Ministry of Social Development and Poverty Reduction

Decision Information

Decision Content

APPEAL NUMBER 2021-0134

PART C DECISION UNDER APPEAL The decision under appeal is the Ministry of Social Development and Poverty Reduction (the Ministry) Reconsideration Decision (RD) dated June 14, 2021, which found that the Appellant is not eligible for income assistance (IA) for the month of June 2021 as his net income in April 2021 exceeds the rate of assistance for his sized family unit.

PART D RELEVANT LEGISLATION Employment and Assistance Act (EAA), Sections 1, 2, 4 and 11(1) Employment and Assistance Regulation (EAR), Section 1, 10(2), 28, and 33(1)(a) EAR Schedule A Sections 1(1), 2(1), and 4(2), and EAR Schedule B, Sections 1, 2, 3, and 9

The relevant legislation is provided in Schedule A.

APPEAL NUMBER 2021-0134

PART E SUMMARY OF FACTS The Appellant is a sole recipient of IA.

The evidence before the Ministry at the time of the Reconsideration Decision (RD) included: The Appellant’s Request for Reconsideration (RFR), dated May 31, 2021, in which the Appellant stated that he had felt pain in his tooth since February 2021, after which he visited his doctor to try to get a prescription for pain medication. He located a dentist near his home (the Dentist), whom he visited for an examination. He received an estimate for the necessary dental work which he didn’t expect to be so expensive, and he had no choice but to work additional hours to pay for the dental work;

Two Ministry monthly reports (MR): one providing information about the Appellant’s March 2021 earnings (used to determine his May 2021 IA amount), the other providing April earnings for determining his June 2021 IA amount;

Four earnings statements for the pay periods ending March 4, 2021, March 18, 2021, March 27, 2021, and April 15, 2021 (the Earnings Statements);

A May 19, 2021 medical imaging requisition (MIR) for an X-Ray in the Appellant’s name; An April 5, 2021 patient receipt in the Appellant’s name (the Patient Receipt) showing a previous balance of $1,453.15 under a column headed “Insurance”, a charge of $661.00 for two root canals under a column headed “Patient”, a “Patient Payment” amount of $661.00 and totals owing of $1,453.15 under “Insurance” and $0.00 under “Patient”;

An April 14, 2021 treatment plan proposal in the Appellant’s name for two root canals in the amount of $660.00;

An undated note from the Dentist addressed “To whomsoever it may concern”, asking that the Appellant be excused from work on April 5, 2021 due to root canal treatment;

A dentist’s diagnostic report, unsigned by the “Patient” with an illegible date; A prescription signed by the Dentist and dated April 5, 2021 in the Appellant’s name; A February 17, 2021 clinical exam and diagnosis form in the Appellant’s name, signed by the Dentist; and

Seven pages of tooth X-Rays. Oral Evidence Presented at the Hearing The Appellant was assisted at the hearing by an interpreter. At the hearing the Appellant said that he had been working part-time since the Covid pandemic began because full-time work with his employer was not available. He explained that his employer had limited the work available to workers at the Appellant’s place of employment to approximately 25 hours per week each to ensure that all workers got some paid work. He said that he had approached his employer about working additional hours to pay for the root canals after developing a toothache in March 2021 and was given additional hours of work in April 2021.

APPEAL NUMBER 2021-0134

The Appellant stated that he had been working since shortly after coming to Canada as a refugee in July 2019, that “every time (he) takes (IA he feels) ashamed” and that “(he) hoped that everything will open up and (he) can work full-time and not be dependent on everyone else”. In response to a question from the Panel he said that before he asked his employer for additional hours of work, he usually earned approximately $500 per month; sometimes a bit more and sometimes a bit less.

In response to another question from the Panel about whether he had discussed his status as an IA recipient with the Dentist, the Appellant said that he told the Dentist that he was receiving IA, but that the Dentist had not indicated that the dental treatment might be covered at least in part by the Ministry. He said that he was quoted a charge of $1,100 per tooth for crowns, which he could not afford to pay, and that he still owed the Dentist $1,453.15 for previous work, which included examinations and cleaning. When asked by the Panel if he had asked the Ministry about whether he might qualify to have the dental work done through the Ministry’s Pacific Blue Cross dental plan, the Appellant said that he had asked but still wasn’t sure. He said that “people were telling me too many things”, and that the Ministry “gave (him) pamphlets”, but no one told him whether root canals could be covered by the Ministry. He said that he “provided all documents to the Ministry” and didn’t know what else he could do. He also stated that he had approached WorkSafe BC, who told him that they couldn’t help him.

