PERMANENT RULES
SOCIAL AND HEALTH SERVICES
(Aging and Disability Services Administration)
Effective Date of Rule: Thirty-one days after filing.
Purpose: The department is amending WAC 388-513-1350 Defining the resource standard and determining resource eligibility for long-term care (LTC) services:
| &sqbul; | Increasing the spousal resource maximum from $41,943 to $45,104 effective July 1, 2007. |
| &sqbul; | Making changes to the language, clarifying the rules and updating the spousal resource standard. |
| &sqbul; | Clarifying the reduction of excess resources by medical expenditures. |
| &sqbul; | Clarifying the reference to a sponsored immigrant receiving long-term care - how to treat resources of a sponsor. |
Citation of Existing Rules Affected by this Order: Amending WAC 388-513-1350.
Statutory Authority for Adoption: RCW 74.04.050, 74.04.057, 74.08.090, 74.09.575, 74.09.500, and 74.09.530.
Adopted under notice filed as WSR 07-16-097 on July 30, 2007.
Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 1, Repealed 0.
Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.
Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 0, Repealed 0.
Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.
Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 1, Repealed 0.
Date Adopted: September 17, 2007.
Stephanie E. Schiller
Rules Coordinator
3885.3(1) The resource standard used to determine eligibility for LTC services equals:
(a) Two thousand dollars for:
(i) A single client; or
(ii) A legally married client with a community spouse, subject to the provisions described in subsections (8) through (11) of this section; or
(b) Three thousand dollars for a legally married couple, unless subsection (3) of this section applies.
(2) When both spouses apply for LTC services the department considers the resources of both spouses as available to each other through the month in which the spouses stopped living together.
(3) When both spouses are institutionalized, the department will determine the eligibility of each spouse as a single client the month following the month of separation.
(4) If the department has already established eligibility
and authorized services for one spouse, and the community
spouse needs LTC services in the same month, (but after
eligibility has been established and services authorized for
the institutional spouse), then the department applies the
standard described in subsection (1)(a) of this section to
each spouse. If doing this would make one of the spouses
ineligible, then the department applies (((a)(b))) (1)(b) of
this section for a couple.
(5) When a single institutionalized individual marries, the department will redetermine eligibility applying the rules for a legally married couple.
(6) The department applies the following rules when determining available resources for LTC services:
(a) WAC 388-475-0300, Resource eligibility;
(b) WAC 388-475-0250, How to determine who owns a resource; and
(c) WAC 388-470-0060(6), Resources of an alien's sponsor.
(7) For LTC services the department determines a client's
((nonexcluded)) countable resources as follows:
(a) The department determines ((available)) countable
resources for SSI-related clients as described in WAC 388-475-0350 through 388-475-0550 and resources excluded by
federal law with the exception of:
(i) WAC 388-475-0550(16);
(ii) WAC 388-475-0350 (1)(b) clients who have submitted an application for LTC services on or after May 1, 2006 and have an equity interest greater than five hundred thousand dollars in their primary residence are ineligible for LTC services. This exception does not apply if a spouse or blind, disabled or dependent child under age twenty-one is lawfully residing in the primary residence. Clients denied or terminated LTC services due to excess home equity may apply for an undue hardship waiver.
(b) For an SSI-related client one automobile per household is excluded regardless of value if it is used for transportation of the eligible individual/couple.
(i) For an SSI-related client with a community spouse, the value of one automobile is excluded regardless of its use or value.
(ii) Vehicles not meeting the definition of automobile is a vehicle that has been junked or a vehicle that is used only as a recreational vehicle.
(c) For a SSI-related client, the department adds
together the ((available)) countable resources of both spouses
if subsections (2), (5)((, (6), (7))) and (8)(a) or (b) apply,
but not if subsection (3) or (4) apply.
(d) For an SSI-related client, excess resources are
reduced ((in an amount equal to medical expenses incurred by
the client (for definition see WAC 388-519-0110(10)) that are
not subject to third-party payment and for which the client is
liable, including:
(i) Health insurance and Medicare premiums, deductions, and co-insurance charges;
(ii) Necessary medical care recognized under state law, but not covered under the state's Medicaid plan with the exception of the deduction for medical and remedial care expenses that were incurred during a transfer of asset penalty established per WAC 388-513-1363, 388-513-1364 or 388-515-1365; and
(iii))):
(i) In an amount equal to incurred medical expenses such as:
(A) Premiums, deductibles, and co-insurance/co-payment charges for health insurance and medicare;
(B) Necessary medical care recognized under state law, but not covered under the state's medicaid plan;
(C) Necessary medical care covered under the state's medicaid plan incurred prior to medicaid eligibility.
