- TO:
- ALL COUNTY OFFICES
- FROM:
- JANEL R. LUCK, DIRECTOR
- SUBJECT:
- J.P. et al. vs. FAMILY SUPPORT DIVISION
DISCUSSION:
The Family Support Division’s policy for counting annuities as an available resource is the focus of pending litigation in the J.P. et al. vs. Family Support Division case. Effective immediately, if there is a pending hearing request or new hearing request received on any case involving an annuity that was counted as an available resource, notify Program and Policy immediately by contacting Jessie Maupin by email at Jessie.Maupin@dss.mo.gov or by telephone at 573-751-3507. Program and Policy staff will work with county staff to determine if a referral to the Division of Legal Services for representation at the hearing is needed.
Policy regarding how to determine if an annuity is an available resource has not changed. Continue to follow the annuity policy found in Sections 1030.030.00 through 1030.030.10.15 of the Income Maintenance Manual. The income stream of an annuity policy purchased on or after August 28, 2007 is excluded as an available resource if the annuity:
- is actuarially sound as measured against the life expectancy tables published by the Office of the Chief Actuary of the Social Security Administration. These tables may be accessed at http://www.ssa.gov/OACT/STATS/table4c6.html ,
- provides equal or nearly equal payments for the duration of the annuity and excludes balloon-style final payments,
- names the State of Missouri as the secondary or contingent beneficiary ensuring payment of MO HealthNet expenditures if the individual predeceases the duration of the annuity, AND
- names and pays the MO HealthNet participant as the primary beneficiary (or annuitant).
If at any time there is a question or concern regarding an annuity, please send the annuity policy along with an IM-14 Request for Policy Interpretation through regular supervisory channels to the IM Program and Policy Unit.
NECESSARY ACTION:
- Review this memorandum with appropriate staff.
SS