MFIP, MSA, GA, HSP:
No provisions.


SNAP:
Shelter Deductions consist of housing and utility costs. Allow verified housing costs in the month billed, or if not billed, when they first become payable. For self-employed persons claiming housing costs as a business expense, also allow the expense as a shelter deduction following the provisions below. For utility costs, see 0018.15.09 (Utility Deductions). For verification of shelter deductions, see 0010.18.02.03 (Non-Mandatory Verifications – SNAP).

Allowable Housing Costs
Deduct continuing housing costs only if the unit must pay someone outside their SNAP assistance unit for the expense. Payments for past due housing expenses are not allowed as a deduction.

The most common examples of allowable housing costs are listed below. However, this is not an all-inclusive list:

●	Rent, including mobile home lot rent. When units pay their housing costs on a monthly basis, but pay this in advance for multiple months at a time, they are allowed a shelter deduction for the period the advanced payments are intended to cover.
●	Rent on a garage if the garage rental is a condition of renting the apartment.
●	Homeowner's insurance - When paid through a mortgage escrow account, allow the entire amount of the monthly homeowners insurance expense. - When NOT paid through a mortgage escrow account, only allow the homeowners insurance portion paid for the structure, averaged as a monthly expense. See 0010.18.02.03 (Non-Mandatory Verifications – SNAP) for how to verify homeowner's insurance.
●	Mortgage insurance that is required by the lender and the cost is verified.
●	Mortgage, 2nd mortgage, or contract-for-deed payments. See MORTGAGE in 0002.43 (Glossary: Money...).
●	Property taxes and state and local assessments. - When paid through a mortgage escrow account, allow the entire amount of the monthly property tax expense as billed by the mortgage lender. - When NOT paid through a mortgage escrow account, calculate and allow the average monthly property tax expense.
●	Condominium fees and association fees that are required to own a home.
●	Vehicle payment and insurance if the unit lives in the vehicle.
●	Room portion of charges for group residential housing or a domestic violence shelter.
●	Costs not reimbursed for repair of a home damaged or destroyed by a natural disaster.

Do NOT allow a deduction for:

●	Deposits on rental properties or utilities.
●	Life or auto insurance or other extra coverage on personal property added on the homeowner’s property insurance policy.
●	Foundation, skirting, or tie-downs for mobile homes.
●	Garage rent if the garage rental is not a condition of renting the apartment.
●	Home improvements.
●	Down payments and closing costs.
●	Renter’s insurance even if required by the landlord or residential property management company.

Housing Cost Calculations
Calculate shelter deductions paid weekly, bi-weekly, monthly or semi-monthly using the multiplier. The multiplier is:

- 4.3 for weekly costs.

- 2.15 for bi-weekly (every other week) costs.

- 1 for monthly costs.

- 2 for semi-monthly costs.

Housing Costs when Units have More than 1 Residence
Housing costs may only be allowed as a deduction for one property.

In situations where clients have a home outside of Minnesota as well as Minnesota and live part of the year in the other place and part of the year in Minnesota, they may only receive a deduction for the continuing charges paid for the home they have in Minnesota. See 0011.06 (State Residence) for more information on when someone has a home in Minnesota and another place.

Housing Costs for Ineligible Unit Members
Allow a deduction for households which contain people who are required to be in the unit but who are disqualified or do not meet technical or procedural eligibility requirements. See 0014.03.06 (Determining the SNAP Unit). For Uncle Harry cases, see 0022.24 (Uncle Harry Food Support Benefits).

●	For units which contain ineligible non-citizens, non-applicants, unit members disqualified for non-compliance with Social Security enumeration requirements, or ineligible able-bodied adults who are responsible for housing costs:

1.	Prorate housing costs billed to or paid by the ineligible person or disqualified unit member among household members.
2.	Disregard the prorated share of the costs for the ineligible person(s) or disqualified unit member(s). Allow the remainder of the costs as a deduction for the unit. The utility costs are not prorated. See 0018.15.09 (Utility Deductions).

●	For units which contain an ineligible student:

-	When an ineligible student pays all of the cost, the unit is not entitled to a housing or utility deduction.
-	When a unit shares housing costs, deduct ONLY the amount actually paid or contributed by the unit. If you cannot differentiate the payments or contributions:

1.	Prorate the housing cost evenly among the people actually paying or contributing to the cost. MAXIS will disregard the ineligible student's share of the costs.
2.	Allow the remainder of the costs as a deduction. The utility costs are not prorated. See 0018.15.09 (Utility Deductions).

●	For units which contain an ineligible unit member disqualified for intentional program violation or non-compliance with work requirements, allow the entire unit's applicable deduction amount, including the disqualified unit member.

