NORTH DAKOTA DEPARTMENT OF HUMAN SERVICES
BISMARCK, NORTH DAKOTA
November 10, 2005

AMENDED IM #4970

TO:		County Social Service Directors
Economic Assistance Policy Regional Representatives
Economic Assistance Policy Quality Control Reviewers

FROM:	Blaine Nordwall, Director, Economic Assistance Policy

SUBJECT:	Use of FACSES for Verification of Child Support Income

PROGRAMS:	Child Care Assistance, Food Stamps and LIHEAP

RETENTION: 	Until Manualized

NOVEMBER 10, 2005 – THIS IM IS BEING AMENDED IN THE FOOD STAMP POLICY SECTION ONLY.  THE MONTHS IN THE EXAMPLE UNDER THE FOOD STAMP ALERT IN TECS WERE CORRECTED.  THE AMENDMENTS ARE DOUBLE UNDERLINED.

NOVEMBER 4, 2005 - THIS IM IS BEING AMENDED IN THE FOOD STAMP POLICY SECTION ONLY.  THE AMENDMENTS ARE UNDERLINED. 

Child Care Assistance
Child Care policy in 26-20-01-05, Definition of Unearned Income number 1 and 26-20-10, Income Exclusions number 8 does not change. 

Effective November 1, 2005 for all cases worked, regardless of the service month, the Child Care Assistance Program is mandating the use of FACSES if there is an absent parent and if the client has not reported child support or has not submitted documentation of the child support.  FACSES must also be reviewed if the worker believes that the client may have given incomplete information.

Extended Eligibility:  If there is an absent parent in an extended eligibility case and the client has not reported child support for the months used to determine the average income, FACSES must be checked for those months.  

If the child support cannot be verified through FACSES, verification must be obtained from the client.

Food Stamps

Food Stamp policy at 430-05-50-20-10 – Unearned Income number 12 and 430-05-50-15-10 – Income Anticipation are changed as follows.  This policy is effective with the calendar date of November 1, 2005 and applies to all new applications received on or after November 1, 2005 and for ongoing cases with the benefit month of December 2005.

430-05-50-20-10 – Unearned Income

The full amount of child support, spousal support, or any other payments made directly to the household from non-household members.  

Child support payments are shown as income on UNIN in TECS next to the child the payment is intended for.  Spousal support payments are shown as income on UNIN in TECS next to the person the payment is intended for.

The worker must verify the following:

a)	The amount of the legal obligation.
b)	The amount of child support received.

For all cases with a North Dakota court order, verification must be obtained from FACSES.  For those households with an out-of-state court order, verification must be obtained using child support stubs or documented collateral contacts. 

Federal tax intercept payments are a non-recurring lump sum and are not counted as income.  Federal tax intercept payments do not appear on the FACSES VIEW ledger.  

State and interstate state tax intercept payments are counted as income as these payments are applied to current child support.  State tax intercept payments do appear on the FACSES VIEW ledger.  

If child support income is received monthly or twice a month, it may be averaged if the household agrees to income averaging. This must be documented in the casefile.

If child support is received via check, direct deposit or electronic payment card (EPC), the worker must allow three working days for posting to the financial account in determining when the income was received.  Day one of the three-day count is the check date on the View Eligibility Ledger Detail screen in FACSES or the date on the check or child support statement for payments not processed through FACSES.  To get to the View Eligibility Ledger Detail screen in FACSES, put an X in the select (‘SEL’) column by a transaction on the View Eligibility Worker screen and enter.

THIS SENTENCE WAS ADDED AS A REMINDER TO GO TO THE VIEW ELIGIBILITY LEDGER ‘DETAIL’ SCREEN TO DETERMINE THE CHECK DATE AND AMOUNT OF CHILD SUPPORT INCOME DISBURSED TO THE CLIENT.    

If child support is received as an annual payment, it is prorated over the period of time it is intended to cover (in this instance 12 months).

Based on discussion with the household and the verification provided, the worker must document the amount of child support income counted or not counted and why.

For any household that receives child support income either weekly or biweekly, unless the household actually receives each payment on the same day of each week or every other week, the worker must not anticipate an extra payment.

If a household receives child support income either weekly or biweekly, the extra payment will not be counted from the base month when processing the benefit month.  

EXAMPLE:

Household receives child support income weekly.  The household, based on verification from FACSES, has not received payments on the same day of each week.  In September when processing benefits for October, the worker checks FACSES and determines that the household could receive five payments in October.  August verified child support income is used when determining eligibility and level of benefits for October.  

In November when processing December benefits, the worker checks FACSES and determines that the household did receive five payments in October.   However, the payments were not received the same day of each week in October.   When determining eligibility and level of benefits for December, the worker must take the five payments received in October divided by five times four to arrive at the amount of child support counted for December.   Five payments must not be anticipated for December, as the household will only receive four.

Initial Application

At application, child support income to the date of interview must be verified via FACSES and documented.  That amount must be counted along with what the household anticipates to receive for the remainder of the application month.  

If a household comes in for the interview at the end of the initial month, all child support received in the initial month must be counted. The three working days allowed for posting to the financial account in determining when income is received does not apply to any payment(s) the household may have already received in the initial or second beginning month.

When processing the second beginning month, the amount of child support income used in the initial month must be anticipated unless the household anticipates a change.

	Recertifications

At recertification the worker must verify all income up to the date of interview.  If the household is interviewed in the last month of the certification, base month child support income must be used, unless the household reports an anticipated change.  If the household reports an anticipated change, verification of the change must be provided and is used.

