Original Notice.

Preproposal statement of inquiry was filed as WSR 00-16-054.

Title of Rule: WAC 388-470-0075 How vehicles are counted for food assistance.

Purpose: Changes rule to include vehicles as inaccessible resources by excluding those with an equity value that is less than one-half of the applicable resource limit for the household.

Statutory Authority for Adoption: RCW 74.04.050, 74.04.055, 74.04.057, 74.04.510, and 74.08.090.

Statute Being Implemented: RCW 74.04.050, 74.04.055, 74.04.057, 74.04.510, and 74.08.090.

Summary: Amending WAC 388-470-0075 to exclude the value of those vehicles that have an equity value less than one-half of the applicable resource limit.

Reasons Supporting Proposal: Many working families formerly resource ineligible due to the fair market value of a vehicle may, under the new interpretation of inaccessible resources, be eligible to receive food assistance benefits. Families will no longer have to sacrifice nutritional needs in order to own a reliable vehicle that is helping the family achieve self-sufficiency.

Name of Agency Personnel Responsible for Drafting, Implementation and Enforcement: Vicky T. Robinson, Division of Assistance Programs, (360) 413-3031.

Name of Proponent: Department of Social and Health Services, governmental.

Rule is not necessitated by federal law, federal or state court decision.

Explanation of Rule, its Purpose, and Anticipated Effects: Amending WAC 388-470-0075 to exclude the value of those vehicles with an equity value that is less than one-half of the applicable resource limit.

Proposal Changes the Following Existing Rules: The amended WAC will treat those vehicles that have an equity value less than one-half of the applicable resource limit as inaccessible resources.

No small business economic impact statement has been prepared under chapter 19.85 RCW. This rule does not impact small businesses.

RCW 34.05.328 does not apply to this rule adoption. This rule change does not meet the definition of a significant legislative rule.

Hearing Location: Lacey Government Center (behind Tokyo Bento Restaurant), 1009 College Street S.E., Room 104-B, Lacey, WA 98503, on November 7, 2000, at 10:00 a.m.

Assistance for Persons with Disabilities: Contact Kelly Cooper, DSHS Rules Coordinator, by November 1, 2000, phone (360) 664-6094, TTY (360) 664-6178, e-mail coopekd@dshs.wa.gov.

Submit Written Comments to: Identify WAC Numbers, Kelly Cooper, DSHS Rules Coordinator, Rules and Policies Assistance Unit, P.O. Box 45850, Olympia, WA 98504-5850, fax (360) 664-6185, by November 7, 2000.

Date of Intended Adoption: No sooner than November 8, 2000.

October 3, 2000

Marie Myerchin-Redifer, Manager

Rules and Policies Assistance Unit

(1) ((The entire value of)) If you own a licensed vehicle ((even during periods of temporary unemployment is excluded if the vehicle is)) we (the department) exclude its entire value, even when you are temporarily unemployed, if the vehicle is:

     (a) Used over fifty percent of the time for income-producing purposes such as a taxi, truck, or fishing boat.      An excluded vehicle used by a self-employed farmer or fisher ((retains its exclusion)) continues to be excluded for one year from the date the household member ends this self-employment.

     (b) Used to produce income ((annually)) each year that is consistent with its fair market value (FMV), even if used on a seasonal basis.

     (c) Necessary for long-distance travel ((that is essential to)), other than daily commuting, for the employment of a((n assistance unit)) household member whose resources are considered available to the assistance unit((.      Vehicles needed for daily commuting are not excluded under this provision)) (AU), such as an ineligible alien or disqualified person.

     (d) ((Necessary)) Needed for hunting or fishing to support the household.

     (e) Used as the ((assistance unit's)) AU's home.

     (f) Used to carry fuel for heating or water for home use when this is the primary source of fuel or water for the ((assistance unit)) AU.

     (g) Needed to transport a physically disabled ((household)) AU member, no matter if the disability is permanent or temporary.

     (((2) The FMV in excess of four thousand six hundred fifty dollars is counted toward the assistance unit's resource limit for the following licensed vehicles if not excluded in subsection (1) above:

     (a) One per assistance unit regardless of use;

     (b) Used for transportation to and from work, training, or education; or

     (c) Used for seeking employment))

     (h) Likely to produce an equity value (FMV less what is owed on the vehicle) of less than:

     (i) $1,500 for households with an elderly member; or

     (ii) $1,000 for all other households

     (2) If your licensed vehicle is not excluded in (1) above and the FMV is:

     (a) Less than $4,650, we exclude:

     (i) One vehicle per AU no matter how it is used;

     (ii) Vehicles used for transportation to and from work, training, or education; or

     (iii) Vehicles used to look for work.

     (b) Greater than $4,650, we count the amount in excess of $4,650 toward the resource limit for one vehicle per AU no matter how it is used and for vehicles used as specified in 2 (a)(ii) or 2 (a)(iii) above. For example, if your vehicle is used for travel to and from work and has a FMV of $6,500, we count $1,850 toward the resource limit ($6,500 less $4,650).

     (3) ((For all)) If you have other licensed vehicles, we count the larger value of the following ((is counted)) toward the ((assistance unit's)) AU's resource limit:

     (a) FMV ((in excess of four thousand six hundred fifty dollars)) greater than $4,650; or

     (b) Equity value (FMV less what is owed on the vehicle).

     (4) ((Unlicensed vehicles driven by tribal members on the reservation are treated like a licensed vehicle)) If you are a tribal member and drive an unlicensed vehicle on those reservations that don't require vehicle licensing, your vehicle will be treated like a licensed vehicle.

     (5) For all other unlicensed vehicles we count the equity value ((is counted)) towards the ((assistance unit's)) AU's resource limit unless the vehicle is:

     (a) Used to produce income ((annually)) each year that is consistent with its FMV, even if used on a seasonal basis; or

     (b) Work-related equipment necessary for employment or self-employment of a((n assistance unit)) household member.

[Statutory Authority: RCW 74.08.090 and 74.04.510.      99-16-024, § 388-470-0075, filed 7/26/99, effective 9/1/99.      Statutory Authority: RCW 74.04.050, 74.04.055, 74.04.057 and 74.08.090.      98-16-044, § 388-470-0075, filed 7/31/98, effective 9/1/98.]

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