FSC Manual 07/01/03

1623 Determining if a Household Member is to be Disqualified

The worker must determine if any household member is ineligible or is to be disqualified from participation in the Food Stamp Program for:

• Failing or refusing to provide a Social Security number ([FSC 2200])

• Failing to comply with the Food Stamp Program Requirement to Work ([FSC 3520]-3560)

• Being found guilty of committing an intentional program violation (IPV)([FSC 16600])

• Failing or refusing to comply with a Workfare Program requirement ([FSC 3760])

• Being classified as a fleeing felon ([FSC 1610])

• Being found guilty of a drug related felony ([FSC 1620])

6/01/96

1623.1 Disqualification for SSN and RTW Noncompliance

[FSC 3500] explains compliance with the Food Stamp Program Requirement to Work (RTW). Individuals who fail to comply with this requirement are disqualified unless they qualify for a personal exemption as explained in FSC 3560.

See [FSC 2100] for an explanation of the Social Security number requirements and disqualification of household members who fail to comply with these requirements. Members who fail to comply with these requirements remain disqualified until they do comply.  To disqualify a member for failure to comply with the SSN or RTW requirements:

1. Do not include the member when determining household size

2. Include the resources of the ineligible member in their entirety.

3. Calculate a pro rata share of any income received by the disqualified member. To calculate a pro rata share: 
    

   • Subtract allowable exclusions (see [FSC 5400]).
   • Divide the remaining income evenly among the total household members including the disqualified member.
   • Multiply the pro rata share by the number of eligible members.
   • Count the resulting figure as income.

4. Apply the earned income deduction after the prorated earned income of the disqualified member has been determined and added to the household budget.

5. When the disqualified member does not incur any portion of an allowable expense, do not prorate the expense. Prorate any allowable shelter, child support payments, or dependent care expense paid totally or in part by the disqualified individual. To prorate, divide the expense evenly among all household members including the disqualified member. Multiply the pro rata share by the number of eligible members. Count the resulting figure as an allowable expense. If the household has elected to use the utility standard (see [FSC 6620]), prorate the utility standard in the same manner.

6. Do not allow uncapped shelter costs if the disqualified member is the only aged/disabled individual in the household. Do not allow medical expenses incurred by a disqualified aged or disabled member. See the [Glossary] for a definition of an aged/disabled individual.

7. For households still entitled to uncapped shelter costs after an individual has been disqualified, prorate the expenses as explained above. Allow the uncapped amount of the prorated expenses as instructed in [FSC 7610].

8. Do not include the disqualified member when determining income, eligibility, or food stamp benefit amount.

FSC Manual 11/01/02

11-1-98

1623.2 Disqualification for IPV, Work Registration, Drug Convictions and Fleeing Felons

See [FSC 12110] for instructions on handling TEA or SSI case closures, suspensions, or reductions in TEA or SSI benefits when a household member intentionally failed to comply with a requirement of that program.

NOTE: See [FSC 12110] for instructions on handling TEA or SSI case closures, suspensions, or reductions in TEA or SSI benefits when a household member intentionally failed to comply with a requirement of that program.

[FSC 1622.10] explains which household members are considered to be fleeing felons.

[FSC 1622.20] explains which household members are to be disqualified because he or she has committed a drug-related felony.

[FSC 3100] summarizes the work registration requirements. (This includes the Workfare Program requirements.) Individuals who fail or refuse to cooperate with the work registration requirements will be disqualified. (Work registration requirements do include Workfare Program requirements. It does not include E&T Program requirements because participation in the E&T Program is voluntary.)

[FSC 16800] covers the procedure for disqualifying a member who has committed an intentional program violation (IPV). An IPV disqualification may only be imposed after an administrative disqualification hearing, as the result of a decision of fraud by a court of law, or when the household signs a waiver.

Food stamp benefits must not increase when one or more members are excluded due to:

• Classification as a fleeing felon as explained in [FSC 1622.10].
• Disqualification due to a conviction for a drug-related felony as explained in [FSC 1622.20].
• Disqualification for a work registration violation as defined in [FSC 3401].
• Disqualification for failure or refusal to comply with a Workfare Program requirement as explained in [FSC 3760].
• Disqualification for an intentional program violation as explained in [FSC 16800].

