What's happening
This bill expands and updates the types and amounts of resources exempted when determining eligibility for New York public assistance programs.
Why it matters
Raises the resource limits. The bill increases the amount of cash and assets (like savings) that applicants can have and still qualify for public assistance, especially for seniors and those saving for vehicles or education, which encourages financial stability without immediate disqualification from aid.
Expands exemptions to modern assets. By exempting retirement accounts (IRAs, 401(k)s, 403(b)s, Keogh plans) and 529 college savings plans, the bill removes barriers for low-income individuals to save for long-term goals without jeopardizing their eligibility for assistance.
Modernizes support for work and education. Increases the amount people can set aside in special accounts for buying a car (needed for employment) and for postsecondary education, recognizing the real costs associated with work and self-improvement.
Reduces administrative burdens and penalties. By disregarding certain resources at both application and recertification, and clarifying that court-ordered child support paid is not counted as income, the bill aims to make the process fairer and less punitive for families trying to get ahead.
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Who cares
Headline styles
Protect Savings for Assistance Applicants
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to social services
- Reported and committed to finance
- Referred to social services
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Expand Welfare Asset Exemptions
In Assembly Committee · Ways And Means · Sponsor Andrew Hevesi
Full text
3 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
1161
2017-2018 Regular Sessions
IN SENATE
January 6, 2017
Introduced by Sen. CARLUCCI -- read twice and ordered printed, and when printed to be committed to the Committee on Social Services
AN ACT to amend the social services law, in relation to resource exemptions for applicants for public assistance programs; and to amend chapter 436 of the laws of 1997, constituting the welfare reform act of 1997, in relation to the effectiveness thereof
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 131-n of the social services law, as amended by section 16 of part B of chapter 436 of the laws of 1997, subdivision 1 as amended by section 1 of part X of chapter 54 of the laws of 2016 and subdivision 3 as amended by chapter 207 of the laws of 2001, is amended to read as follows:
§ 131-n. Exemption of income and resources. 1. The resources identified in subdivision two of this section shall be exempt and disregarded at application in calculating the amount of benefits of any applicant for any public assistance program. At recertification, resources delineated in subdivision two of this section shall not be taken into consideration when determining eligibility or calculating the amount of benefits of any recipient for any public assistance program.
2. The following resources shall be exempt and disregarded in calculating the amount of benefits of any [household under] applicant for any public assistance program: (a) cash and liquid or nonliquid resources up to [two] three thousand dollars, or [three] four thousand five hundred dollars in the case of households in which any member is sixty years of age or older, (b) an amount up to [four thousand six hundred fifty] seven thousand fifty dollars in a separate bank account established by an individual while currently in receipt of assistance for the sole purpose of enabling the individual to purchase a first or replacement vehicle for the recipient to seek, obtain or maintain employment, so long as the funds are not used for any other purpose, (c) an amount [up
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02403-01-7
S. 1161 2
to one thousand four] equal to the greater of five thousand one hundred sixty-five dollars or the maximum tuition assistance program award available for the current academic year in a separate bank account established by an individual while currently in receipt of assistance for the purpose of paying tuition at a two-year or four-year accredited post-secondary educational institution, so long as the funds are not used for any other purpose, (d) the home which is the usual residence of the household, (e) one automobile, up to ten thousand dollars fair market value, through March thirty-first, two thousand seventeen; one automobile, up to eleven thousand dollars fair market value, from April first, two thousand seventeen through March thirty-first, two thousand eighteen; and one automobile, up to twelve thousand dollars fair market value, beginning April first, two thousand eighteen and thereafter, or such other higher dollar value as the local social services district may elect to adopt, (f) one burial plot per household member as defined in department regulations, (g) bona fide funeral agreements [up to a total of one thousand five hundred dollars in equity value] per household member, (h) funds in an individual development account established in accordance with subdivision five of section three hundred fifty-eight of this chapter and section four hundred three of the social security act [and], (i) [for a period of six months,] any real property which the household is making a good faith effort to sell, in accordance with department regulations and tangible personal property necessary for business or for employment purposes in accordance with department regulations, (j) retirement accounts, including but not limited to individual retirement accounts, 401(k)'s, 403(b)'s, and keogh plans; and (k) all 529 college savings plans. If federal law or regulations require the exemption or disregard of additional income and resources in determining need for family assistance, or medical assistance not exempted or disregarded pursuant to any other provision of this chapter, the department may, by regulations subject to the approval of the director of the budget, require social services officials to exempt or disregard such income and resources. Refunds resulting from earned income tax credits shall be disregarded in public assistance programs. Court ordered child support which is paid or withheld from income shall not be considered available income.
[2.] 3. If and to the extent permitted by federal law and regulations, amounts received under section 105 of Public Law 100-383 as reparation payments for internment of Japanese-Americans and payments made to individuals because of their status as victims of Nazi persecution as defined in P.L. 103-286 shall be exempt from consideration as income or resources for purposes of determining eligibility for and the amount of benefits under any program provided under the authority of this chapter and under title XX of the Social Security Act.
4. Ownership of all other personal property not exempt in subdivisions two and three of this section, shall be evaluated based upon its equity value.
[3.] 5. The department is authorized to establish regulations defining income and resources, consistent with this section. [The department is further authorized to promulgate regulations it deems necessary to prevent the improper establishment and use of accounts for purchase of first or replacement vehicles.]
§ 2. Subdivision (c) of section 153 of part B of chapter 436 of the laws of 1997, constituting the welfare reform act of 1997, as amended by chapter 187 of the laws of 2015, is amended to read as follows:
S. 1161 3
(c) Section sixteen of this act shall take effect November 1, 1997 [and expire and be deemed repealed August 22, 2017].
§ 3. This act shall take effect immediately; provided, however, that section one of this act shall take effect on the first of April next succeeding the date on which it shall have become a law.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the social services law, in relation to resource exemptions for applicants for public assistance programs; and to amend chapter 436 of the laws of 1997, constituting the welfare reform act of 1997, in relation to the effectiveness thereof
Purpose or general idea of bill
The bill would amend the income and resources exemptions provisions of § 131-n o the Social Services Law (SSL) to ensure that applicants do not have to divest themselves of certain resources to qualify for public assistance.
Summary of specific provisions
Section one of the bill would amend SSL § 131-n.
Section two of the bill would provide for an April 1 next succeeding the date on which it shall have become law.
Justification
As a critical component of improving the economic well-being of low income families, the Office of Temporary and Disability Assistance has had a long standing policy that households in receipt of public assistance should have certain resources exempt from consideration when determining eligibility for public assistance. This bill would update and expand the resources that an applicant of public assisstance may possess without affecting eligibility for assistance. The resources covered by the exemption include savings accounts; the home that is the usual residence of the household; one automobile per driver in the household; one burial plot per household member; bona fide funeral agreements; retirement accounts, including but not limited to Individual Retirement Accounts, 401(k)s, 403(b)s, and Keogh plans; and (k) all 529 college savings plan, and other resources. The resource exemptions amended in this bill are reflect updates that take into account inflation as well as the understanding that when households are able to have certain resources exempt from consideration when applying for public assistance, the resources are often an essential component of getting off of public assistance and achieving self-sufficiency.
Prior legislative history
2015-16: S7787/A10312 - finance/ways and means
Fiscal implications
Undetermined.
Effective date
April 1 next succeeding the date on which it shall have become law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.