113.01 Mismanagement of Funds (AAM)

113.01 Mismanagement of Funds (AAM)

SR 94-04 Dated 04/94 Previous Policy

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Persistent mismanagement of the assistance payment to the detriment of the individual is an indication that a protective payee may need to be considered.

Evidence of mismanagement includes, but not limited to, any of the following:

• Recurring inability to plan for and meet a month ’ s needs;

• Recurring failure to meet obligations for shelter and food;

• Repeated evictions or incurrence of debts with attachments against non-assistance income; or

• Recurring incidents of children not being properly fed or clothed, and their health and safety being threatened as a result.

Note: Physical or mental incapacity alone is not a valid reason for assigning a protective payee.

Exception : The following are not valid reasons for protective payments:

• Lack of funds to meet emergencies such as a sudden decrease in income or a sudden illness;

• Expenses for necessary bills exceed the individual ’ s grant and other income; or

• The individual is withholding payment as a reasonable exercise of consumer rights when there is a legitimate dispute about an agreement.

At least every 6 months - review the individual ’ s situation to determine the continued need for a protective payee, and whether the protective payee is meeting responsibilities.

Terminate protective payments when:

• The individual is able to manage funds; or

• A guardian or other legal representative is obtained .

References : He-W 686.01; RSA 167:5; RSA 167:26; 45 CFR 234.70