Text: HSB00615                          Text: HSB00617
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House Study Bill 616

Bill Text

PAG LIN
  1  1    Section 1.  Section 249A.3, subsection 2, Code Supplement
  1  2 1999, is amended by adding the following new paragraph:
  1  3    NEW PARAGRAPH.  j.  Children for whom the court has entered
  1  4 an order transferring guardianship under section 232.104,
  1  5 subsection 2, paragraph "d", subparagraph (1), and for whom
  1  6 subsidized guardianship assistance is being paid by the
  1  7 department.
  1  8    Sec. 2.  Section 249A.3, subsection 8, paragraph c, Code
  1  9 Supplement 1999, is amended to read as follows:
  1 10    c.  A specified low-income Medicare beneficiary as defined
  1 11 under Title XIX of the federal Social Security Act, section
  1 12 1902(a)(10)(E)(iii), as codified in 42 U.S.C. }
  1 13 1396a(a)(10)(E)(iii).
  1 14    Sec. 3.  Section 249A.3, subsection 8, Code Supplement
  1 15 1999, is amended by adding the following new paragraphs:
  1 16    NEW PARAGRAPH.  d.  An additional specified low-income
  1 17 Medicare beneficiary as described under Title XIX of the
  1 18 federal Social Security Act, section 1902(a)(10)(E)(iv)(I), as
  1 19 codified in 42 U.S.C. } 1396a(a)(10)(E)(iv)(I).
  1 20    NEW PARAGRAPH.  e.  An additional specified low-income
  1 21 Medicare beneficiary described under Title XIX of the federal
  1 22 Social Security Act, section 1902(a)(10)(E)(iv)(II), as
  1 23 codified in 42 U.S.C. } 1396a(a)(10)(E)(iv)(II).
  1 24    Sec. 4.  Section 249A.3, subsection 11, Code Supplement
  1 25 1999, is amended by adding the following new paragraphs:
  1 26    NEW PARAGRAPH.  c.  A disclaimer of any property, interest,
  1 27 or right pursuant to section 633.704 constitutes a transfer of
  1 28 assets for the purpose of determining eligibility for medical
  1 29 assistance in an amount equal to the value of the property,
  1 30 interest, or right disclaimed.
  1 31    NEW PARAGRAPH.  d.  Failure of a surviving spouse to take
  1 32 against a will pursuant to chapter 633, division V,
  1 33 constitutes a transfer of assets for the purpose of
  1 34 determining eligibility for medical assistance to the extent
  1 35 that the value received by taking against the will would have
  2  1 exceeded the value of the inheritance received under the will.
  2  2    Sec. 5.  Section 249F.1, subsection 2, paragraph b,
  2  3 subparagraph (5), Code 1999, is amended to read as follows:
  2  4    (5)  Transfers of less than two thousand dollars.  However,
  2  5 all transfers by the same transferor during a calendar year
  2  6 the five-year period prior to application for medical
  2  7 assistance by the transferor shall be aggregated.  If a
  2  8 transferor transfers property to more than one transferee
  2  9 during a calendar year the five-year period prior to
  2 10 application for medical assistance by the transferor, the two
  2 11 thousand dollar exemption shall be divided equally between the
  2 12 transferees.
  2 13    Sec. 6.  Section 249F.1, subsection 2, paragraph b,
  2 14 subparagraph (9), Code 1999, is amended by striking the
  2 15 subparagraph.
  2 16    Sec. 7.  NEW SECTION.  249F.6A  EXEMPTION FROM CHAPTER 17A.
  2 17    Actions initiated under this chapter are not subject to
  2 18 chapter 17A.  Review by the district court shall be an
  2 19 original hearing before the district court.
  2 20    Sec. 8.  NEW SECTION.  633.246A  MEDICAL ASSISTANCE
  2 21 ELIGIBILITY.
  2 22    Failure of a surviving spouse to take against a will under
  2 23 this division constitutes a transfer of assets for the purpose
  2 24 of determining eligibility for medical assistance pursuant to
  2 25 chapter 249A to the extent that the value received by taking
  2 26 against the will would have exceeded the value of the
  2 27 inheritance received under the will.
  2 28    Sec. 9.  Section 633.704, Code Supplement 1999, is amended
  2 29 by adding the following new subsection:
  2 30    NEW SUBSECTION.  4A.  MEDICAL ASSISTANCE ELIGIBILITY.  A
  2 31 disclaimer of any property, interest, or right under this
  2 32 section constitutes a transfer of assets for the purpose of
  2 33 determining eligibility for medical assistance under chapter
  2 34 249A, in an amount equal to the value of the property,
  2 35 interest, or right disclaimed.  
  3  1                           EXPLANATION
  3  2    This bill amends portions of the Code relating to medical
