Code of Colorado Regulations
2500 - Department of Human Services
2503 - Income Maintenance (Volume 3)
9 CCR 2503-7 - LOW-INCOME ENERGY ASSISTANCE PROGRAMS (LEAP)
Section 9 CCR 2503-7-3.755 - VERIFICATION POLICIES AND CASE RECORD DOCUMENTATION

Universal Citation: 9 CO Code Regs 2503-7, ยง 3.755

Current through Register Vol. 47, No. 5, March 10, 2024

3.755.1 GENERAL

3.755.11 Verification in Determining Initial Eligibility and Payment Amount [Rev. eff. 12/1/14]

Income, estimated home heating costs, and vulnerability shall be verified in determining initial eligibility and/or payment amount. If a household applied during the prior LEAP program year and there are no changes in the applicant, address and fuel provider, vulnerability may be copied from the prior year case file and provided in the current case file.

3.755.12 Conflicting Information [Rev. eff. 12/1/14]

If the county/contractor obtains information which would affect the initial determination of an applicant household's eligibility or payment level and which is different than information provided by the applicant, the county/contractor shall inform the applicant and provide an opportunity for response or explanation. Eligibility shall be determined by using the correct information. In these cases, an applicant who meets eligibility criteria shall not be denied because the applicant provided information that was different than information subsequently obtained by the county/contractor. Information used to determine eligibility and benefit level shall be documented in the system. However, in appropriate cases, the counties/contractor may institute fraud proceedings.

3.755.13 Case Record [Rev. eff. 12/1/14]

The case record shall contain at a minimum:

A. The application and any other supplemental forms the applicant is required to submit;

B. Documentation of all verification as required in these rules;

C. Written explanation on the report of contact of any discrepancy between information contained on the application and information in the LEAP system;

D. Calculations used to compute income, documentation of the source of estimated home heating costs and any other written notations on the report of contact necessary to provide a clear and adequate record of action taken on the case.

E. Documentation of all written notices sent to the applicant household requesting missing information and/or verification necessary to determine eligibility and/or payment level.

F. Complete documentation in emergency or expedited cases including when, to whom, and how a vendor and/or client contact is made.

G. All historical data used must be present in the file and documented in the Report of Contact. (ROC). The date of the roc entry into the state leap system shall be considered the current date stamp on the historical data.

3.755.14 Written Policy [Eff. 12/1/14]

Each county department/Contractor shall develop a written policy stipulating the order of the case record, and the content of all records in that county department shall be filed according to that county department policy. If the case record is not an electronic file the county department must stipulate that case record material must be fastened to the file folder in order to secure the information and maintain the filing order.

3.755.15 County Storage of Records [Eff. 12/1/14]

The county department shall be responsible for the provision of a safe place for storage of case records and confidential material. If a county department/Contractor shares building space with other county offices, locked files to store case material shall be used. Janitors and other maintenance personnel shall be instructed concerning the confidential nature of information.

3.755.16 State Authority Required for Removal of Case Records [Eff. 12/1/14]

Case records are the property of and shall be restricted to use by the State Department and county department or Contractor. Only on authority of the State Department may case records be removed from the office of the county department or Contractor.

3.755.17 Archiving Case Files [Eff. 12/1/14]

The county department/Contractor shall archive three (3) program years plus the current program year files and make them available to the State upon request.

3.755.2 VERIFYING INCOME

3.755.21 Adequate Verification of Income [Rev. eff. 11/1/15]

The case record shall contain adequate verification of income. Adequate verification is defined as any of the following:

A. Unearned income, such as pensions or retirement income, veteran's benefits, worker's compensation, unemployment or supplemental security income shall be verified in writing, such as an award letter or cost of living adjustment (COLA) letter, issued after the last general increase for that type of assistance, which shows the gross amount before any deductions. Acceptable verification includes documentation from federal/state/system inquiries (i.e., a copy of applicable CBMS screens). Copies of bank deposits or checks shall not be adequate verification of gross income.

B. Verification of child support income shall include at a minimum:
1. Verification through the Automated Child Support Enforcement System (ACSES); or,

2. Verification through the Family Support Registry (FSR); or,

3. Copies of checks, money orders or other document(s) including written statements or affidavits from the non-custodial parent that documents the income paid directly to the custodial parent.

4. An exception shall be made in cases of domestic violence as defined in Section 18-6-800.3(1), C.R.S., when the applicant provides evidence from a court or participation in the state's Address Confidentiality Program (ACP) pursuant to Section 24-30-2104, C.R.S. Client declaration shall be sufficient in such cases.

C. Social Security income may be verified by an award letter, issued by the social security administration, after the last general increase. Acceptable verification includes documentation from federal/state/system inquiries (i.e., a copy of applicable CBMS screens). Gross Social Security income includes income before any deductions for Medicare or other medical insurance. Copies of bank deposit or checks shall not be adequate verification of gross Social Security income.

D. Earned ongoing income shall be verified for at least four (4) weeks of the eight (8) weeks prior to the application date and shall consist of pay stubs or statements from employers which state the actual gross income earned.

E. Public assistance income shall be verified through the most current active county records. The Low-Income Energy Assistance Program case record must specifically reference the source document of the income information via federal and/or state system inquiries (i.e., a copy of applicable CBMS screens).

F. Verification of income other than public assistance income of applicant households may be obtained through the most current active county records. The Low-Income Energy Assistance Program case record must specifically reference the source document of the income verification (i.e., source document name and/or number and document date).

