6340 Federal Register / Vol. 70, No. 24 / Monday, February 7, 2005 / Rules and Regulations 

Cheyenne, WY, Cheyenne Regional/Jerry 

Olson Field, NDB RWY 27, Amdt 14 

Cheyenne, WY, Cheyenne Regional/Jerry 

Olson Field, VOR OR TACAN–A, Amdt 10 

Cheyenne, WY, Cheyenne Regional/Jerry 

Olson Field, GPS RWY 12, Amdt 1B, 

CANCELLED 

Cheyenne, WY, Cheyenne Regional/Jerry 

Olson Field, GPS RWY 26, Orig-A, 

CANCELLED 

* * * Effective May 12, 2005 

Minot, ND, Minot Intl, LOC/DME BC RWY 

13, Amdt 7

[FR Doc. 05–2222 Filed 2–4–05; 8:45 am] 

BILLING CODE 4910–13–P

DEPARTMENT OF ENERGY

Federal Energy Regulatory 

Commission 

18 CFR Part 157 

[Docket No. RM81–19–000] 

Natural Gas Pipelines; Project Cost 

and Annual Limits 

February 1, 2005.

AGENCY: Federal Energy Regulatory 

Commission.

ACTION: Final rule.

SUMMARY: Pursuant to the authority 

delegated by 18 CFR 375.308(x)(1), the 

Director of the Office of Energy Projects 

(OEP) computes and publishes the 

project cost and annual limits for 

natural gas pipelines blanket 

construction certificates for each 

calendar year.

EFFECTIVE DATE: January 1, 2005.

FOR FURTHER INFORMATION, CONTACT:

Michael J. McGehee, Chief, Certificates 

Branch 1, Division of Pipeline 

Certificates, (202) 502–8962. 

Publication of Project Cost Limits 

Under Blanket Certificates; Order of the 

Director, OEP 

Section 157.208(d) of the 

Commission’s Regulations provides for 

project cost limits applicable to 

construction, acquisition, operation and 

miscellaneous rearrangement of 

facilities (Table I) authorized under the 

blanket certificate procedure (Order No. 

234, 19 FERC &61,216). Section 

157.215(a) specifies the calendar year 

dollar limit which may be expended on 

underground storage testing and 

development (Table II) authorized under 

the blanket certificate. Section 

157.208(d) requires that the ‘‘limits 

specified in Tables I and II shall be 

adjusted each calendar year to reflect 

the ‘GDP implicit price deflator’

published by the Department of 

Commerce for the previous calendar 

year.’’

Pursuant to ′375.308(x)(1) of the 

Commission’s Regulations, the authority 

for the publication of such cost limits, 

as adjusted for inflation, is delegated to 

the Director of the Office of Energy 

Projects. The cost limits for calendar 

year 2005, as published in Table I of 

′157.208(d) and Table II of ′157.215(a), 

are hereby issued.

List of Subjects in 18 CFR Part 157 

Administrative practice and 

procedure, Natural Gas, Reporting and 

recordkeeping requirements.

J. Mark Robinson, 

Director, Office of Energy Projects.

■ Accordingly, 18 CFR part 157 is 

amended as follows:

PART 157—[AMENDED]

■ 1. The authority citation for part 157 

continues to read as follows:

Authority: 15 U.S.C. 717–717w, 3301–

3432; 42 U.S.C. 7101–7352.

■ 2. Table I in § 157.208(d) is revised to 

read as follows:

§ 157.208 Construction, acquisition, 

operation, replacement, and miscellaneous 

rearrangement of facilities.

* * * * *

(d) * * *

TABLE I 

Year 

Limit 

Auto. proj.

cost limit

(Col.1) 

Prior notice 

proj. cost limit 

(Col.2) 

1982 .......... $4,200,000 $12,000,000 

1983 .......... 4,500,000 12,800,000 

1984 .......... 4,700,000 13,300,000 

1985 .......... 4,900,000 13,800,000 

1986 .......... 5,100,000 14,300,000 

1987 .......... 5,200,000 14,700,000 

1988 .......... 5,400,000 15,100,000 

1989 .......... 5,600,000 15,600,000 

1990 .......... 5,800,000 16,000,000 

1991 .......... 6,000,000 16,700,000 

1992 .......... 6,200,000 17,300,000 

1993 .......... 6,400,000 17,700,000 

1994 .......... 6,600,000 18,100,000 

1995 .......... 6,700,000 18,400,000 

1996 .......... 6,900,000 18,800,000 

1997 .......... 7,000,000 19,200,000 

1998 .......... 7,100,000 19,600,000 

1999 .......... 7,200,000 19,800,000 

2000 .......... 7,300,000 20,200,000 

2001 .......... 7,400,000 20,600,000 

2002 .......... 7,500,000 21,000,000 

2003 .......... 7,600,000 21,200,000 

2004 .......... 7,800,000 21,600,000 

2005 .......... 8,000,000 22,000,000 

* * * * *

■ 3. Table II in § 157.215(a)(5) is revised 

to read as follows:

§ 157.215 Underground storage testing 

and development. 

