AN ACT relating to Supplemental Nutrition Assistance Program eligibility.

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AN ACT relating to Supplemental Nutrition Assistance Program eligibility. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
Section 1. KRS 205.178 is amended to read as follows: 3
(1) At a regularly scheduled interval, each enrollment or benefit tracking agency 4
associated with the Medicaid program or the Supplemental Nutrition Assistance 5
Program of the cabinet shall receive and review information from the Kentucky 6
Lottery Corporation concerning individuals enrolled as recipients in the Medicaid 7
program or the Supplemental Nutrition Assistance Program that may 8
indicate[indicates] a change in circumstances that would[may] affect eligibility, 9
including but not limited to changes in income or resources. 10
(2) On at least a monthly basis, each enrollment or benefit tracking agency associated 11
with the Medicaid program or the Supplemental Nutrition Assistance Prog ram of 12
the cabinet shall receive and review information from the Vital Statistics Branch 13
concerning individuals enrolled in the Medicaid program or the Supplemental 14
Nutrition Assistance Program that may indicate [indicates] a change in 15
circumstances that would[may] affect eligibility. 16
(3) On at least a quarterly basis, each enrollment or benefit tracking agency associated 17
with the Medicaid program or the Supplemental Nutrition Assistance Program of 18
the cabinet shall receive and review information from the Ke ntucky Office of 19
Unemployment Insurance concerning individuals enrolled in the Medicaid program 20
or the Supplemental Nutrition Assistance Program that may indicate [indicates] a 21
change in circumstances that would[may] affect eligibility, including but not 22
limited to changes in employment or wages. 23
(4) On at least a quarterly basis, each enrollment or benefit tracking agency associated 24
with the Medicaid program or the Supplemental Nutrition Assistance Program of 25
the cabinet shall receive and review information concerning individuals enrolled in 26
the Medicaid program or the Supplemental Nutrition Assistance Program that 27
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indicates a change in circumstances that may affect eligibility, including but not 1
limited to potential changes in residency as identified by out -of-state electronic 2
benefit transfer transactions. 3
(5) On at least a quarterly basis, each enrollment or benefit tracking agency 4
associated with the Supplemental Nutrition Assistance Program of the cabinet 5
shall receive and review information concerning individuals enrolled in the 6
Supplemental Nutrition Assist ance Program that may indicate a change in 7
circumstances that would affect eligibility, including but not limited to potential 8
changes in employment or wages as identified by the state directory of new hires. 9
(6) On at least a monthly basis, each enrollmen t or benefit tracking agency 10
associated with the Supplemental Nutrition Assistance Program of the cabinet 11
shall receive and review information concerning individuals enrolled in the 12
Supplemental Nutrition Assistance Program to assess continuing eligibility , 13
including information on: 14
(a) Earned income, death, incarceration, supplemental security income, 15
beneficiary records, and pension information maintained by the United 16
States Social Security Administration; 17
(b) Income and employment information maintained by the National Directory 18
of New Hires database and child support enforcement data maintained by 19
the United States Department of Health and Human Services; 20
(c) Payment and earnings information maintained by the United States 21
Department of Housing and Urban Development; 22
(d) National fleeing felon information maintained by the United States Federal 23
Bureau of Investigation; and 24
(e) Address change information maintained in the United States Postal Service 25
National Change of Address database. 26
(7)[(5)] Notwithstanding any other provision of law to the contrary: 27
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(a) The cabinet and each enrollment or benefit tracking agency associated with 1
the Medicaid program or the Supplemental Nutrition Assistance Program [ of 2
the cabinet] shall enter into a memorandum of unders tanding with any 3
department, agency, or division for information detailed in this section; and 4
(b) Any department, agency, or division for information detailed in this section, 5
including but not limited to the Kentucky Lottery Corporation, the Vital 6
Statistics Branch, the Office of Unemployment Insurance, and the Department 7
for Community Based Services, shall enter into any necessary memoranda of 8
understanding with the enrollment or benefit tracking agency associated with 9
the Medicaid program or the Supplem ental Nutrition Assistance Program 10
requesting an agreement pursuant to paragraph (a) of this subsection. 11
(8)[(6)] The cabinet and each enrollment or benefit tracking agency associated with 12
the Medicaid program or the Supplemental Nutrition Assistance Progr am[ of the 13
cabinet] may contract in accordance with KRS Chapter 45A with one (1) or more 14
independent vendors to provide additional data or information that may indicate a 15
change in circumstances that may affect eligibility. 16
(9)[(7)] The cabinet and each enrollment or benefit tracking agency associated with 17
