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2. Unless there was a written agreement for compensation at the time the care or service was received, the transfer is uncompensated.
3. If the agreement or the terms of the agreement are contradictory or inconsistent, refer to MA-2300, Application, to evaluate for conflicting information. XI. TRANSFER SANCTION A. Determine the Uncompensated Value of Transfer(s) 1. List each non-allowable transfer occurring on or after the lookback date through the current date. 2. Determine the date of the transfer. 3. Determine the value of each transferred asset based on policy in MA-2230, Financial Resources. For transfers of tenancy-in-common interest in real property, see X.E. above.
a. Establish the current market value (tax value) at the time of the transfer for each non-allowable transferred asset. b. Subtract any encumbrances at the time of transfer to establish the equity of the asset. The remainder is the equity.
c. Subtract the amount or value received, if any, from the equity. This is the uncompensated value.
d. See X.A, X.B, and X.C above for exceptions to the rule when evaluating annuities, promissory notes, loans, mortgages, or other property agreements, and life estates.
e. The value of certain transferred assets can be rebutted. If an asset’s value has already been successfully rebutted as part of the application process, use the established rebutted value. B. Determine the Sanction Period Length The length of the sanction period is based on the uncompensated value of the transfer. Use DHB-5181, Calculating Penalty Period, as a tool to assist in calculating the penalty period. Determine a sanction period on any uncompensated transfers that occurred after the lookback date. 1. Total the uncompensated value of all transfers in the lookback period.
a. Divide the total uncompensated value for all transfers by the average monthly private NF rate as of the date of the application, institutionalization or request for CAP or PACE. The average monthly private NF rate is $11,904, as of January 1, 2025.