Text: HF02198 Text: HF02200 Text: HF02100 - HF02199 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Section 1. NEW SECTION. 239.23 WELFARE REPLACEMENT
1 2 INITIATIVE.
1 3 1. The department shall develop and implement a voluntary
1 4 welfare replacement initiative for the purpose of
1 5 strengthening the interaction between a recipient and the
1 6 community. The general assembly finds that this initiative is
1 7 a first step in an effort to return to a system of public
1 8 assistance in which churches and other charitable
1 9 organizations reassume responsibility for public assistance,
1 10 are highly involved with families in need of assistance, and
1 11 work as partners with families' efforts to end dependency and
1 12 become stronger contributors to the success of their
1 13 communities. The initiative shall include the provisions
1 14 described in this section and the department shall apply to
1 15 the United States department of health and human services for
1 16 a federal waiver as necessary to implement the provisions.
1 17 The department shall implement those provisions which do not
1 18 require a federal waiver prior to the approval or denial of
1 19 the provisions which require a federal waiver.
1 20 2. For the purposes of this section unless the context
1 21 otherwise requires:
1 22 a. "Nonprofit organization" means a church or other
1 23 organization described in the Internal Revenue Code, 26 U.S.C.
1 24 } 501(c)(3), which is exempt from income taxation under 26
1 25 U.S.C. } 501(a) and has a primary purpose of working with
1 26 individuals and families.
1 27 b. "Voluntary welfare replacement initiative" or
1 28 "initiative" means the voluntary welfare replacement
1 29 initiative created pursuant to this section.
1 30 3. The department shall administer the initiative by
1 31 identifying and entering into an agreement with nonprofit
1 32 organizations which are capable of implementing the initiative
1 33 with recipients. An agreement shall be renewable on an annual
1 34 basis, subject to approval of the terms by both parties.
1 35 Under an agreement, a nonprofit organization may agree to
2 1 assist a recipient with income, asset accumulation, or
2 2 community connection or any combination of the three. The
2 3 agreement shall identify the quantity and form of assistance
2 4 to be provided and assign a dollar value to the assistance.
2 5 The department shall issue tax credit vouchers for
2 6 distribution to individual monetary contributors by the
2 7 nonprofit organization, subject to the provisions of section
2 8 422.11D, in the dollar amount identified in the agreement.
2 9 4. The department shall publicize the initiative to
2 10 nonprofit organizations and recipients. The department shall
2 11 develop the initiative by matching nonprofit organizations
2 12 under agreement with the department to support a recipient
2 13 family with recipient families who have an interest in
2 14 receiving support through the initiative. A nonprofit
2 15 organization may be matched with a recipient family who is a
2 16 member of the nonprofit organization. The department shall
2 17 provide a nonprofit organization participating in the
2 18 initiative with a nonidentifying profile of recipient families
2 19 which have expressed a desire to participate in the
2 20 initiative. If desired by the organization or the recipient
2 21 family, the department shall seek to match nonprofit
2 22 organizations and families which are geographically located
2 23 close to one another. The department shall develop the
2 24 initiative in a manner which enables a recipient or a
2 25 nonprofit organization to withdraw from the initiative in a
2 26 manner which is acceptable to both the recipient and the
2 27 nonprofit organization.
2 28 5. A nonprofit organization which is matched with a
2 29 recipient family under the initiative may support the family
2 30 in any manner, including but not limited to any of the
2 31 following:
2 32 a. Assistance in locating employment, including job
2 33 training and job search assistance.
2 34 b. Financial support or in-kind assistance. Financial
2 35 support may include the nonprofit organization's payment of
3 1 all or part of the recipient's cash assistance under the
3 2 family investment program. In-kind assistance may include but
3 3 is not limited to providing food, clothing, housing repair or
3 4 remodeling, children's playthings, child day care, and
3 5 transportation.
3 6 c. Personal support, including emotional and spiritual
3 7 support and counseling.
3 8 d. Parenting classes.
3 9 e. Contribution to the recipient's individual development
3 10 account established under chapter 541A.
