CABINET
FOR HEALTH AND FAMILY SERVICES
Department for Community Based Services
Division of Family Support
(Amendment)
921 KAR 2:050. Time and manner of
payments.
RELATES
TO: KRS 205.220, 205.245, 42 U.S.C. 601-619
STATUTORY
AUTHORITY: KRS 194A.050(1), 205.220, 205.245, 42 U.S.C. 601-619
NECESSITY,
FUNCTION, AND CONFORMITY: KRS 194A.050(1) requires the secretary to promulgate
all administrative regulations authorized by applicable state laws necessary to
operate the programs and fulfill the responsibilities vested in the cabinet or
to qualify for the receipt of federal funds and necessary to cooperate with
other state and federal agencies for the proper administration of the cabinet
and its programs. KRS 205.220 prescribes who is eligible for public assistance
and requires the cabinet to prescribe by administrative regulation the time and
manner of payments of public assistance grants for eligible individuals. KRS
205.245 provides for a money payment to the needy aged, needy blind, and needy
permanently and totally disabled. This administrative regulation establishes
the time and manner of payments for the Kentucky Transitional Assistance
Program (K-TAP) and the Kentucky Works Program (KWP) in conformity with the
Social Security Act, 42 U.S.C. 601 - 619, and federal regulations. It also
establishes the time and manner of State Supplementation Program (SSP) payments
and Mental Illness or Intellectual Disability (MI/ID)[Mental
Retardation (MIMR)] Supplement Program payments.
Section
1. Authorization of K-TAP Payments. (1) Method of payment.
(a)
A payment shall be issued monthly by:
1.
Check;
2.
Electronic benefit transfer (EBT); or
3.
Direct deposit into a recipient's checking account upon completion by the
recipient of the "Direct Deposit Authorization, Form PA-63.
(b)
A payment shall be issued prospectively.
(2)
Initial payment.
(a)
A K-TAP approval shall not be made for a period prior to the date of
application.
(b)
The effective date of an initial payment for a K-TAP approval shall be the date
an application is filed if eligibility factors are met as of that date.
(c)
If eligibility factors are not met as of the day of application, the approval
shall be effective the date on which all factors are met.
(3)
Subsequent and special payment.
(a)
Except in a situation pursuant to paragraph (b) of this subsection, a
subsequent K-TAP payment shall be made for an entire month in which technical
eligibility factors are met as of the first day of the month.
(b)
A special payment shall be issued:
1.
If the regular monthly payment received is less than the entitled amount based
on a household circumstance; and
2.
For a period of up to twelve (12) months preceding the month of error
correction, if the error existed in the preceding months.
(4)
Inalienability of payment.
(a)
A K-TAP payment shall be unconditional and exempt from a remedy for the
collection of a debt, lien, or encumbrance from an individual or agency other
than the Cabinet for Health and Family Services.
(b)
The Cabinet for Health and Family Services may initiate recoupment to recover
overpayment of benefits pursuant to 921 KAR 2:016.
(c)
The Cabinet for Health and Family Services shall make adjustments to an EBT
account to correct an auditable, out-of-balance settlement condition that occurs
during the redemption process as a result of a system error.
(5)
EBT Account Inactivity.
(a)
If an EBT account has not been debited in 365 days, the cabinet shall:
1.
Expunge a monthly benefit on a monthly basis as each individual benefit month
reaches a date that is 365 days in the past; and
2.
Notify the household in writing:
a.
That the household’s EBT account has not been debited in the last 365 days; and
b.
Of the amount of EBT benefits that have been expunged.
(b)
If a recipient debits the EBT account, the expungement process shall cease.
(6)
Eligible payee.
(a)
A money payment shall be issued in the name of the approved applicant.
(b)
Upon request of an individual specified in this subsection, a K-TAP payment for
the month of death shall be reissued to the:
1.
Widow or widower;
2.
Parent;
3.
Guardian; or
4.
Executor or administrator of the estate.
(c)
If the payment is reissued to an executor or administrator, a copy of the
appointment order shall be obtained as verification.
(7)
In accordance with 42 U.S.C. 608(a)(12), a K-TAP payment received on EBT shall
not be accessed via an EBT transaction, such as a point-of-sale terminal or an
automated teller machine, at a:
(a)
Liquor store;
(b)
Business that provides adult-oriented entertainment in which performers disrobe
or perform in an unclothed state for entertainment;
(c)
Casino;
(d)
Gambling casino; or
(e)
Gaming establishment.
