House File 2211 - Introduced



                                       HOUSE FILE       
                                       BY  COHOON


    Passed House,  Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to the bases for exemptions to estate recovery
  2    under the medical assistance program.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 5568HH 81
  5 pf/je/5

PAG LIN



  1  1    Section 1.  Section 249A.5, subsection 2, paragraph a, Code
  1  2 2005, is amended to read as follows:
  1  3    a.  The department shall waive the collection of the debt
  1  4 created under this subsection from the estate of a recipient
  1  5 of medical assistance to the extent that collection of the
  1  6 debt would result in either of the following circumstances
  1  7 described in subparagraph (1) or (2) and shall waive
  1  8 collection of the debt created under this subsection from the
  1  9 portion of the estate of a recipient of medical assistance
  1 10 which constituted the recipient's homestead, as defined in
  1 11 section 561.1, to the extent that collection of the debt would
  1 12 result in the circumstances described in subparagraph (3):
  1 13    (1)  Reduction in the amount received from the recipient's
  1 14 estate by a surviving spouse, or by a surviving child who was
  1 15 under age twenty=one, blind, or permanently and totally
  1 16 disabled at the time of the individual's death.
  1 17    (2)  Otherwise work an An undue hardship as determined on
  1 18 the basis of criteria established pursuant to 42 U.S.C. }
  1 19 1396p(b)(3).
  1 20    (3)  An undue hardship as determined on the basis of the
  1 21 following:
  1 22    (a)  An heir, who is a descendant of the deceased medical
  1 23 assistance recipient, asserts that recovery against the
  1 24 portion of the recipient's estate which constituted the
  1 25 recipient's homestead, as defined in section 561.1, would be
  1 26 an undue hardship.
  1 27    (b)  The department verifies either of the following:
  1 28    (i)  The county assessor's appraisal value of the homestead
  1 29 is one hundred thousand dollars or less.
  1 30    (ii)  The heir has a gross family income below three
  1 31 hundred percent of the federal poverty level.
  1 32    Sec. 2.  MEDICAL ASSISTANCE STATE PLAN AMENDMENT.  The
  1 33 department of human services shall submit a medical assistance
  1 34 state plan amendment to amend the state's undue hardship
  1 35 exemptions criteria to include the exemption described in
  2  1 section 249A.5, subsection 2, paragraph "a", subparagraph (3).
  2  2    Sec. 3.  EFFECTIVE DATE.  The section of this Act amending
  2  3 section 249A.5, subsection 2, paragraph "a", shall take effect
  2  4 only upon the date of approval of the medical assistance state
  2  5 plan amendment submitted pursuant to section 2 of this Act.
  2  6 If the medical assistance state plan amendment is approved,
  2  7 the department of human services shall notify the Code editor
  2  8 of the date of approval.
  2  9                           EXPLANATION
  2 10    This bill provides an exemption to medical assistance
  2 11 program estate recovery.  The bill provides that an exemption
  2 12 may be granted if a descendant of a deceased medical
  2 13 assistance recipient asserts recovery against a deceased
  2 14 medical assistance recipient's homestead would be an undue
  2 15 hardship and the department of human services verifies that
  2 16 either the county assessor's appraisal value of the homestead
  2 17 is $100,000 or less or the heir has a gross family income
  2 18 below 300 percent of the federal poverty level.  The bill
  2 19 directs the department of human services to submit a medical
  2 20 assistance state plan amendment to amend the state's undue
  2 21 hardship exemptions criteria to include the new exemption,
  2 22 provides that the new exemption is effective only upon the
  2 23 date of approval of the state plan amendment, and provides
  2 24 that if approval is received the department of human services
  2 25 is to notify the Code editor of the date of approval.
  2 26 LSB 5568HH 81
  2 27 pf:nh/je/5