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a. Change the applicant's resource total;

BUT

b. Do not change the protected amount for the CUSP (CSRA), unless minimum/maximum was used and that amount has increased in policy since the assessment. Use the minimum/maximum in effect at the point that eligibility is established.

c. EXAMPLE: Total resources at first CPI was $60,000. CSRA is $30,000. At point of application, couple had $35,000. They state intent to reduce the applicant's resources from $5,000 to the $2000 limit by the 45th day. Prior to reduction of resources (which would establish an effective date of Medicaid eligibility), the CUSP learns she has inherited $10,000. The CSRA remains $30,000 and deducted from $45,000 makes the applicant's resource total $15,000.

2. The additional resources in excess of the original protection amount (CSRA) are countable and available to the applicant, regardless of which spouse holds the asset.

3. If transferred to anyone other than the community spouse, a penalty must be imposed for transfer of assets.

E. Additional Assets Acquired by Either Spouse After Effective Date of Medicaid Eligibility

1. Acquired by Medicaid beneficiary (institutionalized spouse) and:

a. Retained by the beneficiary:

(1) Are countable beginning the first day of the month after the month acquired.

(2) If the resources cause the reserve total to exceed $2,000, propose termination.

b. Transferred to the community spouse:

(1) There is no sanction for transfers between legal spouses; and

(2) The transferred resources are no longer countable/available to the beneficiary (institutionalized spouse).