1. (a) In accordance with 8 USC 1631, a portion of a sponsor’s income shall be deemed to the sponsored non-citizen and treated as unearned income when determining eligibility and the amount of financial assistance to needy families (FANF). The amount deemed shall be determined as follows:

   1. (1) Subtract 20% from the monthly gross earned income of the sponsor and of the sponsor’s spouse, if applicable, and total the resulting individual net earned income amounts to determine the net earned income;
   2. (2) Add the net earned income and all unearned income of the sponsor and the sponsor’s spouse; and

   3. (3) Subtract all of the following:

      1. a. The standard of need, in accordance with He-W 658.01, for the sponsor, sponsor’s spouse, and all individuals living in the sponsor’s home who could be claimed as legal dependents for tax filing purposes;
      2. b. Any amounts actually paid by the sponsor or the sponsor’s spouse to individuals who are not in the home and could be claimed as legal dependents for tax filing purposes; and
      3. c. Any amount actually paid by the sponsor or the sponsor’s spouse for child or spousal support.
2. (b) The available deemed income, as determined in (a) above, shall be added to the assistance group’s other income and eligibility shall be determined in accordance with He-W 654.02.
3. (c) Income shall not be deemed from a sponsor receiving FANF, an adult category of financial assistance, or supplemental security income.
4. (d) In accordance with 45 CFR 233.52, good cause for not providing sponsor information to the department shall exist when the sponsor provided accurate information to the non-citizen and the non-citizen misinterpreted or misrepresented the information when applying for financial assistance.

5. (e) Income shall be deemed to a non-citizen from the sponsor and sponsor’s spouse until one of the following circumstances occur:

   1. (1) The sponsor or the non-citizen dies;
   2. (2) The non-citizen becomes a United States citizen;
   3. (3) The non-citizen has earned, or can be credited with, 40 qualifying quarters of work, as defined by the Social Security Administration;
   4. (4) The non-citizen ceases to hold the status of lawful permanent resident and leaves the United States; or
   5. (5) The non-citizen is subject to removal, but applies for and obtains in removal proceedings, a new grant of adjustment of status.

Source. (See Revision Note #1 at Chapter Heading He-W 600) #5171, eff 6-26-91; ss by #5530, eff 12-16-92; ss by #6865, eff 10-3-98; ss by #8684, eff 7-21-06; ss by #10743, eff 12-12-14; ss by #14053, eff 8-17-24, EXPIRES: 8-17-34