SR 17-26 Dated 10/17

STATE OF NEW HAMPSHIRE

INTER-DEPARTMENT COMMUNICATION – Division of Family Assistance (DFA)

 

FROM OFFICE OF THE DIRECTOR, DFA:

Terry R. Smith

DFA SIGNATURE DATE:

October 11, 2017

AT (OFFICE):

Division of Family Assistance (DFA)

TO:

District Office Supervisors

SUBJECT:

Treatment of crowdfunding in the Food Stamp Program and Financial Assistance to Needy Families

EFFECTIVE DATE:

Upon Receipt

 

SUMMARY

 

This SR releases guidance on treatment of crowdfunding accounts for the purpose of Food Stamp Program (FSP) and Financial Assistance to Needy Families (FANF) eligibility. Money in crowdfunding accounts is a countable resource as soon as the money is available to the household.

 

FORMER POLICY

NEW POLICY

Money in crowdfunding accounts was not specifically addressed.

Money in crowdfunding accounts is a countable resource as soon as the money is available to the household.

 

BACKGROUND

 

The process of requesting and receiving money from friends, family, or the general public via a website, such as GoFundMe, Kickstarter, or Indiegogo, is known as crowdfunding. Crowdfunding campaigns vary, with common uses including helping individuals with medical or housing costs and financing businesses, art projects, travel, or other ventures.  The Food and Nutrition Service issued guidance on the treatment of available money in crowdfunding accounts as a countable resource for the purpose of determining FSP eligibility. This SR releases policy related to crowdfunding for both FSP and FANF eligibility.

 

POLICY

 

This SR clarifies the policy released in the Director’s Memo dated September 8, 2017, titled Treatment of Funds in Crowdfunding Accounts in Determining SNAP Eligibility. This SR releases policy related to crowdfunding for both FSP and FANF eligibility.

 

Money in crowdfunding accounts is a countable resource as soon as the money is available to the household.

 

Availability of money in crowdfunding accounts

 

Crowdfunding websites make money available to a beneficiary either when the first donation has been made or when the fundraising goal has been met. As soon as any money in a crowdfunding account is available to the household, it is a countable resource.

 

Value of crowdfunding account

 

If a crowdfunding website charges a fee to the beneficiary, that fee is not counted toward the countable resource. Example: if a crowdfunding campaign raises $10,000 but there is a 10% fee ($1,000), the value of the countable resource is $9,000.

 

Note: If money in a crowdfunding account is spent on deductible expenses, deductions would apply to income for income eligibility determination and allotment calculations.

 

●

FSP deductible expenses may include: child/dependent care, court-ordered child support, medical, self-employment, shelter, and utilities. See FSM Part 601, Income Limits, Payment Standards, and Allotments and FSM Part 603, Deductions and Disregards.

●

FANF deductible expenses may include: employment, child/dependent care, court-ordered child or spousal support, garnishments, income allocated to dependents, self-employment, and training. See FAM Part 601, Income Limits, Payment Standards, and Allotments and FAM Part 603, Deductions and Disregards.

 

Note: FSP households that do NOT have a 4-, 5-, or 6-month certification period must report all changes in resources within 10 calendar days after the change happens. See DFA Form 215, Reporting Requirements Handout.

 

NEW HEIGHTS PROCEDURES AND IMPLEMENTATION

 

Workers will enter crowdfunding accounts as “Other (FS Only)” if the crowdfunding account counts towards FSP resource eligibility and “Other (TANF Only)” if the crowdfunding account counts towards TANF eligibility. Note: If an assistance group is applying for or receiving both Food Stamps and TANF, workers will need to enter the crowdfunding account twice—once as “Other (FS Only)” and once as “Other (TANF Only).”

 

DESCRIPTION OF REVISIONS MADE TO FORMS

 

No form revisions are needed.

 

POLICY MANUAL REVISIONS

 

Revised Family Assistance Manual Topics

 

CHAPTER 400                     TABLE OF CONTENTS

 

New Family Assistance Manual Topics

 

PART 411                            LESS COMMON TYPES OF RESOURCES: CROWDFUNDING

 

Revised Food Stamp Manual Topics

 

CHAPTER 400                     TABLE OF CONTENTS

 

New Food Stamp Manual Topic

 

PART 411                           LESS COMMON TYPES OF RESOURCES: CROWDFUNDING

 

IMPLEMENTATION

 

The FSP policy released in this SR is retroactively effective to September 8, 2017, pursuant to the DFA Director’s Memo release on September 8, 2017, titled Treatment of Funds in Crowdfunding Accounts in Determining SNAP Eligibility. The FANF policy released in this SR is effective upon receipt.

 

CLIENT NOTIFICATION

 

No special client notification is planned or needed.

 

TRAINING

 

No special training is planned or needed.

 

FORMS MANUAL POSTING INSTRUCTIONS

 

No forms are affected.

 

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 DFA 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 October 30, 2017. 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 and the Family Assistance Manual.

 

DFA/JSC:s