At the hearing, the Ministry relied on its RD, stressing that the legislation set the maximum amount of earned income that a recipient could receive as $500 in any month before any excess amount would have to be deducted from the recipient’s monthly support and shelter allowance amounts. The Ministry explained that as a single recipient under 65 with no children, the Appellant was entitled to $560.00 per month as a support allowance and $375.00 per month for shelter ($935.00 in total). Because his total earnings received in April 2021 was $1,620.15 over the allowable earned income exemption amount of $500, he was not entitled to any IA in June 2021 as his total IA amount was less than $1,620.15.

Regarding the direction the Ministry might have given the Appellant about dental plan coverage, the Ministry said that whenever he is facing an unexpected expense that he couldn’t afford, he should contact the Ministry, and if the Ministry was unable to help with the unexpected expense “they would put him in contact with someone who can”. In response to a question from the Panel, the Ministry said it did not have interpretation or translation services in its field offices for clients for whom English was not their first language, but that there were community social service providers who could assist with interpretation.

Admissibility of New Information Section 22(4) of the EAA says that a panel may consider evidence that is not part of the record that the panel considers to be reasonably required for a full and fair disclosure of all matters related to the decision under appeal. Once a panel has determined which additional evidence, if any, is admitted under EAA Section 22(4), instead of asking whether the decision under appeal was reasonable at the time it was made, a panel must determine whether the decision under appeal was reasonable based on all admissible evidence.

In the Notice of Appeal (NOA), the Appellant states that he wishes to appeal the Ministry’s RD because “this is not a fair way to support people when they have problems”.

The Panel considered the written information in the NOA to be argument.

APPEAL NUMBER 2021-0134

PART F REASONS FOR PANEL DECISION The issue under appeal is whether the Ministry’s decision, which found that the Appellant is not eligible for IA for the month of June 2021 as his net income exceeds the rate of assistance for his sized family unit, is reasonably supported by the evidence or is a reasonable application of the applicable enactment in his circumstances.

The Ministry’s position is that the Appellant is not entitled to any IA for the month of June 2021 because his total earnings received in April 2021, after deducting the earned income exemption amount, exceeded the amount of IA to which he was entitled.

The Appellant’s position is that he had to work additional hours in April 2021 to cover the cost of an unexpected bill for two root canals that he couldn’t otherwise afford to pay, and that it is unfair for the Ministry to deny payment of his IA for the month of June 2021 because he had earned the extra money In April to pay the root canals.

The Panel’s Decision EAR Schedule A, Sections 2(1) and 4(1) say that the Appellant, as a single recipient of IA under 65, was eligible for monthly IA in the amount of $560.00 and a monthly shelter allowance of $375.00 in June 2021, for a total payment of $935.00.

EAR Schedule B, Section 9(1) says that the calculation of monthly earned income is based on the date that the recipient is actually paid. In the circumstances of the Appellant, even though some of the earned income received by the Appellant in April 2021 was for work performed in March 2021 (specifically the $736.02 that the Appellant received on April 1, 2021), the Panel finds that the Ministry reasonably determined that amounts to be included in the Appellant’s April 2021 earned income amount.

EAR Section 1(1) says that earned income includes any money received in exchange for work, and EAR Schedule B Section 2 says that the only deductions permitted from earned income are any amount deducted at source for income tax, employment insurance, medical insurance, contributions to a pension plan (including the Canada Pension Plan), and union dues. The Panel notes that the Earnings Statements show deductions for income taxes, employment insurance and Canada Pension Plan contributions, and that the Ministry reasonably determined that the net payment amounts received by the Appellant in April 2021 ($659.75, $736.02 and $714.09) were the April 2021 earned income amounts to be used in determining the Appellant’s June 2021 IA eligibility amount. (The payment received by the Appellant on April 1, 2021 of $659.75, was reported by the Appellant as $669.94 on his May MR. As a result, unless additional income was earned by the Appellant from another source, the total earned income amount for April 2021 was $2,109.83, not $2,120.05. However, the Panel notes that this potential small overstatement of April earned income would have no impact on the conclusion reached in the Ministry’s RD.)

EAR Section 33(1)(a) says that a recipient must submit the Monthly Report by the 5 th day of each month, reporting on, among other things, the earned income of the recipient in the preceding month. This information is used to determine the recipient’s eligibility for IA for the month following the month in which it is reported, which is paid to the recipient near the end of the month in which it is reported. The Panel finds that the Ministry reasonably determined that the Appellant’s April earnings should be used to determine his June 2021 IA eligibility.

APPEAL NUMBER 2021-0134

Under EAR Schedule B, Section 3(6), the Appellant was entitled to an earned income exemption of $500.00 for the month of June 2021. The Panel notes that the effect of the earned income exemption is that a recipient of IA may earn income up to the monthly limit ($500 in this case) without any reduction in the monthly IA amount. After the exemption limit is reached, however, a recipient’s monthly IA is reduced by the amount of a recipient’s earned income that exceeds the monthly limit. In the circumstances of the Appellant, the Panel finds that, because the Appellant received more than $1,435.00 in April 2021 ($935.00 plus the $500.00 earned income exemption amount), he was not entitled to IA for the month of June 2021.

Conclusion The Panel finds that the Ministry’s decision that the Appellant is not eligible for IA for the month of June 2021 because his net income in April 2021 exceeded the rate of assistance for his sized family unit was reasonably supported by the evidence and was a reasonable application of the applicable enactment in the circumstances of the Appellant. Therefore, the Ministry’s decision is confirmed. The Appellant is not successful in his appeal.

APPEAL NUMBER 2021-0134

APPENDIX A - LEGISLATION Employment and Assistance Act Interpretation  1 (1) In this Act: …  "family unit" means an applicant or a recipient and his or her dependants;  "income assistance" means an amount for shelter and support provided under section 4 [income assistance and  supplements]; 

"recipient" means the person in a family unit to or for whom income assistance, hardship assistance or a  supplement is provided under this Act for the use or benefit of someone in the family unit …  

Eligibility of family unit  2 For the purposes of this Act, a family unit is eligible, in relation to income assistance, hardship assistance or a  supplement, if 

(a) each person in the family unit on whose account the income assistance, hardship assistance or supplement is provided satisfies the initial and continuing conditions of eligibility established under this Act, and (b) the family unit has not been declared ineligible for the income assistance, hardship assistance or supplement under this Act.

Income assistance and supplements  4 Subject to the regulations, the minister may provide income assistance or a supplement to or for a family unit  that is eligible for it. 

Reporting obligations  11 (1) For a family unit to be eligible for income assistance, a recipient, in the manner and within the time  specified by regulation, must 

(a) submit to the minister a report that (i) is in the form specified by the minister, and (ii) contains the prescribed information, and (b) notify the minister of any change in circumstances or information that (i) may affect the eligibility of the family unit, and (ii) was previously provided to the minister.

APPEAL NUMBER 2021-0134

Employment and Assistance Regulation Definitions  1 (1) In this regulation: …  "earned income" means  (a) any money or value received in exchange for work or the provision of a service, …

Limits on income  10 (2) A family unit is not eligible for income assistance if the net income of the family unit determined under  Schedule B equals or exceeds the amount of income assistance determined under Schedule A for a family unit  matching that family unit. 

Amount of income assistance  28 Income assistance may be provided to or for a family unit, for a calendar month, in an amount that is not more  than 

(a) the amount determined under Schedule A, minus (b) the family unit's net income determined under Schedule B.

Monthly reporting requirement  33 (1) For the purposes of section 11 (1) (a) [reporting obligations] of the Act,  (a) the report must be submitted by the 5th day of each calendar month …

Schedule A  Income Assistance Rates  (section 28 (a) ) 

Maximum amount of income assistance before deduction of net income  1 (1) Subject to this section … the amount of income assistance referred to in section 28 (a) [amount of income  assistance] of this regulation is the sum of 

(a) the monthly support allowance under section 2 of this Schedule for a family unit matching the family unit of the applicant or recipient, plus (b) the shelter allowance calculated under sections 4 and 5 of this Schedule.

