SSA - POMS: SI CHI00830.113 - (MI) Michigan’s Temporary Assistance For Needy Families (TN 397 - 11/2006)

A. Introduction

The Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) of 1996 revised Title IV-A of the Social Security Act and replaced Aid to Families with Dependent Children (AFDC) with cash block grants to States and Indian tribes for Temporary Assistance for Needy Families (TANF). This legislation ended the Federal entitlement of the individuals cash assistance under Title IV-A, and gave States and tribes the flexibility to design their own cash assistance programs for providing aid to needy families.

The Michigan Family Independence Agency (MFIA) has agreed to share data regarding the Family Independence Program (FIP) and workers compensation (WC) with the Social Security Administration. This process is referred to as Social Security Access to State Records Online (SASRO). Online access to obtain FIP and WC benefit information through the Michigan Unified Query (MUQ) under SASRO is considered primary evidence of income. To access the MUQ database, open Internet Explorer and type the following in the address field: https://www.mfia.state.mi.us/ssa

Because States determine their own eligibility criteria and set benefit amounts, the TANF program and requirements vary from State-to-State.

B. Policy

Effective May 1, 2006, the Michigan AFDC program no longer exists. Payments to eligible recipients are made through the TANF. In addition, the MFIA has been renamed the Michigan Department of Human Services (DHS). Effective May 1, 2006, the Michigan DHS has changed the cash assistance payment standards. The new standards will be used to determine the amount of cash assistance grants. The amount of cash assistance will be based on the number of people in the eligible group, grantee status, and countable income, but not by the county or residence.

1. Vendor

Shelter and/or utility vendoring will continue if the cash assistance is sufficient.

2. Food Assistance Program (FAP)

If the amount of cash assistance changes, the amount of FAP benefits may also change. For example, if a change results in a higher cash assistance grant, less FAP may be paid.

C. FIP And Deeming

1. Stepparent’s Income

Effective October 1, 1981, stepparent’s income is used in determining FIP payments. Prior to that date, it was not. This should be taken into consideration in deeming situations.

2. FIP Income of an Ineligible Spouse or Parent

In deeming situations, if verification is in file that the ineligible spouse or ineligible parent is receiving FIP, it is not necessary to verify the amount of an ineligible spouse or ineligible parent’s FIP income. Therefore, when system input is prepared, the amount of type “F” income is unknown. Enter zero money amounts for the ineligible spouse or ineligible parent’s FIP income on these cases.

D. Grant Amount Not Readily Available

When evidence is not readily available (at the point of adjudication), and if the individual has cooperated:

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Obtain a signed statement from the individual as to the amount, source and frequency of receipt of the payment;

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Process the case on the basis of the individual’s statement if all other eligibility factors are met and there is no reason to doubt the allegation and the allegation matches the chart;

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Clearly document the file as to why the information is not readily available; and

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Obtain evidence postadjudicatively.

1. Allegations Matches the Chart

If the claimant’s allegations of family size and FIP payment amount match the appropriate chart amounts, take the difference between the grant amount for that family size and the grant amount with the SSI applicant removed. (If more than one person is applying for SSI, see SI 00830.400D.12). The amount determined by this method is unearned income to the SSI applicant. Document the file with a separate Report of Contact showing the computation. Verification may be done postadjudicatively.

2. Allegations do not Match the Chart

If the applicant’s allegations of family size and FIP payment amount do not agree with the chart, the SSI applicant’s share of the FIP grant must be verified with the paying agency prior to adjudication.

E. New Payment Standards Effective May 1, 2006

Group Size	Eligible Grantee	Ineligible Grantee
1	$305.00	$157.00
2	$401.00	$272.00
3	$489.00	$417.00
4	$593.00	$553.00
5	$689.00	$689.00
6	$822.00	$822.00
7	$898.00	$898.00
8 or more	add $79.00 for each additional person

NOTE:Grantees (adults) that receive SSI are considered ineligible grantees.

See table charts in SI CHI00830.114 and SI CHI00830.403 for prior periods.

F. Using The Charts

Caution should be exercised in using the proper columns of the chart for the grant amount with the SSI applicant removed.

1. SSI claimant is the FIP case grantee on a single parent case

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Use the FIP grant amount for the group for the period in question including the SSI claimant.
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Use the ineligible grantee chart when you determine what the grant would be without the eligible individual. Example: Mother and two children on FIP and grant amount is $489.00. When the mother is approved for SSI the grant will change to $272.00. As a result of the mother’s SSI eligibility, the case goes to an ineligible grantee status.

NOTE: Removal of the parent disqualifies the grant from the eligible grantee status. The claimant’s chargeable income would be $217.00.

2. SSI claimant is one parent of a two parent FIP case

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Use the FIP grant amount for the group for the period in question including the SSI claimant.
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You would then make the non-SSI parent the grantee.
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Use the eligible grantee chart when you determine what the grant would be without the SSI claimant. Example: Father, mother and two children are active FIP and grant amount is $593.00. The father has been found SSI eligible. The mother can be the grantee. The FIP grant amount without the father would be $489.00 for the mother (as eligible grantee) and the two children. The SSI claimant’s chargeable income would be $104.00

3. SSI claimant is a child

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Use the FIP grant amount for the group for the period in question including the SSI claimant.
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Then determine what the grant would be without the SSI claimant. Example: Mother and two children are on FIP and the grant amount is $489.00. One child is approved for SSI. The grant amount after the SSI claimant is removed would be $401.00. The claimant’s chargeable income would be $88.00.

G. Michigan Information Exchange Form

When a FIP client is approved for SSI, SSA will send the DHS local office a DHS-833. The DHS-833 informs the DHS worker that the claimant has been approved for SSI benefits and the date of entitlement. It will ask the DHS worker;

1.

If the claimant is currently an active Family Independent Program (FIP) participant; and
2.

If yes, what is the FIP payment with the eligible individual included in the grant; and
3.

What would the FIP grant be if the eligible individual was removed from the grant?

The DHS-833 will ask for FIP information for every month that the claimant was approved for SSI, including all retroactive months. When completing this form remember to:

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Use the payment standard that was in effect for the time frame in question; and
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Check the claimant’s active FIP case for each month in question because the case could have been active and inactive during the time frame in question.

Social Security

Program Operations Manual System (POMS)

SI CHI00830.113 (MI) Michigan’s Temporary Assistance For Needy Families (TN 397 - 11/2006)