LCO No. 3512 1 of 4 General Assembly Committee Bill No. 418 January Session, 2021 LCO No. 3512 Referred to Committee on AGING Introduced by: (AGE) AN ACT INCREASING THE PERSONAL NEEDS ALL OWANCE FOR CERTAIN LONG-TERM CARE FACILITY RESIDENTS AND AUTHORIZING A DEDUCT ION FOR CONSERVATOR EXPENSES FROM THE AMOUNT OF I NCOME A MEDICAID REC IPIENT APPLIES TO THE COST OF CARE. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Subsection (b) of section 17b-106 of the general statutes is 1 repealed and the following is substituted in lieu thereof (Effective July 1, 2 2021): 3 (b) Effective July 1, 2011, the commissioner shall provide a state 4 supplement payment for recipients of Medicaid and the federal 5 Supplemental Security Income Program who reside in long-term care 6 facilities sufficient to increase their personal needs allowance to [sixty 7 dollars] seventy-two dollars and seventy-five cents per month. Such 8 state supplement payment shall be made to the long-term care facility 9 to be deposited into the personal fund account of each such recipient. 10 For the purposes of this subsection, "long-term care facility" means a 11 licensed chronic and convalescent nursing home, a chronic disease 12 hospital, a rest home with nursing supervision, an intermediate care 13 facility for individuals with intellectual disabilities or a state humane 14 Committee Bill No. 418 LCO No. 3512 2 of 4 institution. 15 Sec. 2. Section 17b-272 of the general statutes is repealed and the 16 following is substituted in lieu thereof (Effective July 1, 2021): 17 Effective July 1, 2011, the Commissioner of Social Services shall 18 permit patients residing in nursing homes, chronic disease hospitals and 19 state humane institutions who are medical assistance recipients under 20 sections 17b-260 to 17b-262, inclusive, 17b-264 to 17b-285, inclusive, and 21 17b-357 to 17b-361, inclusive, to have a monthly personal fund 22 allowance of [sixty dollars] seventy-two dollars and seventy-five cents. 23 Sec. 3. (NEW) (Effective from passage) (a) On or before December 31, 24 2021, the Commissioner of Social Services shall amend the Medicaid 25 state plan provisions governing the calculation of applied income, as 26 defined in section 17b-261r of the general statutes, to permit a qualified 27 deduction pursuant to 42 USC 1396a(r)(1)(A)(ii) for the following 28 expenses related to representation of a Medicaid applicant or recipient: 29 (1) Compensation of a conservator in the amount approved by the 30 Probate Court; (2) Probate Court filing fees and expenses under 31 subdivision (6) of subsection (b) of section 45a-106a and sections 45a-32 108a and 45a-109 of the general statutes; (3) premiums for any probate 33 bond required by the Probate Court; and (4) any other fiduciary 34 expenses approved by the Probate Court, provided such deductions are 35 permissible under federal law. 36 (b) The provisions of this section shall be effective upon the 37 commissioner receiving federal approval to amend the Medicaid state 38 plan pursuant to subsection (a) of this section and shall be applied to 39 conservator expenses incurred on or after October 1, 2021, or the 40 approval date of the Medicaid state plan amendment, whichever is later. 41 (c) On or before December 31, 2022, and annually thereafter, the 42 Commissioner of Social Services shall calculate the total amount 43 deducted from applied income under subsection (a) of this section 44 during the preceding fiscal year and inform the Probate Court 45 Committee Bill No. 418 LCO No. 3512 3 of 4 Administrator, in writing, of the amount. Not later than thirty days after 46 receipt of the commissioner's calculation, the Probate Court 47 Administrator shall transfer funds from the Probate Court 48 Administration Fund to the Department of Social Services equal to one-49 half of such amount for that year. 50 Sec. 4. (NEW) (Effective from passage) Notwithstanding the provisions 51 of section 45a-594 of the general statutes, the baseline conservator 52 compensation to be deducted from applied income pursuant to 53 subsection (a) of section 3 of this act shall be one hundred twenty-five 54 dollars per month, provided the Commissioner of Social Services shall 55 approve fees above said amount if approved by the Probate Court at the 56 time Medicaid is granted to a conserved person and upon 57 redetermination of such conserved person's Medicaid eligibility. 58 Sec. 5. Subsection (d) of section 17b-261 of the general statutes is 59 repealed and the following is substituted in lieu thereof (Effective July 1, 60 2021): 61 (d) The transfer of an asset in exchange for other valuable 62 consideration shall be allowable to the extent the value of the other 63 valuable consideration is equal to or greater than the value of the asset 64 transferred. The Commissioner of Social Services shall not treat any 65 Probate Court-approved conservator or fiduciary fee paid for services 66 rendered as an improper transfer of assets for the purpose of obtaining 67 Medicaid eligibility. 68 This act shall take effect as follows and shall amend the following sections: Section 1 July 1, 2021 17b-106(b) Sec. 2 July 1, 2021 17b-272 Sec. 3 from passage New section Sec. 4 from passage New section Sec. 5 July 1, 2021 17b-261(d) Committee Bill No. 418 LCO No. 3512 4 of 4 Statement of Purpose: To increase the amount of personal income a long-term care facility resident who receives medical assistance may keep and authorize a deduction for conservator expenses from the amount of income a Medicaid recipient must apply toward the cost of his or her care. [Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.] Co-Sponsors: SEN. KELLY, 21st Dist.; SEN. SLAP, 5th Dist. REP. PHIPPS, 100th Dist.; REP. WILSON, 66th Dist. SEN. FORMICA, 20th Dist.; SEN. OSTEN, 19th Dist. S.B. 418