Page 17

18

VI. RESOURCE RESPONSIBILITY

There are two different methods to calculate reserve for an a/b based on the rules for determining financial responsibility. One method counts the total resources of the Medicaid Individual, Medicaid Couple or Medicaid Individual with an Ineligible Spouse. The second method "deems" or indirectly counts a portion of a financially responsible parent(s)'s resources as available to the Medicaid child.

A. Counting the resources of the Medicaid Individual, Medicaid Couple or Medicaid Individual with an Ineligible Spouse

1. Determine financial responsibility as appropriate for the a/b based on the criteria in II. above.

2. Based on financial responsibility that is established for the a/b, count resources as follows:

a. If the a/b is a "Medicaid Individual":

(1) Count the resources available to the a/b only to determine reserve eligibility.

(2) Use the reserve limit for one (see VII. for income/reserve limits).

b. If the a/b is a "Medicaid Couple" or a "Medicaid Individual with an Ineligible Spouse":

(1) Count the total combined resources of both spouses to determine reserve eligibility.

(2) Use the reserve limit for a couple (see VII. for income/reserve limits).

NOTE: Exclude private retirement accounts, i.e., IRA or KEOGH owned by the ineligible spouse.

c. If the a/b is a "Medicaid Child":

(1) Deem a portion of the financially responsible parent(s) resources to the a/b to determine reserve eligibility. See VI.B. below for reserve deeming instructions.

(2) Use the resource limit for one.