Mississippi Administrative Code
Title 23 - Division of Medicaid
Part 103 - Resources
Chapter 1 - Introduction to Resources
Rule 23-103-1.13 - Resource Definitions
Universal Citation: MS Code of Rules 23-103-1.13
Current through September 24, 2024
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.
Social Security Act §1902 (r)(2); 42 CFR §435.601(b) (Rev 1994).
Disclaimer: These regulations may not be the most recent version. Mississippi 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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