Disregard of Certain Income 400-19-55-25

(Revised 2/1/15 ML #3426)

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(N.D.A.C. 75-02-01.2-45)

 

The following types of income will be disregarded when determining eligibility for TANF:

1. Agent Orange Settlement Program - Pursuant to Public Law 101-201, Agent Orange settlement payments are disregard income for TANF.

2. Alaska Native Claims Settlement Act - As provided by Public Law 92-203, any tax exempt portions of payments made as a result of the Alaska Native Claims Settlement Act.

3. AmeriCorps Payments - There are three different programs under AmeriCorps. The education awards for college tuition or loan repayment and the living allowances are disregarded from consideration. Eligible individuals for the AmeriCorps income will include students at least 17 years old who have or agree to get a high school diploma and must be a U.S. citizen or permanent resident.

1. AmeriCorps State and National:  Provides funds to local and national organizations and agencies committed to using national service to address critical community needs in education, public safety, health and the environment.

2. AmeriCorps VISTA: A national service program designed specifically to fight poverty. Founded as Volunteers in Service to America in 1965 and incorporated into the AmeriCorps network of programs in 1993, VISTA has been on the front lines in the fight against poverty in America for more than 40 years.

3. AmeriCorps NCCC (National Civilian Community Corps):  A full-time team-based residential program for men and women age 18-24.  Members are assigned to one of five campuses, located in Denver, CO, Sacramento, CA, Perry Point, MD, Vicksburg, MS and Vinton, IA.

4. Census Income - Census income is disregarded as income.

5. Child and Adult Food Program - The program provides cash reimbursement for meals and snacks to licensed families who provide day care in their homes.

6. Children of Vietnam Veterans Born with Spina Bifida Payments  - Payments made pursuant to Public Law 104-204 to children of Vietnam veterans who are born with spina bifida shall be disregarded in determining TANF eligibility.

7. Children of Female Vietnam Veterans with Birth Defects Allowances - These allowances, paid under Public Law 106-419 must be disregarded as income in determining eligibility and level of benefits under any federal or federally assisted program covering children with certain covered birth defects. This statute provides for monthly allowances, based on the degree of disability suffered by the child. The amounts range from $100 to $1272 monthly.

8. Combat Pay - TANF will disregard any additional monies received by a household as the result of the deployment of a service member to a designated combat zone.

TANF counts the gross income for all adult members of the household unit and considers the entire income of the parent temporarily away from home, including a parent in military service.

To determine the amount of service member's income that will be disregarded, compare the amount received before deployment and the amount received after the deployment. The difference between the two amounts is the amount that will be disregarded.

Example: Dad was making $1,000 gross pay before deployment to a combat zone. He now is receiving $1,400. Disregard the additional $400.

Combat Zone Tax Exclusion Areas - Executive Order 12744 (effective January 17, 1991)

Arabian Sea Portion that lies north of 10 degrees North Latitude and West of 68 degrees East Longitude

• Bahrain
• Gulf of Aden
• Gulf of Oman
• Iraq
• Kuwait
• Persian Gulf
• Qatar
• Oman
• Red Sea
• Saudi Arabia
• United Arab Emirates

Direct Support of EO 12744

• Turkey effective January 1, 2003 - December 31, 2005
• Israel effective January 1 - July 31, 2003
• Eastern Med effective March 19 - July 31, 2003
• Jordan effective March 19, 2003
• Egypt effective March 19 - April 20, 2003

Executive Order 13239 (effective September 19, 2001

• Afghanistan

Direct Support of EO 13239

• Pakistan effective September 19, 2001
• Tajikistan effective September 19, 2001
• Jordan effective September 19, 2001
• Incirlik AFB effective September 21, 2001 - December 31, 2005
• Kyrgyzstan effective October 1, 2001
• Uzbekistan effective October 1, 2001
• Philippines (only troops w/orders that reference OEF) effective January 9, 2002
• Yemen effective April 10, 2002
• Djibouti effective July 1, 2002
• Somalia effective January 1, 2004

Executive Order 13119 (effective March 24, 1999)

Public Law 105-21 Establishing Kosovo as Qualified Hazardous Duty Area (March 24, 1999)

• The Federal Republic of Yugoslavia (Serbia/Montenegro)
• Albania
• The Adriatic Sea
• The Ionian Seas north of the 39th parallel

Public Law 104-117 Establishing a Qualified Hazardous Duty Area (November 1995)

• Bosnia
• Herzegovina
• Croatia
• Macedonia

9. Complementary Program Assistance - To the extent these do not serve the same purpose as TANF, assistance payments from other programs, agencies, or organizations will not be considered in determining the amount of TANF to be paid. In these complementary program relationships, there must be assurance that no duplication exists between such other assistance and TANF. Non-duplication of assistance shall be assured in relation to:

1. The different purpose for which the other program or agency grants such aid; or

2. The need for goods and services that are not included in the TANF benefit. If either of these two conditions are met, complementary assistance by another program, agency, or organization will not constitute duplication.

