[nfbmi-talk] the mrs means test

[joe harcz Comcast]

This is from the released monitoring of MRS/MCB which I have yet to fully read, but is most revealing...And frankly the MRS and MCB are full of something and have been for years and it ain't full of good stuff either...
 

3.  Financial Needs Testing for SSI/SSDI recipients

 

Legal Requirement:

 

34 CFR 361.54(b)(3)(ii) states:

 

The designated state unit may not apply a financial needs test, or require the financial participation of the individual –

 

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(ii)  as a condition for furnishing any vocational rehabilitation service if the individual in need of the service has been determined eligible for Social Security benefits under Titles II or XVI of the Social Security Act.  

 

Finding 3:  MRS is not in compliance with 34 CFR 361.54(b)(3)(ii) because it is administering a financial needs test to families of VR participants, who are SSI/SSDI recipients and beneficiaries, receiving post-secondary education.  Section 6625 (Training – College and Vocational Services) of MRS’ Rehabilitation Services Manual, Procedure 13, states:  

 

Exemption from financial needs test.  The income of individuals who are eligible for Social Security benefits under Title II and XVI of the Social Security Act shall be excluded (subtracted) from the family expected family contribution (EFC) for the months the student is in attendance at a post-secondary institution. (Example: The EFC for an SSI recipient is $5,000.  The recipient receives $500 per month. The student will attend school from September to December [4 months] and February to May [4 months] for a total of 8 months.  The SSI exclusion from the EFC is 8 months times $500 = $4,000. New EFC is $5,000 minus $4,000 = $1,000).  The college financial aid office must be notified on the RA-6627 to avoid an over-award due to a social security exclusion.

 

Procedure 13 implies that the individual receiving SSI/SSDI benefits would not be required to use his/her SSI or SSDI income towards the cost of his/her VR services, but that the individual’s family would be subject to financial needs testing.  Regulations at 34 CFR 361.54(b)(3)(ii) clearly state that the DSU may not apply a financial needs test as a condition for furnishing any VR service if the individual is eligible for Social Security benefits.  

 

Corrective Action 3:  RSA requires that MRS take the necessary steps to ensure that it does not administer a financial needs test as a condition for furnishing any VR service for SSI/SSDI beneficiaries and recipients, as required by 34 CFR 361.54(b)(3)(ii).  

 

Agency Response:  MRS will revise its policy to comply with most recent interpretation.  

 

RSA Response:  RSA asks that MRS submit its revised policy to RSA upon completion.  RSA will provide the requested TA to MRS as needed.  

 

Technical Assistance:  MRS requests clarification regarding the distinction between requirements to apply for financial aid vs. requirement to use all financial assistance as comparable benefits and not duplicating other resources, such as SSDI for maintenance.