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Chapter: 2400 Budgeting Income Program: FS 15 Example: An elderly individual incurs a one-time medical expense in April, reports this expense and provides verification in the same month. A loan, to be paid in monthly installments over a two year period, is obtained to pay the full medical bill in April. The expense may be allowed in the month in which verified or the assistance group has the option of deducting the loan repayments over the two year period.

Medical expenses billed through charge accounts are considered billed when the charge account statement is received. Charge account expenses, such as interest, would not be allowable as part of the medical expense. 2410.0362 Verification of Medical Expenses (FS) The amount of any medical expense shall be verified prior to certification provided the expense would actually result in a disregard. If a portion of the expense is reimbursable, the amount to be reimbursed must be verified before the non-reimbursable portion can be allowed. If verification will delay eligibility, the assistance group AG) shall be advised that its allotment may be determined without allowing the expense. Verification requiring contact with the AG will occur only at initial certification and recertification of eligibility unless the AG requests a change in medical expenses by providing information as to new or changed (newly reported) medical expenses.

If medical expense or anticipated medical expense is reported at certification or recertification but verification is not provided at that time, the medical deduction will not be budgeted. However, when the verification is provided during the certification period, the household will then be allowed the medical deduction. The household will not be provided retroactive medical expenses deduction from the time of certification.

Verification of other factors such as the allowable services provided or the eligibility of the individual incurring the cost shall be required if questionable. When the AG reports a change in medical expenses during the certification period, the expenses must be verified if the source changes or the amount of change results in an increased allotment.

In verifying medical expenses due to an anticipated change, the AG may be unable to provide an exact moment in time and cost associated with the change. A best estimate from the provider(s) as to when the treatment or service will occur and of the cost may be the most accurate verification available. In determining what to accept as verification, the eligibility specialist must use good judgment and, if necessary, consult the supervisor. Expenses so anticipated will require no additional reporting or verification at the time the change in medical expenses actually occurs. The AG may report changes during the certification period, but will not be required. 2410.0363 Student Earned Income Disregard (FS) The earned income of any assistance group member who is under age 18, who is an elementary or secondary school student (middle school or high school), and who lives with a natural, adoptive, or stepparent or under the parental control of a household member other than a parent is excluded. This exclusion continues during semester or vacation breaks, if the student plans to return to school following the break.

For purposes of this income disregard, a student is someone who attends elementary or secondary school or who attends classes to obtain a GED in a program that is recognized, operated or supervised by a state or local school district, or who attends classes through an approved home school program supervised by a state or local school district.

If the amount of the student's earnings or work performed cannot be distinguished from that of other assistance group members, the total income is prorated equally among the working members and the student's share is excluded from consideration as income in the food stamp budget.