NY Medicaid Options?

Since 2020, my aunt began receiving SSDI (now ~$1,695 per month) and Traditional/Straight Medicaid, due to her severe disability and low income (NY). At that time, there were no application questions about assets, only her income, which was lower.
After 2 years on SSDI, she received Medicare. So, 80% of her insurance was covered by Medicare and 20% of it by Straight NY Medicaid. Recently, her NY Medicaid (she does not have Long Term Care) was switched to her County, who is now asking for additional information, such as Assets, 401K, 5 year look back, etc… She also received a letter from NY state of health that she is now only eligible for qualified health plan through NY state of health.
My aunt is very concerned and wants to know her options now for getting Medicaid, since it seems Medicaid is now run by the county, not NY state…
She does not have assets, other than a large sum IRA, and did have large assets up until about 3 years ago, which she transferred to someone else (so only the IRA is her asset now). Her total income is the SSDI $1,695 per month only.
She called NYS and the county, and NY said there is nothing they can do anymore, she can no longer get NY medicaid (this was pre-pandemic only), and she has to deal with the county, and the county is strict and says she has to fill out the renewal forms first which asks about assets, etc.
How can my aunt get back on Medicaid? What steps can she take? Open a trust (pool) for the IRA? Spend the IRA? Sign up for Medigap? Hire a specific lawyer? What are her best options here? What would you do specifically if this was your aunt? Thank you!

submitted by /u/Bitter_Contest_7101
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