Probate & Trust Law Section Conference Manual ... - Minnesota CLE

Assistance Long-term Care. 31 This decision involved an appeal from a
denial of medical assistance benefits as a result of uncompensated transfers
to the applicant's church and various family members covering the period
from February 8, 2006, to November of 2008. The applicant provided
evidence of a series of gifts over the 17 years prior to her application for
benefits. The county agency disregarded transfers made prior to February
8, 2006, and all gifts to the applicant's church, but imposed a penalty
period for $8,530.00 for gifts to family members during the look-back
period. Despite the Appellant's argument that a pattern of gifting birthday
and Christmas presents to family members over a period from 1991 to the
date of application proved that the gifts to family members after February
8, 2006, were made exclusively for a purpose other than to become eligible
for medical assistance benefits, DHS Judge Amy Lynne Hermanek
concluded that the appellant failed to produce evidence "to meet the
especially high burden of proof imposed by the law." 32 The Appellant contended
that when gifts to family members were made, the Appellant "lived
frugally on her social security and savings, and that the insubstantial
individual gifts did not substantially reduce her overall wealth given her
minimal spending on her own needs, and that she was not anticipating
nursing home placement in any case." In the Judge's Conclusions of Law,
she noted that "[I]t cannot be said that the need for long-term care
services was completely unanticipated. . . . . The evidence before me
does not conclusively establish that the gifting was exclusively for
another purpose, regardless of the clear history of the gifting.
Therefore, the $8530 in family gifts made during the period February
8, 2006 through October 2008 was properly counted by the county
agency as an improper transfer."
B. START DATE OF PENALTY PERIOD REMAINS THE
SAME BUT PROBLEMS PERSIST
31
To locate this decision on the Internet do a computer search for "Fair Hearings Decision
Database Minnesota." In the search window enter "19.40.05." and search dates from 3/01/09 to
5/30/09. The search will locate Appeal I.D. No. 39750. Click on "View Appeal."
32
See Minn. Stat. 256B.0595, Subds. 1, 3, and 4, which establish that any transfer of assets
for less than fair market value is presumed to be improper and subject to penalty unless the
applicant furnishes convincing evidence to establish that the transfer was exclusively for another
purpose. This is the same standard of proof which applies to all eligibility criteria for medical
assistance benefits.
28