PURPOSE: This rule states the requirements as to eligibility for Temporary Assistance.

1. (1) The eligibility requirements for the Temporary Assistance Program shall include:

   1. (A) Requiring an applicant or recipient to participate in the program of work activities as defined in these rules, with exclusions as provided for by rule;
   2. (B) Requiring a recipient of assistance and each dependent child to be a resident of the state of Missouri, and a United States citizen, a qualified alien as defined in section 1641 of Title 8, United States Code or an alien permanently residing under color of law;
   3. (C) Requiring an applicant to provide all Social Security numbers for each parent, caretaker and child and by requiring the applicant for or recipient of assistance to cooperate with the division to obtain Social Security numbers;
   4. (D) The assistance provided under the Temporary Assistance Program is used for the benefit of the child or children;
   5. (E) Recipients of Supplemental Security Income (SSI) shall not be eligible for Temporary Assistance. The income, expenses and resources of the SSI recipient are excluded when determining the eligibility of the household. The individual shall be excluded for purposes of determining household size; and
   6. (F) Meeting other eligibility requirements contained in 13 CSR 40-2.300 through 13 CSR 40-2.370.
2. (2) Application for benefits and timely investigation of eligibility for benefits will be consistent with sections 208.060 and 208.070, RSMo. In Temporary Assistance cases where an eligible individual does not receive the first payment for the month in which the thirtieth day after application falls, a delayed payment will be made for that month and any later months that occur before the application was approved.

3. (3) The real and personal property considered in determining eligibility for Temporary Assistance and how the value of that property is determined shall be as follows:

   1. (A) Property of any kind or character which the participant owns or possesses or has an interest in, of which s/he is the record or beneficial owner, less encumbrances of record;
   2. (B) The value of real property will be its current market value, less encumbrances of record, if sold on the open market;

   3. (C) Personal Property.

      1. 1. The value of life insurance policy at

any time shall be the cash surrender value of the policy, minus the amount of any lien, loan, accrued interest payments or assigned portion of the policy.

1. 2. Personal property is defined as house-

hold goods, jewelry, farm surpluses, livestock, farm or business machinery or equipment, automobiles, trucks, and similar items.

1. 3. The total amount on deposit in a joint

bank account of which the applicant is one of the owners is considered as available to the applicant unless there is verification that the money placed in the account or a definite portion of it belongs to the other joint owner, who is not applying for or receiving Temporary Assistance. When both or all the owners of a joint bank account are applying for or receiving assistance, each is considered as owning his/her proportionate share of the account. If the applicant states s/he has not deposited any portion of the money in the account and past circumstances of the applicant indicate that this is reasonable, the total amount on deposit will not be considered as available to the applicant;

1. (D) In certain instances as defined in subsections (3)(E)–(H) of this rule, the property will be considered as a resource which the applicant or recipient can and should use in meeting his/her needs and will not be eligible for assistance. The policy applies to a child and to a parent(s) or, to step-parents, or if included in the grant, a needy non-parent caretaker relative or legal guardian with whom the child is living;

2. (E) Real Property.

   1. 1. When an applicant owns property,

which is not furnishing shelter for him/her and its current market value less encumbrances of record is over one thousand dollars ($1,000), it shall be considered a resource. The applicant will not be eligible for assistance on the basis of need, except that burial lots must be excluded from this computation. For recipients in self-sufficiency pacts, the value of property for exclusion is over five thousand dollars ($5,000), less encumbrances of record. When the value of real property is less than the amounts stated previously, it shall be counted as a part of the combination of available resources in determining eligibility. Recipients in self-sufficiency pacts owning property valued at over five thousand dollars ($5,000), less encumbrances of record, shall not be eligible.

