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Chapter: 2400 Budgeting Income Program: FS 17 transaction involving the sale of a controlled substance shall be disqualified for two years for the first finding and permanently for a second such finding.

6. Disqualification for Drug Trafficking: An individual who has been determined guilty on or after 7/1/97, by a Federal, state or local court of a drug trafficking felony including agreeing, conspiring, combining, or confederating with another person to commit the act committed on or after 8/22/1996 is permanently disqualified from the Food Stamp Program. If the illegal behavior that lead to the conviction occurred on or before 8/22/96, the disqualification does not apply regardless of the date of the conviction. If a court expunges the felony drug trafficking conviction, the individual is not subject to the disqualification. The individual must provide proof of the expungement.

7. Disqualification for the Sale of Firearms, Ammunition, or Explosives: An individual found by a Federal, state or local court to have used or received food stamps in a transaction involving the sale of firearms, ammunition, or explosives shall be permanently disqualified from participation in the Food Stamp Program. 2410.0500 INCOME AVERAGING (FS) Income averaging is a method used to adjust for fluctuations in income, as described in passages 2410.0501 through 2410.0509. 2410.0501 Averaging Fluctuating Income (FS) To average income, the eligibility specialist must consider the assistance group's anticipation of monthly income fluctuations over the certification period. When averaging income, use the most recent consecutive four weeks or the best available information when it is representative of the individual's future earnings.

Example 1: At application, Mr. Smith provides the most recent consecutive four pay stubs from his job. He states he has not received any pay raises or significant changes in the number of hours he is working. As such, the eligibility specialist projects his future monthly earnings on an average of the four pay stubs he presented.

Example 2: At recertification, Mr. Smith provides the most recent consecutive four pay stubs from his job. The two more recent stubs indicate a $1.00 increase in his hourly rate. Since he has had a change in his hourly rate, the eligibility specialist does not use all four pay stubs to project his future earning potential. Instead, the eligibility specialist uses the two pay stubs which are representative of his future earnings and averages these to project his monthly earnings. 2410.0502 When Income should be Averaged (FS) When computing a budget, income should be averaged whenever it is received:

1. in differing amounts; 2. at varying periods; 3. from sources such as tips, commissions, and overtime; 4. at a regular rate and schedule of pay, but to cover time periods which vary; or 5. in any combination of the above, or any time the same amount is not received at the same time each month, resulting in the amounts to be budgeted varying from month to month. 2410.0503 Unearned Income (FS) Unearned income such as contributions or child support payments may be averaged using the same procedures as for earned income.