To disqualify a member who is a fleeing felon, has been convicted of a drug related felony, has failed or refused to comply with the work registration requirements, Workfare or the RTW, or has been found guilty of an IPV, the following actions must be completed:

1. Enter the member as a disqualified member. Do not include the member when determining total eligible members.
2. Do not count income the disqualified member no longer receives unless the disqualification is for a voluntary quit or an intentional reduction in work hours that occurred WHILE THE HOUSEHOLD WAS PARTICIPATING IN THE FOOD STAMP PROGRAM. If the voluntary quit or intentional reduction occurred while the household was participating, continue to count the disqualified member’s earnings. (Count the amount earned the month before the voluntary quit or reduction in work hours occurred.) Continue to count these earnings in the household’s budget until the end of the household’s current certification period or until the end of the disqualification period, whichever comes first. This will insure that the household’s benefit amount is not increased as a result of the disqualification.
3. Include the total current income, resources and expenses (including deductible child support payments) of the disqualified member in the food stamp budget when determining eligibility and food stamp benefit amount. (Calculate the budget as if the member were to be included.)
4. Base the income limits upon the number of eligible members. Allow uncapped shelter costs as per [FSC 6600] only if one of the eligible household members is aged or disabled. Base the allowable earned income deduction, medical, dependent care, child support and excess shelter deduction on all household members including the disqualified member. Apply the $3,000 resource limit only if one of the eligible members is aged or disabled as defined in the [Glossary], definition of Aged/Disabled. Close the case if there are no eligible household members. Notify the household of the closure via Notice of Action (DCO-1). State on the DCO-1 when the household may reapply.

FSC Manual 10/01/97

1624 Determining if a Household Member is a Boarder

Boarders may not participate in the Food Stamp Program.

A boarder is defined as an individual or a group of individuals to whom a household furnishes lodging and meals for a reasonable monthly payment.

Note: A roomer is an individual to whom a household furnishes lodging only. Roomers may participate in the Food Stamp Program if otherwise eligible. Roomer payments will be counted as unearned income in the food stamp budget. Any identifiable expense related to furnishing the room will be excluded from the roomer payment before the payment is included in the food stamp budget.

The following individuals may not be designated by a household as a boarder:

1. A spouse of a household member. See the [Glossary] for an explanation of a spouse.

2. Children age 21 and younger who are under the parental control of a household member. See the [Glossary] for an explanation of parental control.

Boarders must make a reasonable monthly payment. (See [FSC 1624.1] for determination of a reasonable monthly payment.) If a boarder does not make a reasonable monthly payment, he or she will be included as a household member and all of his or her income and resources will be counted in the food stamp budget. When the boarder is considered a household member, the actual boarder payment will not be shown as income. If the individual does make a reasonable monthly payment, the payment will be considered self-employment income. See [FSC 5621] for procedures on handling income from boarders.

The food stamp household may elect to include boarders as household members. If a boarder is added to the food stamp household, all of the boarder's income and resources will be counted in the budget. The boarder payment will not be counted as income.

10-1-97

1624.1 Reasonable Monthly Payment

A reasonable monthly payment for a boarder is either of the following:

1. An amount which equals or exceeds the maximum food stamp benefit amount for the boarder's household size if the boarder's household normally consumes more than two meals per day in the food stamp household; or

2. An amount which equals or exceeds two-thirds of the maximum food stamp benefit amount for the boarder's household size if the boarder normally consumes two or less meals per day in the food stamp household.

All examples below are based upon the maximum food stamp benefits effective October, 2000. The current "Basis of Issuance Tables" may be consulted for the current maximum benefit amount.

Example 1: Mr. Smith is a boarder in Mrs. Jones' home. There are no other members in his household. He consumes three meals per day and pays Mrs. Smith $130 a month for board. Since the maximum coupon allotment for one person is $130, his payment is considered a reasonable monthly payment.

Example 2: Ms. Williams and her son are also boarders in Mrs. Jones' home. They consume only the evening meal with Mrs. Jones and pay her $160 a month. Since the maximum coupon allotment for a household of two is $238, this is considered a reasonable payment.

NOTE: When the boarder's payment for room is distinguishable from the payments for meals, only the amount paid for meals will be evaluated for purposes of determining a "reasonable monthly payment" for food stamp purposes.

All arrangements for the monthly boarder payment to the food stamp household will be made between the boarder household and the food stamp household.

1624.2 Boarding Houses

Residents of commercial boarding houses may not participate in the Food Stamp Program. For Program purposes, a commercial boarding house is an establishment that offers meals and lodging for compensation for the purpose of making a profit. The statement of the proprietor or owner will be sufficient to determine whether the establishment fits this definition. The number of boarders residing in such an establishment will not be a consideration.  The household of the proprietor of a boarding house will be allowed to participate in the Food Stamp Program if that household meets all of the eligibility requirements. See [FSC 5620] for instructions on determining income from boarding houses.

