California Department of Social Services - State Hearings
Division
Notes from the Training Bureau - February 29, 2000
Item 00-02-03A
CDSS ACIN I-80-99 -- November 2, 1999 (Synopsis): Modifications to CalWORKs Property Regulations |
Modifications to CalWORKs Property Regulations
Effective August 5, 1999, there were several changes to CalWORKs property regulations.
The major changes were as follows:
- A transfer of income rule was added. This regulation is found at MPP §42-221. A
recipient (not an applicant) who transfers income for less than fair market value is
subject to a period of ineligibility. MPP §42-221.1 states: "A period of
ineligibility shall result when a recipient AU gives away or transfers, for less than fair
market value, nonexcluded income or property that would cause the AU to exceed its
eligibility for benefits."
- Sections 42-221.2 and 42-221.42 were amended to correct the calculation of the period of
ineligibility for an asset transfer. Regarding property, the period of ineligibility is
based on the difference between the fair market value and the amount actually received for
the property. Regarding income, the period of ineligibility is based on the amount of
income transferred or given away that is less than the fair market value.
- Section 42-221.4 states that a period of ineligibility results when in the month of
receipt, a recipient gives away or transfers, for less than fair market value, nonexempt
nonrecurring income that would cause an assistance unit to be ineligible for a cash aid
payment. Nonrecurring income is income that is not interest income or contractual income,
is for a period of more than one month and is not from a source that is expected to occur
regularly.