| 2. Income eligibility. Income eligibility of individuals |
must be determined by this subsection and by reference to the |
federal nonfarm income official poverty level, as defined by the |
federal Office of Management and Budget and revised annually in |
accordance with the United States Omnibus Budget and |
Reconciliation Act of 1981, Section 673, Subsection 2. If the |
household income, as defined in subsection 9, is less than 185% |
189% of the federal poverty line applicable to the household, the |
individual is eligible for the basic and the supplemental |
program. Individuals are also eligible for the basic program and |
the supplemental program if the household spends at least 40% of |
its income on unreimbursed direct medical expenses for |
prescription drugs and medications and the household income is |
not more than 25% higher than the levels specified in this |
subsection. For the purposes of this subsection, the cost of |
drugs provided to a household under this section is considered a |
cost incurred by the household for eligibility determination |
purposes; |