1 | 1 | | 87R10542 MM-F |
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2 | 2 | | By: Toth H.B. No. 4244 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | A BILL TO BE ENTITLED |
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6 | 6 | | AN ACT |
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7 | 7 | | relating to the appointment of a representative payee or fiduciary |
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8 | 8 | | for a child in the conservatorship of the Department of Family and |
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9 | 9 | | Protective Services. |
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10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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11 | 11 | | SECTION 1. Subchapter A, Chapter 264, Family Code, is |
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12 | 12 | | amended by adding Section 264.0112 to read as follows: |
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13 | 13 | | Sec. 264.0112. APPOINTMENT OF REPRESENTATIVE PAYEE OR |
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14 | 14 | | FIDUCIARY FOR CHILD. (a) In this section, "legal representative" |
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15 | 15 | | means the child's attorney, the child's attorney ad litem, or |
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16 | 16 | | another individual appointed by a court to represent the legal |
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17 | 17 | | interests of the child. |
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18 | 18 | | (b) For a child in the department's conservatorship who |
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19 | 19 | | receives or is eligible to receive benefits or services for which a |
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20 | 20 | | representative payee or fiduciary is required, the department |
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21 | 21 | | shall, in cooperation with the child's legal representative, select |
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22 | 22 | | an appropriate individual to serve as the child's representative |
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23 | 23 | | payee or fiduciary in accordance with the requirements of 20 C.F.R. |
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24 | 24 | | Section 404.2021. If the department and the child's legal |
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25 | 25 | | representative do not agree on a representative payee or fiduciary, |
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26 | 26 | | the department shall request a hearing to determine an appropriate |
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27 | 27 | | individual. The court shall consider the appointment of the child's |
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28 | 28 | | relative and other designated caregivers. If the court does not |
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29 | 29 | | identify an appropriate individual, the court may name the |
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30 | 30 | | department as the representative payee or fiduciary. |
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31 | 31 | | (c) In accordance with federal law, if the department serves |
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32 | 32 | | as the representative payee or in any other fiduciary capacity for a |
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33 | 33 | | child receiving United States Department of Veterans Affairs |
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34 | 34 | | benefits, Supplemental Security Income (SSI) benefits under 42 |
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35 | 35 | | U.S.C. Section 1381 et seq., or Social Security Disability |
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36 | 36 | | Insurance (SSDI) benefits under 42 U.S.C. Section 401 et seq., the |
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37 | 37 | | department shall: |
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38 | 38 | | (1) from the date the child turns 14 years of age until |
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39 | 39 | | the date the department no longer serves as the child's |
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40 | 40 | | representative payee or fiduciary, reserve the following minimum |
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41 | 41 | | percentage of the child's benefits for use by the child: |
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42 | 42 | | (A) for a child who is at least 14 years of age |
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43 | 43 | | but younger than 16 years of age, at least 40 percent; |
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44 | 44 | | (B) for a child who is at least 16 years of age |
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45 | 45 | | but younger than 18 years of age, at least 80 percent; and |
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46 | 46 | | (C) for a child who is at least 18 years of age, |
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47 | 47 | | 100 percent; |
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48 | 48 | | (2) exercise discretion in accordance with federal law |
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49 | 49 | | and in the best interest of the child when making decisions to use |
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50 | 50 | | or save the child's benefits or resources that are less than or not |
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51 | 51 | | subject to asset or resource limits under federal law, including |
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52 | 52 | | using the benefits to address the child's special needs and saving |
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53 | 53 | | the benefits for the child's reasonably foreseeable future needs; |
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54 | 54 | | (3) appropriately monitor federal asset or resource |
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55 | 55 | | limits for the child's benefits and ensure that the child's best |
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56 | 56 | | interest is served by using or saving the benefits in a manner that |
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57 | 57 | | avoids violating federal asset or resource limits that would |
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58 | 58 | | negatively affect the child's eligibility to receive the benefits, |
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59 | 59 | | including by using: |
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60 | 60 | | (A) a Social Security Administration Plan to |
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61 | 61 | | Achieve Self-Support account for the child and determining whether |
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62 | 62 | | it is in the best interest of the child to save all or part of the |
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63 | 63 | | child's benefits in the account; |
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64 | 64 | | (B) an ABLE account authorized by Section 529A, |
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65 | 65 | | Internal Revenue Code of 1986, for the child and conserving the |
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66 | 66 | | child's benefits in that account in a manner that appropriately |
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67 | 67 | | avoids any federal asset or resource limits; |
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68 | 68 | | (C) an individual development account for the |
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69 | 69 | | child and conserving the child's benefits in that account in a |
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70 | 70 | | manner that appropriately avoids any federal asset or resource |
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71 | 71 | | limits; |
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72 | 72 | | (D) a special needs trust for the child and |
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73 | 73 | | conserving the child's benefits in the trust in a manner that is |
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74 | 74 | | consistent with federal requirements for special needs trusts and |
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75 | 75 | | that appropriately avoids any federal asset or resource limits; |
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76 | 76 | | (E) the benefits to pay for the child's special |
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77 | 77 | | needs not otherwise provided by the department if the department |
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78 | 78 | | determines it is in the best interest of the child; |
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79 | 79 | | (F) a dedicated account, if federal law requires |
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80 | 80 | | certain back payments of benefits to be placed in a dedicated |
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81 | 81 | | account, that complies with the requirements for dedicated accounts |
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82 | 82 | | under 20 C.F.R. Section 416.640(e); and |
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83 | 83 | | (G) any other exclusions from federal asset or |
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84 | 84 | | resource limits available under federal law and using or conserving |
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85 | 85 | | the child's benefits in a manner that appropriately avoids any |
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86 | 86 | | federal asset or resource limits; |
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87 | 87 | | (4) provide an annual accounting to the child and the |
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88 | 88 | | child's legal representative regarding the use or saving of the |
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89 | 89 | | child's resources in accordance with this section; and |
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90 | 90 | | (5) provide financial literacy training for each child |
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91 | 91 | | who is at least 14 years of age. |
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92 | 92 | | (d) The department shall immediately provide notice to the |
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93 | 93 | | child through the child's legal representative regarding: |
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94 | 94 | | (1) any application for United States Department of |
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95 | 95 | | Veterans Affairs benefits, Supplemental Security Income (SSI) |
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96 | 96 | | benefits under 42 U.S.C. Section 1381 et seq., or Social Security |
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97 | 97 | | Disability Insurance (SSDI) benefits under 42 U.S.C. Section 401 et |
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98 | 98 | | seq. made on the child's behalf; |
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99 | 99 | | (2) if the department is identified as the |
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100 | 100 | | representative payee under Subsection (b), any application to |
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101 | 101 | | become representative payee for the child's United States |
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102 | 102 | | Department of Veterans Affairs benefits, Supplemental Security |
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103 | 103 | | Income (SSI) benefits under 42 U.S.C. Section 1381 et seq., or |
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104 | 104 | | Social Security Disability Insurance (SSDI) benefits under 42 |
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105 | 105 | | U.S.C. Section 401 et seq.; |
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106 | 106 | | (3) any decisions or communications from the United |
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107 | 107 | | States Department of Veterans Affairs or the Social Security |
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108 | 108 | | Administration regarding an application described by Subdivision |
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109 | 109 | | (1); and |
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110 | 110 | | (4) any appeal or other action requested by the |
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111 | 111 | | department regarding an application for benefits described by |
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112 | 112 | | Subdivision (1). |
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113 | 113 | | (e) If the department serves as the representative payee or |
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114 | 114 | | otherwise receives United States Department of Veterans Affairs |
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115 | 115 | | benefits, Supplemental Security Income (SSI) benefits under 42 |
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116 | 116 | | U.S.C. Section 1381 et seq., or Social Security Disability |
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117 | 117 | | Insurance (SSDI) benefits under 42 U.S.C. Section 401 et seq. on the |
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118 | 118 | | child's behalf, the department shall provide notice to the child |
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119 | 119 | | through the child's legal representative of the following before |
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120 | 120 | | each placement review hearing: |
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121 | 121 | | (1) the amount of benefit funds received on the child's |
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122 | 122 | | behalf since the most recent notification to the child's legal |
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123 | 123 | | representative and the date the benefits were received; |
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124 | 124 | | (2) information regarding the child's assets and |
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125 | 125 | | resources, including the child's benefits, insurance, cash assets, |
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126 | 126 | | trust accounts, earnings, and other resources; |
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127 | 127 | | (3) an accounting of the disbursement of benefit |
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128 | 128 | | funds, including the date, amount, and identification of the payee; |
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129 | 129 | | and |
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130 | 130 | | (4) information regarding each request by the court |
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131 | 131 | | appointed special advocate for the child, the child's legal |
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132 | 132 | | representative, or the child's caregiver for disbursement of funds |
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133 | 133 | | and a statement regarding the department's reason for not granting |
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134 | 134 | | the request if the request was not granted. |
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135 | 135 | | SECTION 2. This Act takes effect September 1, 2021. |
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