the Medicaid program or the Supplemental Nutrition Assistance Program [ of the 18
cabinet] shall explore joining any multistate cooperative to identify individuals who 19
are also enrolled in public assistance programs outside of this state. 20
(10)[(8)] If the cabinet or an enrollment or benefit tracking agency associated with the 21
Medicaid program or the Supplemental Nutrition Assistance Program [ of the 22
cabinet] receives information concerning an individual enrolle d in the Medicaid 23
program or the Supplemental Nutrition Assistance Program that may 24
indicate[indicates] a change in circumstances that would[may] affect eligibility, the 25
cabinet or enrollment or benefit tracking agency or other appropriate agency shall 26
review the individual's case. 27
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(11)[(9)] (a) Unless expressly required by federal law or as permitted by this 1
subsection, the cabinet shall not seek, apply for, accept, or renew any waiver 2
of work requirements established by the Supplemental Nutrition Assistan ce 3
Program under 7 U.S.C. sec. 2015(o) without first obtaining specific 4
authorization from the General Assembly to do so. The cabinet may, without 5
first obtaining specific authorization from the General Assembly, request: 6
1. A waiver of Supplemental Nutrit ion Assistance Program work 7
requirements for a county in which the unemployment rate is equal to or 8
greater than ten percent (10%); 9
2. A waiver of Supplemental Nutrition Assistance Program work 10
requirements in a county in which the cabinet determines that other 11
economic conditions are severe enough to necessitate a waiver; or 12
3. A statewide waiver of Supplemental Nutrition Assistance Program work 13
requirements if the state's unemployment rate is equal to or greater than 14
ten percent (10%). 15
(b) The cabinet sha ll not exercise the state's option under 7 U.S.C. sec. 16
2015(o)(6)(F). 17
(c) The cabinet may assign individuals who are subject to work requirements 18
under 7 U.S.C. sec. 2015(d)(1) to an employment and training program as 19
defined in 7 U.S.C. sec. 2015(d)(4). 20
(12)[(10)] The cabinet shall, in accordance with KRS Chapter 13A, promulgate[ all rules 21
and] administrative regulations necessary for the purposes of carrying out this 22
section. 23
(13)[(11)] Upon request from the Legislative Research Commission, the Cabinet for 24
Health and Family Services shall submit a report relating to the number of 25
individuals discovered utilizing services inappropriately, the number of individuals 26
who were removed from one (1) or more public assistance programs as a result of a 27
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review pursuant to this section, and the amount of public funds preserved in total 1
and by public assistance program and aggregated by prior years. 2
Section 2. KRS 205.200 is amended to read as follows: 3
(1) A needy aged person, a needy blind person, a needy child, a needy permanently and 4
totally disabled person, or a person with whom a needy child lives shall be eligible 5
to receive a public assistance grant only if he or she has made a proper application 6
or an application has been made on his or her behalf in the manner and form 7
prescribed by administrative regulation. No individual shall be eligible to receive 8
public assistance under more than one (1) category of public assistance for the same 9
period of time. 10
(2) The secretary shall, by administrative regulations promulgated in accordance with 11
KRS Chapter 13A , prescribe the conditions of eligibility for public assistance in 12
conformity with the public assistance titles of the Social Security Act, its 13
amendments, and other federal acts and regulations. The secretary shall also 14
promulgate administrative regulations in accordance with KRS Chapter 13A to 15
allow for between a forty percent (40%) and a forty -five percent (45%) ratable 16
reduction in the method of calculating eligibility and benefits for public assistance 17
under Title IV -A of the Federal Social Security Act. In no instance shall grants to 18
families with no income be less than the appropriate grant maximum used for 19
public assistance under Title IV -A of the Federal Social Security Act. As used in 20
this section, "ratable reduction" means the percentage reduction applied to the 21
deficit between the family's countable income and the standard of need for the 22
appropriate family size. 23
(3) The secretary may by administrative regulation promulgated in accordance with 24
KRS Chapter 13A require[ prescribe] as a condition of eligibility that a needy child 25
regularly attend school, and may further by administrative regulation 26
require[prescribe] the degree of relationship of the person or persons in whose 27
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home such needy child must reside. 1
(4) The secretary may by administrative regulation promulgated in accordance with 2
KRS Chapter 13A prescribe conditions for bringing paternity proceedings or 3
actions for support in cases of out of wedlock birth or nonsupport by a parent in the 4
public assistance under Title IV-A of the Federal Social Security Act program. 5
(5) Public assistance shall not be payable to or in behalf of any individual who has 6
taken any legal action in his or her own behalf or in the behalf of others with the 7
intent and purpose of creating eligibility for the assistance. 8
(6) The cabinet shall promptly notify the appropriate l aw enforcement officials of the 9
