Exempt Assets 400-19-55-05-30

(Revised 6/1/10 ML #3218)

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(N.D.A.C. 75-02-01.2-23)

(N.D.A.C. 75-02-01.2-25)

 

The following assets are exempt when determining asset eligibility for TANF households:  

  1. Agent Orange Settlement Program -- Pursuant to Public Law 101-201, Agent Orange settlement payments are exempt.
  2. Basic Maintenance Items – Basic maintenance items such as clothing, furniture, appliances, and personal effects.
  3. Burial Plots -- A burial plot for each family member.
  4. Burial Prepayments or Deposits --Any prepayments or deposits which total $3000 or less, which are designated and maintained by an applicant or recipient for their burial.
  5. Children of Female Vietnam Veterans with Birth Defects Allowances -- These allowances, paid under Public Law 106-419 are exempt 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.
  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 exempt in determining TANF eligibility.
  7. Crime Victim Compensation -- Crime victim compensation is exempt.
  8. Earned Income Tax Credit -- Federal Earned Income Tax Credit (EITC) refunds are exempt in the month of receipt and month following receipt.

Note: These funds become a countable asset beginning the second month following the month of receipt.  

  1. Economic Stimulus Tax Rebates -- Economic Stimulus Tax Rebates are exempt assets in the month of receipt and the following two months.  

Note: These funds become a countable asset beginning the third month following the month of receipt.  

  1. Educational Loans, Grants, Scholarships and Stipends -- Student assistance programs, for both undergraduate and graduate students, are exempt.

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.  

  1. Home -- The house or mobile home which is the usual residence of the TANF household. A home is defined as including the land on which it is located provided the acreage does not exceed 20 contiguous acres, if rural, or two (2) contiguous acres, if located in town.

Temporary absences for reasons of medical necessity, educational plans, or other good cause, usually approved in advance, do not constitute loss of the exemption if the intent is to return to the home.

  1. Income Tax Refunds -- Federal or state income tax refunds are exempt in the month of receipt and month following receipt.

Note: These funds become a countable asset beginning the second month following the month of receipt.

  1. Indian Per Capita and Judgment Funds – Indian per capita funds and judgment funds awarded by either the Indian Claims Commission or the Court of Claims after October 19, 1973, interest and investment income accrued on such Indian per capita or judgment funds while held in trust are exempt.  

Note: The funds must be identifiable and distinguishable from other funds. If commingled with any other countable assets, these funds become a countable asset beginning the second month following the month of receipt.

Purchases made with per capita or judgment funds and the interest or investment income from such funds are exempt.  However, once the item purchased is sold it loses its per capita status.  

  1. Individual Development Accounts (IDA) – Funds received through a grant made available under Section 403 of the Personal Responsibility and Work Opportunity Act of 1996 (PRWORA – Public Law 104-193) to enable individuals to acquire a lasting asset after saving for an extended period of time. Currently, this grant is being administered by Community Action Programs.
  2. Individual Indian Monies Accounts -- The value of all interests of Individual Indian Monies Accounts in trust or restricted lands, including mineral rights, are exempt from the asset limit pursuant to the Indian Judgment Distribution Act of 1973.

Monies in IIM accounts are payments from range unit leasing, farm leases, gravel pit contract, sales, etc.  Any portion that is not counted as income for a month, if retained by the household, would count as an asset the following month.

  1. Loans --A loan from any source with written documentation verification that is subject to repayment.
  2. Minor Parents’ Parents Assets – The assets of minor parents’ parents shall be exempt in determining TANF eligibility.
  3. Radiation Exposure Compensation Act Settlement Payments - Payment settlements as a result of the Radiation Exposure Compensation Act (P.L. 101-426) are exempt as long as settlement payments and accrued interest are kept separate and apart from countable assets. Commingling of funds renders the entire account countable as an asset.
  4. Real Property Listed for Sale - If a TANF household owns real property and the household is making a good faith effort to sell the property, it shall be exempt from the asset limits.

Steps that demonstrate a "good faith" effort to sell require listing with a real estate agency where such services are available. If such services are not available, the "good faith" effort to sell must be demonstrated by the posting of "For Sale" signs and classified advertisements in local newspapers. Newspaper advertisements must be purchased at least every six months and appear five consecutive days in a daily newspaper or two consecutive weeks in a weekly newspaper. TANF households are required to set a realistic asking price and to publish the asking price. The asking price must be based on market analysis by a realtor, appraisal, or any other method which produces an accurate reflection of fair market value. A "good faith" effort to sell requires the acceptance of any offer that meets or exceeds 75% of the published asking price. Failure to demonstrate a "good faith" effort to sell will result in the loss of the real property asset exemption.

  1. Rental and Utility Rebates and Deposit Refunds - Rebates and deposits from rental and utility companies are exempt in the month of receipt and month following receipt.

Note:  These funds become a countable asset beginning the second month following the month of receipt.

  1. SSI Recipients Assets - The equity value of all assets owned by any SSI recipient are exempt.  Solely or jointly owned assets with an SSI recipient are considered exempt assets.
  2. Tribal High School Graduate/GED Payments - Payments from Tribes within North Dakota to tribal members who graduate from high school or receive a G
  3. ED are considered non-recurring lump sum. These payments are an exempt asset in the month following the month of receipt.
  4. Vehicles - One vehicle limited to car, van, or pick-up normally used as a family vehicle of any equity value. The vehicle with the greatest equity value will be exempted.