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Montana Administrative Register Notice 37-470 No. 9   05/14/2009    
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 BEFORE THE DEPARTMENT OF PUBLIC

HEALTH AND HUMAN SERVICES OF THE

STATE OF MONTANA

 

In the matter of the amendment of ARM 37.78.102, 37.78.103, 37.78.206, 37.78.220, 37.78.401, 37.78.416, and 37.78.506 pertaining to Temporary Assistance for Needy Families (TANF)

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NOTICE OF PUBLIC HEARING ON PROPOSED AMENDMENT

 

TO:  All Concerned Persons

 

            1.  On June 3, 2009, at 10:00 a.m., the Department of Public Health and Human Services will hold a public hearing in auditorium of the Department of Public Health and Human Services Building, 111 North Sanders, Helena, Montana, to consider the proposed amendment of the above-stated rules.

 

            2.  The Department of Public Health and Human Services will make reasonable accommodations for persons with disabilities who wish to participate in this rulemaking process or need an alternative accessible format of this notice.  If you require an accommodation, contact Department of Public Health and Human Services no later than 5:00 p.m. on May 26, 2009, to advise us of the nature of the accommodation that you need.  Please contact Rhonda Lesofski, Department of Public Health and Human Services, Office of Legal Affairs, P.O. Box 4210, Helena, Montana, 59604-4210; telephone (406) 444-4094; fax (406) 444-9744; or e-mail [email protected].

 

            3.  The rules as proposed to be amended provide as follows, new matter underlined, deleted matter interlined:

 

            37.78.102  TANF:  FEDERAL REGULATIONS ADOPTED BY REFERENCE

            (1) remains the same.

            (2)  The "Montana TANF Cash Assistance Manual" dated January 1 July 1, 2009 is adopted and incorporated by this reference.  A copy of the Montana TANF Cash Assistance Manual is available for public viewing at each local Office of Public Assistance, and at the Department of Public Health and Human Services, Human and Community Services Division, 111 N. Jackson St., 5th Floor, P.O. Box 202925, Helena, MT 59620-2925.  Manual updates are also available on the department's web site at www.dphhs.mt.gov.

 

AUTH:  53-4-212, MCA

IMP:  53-4-211, 53-4-601, MCA

 

            37.78.103  TEMPORARY ASSISTANCE FOR NEEDY FAMILIES (TANF):  DEFINITIONS  The following definitions apply to this chapter:

            (1) through (29) remain the same.

            (30)  Job search and job readiness assistance means the act of seeking or obtaining employment, preparation to seek or obtain employment, including life skills training, and substance abuse treatment, mental health treatment, or rehabilitation activities for those who are otherwise employable.

            (a) through (59) remain the same.

            (60)  "Vocational educational training" means organized educational programs that are directly related to the preparation of individuals for employment in current or emerging occupations requiring training other than a up to a baccalaureate or advanced degree.

            (61) through (64) remain the same.

 

AUTH:  53-4-212, MCA

IMP:  53-4-211, 53-4-601, MCA

 

            37.78.206  TANF:  GENERAL ELIGIBILITY REQUIREMENTS  (1) through (2)(e) remain the same.

            (3)  The following are not eligible for TANF Cash Assistance:

            (a) through (3)(n) remain the same.

            (o)  all required members of the filing unit if the filing unit includes an individual who has been sanctioned at least twice and the sanctioned individual has not complied with completed an intensive case management meeting within the first month of eligibility for TANF the 30 day application time period.

            (4) through (6)(a)(i) remain the same.

 

AUTH:  53-2-201, 53-4-212, MCA

IMP:  53-2-201, 53-4-211, 53-4-231, MCA

 

            37.78.220  TANF:  ELIGIBILITY, CITIZENSHIP REQUIREMENTS 

            (1) through (2)(q) remain the same.

            (3)  Qualified aliens entering the U.S. on or after August 22, 1996 are not eligible for TANF cash assistance benefits for a period of five years from the date of entry unless they are:

            (a) through (d) remain the same.

            (e)  American Indians with at least 50% American Indian blood who were born in Canada;

            (f) through (i) remain the same but are renumbered (e) through (h).

