The State of Arkansas will-no longer operate a Simplified Food Stamp Program (SFSP) for Transitional Employment Assistance (TEA) families. This directive provides instructions for converting the households participating in the SFSP to the regular Food Stamp Program.
PROVIDING FOOD STAMP BENEFITS TO TEA APPLICANTS
Food stamp benefits continue to be a vital means of assistance to families participating in the TEA Program. In order to insure that food is immediately available to households that submit a TEA application, the following rules will become effective March 1,2000.
Under no circumstances should the food stamp interview be held on a day later than the TEA interview.
Instead the household will be interviewed, and the food stamp application processed in accordance with the policy governing expedited processing.
CONVERTING EXISTING SFSP CASES TO THE REGULAR FOOD STAMP PROGRAM
Effective March 1- 2000, households will be allowed to continue participating in the SFSP only until the end of the household's current certification period; until any case action occurs in the TEA or food stamp case or until September 30,2000, whichever occurs first.
Many households currently participating in the SFSP will become subject to quarterly reporting. (See FSC 11510 for a list of households exempt from the quarterly reporting requirements. According to FSC 11520, a household may enter quarterly reporting only when an initial application or an application for recertification is approved. Therefore, if SFSP conversion occurs at a case action other than an application approval (initial or recertification), the household will not become subject to quarterly reporting. Instead, the household will be subject to the occasional reporting requirements described in FSC 11350.
In order to insure that all former SFSP households are properly classified as a quarterly reporting household or an occasional reporting household, all households participating in the SFSP as of March 1,2000, must be recertified by September 30,2000. (This applies even if the household was converted from the SFSP to the regular Food Stamp Program.) At the time of recertification, the household's situation will be evaluated to determine if the household is subject to quarterly reporting.
Households converting from the SFSP to the regular Food Stamp Program will experience changes in the way the budget is calculated. Income will be handled differently with some income that is excluded under SFSP rules being counted under regular Program rules. The county standard will no longer be used as the household's shelter costs. Also, households will be required to report changes under Food Stamp Program rules rather than SFSP rules. To convert a case, the household's budget must be recalculated using regular Food Stamp Program rules.
Example 1 - A household contains a member who receives SSL The household is currently using its actual shelter costs in place of the county shelter standard. No medical expenses or dependent care costs were declared. This case contains adequate information to determine the household's current expenses.
Example 2 - No member of the household receives SSI benefits, and on the most recent application, the household declared a rent amount but no utility costs. This case does not contain adequate information to determine the household's current expenses.
If additional information is needed to determine the household's current expenses, the worker must use the attached notice with a Notice of Action (DCO-1) to request the needed information. See Attachment 2. The household will be allowed ten days to provide the requested information. If the.information is not provided, the expense will be disallowed. The case will not be closed solely because the household failed to provide requested information . about expenses.
When a household is converted from the SFSP to the regular Food Stamp Program prior to recertification, either the household's actual utility costs or the utility standard will be used in the budget. Any costs incurred by the household for rent or mortgage payments, real estate taxes on the home or homeowner's insurance will also be allowed as a shelter cost.
Based on the information provided by the household on the notice, the worker will determine if the household is entitled to use the utility standard of $172 when the food stamp budget is calculated.
If the household is not entitled to the utility standard, the household's actual declared utility expenses will be used in the budget. When actual utility costs are allowed, the telephone standard of $25 must be used as the telephone cost if the household incurs a telephone expense.
If the household is entitled to the utility standard, the worker will determine if the household's actual declared utility expenses (including the $25 telephone standard for households that incur a telephone expense) amount to more than the utility standard of $ 172. If yes, the actual utility costs will be used in the budget. If no, the utility standard will be used in the budget.
Once a household is converted back to the regular Program, that household becomes subject to both the TEA reporting requirements and the Food Stamp Program reporting requirements. See FSC 11100 -11200 for an explanation of the food stamp reporting requirements.
If the household is being converted prior to recertification, the worker must issue to the household a Change Report Form (DCO-234) and a business reply mail (BRM) envelope. If the household is being converted at recertification and will become subject to quarterly reporting as explained in FSC 11510, the worker must issue to the households a copy of the ', pamphlet, Food Stamp Quarterly Reporting (Pub-360). The worker should briefly cover the information in the pamphlet with the household." Former SFSP households not subject to quarterly reporting will be given a Change Report Form (DCO-234) and a business reply mail (BRM) envelope. The worker should explain to the household the items to be reported for TEA purposes and the items to be reported for food stamp purposes.