furnishing of public assistance under Title IV -A of the Federal Social Security Act 10
in respect to a child who has been deserted or abandoned by a parent. 11
(7) A[No] person shall not be eligible for public assistance payments if, after having 12
been determined to be potentially responsible, and afforded notice and opportunity 13
for hearing, he or she refuses without good cause: 14
(a) To register for employment with the state employment service, 15
(b) To accept suitable training, or 16
(c) To accept suitable employment. 17
The secretary may prescribe by administrative regulation in accordance with [, 18
subject to the provisions of] KRS Chapter 13A, standards of suitability for training 19
and employment. 20
(8) To the extent permitted by federal law, scholarships, grants, or other types of 21
financial assistance for education shall not be considered as income for the purpose 22
of determining eligibility for public assistance. 23
(9) To the extent permitted by federal law, any money received because of a settl ement 24
or judgment in a lawsuit brought against a manufacturer or distributor of "Agent 25
Orange" for damages resulting from exposure to "Agent Orange" by a member or 26
veteran of the Armed Forces of the United States or any dependent of such person 27
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who served in Vietnam shall not be considered as income for the purpose of 1
determining eligibility or continuing eligibility for public assistance and shall not be 2
subject to a lien or be available for repayment to the Commonwealth for public 3
assistance received by the recipient. 4
(10) (a) For the purpose of determining eligibility for medical assistance under Title 5
XIX of the Social Security Act, unless otherwise required by federal law, the 6
cabinet shall only accept self -attestation of income, residency, age, househo ld 7
composition, caretaker or relative status, or receipt of other coverage as 8
verification of last resort prior to enrollment, and the cabinet shall not request 9
federal authorization or approval to waive or decline to periodically check any 10
available income-related data source to verify eligibility. 11
(b) This subsection shall not apply to any individual who is a resident of an 12
assisted living community as defined in KRS 194A.700 or to a long -term care 13
facility as defined in KRS 216A.010 or hospital licensed under KRS Chapter 14
216B that is using self-attestation to determine presumptive eligibility. 15
(c) If an individual for medical assistance under Title XIX of the Social Security 16
Act willingly and knowingly self -attests to falsified information related to 17
income, residency, age, household composition, caretaker or relative status, or 18
receipt of other coverage, the cabinet may fine the individual not more than 19
five hundred dollars ($500) per offense. 20
(11) When determining whether an applicant for services or ass istance provided under 21
this chapter meets the applicable income eligibility guidelines, the cabinet shall use 22
the most recent income verification data available and consider fluctuating 23
employment income data. 24
(12) If in the normal course of operations, th e cabinet finds that an individual has 25
trafficked, sold, distributed, given, or otherwise transferred an electronic benefit 26
transfer card issued by the department for money, service, or other valuable 27
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consideration, the cabinet, to the extent permitted under state and federal law: 1
(a) Shall through any means practical, including but not limited to garnishment of 2
future cash assistance benefits, seek recoupment from the individual of any 3
cash benefits trafficked, sold, distributed, given, or otherwise transferred; and 4
(b) May: 5
1. Upon the first violation, deem the individual ineligible for all public 6
assistance programs administered by the cabinet under this chapter for a 7
period of not more than six (6) months; 8
2. Upon the second violation, deem the individua l ineligible for all public 9
assistance programs administered by the cabinet under this chapter for a 10
period of not more than twelve (12) months; and 11
3. Upon the third violation, deem the individual ineligible for all public 12
assistance programs administered by the cabinet under this chapter for a 13
period of not more than five (5) years. 14
(13) (a) Notwithstanding any other provision of Kentucky law, the following shall be 15
disregarded for the purposes of determining an individual's eligibility for a 16
means-tested public assistance program, and the amount of assistance or 17
benefits the individual is eligible to receive under the program: 18
1. Any amount in an ABLE account; 19
2. Any contributions to an ABLE account; and 20
3. Any distribution from an ABLE account for qualif ied disability 21
expenses. 22
(b) For purposes of this subsection: 23
1. "ABLE account" means an account established within any state having a 24
qualified ABLE program as provided in 26 U.S.C. sec. 529A, as 25
amended; 26
2. "Kentucky law" includes: 27
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a. All provisions of the Kentucky Revised Statutes: 1
b. Any contract to provide Medicaid managed care established 2
pursuant to this chapter; 3
c. Any agreement to operate a Medicaid program established 4
pursuant to this chapter; and 5
d. Any administrative regulation promulgated pursuant to this 6
