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Income and assets are either exempt or nonexempt following the policies in Chapter 15 Income and Chapter 16 Assets.

Transfers of exempt income and assets are not divestment with the exception of homestead property SECTION 17.2.7.1 TRANSFER FOR LESS THAN FAIR MARKET VALUE (see SECTION 17.2.3 TRANSFERS THAT ARE NOT DIVESTMENT).

Transfers of nonexempt income and assets are evaluated for divestment rule applicability. 17.2.2 Date of Transfer Any transfer of nonexempt income or nonexempt assets that occurs during the look back period (see 17.2.2.1 THE LOOK BACK PERIOD) or while a person is eligible for long-term care services must be evaluated for divestment. The exact date of each transfer is needed to evaluate the transfer for divestment rule applicability. For real property, such as homestead property, the date of transfer is the date the Quit Claim Deed was signed and notarized or authenticated by an attorney. The date the county Register of Deeds recorded the transfer is not the date of transfer. 17.2.2.1 The Look Back Period Per federal law, transfers of nonexempt income or assets that occur during the 60 months (five years) prior to the month of application must be evaluated for divestment. This 60-month period is the “look back period.” 17.2.2.1.1 Beginning of the Look Back Period The first month (month one) of the look back period is the more recent of either: • The month before the institutional Medicaid application month. • The month before the Community Waivers program application month. The application month is the first month all of these conditions are true: Program Conditions Institutional Medicaid

The applicant is institutionalized.

The applicant has applied for health care. Community Waivers Programs

The applicant is determined to be functionally eligible.

The applicant has requested one of the Community Waivers programs.

The applicant is otherwise eligible for enrollment in Family Care, Family Care Partnership, PACE, or IRIS.

Example 1 Kaylee was institutionalized on March 2. She submitted a signed application for Medicaid to the agency on May 5. Her look back period begins with April as month one.

Example 2 Judas had options counseling with the ADRC and submitted a signed Medicaid application and request for Family Care on June 19. He was found functionally eligible on May 5 and was otherwise eligible for enrollment in FC through Waiver Medicaid. His look back period begins with May as month one.