(ii) As long as the incurred medical expenses:
(A) Are not subject to third-party payment or reimbursement;
(B) Have not been used to satisfy a previous spend down liability;
(C) Have not previously been used to reduce excess resources;
(D) Have not been used to reduce client responsibility toward cost of care;
(E) Were not incurred during a transfer of asset penalty described in WAC 388-513-1363, 388-513-1364, 388-513-1365 and 388-513-1366; and
(F) Are amounts for which the client remains liable.
(e) Expenses not allowed to reduce excess resources or participation in personal care:
(i) Unpaid expense(s) prior to waiver eligibility to an adult family home (AFH) or boarding home is not a medical expense.
(ii) Personal care cost in excess of approved hours determined by the CARE assessment described in chapter 388-106 WAC is not a medical expense.
(f) The amount of excess resources is limited to the following amounts:
(((A))) (i) For LTC services provided under the
categorically needy (CN) program((, the amount described in
WAC 388-513-1315(3); or)):
(A) Gross income must be at or below the special income level (SIL), 300% of the FBR.
(B) In a medical institution, excess resources and income must be under the state medicaid rate.
(C) For CN waiver eligibility, incurred medical expenses must reduce resources within allowable resource limits for CN-waiver eligibility. The cost of care for the waiver services cannot be allowed as a projected expense.
(((B))) (ii) For LTC services provided under the
medically needy (MN) program((, the amount described in WAC 388-513-1395 (2)(a) or (b))) when excess resources are added
to nonexcluded income, the combined total is less than the:
(A) Private medical institution rate plus the amount of recurring medical expenses for institutional services; or
(B) Private hospice rate plus the amount of recurring medical expenses, for hospice services in a medical institution.
(C) For MN waiver eligibility, incurred medical expenses must reduce resources within allowable resource limits for MN-waiver eligibility. The cost of care for the waiver services cannot be allowed as a projected expense.
(((e))) (g) For a client not related to SSI, the
department applies the resource rules of the program used to
relate the client to medical eligibility.
(8) For legally married clients when only one spouse meets institutional status, the following rules apply. If the client's current period of institutional status began:
(a) Before October 1, 1989, the department adds together
one-half the total amount of ((nonexcluded)) countable
resources held in the name of:
(i) The institutionalized spouse; or
(ii) Both spouses.
(b) On or after October 1, 1989, the department adds together the total amount of nonexcluded resources held in the name of:
(i) Either spouse; or
(ii) Both spouses.
(9) If subsection (8)(b) of this section applies, the
department determines the amount of resources that are
allocated to the community spouse before determining
((nonexcluded)) countable resources used to establish
eligibility for the institutionalized spouse, as follows:
(a) If the client's current period of institutional status began on or after October 1, 1989 and before August 1, 2003, the department allocates the maximum amount of resources ordinarily allowed by law. The maximum allocation amount is ninety-nine thousand five hundred forty dollars effective January 1, 2006. Effective January 1, 2007, the maximum allocation is one hundred and one thousand six hundred and forty dollars. (This standard increases annually on January 1st based on the consumer price index); or
(b) If the client's current period of institutional status began on or after August 1, 2003, the department allocates the greater of:
(i) A spousal share equal to one-half of the couple's
combined ((nonexcluded)) countable resources as of the
beginning of the current period of institutional status, up to
the amount described in subsection (9)(a) of this section; or
(ii) The state spousal resource standard of ((forty-one))
forty-five thousand ((nine)) one hundred ((forty-three)) four
dollars effective July 1, ((2005)) 2007 (this standard
increases every odd year on July 1st). This increase is based
on the consumer price index published by the federal bureau of
labor statistics.
(10) The amount of the spousal share described in (9)(b)(i) can be determined anytime between the date that the current period of institutional status began and the date that eligibility for LTC services is determined. The following rules apply to the determination of the spousal share:
(a) Prior to an application for LTC services, the couple's combined countable resources are evaluated from the date of the current period of institutional status at the request of either member of the couple. The determination of the spousal share is completed when necessary documentation and/or verification is provided; or
(b) The determination of the spousal share is completed as part of the application for LTC services if the client was institutionalized prior to the month of application, and declares the spousal share exceeds the state spousal resource standard. The client is required to provide verification of the couple's combined countable resources held at the beginning of the current period of institutional status.