(a) * * * 

(5) * * *

TABLE II 

Year Limit 

1982 ...................................... $2,700,000 

1983 ...................................... 2,900,000 

1984 ...................................... 3,000,000 

1985 ...................................... 3,100,000 

1986 ...................................... 3,200,000 

1987 ...................................... 3,300,000 

1988 ...................................... 3,400,000 

1989 ...................................... 3,500,000 

1990 ...................................... 3,600,000 

1991 ...................................... 3,800,000 

1992 ...................................... 3,900,000 

1993 ...................................... 4,000,000 

1994 ...................................... 4,100,000 

1995 ...................................... 4,200,000 

1996 ...................................... 4,300,000 

1997 ...................................... 4,400,000 

1998 ...................................... 4,500,000 

1999 ...................................... 4,550,000 

2000 ...................................... 4,650,000 

2001 ...................................... 4,750,000 

2002 ...................................... 4,850,000 

2003 ...................................... 4,900,000 

2004 ...................................... 5,000,000 

2005 ...................................... 5,100,000 

* * * * *

[FR Doc. 05–2255 Filed 2–4–05; 8:45 am] 

BILLING CODE 6717–01–P

SOCIAL SECURITY ADMINISTRATION

20 CFR Part 416 

[Regulation No. 16] 

RIN 0960–AF84 

Determining Income and Resources 

Under the Supplemental Security 

Income (SSI) Program

AGENCY: Social Security Administration.

ACTION: Final rules.

SUMMARY: We are revising our 

regulations that explain how we 

determine an individual’s income and 

resources under the supplemental 

security income (SSI) program in order 

to achieve three program 

simplifications. First, we are eliminating 

clothing from the definition of income 

and from the definition of in-kind 

support and maintenance. As a result, 

we generally will not count gifts of 

clothing as income when we decide 

whether a person can receive SSI 

benefits or when we compute the 

amount of the benefits. Second, we are 

changing our resource-counting rules in 

the SSI program by eliminating the 

dollar value limit for the exclusion of 

household goods and personal effects.

Federal Register / Vol. 70, No. 24 / Monday, February 7, 2005 / Rules and Regulations 6341

As a result, we will not count household 

goods and personal effects as resources 

when we decide whether a person can 

receive SSI benefits. Third, we are 

changing our rules for excluding an 

automobile in determining the resources 

of an SSI applicant or recipient. We will 

exclude one automobile (the ‘‘first’’

automobile) from resources if it is used 

for transportation for the individual or 

a member of the individual’s household, 

without consideration of its value. 

These changes will simplify our rules, 

making them less cumbersome to 

administer and easier for the public to 

understand and follow. Our experience 

of nearly 30 years of processing SSI 

claims indicates that these 

simplifications will have minimal effect 

on the outcome of SSI eligibility 

determinations.

DATES: These regulations are effective 

on March 9, 2005. 

Electronic Version: The electronic file 

of this document is available on the date 

of publication in the Federal Register at 

http://www.gpoaccess.gov/fr/

index.html. It is also available on the 

Internet site for SSA, Social Security 

Online, at http://policy.ssa.gov/

pnpublic.nsf/LawsRegs.

FOR FURTHER INFORMATION CONTACT:

Robert Augustine, Social Insurance 

Specialist, Office of Regulations, Social 

Security Administration, 100 Altmeyer 

Building, 6401 Security Boulevard, 

Baltimore, MD 21235–6401, (410) 965–

0020 or TTY (410) 966–5609. For 

information on eligibility or filing for 

benefits, call our national toll-free 

number, 1–800–772–1213 or TTY 1–

800–325–0778, or visit our Internet site, 

Social Security Online, at http://

www.socialsecurity.gov.

SUPPLEMENTARY INFORMATION: 

Background 

The basic purpose of the SSI program 

(title XVI of the Social Security Act (the 

Act)) is to ensure a minimum level of 

income to people who are age 65 or 

older, or blind or disabled, and who 

have limited income and resources. The 

law provides that payments can be 

made only to people who have income 

and resources below specified amounts. 

Therefore, the amount of income and 

resources a person has is a major factor 

in deciding whether the person can 

receive SSI benefits and in computing 

the amount of the benefits. 

The Government Accountability 

Office (GAO) has reported that annual 

costs to the Federal Government for 

administering means-tested Federal 

programs are significant and that 

eligibility determination activities make 

up a substantial portion of these costs 

(Means-Tested Programs: Determining 

Financial Eligibility Is Cumbersome and 

Can Be Simplified, GAO–02–58, 

November 2, 2001 available at http://

www.gao.gov). In particular, the GAO 

cited the variations and complexity of 

Federal financial eligibility rules as 

contributing to processes that are often 

duplicative and cumbersome for staff 

workers (including state and local 

caseworkers) and for those who apply 

for assistance. In order to streamline our 

eligibility determination process, as 

well as make our financial eligibility 

rules more consistent with those of 

other means-tested Federal programs, 

we are making the following changes to 

our rules on determining income and 

resources under the SSI program.

