If the entire resource is not returned, the period of ineligibility does not end.
Instead, recompute the uncompensated value based on how much of the resource was not
returned. Then, recompute the period of ineligibility based on the adjusted uncompensated
value. If additional funds are subsequently returned, it will be necessary to recompute
the uncompensated value again.
NOTE: Assume, absent evidence to the contrary, that the returned resource has the same
current market value (CMV) it had when it was originally transferred. But, if the
returned resource has a different CMV, recompute the uncompensated value by comparing
the CMV in the month the resource is returned with the CMV at the time of the original
Example 1: Ms. Jones files for SSI on 8/6/00 and alleges ownership of 50 shares of stock worth
$5,000. She learns that the stocks would make her ineligible for SSI due to excess
resources, so she gives all 50 shares to her brother on 8/9/00. She returns to the
field office and alleges that she no longer owns the stocks. The field office determines
that she transferred the stocks for less than fair market value and determines that
she is ineligible due to excess resources in 8/00, and subject to a period of ineligibility
beginning in 9/00 based on $5,000 uncompensated value.
On 10/5/00 Ms. Jones returns to the field office and reports that the stocks were
returned to her on 10/3/00. After reviewing the evidence, the field office determines
that 15 shares of stock worth $1,850 had been returned to Ms. Jones. Since the entire
resource was not returned, Ms. Jones does not meet the exception to the period of
ineligibility. The field office recomputes the uncompensated value ($5,000 minus $1,850
= $3,150) and uses the new, lower uncompensated value to recompute the period of ineligibility.
The recomputed period of ineligibility would have the same beginning date, but it
would have fewer months due to the lower uncompensated value.
Example 2: Ms. Green files for SSI on 12/5/99 and gives her son $5,300 in stock certificates
on 12/21/99. The field office determines that she has a period of ineligibility of
10 months ($5,300 divided by $500 = 10.6). The 1999 Federal benefit rate (FBR) ($500)
is applicable per SI 01150.111D. Ms. Green is determined to be ineligible for SSI from 1/00-10/00. However, in 7/00
her son returns $2,800 of the certificates to Ms. Green. It is necessary to recompute
the period of ineligibility based on uncompensated value of $2,500 ($5,300 minus $2,800).
The CR determines that the period of ineligibility is only 5 months ($2,500 divided
by $500). However, her period of ineligibility continues through 7/00—the month that
the resource was returned. She is potentially eligible for SSI as of 8/00 if she meets
all other requirements for eligibility.