Ops Memo 2014-46: TAFDC – Welfare Reform: Raising the Fair Market Value Exemption

Overview
As part of the new welfare reform legislation, the Fair Market Value (FMV) exemption for vehicles (see 106 CMR 204.120(G)(1)) is being raised from $10,000 to $15,000. There is no comparison of the Fair Market Value to the Equity Value as the first car does not have Equity Value attributed to it for purposes of eligibility. All other policy regarding vehicles as countable assets remains the same.

A State Letter will be issued with all welfare reform-related changes in the future.

Purpose of Memo
This Operations Memo provides staff with instructions for calculating a vehicle’s FMV when determining the countable asset value.