Tappen v. State, Department of Health & Welfare

641 P.2d 994, 102 Idaho 807, 1982 Ida. LEXIS 226
CourtIdaho Supreme Court
DecidedFebruary 19, 1982
DocketNo. 13220
StatusPublished
Cited by1 cases

This text of 641 P.2d 994 (Tappen v. State, Department of Health & Welfare) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tappen v. State, Department of Health & Welfare, 641 P.2d 994, 102 Idaho 807, 1982 Ida. LEXIS 226 (Idaho 1982).

Opinion

DONALDSON, Justice.

This is an appeal from a district court order which affirmed an administrative hearing officer’s decision. The administrative decision was in favor of the Idaho Department of Health and Welfare and affirmed the termination of appellants’ public assistance grants. We affirm.

With respect to these appellants, Harold and Mary Tappen, this Court previously considered a termination of their public assistance grants. Tappen v. State, Department of Health and Welfare, 98 Idaho 576, 570 P.2d 28 (1977). Our decision in that case did not resolve whether or not the termination was valid but rather concluded that a conflict in the evidence remained which of necessity had to be resolved by the fact finder utilizing the appropriate standards regarding burden of proof. We reversed the district court decision which had reinstated benefits and remanded for additional administrative proceedings.

Thereafter, the Tappens and the Department reached a settlement agreement whereby the Tappens received a lump sum payment of $5,880 on March 24, 1978. The Tappens received continuing AFDC benefits following settlement until the Department redetermined their eligibility for AFDC benefits in May 1978. In making the redetermination, the Department considered information received from the Tap-pens that indicated that they had present funds in two bank accounts totaling $2,937.16, which remained from the March settlement. The Department’s eligibility examiner made the decision to terminate the Tappens’ grant pursuant to state and federal regulations.1 The termination was to be effective May 31, 1978.

The Tappens pursued an administrative appeal by filing an appeal on May 31, 1978, which was heard before a hearing officer on July 12, 1978. On August 10, 1978, the hearing officer rendered his decision which affirmed the previous termination decision. An appeal was brought to the district court which resulted in an order affirming the administrative decision. Attorney fees were denied in the district court. This appeal follows.

[809]*809We first address the appellants’ argument that the administrative actions taken by the Department resulted in a frustration of the statutory purpose behind the AFDC program. Appellants argue that they were eligible for public assistance grants throughout the appellate process of Tappen v. State, supra, and to permit the Department to make a lump sum payment and then two months later to terminate their grants on the basis of their possession of excess resources is inequitable and results in a frustration of the statutory purpose behind the AFDC program. We are unconvinced. A purpose of the AFDC program appears in the language of 42 U.S.C. § 601:

“For the purpose of encouraging the care of dependent children in their own homes ... by enabling each State to furnish financial assistance ..., as far as practicable under the conditions in such State, to needy dependent children and the parents . . . with whom they are living to help maintain and strengthen family life and to help such parents ... to attain or retain capability for the maximum self-support and personal independence consistent with the maintenance of continuing parental care and protection

Implicit in this provision is that the program is to provide for the current needs of eligible “needy dependent children.”

While the Department has considerable latitude in regulating its AFDC program, it is still required to conform with all applicable terms of the federal AFDC program. See Carleson v. Remillard, 406 U.S. 598, 600-01, 92 S.Ct. 1932, 1934, 32 L.Ed.2d 352 (1972); Rosado v. Wyman, 397 U.S. 397, 90 S.Ct. 1207, 25 L.Ed.2d 442 (1970); King v. Smith, 392 U.S. 309, 318-19, 88 S.Ct. 2128, 2134, 20 L.Ed.2d 1118 (1968); I.C. § 56-209 (1976) (current version at I.C. § 56-209 (Supp.1981)). In Tappen v. State, supra, we held that the Department was delegated the power to define “dependent children.” Id. 98 Idaho at 579-80, 570 P.2d 28. By extension our holding can be read to approve the promulgation of regulations concerning how eligibility is determined and reevaluated over time. See 42 U.S.C. § 602(a)(7); I.C. §§ 56-209, -210 (current versions at I.C. §§ 56-209, —210 (Supp. 1981)); 45 C.F.R. 233.20(a)(1), (2), (3) (1977). A basic principle of both the state and federal regulation of the AFDC program requires that in determining need, deprivation, dependency and ultimate eligibility for public assistance that all currently and actually available income and resources of a recipient be considered. See Lewis v. Martin, 397 U.S. 552, 90 S.Ct. 1282, 25 L.Ed.2d 561 (1970); 42 U.S.C. § 602(a)(7); I.C. § 56-210; 45 C.F.R. 233.20(a)(1), (2), (3).

The termination of the appellants’ benefits was pursuant to departmental regulations which were consistent with the applicable sections of the Social Security Act and pertinent federal regulations. Rosado v. Wyman, supra; King v. Smith, supra; I.C. § 56-209 (1976) (current version at I.C. § 56-209 (Supp.1981)). To remain eligible for public assistance grants, the Department of Health and Welfare regulation § 3132.1(1) provided that recipients may “[r]etain up to $500 in cash . . .. ” In determining the available resources and income of recipients, regulation § 3131.53 provided for the exclusion of particular items from both income and resources. Section 3131.53(J), which comports with 45 C.F.R. 233.20(a)(12)(ii)(b) (1977), excluded from income and resources: “Any retroactive payment made to correct an underpayment of Public Assistance either in the month paid or the next following month.” The record reveals that the Department followed its regulations and excluded the March payment from the appellants’ resources during March and April but in May considered what remained from that payment as a resource. Nothing in the record reflects any departmental wrongdoing such as to require an exception to § 3131.53(J). We hold that § 3131.53(J) and § 3132.1 were consistent with the purposes of the AFDC program as established by 42 U.S.C. § 601 et seq. and as implemented in Idaho by I.C. § 56-209.

We next address the legal effect of the failure of the Department to comply [810]*810with its own then effective regulation § 3385.2 (effective December 1,1973).

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Bluebook (online)
641 P.2d 994, 102 Idaho 807, 1982 Ida. LEXIS 226, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tappen-v-state-department-of-health-welfare-idaho-1982.