1. 2. For real property in which the appli-

cant or recipient has lived—

1. A. Real property in which the appli-

cant or recipient has lived will be counted as a resource the month after the month in which it is vacated for other than a temporary purpose, unless the spouse from whom the claimant is separated and the claimant own the home jointly and the spouse continues to remain in the home. In this case the home and forty (40) acres adjoining will not be included in determining equity in resources as long as the spouse remains in the home. In the event of divorce, the equity in the property must be considered as a resource immediately;

1. B. If a claimant or couple owns two

1. (2) pieces of property, they shall be required to designate one (1) as their homestead and the other immediately shall be considered as an available resource. Also, when two (2) claimants marry and each owns a home in which s/he has been living, they will be required to designate one (1) of the properties as their homestead, the other immediately shall be considered as an available resource;

   1. C. The land on which the home is

located, up to forty (40) acres, is considered a part of the home as long as the land is adjoining, in the same city block, and there is no other dwelling on the forty (40) acres; or

1. D. The land on which the home is

located up to forty (40) acres, which is part of a farming unit will be considered as part of the home so long as the land is adjoining and there is no other dwelling on the forty (40) acres. (Property will be considered as adjoining even though a road may separate two (2) tracts, if the property is farmed as a single unit.)

1. 3. For all other property—All other real

property will be included in determining the one thousand-dollar ($1,000) limitation for applicants, or the five thousand-dollar ($5,000) limitation for recipients in self-sufficiency pacts;

1. (F) There shall be disregarded any prearranged funeral or burial contract, or any two

1. (2) or more contracts, which provide for the payment of one thousand five hundred dollars ($1,500) or less per family member. The face value of an irrevocable burial contract will always be counted toward the one thousand five hundred-dollar ($1,500) exemption. Any family who owns revocable prepaid burials (over and above the first one thousand five hundred dollars ($1,500) in equity value) or insurance with cash surrender value over one thousand dollars ($1,000) for applicants and five thousand dollars ($5,000) for recipients in self-sufficiency pacts will not be eligible for assistance. If the cash surrender value of revocable prepaid burials (over and above the first one thousand five hundred dollars ($1,500) in equity value) or insurance is one thousand dollars ($1,000) for applicants or five thousand dollars ($5,000) for recipients in self-sufficiency pacts or less, it shall be counted as part of the combination of available resources in determining eligibility as stated in subsection (3)(H) of this rule;

   1. (G) An applicant may not own personal property with equity greater than one thousand dollars ($1,000), and a recipient in a self-sufficiency pact may not own personal property with equity greater than five thousand dollars ($5,000). However the following personal property will not be included in this determination:

      1. 1. Tools, supplies, livestock, farm sur-

plus and similar items being used by the claimant in the course of his/her business. This does not include business or farm machinery;

1. 2. Household furnishings, household

goods and personal effects used by the claimant;

1. 3. The first automobile shall be exclud-

ed, fifteen hundred dollars ($1,500) equity in a second automobile;

1. 4. Wedding and engagement rings and

jewelry of limited value; and

1. 5. For recipients only, earned income

retained in an individual development account; and

1. (H) Any combination of more than one thousand dollars ($1,000) for applicants, and five thousand dollars ($5,000) for recipients who have signed self-sufficiency pacts, would make the family ineligible.

1. (4) Earned Income—In applying earned income exemptions the following definition of “earned income” will be used:

   1. (A) The term “earned income” encompasses income in cash or in kind earned by a needy individual through the receipt of wages, salary, commissions, or profit from activities in which s/he is engaged as a selfemployed individual or an employee. Such earned income may be derived from his/her own employment such as a business enterprise, or farming; or derived from wages or salary received as an employee. It includes earnings over a period of time for which settlement is made at one given time, as in the instance of sale of farm crops, livestock, or poultry. In considering income from farm operation, the option available for reporting 13 CSR 40-2

under Old Age Survivor’s and Disability Insurance (OASDI), namely the “cash receipts and disbursements” method, i.e., a record of actual gross, of expenses, and of net, is an individual determination and is acceptable also for Temporary Assistance. With reference to commissions, wages, or salary, the term “earned income” means the total amount, irrespective of personal expenses, such as income tax deductions, lunches, and transportation to and from work. With respect to self-employment, the term “earned income” means the total profit from business enterprise, farming, etc., resulting from a comparison of the gross income received with the “business expenses,” i.e., total cost of the production of the income. Personal expenses, such as income tax payments, lunches, and transportation to and from work, are not classified as business expenses;

