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<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D">Amanda, I suspect that this contract will be counted as an asset, unless you can prove that the market value is zero, or that it cannot be sold.
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D">With $500K still owing, it wouldn’t seem that it has no value. If there is 5 years of good payment history, it probably can be sold.
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D">You need to closely examine the provisions of WAC 182-512-0350 - SSI-related medical—Property and contracts excluded as resources.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D">The rules are pretty clear. That said, if you can sell the contract, or get the buyers to refinance, you could very likely invest the proceeds into an annuity
that will protect the community spouse.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D">Heather<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:16.0pt;font-family:"Vladimir Script";color:#1F497D">Heather S. de Vrieze</span><b><span style="font-size:16.0pt;font-family:"Calibri",sans-serif;color:#1F497D"><br>
</span></b><i><span style="font-size:11.0pt;font-family:"Garamond",serif;color:#1F497D">Attorney-at-Law<o:p></o:p></span></i></p>
<p class="MsoNormal"><i><span style="font-size:11.0pt;font-family:"Garamond",serif;color:#1F497D"><img width="264" height="147" id="_x0000_i1026" src="cid:image001.jpg@01D083EE.75C16C90" alt="cid:image001.jpg@01D013C2.30F35160"></span></i><i><span style="font-family:"Garamond",serif;color:#1F497D"><o:p></o:p></span></i></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:Nyala;color:#44524E">3909 California Avenue SW<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:Nyala;color:#44524E">Seattle, WA 98116-3705
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:Nyala;color:#44524E">(206)938-5500
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D"><a href="mailto:heatherd@westseattlelaw.com"><span style="font-size:10.0pt;font-family:Nyala;color:#44524E">heatherd@westseattlelaw.com</span></a></span><span style="font-size:10.0pt;font-family:Nyala;color:#44524E">
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D"><a href="http://www.westseattlelaw.com/"><span style="font-size:10.0pt;font-family:Nyala;color:#44524E">www.westseattlelaw.com</span></a></span><span style="font-size:10.0pt;font-family:Nyala;color:#44524E">
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:Nyala;color:#44524E"><o:p> </o:p></span></p>
<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:"Arial",sans-serif;color:#002E8A">Click here to connect with de Vrieze | Carney on Facebook:
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<p class="MsoNormal"><span style="font-size:11.0pt;font-family:Nyala;color:#44524E"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:8.0pt;font-family:"Calibri",sans-serif;color:#A6A6A6">CONFIDENTIAL & PRIVILEGED. This e-mail message may contain legally privileged and/or confidential information. If you have received this e-mail in error, please
notify the sender immediately and delete all copies of this e-mail message and any attachment.</span><span style="font-size:16.0pt;font-family:"Cambria",serif;color:blue"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri",sans-serif;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><b><span style="font-size:11.0pt;font-family:"Calibri",sans-serif">From:</span></b><span style="font-size:11.0pt;font-family:"Calibri",sans-serif"> wsbapt-bounces@lists.wsbarppt.com [mailto:wsbapt-bounces@lists.wsbarppt.com]
<b>On Behalf Of </b>amanda_wilson@olypenlawoffices.com<br>
<b>Sent:</b> Thursday, April 30, 2015 5:26 PM<br>
<b>To:</b> WSBA Probate & Trust Listserv<br>
<b>Subject:</b> [WSBAPT] Medicaid<o:p></o:p></span></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p style="margin:0in;margin-bottom:.0001pt">My clients are a couple, of whom the husband needs to go to long term assisted living and is applying for Medicaid. We are trying to protect some income for the Community Spouse (CS). They do not own a home, they
own one car, and they have about $4000 cash in the bank. These assets are not a problem.<o:p></o:p></p>
<p style="margin:0in;margin-bottom:.0001pt"> <o:p></o:p></p>
<p style="margin:0in;margin-bottom:.0001pt">The issue is that their income sources are SSI for the wife, SSI for the husband, and a monthly payment from a Purchase and Sale Agreement that they entered into with the Buyers five years ago. The monthly income
is approximately $3000/mos. The Buyers are still owing $500K on the property. The property is titled to the Buyers. My clients actually hold the second mortgage (the first mortgage is actually for $70K of the $500K and held by another party).<o:p></o:p></p>
<p style="margin:0in;margin-bottom:.0001pt"> <o:p></o:p></p>
<p style="margin:0in;margin-bottom:.0001pt">I had the husband sign an assignment of income to CS. We listed this as an income source and submitted it to DSHS. The checks are currently being made out to CS, only.<o:p></o:p></p>
<p style="margin:0in;margin-bottom:.0001pt"> <o:p></o:p></p>
<p style="margin:0in;margin-bottom:.0001pt">I want to argue that this is income, not an asset. Has anyone (on this listserve) ever argued this before? If it is an asset, can it be held by an annuity?<o:p></o:p></p>
<p style="margin:0in;margin-bottom:.0001pt"> <o:p></o:p></p>
<p style="margin:0in;margin-bottom:.0001pt">Thanks in advance.<o:p></o:p></p>
<p style="margin:0in;margin-bottom:.0001pt">Amanda<o:p></o:p></p>
<p style="margin:0in;margin-bottom:.0001pt"> <o:p></o:p></p>
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