PolicyEngine · hua7450 · Jul 14, 2026 · Jul 14, 2026 · Jul 14, 2026 · Jul 14, 2026
diff --git a/changelog.d/ca-calworks-vehicle-excess-equity.changed.md b/changelog.d/ca-calworks-vehicle-excess-equity.changed.md
@@ -0,0 +1 @@
+Count CalWORKs vehicle value above the vehicle limit toward the resource limit instead of denying eligibility outright, per CDSS ACLs 25-37 and 26-38.
diff --git a/policyengine_us/parameters/gov/states/ca/cdss/tanf/cash/resources/limit/vehicle.yaml b/policyengine_us/parameters/gov/states/ca/cdss/tanf/cash/resources/limit/vehicle.yaml
@@ -1,4 +1,4 @@
-description: California limits CalWORKs to households with vehicle value below this amount.
+description: California excludes vehicle value up to this amount from countable resources under the California Work Opportunity and Responsibility to Kids program.
 
 values:
   2023-01-01: 32_045
@@ -15,6 +15,8 @@ metadata:
     href: https://dpss.lacounty.gov/en/cash/calworks.html
   - title: Los Angeles Department of Public Social Services E-Policy | Determining Value of Property – Vehicles
     href: https://epolicy.dpss.lacounty.gov/epolicy/epolicy/server/general/projects_responsive/ePolicyMaster/index.htm?&area=general&type=responsivehelp&ctxid=&project=ePolicyMaster#t=mergedProjects/CalWORKs/CalWORKs/42-215_Determining_Value_of_Property_Vehicles/42-215_Determining_Value_of_Property_Vehicles.htm
+  - title: California Department of Social Services, Vehicle Value Limit Increase All County Letter 23-47
+    href: https://www.cdss.ca.gov/Portals/9/Additional-Resources/Letters-and-Notices/ACLs/2023/23-47.pdf#page=3
   - title: California Department of Social Services, Vehicle Value Limit Increase All County Letter 24-36
     href: https://cdss.ca.gov/Portals/9/Additional-Resources/Letters-and-Notices/ACLs/2024/24-36.pdf?ver=2024-05-31-153125-453#page=3
   - title: California Department of Social Services, Vehicle Value Limit Increase All County Letter 25-37

diff --git a/policyengine_us/parameters/gov/states/ca/cdss/tanf/cash/resources/sources.yaml b/policyengine_us/parameters/gov/states/ca/cdss/tanf/cash/resources/sources.yaml
@@ -7,7 +7,10 @@ metadata:
   reference:
     - title: Los Angeles Department of Public Social Services E-Policy | Property Definitions
       href: https://epolicy.dpss.lacounty.gov/epolicy/epolicy/server/general/projects_responsive/ePolicyMaster/index.htm?&area=general&type=responsivehelp&ctxid=&project=ePolicyMaster#t=mergedProjects%2FCalWORKs%2FCalWORKs%2F42-200_Property%2F42-200_Property.htm%23Definitionsbc-4&rhtocid=_3_1_2_0_3
+    - title: California Department of Social Services, All County Letter No. 26-38, Changes to Vehicle Value Limits
+      href: https://www.cdss.ca.gov/Portals/9/Additional-Resources/Letters-and-Notices/ACLs/2026/26-38.pdf#page=3
 values:
   2022-07-01:
     - assessed_property_value # real_property
     - spm_unit_cash_assets # personal_property
+    - ca_tanf_countable_vehicle_value # vehicle equity above the vehicle limit
diff --git a/policyengine_us/tests/policy/baseline/gov/local/ca/marin/general_relief/integration.yaml b/policyengine_us/tests/policy/baseline/gov/local/ca/marin/general_relief/integration.yaml
@@ -675,7 +675,7 @@
         members: [person1, person2]
         county_str: MARIN_COUNTY_CA
         state_code_str: CA
-        household_vehicles_value: 34_000  # over the CalWORKs vehicle limit ($33,499 as of July 2025)
+        household_vehicles_value: 50_000  # excess equity over the CalWORKs vehicle limit exceeds the resource limit
     tax_units:
       tax_unit:
         members: [person1, person2]
@@ -687,7 +687,8 @@
         members: [person1, person2]
   output:
     # Marin GR excludes adults with dependent children. CalWORKs does NOT catch
-    # this family -- the $34,000 vehicle exceeds the CalWORKs vehicle limit, so
+    # this family -- the $50,000 vehicle's equity above the vehicle limit
+    # ($50,000 - $33,499 = $16,501) exceeds the CalWORKs resource limit, so
     # ca_tanf = 0 -- but the explicit dependent-child gate makes the unit
     # ineligible regardless of CalWORKs receipt.
     ca_tanf: 0