1. (B) The definition shall exclude the following from “earned income”: Returns from capital investment with respect to which the individual is not him/herself actively engaged, as in a business (for example, under most circumstances, dividends and interest would be excluded from “earned income”); benefits (not in the nature of wages, salary, or profit) accruing as compensation, or reward for service, or as compensation for lack of employment (for example, pensions and benefits, such as United Mine Workers’ benefits or Veterans benefits); and
2. (C) With regard to the degree of activity, earned income is income produced as a result of the performance of services by an applicant or a recipient; in other words, income which the individual earns by his/her own efforts, including managerial responsibilities, would be properly classified as earned income, such as management of capital investment in real estate. Conversely, for example, in the instance of capital investment wherein the individual carries no specific responsibility, such as where rental properties are in the hands of rental agencies and the check is forwarded to the recipient, the income would not be classified as earned income.

1. (5) Temporary Assistance shall be granted on behalf of eligible child(ren) in otherwise eligible families. Temporary Assistance may be granted to the parents or other needy relatives caring for a child or children meeting all eligibility criteria, and who—

   1. (A) Are deprived of parental support or care for the following reasons:

      1. 1. Death;
      2. 2. Continued absence from, or never

living in, the home;

1. 3. Physical or mental incapacity of a

parent;

1. 4. Divorce/separation;
2. 5. Desertion;
3. 6. Confinement in a penal, medical or

custodial institution;

1. 7. A physical restoration or training pro-

gram developed by vocational rehabilitation, if the plan necessitates absence of a parent from the home; or

1. 8. Unemployment;
2. (B) Physical or mental incapacity exists when the incapacity is expected to last at least thirty (30) days and is of such a debilitating nature as to substantially reduce or eliminate the parent’s ability to support or to care for the child. Physical or mental incapacity shall be certified by a competent medical or other appropriate authority designated by the division. Such certification is declared to be competent evidence in any proceedings concerning the eligibility of the claimant to receive Temporary Assistance. Physical or mental incapacity can also be verified by the parent’s receipt of Supplemental Security Income (SSI) or Social Security Disability Insurance;

3. (C) Unemployment of a parent is defined as a biological, or adoptive parent who meets all of the following criteria:

   1. 1. Be physically present in Missouri,

living in the home with the child or children, actively seeking employment, and complying with requirements made by the Division of Family Services regarding employment training and work activities;

1. 2. Have been unemployed for at least

thirty (30) days prior to receiving benefits under this section and must apply for and receive any unemployment benefits to which s/he is entitled, such benefits to be considered as unearned income in determining eligibility for Temporary Assistance;

1. 3. Not have refused without good cause,

within such thirty (30)-day period prior to the receipt of such aid, any bona fide offer of employment which s/he is physically able to perform and otherwise qualified to engage in;

1. 4. Not have refused, without good

cause, vocational rehabilitation, education, training, work or special work projects offered;

1. 5. Have six (6) or more quarters of work

within any thirteen (13)-calendar-quarter period ending within one (1) year prior to the application for such aid or have received or have been qualified to receive unemployment compensation within such one (1)-year period;

1. 6. The parent must be the principle

earner. This can be determined by whichever parent, in a home in which both parents of such child are living, earned the greater amount of income in the twenty-four (24)- month period, the last month of which immediately precedes the month in which assistance is requested due to the unemployment of a parent.

1. A. If primary evidence of earnings for

this period cannot be secured, the division shall designate the principle earner, using the best evidence available.

1. B. The earnings of each parent are

considered in determining the principle earner regardless of when their relationship began.

1. C. The principle earner so defined

remains the principle earner for each consecutive month for which the family receives such aid on the basis of such application.

