N.J. Admin. Code § 10:90-3.18
Current through Register Vol. 56, No. 9, May 6, 2024
Section 10:90-3.18 - Treatment of lump sum income WFNJ TANF/GA(a) Lump sum income includes, but is not limited to, payments in the nature of a windfall such as inheritances, lottery, casino and racetrack winnings; RSDI, Railroad Retirement, Veterans and Worker's Compensation retroactive awards; and personal injury awards. 1. Nonrecurring lump sum income will be subject to repayment of past assistance (including emergency assistance) in accordance with the agreement to repay except as noted in (a)1i below (see 10:90-7.8 regarding agreement to repay provisions); after the agreement to repay is satisfied, any remaining amount of the lump sum income shall be considered in determining the period of WFNJ ineligibility. i. RSDI, Railroad Retirement, Worker's Compensation, Veteran's Administration benefits, and temporary disability benefits are exempted by law from the repayment process. However, lump sum payments from these sources are subject to the lump sum regulations in (c) through (e) below.2. SSI payments shall not be subject to lump sum repayment rules for WFNJ/TANF recipients (see (a)2i below for WFNJ/GA recipients).i. For WFNJ/GA recipients, retroactive SSI payments are subject to repayment in accordance with WFNJ/GA fiscal provisions at 10:90-14.5.(b) The recipient shall notify the county or municipal agency within 10 calendar days of the receipt of a lump sum income.(c) When a recipient receives nonrecurring earned or unearned lump sum income, the extent it is not earmarked and used for the purpose for which it was paid (for example, moneys for back medical bills resulting from accidents or injury, funeral and burial costs, replacement or repair of resources, and so forth), that income shall be used to repay assistance granted in accordance with the agreement to repay. After the agreement to repay is satisfied, any lump sum remaining will be added together with all other countable income received that month by the eligible assistance unit after application of the appropriate disregards in 10:90-3.8. 1. An allowance may be made to disregard a portion of the remaining lump sum money that may be spent to purchase items that are integral in promoting self-sufficiency, such as the purchase of a first vehicle, vehicle repairs or essential household items.2. Effective April 2, 1997, if assistance payments (including emergency assistance) are repaid to a county or municipal agency, in accordance with the agreement to repay, the months of assistance for which cash payments were repaid shall not count toward a recipient's five year time limit on receipt of public assistance.(d) When the total remaining lump sum income (for either a WFNJ/TANF or WFNJ/GA case) exceeds 200 percent of the WFNJ/TANF maximum payment level for the appropriate eligible assistance unit size as set forth in Schedule VI below, the assistance unit will be ineligible for WFNJ for the number of full months derived by dividing this total income by the payment level applicable to the eligible assistance unit size in Schedule VI. 1. Schedule VI shall also be used for alien sponsor-income deeming as set forth at N.J.A.C. 10:90-3.15. WFNJ/TANF and WFNJ/GA Schedule VI |
Number in | 200% of WFNJ/TANF |
Eligible Unit | Payment Levels |
1 | $428 |
2 | $850 |
3 | $1,118 |
4 | $1,288 |
5 | $1,456 |
6 | $1,628 |
7 | $1,788 |
8 | $1,922 |
More than 8 | Add $132.00 each person |
(e) For purposes of determining the period of ineligibility, the WFNJ assistance unit and any other individual (such as a stepparent) whose lump sum income caused the assistance unit's income to exceed the allowance standard shall be included in such determination. 1. The period of ineligibility shall begin in the first month subsequent to the month the nonrecurring income is received or, if there is insufficient time for a timely adverse action notice, the following month.2. In the event the nonrecurring income is not reported timely, the period of ineligibility shall begin at the point the ineligibility would have occurred had the county or municipal agency had knowledge of its receipt. The amount of overpayment for the period of ineligibility must be established and recovery made.3. The period of ineligibility applies to each individual in the eligible assistance unit at the time of receipt of the lump sum nonrecurring income.4. Once established, the period of ineligibility may be recalculated/reduced only if the lump sum income used to determine such period becomes unavailable to the eligible assistance unit for reasons beyond the control of the assistance unit members. It is the responsibility of the former eligible assistance unit to provide all necessary information and documentation required to make a determination to shorten the period of ineligibility. The basis for a determination to shorten the period of ineligibility shall be thoroughly documented in the case record. Acceptable reasons include, but are not limited to, those below:i. Allegation of loss or theft of part or all of the lump sum, including circumstances where a member of the former eligible assistance unit has absconded with the funds. (1) The former eligible assistance unit shall thoroughly substantiate an allegation of loss or theft of income and must provide the county or municipal agency with evidence that a police report of an incident of theft has been filed. Upon receipt of credible evidence of loss or theft of the income the county agency shall reduce the amount of the original lump sum by the amount of the loss or theft;ii. The former eligible assistance unit incurs and pays verifiable expenses due to an emergent situation, for which, had the assistance unit been eligible, emergency assistance would have been authorized under N.J.A.C. 10:90-6. Upon receipt of credible verification of those expenses, the county or municipal agency shall reduce the amount of the original lump sum;iii. The assistance unit incurs, becomes responsible for, and pays medical expenses during the period of ineligibility; oriv. Other circumstances, with the provision of appropriate verification, as approved by the DFD.N.J. Admin. Code § 10:90-3.18
Amended by R.1998 d.42, effective 1/20/1998.
See: 29 N.J.R. 3971(b), 30 N.J.R. 389(a).
In (d), inserted "(for either a WFNJ/TANF or WFNJ/GA case)" following "income".
Amended by R.2003 d.226, effective 6/16/2003.
See: 34 N.J.R. 2713(a), 35 N.J.R. 2670(a).
In (a), rewrote 1 and added i.
Amended by R.2011 d.078, effective 3/7/2011.
See: 42 N.J.R. 2561(b), 43 N.J.R. 630(a).
In (c)1, deleted "(up to the resource allowed for such vehicle in these rules at N.J.A.C. 10:90-3.20)" following the first occurrence of "vehicle". Administrative Change, 55 N.J.R. 1738(a), effective 7/10/2023