Page 39

property must produce an annual income of six percent (6%) of the net market value or current face value of the property. d. Vehicle (personal property). Any motorized mode of transportation that moves persons or articles from place to place. This includes automobiles, trucks, motorcycles, tractors, snowmobiles, recreational vehicles, campers, and motorized boats. One (1) vehicle that is used as the primary source of transportation for the applicant or beneficiary is excluded, regardless of its value. The equity value above four thousand five hundred dollars ($4,500.00) of any other vehicles owned by members of the FRU is counted. e. Life estate (real property). Life estate means a legal arrangement entitling the owner of the life estate (sometimes referred to as the “life tenant”) to possess, rent, and otherwise profit from real or personal property during their lifetime. The amount of a life estate that is countable depends on when it was established, whether the applicant(s) have the legal right to sell the home, and the portion of the proceeds of the sale, if allowed, is available. The owner of a life estate sometimes may have the right to sell the life estate but does not normally have future rights to the property. Life estates are only excluded in full when the owner retains the power to sell or mortgage the home. If the owner does not retain this right, the provisions in Part 50-00-6 of this Title apply. f. Burial Funds (personal property). Any funds clearly designated for burial expenses including burial spaces and related items and services. May take the form of contracts, revocable or irrevocable trusts, or other agreements, accounts, or instruments with a cash value. The following applying when determining the amount of burial expenses that may be excluded under one (1) of the following: (1) Burial Fund Exclusion (BFE). The BFE allows an individual to exclude up to one thousand five hundred dollars ($1,500.00) of resources for services including preparing the body for burial and services that are not performed at the burial site. The exclusion for a couple is three thousand dollars ($3,000.00) and for a person seeking MN eligibility is four thousand dollars ($4,000.00). These resources must be clearly designated for the person or their spouse’s burial, cremation, or other burial-related services; they cannot be commingled with other resources intended for burial. This exclusion applies only if the funds set aside for burial expenses are kept separate from all other resources not intended for burial. The BFE is reduced by the face value of any whole life insurance policy excluded under this Section