(8)
The terms used in subsection (7) of this section shall be defined in accordance
with 42 U.S.C. 608(a)(12)(B).
Section
2. Supportive Services for KWP Participants. A supportive services payment for
a KWP participant shall be made according to the type of service provided, as
follows:
(1)
A child care payment shall be issued pursuant to 922 KAR 2:160.
(2)
A transportation payment pursuant to 921 KAR 2:017 shall be made directly to
the K-TAP recipient.
(3)
Other approved supportive services payments shall be made:
(a)
Directly to the provider; and
(b)
Within thirty (30) days of receipt of appropriate verification of service
delivery of billing, pursuant to 921 KAR 2:017.
Section
3. Authorization of an SSP payment. (1) Method of payment.
(a)
A payment shall be issued monthly by:
1.
Check; or
2.
Direct deposit into a recipient’s checking account upon completion by the
recipient of the PA-63, Direct Deposit Authorization form; and
(b)
A payment shall be issued prospectively.
(2)
Initial payment.
(a)
The effective date for SSP approval shall be the first day of the month in
which:
1.
An application is filed; and
2.
Eligibility factors are met.
(b)
An SSP payment shall be made for the entire month of which eligibility factors
are met.
(3)
Subsequent and special payment.
(a)
A subsequent SSP payment shall be made for an entire month in which eligibility
factors are met as of the first day of the month.
(b)
A special payment shall be made:
1.
If the regular monthly payment received is less than the entitled amount based
on a household circumstance; and
2.
For a period of up to twelve (12) months preceding the month of error
correction, if the error existed in the preceding months.
(4)
Inalienability of a payment.
(a)
An SSP money payment shall be unconditional and is exempt from a remedy for the
collection of a debt, lien, or encumbrance from an individual or agency other
than the Cabinet for Health and Family Services.
(b)
The Cabinet for Health and Family Services shall initiate recoupment to recover
overpayment of benefits.
(5)
Eligible payee.
(a)
A money payment shall be issued in the name of the eligible applicant except as
provided in paragraph (b) of this subsection.
(b)
A money payment may be issued to the:
1.
Legally appointed committee or guardian; or
2.
Person serving as the representative payee for another statutory benefit such
as Supplemental Security Income.
(c)
Upon request of an individual specified in this subsection, an SSP payment for
the month of death shall be reissued to the:
1.
Widow or widower;
2.
Parent;
3.
Guardian; or
4.
Executor or administrator of the estate.
(d)
If the payment is reissued to an executor or administrator, a copy of the
appointment order shall be obtained as verification.
Section
4. Authorization of Persons with MI/ID[MIMR] Supplement Program
Payment. (1) Method of payment.
(a)
The MI/ID[MIMR] supplement payment shall be made:
1.
Quarterly;
2.
By the last day of the month following the month that the certified quarter
ends; and
3.
Following receipt of appropriate documentation, pursuant to 921 KAR 2:015.
(b)
The training reimbursement payment for the MI/ID[MIMR] Supplement
Program shall be made:
1.
Quarterly;
2.
By the last day of the month following the month that the certified quarter
ends; and
3.
Following receipt of appropriate documentation, pursuant to 921 KAR 2:015.
(2)
Initial payment.
(a)
Following the notification to the Cabinet for Health and Family Services by the
personal care home (PCH) of its intent to participate, the effective date of
the MI/ID[MIMR] supplement shall be the first day of a month that
certification requirements pursuant to 921 KAR 2:015 are met.
(b)
If a Type A citation issued from the Office of Inspector General occurs,
payment shall be made only for eligible months pursuant to 921 KAR 2:015.
(3)
A subsequent payment shall be made for a month within a quarter in which
eligibility factors are met.
(4)
Eligible payee.
(a)
Payment for the MI/ID[MIMR] supplement shall be made to the
participating PCH, meeting MI/ID[MIMR] certification requirements,
for an eligible calendar quarter, pursuant to 921 KAR 2:015.
(b)
Payment for the MI/ID[MIMR] training reimbursement shall be made
to the participating PCH.