            (4) through (7) remain the same.

 

AUTH:  53-2-201, 53-4-212, MCA

IMP:  53-2-201, 53-4-211, 53-4-231, MCA

 

            37.78.401  TANF:  TANF CASH ASSISTANCE; RESOURCES  (1) through (3) remain the same.

            (4)  The following resources are not counted in determining eligibility:

            (a) through (4)(q) remain the same.

            (r)  governmental disaster payments designated for restoration of a home damaged in a disaster if the household is subject to legal sanction if funds are not used as intended; or

            (s)  funds which are held in an escrow account during the household's participation in a department of housing and urban development family self-sufficiency program.; or

            (t)  senior benefit payments received by the Crow elders as per the Crow Boundary Settlement Act of 1994.

            (5) through (7) remain the same.

 

AUTH:  53-4-212, MCA

IMP:  53-4-211, 53-4-601, 53-4-606, MCA

 

            37.78.416  TANF:  TANF CASH ASSISTANCE; EXCLUDED UNEARNED INCOME  (1) remains the same.

            (2)  In testing gross monthly income and in determining grant amount, the following unearned income shall be excluded:

            (a) through (2)(x) remain the same.

            (y)  emergency assistance payments provided under ARM 37.78.601 and 37.78.602; and

            (z)  interest earned on countable resources.; and

            (aa)  payments received by Crow elders under the Crow Boundary Settlement Act of 1994, P.L. 103-444.

 

AUTH:  53-4-212, MCA

IMP:  53-4-211, 53-4-601, MCA

 

            37.78.506  TANF:  TANF CASH ASSISTANCE; SANCTIONS  (1) through (9) remain the same.

            (10)  If an individual who has been sanctioned at least twice applies for TANF cash assistance, that individual is required to comply with complete an intensive case management meeting within the first 30 days of eligibility application for TANF, or the case will be closed denied for failing an eligibility requirement as outlined in ARM 37.78.206(3)(o).

 

AUTH:  53-4-212, MCA

IMP:  53-4-211, 53-4-601, 53-4-608, 53-4-717, MCA

 

            4.  The Department of Public Health and Human Services (department) is proposing amendments to ARM 37.78.102, 37.78.103, 37.78.206, 37.78.220, 37.78.401, 37.78.416, and 37.78.506 pertaining to Temporary Assistance for Needy Families (TANF).

 

ARM 37.78.102

 

ARM 37.78.102 currently adopts and incorporates by reference the TANF policy manual effective January 1, 2009.  The department proposes to make some revisions to this manual that will take effect on July 1, 2009.  The proposed amendments to ARM 37.78.102 are necessary to incorporate into the Administrative Rules of Montana the revised versions of the policy manual and to permit all interested parties to comment on the department's policies and to offer suggested changes.  It is estimated that changes to the TANF manual could affect approximately 7,874 TANF recipients.  Manuals and draft manual material are available for review in each local Office of Public Assistance and on the department's web site at www.dphhs.mt.gov.

 

ARM 37.78.103

 

This ARM has been updated to reflect the definition of "job search and job readiness" and "vocational educational training" individual as defined in the TANF Reauthorization contained in the Deficit Reduction Act of 2005.  The "job search and job readiness" definition was updated by removing the language "for those who are otherwise employable".  "Vocational educational training" definition was updated to include the language of training up to a baccalaureate or advanced degree.

 

ARM 37.78.206

 

This ARM has been updated to reflect changes in the sanction policy.  Currently those individuals who have been sanctioned at least twice since January 1, 2008 are required to participate in an intensive case management (ICM) meeting during the first 30 days of TANF eligibility.  If the ICM meeting is not held within 30 days this will result in case closure for failing an eligibility requirement.  Upon reapplication the ICM must be completed before benefits may be authorized.  The department has observed that individuals may complete one or more ICM meetings; however, we continue to see a high number of participants who are sanctioned.  This is an indication that the current policy does not deter participants from incurring additional sanctions.  This leads us to believe that the individuals who have chosen not to participate fully in the program will continue to do so. 

