Parent, stepparent, grandparent, and sponsor income deeming.

(a) Parents.  For purposes of determining eligibility for and the amount of cash assistance to which a family is entitled under this chapter, the income of a child shall include the income of his/her parent(s). For purposes of this section, the term “income” has the meaning prescribed in § 40-5.2-10(g).

(b) Stepparents.  For purposes of determining eligibility for and the amount of cash assistance to which a family is entitled under this chapter, the income of a child shall include the income of the child’s stepparent (if living in the same house as the child) minus the sum of: (1) The first ninety dollars ($90) of the stepparent’s earned income for the month; (2) The standard of need for a family of the same composition as the stepparent (but excluding any person included in the child’s family); (3) Amounts paid by the stepparent to individuals not living in the stepparent’s home and claimed by him or her as dependent for federal tax purposes; and (4) Alimony or child support payments made by the stepparent with respect to individuals not living in such household.

(c) Grandparents.  The income of a child whose parent is under the age of eighteen (18) shall include any income of the child’s grandparents, if the grandparents are living in the same home as the child and his or her parent, to the same extent that income of a stepparent is included under subsection (b).

(d) Sponsors.  Sponsor deeming with respect to eligible aliens who are applicants for cash assistance shall be applied in accordance with Section 421 of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (Pub. L. No. 104-193, PRWORA) [8 U.S.C. § 1631] and under rules and regulations to be promulgated by the department.