Welsh

Appellant Welsh, by her guardian, filed a petition for peremptory writ of mandate (Code Civ. Proc., § 1094.5) to challenge an unfavorable interpretation by the State Department of Health relating to her eligibility for medically needy only (MNO) benefits under the Medi-Cal program. The interpretation in question applied a pro rata formula to the value of the encumbrance on appellant’s home with the result that after the application of the formula, appellant was found to be ineligible for MNO benefits. The petition was denied, and this appeal follows.

Appellant is a resident of a skilled care nursing facility. Upon hospitalization in an extended care medical facility, her home, previously excluded in computing old age assistance benefits, became “other real property” since the medical facility was her place of residence. According to the 1972-1973 tax statement, the real property had an *121 assessed value of $6,150. The unpaid balance of the real estate loan against the property was $6,045.

Section 14006 of the Welfare and Institutions Code defines “other resources.” At the times here involved, it provided: “If the holdings are in the form of real property, the value…