Tracking# 2012-01069 
FA/P 2/1/13, eff. 4/1/13 

I:/12120302.rtf 
(I:/12120302.doc) 

(9 CCR 2503-1)

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Revisions of Sections 3.600.1, 3.604.1, 3.605.3, 3.606.6, 3.608.4, and 3.609.95 were final adoption following publication at the 2/1/2013 State Board rule-making session, with an effective date of 4/1/2013 (Rule-making# 12-12-3-2). Statement of Basis and Purpose and specific statutory authority for these revisions were incorporated by reference into the rule. These materials are available for review by the public during normal working hours at the Colorado Department of Human Services, Office of Enterprise Partnerships, Division of Boards and Commissions, State Board Administration.
Revisions of Sections 3.720 through 3.720.33, 3.721.22, and 3.744 were adopted on an emergency basis at the 2/1/2013 State Board rule-making session, with an effective date of 2/1/2013 (Rule-making# 12-2-5-1). Statement of Basis and Purpose and specific statutory authority for these revisions were incorporated by reference into the rule. These materials are available for review by the public during normal working hours at the Colorado Department of Human Services, Office of Enterprise Partnerships, Division of Boards and Commissions, State Board Administration.

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(9 CCR 2503-6)

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3.600.1  INTRODUCTION [Rev. eff. 4/1/13]
Colorado Works is Colorado’s Temporary Assistance for Needy Families (TANF) program that provides public assistance to families in need. Colorado Works program is designed to assist customers in becoming self-sufficient by strengthening the economic and social stability of families. Families may receive a separate county diversion grant or Family Preservation and/or other assistance under the Colorado Works program as determined by the county and subject to available appropriations and program requirements in these rules. Nothing in these rules shall be construed to convey any entitlement to receipts of benefits under the Colorado Works program.
The Colorado Works program shall conform to all applicable federal laws and regulations including, but not limited to, the Age Discrimination Act of 1975, Section 504 of the Rehabilitation Act of 1973, the Americans with Disabilities Act of 1990, and Title VI of the Civil Rights Act of 1964, incorporated herein by reference. This rule does not contain any later amendments or editions of those parts. Copies are available from: Colorado Department of Human Services, Division of Colorado Works, 1575 Sherman, Denver, Colorado 80203, or at any state publication depository library. 

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3.604.1  Program Verifications [Rev. eff. 4/1/13]

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[N.]  11.  Qualified Non-Citizen
A qualified non-citizen is defined as follows consistent with the provisions of federal regulations found at 45 CFR 1626.7 as of October 1, 2010, herein incorporated. This rule does not contain any later amendments or editions. Copies of these federal laws are available from the Colorado Department of Human Services, Director of the Division of Colorado Works, 1575 Sherman Street, Denver, Colorado, 80203, or at any state publications library: 
a.  A non-citizen lawfully admitted for permanent residence;
b.  A non-citizen paroled into the United States under Section 212(d)(5) of the Immigration and Naturalization Act (INA) for a period of at least 1 year;
c.  A non-citizen granted conditional entry pursuant to Section 203(a)(7) of the INA prior to April 1, 1980;
d.  A refugee under Section 207 of the INA;
e.  An asylee under Section 208 of the INA;
f.  A non-citizen whose deportation is withheld under Section 243(h) or 241(B)(3) of the INA;
g.  A Cuban or Haitian entrant as defined in Section 501(3) of the Refuge Education Assistance Act of 1980;
h.  A Victim of Severe Form of Trafficking who has been certified as such by the U.S. Dept. of Health and Human Services (HHS).
i.  Iraqis and Afghans granted Special Immigrant Visa status under Section 101(A)(27) of the INA.
j.  A non-citizen who has been battered or subjected to extreme cruelty in the U.S. by a family member;
k.  A non-citizen admitted to the U.S. as an Amerasian immigrant pursuant to Section 584 of the Foreign Operations, Export Financing, and Related Programs Appropriations Act of 1988 (as amended by P.L. No. 100-461);
l.  An individual who was born in Canada and possesses at least fifty percent (50%) American Indian blood or is a member of an Indian tribe as defined in 25 U.S.C. Sec. 450B(E).
12.  Five Year Period
Qualified non-citizens arriving in the U.S. on or after August 22, 1996, are generally barred from federal programs for five years unless they meet one of the following exceptions consistent with the provisions of federal regulations found at 45 CFR 286.5 as of February 18, 2000, herein incorporated by reference. This rule does not contain any later amendments or editions. Copies of these federal laws are available from the Colorado Department of Human Services, Director of the Division of Colorado Works, 1575 Sherman Street, Denver, Colorado, 80203, or at any state publications library. 

