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F-115.2.5 Assignment of Resources at the Time of Application for Medicaid (Section III Form 2797–EM) Complete Section III for each month of requested Medicaid coverage. 1. Enter the community spouse's separate resources. 2. Enter the institutionalized spouse's separate resources. 3. Enter joint resources between spouses. 4. Total all resources. Subtract the total amount of Section II, item "f" from the total countable resources of both spouses. The difference (if any) will be the amount of resources applied toward the institutionalized spouse's resource limit. If the value exceeds the resource limit, the customer is ineligible. If the value is within the resource limit, the customer is resource eligible. CAUTION: There are situations in which the customer has separate resources and/or joint resources with their spouse (Section III b & c) which exceed the $2,000 resource limit (ineligible). This situation occurs even though the protected resource amount puts the countable resources for the customer’s eligibility (Section III f) within the $2,000 resource limit. A notice is sent to the community spouse which must advise them to place an amount of resources into their name, which will leave the customer’s resources under the $2,000 resource limit. This notice is generated when the spousal resource assessment is completed in the system. F-115.2.6 Permitting Transfer of Resources to the Community Spouse The applicant must transfer an amount up to the community spouse resource allowance to the community spouse's name only within 30 days from the date of the approval notice. In situations in which transferring the resource(s) cannot reasonably occur within the 30–day period, the customer, spouse and/or their representative(s) must substantiate the circumstances and provide an expected date the transfer will take place. The case manager must monitor, document and verify the situation until the transfer occurs. The customer, spouse and/or their representative(s) must continue to make every effort and take all possible steps to transfer the resource(s) to the community spouse. Failure to comply will cause the resources to count towards the institutionalized spouse's resource limit. State law regarding court orders giving state courts guidelines when protecting income and resources for the community spouse was amended effective October 1, 1993. The guidelines provide for an equal division of income and resources OR a protection of income not to exceed the federal maximum monthly maintenance needs allowance and a protection of resources which does not exceed the federal maximum spousal share. The court may order a greater amount of income for the support of the community spouse upon finding exceptional circumstances resulting in significant financial duress. The court may also transfer a greater amount of resources, in relation to the amount of income generated by the resource, if resources up to the federal maximum are not enough to fund the amount of income ordered. The transfer of resources policies DO NOT apply to transfers made under the provisions above. F-1115.2.5 LONG TERM CARE SERVICES Assignment of Resources at the Time of Application for Medicaid Division of Social Services Medical Assistance Manual 08 Aug MTL 08/25