775-5          ASSISTANCE UNIT FAILS INCOME ELIGIBILITY TEST

If the assistance unit fails either the 185% or Need Standard tests, the caseworker should examine the family situation to determine if there is an optional filing unit member, with income, included in the assistance unit. If there is, the removal of that person from the assistance unit will stop that person's income from being considered. The caseworker should inform the applicant, and if the applicant desires, the optional filing unit member is removed, the family's gross and net income are recomputed, and the new total is matched against the appropriate 185% and Need Standards.

If no recomputation is possible, or if recomputation has been done and the assistant unit's income still exceeds the standards, the family is not eligible, even if all other factors of eligibility are met. The application is denied or the case closed with proper notice.