LCO \\PRDFS1\SCOUSERS\FORZANOF\WS\2022SB-00283-R01- SB.docx 1 of 8 General Assembly Substitute Bill No. 283 February Session, 2022 AN ACT ELIMINATING INCOME AND ASSET LIMITS FOR THE MED - CONNECT PROGRAM FOR PERSONS WITH DISABILITIES AND INCREASING INCOME AND ASSET LIMITS FOR HUSKY C . Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Section 17b-597 of the general statutes is repealed and the 1 following is substituted in lieu thereof (Effective July 1, 2022): 2 (a) The Department of Social Services shall establish and implement 3 a working persons with disabilities program to provide medical 4 assistance as authorized under 42 USC 1396a(a)(10)(A)(ii), as amended 5 from time to time, to persons who are disabled and regularly employed. 6 (b) The Commissioner of Social Services shall amend the Medicaid 7 state plan to allow persons specified in subsection (a) of this section to 8 qualify for medical assistance. The amendment shall [include the 9 following requirements: (1) That the person be engaged in a substantial 10 and reasonable work effort as determined by the commissioner and as 11 permitted by federal law and have an annual adjusted gross income, as 12 defined in Section 62 of the Internal Revenue Code of 1986, or any 13 subsequent corresponding internal revenue code of the United States, 14 as amended from time to time, of no more than seventy-five thousand 15 dollars per year; (2) a disregard of all countable income up to two 16 hundred per cent of the federal poverty level; (3) for an unmarried 17 Substitute Bill No. 283 LCO {\\PRDFS1\SCOUSERS\FORZANOF\WS\2022SB-00283- R01-SB.docx } 2 of 8 person, an asset limit of ten thousand dollars, and for a married couple, 18 an asset limit of fifteen thousand dollars; (4) a disregard of any 19 retirement and medical savings accounts established pursuant to 26 20 USC 220 and held by either the person or the person's spouse; (5) a 21 disregard of any moneys in accounts designated by the person or the 22 person's spouse for the purpose of purchasing goods or services that 23 will increase the employability of such person, subject to approval by 24 the commissioner; (6) a disregard of spousal income solely for purposes 25 of determination of eligibility; and (7)] require (1) that the person be 26 engaged in a substantial and reasonable work effort as determined by 27 the commissioner and as permitted by federal law; and (2) a 28 contribution of any countable income of the person or the person's 29 spouse which exceeds two hundred per cent of the federal poverty level, 30 as adjusted for the appropriate family size, equal to ten per cent of the 31 excess minus any premiums paid from income for health insurance by 32 any family member, but which does not exceed the maximum 33 contribution allowable under Section 201(a)(3) of Public Law 106-170, as 34 amended from time to time. 35 (c) The Commissioner of Social Services shall implement the policies 36 and procedures necessary to carry out the provisions of this section 37 while in the process of adopting such policies and procedures in 38 regulation form, provided notice of intent to adopt the regulations is 39 [published in the Connecticut Law Journal within twenty days after 40 implementation] posted on the eRegulations System in accordance with 41 section 17b-10. The commissioner shall define "countable income" for 42 purposes of subsection (b) of this section which shall take into account 43 impairment-related work expenses as defined in the Social Security Act. 44 Such policies and procedures shall be valid until the time final 45 regulations are effective. 46 Sec. 2. (NEW) (Effective July 1, 2022) The Commissioner of Social 47 Services shall increase the asset limits used to determine eligibility for 48 HUSKY C, as defined in section 17b-290 of the general statutes, from (1) 49 one thousand six hundred dollars to five thousand dollars for a single 50 Substitute Bill No. 283 LCO {\\PRDFS1\SCOUSERS\FORZANOF\WS\2022SB-00283- R01-SB.docx } 3 of 8 person, and (2) two thousand four hundred dollars to seven thousand 51 five hundred dollars for a married couple. 52 Sec. 3. Section 17b-261 of the 2022 supplement to the general statutes 53 is repealed and the following is substituted in lieu thereof (Effective July 54 1, 2022): 55 (a) Medical assistance shall be provided for any otherwise eligible 56 person (1) whose income, including any available support from legally 57 liable relatives and the income of the person's spouse or dependent 58 child, is not more than one hundred [forty-three per cent, pending 59 approval of a federal waiver applied for pursuant to subsection (e) of 60 this section, of the benefit amount paid to a person with no income 61 under the temporary family assistance program in the appropriate 62 region of residence and if] thirty-eight per cent of the federal poverty 63 level, and (2) if such person is an institutionalized individual as defined 64 in Section 1917 of the Social Security Act, 42 USC 1396p(h)(3), [and] such 65 person has not made an assignment or transfer or other disposition of 66 property for less than fair market value for the purpose of establishing 67 eligibility for benefits or assistance under this section. Any such 68 disposition shall be treated in accordance with Section 1917(c) of the 69 Social Security Act, 42 USC 1396p(c). Any disposition of property made 70 on behalf of an applicant or recipient or the spouse of an applicant or 71 recipient by a guardian, conservator, person authorized to make such 72 disposition pursuant to a power of attorney or other person so 73 authorized by law shall be attributed to such applicant, recipient or 74 spouse. A disposition of property ordered by a court shall be evaluated 75 in accordance with the standards applied to any other such disposition 76 for the purpose of determining eligibility. [The commissioner shall 77 establish the standards for eligibility for medical assistance at one 78 hundred forty-three per cent of the benefit amount paid to a household 79 of equal size with no income under the temporary family assistance 80 program in the appropriate region of residence.] In determining 81 eligibility, the commissioner shall not consider as income Aid and 82 Attendance pension benefits granted to a veteran, as defined in section 83 Substitute Bill No. 283 LCO {\\PRDFS1\SCOUSERS\FORZANOF\WS\2022SB-00283- R01-SB.docx } 4 of 8 27-103, or the surviving spouse of such veteran. Except as provided in 84 section 17b-277 and section 17b-292, the medical assistance program 85 shall provide coverage to persons under the age of nineteen with 86 household income up to one hundred ninety-six per cent of the federal 87 poverty level without an asset limit and to persons under the age of 88 nineteen, who qualify for coverage under Section 1931 of the Social 89 Security Act, with household income not exceeding one hundred 90 ninety-six per cent of the federal poverty level without an asset limit, 91 and their parents and needy caretaker relatives, who qualify for 92 coverage under Section 1931 of the Social Security Act, with household 93 income not exceeding one hundred fifty-five per cent of the federal 94 poverty level without an asset limit. Such levels shall be based on the 95 regional differences in such benefit amount, if applicable, unless such 96 levels based on regional differences are not in conformance with federal 97 law. Any income in excess of the applicable amounts shall be applied as 98 may be required by said federal law, and assistance shall be granted for 99 the balance of the cost of authorized medical assistance. The 100 Commissioner of Social Services shall provide applicants for assistance 101 under this section, at the time of application, with a written statement 102 advising them of [(1)] (A) the effect of an assignment or transfer or other 103 disposition of property on eligibility for benefits or assistance, [(2)] (B) 104 the effect that having income that exceeds the limits prescribed in this 105 subsection will have with respect to program eligibility, and [(3)] (C) the 106 availability of, and eligibility for, services provided by the Connecticut 107 Home Visiting System, established pursuant to section 17b-751b. For 108 coverage dates on or after January 1, 2014, the department shall use the 109 modified adjusted gross income financial eligibility rules set forth in 110 Section 1902(e)(14) of the Social Security Act and the implementing 111 regulations to determine eligibility for HUSKY A, HUSKY B and 112 HUSKY D applicants, as defined in section 17b-290. Persons who are 113 determined ineligible for assistance pursuant to this section shall be 114 provided a written statement notifying such persons of their ineligibility 115 and advising such persons of their potential eligibility for one of the 116 other insurance affordability programs as defined in 42 CFR 435.4. 117 Substitute Bill No. 283 LCO {\\PRDFS1\SCOUSERS\FORZANOF\WS\2022SB-00283- R01-SB.docx } 5 of 8 (b) For the purposes of the Medicaid program, the Commissioner of 118 Social Services shall consider parental income and resources as available 119 to a child under eighteen years of age who is living with his or her 120 parents and is blind or disabled for purposes of the Medicaid program, 121 or to any other child under twenty-one years of age who is living with 122 his or her parents. 123 (c) For the purposes of determining eligibility for the Medicaid 124 program, an available asset is one that is actually available to the 125 applicant or one that the applicant has the legal right, authority or 126 power to obtain or to have applied for the applicant's general or medical 127 support. If the terms of a trust provide for the support of an applicant, 128 the refusal of a trustee to make a distribution from the trust does not 129 render the trust an unavailable asset. Notwithstanding the provisions of 130 this subsection, the availability of funds in a trust or similar instrument 131 funded in whole or in part by the applicant or the applicant's spouse 132 shall be determined pursuant to the Omnibus Budget Reconciliation Act 133 of 1993, 42 USC 1396p. The provisions of this subsection shall not apply 134 to a special needs trust, as defined in 42 USC 1396p(d)(4)(A), as 135 amended from time to time. For purposes of determining whether a 136 beneficiary under a special needs trust, who has not received a disability 137 determination from the Social Security Administration, is disabled, as 138 defined in 42 USC 1382c(a)(3), the Commissioner of Social Services, or 139 the commissioner's designee, shall independently make such 140 determination. The commissioner shall not require such beneficiary to 141 apply for Social Security disability benefits or obtain a disability 142 determination from the Social Security Administration for purposes of 143 determining whether the beneficiary is disabled. 144 (d) The transfer of an asset in exchange for other valuable 145 consideration shall be allowable to the extent the value of the other 146 valuable consideration is equal to or greater than the value of the asset 147 transferred. 148 (e) The Commissioner of Social Services [shall seek a waiver from 149 federal law to permit federal financial participation for Medicaid 150 Substitute Bill No. 283 LCO {\\PRDFS1\SCOUSERS\FORZANOF\WS\2022SB-00283- R01-SB.docx } 6 of 8 expenditures for families with incomes of one hundred forty-three per 151 cent of the temporary family assistance program payment standard] 152 may seek federal approval for a Medicaid waiver or a Medicaid state 153 plan amendment to implement the provisions of this section. 154 (f) To the extent [permitted by] permissible under federal law, 155 Medicaid eligibility shall be extended for one year to a family that 156 becomes ineligible for medical assistance under Section 1931 of the 157 Social Security Act due to income from employment by one of its 158 members who is a caretaker relative or due to receipt of child support 159 income. A family receiving extended benefits on July 1, 2005, shall 160 receive the balance of such extended benefits, provided no such family 161 shall receive more than twelve additional months of such benefits. 162 (g) An institutionalized spouse applying for Medicaid and having a 163 spouse living in the community shall be required, to the maximum 164 extent permitted by law, to divert income to such community spouse in 165 order to raise the community spouse's income to the level of the 166 minimum monthly needs allowance, as described in Section 1924 of the 167 Social Security Act. Such diversion of income shall occur before the 168 community spouse is allowed to retain assets in excess of the 169 community spouse protected amount described in Section 1924 of the 170 Social Security Act. The Commissioner of Social Services, pursuant to 171 section 17b-10, may implement the provisions of this subsection while 172 in the process of adopting regulations, provided the commissioner 173 [prints] posts notice of intent to adopt the regulations [in the 174 Connecticut Law Journal within] on the eRegulations System not later 175 than twenty days [of] after adopting such policy. Such policy shall be 176 valid until the time final regulations are effective. 177 (h) To the extent permissible under federal law, an institutionalized 178 individual, as defined in Section 1917 of the Social Security Act, 42 USC 179 1396p(h)(3), shall not be determined ineligible for Medicaid solely on 180 the basis of the cash value of a life insurance policy worth less than ten 181 thousand dollars provided the individual is pursuing the surrender of 182 the policy. 183 Substitute Bill No. 283 LCO {\\PRDFS1\SCOUSERS\FORZANOF\WS\2022SB-00283- R01-SB.docx } 7 of 8 (i) Medical assistance shall be provided, in accordance with the 184 provisions of subsection (e) of section 17a-6, to any child under the 185 supervision of the Commissioner of Children and Families who is not 186 receiving Medicaid benefits, has not yet qualified for Medicaid benefits 187 or is otherwise ineligible for such benefits. Medical assistance shall also 188 be provided to any child in the behavioral services program operated 189 by the Department of Developmental Services who is not receiving 190 Medicaid benefits, has not yet qualified for Medicaid benefits or is 191 otherwise ineligible for benefits. To the extent practicable, the 192 Commissioner of Children and Families and the Commissioner of 193 Developmental Services shall apply for, or assist such child in qualifying 194 for, the Medicaid program. 195 (j) The Commissioner of Social Services shall provide Early and 196 Periodic Screening, Diagnostic and Treatment program services, as 197 required and defined as of December 31, 2005, by 42 USC 1396a(a)(43), 198 42 USC 1396d(r) and 42 USC 1396d(a)(4)(B) and applicable federal 199 regulations, to all persons who are under the age of twenty-one and 200 otherwise eligible for medical assistance under this section. 201 (k) A veteran, as defined in section 27-103, and any member of his or 202 her family, who applies for or receives assistance under the Medicaid 203 program, shall apply for all benefits for which he or she may be eligible 204 through the United States Department of Veterans Affairs or the United 205 States Department of Defense. 206 (l) On and after January 1, 2023, the Commissioner of Social Services 207 shall, within available appropriations, provide state-funded medical 208 assistance to any child eight years of age and younger, regardless of 209 immigration status, (1) whose household income does not exceed two 210 hundred one per cent of the federal poverty level without an asset limit, 211 and (2) who does not otherwise qualify for (A) Medicaid, (B) the 212 Children's Health Insurance Program, or (C) an offer of affordable, 213 employer-sponsored insurance, as defined in the Affordable Care Act, 214 as an employee or a dependent of an employee. 215 Substitute Bill No. 283 LCO {\\PRDFS1\SCOUSERS\FORZANOF\WS\2022SB-00283- R01-SB.docx } 8 of 8 This act shall take effect as follows and shall amend the following sections: Section 1 July 1, 2022 17b-597 Sec. 2 July 1, 2022 New section Sec. 3 July 1, 2022 17b-261 HS Joint Favorable Subst.