Types of Complementary Program Assistance include but are not limited to:

• Cash, up to $500 per month per household, received by household members for special occasions such as birthdays, graduation, confirmation, Christmas, etc. (Refer to #5 in Section 400-19-55-20-15, Countable Unearned Income Types)

• Adoption Assistance Payments/Subsidized Adoption Payments - Adoption assistance payments are disregarded in determining eligibility and benefit amount for TANF since those funds are intended for a different purpose or for items not included in the TANF Basic Standard of Need. When the adopted child is included in the TANF benefit, the adoption assistance payment is disregarded as income to the household.

• Employer Funded Medical Savings or Health Reimbursement Accounts - Contributions by an employer into a Medical Savings or Health Reimbursement account are considered complimentary assistance and are disregarded as income to the household.

• Family Subsidy Payment - The Family Subsidy Program is a resource to families who maintain a developmentally disabled child at home but incur extraordinary financial obligations. Modest monthly payments to eligible households are intended to offset such expenses as therapy, counseling, respite and day care, related transportation and special clothing equipment and diets. These payments are considered complementary assistance and disregarded as income to the household.

• Foster Care Payments - Foster care payments are disregarded in determining eligibility or the amount of the TANF benefit as they are intended for a different purpose or for items not included in the TANF Basic Standard of Need. The foster child cannot be included in the TANF household for any period in which a foster care payment is made.

• Fund-Raisers – In order for donations/proceeds resulting from fund raisers or benefit functions conducted by civic, fraternal, religious organizations, etc. on behalf of a TANF household member(s) to be considered complementary assistance, such funds cannot be given or made available to the TANF household. In order to meet the definition of complementary assistance, those funds must be controlled by an organization or an individual not included in the TANF household and used for the payment of expenses on behalf of the household member. Memorials, donations, remembrances, commemorations, etc. received by a household following the death of a family member shall be considered complementary assistance.

• Job Corps Program - All wages, living and readjustment allowances, and bonuses issued by the Job Corps Program are provided to offset either past, present, or future expenses which are not included in the TANF Basic Standard of Need. Therefore, Job Corps Program monies are considered complementary in nature and disregarded as income.

• Sisseton-Wahpeton Oyate Lake Traverse Reservation Food Distribution Program – The Sisseton-Wahpeton Oyate Lake Traverse Reservation has a Food Distribution Program in which they provide funds to individuals ages 55 and older to assist with purchasing food. Individuals age 55 – 64 receive a $100 and individuals age 65 and older receive $150 per month food coupon. These coupons can be used at only certain stores in the area.

These monthly food coupons will be disregarded as income for TANF as they are considered Complementary Program Assistance that does not duplicate the purpose of the TANF grant.

• Subsidized Guardianship Payments - The Subsidized Guardianship Project is a new program through Children and Family Services (CFS) that began in March 2000. It is designed to serve North Dakota children who are in foster care, but who need a permanency alternative. The program was created in response to the Adoption and Safe Families Act of 1997.

Subsidized guardianship payments are considered complementary assistance and are disregarded in determining eligibility and the benefit amount of TANF. The child for whom the subsidized guardianship payment is received is not eligible for TANF and cannot be included in the household.

10. Contributions by an Employee into a Medical Savings Account - Benefits withdrawn from this type of an account are not counted as income as TANF counts gross income in the month received. Therefore, the funds deposited into the account would have previously been counted as income or received by the HH prior to the month they became TANF eligible.

11. Cooperative Distributions (Patronage Dividends)

Exception: Any portion of cooperative distributions (patronage dividends) that is income from the sale of goods is countable income.

12. Crime Victim Compensation - Crime victim compensation is disregarded as income.

13. Deposits - Returned deposits from rental units (apartments, storage unit, etc.) and utility companies are disregarded as income.