Explanation of Changes 

A. Elimination of Clothing From the 

Definitions of Income and In-Kind 

Support and Maintenance 

Section 1612 of the Act defines 

income as both earned income and 

unearned income, including support 

and maintenance furnished in cash or in 

kind. Under our current rules, income 

may include anything you receive in 

cash or in kind that you can use to meet 

your needs for food, clothing, and 

shelter. Both earned income and 

unearned income can include items 

received in kind. Generally, we value 

in-kind items at their current market 

value. However, we have special rules 

for valuing food, clothing, or shelter that 

is received as unearned income. 

In-kind support and maintenance is 

unearned income in the form of food, 

clothing, or shelter that is given to a 

person or that the person receives 

because someone else pays for it. 

Section 1612(a)(2)(A) of the Act 

provides that if an eligible individual 

receives in-kind support and 

maintenance, his or her SSI payment 

may be reduced by up to one-third of 

the monthly Federal benefit rate. To 

determine whether the one-third 

reduction applies, we must ask 

claimants and beneficiaries a lengthy 

series of questions about their living 

arrangements and household expenses. 

We also must obtain similar information 

from the homeowner or head of the 

household, who often is not a claimant 

or recipient. 

The complexity of the rules for 

valuing in-kind support and 

maintenance results in reporting 

requirements that are difficult for the 

public to understand and follow. We 

are, therefore, simplifying the SSI 

program by eliminating clothing from 

the definition of income and from the 

definition of in-kind support and 

maintenance. Clothing is one of the 

basic sustenance needs, along with food 

and shelter. However, unlike food and 

shelter, clothing generally is not 

received every month. Items of clothing 

are more likely to be received 

infrequently and sporadically, and they 

generally have no substantial financial 

value. In addition, our attempts to 

discover and assign a value to gifts of 

clothing are not only administratively 

burdensome, but have been viewed as 

harsh and demeaning and as providing 

a disincentive for family members to 

help needy relatives. 

After 30 years of administering the 

SSI program, our experience shows that 

clothing received as in-kind support and 

maintenance rarely affects an 

individual’s eligibility for SSI or the 

amount of benefits. Thus, questioning 

individuals about items as personal as 

basic clothing may be seen as intrusive 

without achieving any substantial 

program goal or enhancing program 

integrity. We are making this change to 

simplify our rules and improve our 

work efficiency. This change will make 

our rules less intrusive and more 

protective of the dignity and privacy of 

claimants and beneficiaries, and will 

not significantly increase SSI program 

costs. 

We are removing the specific 

reference to clothing from our broad 

definition of income in § 416.1102, 

which covers both earned and unearned 

income. This will permit us to disregard 

gifts of clothing when we apply the 

special rules for valuing in-kind support 

and maintenance. Counting gifts of 

clothing puts a negative face on the SSI 

program without advancing any 

substantial program goal and incurs 

administrative costs.

There will be one situation where we 

will be required to consider clothing as 

income. This situation could occur 

when an individual receives clothing 

from an employer that we must count as 

wages under section 1612(a)(1)(A) of the 

Act. Wages are the same for SSI 

purposes as for the earnings test in the 

Social Security retirement program. 

Under the earnings test, wages may 

include the value of food, clothing, or 

shelter, or other items provided instead 

of cash. We refer to these items as inkind earned income. Because we are 

required by the Act to count the value 

of these items as income, we are not 

making any changes to our current rule 

in § 416.1110(a). Situations where 

clothing constitutes wages are very 

uncommon. 

These rules remove references to 

clothing throughout subpart K, which 

explains how we count income. We also 

are updating the second example in 

6342 Federal Register / Vol. 70, No. 24 / Monday, February 7, 2005 / Rules and Regulations 

§ 416.1103(g) to reflect that SSI 

eligibility is now based on an 

individual’s income, resources, and 

other relevant circumstances in a month

rather than in a calendar quarter. The 

change from a quarterly determination 

to a monthly determination, which is 

explained in § 416.420, was effective 

April 1, 1982 pursuant to section 2341 

of Public Law 97–35. This example was 

inadvertently overlooked when 

conforming changes were previously 

made. 

B. Exclusion of Household Goods and 

Personal Effects 

Section 1613(a)(2)(A) of the Act 

provides that in determining the 

resources of an individual (and eligible 

spouse, if any), SSA will exclude 

household goods and personal effects to 

the extent that their total value does not 

exceed an amount that the 

Commissioner decides is reasonable. In 

interpreting ‘‘reasonable’’ value of 

household goods and personal effects, 

§ 416.1216(b) of our regulations 

provides for an exclusion of up to 

$2,000 of the total equity value. The 

amount in excess of $2,000 is counted 

against the resource limit, currently 

$2,000 for an individual and $3,000 for 

an individual and spouse. 

