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4) The trust department of a local bank.

c. Contact the lawyer who handled the legal aspects of the trust funds.

d. Contact the local office of the Internal Revenue Service as all trust funds must be reported. A signed release statement is required.

2. Refer to MA-2230, Financial Resources, for guidelines for evaluating trusts for income and resources.

3. Count the income from trusts received by Medicaid a/b or financially responsible person.

N. Educational Loans, Grants and Scholarships

1. If a budget unit member receives any educational loans, grants, or scholarships administered by any source other than under the Higher Education Act of 1965 (HEA) or Bureau of Indian Affairs, (BIA) and an amount is designated for room and board expenses (maintenance), count this designated amount as unearned income. These items may be listed as "Living Costs" on the document.

2. Any portion of educational assistance that is not used to pay current tuition, fees or other necessary educational expenses, but will be used for paying this type of educational expense at a future date is excluded from income. Exclude from resources for 9 months beginning the month after the month it was received. See MA-2230 Financial Resources. (This applies to undergraduate as well as graduate students).

3. Verification source - Contact the provider in writing or by telephone.

a. Verify if the assistance is received yearly or on a basis other than yearly.

4. Determine how much of the educational grant, loan, or scholarship to budget.

a. If the educational loan, grant, or scholarship (other than HEA or BIA) is received on a yearly basis:

1) Subtract the allowable yearly expenses of tuition, books, fees, equipment, special clothing needs, required school insurance, and childcare services necessary for school attendance.