23 Miss. Code R. § 103-1.13

Current through June 25, 2024

Rule 23-103-1.13 - Resource Definitions

A. Resources (General Definition): All assets, including real and personal property which an individual or couple:

1. Owns;

2. Can apply toward basic needs of food, clothing and shelter, either directly or by conversion to cash, (if not already cash); and

3. Are not legally restricted from use for support or maintenance.

a) Examples of resources include, but are not limited to:

1) Home,

2) Land,

3) Bank Accounts,

4) Burial Assets,

5) Life Insurance,

6) Automobiles, and

7) Investments.

B. Liquid Resources:

1. Cash or items that are readily converted to cash (within 20 workdays).

2. Liquidity or nonliquidity of a resource has no effect on a resources countability.

3. Absent evidence to the contrary, assume the following types of resources to be liquid:

a) Stocks, bonds and mutual fund shares;

b) Checking and savings accounts, time deposits, CDs;

c) US Savings Bonds, treasury bills;

d) Mortgages and promissory notes;

e) This is not an all-inclusive list of liquid resources.

C. Non-liquid Resources:

1. Are not cash and are not readily convertible to cash;

2. Liquidity or non-liquidity of a resource has no effect on a resource's countability; and

3. Absent evidence to the contrary, assume the following resources to be non-liquid:

a) Buildings, land and other real property rights,

b) Vehicles,

c) Farm machinery and livestock,

d) Household goods and personal effects, and

e) Non-cash business property.

f) This is not an all-inclusive list of non-liquid resources.

D. Real Property:

1. Land, including buildings or immovable object attached permanently to the land.

E. Personal Property:

1. Any property that is not real property.

2. Personal property includes such items as:

a) Cash,

b) Jewelry,

c) Household goods,

d) Tools,

e) Life insurance policies, and

f) Automobiles

F. Exclusion:

1. A resource, or part of a resource's value, that is not considered in the eligibility determination.

G. Countable Resources:

1. Resources remaining after all exclusions are applied.

2. The value of a resource is the amount of an individual's or couple's equity in it. The current market value and debt on a resource must be verified to determine the equity value.

H. Current Market Value (CMV):

1. The amount a resource can reasonably be expected to sell for on the open market in the particular geographical area involved or the sale price, if sold for a higher amount.

I. Equity Value:

1. The current market value (CMV) minus any encumbrance (payoff amount), i.e., a piece of property has a CMV of $35,000. The mortgage payoff is $20,000. The equity value is $15,000.

J. Encumbrance:

1. An encumbrance is a legally binding debt against a specific property.

2. The debt reduces the value of the encumbered property, but does not prevent the owner from transferring ownership (selling) to a third party.

a) However, if the owner does sell it, the creditor will nearly always require payment from the proceeds of a sale.

K. Conserved Funds:

1. Funds or property being held for an individual by another person, such as a daughter has $30,000 in a bank in her name but it is verified to be her parents money and is used for their needs.

23 Miss. Code. R. § 103-1.13

Social Security Act §1902 (r)(2); 42 CFR §435.601(b) (Rev 1994).