Section 416.1216(a) defines 

household goods as including 

household furniture, furnishings, and 

equipment that are commonly found in 

or about a house and used in connection 

with the operation, maintenance, and 

occupancy of the home. Also included 

are furniture, furnishings, and 

equipment used in the functions and 

activities of home and family life as well 

as those items that are for comfort and 

accommodation. This section 

specifically defines personal effects as 

including clothing, jewelry, items of 

personal care, and individual 

educational and recreational items. In 

addition, § 416.1216(c) provides specific 

exclusions for a wedding ring, an 

engagement ring, and equipment 

required because of a person’s physical 

condition. 

To determine the equity value of 

household goods and personal effects, 

we ask the person for a list of household 

and personal items, the value of each, 

and what the individual owes on each. 

This process can be complex, difficult 

for the public to understand, and 

unduly intrusive into personal affairs. 

We are amending these rules as part of 

our efforts to simplify the SSI program. 

We are amending our regulations for 

household goods and personal effects by 

eliminating the dollar value limit and by 

excluding from countable resources all: 

• Household goods if they are items 

of personal property, found in or near a 

home, that are used on a regular basis, 

or items needed by the householder for 

maintenance, use and occupancy of the 

premises as a home; and 

• Personal effects if they are items of 

personal property that ordinarily are 

worn or carried by the individual, or are 

articles that otherwise have an intimate 

relation to the individual. 

Thus, we will interpret the word 

‘‘reasonable’’ in section 1613(a)(2)(A) of 

the Act in terms other than a specific 

dollar limit. The reasonable value will 

instead be based on the uses and 

characteristics of the item. Our current 

rules on household goods and personal 

effects reflect our view that it is 

reasonable to totally exclude certain 

items of personal property because they 

are rarely of significant value or are 

intimately related to the individual and 

his or her particular needs. Accordingly, 

we have determined that requiring 

conversion of such items for subsistence 

needs is unreasonable. 

Currently, § 416.1216(c) provides for 

totally excluding a wedding ring and an 

engagement ring, and household goods 

and personal effects required because of 

a person’s physical condition. We are 

expanding this approach generally to 

household goods and personal effects so 

that they may be totally excluded from 

resources because our experience in 30 

years of administering the SSI program 

shows that these items almost never 

have any substantial value, particularly 

once they are used.

These rules amend § 416.1216 to 

define and identify household goods 

and personal effects that we will not 

count as resources. Included in the list 

of excluded personal effects are items of 

cultural or religious significance since 

these items have an intimate 

relationship to an individual. The list of 

exclusions also includes items required 

due to an individual’s impairment. This 

will allow for exclusion of items 

required because of any impairment, not 

just physical impairments. For example, 

our experience has shown that children 

and adults with learning disabilities use 

personal computers to assist them with 

schoolwork and other daily activities. 

This change will allow us to exclude 

items such as personal computers from 

countable resources. 

We are also amending § 416.1210(b) 

by referring to § 416.1216 for the 

definition of household goods and 

personal effects that we will not count 

as resources. 

While simplifying the SSI program, 

our changes continue to recognize that 

individuals applying for SSI may own 

items for investment purposes which 

may be quite valuable. Such items as 

gems, jewelry that is not worn or held 

for family significance, and collectibles 

will still be considered countable 

resources and subject to the limits in 

§ 416.1205. Thus, the exclusion for 

household goods and personal effects 

will not apply to such items that have 

investment value. 

Our experience in administering the 

SSI program suggests that the change we 

are making will affect the eligibility of 

only a few applicants and recipients. 

However, this change will simplify our 

rules and improve our work efficiency 

without significantly increasing 

program costs. It will make our rules 

less intrusive and more protective of the 

dignity of applicants and recipients. 

This intrusion into the privacy of a 

person’s home unnecessarily puts a 

negative face on the SSI program 

without achieving any corresponding 

gain in program integrity or payment 

accuracy. It also will more accurately 

reflect the reality that all SSI applicants 

and recipients need household goods 

and personal effects to perform 

activities of daily living and maintain 

quality of life. Accordingly, we believe 

it would be unreasonable to require 

applicants and recipients to convert 

these items to cash in order to meet 

their subsistence needs. The resale 

value of typical household items is 

minimal after the item has been used. 

Although it could be expensive to 

replace certain household items, these 

items would be worth very little if the 

individual tried to resell them to get 

cash for subsistence needs.

C. Exclusion of an Automobile From 

Resources 

Section 1613(a)(2)(A) of the Act 

provides that, in determining the 

resources of an individual (and eligible 

spouse, if any) for SSI purposes, SSA 

will exclude an automobile to the extent 

that its value does not exceed an 

amount that the Commissioner of Social 

Security decides is reasonable. Current 

regulations at § 416.1218 define an 

‘‘automobile’’ as a passenger car or other 

vehicle used to provide necessary 

transportation. 

In interpreting ‘‘reasonable’’ value, 

§ 416.1218(b)(1) provides that an 

automobile is totally excluded 

regardless of value if it meets any of the 

four following criteria: 

• It is necessary for employment; 

• It is necessary for the medical 

treatment of a specific or regular 

medical problem; 

• It is modified for a handicapped 

person; or 

Federal Register / Vol. 70, No. 24 / Monday, February 7, 2005 / Rules and Regulations 6343

• It is necessary because of certain 

factors to perform essential daily 

activities. 

If no automobile can be excluded 

based on its use, one automobile is 

excluded to the extent its current market 

value does not exceed $4,500. See 

§ 416.1218(b)(2). Additional 

automobiles are counted as nonliquid 

resources to the extent of their equity 

value. See § 416.1218(b)(3). 

We are amending our rules to exclude 

one automobile from resources 

regardless of its value if it is used for 

transportation for the individual or a 

member of the individual’s household. 

We are doing so because our data 

establish that the vast majority of ‘‘first’’

automobiles owned by SSI recipients 

are currently excluded based on one of 

the four transportation criteria set out in 

§ 416.1218(b)(1). In addition, there is no 

indication that the automobiles which 

are not covered by the special 

circumstances represent significant 

resources. Based on quality assurance 

data for 1998, in approximately 98 

percent of those SSI cases involving 

automobile ownership, the value of one 

car was completely excluded. Anecdotal 

data from SSA claims representatives 

support the 1998 quality assurance data. 

We are revising § 416.1210(c) to 

exclude from resources an automobile 

that is used for transportation as 

provided in § 416.1218. We are also 

changing § 416.1218(b) to exclude 

totally one automobile regardless of 

value if it is used for transportation for 

the individual or a member of the 

individual’s household and to eliminate 

the existing four specific reasons for 

exclusion. We are also removing 

§ 416.1218(c), which contains the 

definition of the current market value of 

an automobile. 

Under current policy, we virtually 

always exclude one automobile for each 

individual or couple applying for or 

receiving SSI. Our aim in simplifying 

the automobile rules is to achieve 

essentially the same outcome by 

automatically excluding one automobile 

used for transportation for each 

individual or couple without 

unnecessary claims development. 

The Act states that we will exclude an 

automobile of reasonable value. We 

have previously interpreted the word 

‘‘reasonable’’ in terms of the uses and 

needs of disabled individuals and in 

terms of dollar limits. Specifically, the 

preamble to the final regulation which 

increased the exclusion of the 

automobile value to $4,500 on July 24, 

1979 (44 FR 43265) stated that we had 

‘‘concluded that there are special 

circumstances which justify entirely 

excluding an automobile. For example, 

if the automobile is needed for 

employment or medical treatment or if 

it has been modified for use by a 

handicapped person, we will exclude it 

without regard to value.’’ Since October 

22, 1985 (50 FR 42687), the regulations 

also provide for total exclusion of an 

automobile if, due to certain factors, it 

is necessary for transportation to 

perform essential daily activities. Our 

experience shows that virtually all SSI 

claimants and recipients who have 

automobiles need them for 

transportation under the circumstances 

listed above. 

It should be noted that our 

interpretation of ‘‘reasonable’’ will not 

eliminate the requirement to develop 

the value of second or additional 

automobiles. Nor will the ‘‘first’’

automobile be excluded if it is not used 

for transportation. In those cases where 

a vehicle is inoperable, or operable but 

not used at all, or used only for 

recreation (e.g., a dune buggy), it will 

still be valued according to current 

rules. We believe it would be 

unreasonable to exclude from resources 

the value of a vehicle that is not used 

for transportation. 

The change will have a negligible 

effect on program costs and will 

simplify administration of the 

exclusion. It will eliminate the need for 

SSA claims representatives to ask the 

SSI recipient if his/her vehicle meets 

one of the four specific exclusion 

criteria or otherwise determine the 

value of the vehicle. 

Public Comments

On January 6, 2004, we published 

proposed rules in the Federal Register

at 69 FR 554 and provided a 60-day 

period for interested parties to 

comment. We received comments from 

49 individuals and 20 organizations. 

Because some of the comments received 

were quite detailed, we have condensed, 

summarized or paraphrased them in the 

discussion below. We have tried to 

present all views adequately and to 

carefully address all of the issues raised 

by the commenters that are within the 

scope of the proposed rules. 

Fifty-nine of the commenters fully 

support the proposed rules and have not 

requested any additional changes in the 

regulations. Most of these commenters 

cited ‘‘simplification of the SSI rules’’

and ‘‘reducing the burden on the 

public’’ as the reasons for their support 

of the proposed rules. 

The remaining commenters raised the 

following issues that are within the 

scope of the proposed rules. 

Comment: Several commenters 

supported the proposed regulations but 

recommended a change to the 

automobile exclusion. We proposed to 

exclude one automobile regardless of 

value if it is used for transportation by 

the SSI eligible individual or a member 

of that individual’s household. The 

commenters recommended inserting 

language which would also permit 

exclusion of one automobile if SSA 

determines that the automobile is being 

used by a person who lives outside the 

household to help the SSI eligible 

individual. The commenters state that 

this would address the situation in 

which the automobile is never used by 

the SSI eligible individual or any 

member of the household but it is used 

by a person outside the household to 

run errands for the eligible individual. 

Response: After careful consideration, 

we decided not to adopt this suggested 

change. The Social Security Act 

provides an exclusion for an automobile 

of reasonable value. Since 1985, our 

interpretation of reasonable value has 

been based on the premise that the 

excluded automobile is used to provide 

necessary transportation for the 

individual or a member of the 

individual’s household. If an 

automobile is not used to provide 

transportation for the individual or 

members of the individual’s household, 

it is not excluded from resources. 

Limiting the exclusion to an automobile 

used to provide transportation for the 

individual or a household member is 

appropriate because it links the 

exclusion of the automobile with use of 

the automobile by the person who owns 

the automobile or by a member of his or 

her household. In addition, the revised 

rules will permit an exclusion of the 

automobile if a person residing outside 

the individual’s household uses the 

automobile to provide transportation for 

the individual or a household member. 

Comment: One individual disagreed 

with our proposed rule for the 

automobile exclusion because the rule 

does not limit the dollar value of the 

automobile being excluded. The 

commenter stated that such a rule 

would not be well-received by the 

public. 

Response: After careful consideration, 

we have decided not to make any 

change based on this comment. Under 

our revised rules, we are simplifying the 

procedures for determining whether an 

automobile is excluded. However, we 

are not making any change to the 

exclusion on the basis of a dollar limit. 

We have excluded automobiles used for 

necessary transportation regardless of 

value since 1985. After nearly 20 years 

of experience with excluding 

automobiles regardless of value, we 

have not found that this approach has 

caused concern in the general public. In 

6344 Federal Register / Vol. 70, No. 24 / Monday, February 7, 2005 / Rules and Regulations 

addition, our effort to simplify the rules 

for this exclusion would be negated by 

adding a requirement to determine the 

value of excluded automobiles which in 

many situations would require 

determining the individual’s equity in 

the automobile and the condition of the 

automobile.

Comment: One individual expressed 

overall support for the proposed rules 

but recommended that artwork and 

antiques should not be excluded under 

the exclusion for household goods and 

personal effects. The commenter 

expressed concern that an applicant for 

SSI benefits could own valuable artwork 

or antiques and that there should be a 

limit on the value of such items. 

Response: After careful consideration, 

we have decided not to change the 

language of the exclusion for household 

goods and personal effects to specify 

that artwork and antiques should not be 

excluded. We do not believe such a 

change is necessary. Although these 

rules will eliminate the dollar limit for 

the exclusion of household goods and 

personal effects, they will still permit us 

to consider the resources of an 

individual who owns valuable items 

that are not considered as household 

goods or personal effects under our 

regulatory definition. Our experience of 

30 years of administering the SSI 

program shows that household goods 

and personal effects rarely have 

substantial resale value, particularly 

once they are used. However, our rules 

will continue to recognize that 

individuals applying for SSI benefits 

may own items for investment purposes 

which may be quite valuable. Such 

items as gems, jewelry not held for 

family significance, and collectibles will 

still be considered as countable 

resources and be subject to the SSI 

resource limit. Artwork and antiques 

can fall within the category of 

collectibles, and, where they have been 

acquired or held for their investment 

value, such items will be countable 

resources. Although in our claims 

development process we will not 

routinely examine all of an individual’s 

furniture and personal possessions to 

determine if any pieces are valuable 

artwork or antiques, we will have the 

regulatory authority to count such value 

items as resources when we become 

aware of such items. 

Regulatory Procedures 

Executive Order 12866, as Amended by 

Executive Order 13258 

The Office of Management and Budget 

(OMB) has reviewed these final rules in 

accordance with Executive Order 12866, 

as amended by Executive Order 13258. 

We have also determined that these 

final rules meet the plain language 

requirement of Executive Order 12866, 

as amended by Executive Order 13258. 

Regulatory Flexibility Act 

We certify that these final rules will 

not have a significant economic impact 

on a substantial number of small 

entities, because they will affect only 

individuals. Thus, a regulatory 

flexibility analysis as provided in the 

Regulatory Flexibility Act, as amended, 

is not required. 

Paperwork Reduction Act 

These final rules will impose no 

additional reporting or recordkeeping 

requirements requiring OMB clearance.

(Catalog of Federal Domestic Assistance 

Program No. 96.006 Supplemental Security 

Income)

List of Subjects in 20 CFR Part 416 

Administrative practice and 

procedure, Aged, Blind, Disability 

benefits, Public assistance programs, 

Reporting and recordkeeping 

requirements, Supplemental Security 

Income (SSI).

Dated: December 2, 2004. 

Jo Anne B. Barnhart, 

Commissioner of Social Security.