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3.605.3  Unearned Income [Rev. eff. 4/1/13]
For the purpose of determining eligibility for Colorado Works, the following shall be exempt from consideration as income: 
A.  Countable Unearned Income
Consideration of Unearned Income Against Program Income Standards
Unless otherwise specified, any unearned income is countable and together with all other countable income of the applicant, recipient, or assistance unit it must be considered against the applicable assistance program need and/or grant standards specified in the regulations covering the different programs.
1.  Countable Unearned Income
Countable unearned income includes, but is not limited to the following, as well as other payments from any source, which can be construed to be a gain or benefit to the applicant or recipient and which are not earned income:
a.  Veteran’s Compensation and pension.
b.  Income from rental property is considered as unearned income where the applicant or recipient is not actively managing the property on an average of at least twenty (20) hours a week. Rental income is countable to the extent it exceeds allowable expenses. Allowable expenses are maintenance, taxes, management fees, interest on mortgage, and utilities paid. This shall not include the purchase of the rental property and payments on the principal of loans for rental property.
c.  Support and alimony payments including all child support and alimony payments shall be used to determine eligibility. Child support excluding arrears from child support that is returned to families in a county that exercises the option to pass through the state and county share of current child support collection shall be disregarded when determining the Colorado Works grant amount.
d.  Educational loans and grants which are not exempt; the countable amount, after deduction of expenses necessary for school attendance, must be prorated over the period of months intended to be covered by the loan or grant.
e.  VA educational assistance (G.I. Bill) payments or any other benefits which are conditional upon school attendance are income to the extent that they exceed expenses necessary for school attendance; specific instructions for determining the countable amount are contained in the section on "Educational Loans and Grants."
f.  Proceeds of a life insurance policy to the extent that they exceed the amount expended by the beneficiary for the purpose of the insured recipient's last illness and burial which are not covered by other benefits.
g.  Proceeds of a health insurance policy or personal injury lawsuit to the extent that they exceed the amount to be expended or required to be expended for medical care.
h.  Strike benefits.
i.  Income from jointly owned property - in a percentage at least equal to the percentage of ownership or, if receiving more than percentage of ownership, the actual amount received.
j.  Lease bonuses (oil or mineral) received by the lesser as an inducement to lease land for exploration are income in the month received.
k.  Oil or mineral royalties received by the lesser are income in the month received.
l.  Stepparent and non-citizens' sponsors' attributable income for Colorado Works cases.
m.  Amounts withheld from unearned income because of a garnishment are countable as unearned income.
n.  Loans or inheritances.
o.  Gifts or prizes.
p.  Dividends and interest received on savings bonds, leases, etc.
q.  Annuities, pensions, or retirements payments.
r.  Disability or survivor's benefits.
s.  Worker's Compensation payments.
t.  Unemployment Compensation.
u.  Social Security benefits.
2.  Periodic Payments
The following types of periodic payments are countable unearned income:
a.  Annuities - payments calculated on an annual basis which are in the nature of returns on prior payments or services; they may be received from any source;
b.  Pension or retirement payments - payments to an applicant or recipient following retirement from employment, such payments made by a former employer or from any insurance or other public or private fund;
c.  Disability or survivor's benefits - payment to an applicant or recipient who has suffered injury or impairment, or to such applicant's or recipient's dependents or survivors; such payments may be made by an employer or from any insurance or other public or private fund;
d.  Worker's Compensation payments - payments awarded under federal and state law to an injured employee or to such employee's dependents; amounts included in such awards for medical, legal, or related expenses incurred by an applicant or recipient in connection with such claim are deducted in determining the amount of countable unearned income;
e.  Veteran compensation and pension - payments based on service in the armed forces; such payments may be made by the U.S. Veterans Administration, another country, a state or local government, or other organization. Any portion of a VA pension that is paid to a veteran for support of a dependent shall be considered countable unearned income to the dependent rather than the veteran.
f.  Unemployment Compensation - payments in the nature of insurance for which one qualifies by reason of having been employed and which are financed by contributions made to a fund during periods of employment;
g.  Railroad retirement payments - payments, such as sick pay, annuities, pensions, and unemployment insurance benefits, which are paid by the Railroad Retirement Board (RRB) to an applicant or recipient who is or was a railroad worker, or to such worker's dependents or survivors;
h.  Social Security benefits - old age (or retirement), survivors and disability insurance payments (OASDI or RSDI) made by the Social Security Administration; also included are special payments at age seventy-two (72) (Prouty Benefits and Black Lung benefits);
i.  Supplemental Security Income (SSI) - public assistance payments made by the Social Security Administration to an applicant or recipient age sixty-five (65) or older, or who is blind or disabled;
j.  Child Support Income - payments made by noncustodial parents for the support of children in a Colorado Works assistance unit shall be considered in accordance with the Colorado Works financial eligibility and payment rules. Child support paid to the family by the Child Support Enforcement Unit shall be considered countable unearned income. 