3 11 6. The department shall modify the family investment
3 12 agreement provisions applicable to a recipient family
3 13 participating in the initiative to reflect the involvement of
3 14 the nonprofit organization with the family and the assistance
3 15 provided. The modifications may include involving the
3 16 nonprofit organization as part of the agreement. The
3 17 department shall periodically survey recipients and nonprofit
3 18 organizations participating in the initiative to gauge
3 19 satisfaction with the initiative. The department shall
3 20 designate the employee who develops a recipient's family
3 21 investment agreement or other suitable individual to monitor
3 22 the efficacy of the recipient's involvement under the
3 23 initiative. The types and dollar amounts of a nonprofit
3 24 organization's assistance to an individual recipient under the
3 25 initiative shall be enumerated in writing and provided to the
3 26 recipient, the department of human services, the nonprofit
3 27 organization, and the department of revenue and finance.
3 28 7. The department of human services shall work with the
3 29 department of revenue and finance in developing vouchers and
3 30 other forms necessary to implement the tax credit provisions
3 31 of section 422.11D, which provides a state tax credit for
3 32 individual contributions to a nonprofit organization for the
3 33 purposes of the initiative. The department of human services
3 34 shall work with the department of revenue and finance in
3 35 developing appropriate provisions for a nonprofit organization
4 1 to account for receipt and expenditure of moneys received by
4 2 the nonprofit organization from contributors, vouchers issued
4 3 to contributors, and assistance provided to recipient
4 4 families. Provisions and requirements developed pursuant to
4 5 this section shall be adopted as administrative rules in
4 6 accordance with chapter 17A. The provisions shall include but
4 7 are not limited to all of the following:
4 8 a. Provision for a nonprofit organization which withdraws
4 9 from the initiative after issuing vouchers to individual
4 10 contributors in an amount exceeding the value of the
4 11 assistance provided to transfer the excess funds to another
4 12 nonprofit organization under agreement with the department to
4 13 participate in the initiative. The transfer is subject to
4 14 approval by the department.
4 15 b. Provision for the department to end an agreement and
4 16 apply sanctions in the event the nonprofit organization does
4 17 not perform in conformance with the agreement. The department
4 18 shall develop appropriate sanction provisions.
4 19 8. In addition to assistance provided to recipients under
4 20 the nonprofit organization's agreement, the nonprofit
4 21 organization may provide an individual recipient with
4 22 additional cash assistance. Subject to the maximum amount
4 23 specified in this subsection, the department shall disregard
4 24 the additional assistance received by the recipient in
4 25 determining eligibility and benefit levels for assistance.
4 26 The maximum amount which shall be disregarded is an amount
4 27 equal to ten percent of the annual amount of cash assistance
4 28 the nonprofit organization has agreed to provide to the
4 29 recipient and is enumerated under subsection 6.
4 30 9. Following the United States department of health and
4 31 human services' review of the waiver provisions submitted
4 32 pursuant to this section, and the department's revision of the
4 33 provisions in accordance with the federal approval
4 34 requirements, the department of human services shall
4 35 immediately report to the members of the committees on human
5 1 resources of the house and senate and to the joint
5 2 appropriations subcommittee on human services concerning the
5 3 department's implementation plans and thereafter annually, on
5 4 or before December 15.
5 5 Sec. 2. NEW SECTION. 422.11D VOLUNTARY WELFARE
5 6 REPLACEMENT CREDIT.
5 7 The taxes imposed under this division, less the credits
5 8 allowed under sections 422.12 and 422.12B, shall be reduced by
5 9 a voluntary welfare replacement credit. The amount of the
5 10 credit shall be equal to the amount of the tax credit voucher
5 11 included with the taxpayer's return. The voucher submitted
5 12 shall conform with the requirements developed by the
5 13 departments of human services and revenue and finance pursuant
5 14 to section 239.23. Any credit in excess of the tax liability
5 15 for the tax year may be credited to the tax liability for the
5 16 following ten tax years or until depleted, whichever is the
5 17 earlier. Any amount taken as a credit under this section
5 18 shall not be deducted as a charitable contribution under
5 19 section 422.9, subsection 2.