Section
5. Incorporation by Reference. (1) The "PA-63, Direct Deposit
Authorization", 12/15[11/11], is incorporated by reference.
(2)
This material may be inspected, copied, or obtained, subject to applicable
copyright law, the Department for Community Based Services, 275 East Main
Street, Frankfort, Kentucky 40621, Monday through Friday, 8 a.m. to 4:30 p.m.
TERESA
C. JAMES, LCSW, Commissioner
AUDREY
TAYSE HAYNES, Secretary
APPROVED
BY AGENCY: July 7, 2015
FILED
WITH LRC: July 9, 2015 at 11 a.m.
PUBLIC
HEARING AND PUBLIC COMMENT PERIOD: A public hearing on this
administrative regulation shall, if requested, be held on August 21, 2015, at 9:00
a.m. in the Health Services Auditorium, Health Services Building, First Floor,
275 East Main Street, Frankfort, Kentucky. Individuals interested in
attending this hearing shall notify this agency in writing by August 14, 2015,
five (5) workdays prior to the hearing, of their intent to attend. If no
notification of intent to attend the hearing is received by that date, the
hearing may be canceled. The hearing is open to the public. Any person who attends
will be given an opportunity to comment on the proposed administrative
regulation. A transcript of the public hearing will not be made unless a
written request for a transcript is made. If you do not wish to attend the
public hearing, you may submit written comments on the proposed administrative
regulation. You may submit written comments regarding this proposed
administrative regulation until August 31, 2015. Send written notification of
intent to attend the public hearing or written comments on the proposed
administrative regulation to:
CONTACT
PERSON: Tricia Orme, Office of Legal Services, 275 East Main Street 5 W-B,
Frankfort, Kentucky 40601, phone 502-564-7905, fax 502-564-7573, email tricia.orme@ky.gov.
REGULATORY IMPACT ANALYSIS AND TIERING STATEMENT
Contact
person: Elizabeth Caywood
(1)
Provide a brief summary of:
(a)
What this administrative regulation does: This administrative regulation
establishes the time and manner of payments made to Kentucky Transitional
Assistance Program (K-TAP) recipients, Kentucky Works Program (KWP) participants
for supportive services, and State Supplementation Program (SSP) recipients.
(b)
The necessity of this administrative regulation: This administrative regulation
is necessary to establish the time and manner in which public assistance payments
are issued.
(c)
How this administrative regulation conforms to the content of the authorizing
statutes: This administrative regulation conforms to the content of the authorizing
statutes by establishing the time and manner of K-TAP, KWP supportive services,
and SSP payments.
(d)
How this administrative regulation currently assists or will assist in the
effective administration of the statutes: This administrative regulation
assists in the effective administration of the statutes by establishing the
time and manner of public assistance payments.
(2)
If this is an amendment to an existing administrative regulation, provide a
brief summary of:
(a)
How the amendment will change this existing administrative regulation: The
amendment to this administrative regulation incorporates changes on the PA-63,
Direct Deposit Authorization, to align with the requirements of a new
forthcoming web-based enrollment and eligibility system, and it updates references
made to Mental Illness or Mental Retardation (MIMR) to Mental Illness or
Intellectual Disability (MI/ID), as the program name has changed. The amendment
also makes technical corrections in accordance with KRS Chapter 13A.
(b)
The necessity of the amendment to this administrative regulation: The amendment
reflects necessary updates to the administrative regulation since its last
amendment and aligns the administrative regulation with the new web-based
eligibility and enrollment system. This new system promises further
programmatic modernization, greater efficiency in the eligibility determination
process and ongoing case maintenance, and enhanced reporting and archiving
functionalities.
(c)
How the amendment conforms to the content of the authorizing statutes: The
amendment conforms to the content of the authorizing statutes through its
update to regulatory content and alignment with forthcoming business processes
and technology.
(d)
How the amendment will assist in the effective administration of the statutes: The amendment to this administrative regulation will assist
in the effective administration of the statutes by assuring process and policy
alignment, resource maximization, and programmatic accountability.
(3)
List the type and number of individuals, businesses, organizations, or state
and local governments affected by this administrative regulation: In March 2015, there were 20,590 K-TAP families, 4,687
Kinship Care recipients, and 2,893 State Supplementation recipients.
