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Title 5: Centrally Administered Programs Page 56 Iowa Department of Human Services Employees’ Manual Chapter E: Healthy and Well Kids in Iowa (hawk-i) Types of Income Revised July 3, 2009 Indian Funds

441 IAC 86.2(2)“a”(2) Casino profits distributed to members of the tribe are not “judgment funds” and, therefore do not meet the criteria for exemption. So, when Native American family members are receiving a share of casino profits, this income is countable as unearned income when determining hawk-i eligibility and when screening for Medicaid.

It may not be clear from the application whether the family is receiving judgment funds or casino profits. In either case, the type of income should be verified.

In order to determine if the income is exempt or countable, ask the family to obtain a statement from the tribe that explains the type of income and, for casino profits, the frequency of the payments.

If the family already has a letter from the tribe explaining the situation, ask the family for a copy to determine if the letter contains sufficient information. If the letter does not contain sufficient information, ask the family to obtain a statement from the tribe that contains the sufficient information.

NOTE: Casino profits are not distributed only to adult members of the tribe. Children may also receive them. Some tribes withhold a portion of the payment and place it in an inaccessible trust for the child, payable only when the child reaches a certain age. If so, count as unearned income only the amount actually received by the child. The amount withheld by the tribe is exempt as income. Individual Development Accounts 441 IAC 86.2(2)“a”(1) and (2) An IDA is an optional, interest-bearing account much like an Individual Retirement Account (IRA), but it is not a pension plan. IDAs are established and managed by the Department-approved organizations. IDAs are opened in financial institutions and are set up in an individual’s name.

Any Iowan whose family income is below 200% of the federal poverty level and who lives in an area where there is an IDA project can open an IDA.