(a) In general, HHSC determines income eligibility for a Medicaid Program subject to this subchapter by:(1) determining the applicant's or recipient's household composition in accordance with §366.1107 of this subchapter (relating to Determination of Household Composition);(2) calculating the individual income of each person in the applicant's or recipient's household composition in accordance with §366.1109 of this subchapter (relating to Calculation of Individual Income);(3) determining if the individual income of each individual in the applicant's or recipient's household composition is included in the calculation of household income in accordance with §366.1111 of this subchapter (relating to Determination Regarding Including an Individual's Income in the Household Income); and(4) calculating the applicant's or recipient's household income in accordance with §366.1113 of this subchapter (relating to Calculation of Household Income).(b) To be eligible for a Medicaid Program, the applicant's or recipient's household income must be less than or equal to the Federal Poverty Level of the applicable Medicaid Program.