diff --git a/...e_us/tests/policy/baseline/gov/states/ca/cdss/tanf/cash/eligibility/ca_tanf_eligible.yaml b/...e_us/tests/policy/baseline/gov/states/ca/cdss/tanf/cash/eligibility/ca_tanf_eligible.yaml
@@ -18,7 +18,7 @@
   output:
     ca_tanf_eligible: false
 
-- name: Is demographic ineligible, income ineligible and resource eligible.
+- name: Is demographic eligible, income ineligible and resource eligible.
   period: 2023
   input:
     state_code: CA
@@ -28,7 +28,7 @@
   output:
     ca_tanf_eligible: false
 
-- name: Is demographic ineligible, income ineligible and resource ineligible.
+- name: Is demographic eligible, income eligible and resource ineligible.
   period: 2023
   input:
     state_code: CA
@@ -48,26 +48,12 @@
   output:
     ca_tanf_eligible: false
 
-- name: Case 1, all eligible but vehicle value ineligible.
-  period: 2025
-  absolute_error_margin: 0.1
-  input:
-    state_code: CA
-    is_demographic_tanf_eligible: true
-    ca_tanf_financial_eligible: true
-    ca_tanf_resources_eligible: true
-    ca_tanf_vehicle_value_eligible: false
-  output:
-    ca_tanf_eligible: false
-
-- name: Case 2, all four conditions met.
+- name: Case 1, all three conditions met.
   period: 2025
-  absolute_error_margin: 0.1
   input:
     state_code: CA
     is_demographic_tanf_eligible: true
     ca_tanf_financial_eligible: true
     ca_tanf_resources_eligible: true
-    ca_tanf_vehicle_value_eligible: true
   output:
     ca_tanf_eligible: true
diff --git a/.../policy/baseline/gov/states/ca/cdss/tanf/cash/eligibility/ca_tanf_resources_eligible.yaml b/.../policy/baseline/gov/states/ca/cdss/tanf/cash/eligibility/ca_tanf_resources_eligible.yaml
@@ -18,7 +18,6 @@
 
 - name: Case 1, resources at exactly $12,137 lower limit boundary.
   period: 2025
-  absolute_error_margin: 0.1
   input:
     state_code: CA
     ca_tanf_resources: 12_137
@@ -28,7 +27,6 @@
 
 - name: Case 2, resources one dollar above $12,137 lower limit boundary.
   period: 2025
-  absolute_error_margin: 0.1
   input:
     state_code: CA
     ca_tanf_resources: 12_138
@@ -38,7 +36,6 @@
 
 - name: Case 3, resources at exactly $18,206 higher limit boundary.
   period: 2025
-  absolute_error_margin: 0.1
   input:
     state_code: CA
     ca_tanf_resources: 18_206
@@ -48,7 +45,6 @@
 
 - name: Case 4, resources one dollar above $18,206 higher limit boundary.
   period: 2025
-  absolute_error_margin: 0.1
   input:
     state_code: CA
     ca_tanf_resources: 18_207
@@ -58,10 +54,92 @@
 
