released by this SR have been posted to the On-line manuals.

DISTRIBUTION

This SR will be distributed according to the electronic distribution list for Division of Family Assistance policy releases. This SR, and revised On-Line Manuals, will be available for agency staff in the On-Line Manual Library, and for public access on the Internet at www.dhhs.nh.gov/DFA/publications.htm, effective April 1, 2013. Additionally, this SR, and printed pages with posting instructions, will be distributed under separate cover to all internal hard copy holders of the Food Stamp Manual.

DFA/KD:s