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Title 8: Medicaid Page 38 Iowa Department of Health and Human Services Employees’ Manual Chapter D: Resources Transfer of Assets Revised September 13, 2024 Transfers That Do Not Cause a Penalty  The applicant’s or member’s home is transferred to one of the following: • The spouse of the institutionalized applicant or member. • A child of the institutionalized person who is under age 21, or who is blind or totally disabled as defined by the Social Security Administration. The child is considered disabled if the child is:  Receiving SSI or Social Security benefits or Railroad Retirement benefits as a blind or disabled person, or  Declared disabled by a Department disability determination. See 8-C, When the Department Determines Disability. • A sibling of the institutionalized applicant or member who has an equity interest in the home and who lived in the home at least one year immediately before the applicant or member became institutionalized or eligible for HCBS waiver or PACE services. Verify that the sibling has an equity interest and lived in the home for the required period of time. • A son or daughter who was living in the parent’s home for at least two years immediately before the date the parent became institutionalized, and who provided care to the parent that allowed the parent to live at home rather than in a medical institution. The parent can be either a biological parent or stepparent. Verify with a third party the length of time that the parent was able to stay home due to the care of the son or daughter.

1. On September 17, while Mr. W is living at home on his farm, he transfers his farm to his son, age 51. Mr. W enters a nursing facility on September 29. His son is not disabled, and did not provide care to Mr. W while Mr. W was at home. The worker determines Mr. W is subject to a penalty, because the son to whom the farm was transferred did not meet the criteria for exempting the transfer.