14. Disaster Payments - Federal payments issued due to a presidential declaration of disaster.  Federal payments include, but are not limited to, grants from the Federal Emergency Management Agency (FEMA); Disaster Unemployment Insurance Benefits under the authority of section 408 of the Robert T. Stafford Disaster Relief and Emergency Act (43 USC 5174) and Title 44 of the Code of Federal Regulations. State and local governments and disaster relief organizations such as Red Cross and Salvation Army may also provide disaster assistance.

15. Donated Food - The value of foods donated by the U.S. Department of Agriculture (surplus commodities).

16. Earned Income Tax Credit - Federal Earned Income Tax Credit (EITC) refunds are disregarded as earned and unearned income unearned income.

17. Economic Stimulus Tax Rebates - are disregarded as unearned income.

18. Educational Loans, Grants, Scholarships and Stipends - Student assistance programs, for both undergraduate and graduate students, shall be disregarded as income.  The following are disregarded:

1. Title IV aid includes:

• Pell or BEOG grants.
• Presidential Access Scholarships (Super Pell).
• Supplemental Education Opportunity Grants (SEOG).
• Stafford Loan (formerly Guaranteed Student Loan).
• PLUS/DEAL loans.
• Perkins Loans (formerly NDSL).
• SLS (formerly ALAS).
• Robert C. Byrd Honor Scholarships.
• Federal work study income.
• Bureau of Indian Affairs Grant Program.
• High School Equivalency Program (HEP).
• College Assistance Migrant Program (CAMP).
• Upward Bound (Trio Grants).
• National Early Intervention Scholarship and Partnership Program.
• Robert E. McNair Post-Baccalaureate Achievement.
• Stipends funded until Title IV.
• Indian Vocational Education Program (IVEP)

2. Aid that is federally funded but not under Title IV includes:
3. Workforce Investment Act (WIA).
4. Veteran’s benefits or other benefits through the United States Armed Services.
5. Reserve Education Assistance Program (REAP)
6. Recruitment/Retention of American Indians Into Nursing (RAIN)
7. Education funds received through the John H. Chafee Foster Care Independence Program.

3. Aid that is not federally funded includes:
4. SELF loan program.
5. State work study income.
6. Division of Rehabilitation Services.

All aid extended to students by way of scholarships, grants, loans, stipends and awards by federal, state, tribal, civic, fraternal, and alumni sources to pursue training or education, either an undergraduate-level or graduate-level goal, is disregarded. This includes incentives and payments for grades the Spirit Lake Nation issues to individuals attending college.

Note: Any stipend received while attending training that is specifically identified to cover the cost of daily living expenses must be counted as unearned income, as it is intended to cover the same basic needs as those provided under TANF.  

19. Family Home Care – The Family Home Care Program provides Medicaid eligible persons, who have been determined to need a level of services provided by long term care facilities, with the option of receiving such services at home under Medicaid. Payment for home care services may be made to either the aged or disabled person receiving the services or to the provider of the services. In either instance, if the service is provided by a non-member of the TANF household, the payment is disregarded for TANF.

Note: Income received by an individual or Qualified Service Provider (QSP) for providing services under Family Home Care when the individual is employed by an agency is considered wages and counted as regular earned income. (When an individual or QSP is not an employee of an agency, the income is considered self-employment.)

20. Flexible Spending Accounts – Employee Funded – Benefits withdrawn from this type of an account are not counted as income, as TANF counts gross income in the month received and therefore, the funds deposited into the account would have already been counted as income or were received by the HH prior to the month they became TANF eligible.

21. General Assistance - General Assistance paid by voucher on behalf of a TANF household by the county social service office or the Bureau of Indian Affairs. Any General Assistance paid by cash or check directly to a TANF household from the county social service board or Bureau of Indian Affairs must be treated as unearned income.

22. Gift Cards/Gift Certificates - Gift cards and gift certificates are disregarded as income.

23. Homestead Tax Credit – Refunds from local or tax office paid to low-income individuals who are responsible to pay property taxes or rent, including mobile home lot rent.

24. Housing Assistance Programs - The value of any public rent or housing subsidy, which includes HUD Section 8, utility allowances, HUD Public Housing, other HUD Programs, and all state and local government housing subsidies.

25. Income Tax Refunds - Federal or state income tax refunds are disregarded as unearned income.

26. Individual Indian Monies (IIM) - The Omnibus Budget Reconciliation Act of 1993 provides that up to $2,000 per year of income received from Individual Indian trust or restricted lands will not be counted as income.

27. Indian Per Capita Funds - Per capita payments made to members of Indian tribes under the Indian Tribal Judgment Funds Use and Distribution Act [25 U.S.C. 1407 et seq.], including all interest and investment income accrued on such funds while held in trust, are disregarded.