Housing Costs Paid by People Living in the Home
If the SNAP unit is sharing housing costs with others living in their home, use the guidance below to determine what shelter cost the SNAP unit is eligible for as a deduction.

●

If the SNAP unit has a lease agreement, mortgage statement or other official living agreement and has other people living with them, not in their SNAP unit, they are allowed the full lease amount, mortgage statement or living agreement as a shelter deduction. If the other people living there have an agreement to pay the SNAP unit housing costs, that money is counted as unearned income to the SNAP unit. In addition, if the other party paying the SNAP unit applies for SNAP themselves, what they are paying the other SNAP unit for housing costs can be allowed as a deduction. See 0017.15.33.27 (Self-Employment Income From Roomer/Boarder).

●

If the SNAP unit has a lease agreement, mortgage statement or other living agreement that lists the person/people not in the SNAP unit, then only allow the amount the SNAP unit is paying as part of their agreement as a shelter deduction.

Housing Costs Paid by People Not Living in the Home
If a 3rd party that is not living with the client is providing funds directly to the client for their housing costs, allow the deduction. These payments are counted as unearned income. If the 3rd party is paying the housing costs to the landlord/owner, this is not counted as income and the unit is not allowed the housing costs as a deduction unless the shelter expenses are paid by initial refugee funds or match grant. Shelter expenses paid by initial refugee funds must be allowed as a deduction for SNAP. See 0029.39 (The Matching Grant Program), 0030.01(Local Resettlement Agencies).

If a unit receives subsidized housing, only allow what the client is actually paying for their shelter costs as a deduction.

Housing Support Program (HSP)
When a unit resides in a GRH setting their deduction depends on the setting and the client’s obligation:

●	When the unit resides in a Group Supportive Housing, allow the client’s obligation as the shelter deduction.
●	When the unit resides in a Community Setting, first determine the client’s monthly rental amount and their obligation. When the client’s obligation is less than the monthly rental amount, allow the client’s obligation as a shelter deduction. When the client’s obligation is more than the monthly rental amount, allow the monthly rental amount as a deduction.

See the Housing Support Setting Characteristics (DHS-8292-ENG) for more information on Group Supportive Housing and Community Settings.

Maximum Shelter Costs
Once a unit verifies their shelter costs, they are allowed their adjusted shelter costs as a deduction, up to a maximum amount. Adjusted shelter costs are the unit's allowable housing costs plus their standard utility allowance minus 50% of the unit's net income. If the unit's adjusted shelter costs exceed the maximum amount, then they are allowed the maximum amount as a deduction. Currently, the maximum amount is $744. MAXIS calculates the shelter deduction in the SNAP budget based on information entered on the appropriate panels. SNAP units with an elderly or disabled member are allowed their adjusted shelter costs as a deduction even when it is less than or exceeds the maximum amount. Elderly means someone who is age 60 years or older. See listed items under category 1 for disability determination in 0010.18.06 (Verifying Disability/Incapacity – SNAP)

For allowable shelter deductions for Uncle Harry cases, see 0022.24 (Uncle Harry Food Support Benefits).

Homeless Shelter Deduction
A homeless shelter deduction amount of $198.99 must be allowed for homeless SNAP units if they meet certain criteria outlined below. This amount is to be deducted from the unit’s net income.

A unit is allowed the homeless shelter deduction if they meet ALL of the following:

●	All individuals in the unit must be homeless. See 0002.29 (Glossary: Gross RSDI) .
●	The unit must be incurring a verified shelter cost. For verification of shelter deductions, see 0010.18.02.03 (Non-Mandatory Verifications – SNAP). If the homeless SNAP unit cannot readily obtain traditional types of verification, take a verbal statement from the client if it is reasonable and do not obtain further verification(s).
●	The homeless shelter deduction amount must be more than the unit’s adjusted shelter costs. To calculate adjusted shelter costs: 1. Add together the unit’s verified housing costs + applicable utility standard. This is the unit’s total shelter costs. 2. Determine the unit’s net income. See 0018 (Determining Net Income). 3.Subtract 50% of the units (rounded) net income from total shelter costs.

A unit allowed the homeless shelter deduction is not eligible for additional deduction for housing costs or a standard utility deduction as outline in 0018.15.09 (Utility Deduction).

If the unit does not meet all of the criteria listed above, they should not be allowed the homeless shelter deduction and must be allowed a shelter deduction based on actual verified costs and applicable standard utility deduction. See 0018.15.09 (Utility Deductions).

For more information on how to apply this deduction in MAXIS, see TE02.08.196 (SNAP Homeless Shelter Deduction).

Changes in Housing Costs
For changes in housing costs during the certification period, see 0008.06.01 (Implementing Changes – Program Provisions).