(4)
Provide an analysis of how the entities identified in question (3) will be
impacted by either the implementation of this administrative regulation, if
new, or by the change, if it is an amendment, including:
(a)
List the actions that each of the regulated entities identified in question (3)
will have to take to comply with this administrative regulation or amendment: The
amendment to this administrative regulation will require no new or additional
action by regulated entities.
(b)
In complying with this administrative regulation or amendment, how much will it
cost each of the entities identified in question (3): The amendment to this
administrative regulation will create no new or additional costs to regulated
entities.
(c)
As a result of compliance, what benefits will accrue to the entities identified
in question (3): Regulated entities will benefit from the updates and clarity
provided within the regulatory amendment and the enhanced programmatic
efficiencies promised by the new web-based eligibility and enrollment system. The
time and manner of payments have otherwise remained unchanged.
(5)
Provide an estimate of how much it will cost the administrative body to
implement this administrative regulation:
(a)
Initially: The amendment to this administrative
regulation is technical and conforming in nature and is anticipated to impose
no new or additional cost to the administrative body to implement.
(b)
On a continuing basis: The amendment to this
administrative regulation is technical and conforming in nature and is
anticipated to impose no new or additional ongoing costs to the administrative
body to implement.
(6)
What is the source of the funding to be used for the implementation and
enforcement of this administrative regulation: Federal Temporary Assistance for
Needy Families (TANF) Block Grant funds under Title IV-A of the Social Security
Act and General Funds used to meet Maintenance of Effort requirements are the
funding sources for both K-TAP and Kinship Care. General Funds are the source
of funding for the State Supplementation Program (SSP).
(7)
Provide an assessment of whether an increase in fees or funding will be
necessary to implement this administrative regulation, if new, or by the change
if it is an amendment: An increase in fees or funding
will not be necessary to implement this amendment.
(8)
State whether or not this administrative regulation established any fees or
directly or indirectly increased any fees: This administrative
regulation does not establish fees or directly or indirectly increase any fees.
(9)
TIERING: Is tiering applied? Tiering is not applied. This
administrative regulation will be applied in a like manner statewide.
FEDERAL MANDATE ANALYSIS COMPARISON
1.
Federal statute or regulation constituting the federal mandate.
42
U.S.C. 601-619
2.
State compliance standards. KRS 194A.050(1), 205.220, 205.245
3.
Minimum or uniform standards contained in the federal mandate. 42 U.S.C.
601-619
4.
Will this administrative regulation impose stricter requirements, or additional
or different responsibilities or requirements, than those required by the
federal mandate? This administrative regulation will impose no stricter
requirements, or additional or different responsibilities or requirements, than
those required by the federal mandate.
5.
Justification for the imposition of the stricter standard, or additional or
different responsibilities or requirements. This administrative regulation will
impose no stricter requirements, or additional or different responsibilities or
requirements, than those required by the federal mandate.
FISCAL NOTE ON STATE OR LOCAL GOVERNMENT
(1)
What units, parts, or divisions of state or local government (including cities,
counties, fire departments, or school districts) will be impacted by this
administrative regulation? The Cabinet for Health and Family Services will be
impacted by this administrative regulation.
(2)
Identify each state or federal statute or federal regulation that requires or
authorizes the action taken by the administrative regulation. KRS 194A.050(1),
205.200, 205.245, 42 U.S.C. 601-619
(3)
Estimate the effect of this administrative regulation on the expenditures and
revenues of a state or local government agency (including cities, counties,
fire departments, or school districts) for the first full year the
administrative regulation is to be in effect.
(a)
How much revenue will this administrative regulation generate for the state or
local government (including cities, counties, fire departments, or school
districts) for the first year? This administrative regulation will not generate
revenue for state or local government during the first year.
(b)
How much revenue will this administrative regulation generate for the state or
local government (including cities, counties, fire departments, or school districts)
for subsequent years? This administrative regulation will not generate revenue
for state or local government in subsequent years.
(c)
How much will it cost to administer this program for the first year? No new or
additional costs are necessary to administer this program in the first year.
(d)
How much will it cost to administer this program for subsequent years? No new
or additional costs are necessary to administer this program in any subsequent
years.
Note:
If specific dollar estimates cannot be determined, provide a brief narrative to
explain the fiscal impact of the administrative regulation.
Revenues
(+/-):
Expenditures
(+/-):
Other
Explanation: