A “major disaster” is one declared by the President under the Robert T. Stafford Disaster Relief and Emergency Assistance Act (formerly the Disaster Relief Act of 1974).
When a major disaster occurs, any assistance you receive from any of the following is excluded from resources:
The Robert T. Stafford Disaster Relief and Emergency Assistance Act;
Any other Federal statute because of the disaster;
Comparable assistance received from a State or local government or;
A disaster assistance organization.
Any interest earned on assistance described in (A)-(D) above is also excluded.
If an excluded resource is lost, damaged, or stolen, cash or in-kind replacement from any source is excluded from resources for 9 months from the date of receipt, unless a permanent exclusion applies. Under this exclusion, “cash” includes any interest earned on the cash. Both cash and in-kind receipts can be excluded up to an additional 9 months for (good cause).
Note: For victims of disasters declared by the president, if good cause is shown, the exclusion may be extended for up to 12 additional months beyond the nine-month extension for good cause for a total of up to 30 months.
Last Revised: Apr. 12, 2010