7.1 — Extension of income support

November 2020

Summary of Policy

The Director may direct that income support for a recipient continue to be paid for up to three calendar months following the month in which the recipient ceases to be eligible or dies, if the recipient has dependants included in the benefit unit at that time.

A recipient, who was eligible for income support as a member of a prescribed class because he/she was receiving Canada Pension Plan (CPP) or Quebec Pension Plan (QPP) disability benefits, is deemed to continue to be a member of a prescribed class for three months after the last month in which CPP disability benefits were received.

Legislative Authority

Summary of Directive

Income support may continue to be paid for up to three months following the month in which a recipient ceases to be eligible for ODSP income support or dies. In the case of a recipient who was eligible as a member of a prescribed class in receipt of CPP-D or QPP-D, it may be paid for up to six months.

Intent of Policy

The extension of income support is intended to ease the transition from ODSP to another source of income or self-support, or to ease an otherwise serious hardship by providing an appropriate amount of income support.

Application of Policy

A Prescribed Class - Receipt of CPP or QPP

In some cases, a recipient who was eligible for income support because he/she received CPP or QPP disability benefits (a “prescribed class” under ODSP) becomes ineligible for CPP or QPP due to a period of employment or a change in his/her condition.

In these cases, the person is no longer eligible for ODSP as a member of a prescribed class and would need to apply for ODSP as a person with a disability and go through the adjudication process.

The decision that the recipient is no longer eligible for ODSP as a member of a prescribed class is effective the actual month in which he or she last received CPP / QPP disability benefits rather than retroactive to the date of ODSP grant.

To allow time for the person to re-apply and be adjudicated, under section 4(3) or 4(4), the person is deemed to be eligible for CPP /QPP for three months following the last month he or she received CPP . As such, if financial and all other eligibility criteria are met, ODSP may continue for three months.

As well, income support may be extended under section 53(3) for up to an additional three months, if required, based on the person’s budgetary requirements.

If the person does not appeal the CPP /QPP decision or loses the CPP /QPPappeal, income support should be retroactively recalculated to not include the CPP /QPP income.

Any arrears payment that results from this retroactive recalculation must be made payable to the recipient. The recipient should be given explicit direction on how to repay CPP /QPPfrom these arrears as well as the consequences of not doing so.

Extension Up To Three Months

Extensions of ODSP income support payments for up to three months may be made in the following situations:

Where a recipient ceases to be eligible for income support but is applying for or will receive another source of support (e.g. employment earnings or an insurance settlement), income support may be extended for up to three months where the extension would help ease the transition. For example, a recipient has found full time work but will not be paid for six weeks. The duration of income support payments will depend on the budgetary requirements of the recipient but cannot exceed three months.

Where a recipient becomes ineligible under one class and must reapply for ODSP under a different class (such as turning 65 and not eligible for Old Age Security).

Where a recipient dies or has deserted/separated from the family, and a spouse, dependent adult, and/or dependent child was included in the benefit unit.

The Regulation allows for the use of discretion to extend full income support, without reduction, for up to three months. This discretion should be used where the reduction would create hardship for the remaining members of the benefit unit. In situations of death or desertion, decreasing the amount of income support could create hardship for the remaining spouse or dependants in the benefit unit where they are required to continue to pay the same shelter amount as prior to the death or desertion of the recipient. In these cases, full income support can continue to be paid for up to three months to enable the remaining members of the benefit unit to meet their financial obligations.

Dependent Children

Where a recipient dies or deserts the family and only dependent children remain in the benefit unit, income support is not to be paid directly to a dependent child. In these cases, income support can be paid to the guardian/trustee or other responsible third party on behalf of the dependent child for up to three months based on their budgetary requirements. The amount of income support may include the Transition Child Benefit, if applicable. (see Directive 9.20 Transition Child Benefit)

If the child is under 16, and staff have reasonable grounds to believe the child is in need of protection, the staff member shall notify the Children’s Aid Society as per section 72 of the Children and Family Services Act (CFSA), R.S.O. 1990.

Rate Comparison between Ontario Works and ODSP

In all cases where a decision has been made to lower the shelter or the basic needs amounts, ODSP staff will calculate the budget and compare the lowered ODSP rate with the Ontario Works rate. The lowered ODSP amount must be equal to or higher than the Ontario Works rate. If lower, the income support rate should be adjusted to reflect the Ontario Works rate during the period of extension.

Related Directives