APPEAL NUMBER 2021-0134

Monthly support allowance 

2 (1) A monthly support allowance for the purpose of section 1 (a) is the sum of  (a) the amount set out in Column 3 of the following table for a family unit described in Column 1 of an applicant or a recipient described in Column 2 …

Item  Column 1  Column 2  Column 3  Family unit composition  Age or status of applicant or  Amount of support  recipient  Sole applicant/recipient and no  Applicant/recipient is under 65  $560.00  dependent children  years of age  Monthly shelter allowance  4 (2) The monthly shelter allowance for a family unit to which section 15.2 of the Act does not apply is the smaller  of 

(a) the family unit's actual shelter costs, and (b) the maximum set out in the following table for the applicable family size:

Item  Column 1  Column 2  Family Unit Size  Maximum Monthly Shelter  1 person  $375  Schedule B  Net Income Calculation  (section 28 (b) ) 

Deduction and exemption rules  1 When calculating the net income of a family unit for the purposes of section 28 (b) [amount of income  assistance] of this regulation, 

(a) the following are exempt from income: (i) any income earned by a dependent child attending school on a full‐time basis; … (iv) a family bonus, except the portion treated as unearned income under section 10 (1) of this Schedule;

APPEAL NUMBER 2021-0134

(iv.1) the Canada child benefit, except the portion treated as unearned income under section 10  (1) of this Schedule;

(v) the basic child tax benefit; (vi) a goods and services tax credit under the Income Tax Act (Canada); (vii) a tax credit under section 8 [refundable sales tax credit], 8.1 [climate action tax credit] or 8.2 [BC harmonized sales tax credit] of the Income Tax Act (British Columbia);

(viii) individual redress payments granted by the government of Canada to a person of Japanese ancestry;

(ix) individual payments granted by the government of Canada under the Extraordinary Assistance Plan to a person infected by the human immunodeficiency virus;

(x) individual payments granted by the government of British Columbia to a person infected by the human immunodeficiency virus or to the surviving spouse or dependent children of that person;

(xi) individual payments granted by the government of Canada under the Extraordinary Assistance Plan to thalidomide victims;

(xii) money that is (A) paid or payable to a person if the money is awarded to the person by an adjudicative panel in respect of claims of abuse at Jericho Hill School for the Deaf and drawn from  a lump sum settlement paid by the government of British Columbia, or  (B) paid or payable to or for a person if the payment is in accordance with the settlement agreement approved by the Supreme Court in Action No. C980463, Vancouver  Registry; 

(xiii) the BC earned income benefit; (xiv) money paid or payable under the 1986‐1990 Hepatitis C Settlement Agreement made June 15, 1999, except money paid or payable under section 4.02 or 6.01 of Schedule A or of Schedule B of that agreement;

(xv) a rent subsidy provided by the provincial government, or by a council, board, society or governmental agency that administers rent subsidies from the provincial government; …

(xvii) money paid or payable to a person in settlement of a claim of abuse at an Indian residential school, except money paid or payable as income replacement in the settlement;

(xvii.1) money that is paid or payable to or for a person if the payment is in accordance with  (A) the Sixties Scoop Settlement made November 30, 2017, or (B) the Federal Indian Day Schools Settlement made March 12, 2019, as amended May 13, 2019; 

APPEAL NUMBER 2021-0134

(xviii) post adoption assistance payments provided under section 28 (1) or 30.1 of the Adoption Regulation, B.C. Reg. 291/96;

(xix) a rebate of energy or fuel tax provided by the government of Canada, the government of British Columbia, or an agency of either government; …

(xxi)payments granted by the government of British Columbia under section 8 [agreement with child's kin and others] of the Child, Family and Community Service Act;

(xxii) payments granted by the government of British Columbia under the Ministry of Children and Family Development's At Home Program;

(xxiv) payments granted by the government of British Columbia under an agreement referred to in section 93 (1) (g) (ii) of the Child, Family and Community Service Act, for contributions to the support of a child;

(xxv)a loan that is (A) not greater than the amount contemplated by the recipient's business plan, accepted by the minister under section 77.2 of this regulation, and  (B) received and used for the purposes set out in the business plan;

