N.H. Code Admin. R. He-W 686.01 – Protective and Vendor Payments

(a) Protective and vendor payments shall be made under the same circumstances and in the same manner for adult category financial assistance and for financial assistance to needy families (FANF) financial assistance, unless otherwise specified.
(b) Pursuant to RSA 167:26, protective payments shall be authorized when required by federal regulations and due to mismanagement of funds as described in (d) below.
(c) The entire assistance payment, notices of decision, and medical assistance benefit cards shall be sent to the person designated as protective payee.
(d) Mismanagement of funds shall include, but not be limited to:
1. (1) Recurring inability to plan for and meet the monthly living expenses of the individual;
2. (2) Recurring failure to meet obligations for rent and groceries;
3. (3) Repeated evictions or incurrence of debts with attachments against current non-assistance income; or
4. (4) Recurring incidents of children not being properly fed or clothed, and their health and safety being threatened as a result.
(e) Physical or mental incapacities by themselves shall not be valid reasons for assigning a protective payee.
(f) The protective payee shall be selected from the following:
1. (1) A relative, friend, neighbor, or clergyperson;
2. (2) An individual who works with voluntary social agencies, or is on the staff of a public agency which provides homemaker and housekeeping aid services, practical nursing, rehabilitation, or housing; or
3. (3) For adult category cases, the superintendent, or a designated representative of a public institution for the mentally ill or intellectually disabled, provided that there are staff available to assist the superintendent in carrying out the protective payee function.
(g) The protective payee shall not be a staff member of the department.
(h) The responsibilities of the protective payee shall be as follows:
1. (1) To receive the individual's entire assistance payment, and pay the bills according to a budget planned with the individual;
2. (2) Encourage the individual to actively participate in the management of the individual’s income, resources, and expenses;
3. (3) Cooperate with the social worker and the department staff member in helping the individual learn how to manage household budgeting;
4. (4) Maintain an accurate accounting of the individual's assistance payments; and
5. (5) Comply with applicable federal laws and regulations and state statutes regarding confidentiality.
(i) For adult category cases, protective payments for mismanagement shall be continued indefinitely if the mismanagement situation is not resolved.
(j) When voluntarily requested in writing by the individual, pursuant to (k)-(l) below, a portion or all of the assistance payment shall be made payable to a vendor payee, as defined in He-W 601.08.
(k) To initiate vendor payments, the individual shall:
1. (1) Specify the vendor's name, address, and the amount of the payment; and
2. (2) Notify the department in writing when a vendor payment is to be changed or when a vendor payment is to be terminated.
(l) Vendor payments shall not be made if:
1. (1) A creditor is coercing the individual; or
2. (2) The department has knowledge that a creditor will not provide the individual with the same quality and quantity of goods that would be provided to the general public.
(m) Voluntary vendor payments shall not be authorized for individuals who have a:
1. (1) Protective payee due to mismanagement of funds or non-compliance with Title IV-D requirements, as defined in He-W 601.08, even if the assistance payment is directed to the casehead; or
2. (2) Foster parent, guardian, or conservator.

Source. (See Revision Note #1 at Chapter Heading He-W 600) #5171, eff 6-26-91; ss by #6531, INTERIM, eff 6-27-97, EXPIRES: 10-25-97; ss by #6614, eff 10-24-97; amd by #6825, eff 8-3-98; amd by #6826, eff 8-3-98; amd by #6896, eff 12-1-98; amd by #8452, eff 10-22-05; amd by #8684, eff 7-21-06; ss by #10471, eff 11-26-13; ss by #13662, eff 6-21-23