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preexisting health and economic disparities in the territories amplified the impact of the <br />pandemic on these communities.35 <br />Categorical Eligibility <br />Public Comment: Several commenters suggested that the final rule permit recipients to <br />rely on a beneficiary's eligibility for other federal benefits programs as an easily administrable <br />proxy for identifying a group or population that experienced a negative economic impact as a <br />result of the COVID-19 public health emergency (i.e., categorical eligibility). In other words, a <br />recipient would determine that individuals or households are eligible for an SLFRF-funded <br />program based on the individual or household's eligibility in another program, typically another <br />federal benefit program. Commenters noted that categorical eligibility is a common policy in <br />program administration that can significantly ease administrative burden on both program <br />administrators and beneficiaries. <br />Treasury Response: Treasury agrees that allowing recipients to identify impacted and <br />disproportionately impacted beneficiaries based on their eligibility for other programs with <br />similar income tests would ease administrative burden. To the extent that the other program's <br />eligibility criteria align with a population or class that experienced a negative economic impact <br />of the pandemic, this approach is also consistent with the process allowed under the final rule for <br />recipients to determine that a class has experienced a negative economic impact, and then <br />document that an individual receiving services is a member of the class. For these reasons, the <br />final rule recognizes categorical eligibility for the following programs and populations: <br />35 Lina Stoylar et. al., Challenges in the U.S. Territories: COVID-19 and the Medicaid Financing Cliff, Kaiser <br />Family Foundation (May 18, 2021), https://www.kff.org/coronavirus-covid-19/issue-brief/challenges-in-the-u-s- <br />territories-covid-19-and-the-medicaid-financing-cliff/. <br />40 <br />