An attorney would need much more information to assess your situation, but in reality it is way too late to do anything about Medicaid recovery. I assume from your question that your grandmother was on Medicaid before she passed? If she was, and the state determines that she owned any assets in excess of the resource limits (generally about 2,000) then there could potentially be a lien against any property she owned...did she own an interest in the farm? Largely depending on the amount of the lien, it is possible that if and when the property is sold, the state will be entitled to have their lien paid off at the sale of the property. It is more complex than that, however, so I would advise seeking out an attorney who handles estate administration and is familiar with Medicaid recovery in your state (her state of death).
This is not legal advice nor intended to create an attorney-client relationship. The information provided here is informational in nature only. This attorney may not be licensed in the jurisdiction which you have a question about so the answer could be only general in nature. Visit Steve Zelinger's website: http://www.stevenzelinger.com/
At this point, your best bet is to consult with a local elder law attorney to explore your situation and your grandmother's position related to the farm to determine the extent, if any, of potential medicaid liens on the property.
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At this point there may be little you can do. As mentioned, a visit to an elder law attorney would be helpful - as there may be exceptions for family farm land in your state.
Matthew Johnson phone# 206.747.0313 is licensed in the State of Washington and performs bankruptcy, short sale negotiations, and estate planning in Whatcom, Skagit, Snohomish, King and Pierce counties. The response does not constitute specific legal advice, which would require a full inquiry by the attorney into the complete background of the facts and circumstances surrounding this matter; rather, it is intended to be general legal information based on the limited information provided by the inquirer; it This response also does not constitute the establishment of an attorney-client relationship, which can only be established after a conflict of interest evaluation is completed, your case is accepted, and a fee agreement is signed. Johnson Legal Group, PLLC