 - name: Case 5, zero resources always eligible.
   period: 2025
-  absolute_error_margin: 0.1
   input:
     state_code: CA
     ca_tanf_resources: 0
     ca_tanf_resources_limit: 12_137
   output:
     ca_tanf_resources_eligible: true
+
+- name: Case 6, vehicle moderately over the vehicle limit stays eligible because only the excess counts.
+  period: 2026
+  input:
+    people:
+      person1:
+        age: 30
+        is_disabled: false
+    spm_units:
+      spm_unit:
+        members: [person1]
+    households:
+      household:
+        members: [person1]
+        state_code: CA
+        household_vehicles_value: 34_000
+  output:
+    # Vehicle excess: 34,000 - 33,499 (Jul 2025 limit) = 501
+    # Resources: 501 is below the lower resource limit
+    ca_tanf_resources_eligible: true
+
+- name: Case 7, vehicle excess plus cash assets over the resource limit is ineligible.
+  period: 2026
+  input:
+    people:
+      person1:
+        age: 30
+        is_disabled: false
+    spm_units:
+      spm_unit:
+        members: [person1]
+        spm_unit_cash_assets: 13_000
+    households:
+      household:
+        members: [person1]
+        state_code: CA
+        household_vehicles_value: 34_000
+  output:
+    # Vehicle excess: 34,000 - 33,499 (Jul 2025 limit) = 501
+    # Resources: 13,000 + 501 = 13,501 exceeds the lower resource limit
+    ca_tanf_resources_eligible: false
+
+- name: Case 8, vehicle excess alone above the resource limit is ineligible.
+  period: 2026
+  input:
+    people:
+      person1:
+        age: 30
+        is_disabled: false
+    spm_units:
+      spm_unit:
+        members: [person1]
+    households:
+      household:
+        members: [person1]
+        state_code: CA
+        household_vehicles_value: 50_000
+  output:
+    # Vehicle excess: 50,000 - 33,499 (Jul 2025 limit) = 16,501
+    # Resources: 16,501 alone exceeds the lower resource limit
+    ca_tanf_resources_eligible: false
+
+- name: Case 9, elderly member raises the resource limit above the vehicle excess plus cash.
+  period: 2026
+  input:
+    people:
+      person1:
+        age: 65
+        is_disabled: false
+    spm_units:
+      spm_unit:
+        members: [person1]
+        spm_unit_cash_assets: 14_000
+    households:
+      household:
+        members: [person1]
+        state_code: CA
+        household_vehicles_value: 34_000
+  output:
+    # Vehicle excess: 34,000 - 33,499 (Jul 2025 limit) = 501
+    # Resources: 14,000 + 501 = 14,501 exceeds the lower resource limit
+    # but stays within the higher limit for households with an elderly member
+    ca_tanf_resources_eligible: true
diff --git a/...icy/baseline/gov/states/ca/cdss/tanf/cash/eligibility/ca_tanf_vehicle_value_eligible.yaml b/...icy/baseline/gov/states/ca/cdss/tanf/cash/eligibility/ca_tanf_vehicle_value_eligible.yaml
diff --git a/policyengine_us/tests/policy/baseline/gov/states/ca/cdss/tanf/cash/integration.yaml b/policyengine_us/tests/policy/baseline/gov/states/ca/cdss/tanf/cash/integration.yaml
@@ -262,3 +262,42 @@
     ca_tanf_maximum_payment: 16_992
     # Benefit: max(16992 - 11400, 0) = 5592, all citizens so proration = 1.0
     ca_tanf: 5_592
+
+- name: Case 7, 2025 R1 family of 4 with vehicle over the limit still receives a grant.
+  period: 2025
+  absolute_error_margin: 0.1
+  input:
+    people:
+      person1:
+        age: 35
+        employment_income: 18_000
+        immigration_status: CITIZEN
+      person2:
+        age: 33
+        employment_income: 12_000
+        immigration_status: CITIZEN
+      person3:
+        age: 10
+        immigration_status: CITIZEN
+      person4:
+        age: 6
+        immigration_status: CITIZEN
+    spm_units:
+      spm_unit:
+        members: [person1, person2, person3, person4]
+        is_tanf_enrolled: false
+    households:
+      household:
+        members: [person1, person2, person3, person4]
+        state_code: CA
+        ca_tanf_region1: true
+        household_vehicles_value: 34_000
+  output:
+    # Vehicle excess: 34,000 - 32,968 (limit read at Jan 1, 2025) = 1,032
+    ca_tanf_countable_vehicle_value: 1_032
+    # Resources: 1,032 is below the resource limit
+    ca_tanf_resources_eligible: true
+    ca_tanf_eligible: true
+    # Same income as Case 6: recipient countable income 11400/yr
+    # Benefit: max(16992 - 11400, 0) = 5592
+    ca_tanf: 5_592
Original file line number	Diff line number	Diff line change
		@@ -0,0 +1 @@
		Count CalWORKs vehicle value above the vehicle limit toward the resource limit instead of denying eligibility outright, per CDSS ACLs 25-37 and 26-38.