G. Verification may be obtained by collateral contact, provided that the case record contains complete information on the name and title of the person contacted, the name of the employer or agency, the period of employment and the actual gross income received, earned or unearned.

H. In verifying zero income, including situations where the shelter expenses exceed income, the county shall examine income of all adult members of the household by using the Department of Labor and Employment (DOLE) verification system and one or more of the following methods:
1. Obtain a reasonable explanation from the household on how they meet shelter expenses and notate in the Record of Contact (ROC) when the explanation is verbally communicated.

2. Verify final date of employment with last employer;

3. Colorado Benefits Management System (CBMS).

I Verification of self-employment income shall include, at a minimum:
1. Written or verbal declaration of monthly gross income, which may include Profit and loss statements, i.e., self-employment ledger; and,

2. Receipts for business-related expenses are required in order to be considered as deductions:
a. Rent or mortgage is not an allowable expense when the applicant is operating a business from his or her residence.

b. Utilities, data and phone bills including cell phones are not allowable expenses when the account is in the name of an individual.

c. Fuel expenses are allowable for vehicles used solely for business and for individuals who use personal vehicles that are directly related to the work and necessary to conduct business. The county may accept gas receipts and/or documentation of mileage for those vehicles that are not used solely for business. If using a mileage log, the deduction is then based on the number of miles times the county's established reimbursement rate.

d. Rental property allowable expenses shall be limited to the costs of maintenance of the property.

3. Credit card and bank statements are not allowable receipts for business related expenses.

J. Owners of LLC's or S-Corps are considered employees of the corporation and therefore cannot be considered self-employed. Because they are not considered self-employed, they are not entitled to the exclusion of allowable costs of producing self-employment income. The income from these types of corporations should be counted as regular earned income, not self-employment income. When owners do not pay themselves a salary, but instead pay their personal expenses from the business account, the amount of the personal expenses paid from the business account will be considered their gross earned income. Owners who do not pay themselves a salary, but instead pay their personal expenses from the business account may verify this information in the form of a written statement listing the expenses or can declare this verbally by collateral contact.

K Gift income shall be considered verified with applicant declaration.

3.755.3 (None)

3.755.4 VULNERABILITY

3.755.41 Evidence of Vulnerability [Rev. eff. 11/1/13]

All households shall be required to provide evidence of vulnerability for the primary heating fuel for the residence at the time of application. Evidence of vulnerability may be shown by one of the following:

1. A copy of the current or most recent fuel bill that the household is responsible for paying. The fuel bill is not to exceed one (1) program year prior to the date of application for non-approved vendors.

2. Collateral contact with the fuel provider to establish vulnerability. Contact is to be documented in the report of contact (ROC).

3. A copy of the current or previous month's rent receipt if heat is included in rent is also acceptable. The rent receipt must specifically notate that heat and/or utilities are included in rent. A lease, collateral contact or rent statement from the applicant's landlord is required if the rent receipt is not specific.

4. The county/contractor may use prior year's fuel bill if the information supplied matches the current application/information. If historical information is being used to verify vulnerability, a notation must be made in the case record. If the fuel bill that is submitted as evidence of vulnerability is in the name of a person other than the applicant household, the case record shall contain a notation that explains the discrepancy in names.

3.755.42 Subsidized Housing Rent Documentation [Rev. eff. 11/1/13]

Applicant households living in subsidized housing units shall be required to provide documentation specifying that the household is subject to heating surcharges when home heating usage exceeds the amount of the household's heating allowance, within the current LEAP program year, or evidence of a separate heating bill.

3.755.43 Wood Permits [Rev. eff. 6/1/09]

Applicants who cut their own wood shall be required to provide a copy of their wood cutting permit. If a permit is not available, the applicants must provide a written and signed statement that they cut their own wood, plus documented proof that they cut it on their own land or that they have permission from the landowner.

3.755.44 Wood Purchase/Other Bulk Fuels[Eff. 12/1/14]

Applicants who use wood as their primary heating fuel must provide a receipt from a wood vendor. Receipts must include the vendor's name, telephone number, date and the name and address of the buyer; it must also contain the amount of wood purchased, the date of the purchase and the cost. If the required information is not provided on the receipt, the county/contractor must document in ROC and provide further explanation.

3.755.45 Propane Purchase/Other Bulk Fuels [Eff. 11/1/15]

Applicants who use propane or other bulk fuels, referred to in definitions in these rules, as their primary heating fuel must provide a receipt or statement from their vendor. Receipts must include the vendor's name, date, and the name and service address of the buyer.

Applicants, who utilize propane bottles/other bulk fuels, as described in definitions in these rules or purchase propane as a cash account, are required to provide a copy of a receipt of purchase only from a retail store or other propane provider.

3.755.5 ESTIMATED HOME HEATING COSTS

3.755.51 Verification [Rev. eff. 11/1/15]

County departments/Contractor shall obtain verification of estimated home heating costs. Verification shall consist of evidence provided by the approved LEAP fuel vendor for the residence at the time of application.

If the county/Contractor changes the Estimated Home Heating Costs (EHHC) originally provided by the fuel vendor, the county/Contractor must obtain written verification or collateral contact of this change from the fuel vendor. The verification from the vendor shall be placed in the case record.

3.755.6 Other Factors Affecting Eligibility and Payment Amounts [Rev. eff. 9/1/11]

Other factors affecting eligibility and payment amounts of an applicant household may be verified if determined necessary.

Disclaimer: These regulations may not be the most recent version. Colorado may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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