Loss of Exempt Status 430-05-40-50-07
(Revised 09/01/2020 ML3587)
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Amended IM 5464
IM 5464
When an individual is identified as an ABAWD and the individual’s eligibility is based on working 20 hours or more per week averaged monthly, the household must report if the ABAWD’s hours decrease below 20 hours weekly.
When an individual is exempt from the ABAWD provisions at initial application or review for working 20 hours or more per week averaged monthly, but less than 30 hours per week, the individual must be work registered.
If during the review period, the household reports the individual’s work hours have fallen below 20 hours per week, because this is a mandatory reportable change, Request for Verification Notice must be sent to determine if the individual is exempt for another reason. If the household does not respond within 10-days or responds and reports the individual is not exempt for another reason, the ABAWD provisions apply. If the individual has used all of their NE and EE months, they are ineligible.
When an individual is exempt from the ABAWD provisions at initial application or review for working 30 hours or more per week, the individual is also exempt from the work requirements.
If during the review period, the household reports the ABAWD's work hours have fallen below 20 hours per week, because this is a mandatory reportable change, Request for Verification Notice must be sent to determine if the individual is exempt for another reason, along with the Work Registration or Employment and Training Registration form. If the individual does not respond within 10-days or responds and is not exempt for another reason, the ABAWD provisions apply. If the individual has used all of their NE and EE months, they are ineligible.
If the household responds and indicated the ABAWD is exempt from the ABAWD provisions, but not exempt from the work requirements and does not return the Work Registration or Employment and Training Registration form, a 10-day advance notice must be sent stating that the individual is ineligible and that ineligibility can be avoided by returning the form.
Exemptions known to the agency
When an individual is identified as exempt from the ABAWD work requirements at the time of application or review and it is known to the agency the exemption will end sometime during the review period, the household becomes subject to the ABAWD work requirements and time limit of benefits unless they are fulfilling the ABAWD work requirements or are otherwise exempt.
The county should advise the household at the time of application or review they will become subject to the ABAWD time limit, at which point during the review period each household member’s eligibility for SNAP will be limited to three months if they are not fulfilling the ABAWD work requirements or are otherwise exempt. The county should also inform the household they should report if a household member starts fulfilling the ABAWD work requirement or a change that would exempt them from the time limits. It is the responsibility of the household to report the change.
Once the known exemption ends, Request for Verification Notice, must be sent to the household to determine if the individual is exempt for another reason, along with the Work Registration or Employment and Training Registration form, if required. If the household does not respond within 10-days or responds and is not exempt for another reason, the ABAWD provisions apply and the individual who is no longer exempt. If the individual has used all of their NE and EE months, they are ineligible.
If the household responds and indicates they are exempt from the ABAWD provisions, but not exempt from the work requirements and does not return the Work Registration or Employment and Training Registration form, a 10-day advance notice for failure to comply must be sent stating that the individual is ineligible and that ineligibility can be avoided by returning the form.
Example:
A household consisting of a mother age 40 and her son age 17 complete a review in April and remain eligible. During the review process the Work Registration is signed and the eligibility worker explains the ABAWD exemptions and when the exemption will end since the son will be turning 18 on June 2nd.
On June 3, the Request for Information is sent to the household to determine if another ABAWD exemption exists. The household does not respond. Both household members would become subject to the ABAWD time limit for July.
In August, the mother reports she has started a job working 30 or more hours per week and provides verification of the new employment. The mothers is considered exempt and the income is acted on at the next review.
Households reporting loss of an exemption
When an individual is exempt from the ABAWD provisions at initial application or review and reports the loss of the exemption, the household becomes subject to the ABAWD work requirements and time limit of benefits unless they are fulfilling the ABAWD work requirements or are otherwise exempt.
If the household reports the loss of an ABAWD exemption, the Request for Verification Notice, must be sent to the household to determine if the individual is exempt for another reason, along with the Work Registration or Employment and Training Registration form, if required. If the household does not respond within 10-days or responds and is not exempt for another reason, the ABAWD provisions apply and the individual is no longer exempt. If the individual has used all of their NE and EE months, they are ineligible.
If the household responds and indicates they are exempt from the ABAWD provisions, but not exempt from the work requirements and does not return Work Registration or Employment and Training Registration form, a 10 day advance notice must be sent stating that the individual is ineligible and that ineligibility can be avoided by returning the form.
At any time during the review period the household reports a loss of exempt status and ABAWD provisions apply, the exemption must be removed for the month following the month the loss of exemption occurred and the ABAWD countable months must start with that month.
Example:
1. Individual applies on March 1 and is exempt from the ABAWD provisions because they have a 5 year old child in the household. On April 10th the individual reports that the 5 year old child moved out of the household on April 10th. The exemption must be removed for the month of May and the ABAWD countable months begin with the benefit month of May.
2. Individual applies on March 1 and is exempt from the ABAWD provisions because they have a 5 year old child in the household. A six month review is assigned and due July for August. Individual submits the review July 15th and reports that the 5 year old child moved out of the household March 20th. The exemption must be removed back to April and ABAWD countable months applied for April, May and June. Overpayments must not be established for July as this is not a mandatory reportable change.