 

To address these issues, the sanction policy set forth in this ARM is changed so required individuals who are applying for TANF cash assistance who have been sanctioned twice are required to complete an ICM within the first 30 days of application.  Failure to complete this ICM will result in denial of the application for failing an eligibility requirement.  By decreasing the requirement to only requiring the ICM meeting after the second sanction we feel this would result in a simpler process for the participant but still focus on the issues that are surrounding the individual's noncompliance.  The intent of the meeting is to address barriers to participation, identify, and implement accommodations if found appropriate and involve other community and family resources as the participant wishes.  Similar ICM meetings currently take place for those families who are identified as "at-risk" based on the number of TANF months they have used.

 

The TANF Reauthorization regulations contain strict definitions of allowable work activities, as well as criteria for verification and documentation of such work activities.  The regulations limit those activities states may claim as allowable work activities for purposes of meeting the work participation rate as mandated by the Administration for Children and Families (ACF).  Individuals who are not complying with the allowable work activities are subject to sanction and have a negative impact on the work participation rate.  Failure to meet the work participation rates will result in monetary penalties to the state.  By strengthening the consequences for noncompliance in allowable work activities, the department believes it may limit any negative impact to the work participation rate and avoid monetary penalties for that category.

 

The changes will apply to an average of approximately 6,610 TANF participants who currently are mandated to participate in work activities or are a member of the participant's filing unit.  There will be no additional cost to the state unless a penalty is imposed for failure to meet the work participation rate.

 

ARM 37.78.220

 

This ARM has been updated to reflect federal policy that the Five-year Ban policy does apply to American Indians with at least 50% American Indian blood who were born in Canada.  This change is being implemented to align with the federal guidance that was distributed by ACF in policy announcement TANF-ACF-PA-2005-01.

 

This change will apply to an average of approximately 37 TANF recipients who are identified as noncitizens currently receiving cash assistance.  However, it will impact fewer than the number indicated as the average number encompasses all noncitizens receiving TANF cash assistance, not specifically those who are American Indians born in Canada.  There will be no additional cost to the state unless a penalty is imposed for failure to meet the work participation rate.

 

ARM 37.78.401

 

This ARM has been updated to clarify existing policy that the senior benefit payments that are received by the Crow Elders are excluded as a resource per P.L. 103-444, Crow Boundary Settlement Act 1994. 

 

This change will have a positive impact on TANF cash assistance participants. 

 

This change could affect approximately 324 TANF recipients who are identified as Crow Tribal members receiving TANF cash assistance.  However, it will impact fewer than the number indicated as the average number encompasses all Crow individuals receiving TANF cash assistance and not specifically Crow Elders. 

 

ARM 37.78.416

 

ARM has been updated to clarify existing policy that the senior benefit payments that are received by the Crow Elders are excluded as income per P.L. 103-444, Crow Boundary Settlement Act 1994. 

 

This change will have a positive impact on TANF cash assistance participants.

 

This change could affect approximately 324 TANF recipients who are identified as Crow Tribal members receiving TANF cash assistance.  However, it will impact fewer than the number indicated as the average number encompasses all Crow individuals receiving cash assistance and not specifically Crow Elders.

 

ARM 37.78.506

 

This ARM has been updated to reflect changes in the sanction policy.  Currently those individuals who have been sanctioned at least twice since January 1, 2008 are required to participate in an intensive case management (ICM) meeting during the first 30 days of TANF eligibility.  If the ICM meeting is not held within 30 days this will result in case closure for failing an eligibility requirement.  Upon reapplication the ICM must be completed before benefits may be authorized.  The department has observed that individuals may complete one or more ICM meetings; however, we continue to see a high number of participants who are sanctioned.  This is an indication that the current policy does not deter participants from incurring additional sanctions.  This leads us to believe that the individuals who have chosen not to participate fully in the program will continue to do so. 

