EXAMPLE 1: Separate Households in a Private Dwelling
John Smith, an eligible individual, lives with a family. John rents an upstairs bedroom
and bathroom for $200 per month. John tells the CS that John considers themself to
be living in a separate household from the family. John tells the CS that John eats
some meals in restaurants. The landlord states that John does not pool their money
with the family's for food and utility bills or pay any money toward property taxes
or household repairs. John is allowed to make local phone calls but pays for any long
distance calls they make. John frequently uses the family's kitchen to prepare their
own food which John stores on a shelf reserved for John in the family's refrigerator.
Based on the facts in this case, the CS determines that John is living in a separate
household and documents the file as required. The CS determines that John has rental
liability based on “room rental in a private dwelling.”
EXAMPLE 2: Not Separate Households
Brenda Jones, an aged individual, lives with their sibling, Alex White, in a home
Alex owns. Brenda signs a statement that Brenda considers themself a separate household
and pays $200 a month rent to Alex each month. To determine whether Brenda's payment
is actually a rent payment, the CS proceeds to develop whether Brenda is in a separate
household. The CS discovers that Brenda pays $200 per month most of the year, but
pays more in the winter when utility bills are higher. Brenda states that Brenda and
Alex each put $125 in a drawer on the first of the month and use this money for groceries.
They take turns shopping and cooking, and if the grocery money runs out before the
end of the month, they both contribute additional money. Alex confirms this information
and tells the CS that the amount Brenda pays is based on what it costs to operate
the home. Based on all the facts, the CS determines that Brenda and Alex are not in
separate households operating as separate economic units. Therefore, the CS rules
out rental liability and flat fee, and proceeds with sequential development per SI 00835.001B.