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MEDICAL SERVICES POLICY MANUAL, SECTION B
B-700 Transitional Medicaid B 705 Extent of Services
B-700 Transitional Medicaid
MS Manual 12/01/20 The Family Support Act of 1988 (Public Law 100-485), requires that certain Aid to Families with Dependent Children (AFDC) families (Category 20) who lost eligibility April 1, 1990, or later, due to earned income must be given six (6) months of Initial Transitional Medicaid (TM) benefits without an application for such assistance. These families may also qualify for an Additional 6 Months Transitional Medicaid Extension. The Personal Responsibility and Work Opportunity Reconciliation Act of 1996 extended this requirement to certain Medicaid families following replacement of the AFDC program with the Temporary Assistance for Needy Families (TANF) program. In Arkansas, families who lost eligibility for Parents/Caretaker Relatives (PCR), formerly TEA Medicaid, due to earnings are eligible for this extension. The Patient Protection and Affordable Care Act of 2010 and the Health Care and Education Reconciliation Act of 2010 (collectively referred to as the Affordable Care Act) extended this requirement to certain Medicaid families following replacement of the TEAMedicaid program with the Parents/Caretaker Relatives Medicaid (PCR) program.
B-705 Extentof Services MS Manual 12/01/20 Individuals approved for Transitional Medicaid will be eligible for the full range of Medicaid services, including services under the Children’s Health Services Program.
B-710 Eligibility Requirements MS Manual 12/01/20 In addition to the standard Medicaid eligibility requirements of citizenship, enumeration and child support enforcement, the following requirements must be met in determining eligibility for the Initial 6 Months TM Extension Period: 1. The family must have become ineligible for PCR Medicaid due to increased wages or increased hours of employment. 2. The family must have received PCR Medicaid in at least 3 of the 6 months immediately preceding the first month of PCR Medicaid ineligibility. Retroactive months count for this purpose.