1624.3 Verification

Income from boarders is considered self-employment income and must be verified. Normally, a note from each boarder household will be requested. The note must specify the amount the boarder household pays for room and board. If the amount of payment for room is distinguishable from the payment for meals, the note must specify the amount of each payment. The number of meals the boarder household eats per day must also appear in the note.  The note must be dated and must contain the signature of a responsible member of the boarder household.

10-1-97

1630 Determining if the Declared Household Composition is Correct

Normally, a food stamp household is composed of an individual or a group of individuals. A description of several common household types appear below:

1. A household may be an individual who lives alone.
2. A household may be an individual who lives with others and customarily (more than 50% of the time) purchases food and prepares meals for home consumption separate and apart from the others. (See the restrictions in [FSC 1631].)
3. A household may be a group of individuals who live together and customarily purchase food and prepare meals together. This includes individuals whose work schedules allow them to be in the home only for short periods of time but who consider the home their primary residence and who are responsible household members. A responsible household member is a member such as a spouse who helps the household meet part or all of its expenses. Traveling salespeople, truck drivers, railroad employees, and offshore oil workers meet this condition even if these workers do not return to the home each night or on a regular weekly or biweekly basis. While these individuals may be out of the home a majority of the time, they are considered household members. The work schedule and not the profession will establish these individuals as household members. (There may be two or more groups of individuals who live in the same dwelling but participate in the program as separate households. There are restrictions to participation as a separate household. See [FSC 1631] below for those restrictions.)
4. A household may be a disabled, aged individual (age 60 or older) who is living with others but is unable to purchase and prepare meals due to a permanent disability such as, but not limited to, senility. This type of household may include the disabled individual and his or her spouse regardless of the physical condition or age of the spouse. All income of the individual and spouse will be counted in the food stamp budget. The income of all other members will be disregarded; however, the total gross non-excludable income of all other household members may not exceed 165% of the maximum income standard. If the income of all other household members exceeds 165% of the maximum net income standard, the disabled aged member's application for food stamps will be denied. A chart showing 165% of the maximum net income standard for all household sizes is included on the [Exhibit A, Food Stamp Issuance Chart].

Example: Mr. and Mrs. Cross are age 83 and 84. They are living with their son and his wife. Mrs. Cross is confined to a wheelchair and Mr. Cross uses a walker. They are unable to purchase and prepare their meals. Mr. and Mrs. Cross' son reports the following household members and non-excluded income:

Himself - earnings of $1,500 per month
His wife - earnings of $1,000 per month
A son - no income
A daughter - no income
Their total gross non-excludable income is $2,500.
Their household size is 4.

As of October, 2000, the 165% gross income limit for a household of 4 people was $2,297. Mr. and Mrs. Cross will not be eligible to participate in the Food Stamp Program regardless of their income and/or resources.

NOTE: The gross income of all other members must be verified only if the disabled individual is eligible based upon declared gross income.

1631 Restrictions to Participation as a Separate Household

An individual or a group of individuals may apply for food stamp benefits as a household separate and apart from the others with whom they share a dwelling. There are restrictions to such participation.

First, separate household status will not be granted under any circumstances to the spouse of a household member.

Second, the individual or group of individuals applying as a separate household must:

1. Customarily (more than 50% of the time) purchase food and prepare meals separately from the others with whom they live; or

2. Plan to purchase food and prepare meals separately when they receive their food stamp benefits if they currently lack the financial means to do so. (When a household states that they plan to begin purchasing food and preparing their meals separately, a written statement to this effect should be obtained from the household and placed in the case record as substantiation.)

1631.1 Relatives Participating as Separate Households

Unrelated or distantly related individuals (e.g. - friends, aunts, uncles, nieces, nephews or cousins) may participate as separate households as long as one of the individuals is not under the parental control of the other and the individuals do purchase their food and prepare their meals separately.

Children under the age of 22 who live with a natural, adoptive or step parent must be included in the same household as the parent. This rule applies even if the child is married and/or has children.

Children age 17 or younger, other than foster children, who are under the parental control of an individual other than a natural, adoptive or step parent must be included as member of that individual's household. This rule applies even if the child purchases and prepares his or her food separately. Children age 17 and younger who do not live with a parent or someone who acts as a parent may receive food stamp benefits in their own home.

