HF 4214

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 for
elderly individuals who own and occupy a homestead; amending Minnesota
Statutes 2006, section 256B.056, subdivision 3.

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 deleted text begin individuals and families deleted text end new text begin the aged, blind, or
disabled new text end .

To be eligible for medical assistance, a person new text begin who is aged, blind, or disabled new text end
must not individually own more than $3,000 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 $6,000 in assets, plus $200 for each additional legal dependent new text begin , except that a
person age 65 or older who owns and occupies a homestead must not individually own
more than $10,000 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 $15,000
in assets, plus $500 for each additional legal dependent new text end . 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, 2008, or upon federal
approval, whichever is later.
new text end