If the agency provides Medicaid to individuals receiving SSI and elects to cover the medically needy, it may provide Medicaid to disabled individuals who meet--
(a) The requirements for disability, as specified in Sec. Sec. 435.540 and 435.541; and
(b) The income and resource requirements of subpart I of this part. [46 FR 47986, Sept. 30, 1981; 46 FR 54743, Nov. 11, 1981]