With the help of NAELA members Molly M. Wood, Ron M. Landsman, Esq., CAP, and Craig C. Reaves, CELA, CAP, NAELA and the Special Needs Alliance (SNA) submitted an amicus brief in the case of Hutson v. Mosier, which involved the district court imposition of the transfer penalty that significantly delayed Hutson’s receipt of Medicaid benefits for her long-term care. NAELA member Karen Weber signed and filed the SNA brief. Molly M. Wood won her point – she is entitled to a hearing on value received. Trust funds are to be counted as assets in making Medicaid eligibility determinations, and in the case of persons 65 or older who transfer assets to pooled supplemental or special needs trusts, the funds are subject to transfer penalty if transfer is for less than fair market value.

At the same time, the court considered and rejected the argument that the federal statute exempted funding all pooled special needs trust accounts, following the prior cases from the Eight Circuit (Center for Special Needs Trust Administration v. Olson, 676 F.3d 688 (8th Cir. 2012)) and the South Dakota Supreme Court (In re Pooled Trust Advocate, 813 N.W.2d 130 (S.D. 2012)).