Dazed and Confused

Hello Everyone.
We're hoping someone can make since of the claim response that we received for Mom's A&A claim.

Original file date was March 2010. In Oct 2010 she went into ALF. Received 1st denial letter Oct 4 but it was for DIC and was denied for to much income. $19K and they only allowed $7936 for DIC and they only allowed $396 of $3400 for her medical expenses and nothing for her living with us. We posted here and Debbie (Admin) gave me a call with advise. The advise was to resubmit with the new ALF expenses and her medical part B and private insurance on Form 21-8416 Med Expense Report and asking to get a
re evaluation base on A&A and not DIC. We also turned in a Medical Statement for A&A signed by her doctor of incompetence for the Dementia/AL. Form 21-0518-1 Improved Pension Eligibility Verification Report, was supplied by VA in denial letter saying if new information came in that we should submit that with the new info. We submitted a 21-4138 Statement in Support of Claim, with all this new info and explaining that it needed to be evaluated as an A&A claim and not a DIC.
We received an answer to our request for re evaluation yesterday and again it was turned down. At this stage of the game, I'm not sure they are looking at the right claim as the Forms that they say they they used for consideration from us did not include the 21-8416 for med expenses. The letter they sent us was not even dated. I'm not sure anyone in the St Paul. Minn. VA site is competent any longer. They state "the new evidence does not change their previous decision."

At this time we are not sure what to do. We have been supplementing her ALF over and above what she is capable of doing with her income.
Our questions are if they actually re evaluated based on A&A or if they took into account the new expenses that we turned in on form 21-8416 Med Exp Report which far exceed the $19K annual income that she has with the addition of the ALF expense.
If they did the re eval based on DIC then I'm going to assume we could start all over again with a new claim for A&A.

I think I included all the information necessary to give some suggestions but if not, please ask away anything to help us move forward.

Thanks,
M & C