President Bush signed the 2005 Budget Reconciliation Bill on February 8, 2006. The Bill changes some of the rules that govern eligibility for the Medicaid program. Here are a few of the changes:

• Effective January 1, 2006
  Applicants for Long Term Care services can not have equity in their home that exceeds $500,000



• Effective February 8, 2006
  Annuities owned by an applicant or community spouse must list the State as preferred remainder beneficiary to be considered valid for purposes of Long Term Care eligibility.



• Effective February 8, 2006
  The look-back period for transfer of assets is five years rather than three years. Additionally, South Carolina will use the option to consider multiple transactions during the look-back period as one transfer to determine the eligibility penalty period. The penalty period begins when the transfer occurs or when the applicant would otherwise be eligible, whichever is later.



• Effective July 1, 2006
  Medicaid will be required to enforce documentation requirements including obtaining Proof Of Citizenship or nationality. The Applicant will need to provide documents, which may include a passport, Certificate of United States Citizenship, driver's license, and/or birth certificate. The Department will publish a list of required documents once additional CMS guidance is received.