Adult children age 22 and older who live with a natural, adoptive or step parent can be a separate household if they purchase and prepare food separately. The adult child, their spouse and/or children (if any) must be certified as one household.

Siblings age 18 or older who live together without a parent can be separate households if they purchase and prepare food separately. If one sibling is age 18 or older and the other sibling is age 17 or younger, the siblings cannot be certified as separate households unless the younger sibling is emancipated. If either sibling has a spouse and/or children, the spouse and/or children must be included in the household.

See [FSC 1640] for instructions on foster children.

See [FSC 1630] for instructions on aged/disabled individuals who wish to participate as separate households.

1632 Determining if a Request for Separate Household Status is Correct

When a household is declaring separate household status, the county office worker must complete the following steps:

Step 1: Determine if household members requesting separate household status customarily (more than 50% of the time) purchase their food and prepare their meals separately. The household may plan to purchase and prepare separately when the food stamp benefits are received. See [FSC 1631].

Example: Mrs. Smith, age 65, and her sister Mrs. Jones, age 70, live together. They customarily purchase food and prepare their meals together. They may not participate as separate households because they purchase and prepare their food as one unit.

Step 2 Determine if the household is restricted from participating as a separate household.  See [FSC 1631] for instructions.

If the households customarily purchase and prepare food separately and are not restricted from such participation, then the food stamp application for either or both households may be processed. It does not matter which household initially makes application. If several groups of relatives live together and wish to participate in the Food Stamp Program as separate households, each claim must be evaluated separately.

Example: Mrs. Hill, age 45, has three children, John, age 16, is a student. Mike, age 21, is unemployed. Peggy, age 25, is a TEA recipient. Peggy's children are ages 7 and 8. Peggy and Mike both wish to participate in the Food Stamp Program as separate households. Peggy declares that she customarily purchases food and prepares meals for herself and her children separate and apart from the others. Mike states that he will purchase and prepare his food separately after he receives a food stamp allotment since he is presently financially unable to do so. Only two households may be formed. Since Peggy is a parent with minor children in the home, she and her children may be a separate household from her mother and her siblings. The other household will consist of Mrs. Hill, Mike, and John. Neither brother is entitled to participate as a household separate from his mother. However, when Mike turns 22, he may begin participating as a separate household.

When two households are restricted by policy from participation as a separate household, all members must be included when the application is processed. If one or more of the members refuses to cooperate in providing the verification necessary to establish eligibility for all members, the application will be denied or the case closed.

1632.1 Separate Dwelling Claims

At times, parents and children who are not allowed to participate in the Food Stamp Program as separate households claim they live in separate dwellings that are closely situated or under the same roof. Each of these claims must be evaluated on a case by case basis.

If both households share common facilities such as the kitchen and living area, this is a good indication that the group should be certified as one household. However, if each household lives in a separate structure, or has separate facilities within the same structure (i.e., an apartment or a duplex), then the households may be certified as separate households.

Such determinations may require collateral contacts with landlords and/ or utility companies. A home visit may be indicated if collateral contacts are not available. See the [Glossary], "Verification" for information on home visits as part of the application process.

1633 Verification of Separate Household Status

Individuals who wish to participate in the Food Stamp Program in a household separate from others with whom they live are responsible for establishing that they are a separate household. The worker may require collateral contacts or a home visit if the household's claim is questionable.

Aged individuals who cannot purchase and prepare their own meals due to a disability ([FSC 1630]) must verify the income of the other people with whom they live. Also, the individual must provide verification from a physician or a licensed or certified psychologist that he or she is not able to purchase and prepare their own meals if the disability is not obvious. Disabilities considered obvious must be fully documented in the case record.

10-1-97

1640 Foster Care

A child or an adult placed in a foster care facility by a Federal, State or local governmental foster care program cannot be required to be considered a member of a food stamp household. The household that provides the foster care may elect to consider the person in foster care to be a boarder or to include the person as a household member. See [FSC 5708] for additional information.

If the person in foster care is to be considered a boarder, the foster care payment will be excluded entirely. If the person is to be considered a household member, the entire payment will be counted as income.

This policy does not extend to adults placed in foster care either through for-profit or non-profit private agencies. The existing policies in [FSC 1624] or [FSC 1630] will apply to these individuals.  

Children "taken in" by neighbors, friends or relatives without formal placement by a governmental agency will be considered household members if they meet other eligibility requirements.