[WSBAPT] Practical experience on DSHS's application of child caregiver exception for home transfers?

[Sarah McCarthy]

I need to find out the practical details of how one documents that each of
the elements are met, in a way that would satisfy DSHS, when one carries
out an exempt transfer of a home to an adult child providing care, under
the child caregiver exception set forth in WAC 182-513-1363(4)(d)(iv)
(pasted below).

- Does anyone have practical experience of what DSHS requires, in terms of
factual proof, to satisfy the elements of the exemption?

- What exact form does the required "verifiable care" and "physician's
documentation" take, to show that the elements were each met?

- Does this "physician's documentation" get generated at the time of the
transfer of the home, or at the time of the application for Medicaid
long-term care coverage, looking back retroactively at the prior 2 year
period?

- What about the "lived in the home" element - what if the child lives on
the same property/tax parcel, but in a separate dwelling unit? I.e., parent
moves into a small mother-in-law unit on the property without dangerous
stairs or wood stoves, and child+family moves into the bigger "main house"?
Anyone have experience as to whether or not this would be a problem? You
can assume that the mailing address for both units is identical, and there
would be documentation that parent and child were receiving mail at the
same address.  Does DSHS send someone out to actually look at the living
quarters, or do they rely on written proof of where everyone lived, such as
postal mail?

- An unrelated issue for the same clients - it also turns out that there is
a mortgage on the property - does anyone know if a transfer to an adult
child for this Medicaid planning purpose, reserving a life estate for
parents, would carry any exemption from triggering the mortgage's "due on
sale" clause?

Thanks for any guidance anyone can offer!  *I'm keen to learn for my own
practice, but I'd also be happy to provide a warm send off and refer these
clients to someone with experience on these issues, if there is someone who
has experience on this and can help walk them through the process. *

I am cross posting this to the Elder Law and the Probate List Serves.


WAC 182-513-1363:

(4) The agency or the agency's designee does not apply a period of
ineligibility for uncompensated value if:
. . .
(d) The transferred asset was a home, if the home was transferred to the
person's:
. . .
(iv) Child who lived in the home and provided care, but only if:
(A) The child lived in the person's home for at least two years;
(B) The child provided verifiable care to that person during the time
period in (d)(iv)(A) of this subsection for at least two years;
(C) The period of care under (d)(iv)(B) of this subsection was immediately
before that person's current period of institutional status;
(D) The care was not paid for by medicaid;
(E) The care enabled that person to remain at home; and
(F) The physician's documentation verifies that the in-home care was
necessary to prevent that person's current period of institutional status;

*Sarah O’Farrell McCarthy*


*(Pronouns: she / her)*Attorney, Partner | Kelly, Arndt & Walker, Attorneys
at Law, PLLP
P.O. Box 290 | 6443 Harding Avenue | Clinton, WA  98236

(Located on Whidbey Island, Island County, Washington)
Phone: (360) 341-1515 | Fax: (360) 341-3272
sarah at kawlawyers.com | www.kawlawyers.com


*IMPORTANT NOTICE FOR DELIVERIES TO THIS OFFICE: *

*For delivery by USPS, please send to PO Box 290, Clinton, WA 98236.*

*For delivery by UPS or FedEX, please send to 6443 Harding Ave, Clinton WA
98236.*


This electronic message transmission contains information from the law firm
of Kelly, Arndt & Walker, PLLP which may be confidential or privileged.
This information is intended to be for the use of the individual or entity
named above,  If you are not the intended recipient, be aware that any
further review, disclosure, printing, copying, distribution, or use of the
contents of this transmission is prohibited. If you have received this
electronic message transmission in error, please notify us immediately by
reply e-mail and delete the original message.  Thank you.



We do not accept service of any kind by e-mail unless expressly authorized
in writing by the attorney of record.  This e-mail is NOT a contract and is
not binding upon the author pursuant to CR 2A. This e-mail is, at most, a
negotiation under ER 408.
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mailman.fsr.com/pipermail/wsbapt/attachments/20240723/428a7a75/attachment.html>