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3.606.6  Time Limits and Extensions [Rev. eff. 4/1/13]

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G.  Exemptions From the 60-Month Time Limit
Any month of receipt of assistance by an adult while living in Indian Country, or a Native Alaskan village where at least fifty percent (50%) of the adults were not employed, shall not be counted toward the sixty (60) cumulative months of federal TANF assistance. Indian Country is defined in Section 1151 of Title 18, Part 1, Chapter 53, United States Code, as of January 6, 1999, of the federal law; no later amendments or editions of this section are incorporated. Copies of these federal laws are available from the Colorado Department of Human Services, Division of Colorado Works, 1575 Sherman Street, Denver, Colorado 80203, or at any state publications library.

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3.608.4  Noncompliance [Rev. eff. 4/1/13]

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H.  Affect of a Sanction on the Basic Cash Assistance Grant
The Colorado Works basic cash assistance grant shall be affected due to a sanction imposed against a member of the assistance unit as follows:
1.  First Level Sanction
The sanction for the first violation of rules shall be twenty-five percent (25%) of an assistance unit’s cash payment. The first sanction shall be in effect for one (1) month. A first violation not cured by the end of the sanction time period shall be subject to the sanction as set forth in "H, 2", below.
2.  Second Level Sanction
The sanction for a second violation by a member of the assistance unit, or as a progression of the sanction from "H, 1", above, shall be fifty percent (50%) of an assistance unit’s cash assistance. The second sanction shall be in effect for one (1) month. A violation, sanctioned in accordance with this subsection and not cured by the end of the sanction time period, shall progress to the sanction set forth in "H, 3", below.
3.  Third Level Sanction
The sanction for a third violation by a member of the assistance unit, or as a progression from sanction level "H, 2", above, shall result in the termination of cash assistance for the assistance unit. The sanction shall be in effect for three (3) months. If a participant has had a break in payment for more than 180 calendar days due to a closure of the case for a reason other than the sanction, the sanction shall be considered served.

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3.609.95  Protection Against Discrimination [Rev. eff. 4/1/13]

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G.  An individual who believes he or she is being discriminated against may file a complaint with the county department, the State Department, or directly with the federal government. When a complaint is filed with the county department, the county director is responsible for an immediate investigation of the matter and taking necessary corrective action to eliminate any discriminatory activities found. If such activities are not found, the individual is given an explanation. If the person is not satisfied, he or she is requested to direct his or her complaint, in writing, to the State Department, Complaint Section, which will be responsible for further investigation and other necessary action consistent with the provisions of Title VI of the Civil Rights Act of 1964, Section 504 of the Rehabilitation Act of 1973, Title II of the Americans with Disabilities Act (ADA), the Age Discrimination Act of 1975, incorporated herein by reference. This rule does not contain any later amendments or editions of those parts. Copies of these regulations are available from: Colorado Department of Human Services, Division of Colorado Works, 1575 Sherman, Denver, Colorado 80203, or at any state publication depository library. The State Department will also carry out these activities in regard to a complaint received directly from an individual. 

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