5 20 Sec. 3. WAIVER REQUIREMENTS. Any waiver request submitted
5 21 by the department of human services to implement section
5 22 239.23, as enacted by this Act, shall include but is not
5 23 limited to the following provisions:
5 24 1. Applying the amount of the voluntary welfare
5 25 replacement initiative nonprofit organization's expenditures
5 26 against the state match requirement for the family investment
5 27 program while continuing to draw federal funding applicable to
5 28 the match requirement attributable to the initiative.
5 29 2. In determining a family investment program
5 30 participant's eligibility and benefits, authority to disregard
5 31 in-kind assistance, services, or other noncash assistance
5 32 provided by a nonprofit organization under section 239.23
5 33 which is not part of the standard benefits provided under the
5 34 family investment program.
5 35 Sec. 4. EFFECTIVE AND APPLICABILITY DATES.
6 1 1. The provisions of section 1 of this Act which do not
6 2 require a federal waiver shall be implemented January 1, 1998,
6 3 and those provisions which require a federal waiver shall be
6 4 implemented in accordance with the federal waiver.
6 5 2. Section 2 of this Act takes effect January 1, 1998, and
6 6 is applicable to tax years beginning on or after January 1,
6 7 1998.
6 8 EXPLANATION
6 9 This bill creates a voluntary welfare replacement
6 10 initiative administered by the department of human services,
6 11 and provides for an associated tax credit.
6 12 New section 239.23 amends the family investment program or
6 13 FIP (previously known as aid to dependent children program or
6 14 AFDC). The section requires the department to develop a
6 15 voluntary welfare replacement initiative in conjunction with
6 16 nonprofit organizations. The initiative provides for
6 17 developing an agreement between the department and a nonprofit
6 18 organization for the nonprofit organization to provide various
6 19 types of assistance to FIP recipients. The amount, type, and
6 20 dollar value of the assistance is to be specified. The
6 21 department is to issue tax credit vouchers to the nonprofit
6 22 organization for distribution to individual contributors for
6 23 purposes of the initiative. The contributor may utilize a
6 24 voucher for a state income tax credit.
6 25 The department is to match nonprofit organizations which
6 26 are under an agreement with interested FIP families. Although
6 27 an interested family who is a member of the nonprofit
6 28 organization may be matched with the nonprofit organization,
6 29 the department is also to arrange matches through use of
6 30 nonidentifying profiles.
6 31 The bill enumerates the various types of assistance and
6 32 support which may be provided under the initiative by a
6 33 participating nonprofit organization: locating employment,
6 34 financial support or in-kind assistance, personal support,
6 35 parenting classes, and contributions to a recipient's
7 1 individual development account.
7 2 The department is directed to modify a participating
7 3 family's family investment agreement to reflect the
7 4 involvement of the nonprofit organization. The department
7 5 must perform satisfaction surveys and other measures to
7 6 monitor the initiative. The types and dollar values of the
7 7 assistance agreed to be provided to a recipient are to be
7 8 enumerated in writing and provided to the recipient,
7 9 department of human services, nonprofit organization, and
7 10 department of revenue and finance.
7 11 The department of human services is to work with the
7 12 department of revenue and finance in developing accountability
7 13 measures for the finances, voucher distribution, and other
7 14 associated activities of the participating nonprofit
7 15 organizations. The initiative provisions and requirements are
7 16 to be adopted as administrative rules. The provisions are to
7 17 include certain financial accountability and sanction
7 18 requirements.
7 19 The organization may also provide additional assistance to
7 20 a recipient beyond the amount specified in the agreement.
7 21 Subject to a limitation, the department is to disregard the
7 22 additional assistance.
7 23 New section 422.11D provides for an income tax credit equal
7 24 to the amount of a voucher for an individual's contribution to
7 25 a participating nonprofit organization for purposes of the
7 26 initiative. The credit may be carried forward to subsequent
7 27 tax years and the taxpayer is prohibited from also claiming
7 28 the contribution as an income tax deduction.
7 29 An applicability provision delays implementation until
7 30 January 1, 1998, of the provisions which do not require a
7 31 federal waiver and until the waiver date for those provisions
7 32 which do. The tax provisions also begin with the tax year
7 33 commencing January 1, 1998.
7 34 LSB 3469YH 76
7 35 jp/jj/8
Text: HF02198 Text: HF02200 Text: HF02100 - HF02199 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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