  3  3 assistance.
  3  4    The bill provides for three additions to the eligibility
  3  5 categories for medical assistance and corrects a reference to
  3  6 an existing eligibility category.
  3  7    The first medical assistance eligibility category added
  3  8 under the bill includes children under the subsidized
  3  9 guardianship program.  These are children who are not able to
  3 10 return home, who are not being adopted, who have been placed
  3 11 with a guardian in a court-approved home, and for whom the
  3 12 guardian is receiving payment through the department's
  3 13 subsidized guardianship program.
  3 14    The remaining two eligibility categories added under the
  3 15 bill relate to coverage for certain Medicare beneficiaries.
  3 16 Coverage of these categories of individuals was mandated in
  3 17 the federal Balanced Budget Act of 1997, to be effective
  3 18 January 1998.  To date, this required coverage has been
  3 19 implemented under administrative rules.  The bill would codify
  3 20 existing practice.  The first of the required coverage
  3 21 categories of eligibles, additional specified low-income
  3 22 Medicare beneficiaries, includes individuals whose income is
  3 23 at least 120 percent but less than 135 percent of the federal
  3 24 poverty level.  For these individuals, coverage would provide
  3 25 for payment of the full Medicare part B premium.  Part B
  3 26 covered services include physician and other medical services,
  3 27 outpatient hospital care, ambulatory surgical services, home
  3 28 health, clinical diagnostic laboratory services, and
  3 29 preventive services.  The second of the required categories of
  3 30 eligibles, home health for specified low-income Medicare
  3 31 beneficiaries, includes individuals whose income is at least
  3 32 135 percent but not more than 175 percent of the official
  3 33 poverty level.  For these individuals, coverage would provide
  3 34 for payment of only the home health portion of the Medicare
  3 35 part B premium.
  4  1    The bill also addresses disclaimers of inheritance and
  4  2 failure of a spouse to take against a will under the probate
  4  3 code, as these mechanisms relate to transfer of assets
  4  4 policies when establishing eligibility under the medical
  4  5 assistance program.  Current use of these mechanisms could
  4  6 allow a person to avoid receiving assets resulting in the
  4  7 person being erroneously eligible for medical assistance.  The
  4  8 bill establishes that under the probate code, a disclaimer of
  4  9 property, interest, or right constitutes a transfer of assets,
  4 10 in determining medical assistance eligibility, in the amount
  4 11 of the value of the property, interest, or right.  The bill
  4 12 also provides that failure of a spouse to take against a will
  4 13 constitutes a transfer of assets, in determining medical
  4 14 assistance eligibility, to the extent the value received by
  4 15 taking against the will would have exceeded the value of the
  4 16 inheritance received under the will.  The bill provides
  4 17 conforming language in both the medical assistance chapter
  4 18 (Code chapter 249A) and in the probate code chapter (Code
  4 19 chapter 633).
  4 20    The bill also includes changes relating to transfer of
  4 21 assets relating to medical assistance debt.  The bill corrects
  4 22 the exemption of transfers of assets of less than $2,000 per
  4 23 calendar year to instead provide for exemption of a transfer
  4 24 of assets of $2,000 over the five-year look back period, which
  4 25 is consistent with federal law.  The bill also eliminates a
  4 26 provision which would exempt the transfer of a homestead to
  4 27 any person rather than just to those persons exempt under
  4 28 federal law.  Other existing provisions in the Code remain to
  4 29 allow for the federally required exemptions relating to
  4 30 transfer of a homestead.  The bill also provides that actions
  4 31 initiated under the transfer of assets for medical assistance
  4 32 debt chapter (Code chapter 249F) are not subject to Code
  4 33 chapter 17A and that review by the district court would be an
  4 34 original hearing before the court.  
  4 35 LSB 5239DP 78
  5  1 pf/as/5.2
     

Text: HSB00615                          Text: HSB00617
Text: HSB00600 - HSB00699               Text: HSB Index
Bills and Amendments: General Index     Bill History: General Index

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