1. D. If both parents earned an identical

amount of income (or earned no income) in such twenty-four (24)-month period, the division shall designate which parent shall be the principle earner; and

1. 7. The parent who is unemployed must

not be unemployed as a result of participation in a strike; and

1. (D) The relative with whom a child may be living, in order to be eligible for Temporary Assistance, includes father, mother, grandfather, grandmother, brother, sister, stepfather or stepmother (but not their parents), stepbrother, stepsister, uncle, aunt, first cousin, first cousin of a parent, nephew, niece, adoptive father or adoptive mother; grandfatherin-law or grandmother-in-law (meaning the spouse of a second marriage of one of the child’s biological grandparents); great-grandfather or great-grandmother (including greatgreat grandfather or great-great grandmother); brother or sister of half blood; adoptive brother or adoptive sister; brother-in-law or sister-in-law; uncle or aunt of the half blood; uncle-in-law or aunt-in-law; great-uncle or great-aunt (including great-great uncle or great-great aunt); and other relatives by adoption, in addition to those specifically mentioned here, may be considered eligible payees within the same degree of relationship as apply to blood relatives. The biological relatives of an adopted child also continue to be eligible payees. A legal guardian may also serve as a payee for Temporary Assistance, and if the legal guardian is otherwise eligible, may be eligible for a cash payment.

1. (6) Home is interpreted to mean a family setting maintained or in the process of being established as evidenced by the assumption or continuance of responsibility for the child. Usually the child shares the family household with the parent or relative. A home exists as long as the parent or relative takes responsibility for the care and control of the child, even though circumstances may require temporary absence of either the child or the parent (or relative) from the customary family setting, subject to 13 CSR 40-2.365.
2. (7) For the purpose of the administration of Temporary Assistance, payments shall be defined as payments by electronic or other means made to the payee, at regular intervals. Temporary Assistance benefits will be made available on the same schedule as indicated in 13 CSR 40-2.150(1)(A)1.–4. The provisions of 13 CSR 40-2.150(2) apply to recipients of Temporary Assistance.

3. (8) Determining the Amount of Cash Payments.

   1. (A) The following persons are considered members of the household for purposes of determining household size and Temporary Assistance grant, if eligible: eligible children under the age of eighteen (18) or age eighteen

4. (18) and in secondary school or the equivalent vocational or technical school if expected to graduate, natural or adoptive parents of one (1) or more of the eligible children, and any needy non-parent caretaker relative or related or unrelated guardian. The non-parent caretaker relative or the guardian if found to be eligible for inclusion has the option to be excluded from the assistance group.

   1. (B) Consideration of Available Income.

      1. 1. In Temporary Assistance cases, all

income of the following persons who are in the household, irrespective of subsection (8)(A), shall be considered in determining whether the children (including stepchild and adopted child) are in need, and if so, the amount of that need:

1. A. Eligible children;
2. B. Biological or adoptive parents of

one (1) or more of the eligible children;

1. C. Any needy non-parent caretaker

relative or related or unrelated guardian if they desire to be included in the assistance group and are eligible for inclusion;

1. D. A stepparent living in the same

home as such child as exceeds the sum of a) the first ninety dollars ($90) of the stepparent’s earned income, for such month; b) the Standard of Need for a family of the same composition as the stepparent and those other individuals living in the same household as the dependent child and claimed or who could be claimed by such stepparent as dependents for purposes of determining the stepparent’s federal personal income tax liability but whose needs are not taken into account; c) amounts paid by the stepparent to individuals not living in such household and claimed by him/her as dependents for purposes of determining the stepparent’s federal personal income tax liability; and d) payments by such stepparent of court ordered alimony or child support with respect to individuals not living in such household;

1. E. Any biological or adoptive brother

or sister of an eligible child, if such brother or sister meets the conditions described in 13 CSR 40-2.310(5) and 13 CSR 40- 2.325(1)(A)1. and 2., and is living in the home;

1. F. With respect to an eligible child

who is living with a parent or legal guardian who is under age eighteen (18), the income of such minor parent’s own parents who are living in the home shall be included to the same extent that the income of a stepparent is included (see subparagraph (8)(B)1.D. above). The minor parent’s parents’ earned income shall be disregarded up to one hundred percent (100%) of the federal poverty level; and

1. G. Income of all other persons in the

household will be considered in the amount made available to the household.

