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DEPARTMENT OF HUMAN SERVICES FAMILY INVESTMENT ADMINISTRATION SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM (SNAP) MANUAL RESOURCES Section 200 Page 9

200.51 Acceptable Transfers (continued) D. Resources that are transferred for reasons other than qualifying or attempting to qualify for benefits. For example, a parent sets up an educational trust fund that meets the definition of an excludable trust fund. 200.52 Establishing a Disqualification Give households a reasonable opportunity to explain the circumstances surrounding a transfer of resources. Do not disqualify the household if the household can establish a valid reason for the transfer, other than the intent to qualify. Do not disqualify a categorically eligible household. A. Deny the household’s application if it is determined it transferred resources knowingly, with the intent to qualify for benefits. The denial notice must state the reason for and length of disqualification as well as the right to a fair hearing. B. The disqualification period begins with the month of application. C. Send a Notice of Adverse Action explaining the reason for and length of the disqualification if a household’s case is active at the time a transfer is discovered. D. The disqualification period begins with the first allotment following the expiration of the adverse action period, unless the household requests a fair hearing and continued benefits (benefits are not continued if the certification period has expired and eligibility has not been redetermined). E. Do not impose a disqualification penalty more than once for the same transfer. The case manager must very clearly document that the disqualification was implemented. 200.53 Determining the Length of the Disqualification

A. Base the length of disqualification on the amount that exceeds the resource limit when the value of the transferred resource is added to all other countable resources. ______________________________________________________________________ REVIEWED JUNE 2026