 

To address these issues, the sanction policy set forth in this ARM is changed so required individuals who are applying for TANF cash assistance who have been sanctioned twice are required to complete an ICM within the first 30 days of application.  Failure to complete this ICM will result in denial of the application for failing an eligibility requirement.  By decreasing the requirement to only requiring the ICM meeting after the second sanction we feel this would result in a simpler process for the participant but still focus on the issues that are surrounding the individual's noncompliance.  The intent of the meeting is still to address barriers to participation, identify and implement accommodations if found appropriate and involve other community and family resources as the participant wishes.  Similar ICM meetings currently take place for those families who are identified as "at-risk" based on the number of TANF months they have used.

 

The TANF Reauthorization regulations contain strict definitions of allowable work activities, as well as criteria for verification and documentation of such work activities.  The regulations limit those activities states may claim as allowable work activities for purposes of meeting the work participation rate as mandated by the Administration for Children and Families (ACF).  Individuals who are not complying with the allowable work activities are subject to sanction and have a negative impact on the work participation rate.  Failure to meet the work participation rates will result in monetary penalties to the state.  By strengthening the consequences for noncompliance in allowable work activities, the department believes it may limit any negative impact to the work participation rate and avoid monetary penalties for that category.

 

The changes will apply to an average of approximately 6,610 TANF participants who currently are mandated to participate in work activities or are a member of the participant's filing unit.  There will be no additional cost to the state unless a penalty is imposed for failure to meet the work participation rate.

 

Following is a brief overview of the TANF manual sections with substantive changes related to the above ARM changes.

 

TANF 301-2 - Alien Status

 

TANF 301-2 has been updated to reflect the change in policy that the Five-year Ban policy must be applied to an American Indian born in Canada who is at least 50% American Indian is considered to be Lawfully Admitted for Permanent Residence. 

 

TANF 402-2 - Resources

 

TANF 402-2 is being updated to reflect that the senior benefit payments received by the Crow Elders will be excluded.

 

TANF 502-1 - Earned Income

 

TANF 502-1 is being updated to reflect that the senior benefit payments received by the Crow Elders will be excluded.

 

TANF 702-3 - Sanction

 

TANF 702-3 is being updated to reflect that if an individual who has been sanctioned twice applies for TANF cash assistance, that individual is required to complete an intensive case management meeting within 30 days of application for TANF or the case will be denied for failing an eligibility requirement.

 

            5.  The department intends to apply these rules retroactively to July 1, 2009.  A retroactive application of the proposed rules does not result in a negative impact to any affected party.

 

            6.  Concerned persons may submit their data, views, or arguments either orally or in writing at the hearing.  Written data, views, or arguments may also be submitted to: Rhonda Lesofski, Department of Public Health and Human Services, Office of Legal Affairs, P.O. Box 4210, Helena, Montana, 59604-4210; fax (406) 444-9744; or e-mail [email protected], and must be received no later than 5:00 p.m., June 11, 2009.

 

7.  The Office of Legal Affairs, Department of Public Health and Human Services, has been designated to preside over and conduct this hearing.

 

8.  The department maintains a list of interested persons who wish to receive notices of rulemaking actions proposed by this agency. Persons who wish to have their name added to the list shall make a written request that includes the name, e-mail, and mailing address of the person to receive notices and specifies for which program the person wishes to receive notices.  Notices will be sent by e-mail unless a mailing preference is noted in the request.  Such written request may be mailed or delivered to the contact person in 6 above or may be made by completing a request form at any rules hearing held by the department.

 

9.  An electronic copy of this Proposal Notice is available through the Secretary of State's web site at http://sos.mt.gov/ARM/Register.  The Secretary of State strives to make the electronic copy of the Notice conform to the official version of the Notice, as printed in the Montana Administrative Register, but advises all concerned persons that in the event of a discrepancy between the official printed text of the Notice and the electronic version of the Notice, only the official printed text will be considered.  In addition, although the Secretary of State works to keep its web site accessible at all times, concerned persons should be aware that the web site may be unavailable during some periods, due to system maintenance or technical problems.

 

10.  The bill sponsor contact requirements of 2-4-302, MCA, do not apply.

 

 

 

 

/s/  Frank Clinch                                            /s/  Anna Whiting Sorrell                              

Rule Reviewer                                               Anna Whiting Sorrell, Director

                                                                        Public Health and Human Services

 

Certified to the Secretary of State May 4, 2009.

 

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