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Louisiana Medicaid Eligibility Manual Eligibility Factors

Reissued October 21, 2025 Page 25 of I-1670 Replacing January 27, 2025 Revised/added text indicated by underscore Deleted text indicated by “**” asset if the original asset is returned.

Under pre-DRA, if all assets are returned to the individual, no penalty can be assessed. If a penalty has been assessed and payment for services denied, a return of the assets requires a retroactive adjustment back to the beginning of the penalty period.

Under post-DRA, this is no longer the case. Count all assets returned to the individual as available in determining current eligibility.

If only a part of the asset or its equivalent value is returned, the penalty period end date is modified.

I-1679 REBUTTAL OF PRESUMED VALUE

All cases involving a transfer of assets with any amount of uncompensated value require that the applicant/beneficiary be offered an opportunity to rebut the presumption that the transfer was made to become Medicaid eligible or to qualify for LTC vendor payment.

Mail immediately, the BHSF Form 2-TR, Notification of Transfer of Resources Determination to the applicant/beneficiary/responsible person advising him of:

• The amount of the uncompensated value;

• The period for which he will be ineligible for LTC vendor payments and/or HCBS; and

• His right to rebut the presumed reason for transfer within seven (7) working days.

If the applicant/beneficiary/responsible person makes no effort to rebut within seven (7) working days after the notification form was mailed, assume that the presumption is valid and determine the impact on eligibility.

An applicant/beneficiary/responsible person who wishes to rebut the presumption is responsible for presenting convincing evidence that the transfer was exclusively for another purpose.

The presence of one or more of the following factors may indicate that the asset was transferred exclusively for a purpose other than to qualify for assistance: