Introduced Version






HOUSE BILL No. 1387

_____


DIGEST OF INTRODUCED BILL



Citations Affected: IC 12-10-6-1; IC 12-15.

Synopsis: Personal needs allowance. Increases the monthly personal allowance for: (1) residential care assistance recipients living in county homes; (2) Medicaid recipients receiving care in a hospital or nursing facility; and (3) Medicaid recipients living in community residential facilities for the developmentally disabled; from $52 to $60.

Effective: July 1, 2008.





Borders




    January 16, 2008, read first time and referred to Committee on Public Health.







Introduced

Second Regular Session 115th General Assembly (2008)


PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type.
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HOUSE BILL No. 1387



    A BILL FOR AN ACT to amend the Indiana Code concerning human services.

Be it enacted by the General Assembly of the State of Indiana:

SOURCE: IC 12-10-6-1; (08)IN1387.1.1. -->     SECTION 1. IC 12-10-6-1, AS AMENDED BY P.L.99-2007, SECTION 60, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 1. (a) An individual who:
        (1) is at least sixty-five (65) years of age, is blind, or has a disability; and
        (2) is a resident of a county home;
is eligible to receive assistance payments from the state if the individual would be eligible for assistance under the federal Supplemental Security Income program except for the fact that the individual is residing in a county home.
    (b) The amount of nonmedical assistance to be paid on behalf of a resident in a county home must be based on the daily rate established by the division. The rate for facilities under this section and licensed under IC 16-28 may not exceed an upper rate limit established by a rule adopted by the division.
    (c) The rate for facilities under this section but not licensed under IC 16-28 must be the lesser of:
        (1) an upper rate limit established by a rule adopted by the division; or
        (2) a reasonable and adequate rate to meet the costs, determined by generally accepted accounting principles, that are incurred by efficiently and economically operated facilities in order to provide care and services in conformity with quality and safety standards and applicable laws and rules.
    (d) The recipient shall be paid or allowed to retain from the recipient's income a monthly personal allowance. The amount:
        (1) is fifty-two dollars ($52); sixty dollars ($60);
        (2) is exempt from income eligibility consideration by the division; and
        (3) may be exclusively used by the recipient for personal needs.
    (e) In addition to the amount that may be retained as a personal allowance under this section, an individual is allowed to retain an amount equal to the individual's state and local income tax liability. The amount that may be retained during a month may not exceed one-third (1/3) of the individual's state and local income tax liability for the calendar quarter in which the month occurs. This amount is exempt from income eligibility consideration by the division. The amount retained shall be used by the individual to pay state or local income taxes owed.
    (f) In addition to the amounts that may be retained under subsections (d) and (e), an eligible individual may retain a Holocaust victim's settlement payment. The payment is exempt from income eligibility consideration by the division.
    (g) The personal allowance for one (1) month for an individual described in subsection (a) is the amount that an individual would be entitled to retain under subsection (d) plus an amount equal to one-half (1/2) of the remainder of:
        (1) gross earned income for that month; minus
        (2) the sum of:
            (A) sixteen dollars ($16); plus
            (B) the amount withheld from the person's paycheck for that month for payment of state income tax, federal income tax, and the tax prescribed by the federal Insurance Contribution Act (26 U.S.C. 3101 et seq.); plus
            (C) transportation expenses for that month; plus
            (D) any mandatory expenses required by the employer as a condition of employment.
    (h) The division, in cooperation with the state department of health taking into account licensure requirements under IC 16-28, shall adopt

rules under IC 4-22-2 governing the reimbursement to facilities under this section. The rules must be designed to determine the costs that must be incurred by efficiently and economically operated facilities to provide room, board, laundry, and other services, along with minimal administrative direction to individuals who receive residential care in the facilities under this section. A rule adopted under this subsection by:
        (1) the division; or
        (2) the state department of health;
must conform to the rules for residential care facilities that are licensed under IC 16-28.
    (i) A rate established under this section may be appealed according to the procedures under IC 4-21.5.
    (j) The division shall annually review each facility's rate using the following:
        (1) Generally accepted accounting principles.
        (2) The costs incurred by efficiently and economically operated facilities in order to provide care and services in conformity with quality and safety standards and applicable laws and rules.

SOURCE: IC 12-15-7-2; (08)IN1387.1.2. -->     SECTION 2. IC 12-15-7-2 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 2. Fifty-two dollars ($52) Sixty dollars ($60) monthly may be exempt from income eligibility consideration.
SOURCE: IC 12-15-32-6; (08)IN1387.1.3. -->     SECTION 3. IC 12-15-32-6 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 6. The office shall allow a resident of a facility who is receiving Medicaid to retain a personal allowance of fifty-two dollars ($52) sixty dollars ($60) each month.