This chapter applies to trusts which are divided into two categories:
Trusts established prior to July 30, 1994, and
Trusts established on or after July 30, 1994.
Trusts established on or before July 30, 1994, or which are established by a will, continue to be treated as available resources if the trustee can make the resources available for the individual's food, clothing, shelter or medical care, regardless of whether the trust is in fact used for food, clothing, shelter or medical care.
55 Pa. Code § 178.4 (c) 55 Pa. Code §178.7
The Omnibus Budget Reconciliation Act of 1993 (OBRA '93) applies to trusts established on or after July 30, 1994.
A trust is established if the assets of the individual, or the individual's spouse, were used to form all or part of the principal of the trust; and the trust was created by a grantor other than by a will.
If the assets of the individual or the individual's spouse are combined with the assets of any other person or persons, the CAO must apply the requirements based on the contribution attributable to the individual or the individual's spouse.
Unless the trust meets the requirements described in Section 441.5 of this chapter, the rules set forth in this section apply to trusts without regard to:
The purpose for which the trust was established
Whether trustees have or exercise any discretion under the trust
Any restrictions on when or whether distributions are made from the trust.
Any restrictions on the use of distributions from the trust.
55 Pa. Code § 178.4 (c) 55 Pa. Code §178.7
Updated July 11, 2014