1. 2. In computing the income of an appli-

cant or recipient, or of the household of which s/he is a member, only that income which is available during the period under consideration shall be taken into account. To be considered as available, the income shall actually and presently exist (not to be a potential or remote income) and shall be sufficient to have some appreciable significance in meeting the immediate requirements of the applicant or recipient.

1. (9) Earned Income Exemption.

   1. (A) In determining need and amount of grant for applicants or recipients of Temporary Assistance, the following earned income exemptions will apply and these amounts will be disregarded in determining the amount of income available to meet the family’s needs:

      1. 1. All of the earned income of any

child receiving Temporary Assistance will be exempted if the child is a full-time student or is a part-time student who is not a full-time employee.

1. 2. The first ninety dollars ($90) of the

gross earned income will be disregarded from employment;

1. 3. An amount equal to the first thirty

dollars ($30) of the actual total of earned income not already disregarded in the preceding provisions of this subsection (9)(A) plus one-third (1/3) of the remainder thereof;

1. 4. An amount equal to thirty dollars

($30) of the total of earned income not already disregarded in the preceding provisions of this subsection (9)(A), for an eight (8)-month period following the fourth consecutive month of the disregard provided for in paragraph (9)(A)3.;

1. 5. An amount equal to expenditures

for care in such month shall be disregarded from earned income for an eligible child, or an incapacitated individual living in the same home as the child, receiving Temporary Assistance and requiring such care for such month, to the extent that such amount for each such child or incapacitated individual does not exceed one hundred seventy-five dollars ($175) for children age two (2) and over or two hundred dollars ($200) for children under two (2) years of age; and

1. 6. All of the earned income of a par-

ent who is under the age of nineteen (19) and is a full-time student in a secondary school or equivalent program of education or training.

1. (B) The disregards applied against the earned income outlined in (9)(A) shall not be applied to the earned income of any person who—

   1. 1. Terminated his/her employment or

reduced his/her earned income without good cause within such period, of not less than thirty (30) days, preceding such month;

1. 2. Refused without good cause, within

such thirty (30)-day period, to accept employment in which s/he is able to engage which is offered through the public employment offices of the state, or is otherwise offered by an employer if the offer of the employer is determined by the Division of Family Services or agency designated by the Division of Family Services, after notification by the employer, to a bona fide offer of employment; and

1. 3. Failed without good cause to make a

timely report to the Division of Family Services of earned income received in such month.

1. (C) The disregard applied against earned income as provided for—

   1. 1. In paragraph (9)(A)1. shall be applied

when determining need for up to six (6) months within the calendar year of January through December and thereafter shall not be applied if the income without applying this disregard was in excess of the standard of need;

1. 2. In paragraph (9)(A)3. shall not be

applied if the income without applying this disregard was in excess of the standard of need unless the person received Temporary Assistance in one (1) or more of the four (4) preceding such month and this disregard has not already been applied to his/her income for four (4) consecutive months while s/he was receiving Temporary Assistance. If this disregard provided for in paragraph (9)(A)3. has been applied for four (4) consecutive months, the disregard shall not be applied for as long as the person continues to receive Temporary Assistance and shall not apply until the expiration of a period of twelve (12) consecutive months during which the person is not a recipient of Temporary Assistance; and

1. 3. In paragraph (9)(A)4. shall be avail-

able only for the eight (8)-month period following the fourth consecutive month of the disregard provided for in paragraph (9)(A)3. If the eight (8)-month period for the disregard provided for in paragraph (9)(A)4. has expired, the disregard shall not be applied for as long as the person continues to receive Temporary Assistance and shall not apply 13 CSR 40-2

until the expiration of a period of twelve (12) consecutive months during which the person is not a recipient of Temporary Assistance.

1. (D) The division may increase earned income disregards, consistent with section 208.325.11, RSMo, and may begin through pilot(s). If successful, such increase in disregards may be expanded statewide.