(11) The amount of allocated resources described in subsection (9) of this section can be increased, only if:
(a) A court transfers additional resources to the community spouse; or
(b) An administrative law judge establishes in a fair hearing described in chapter 388-02 WAC, that the amount is inadequate to provide a minimum monthly maintenance needs amount for the community spouse.
(12) The department considers resources of the community spouse unavailable to the institutionalized spouse the month after eligibility for LTC services is established, unless subsection (5) or (13)(a), (b), or (c) of this section applies.
(13) A redetermination of the couple's resources as described in subsections (7) is required, if:
(a) The institutionalized spouse has a break of at least thirty consecutive days in a period of institutional status;
(b) The institutionalized spouse's ((nonexcluded))
countable resources exceed the standard described in
subsection (1)(a), if subsection (8)(b) applies; or
(c) The institutionalized spouse does not transfer the amount described in subsections (9) or (11) to the community spouse or to another person for the sole benefit of the community spouse as described in WAC 388-513-1365(4) by either:
(i) The first regularly scheduled eligibility review; or
(ii) The reasonable amount of additional time necessary to obtain a court order for the support of the community spouse.
[Statutory Authority: RCW 74.04.050, 74.04.057, 74.08.090, 74.09.500, 74.09.530, 74.09.575, 2005 Federal Deficit Reduction Act (DRA) Public Law 109-171, and Section 1924 of the Social Security Act (42 U.S.C. 1396r-5). 07-01-073, § 388-513-1350, filed 12/18/06, effective 1/18/07. Statutory Authority: RCW 74.04.050, 74.04.057, 74.08.090, 74.09.500, 42 U.S.C. 9902(2). 05-07-033, § 388-513-1350, filed 3/9/05, effective 4/9/05. Statutory Authority: RCW 74.04.050, 74.04.057, 74.08.090, 74.09.500, 74.09.575; 2003 1st sp.s. c 28, and section 1924 of the Social Security Act (42 U.S.C. 1396R-5). 04-04-072, § 388-513-1350, filed 2/2/04, effective 3/4/04. Statutory Authority: RCW 74.04.050, 74.04.057, 74.08.090, 74.09.500 and Section 1924 (42 U.S.C. 1396R-5). 01-18-055, § 388-513-1350, filed 8/30/01, effective 9/30/01. Statutory Authority: RCW 11.92.180, 43.20B.460, 48.85.020, 74.04.050, 74.04.057, 74.08.090, 74.09.500, 74.09.530, 74.[09.]575, 74.09.585; 20 C.F.R. 416.1110-1112, 1123 and 1160; 42 C.F.R. 435.403 (j)(2) and 1005; and Sections 17, 1915(c), and 1924 (42 U.S.C. 1396) of the Social Security Act. 00-01-051, § 388-513-1350, filed 12/8/99, effective 1/8/00. Statutory Authority: RCW 74.08.090 and 74.09.500. 99-06-045, § 388-513-1350, filed 2/26/99, effective 3/29/99. Statutory Authority: RCW 74.04.050, 74.04.057, 74.08.090, 74.09.530, 74.09.575 and Section 1924 (42 USC 1396r-5). 98-11-033, § 388-513-1350, filed 5/14/98, effective 6/14/98. Statutory Authority: RCW 74.04.050, 74.04.057, 74.08.090 and 74.09.575. 97-09-112, § 388-513-1350, filed 4/23/97, effective 5/24/97. Statutory Authority: RCW 74.08.090 and Title XIX State Agency Letter 95-44. 96-09-033 (Order 3963), § 388-513-1350, filed 4/10/96, effective 5/11/96. Statutory Authority: RCW 74.08.090 and Title XIX State Agency Letter 94-49, notice of increase in SSI level. 95-05-022 (Order 3832), § 388-513-1350, filed 2/8/95, effective 3/11/95. Statutory Authority: RCW 74.08.090. 94-23-129 (Order 3808), § 388-513-1350, filed 11/23/94, effective 12/24/94; 94-10-065 (Order 3732), § 388-513-1350, filed 5/3/94, effective 6/3/94. Formerly parts of WAC 388-95-337 and 388-95-340.]
Reviser's note: The typographical error in the above section occurred in the copy filed by the agency and appears in the Register pursuant to the requirements of RCW 34.08.040.