312 Conn. 196
Conn.2014Background
- Palomba-Bourke appeals a Medicaid eligibility decision for Bourke based on combined assets including a trust owned by plaintiff.
- The Edward A. Palomba residuaI trust was created Sept. 10, 1968; irrevocable on Sept. 5, 1976; plaintiff is a beneficiary; Bourke is not.
- In 2010, the Department determined Bourke was ineligible for Medicaid based on combined assets exceeding the community spouse protected amount and asset limit, counting the trust.
- Plaintiff contends pre-1988 asset rules should apply and the trust’s value should not be counted as Bourke’s asset; she argues no retroactive application.
- Administrative hearing and trial court upheld the department’s treatment of the trust under the catastrophic coverage act; this appeal asks whether the rules apply to preexisting trusts.
- Court holds the catastrophic coverage act provisions apply to Bourke’s Medicaid determination and overrules prior Hazelton-based reasoning, affirming the agency decision.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Do CAT Act provisions apply to Bourke’s trust assets? | Palomba-Bourke asserts pre-1988 rules should apply. | Department argues CAT Act governs assets for applications after 9/30/1989. | Yes; CAT Act provisions apply to Bourke. |
| Is the trust properly deemed an asset of Bourke under CAT Act rules? | Trust not available to Bourke under pre-CAT Act law. | CAT Act deeming rules count the trust as Bourke’s asset. | Trust deemed available assets of Bourke under CAT Act. |
| Did Hazelton prevail over Ahern/Skindzier on retroactive asset treatment? | Hazelton should control; pre-CAT Act standards apply. | Hazelton misapplies; CAT Act timelines govern. | Hazelton overruled; CAT Act controls. |
Key Cases Cited
- Ahern v. Thomas, 248 Conn. 708 (Conn. 1999) (discusses applicability of Medicaid qualifying trust provisions and post-1993 amendments)
- Skindzier v. Commissioner of Social Services, 258 Conn. 642 (Conn. 2001) (addressed 1993 amendments and applicability based on effective dates)
- Corcoran v. Dept. of Social Services, 271 Conn. 679 (Conn. 2004) (clarifies when assets held in trust are considered available)