1. (10) 185% Test—No family shall be eligible for Temporary Assistance if for that month, the total income of the family (other than Temporary Assistance benefits) without application of the earned income disregards provided for in paragraphs (9)(A)2.–5. and for up to six (6) months within the calendar year of January through December with application of the earned income disregard provided for in paragraph (9)(A)1. equals or exceeds one hundred eighty-five percent (185%) of Standard of Need for a family of the same composition.
2. (11) Standard of Need Test—No family shall be eligible for Temporary Assistance if, for that month, the total income of the family (other than Temporary Assistance benefits) without application of the earned income disregards provided for in paragraphs (9)(A)2.–5., except paragraphs (9)(C)1. and
3. 2. would have application, and for up to six
4. (6) months within the calendar year of January through December with application of the earned income disregard provided for in paragraph (9)(A)1. equals or exceeds the Standard of Need for a family of the same composition.
5. (12) Percentage of Need Test—No family shall be eligible for Temporary Assistance if for that month, the total income of the family (other than Temporary Assistance benefits) after application of the earned income disregards provided for in section (9) equals or exceeds 34.526% of the Standard of Need.

6. (13) When considering an application for Temporary Assistance, the income tests in sections (10), (11) and (12) must each indicate income below the respective standard. To be eligible, income shall be less than—

   1. (A) 185% of the Standard of Need when applying the 185% Test;
   2. (B) The Standard of Need for the Standard of Need Test; and
   3. (C) 34.526% of the Standard of Need for the Percentage of Need Test. If determined eligible after application of the tests in section (10), (11) and (12), the grant amount will be the deficit determined in the Percentage of Need Test. The table below indicates the maximum grant amount by application of the Percentage of Need (34.526%) to the Standard of Need, according to household size:
7. (14) In the payment of Temporary Assistance benefits, the amount shall always be lowered to the nearest dollar interval. If the determined amount results in a grant of less than ten dollars ($10) no cash payment will be made.
8. (15) In Temporary Assistance cases, the initial assistance payment benefit must be prorated when the case is approved in the same month as the filing of the application. The payment will be determined by multiplying the amount payable for a whole month by the ratio of the days in the month from the date of application to the end of the month to the number of days in a standard thirty (30) day month.
9. (16) Legal immigrants meeting the eligibility criteria for Temporary Assistance, who would be eligible for food stamps but for the passage of P.L. 104-193, effective August 22, 1996, may be eligible for nutrition assistance calculated by use of the food stamp budgeting process set forth in section 2014 of Title 7, United States Code.

10. (17) All persons who meet the definition of a Temporary Assistance household must have their eligibility explored under Temporary Assistance (except under emergency situations when General Relief orders may be utilized) before having their eligibility for General Relief explored. Any person whose eligibility has been explored under Temporary Assistance and is found to be ineligible for Temporary Assistance cash payments because of the following reasons shall be ineligible for General Relief:

    1. (A) The person refuses to cooperate in establishing his/her eligibility for Temporary Assistance (this would include persons who refuse to apply for a Social Security number, refuse to participate in work activities, refuse to enter into a self-sufficiency pact, refuse to make an assignment of support rights, refuse to cooperate in the identification of absent parents and the like);
    2. (B) Relationship to the payee who is not a legal guardian cannot be established for children under eighteen (18);
    3. (C) The budget shows no need;
    4. (D) The available resources exceed the maximum allowed; or
    5. (E) The children are not deprived of parental support.
11. (18) State Hearing Procedures—The hearings procedures set forth in 13 CSR 40-2.160 apply to the Temporary Assistance Program.
12. (19) Confidentiality of Case Records—The provisions of 13 CSR 40-2.180 apply to the Temporary Assistance Program.
13. (20) Procedures for Collection of Overpayments—The provisions of 13 CSR 40-2.190 apply to the Temporary Assistance Program.
14. (21) Disposal of Excess Real Property—The provisions of 13 CSR 40-2.230 apply to the Temporary Assistance Program.

AUTHORITY: sections 207.020 and 208.040.5, RSMo 1994.* Emergency rule filed Feb. 18, 1998, effective March 1, 1998, terminated Aug. 10, 1998. Original rule filed Jan. 16, 1998, effective Aug. 1, 1998. *Original authority: 207.020, RSMo 1945, amended 1961, 1965, 1977, 1981, 1982, 1986, 1993 and 208.040.5, RSMo 1949, amended 1955, 1969, 1982, 1985.