28. JOBS (Job Opportunity and Basic Skills) Program Supportive Service Payments – Supportive Services paid to TANF recipients, either through the TANF grant or Vendor Payment, are considered reimbursements and are disregarded as income.

29. Loans - A loan from any source subject to a written documentation requiring repayment by a TANF household member.

30. Payments to Volunteers – Payment for services or reimbursement for out-of-pocket expenses made to individual volunteers serving as foster grandparents, senior health aides or senior companions, persons serving in the Service Corp of Retired Executives (SCORE), Active Corps of Executives (ACE), AmeriCorps, and any other programs under Titles I, II, and III of Section 418, Public Law 93-113.

31. Radiation Exposure Compensation Act Settlement Payments - Payment settlements as a result of the Radiation Exposure Compensation Act (P.L. 101-426) are disregarded as income.

32. Reimbursements for Incurred Expenses - Reimbursements for meals, lodging, transportation, including transportation provided to another person, when providing transportation is not a business venture.

33. Rental and Utility Rebates and Deposit Refunds - Rebates and deposits from rental and utility companies are exempt.

34. SSI (Supplemental Security Income) Benefits - Recipients of SSI, including presumptive SSI, are not included as members of the TANF household and their income is not used to determine the benefit. If the individual is receiving a zero SSI benefit, the individual is not considered as receiving SSI benefits for TANF purposes and the individual and the income received is included in the household.

35. Submarginal Lands - Public Law 94-114 requires that the income derived from certain submarginal lands (low productivity; infertile) conveyed to Indian tribes and held in trust by the United States be disregarded. The land addressed by this law is located on the Fort Totten and Standing Rock Indian Reservations.

36. Supplemental Food Assistance - The value of any supplemental food assistance received under the Child Nutrition Act of 1966, the special food service program for children under the National School Lunch Act and Supplemental Nutrition Assistance Program (SNAP).

37. Trade Adjustment Assistance (TAA) - The following payments made to individuals under the Trade Adjustment Assistance (TAA) Extension Act of 2011:

• Training Readjustment Allowances - A wage subsidy available in the form of weekly cash payments to workers who are enrolled in a full-time training course;

• Job Search Allowance – A cash allowance provided to workers who cannot find an available job within the commuting area, which is used to cover transportation costs, etc.

Note: If the individual is participating in the JOBS Program, the Employment Contractor must be notified of the individuals receipt of these funds.

• Relocation Assistance – A cash allowance provided to workers who have to accept a job outside of their commuting area and relocate.

Note: If the individual is participating in the JOBS Program, the Employment Contractor must be notified of the individuals receipt of these funds.

• Health Coverage Tax Credit – A tax credit offered to TAA participants to help pay for the health insurance premiums of the worker and their family.

Note: If the individual is requesting reimbursement for a health insurance premium from TANF, TANF policy will only reimburse the difference between the actual premium amount and the amount of tax credit the individual receives and only that premium for coverage of a TANF eligible unit member.

38. Tribal High School Graduate/GED Payments - Payments from a federally recognized tribe to tribal members who graduate from high school or receive a GED are considered non-recurring lump sum. These payments are disregarded as income.

39. VISTA Payments – See AmeriCorps

40. Volunteer Placement Program - Children in the Volunteer Placement Program are not foster care placements and the parents retain care, custody, and control of the child. The child could be placed in a facility that is not inpatient care including PATH and county foster families or facilities, i.e. Manchester House, Dakota Boys Ranch, Prairie learning Center, etc.

Children in the Volunteer Placement Program are considered temporarily out of their home with a plan to return to their parental unit. The length of stay in a facility varies depending on the needs of the child. Children placed into a facility under the Volunteer Placement Program are eligible for the $45.00 clothing allowance provided all other factors of eligibility are met for the TANF Program. The out-of-home payment will be part of the TANF benefit paid to the parent/caretaker.

41. WIC (Supplemental Food Program for Women, Infants, and Children) - This program provides additional monetary benefits to purchase healthy food for proper growth and development, and helps families choose healthier ways of eating.

42. Workforce Investment Act (WIA) - Income, earned or unearned, is disregarded when received by a dependent child under the age of 18 and a full-time student or if, before attaining age 19, is expected to complete high school or vocational training curriculum.

43. YouthBuild - Income, earned or unearned, is disregarded when received by a dependent child under the age of 18 and a full-time student or if, before attaining age 19, is expected to complete high school or vocational training curriculum.