The term "living with" means that the caretaker relative and the child maintain a common place of residence. The requirement shall be considered met if a home and family setting is maintained or is being established and the caretaker relative exercises responsibility for the care and control of the child even though the child or caretaker is temporarily absent from time to time. A child is considered to be "living with" the caretaker relative even though he is under the jurisdiction of the court or is in the legal custody of an agency that does not have physical possession of the child.

Temporary absences by either the caretaker relative or the child from the home for purposes such as vacationing, visiting, hospitalization, convalescing, and school attendance shall not constitute a break in the "living with" requirement. The temporary absence may not exceed thirty days; however, the department may extend the absence, in extenuating circumstances, for up to an additional sixty days if it is determined that a longer absence would serve the best interests of the family.