HF 784

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to human services; increasing the medical assistance asset limit and
excess income standard for aged, blind, or disabled persons; amending Minnesota
Statutes 2006, section 256B.056, subdivisions 3, 5c.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2006, section 256B.056, subdivision 3, is amended to
read:

Subd. 3.

Asset limitations for new text begin aged, blind, or disabled new text end individuals deleted text begin and families deleted text end .

To be eligible for medical assistance, a person new text begin whose eligibility is based on blindness,
disability, or age of 65 or more years new text end must not individually own more than deleted text begin $3,000 deleted text end new text begin $6,000
new text end in assets, or if a member of a household with two family members, husband and wife, or
parent and child, the household must not own more than deleted text begin $6,000 deleted text end new text begin $12,000 new text end in assets, plus
deleted text begin $200 deleted text end new text begin $400 new text end for each additional legal dependent. In addition to these maximum amounts,
an eligible individual or family may accrue interest on these amounts, but they must be
reduced to the maximum at the time of an eligibility redetermination. The accumulation
of the clothing and personal needs allowance according to section 256B.35 must also be
reduced to the maximum at the time of the eligibility redetermination. The value of assets
that are not considered in determining eligibility for medical assistance is the value of
those assets excluded under the supplemental security income program for aged, blind,
and disabled persons, with the following exceptions:

(a) Household goods and personal effects are not considered.

(b) Capital and operating assets of a trade or business that the local agency
determines are necessary to the person's ability to earn an income are not considered.

(c) Motor vehicles are excluded to the same extent excluded by the supplemental
security income program.

(d) Assets designated as burial expenses are excluded to the same extent excluded by
the supplemental security income program. Burial expenses funded by annuity contracts
or life insurance policies must irrevocably designate the individual's estate as contingent
beneficiary to the extent proceeds are not used for payment of selected burial expenses.

(e) Effective upon federal approval, for a person who no longer qualifies as an
employed person with a disability due to loss of earnings, assets allowed while eligible
for medical assistance under section 256B.057, subdivision 9, are not considered for 12
months, beginning with the first month of ineligibility as an employed person with a
disability, to the extent that the person's total assets remain within the allowed limits of
section 256B.057, subdivision 9, paragraph (b).

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007.
new text end

Sec. 2.

Minnesota Statutes 2006, section 256B.056, subdivision 5c, is amended to read:

Subd. 5c.

Excess income standard.

(a) The excess income standard for families
with children is the standard specified in subdivision 4.

(b) The excess income standard for a person whose eligibility is based on blindness,
disability, or age of 65 or more years is 70 percent of the federal poverty guidelines for the
family size. Effective July 1, 2002, the excess income standard for this paragraph shall
equal 75 percent of the federal poverty guidelines. new text begin Effective July 1, 2007, the excess
income standard for this paragraph shall equal 85 percent of the federal poverty guidelines.
The excess income standard for this paragraph shall be increased by five percentage points
on July 1 of each of the next three years, so that the excess income standard shall equal
100 percent of the federal poverty guidelines effective July 1, 2010.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007.
new text end