(xxvi) payments granted by the government of British Columbia under the Ministry of Children and Family Development's

(A) Autism Funding: Under Age 6 Program, or (B) Autism Funding: Ages 6 — 18 Program; …

(xxviii) payments made by a health authority or a contractor of a health authority to a recipient, who is a "person with a mental disorder" as defined in section 1 of the Mental Health Act, for the purpose of supporting the recipient in participating in a volunteer program or in a mental health or addictions rehabilitation program;

(xxix) a refund provided under Plan I as established under the Drug Plans Regulation; (xxx) payments provided by Community Living BC to assist with travel expenses for a recipient in the family unit to attend a self‐help skills program, or a supported work placement program, approved by Community Living BC;

(xxxi) a Universal Child Care Benefit provided under the Universal Child Care Benefit Act (Canada); (xxxii) money paid by the government of Canada, under a settlement agreement, to persons who contracted Hepatitis C by receiving blood or blood products in Canada prior to 1986 or after July 1, 1990, except money paid under that agreement as income replacement;

(xxxiii) money withdrawn from a registered disability savings plan; (xxxiv) a working income tax benefit provided under the Income Tax Act (Canada); … (xxxvi) the climate action dividend under section 13.02 of the Income Tax Act;

APPEAL NUMBER 2021-0134

(xxxvii) money paid or payable to a person under the Criminal Injury Compensation Act as compensation for non‐pecuniary loss or damage for pain, suffering mental or emotional trauma, humiliation or inconvenience that occurred when the person was under 19 years of age;

(xxxvii.1 )money that is paid or payable to or for a person if the payment is in accordance with the  settlement under the Final Settlement Agreement and Supplementary Agreement approved by  the Federal Court June 22, 2018 in Court File No. T‐370‐17, Todd Edward Ross et al. v. Her Majesty  the Queen; 

(xxxvii.2) money that is paid or payable to or for a person if the payment is in accordance with the  settlement under the Final Settlement Agreement approved by the Federal Court January 30,  2019 in Court File No. T‐1068‐14, Raymond Michael Toth v. Her Majesty the Queen; 

(xxxviii) money that is paid or payable to or for a person if the payment is in accordance with the settlement agreement approved by the Supreme Court in Action No. S024338, Vancouver Registry;

(xxxix) payments granted by the government of British Columbia under the Ministry of Children and Family Development's Family Support Services program;

(xl) payments granted by the government of British Columbia under the Ministry of Children and Family Development's Supported Child Development program;

(xli) payments granted by the government of British Columbia under the Ministry of Children and Family Development's Aboriginal Supported Child Development program;

(xlii) money paid or payable from a fund that is established by the government of British Columbia, the government of Canada and the City of Vancouver in relation to recommendation 3.2 of the final report of the Missing Women Commission of Inquiry;

(xliii) payments granted by the government of British Columbia under the Temporary Education Support for Parents program;

(xliv ) a BC early childhood tax benefit;  (xliv.1) a BC child opportunity benefit;  (xlv) child support; (xlvi) orphan's benefits under the Canada Pension Plan Act (Canada); (xlvii) gifts, other than recurring gifts; (xlviii) compensation paid or payable under Division 5 [Compensation in Relation to Death of Worker] of Part 4 [Compensation to Injured Workers and Their Dependants] or section 225 [compensation in relation to worker death before July 1, 1974] of the Workers Compensation Act to a dependant, as defined in section 1 of that Act, who is a child, as defined in section 165 (1) of that Act;

(xlix) money that is paid or payable by or for Community Living BC to or for a person if the payment is in accordance with an award in a legal proceeding or with a settlement agreement in

APPEAL NUMBER 2021-0134

respect of a claim for injury, loss or damage caused by Community Living BC, an employee of  Community Living BC or a person retained under a contract to perform services for Community  Living BC; 

(l) money that is paid or payable by the government of British Columbia to or for a person if the payment is in accordance with an award in a legal proceeding or with a settlement agreement in respect of a claim for injury, loss or damage caused by the minister, the ministry, an employee of the ministry or a person retained under a contract to perform services for the ministry;

