Section 7 AAC 48.070 - Calculation of applicant's share(a) Except as provided in (d) and (g) of this section, the committee will determine the applicant's share according to the following formula: (40 percent of adjusted gross annual income) + (value of liquid resources - $1,000) + (10 percent of value of nonliquid resources) = applicant's share
(b) Adjusted gross income is determined by subtracting 20 percent of the applicant's gross annual income, and by then subtracting $1,000 for each dependent from the gross annual income.(c) The value of liquid and nonliquid resources includes all assets of the applicant and his family which are not excluded by AS 47.08.060 or this subsection. The following assets are excluded: (1) not more than five acres of land on which the applicant's permanent place of abode is situated;(5) $1,000 of liquid assets; liquid assets other than cash are evaluated according to their equity value; and(10) 90 percent of nonliquid assets.(d) For applications postmarked after June 30, 1986, the minimum applicant share is 100 percent of the medical expenses.(e) In determining the gross annual income for an applicant with a family business, the committee will deduct the following from the gross revenue of the business: (1) compensation of officers and employees other than the applicant or the applicant's family;(2) amounts paid for repairs;(3) amounts paid for taxes on business or business property;(4) amounts paid for business advertising;(5) amounts contributed to employee benefit plans;(6) interest on business indebtedness;(7) amounts paid as rent on property used by the business;(8) cost of goods sold; and(9) other expenses necessary to conduct the business, but not including depreciation expenses.(f) If catastrophic illness assistance is provided for a pregnancy with unusual complications, the committee will add to the applicant's share an amount equal to the anticipated costs of a normal pregnancy. The division will determine this additional amount by using the reasonable charges associated with a normal pregnancy.(g) Medical expenses in excess of $50,000 for a single catastrophic illness are part of the applicant's share.Eff. 9/17/77, Register 63; am 8/17/84, Register 91; am 6/23/85, Register 94; am 7/1/86, Register 99Authority:AS 47.05.010
AS 47.08.060
AS 47.08.130