TN 68 (07-11)

SI 00835.320 Rebuttal Procedures and Presumed Maximum Value (PMV) Rule

A. Policy for rebuttal of the PMV

The PMV rule applies when an individual receives in-kind support and maintenance (ISM) and is not subject to the value of the one-third reduction (VTR). Unlike the VTR, which is not rebuttable, an individual may rebut the amount of ISM counted as income under the PMV rule. For information about VTR, see SI 00835.200.

When an individual produces evidence establishing that the value of the ISM is less than the PMV, we count the lower value of ISM as income. The lower value is termed the actual value (AV) of ISM.

The AV of inside ISM is the difference between the individual's pro rata share and his or her contribution. The AV of outside ISM is the individual's share of the difference between the household payment and the current market value (CMV) of the outside ISM.

An individual may rebut the PMV by showing that the sum of all ISM (inside ISM, outside ISM, and ISM to one person) is worth less than the PMV.

See Details:

  • SI 00835.300, Presumed Maximum Value Rule

  • SI 00835.340, Computation of In-Kind Support and Maintenance from Within a Household

  • SI 00835.350, Computation of In-Kind Support and Maintenance from Outside a Household (Including Vendor Payments by a Third Party Outside the Household)

B. Procedure for offering rebuttal of the PMV

1. When to offer rebuttal

Always offer rebuttal of the PMV when you find:

  • there is no evidence of the AV in the file;

  • it is not evident that the ISM has no value. (Record a determination that an item of ISM has no value following the instructions in SI 00835.060.); and

  • the individual does not know the value of the ISM he or she receives, or alleges an AV less than the PMV.

Consider offering rebuttal if after discussing expenses and contributions, there is a strong possibility that the AV may be less than the PMV (e.g., the allegation of the rental share amount alone does not exceed the PMV, there is separate purchase of food, and utilities may be included in the rent). Assume that individuals who are transients or homeless need assistance in rebutting the PMV. For details about assisting transients or the homeless, see SI 00835.060C.

NOTE: Even if it is unnecessary to offer rebuttal, advise the individual that he or she will be charged with ISM and explain the reason and the amount.

2. How to offer rebuttal of the PMV

During the interview, advise the individual:

  • he or she is receiving ISM,

  • what form of ISM we are charging and the value, and

  • he or she has the right to rebut the PMV.

When the points above are not covered in the interview, either:

  • contact the individual by telephone, or

  • send the individual the appropriate rebuttal letter located in the Document Processing System (DPS) as described in SI 00835.320E in this section.

3. Time limit for submitting rebuttal

When an individual wants to rebut the PMV, explain that he or she has 30 calendar days to provide evidence. If the individual does not provide the evidence needed to establish the AV by the close of the 30th calendar day following the request for evidence, and has not indicated a need for assistance or more time, charge the PMV.
NOTE: If you are unable to contact the individual by telephone or face to face, mail the appropriate rebuttal notice to the claimant or Representative Payee, see SI 00835.320E in this section, for rebuttal notice information.

C. Evidence needed to rebut the PMV

Advise the individual of the type of evidence needed to successfully rebut the PMV. Obtain evidence to establish an AV less than the PMV. The evidence needed is the same evidence required to determine the AV of inside ISM, outside ISM, and ISM to one person. Review the following sections for the required evidence:

  • SI 00835.340, Computation of In-Kind Support and Maintenance from Within a Household

  • SI 00835.350, Computation of In-Kind Support and Maintenance from Outside a Household (Including Vendor Payments by a Third Party Outside the Household)

  • SI 00835.400, In-Kind Support and Maintenance (ISM) to One Person

  • SI 00835.370, Rent-Free Shelter

NOTE: It is primarily the individual's responsibility to provide the evidence; however, if the individual indicates a need for assistance, the FO should provide assistance.

D. Procedure for documenting the rebuttal offer

Take the following steps to document the rebuttal offer:

1. MSSICS case

Follow the steps provided in “When to Offer Rebuttal” SI 00835.320B.1., and “How to Offer Rebuttal” SI 00835.320B.2., to ensure that the correct amount of ISM is being charged.

  • If the claimant or representative payee would like to rebut the PMV, obtain evidence as described in SI 00835.320C., that the AV is less than the PMV and document the findings on a DROC screen.

  • If the claimant or representative payee does not want to rebut the PMV, answer “No” to the “WISH TO REBUT PMV (Y/N)” question on the LOHH screen.

    NOTE: If the LOHH screen does not appear in the MSSICS path, document the claimant or Representative Payee’s allegation on a DROC screen.

  • If the claimant or representative payee wants to rebut the PMV but there is no evidence to support his or her statement answer, “Yes” to the “WISH TO REBUT PMV (Y/N)” question on the LOHH screen. However, document on a DROC screen, “There is no evidence to support the AV is less than the PMV and the PMV will apply.”
    NOTE: Answering “No” on the LOHH screen indicates that the claims representative has offered the claimant or representative payee the opportunity to rebut the PMV, or that the AV value is not less than the PMV. No additional documentation is required.

2. Non-MSSICS case

Follow the instructions in this section to ensure that you charge the correct amount of ISM. Document the file to as needed:

  • If the PMV applies, show evidence establishing an AV equal to or higher than the PMV on an SSA-8006-F4 (Statement of Living Arrangements, In-Kind Support and Maintenance); or

  • If the individual alleged an AV higher than the PMV, complete an SSA-5002(Report of Contact); or

  • If the individual was offered the opportunity to rebut and a rebuttal letter was not sent, show the source and value of the ISM, document on an SSA-8006-F4 or SSA-5002 that the individual either declined rebuttal or failed to submit evidence within the time limit.

  • If an SSA-8006-F4 was completed over the telephone with the claimant, annotate the remarks section with the name of the claims representative, field office number, determination, and state, “SSA-8006-F4 was completed over the telephone with the claimant. The claimant’s signature will not be required.”

NOTE: If you use a paper SSA-8006-F4 or SSA-5002 to document evidence based on the claimant not having an active MSSICS case, document the file by faxing the SSA-8006-F4 or the SSA-5002 form directly into the appropriate electronic folder; e.g., NDRED. Do not retain the paper SSA-8006-F4 or SSA-5002 after you document the issue electronically.

E. Letter to advise rebuttal rights

Use DPS to send a rebuttal letter.

  • For initial claims, the “General” folder contains the “Rebuttal Rights Notification” letter.

  • For post entitlement events (PE), the “Post Entitlement” folder contains the SSI “Rebuttal Rights” letter.

NOTE: Allow 30 calendar days for a reply if a letter is sent to the individual explaining his or her rebuttal rights. If no reply is received by close of business of the 30th calendar day, and the individual has not indicated a need for assistance, charge the PMV.


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0500835320
SI 00835.320 - Rebuttal Procedures and Presumed Maximum Value (PMV) Rule - 08/18/2015
Batch run: 08/18/2015
Rev:08/18/2015