2-008.02B Excluded Resources

468 NAC 2-008.02B

Disregarded income is also disregarded as a resource unless there is regulation stating otherwise. In addition, the following resources are excluded in making a determination of eligibility:

  1. Real property which the unit owns and occupies as a home;
  2. Goods of moderate value used in the home;
  3. Clothing;
  4. One motor vehicle if it is used for employment or medical transportation;
  5. A motor vehicle used as the client's home;
  6. Certain trusts (including guardianships) set up for one or more of the children in the ADC/MA unit (see 468 NAC 2-008.07A5 ff.);
  7. The cash value of life insurance policies;
  8. Certain life estates in real property (see 468 NAC 2-008.07B9).
  9. Irrevocable burial trusts up to $3,000 per individual and the interest if irrevocable (see 468 NAC 2-008.07A3a);
  10. Proceeds of an insurance policy that is irrevocably assigned for the purpose of burial of the client (see 468 NAC 2-008.07A3b);
  11. Burial spaces (see 468 NAC 2-008.07B15);
  12. Funds set aside by the Veterans Administration under the Veterans Education and Employment Assistance Act for the future education expenses of a veteran;
  13. Payments from the Indian Claims Commission;
  14. Income received annually, semi-annually, or quarterly which is prorated on a monthly basis and included in the budget. This is excluded over the period of time it is considered income;
  15. Stocks, inventories, and supplies used in self-employment (see 468 NAC 2-008.07B16);
  16. U.S. savings bonds (excluded for the initial six-month mandatory retention period);
  17. An unavailable job-related retirement account that is held by the employer;
  18. The unspent portion of any RSDI or SSI retroactive payments (excluded for six months following the month of receipt); and
  19. An Individual Development Account (an account set up for postsecondary education, purchase of a client’s first home, or establishment of a business).

The worth of resources, both available and excluded, is determined on the basis of their equity.

For any of these funds to be excluded as a resource, they must be segregated in a separate account so that they can be identified. If the funds are not in a separate account the worker shall allow the client 30 days from notification of the requirement to set up a new account. After 30 days the resource is included in the $4,000 or $6,000 limit if the client fails to segregate the funds. If this makes the client ineligible for a grant and the client subsequently segregates the funds, the worker shall determine eligibility for a grant for the month of segregation. Payment is prorated from the date the funds are segregated.

Several excludable resources may be combined in a single account.

(7/28/2000)