5521 How to Determine Resource Value of Nonexempt Vehicles

To determine the resource value of nonexempt motor vehicles, the total equity of any nonexempt vehicle shall be considered based on the average trade-in value in the Kelley Blue Book (or other source approved by KDHE-DHCF Policy) less any amounts owed on the vehicle. Instruction for use of the online Kelley Blue Book is contained in P-4, Kelley Blue Book User Instructions .

For consistency in determining the trade-in value through the Kelley Blue Book, mileage shall be calculated by a standard formula of multiplying the age of the vehicle times 15,000 miles per year. “Fair” shall always be used for the vehicle condition and no equipment features should be selected. Instead of using the Kelley Blue Book value, a standard value of $100 shall be assigned to any vehicle more than 7 years old.

If there is a difference of opinion regarding the value of the vehicle, by either the agency or the applicant, an estimate from a reputable car dealer shall be used. The agency is responsible for the cost of the estimate, if any. Equity is calculated by the sale value less any amounts owed on the vehicle, based on the month of the eligibility determination (using the Kelley Blue Book for that month when available). The equity value shall be applied to available resources.

The case file should contain a screen print of the Kelley Blue Book information in situations where the resource value of nonexempt vehicles results in ineligibility.