(l.1) money that is paid or payable by the government of British Columbia to or for a person if the  payment is in accordance with an award in a legal proceeding or with a settlement agreement in  respect of a claim for injury, loss or damage caused by the Minister of Children and Family  Development, that ministry, an employee of that ministry or a person retained under a contract  to perform services for that ministry; 

(l.2) money that is paid or payable by the government of British Columbia to or for a person  because the person was a resident of Woodlands School; 

(li) a disabled contributor's child's benefit paid or payable under the Canada Pension Plan; (lii) payments granted under an agreement referred to in section 94 of the Child, Family and Community Service Act;

(liii) money that is paid or payable, in respect of a child, from property that comes into the control of, or is held by, the Public Guardian and Trustee;

(liv) money that is paid or payable from a settlement in respect of Treaty No. 8 agricultural benefits;

(lv) money that is paid or payable from a settlement under (A) the Cadboro Bay Litigation Settlement Agreement, dated for reference November 1, 2017, between the Esquimalt Nation and Canada, or  (B) the settlement agreement, dated for reference October 30, 2017, between the Songhees Nation and Canada; 

(lvi) money that is paid or payable under the Memorial Grant Program for First Responders established under the authority of the Department of Public Safety and Emergency Preparedness Act (Canada);

(lvii) money, or goods or services in kind, received or to be received by a participant in the Ministry of Social Development and Poverty Reduction's Work Experience Opportunities Grant program from a grant under the program, …

(c) all earned income must be included, except the deductions permitted under section 2 and any earned income exempted under sections 3 and 4 of this Schedule, …

APPEAL NUMBER 2021-0134

Deductions from earned income 

2 The only deductions permitted from earned income are the following:  (a) any amount deducted at source for (i) income tax, (ii) employment insurance, (iii) medical insurance, (iv) Canada Pension Plan, (v) superannuation, (vi)company pension plan, and (vii) union dues; …

Exemption — earned income  3 (1) Subject to subsection (2), the amount of earned income calculated under subsection (6) is exempt for a  family unit. 

(2) A family unit may not claim an exemption under this section in relation to the first calendar month for which the family unit becomes eligible for income assistance unless a member of the family unit received disability  assistance or income assistance in at least one of the 6 calendar months immediately preceding that first calendar  month … 

(6) The exempt amount for a family unit is the lesser of the family unit's total earned income in the calendar month of calculation and the following: 

(a) $500, if the family unit is not described in paragraph (b), (c) or (d); (b) $750, if the family unit (i) includes a recipient who (A) has a dependent child, or (B) provides care to a supported child, and (ii) is not described in paragraph (c) or (d); (c) $900, if (i) the family unit includes a recipient who (A) has a dependent child, or (B) provides care to a supported child,

APPEAL NUMBER 2021-0134

(ii) the child has a physical or mental condition that, in the minister's opinion, precludes the recipient from leaving home for the purposes of employment or working, on average, more than 30 hours each week, and

(iii) the family unit is not described in paragraph (d); (d) $900, if the family unit includes a person who has persistent multiple barriers to employment …

Application of deductions and exemptions  9 (1) The deductions and exemptions in this Schedule apply only in the calendar month in which the income is  actually received, despite any of the following: 

(a) the date the income is payable; (b) the period for which the income is payable; (c) the date the income is reported to the minister; (d) the date the minister receives notice of the income …

APPEAL NUMBER 2021-0134

PART G ORDER THE PANEL DECISION IS: (Check one) UNANIMOUS BY MAJORITY THE PANEL CONFIRMS THE MINISTRY DECISION RESCINDS THE MINISTRY DECISION If the ministry decision is rescinded, is the panel decision referred back to the Minister for a decision as to amount? Yes No LEGISLATIVE AUTHORITY FOR THE DECISION: Employment and Assistance Act Section 24(1)(a) or Section 24(1)(b) and Section 24(2)(a) or Section 24(2)(b) PART H SIGNATURES PRINT NAME Simon Clews

SIGNATURE OF CHAIR DATE (YEAR/MONTH/DAY) 2021/07/21

PRINT NAME Kevin Ash

SIGNATURE OF MEMBER DATE (YEAR/MONTH/DAY) 2021/07/21

PRINT NAME Rosalie Turcotte

SIGNATURE OF MEMBER DATE (YEAR/MONTH/DAY) 2021/07/21

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