Page 83

Vermont Department for Children and Families Reach Up Eligibility Rules Economic Services Division 2200 81

vi. Cost of the household member's living expenses in the relative's home.

d. When a Reach Up household member could not initially establish eligibility due to a prohibited property transfer, they may avoid disqualification by having the property reconveyed to them for consideration as an available resource.

2254.3 Property Sales (08/01/2024, 23-28)

a. An excluded resource that is converted to a liquid asset is subject to the lump sum income rule 2248.1 when:

1. There is a lump sum settlement from a real or personal property sale; and

2. The property is owned by a Reach Up household member receiving Reach Up benefits.

i. Rule 2248.1 does not apply if the property was acquired before the Reach Up household member began receiving Reach Up benefits.

b. The Reach Up household shall be permitted to retain the net proceeds from the sale of real property occupied as their permanent home for a period not to exceed 90 days, provided that: 1. Net proceeds are held in a trust; 2. The plan is to use these proceeds for purchase or construction of another home; and i. The purchased home shall be occupied within 60 days from the date of agreement to purchase; or ii. The constructed home shall be completed and occupied within twelve months from the date of agreement to construct. c. Payments to the Reach Up household under an installment contract on any real or personal property is treated as income and the balance of equity remaining from the mortgage is not considered a resource.

1. The household retains the option of selling the mortgage or accepting a lump sum settlement (rule 2248.1).

2254.4 Excess Resources (08/01/2024, 23-28)

a. Any resources in excess of the combined resources limitation and not treated as a lump sum (rule 2248.1) shall be considered available to the Reach Up household.

b. A Reach Up household shall become ineligible for benefits until such excess resources are exhausted. c. If the excess resources are equal to or exceed the Reach Up household's benefit amount, the household is ineligible for a period of 30 days or until resources fall below the combined resources limitation, whichever timeframe is longer.

2255 Real Property (08/01/2024, 23-28)

a. Real property is defined for purposes of Reach Up eligibility as fixed property, including land, buildings,