SI 00830: Unearned Income
TN 98 (02-06)
Citations:
Sections 1612(a)(2) and 1612(b)(2)(A) of the Social Security Act Social Security Act;
Section 311 of the Refugee Act of 1980, 20 CFR 416.1124(c)(12); 45 CFR 400.45-400.69; 45 CFR 400.200-400.220; 45 CFR 401.2; 45 CFR 401.12
A. Background
Refugee Cash Assistance (RCA) and Cuban and Haitian Entrant Cash Assistance (CHECA) are federally funded programs that make time-limited, needs-based payments to refugees upon entry to the United States. The payments are made by the State or local government essentially according to Temporary Assistance for Needy Families (TANF) standards and rules, although there need not be a child involved.
B. Policy
1. RCA and CHECA Payments
RCA and CHECA payments are federally funded income based on need and, unless excluded under a PASS (SI 00870.001), are counted dollar for dollar as income under the Income Based on Need policy described in SI 00830.170. The $20 general income exclusion (SI 00810.420) does not apply to this income. (See SI 02005.025 for prospective accounting rules for RCA and CHECA.)
2. Payments as cash income
A payment under one of these programs is always considered to be a cash payment. The presumed maximum value rule (PMV) (SI 00835.300) cannot be applied to this income.
3. General Assistance
Until 1/1/90, General Assistance provided by the States to eligible individuals after the expiration of the initial period of RCA or CHECA eligibility was federally reimbursed and counted as Income Based on Need not subject to the $20 general income exclusion. Effective 1/1/90, General Assistance provided to individuals after expiration of their initial period of eligibility is no longer federally reimbursed and should be evaluated under the Assistance Based on Need policy described in SI 00830.175.
NOTE: Refer to the chart in SI 00830.645B.4 for a complete breakdown of the time period of Federal reimbursement for General Assistance.
4. Time-limited eligibility
The Office of Refugee Resettlement (ORR) is responsible for the RCA and CHECA programs. ORR examines the time limits for eligibility each year and determines if fluctuations in funding necessitate that the eligibility period be changed. There is no specific time period for eligibility established by the pertinent ORR regulations, however, the 8 month time period of eligibility for RCA and CHECA became effective 10/1/91 and has remained at 8 months since that time. For periods prior to 10/1/91, the period of eligibility for RCA and CHECA is illustrated in the following chart.
| Time Period | Period of Eligibility for RCA/Cuban/Haitian Assistance | Period of Federal Reimbursement for General Assistance |
|---|---|---|
Prior to 3/31/81 |
Unlimited |
None |
4/1/81-3/31/82 |
First 36 Months |
19-36th Month |
4/1/82-2/28/86 |
First 18 Months |
19-36th Month |
3/1/86-1/31/88 |
First 18 Months |
19-31st Month |
2/1/88-9/30/88 |
First 18 Months |
19-24th Month |
10/1/88-12/31/89 |
First 12 Months |
13-24th Month |
1/1/90-9/30/91 |
First 12 Months |
None |
10/1/91-present |
First 8 Months |
None |
C. Procedure
If a payment is made under one of these programs to a family unit or a group of people, the amount of the assistance attributable to one individual in the family is determined by the incremental method described in SI 00830.403C.2 (i.e., the income is the difference between the amount paid and the amount which would have been paid had the individual not been included).
RCA and CHECA payments are developed according to the TANF instructions found in SI 00830.403. (Contact the local agency administering the program if other than the TANF agency.)
D. References
SI 00830.170, Income Based on Need
SI 00830.175, Assistance Based on Need