If the household files a late recertification and is not seen until the month after the end of the current certification period, processing month income must be used, unless the household reports an anticipated change.  If the household reports an anticipated change, verification of the change must be provided and is used.  

Ongoing Cases

For ongoing cases, the most current month’s (base month) income as reflected on FACSES must be used to calculate eligibility and level of benefits, unless the household reports a change.

Examples:

1.	Household does not report any changes.   In processing benefits for the month of December, the worker checks FACSES and $200.00 in child support payments was received in October.  The $200.00 received in October is counted when calculating eligibility and level of benefits for December.

2.	Household does not report any changes.   In processing benefits for the month of December, the worker checks FACSES and no child support payments were received in October.  Zero child support is counted when calculating eligibility and level of benefits for December.

For a household that reports that they do not expect to continue to receive child support income, the worker must follow up on this reported change by sending the F442 requesting verification. 

If the household reports a change in child support income, and does not provide verification of the change, and the change is not reflected in FACSES, the worker must send F442 and follow up on the reported change.  Benefits are authorized the same as the previous month if the household does not respond and provide verification.

Exception:

If the household reports an anticipated change in the amount of child support they expect to receive that will result in a decrease in benefits, the change must be acted on without verification of it. Verification must be obtained at the next recertification.

If a household received no child support in the base month and submits verification of child support received in the processing month, it must be used.   
THIS PARAGRAPH IS BEING REMOVED, AS IT DOES NOT PERTAIN TO ONGOING CASES.

Income Anticipation 430-05-50-15-10
 
Income already received or future income that can be reasonably anticipated, will be taken into account at the time of certification. If the amount or receipt of income is uncertain, that portion of the household's income that is uncertain will not be counted. That portion which can be anticipated with reasonable certainty is counted as income. 
 
In cases where the receipt of income is reasonably certain but the monthly amount may fluctuate, the household may elect to income average, if paid once or twice a month. 
 
In cases where income is received sporadically, the worker must use base month income, unless the household reports a change.  

Examples:  

On call income or child support received on an irregular basis.

Food Stamp Alert in TECS

An alert will be generated in TECS on the 2nd working day of the month for each household member with a participation code other than OU, who received child support income in the prior month.  For example, in November 2005 when processing December 2005 benefits, the worker will receive an alert on November 2, 2005, for each household member who received child support income (based on check date in FACSES) in the calendar month of October 2005.  The alert will read CS INCOME CHECK FACSES #######.  The # signs represent the first 7 letters of the household members name.

Child support income must be coded by the child the income is for if that child is in the household.  If the child is not in the household, the income must be coded by the household member who received the payment.  The appropriate code in TECS for child support income received is CR.

Example:

In November when processing December benefits, the worker receives an alert.  In checking FACSES, there were three payments on the ledger for October.  Applying 3 working days, the third payment is not received by the client until November.  The worker must set an alert as a reminder to count the third payment as base month November income.

LIHEAP

LIHEAP policy will now be that FACSES must be used for Verification of Child Support income. 
 
	415-25-05-20-20, Other Income   Add to #7
Child support and alimony payments.   It is mandated by LIHEAP that the Child Support Enforcement System must be used to determine Child support income.  

Medicaid

Medicaid Budgeting Policy at 510-05-90, which includes Guidelines for Anticipating Income, has not changed.  

With regards to the use of FACSES, Medicaid Policy is implementing the following directive:

New Applications

•	If the applicant reports receipt of Child Support income and attaches verification, no further action is required. 
•	If the applicant reports receipt of Child Support income and does not attach verification:
	-	FACSES should be accessed to verify the child support income.  If the income cannot be verified through FACSES, verification must be obtained from the applicant.  

	Ongoing Cases

•	If an alert was created for the case:
	-	FACSES should be accessed to verify the child support income. 
•	If an alert was not created for the case and the recipient reports receipt of child support income and attaches verification, no further action is required.
•	If an alert was not created for the case and the recipient reports receipt of child support income and does not attach verification:
-	FACSES should be accessed to verify the child support income.  If the income cannot be verified through FACSES, verification must be obtained from the applicant.  

Temporary Assistance for Needy Families
TANF policy section 400-17-60-15 provides guidelines for child support received by a TANF household.

With regards to the use of FACSES, TANF policy is implementing the following directive:

New Applications

•	If the applicant reports receipt of Child Support income and attaches verification, no further action is required. 
•	If the applicant reports receipt of Child Support income and does not attach verification:
	-	FACSES should be accessed to verify the child support income.  If the income cannot be verified through FACSES, verification must be obtained from the applicant.  

	Ongoing Cases

•	If an alert was created for the case:
	-	FACSES should be accessed to verify the child support income. 
•	If an alert was not created for the case and the recipient reports receipt of child support income and attaches verification, no further action is required.
•	If an alert was not created for the case and the recipient reports receipt of child support income and does not attach verification:
-	FACSES should be accessed to verify the child support income.  If the income cannot be verified through FACSES, verification must be obtained from the applicant.  

Vision Alert – Medicaid and TANF
The following revised child support alert is anticipated to be in the Vision system for Medicaid and TANF with the December 2005 rollout:
•	Short description: “C.S. Collected”
•	Long description: “(Keyword Custodian) was sent Child Support on (keyword date) collected from (Keyword Absent Parent Name) for (keyword child(ren).  Check FACSES”.