SHORTENING CERTIFICATION PERIODS
If a household participating in the SFSP has a certification period ending in October 2000 or later, that household's certification period must be shortened to end in September 2000 or earlier. Each county office -will be allowed to determine how to schedule the recertifications for these households. A report was supplied to each county office accompanied by a memorandum of instruction. ,This report furnished the following information:
* Casehead Name
* Casehead SSN
* SFSP Code
* Categorical Eligibility Status Code
* Certification Beginning and Ending Dates
* TEA Amount
Copies of this report were maintained in the Food Stamp Section.
A second report will identify each household not classified as a SFSP household if the household meets the SFSP criteria and has been assigned a 12-month certification but is not subject to QR This report, which will only be generated once, is intended to help the county office identify cases that are being handled as SFSP cases even though the case" is improperly coded. If the county is handling the case as a SFSP case, the coding must be corrected. If the certification period "ends in July or later, the household's certification period should be shortened using the county office's predetermined criteria. If the household should not be classified as a SFSP case, the county office should determine if the household should have been assigned a 12-month certification period according to FSC 8710. If not, the certification period should be shortened. To shorten a certification period, the worker must enter the new ending month and year of certification. THE BEGINNING MONTH OF CERTIFICATION MUST NOT BE REKEYED.
I 4 [LESS THAN]
On the night of the third workday, A Notice of Expiration (DCO-239) is automatically generated for all households with a certification period ending the following month. For example, on February 3, DCO-239s will be generated for all households with a certification period ending in March. If shortening the household's certification period means that a DCO-239 will not automatically be generated, the county office must manually prepare a DCO-239 to be issued to the household. See FSC 11430 for additional information about shortening certification periods. See FSC 10210 for instructions about completion of the DCO-239.
The DCO-239 and an application must be mailed to the household so that the household will receive the form any day of the next to last month of the shortened certification period. (Example - If the certification period ends in May, the household must receive a notice of expiration any day during the month of April.)
MAINTAINING SFSP RECORDS
All records pertaining to a household's participation in the SFSP must be maintained for three full years from the month of origin in either the food stamp case file or the TEA case file. Policy Directive FSC 00-06
SHORTENING CERTIFICATION PERIODS
If a household participating in the SFSP has a certification period ending in October 2000 or later, that household's certification period must be shortened to end in September 2000 or earlier. Each county office will be allowed to determine how to schedule the recertifications for these households. A report was supplied to each county office accompanied by a memorandum of instruction. This report furnished the following information:
* Casehead Name
* Casehead SSN
* SFSP Code
* Categorical Eligibility Status Code
* Certification Beginning and Ending Dates
* TEA Amount
Copies of this report were maintained in the Food Stamp Section.
A second report will identify each household not classified as a SFSP household if the household meets the SFSP criteria and has been assigned a 12-month certification but is not subject to QR. This report, which will only be generated once, is intended to help the county office identify cases that are being handled as SFSP cases even though the case is improperly coded. If the county is handling the case as a SFSP case, the coding must be corrected. If the certification period ends in July or later, the household's certification period should be shortened using the county office's predetermined criteria. If the household should not be classified as a SFSP case, the county office should determine if the household should have been assigned a 12-month certification period according to FSC 8710. If not, the certification period should be shortened* To shorten a certification period, the worker must enter the new ending month and year of certification. THE BEGINNING MONTH OF CERTIFICATION MUST NOT BE REKEYED.
On the night of the third workday, A Notice of Expiration (DCO-239) is automatically generated for all households with a certification period ending the following month. For example, on February 3, DCO-239s will be generated for all households with a certification period ending in March. If shortening the household's certification period means that a DCO-239 will not automatically be generated, the county office must manually prepare a DCO-239 to be issued to the household. See FSC 11430 for additional information about shortening certification periods. See FSC 10210 for instructions about completion of the DCO-239.
The DCO-239 and an application must be mailed to the household so that the household will receive the form any day of the next to last month of the shortened certification period. (Example - If the certification period ends in May, the household must receive a notice of expiration any day during the month of April.)
MAINTAINING SFSP RECORDS
All records pertaining to a household's participation in the SFSP must be maintained for three full years from the month of origin in either the food stamp case file or the TEA case file.
POLICY ISSUES
Changes reported to the TEA worker are considered to be information known to the agency. These changes must be reflected in the food stamp case even if the household is subject to quarterly reporting. See FSC 12300 to FSC 12330 for instructions on processing changes reported to the TEA worker and issuing notices to these households.
Any Employment Bonus (FSC 5701.2) must be counted in the food stamp budget in the month of anticipated receipt. Any Extended Support Transportation Payment (FSC 5701.3) must be counted in the food stamp budget in the month of anticipated receipt to the extent that the payment does not exceed the household's actual job-related costs of transportation. These rules apply to both quarterly reporting and occasional reporting households.
Inquiries to: Betty Helmbeck* Food Stamp Section, (501) 682-8284
ATTACHMENT 1
ATTACHMENT 2
ATTACHMENT 3
016.20.00 Ark. Code R. 009