■ For the reasons set out in the preamble, 

we are amending subparts K and L of part 

416 of chapter III of title 20 of the Code 

of Federal Regulations as follows:

PART 416—SUPPLEMENTAL 

SECURITY INCOME FOR THE AGED, 

BLIND, AND DISABLED

Subpart K—[Amended]

■ 1. The authority citation for subpart K 

of part 416 continues to read as follows:

Authority: Secs. 702(a)(5), 1602, 1611, 

1612, 1613, 1614(f), 1621, and 1631 of the 

Social Security Act (42 U.S.C. 902(a)(5), 

1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 

and 1383); sec. 211, Pub. L. 93–66, 87 Stat. 

154 (42 U.S.C. 1382 note).

■ 2. Section 416.1102 is revised to read 

as follows:

§ 416.1102 What is income? 

Income is anything you receive in 

cash or in kind that you can use to meet 

your needs for food and shelter. 

Sometimes income also includes more 

or less than you actually receive (see 

§ 416.1110 and § 416.1123(b)). In-kind 

income is not cash, but is actually food 

or shelter, or something you can use to 

get one of these.

■ 3. Section 416.1103 is amended by 

revising the section heading, the 

introductory text, paragraphs (a)(3), 

(a)(4), (a)(5) introductory text, (b)(2), 

(b)(3) introductory text, the examples in 

paragraph (g), and the text and example 

1 of paragraph (j) to read as follows:

§ 416.1103 What is not income? 

Some things you receive are not 

income because you cannot use them as 

food or shelter, or use them to obtain 

food or shelter. In addition, what you 

receive from the sale or exchange of 

your own property is not income; it 

remains a resource. The following are 

some items that are not income: 

(a) * * * 

(3) Assistance provided in cash or in 

kind (including food or shelter) under a 

Federal, State, or local government 

program whose purpose is to provide 

medical care or medical services 

(including vocational rehabilitation); 

(4) In-kind assistance (except food or 

shelter) provided under a 

nongovernmental program whose 

purpose is to provide medical care or 

medical services; 

(5) Cash provided by any 

nongovernmental medical care or 

medical services program or under a 

health insurance policy (except cash to 

cover food or shelter) if the cash is 

either:

* * * * *

(b) * * * 

(2) In-kind assistance (except food or 

shelter) provided under a 

nongovernmental program whose 

purpose is to provide social services; or 

(3) Cash provided by a 

nongovernmental social services 

program (except cash to cover food or 

shelter) if the cash is either:

* * * * *

(g) * * *

Examples: If your daughter uses her own 

money to pay the grocer to provide you with 

food, the payment itself is not your income 

because you do not receive it. However, 

because of your daughter’s payment, the 

grocer provides you with food; the food is inkind income to you. Similarly, if you buy 

food on credit and your son later pays the 

bill, the payment to the store is not income 

to you, but the food is in-kind income to you. 

In this example, if your son pays for the food 

in a month after the month of purchase, we 

will count the in-kind income to you in the 

month in which he pays the bill. On the 

other hand, if your brother pays a lawn 

service to mow your grass, the payment is not 

income to you because the mowing cannot be 

used to meet your needs for food or shelter. 

Therefore, it is not in-kind income as defined 

in § 416.1102.

* * * * *

(j) Receipt of certain noncash items. 

Any item you receive (except shelter as 

defined in § 416.1130 or food) which 

would be an excluded nonliquid 

resource (as described in subpart L of 

this part) if you kept it, is not income.

Federal Register / Vol. 70, No. 24 / Monday, February 7, 2005 / Rules and Regulations 6345

Example 1: A community takes up a 

collection to buy you a specially equipped 

van, which is your only vehicle. The value 

of this gift is not income because the van 

does not provide you with food or shelter 

and will become an excluded nonliquid 

resource under § 416.1218 in the month 

following the month of receipt.

* * * * *

§§416.1104, 416.1121, 416.1124, 416.1130, 

416.1133, 416.1140, 416.1142, 416.1144, 

416.1145, 416.1147, 416.1148, 416.1149, 

416.1157 [Amended]

■ 4. Remove the words ‘‘food, clothing, 

or shelter’’ and add, in their place, the 

words ‘‘food or shelter’’ in the following 

sections: 

a. Section 416.1104; 

b. Section 416.1121(b) and (h); 

c. Section 416.1124(c)(3); 

d. Section 416.1130(a) and (b); 

e. Section 416.1133(a); 

f. Section 416.1140(a)(1), (a)(2)(i), 

(a)(2)(ii), (b)(1), and (b)(2); 

g. Section 416.1142(b); 

h. Section 416.1144(b)(2); 

i. Section 416.1145; 

j. Section 416.1147(c) and (d)(1); 

k. Section 416.1148(b)(1) and (b)(2); 

l. Section 416.1149(c)(1)(i) and 

(c)(1)(ii); and 

m. Section 416.1157(b).

Subpart L—[Amended]

■ 5. The authority citation for subpart L 

of part 416 continues to read as follows:

Authority: Secs. 702(a)(5), 1602, 1611, 

1612, 1613, 1614(f), 1621, and 1631 of the 

Social Security Act (42 U.S.C. 902(a)(5), 

1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 

and 1383); sec. 211, Pub. L. 93–66, 87 Stat. 

154 (42 U.S.C. 1382 note).

■ 6. Section 416.1210 is amended by 

revising paragraphs (b) and (c) to read as 

follows:

§ 416.1210 Exclusions from resources; 

general.

* * * * *

(b) Household goods and personal 

effects as defined in § 416.1216; 

(c) An automobile, if used for 

transportation, as provided in 

§ 416.1218;

* * * * *

■ 7. Section 416.1216 is revised to read 

as follows:

§ 416.1216 Exclusion of household goods 

and personal effects. 

(a) Household goods. (1) We do not 

count household goods as a resource to 

an individual (and spouse, if any) if 

they are: 

(i) Items of personal property, found 

in or near the home, that are used on a 

regular basis; or 

(ii) Items needed by the householder 

for maintenance, use and occupancy of 

the premises as a home. 

(2) Such items include but are not 

limited to: Furniture, appliances, 

electronic equipment such as personal 

computers and television sets, carpets, 

cooking and eating utensils, and dishes. 

(b) Personal effects. (1) We do not 

count personal effects as resources to an 

individual (and spouse, if any) if they 

are: 

(i) Items of personal property 

ordinarily worn or carried by the 

individual; or 

(ii) Articles otherwise having an 

intimate relation to the individual. 

(2) Such items include but are not 

limited to: Personal jewelry including 

wedding and engagement rings, 

personal care items, prosthetic devices, 

and educational or recreational items 

such as books or musical instruments. 

We also do not count as resources items 

of cultural or religious significance to an 

individual and items required because 

of an individual’s impairment. 

However, we do count items that were 

acquired or are held for their value or 

as an investment because we do not 

consider these to be personal effects. 

Such items can include but are not 

limited to: Gems, jewelry that is not 

worn or held for family significance, or 

collectibles. Such items will be subject 

to the limits in § 416.1205.

■ 8. Section 416.1218 is amended by 

revising paragraph (b)(1), removing 

paragraph (b)(2), redesignating 

paragraph (b)(3) as (b)(2) and revising it, 

and removing paragraph (c) to read as 

follows:

§ 416.1218 Exclusion of the Automobile.

* * * * *

(b) * * * 

(1) Total exclusion. One automobile is 

totally excluded regardless of value if it 

is used for transportation for the 

individual or a member of the 

individual’s household. 

(2) Other automobiles. Any other 

automobiles are considered to be 

nonliquid resources. Your equity in the 

other automobiles is counted as a 

resource. (See § 416.1201(c).)

[FR Doc. 05–2248 Filed 2–4–05; 8:45 am] 

BILLING CODE 4191–02–P

DEPARTMENT OF HOMELAND 

SECURITY 

Coast Guard 

33 CFR Part 117 

[CGD05–04–179] 

RIN 1625–AA09 

Drawbridge Operation Regulations; 

Mantua Creek, Paulsboro, NJ

AGENCY: Coast Guard, DHS.

ACTION: Temporary final rule.

SUMMARY: The Coast Guard is 

temporarily changing the regulations 

that govern the operation of the S.R. 44 

bridge over Mantua Creek, at mile 1.7, 

in Paulsboro, New Jersey. The bridge 

will be closed to navigation from 8 a.m. 

on September 12, 2005, through 6 p.m. 

on December 9, 2005. The extensive 

structural, mechanical, and electrical 

repairs and improvements necessitate 

this closure.

DATES: This rule is effective from 8 a.m. 

on September 12, 2005, through 6 p.m. 

on December 9, 2005.

ADDRESSES: Comments and material 

received from the public, as well as 

documents indicated in this preamble as 

being available in the docket, are part of 

docket CGD05–04–179 and are available 

for inspection or copying at Commander 

(obr), Fifth Coast Guard District, Federal 

Building, 1st Floor, 431 Crawford Street, 

Portsmouth, VA 23704–5004 between 8 

a.m. and 4 p.m., Monday through 

Friday, except Federal holidays. The 

Fifth Coast Guard District maintains the 

public docket for this rulemaking.

FOR FURTHER INFORMATION CONTACT:

Anton Allen, Bridge Management 

Specialist, Fifth Coast Guard District, at 

(757) 398–6227.

SUPPLEMENTARY INFORMATION: 

Regulatory History 

On October 12, 2004, we published a 

notice of proposed rulemaking (NPRM) 

entitled ‘‘Drawbridge Operation 

Regulations; Mantua Creek, Paulsboro, 

NJ’’ in the Federal Register (69 FR 

60595). We received no letters 

commenting on the proposed rule. No 

public meeting was requested, and none 

was held. 

Background and Purpose 

The New Jersey Department of 

Transportation (NJDOT) owns and 

operates the S.R. 44 Bridge over Mantua 

Creek in Paulsboro, NJ. The current 

regulations set out in 33 CFR 117.729 

require the draw to open on signal from 

March 1 through November 30 from 7 

a.m. to 11 p.m., and shall open on signal