chapter; and 7
3. "Qualified disability expenses" means expenses described in 26 U.S.C. 8
sec. 529A of a person who is the beneficiary of an ABLE account. 9
(14) (a) Residency shall not be established fo r an individual if the individual relocates 10
to Kentucky with the sole intention of establishing eligibility to receive 11
medical services, including substance use disorder treatment services under 12
this chapter. 13
(b) An individual may rebut the sole intention of paragraph (a) of this subsection 14
by showing proof of residency. Proof of residency shall include but not be 15
limited to the possession of a valid Kentucky operator's license or a copy of a 16
deed or property tax bill, utility agreement or bill, or rental h ousing 17
agreement. 18
(15) (a) When determining eligibility for the Supplemental Nutrition Assistance 19
Program, the cabinet shall not: 20
1. Grant categorical eligibility under 7 U.S.C. sec. 2014(a) or 7 C.F.R. 21
sec. 273.2(j)(2)(ii) for any noncash or in-kind services, or other benefit 22
unless expressly required by federal law; 23
2. Apply gross income standards higher than the standards specified in 7 24
U.S.C. sec. 2014(c) or allowable financial resources higher than the 25
standards specified in 7 U.S.C. sec. 2014(g)(1), e xcept as provided in 26
paragraph (b) of this subsection, unless expressly required by federal 27
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law; or 1
3. Grant categorical eligibility, exempting households from such gross 2
income standards or allowable financial resource standards for any 3
noncash or in -kind services, or other benefits, unless expressly 4
required by federal law. 5
(b) The cabinet may apply alternate vehicle allowance standards, in accordance 6
with 7 U.S.C. sec. 2014(g)(2)(D) when counting allowable financial 7
resources and household income for pur poses of determining Supplemental 8
Nutrition Assistance Program eligibility. 9
(c) 1. Unless otherwise prohibited by federal law, the cabinet shall assign 10
certification periods of no greater than four (4) months for households 11
enrolled in the Supplemental Nutrition Program: 12
a. With zero net income; or 13
b. That includes an able-bodied adult without dependents. 14
2. The limitations established in subparagraph 1. of this paragraph shall 15
not apply to any household that includes an elderly or disabled 16
member. 17
3. The c abinet may shorten the certification period upon a 18
determination, based on documented and specific changes in a 19
household's circumstances, that the household is likely to become 20
ineligible before the end of the assigned certification period. 21
(d) The cabinet shall promulgate administrative regulations in accordance with 22
KRS Chapter 13A to implement this subsection. 23
(16) (a) Pursuant to 7 U.S.C. sec. 2015(f), an individual shall not be eligible to 24
receive Supplemental Nutrition Assistance Program benefits unl ess the 25
individual is a resident of the United States and is: 26
1. A citizen or national of the United States; 27
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2. An alien lawfully admitted for permanent residence as an immigrant, 1
as defined in 8 U.S.C. sec. 1101(a)(15) and (20) and U. S.C. 2
sec.1641(b)(1), excluding alien visitors, tourists, diplomats, students, 3
or other individuals admitted temporarily without intent to abandon 4
their residence in a foreign country; 5
3. An alien who has been granted the status of a Cuban or Haitian 6
entrant, as defined in Sec tion 501(e) of the Refugee Education 7
Assistance Act of 1980 Pub. L. No. 96 -422, and 8 U. S. C. sec. 8
1641(b)(7); or 9
4. An individual lawfully residing in the United States in accordance 10
with a Compact of Free Association, as referenced in 8 U.S.C. sec. 11
1612(b)(2)(G). 12
(b) The cabinet shall be required to verify that an individual is eligible to 13
participate in the Supplemental Nutrition Assistance Program pursuant to 7 14
U.S.C. sec. 2015(f) and paragraph (a) of this subsection during enrollment 15
and eligibility r ecertification by requiring the individual to provide an 16
acceptable form of proof of citizenship or eligible alien status including but 17
not limited to: 18
1. Birth or hospital record; 19
2. Voter registration card; 20
3. United States passport; or 21
4. United States Customs and Immigration Service documentation. 22
(c) The cabinet shall verify that an applicant or enrollee of the Supplemental 23
Nutrition Assistance Program is eligible pursuant to paragraph (a) of this 24
subsection thr ough the Systematic Alien Verification for Entitlements 25
Program operated by the United States Department of Homeland Security 26
and any other verification system at the time of application, at each 27
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eligibility recertification, and whenever information is rec eived indicating a 1
change in circumstances affecting eligibility related to citizenship or 2
immigration status. 3
(d) A match through any electronic or data verification system shall not, by 4
itself, be accepted as proof of identity. Every applicant for the Su pplemental 5
Nutrition Assistance Program shall be required to provide documentary 6
proof pursuant to paragraph (b) of this subsection. 7
(e) 1. If the cabinet confirms through verification that an applicant or 8
enrollee for the Supplemental Nutrition Assistance Program is not 9
lawfully present in the United States or no longer qualifies pursuant to 10
7 U.S.C. sec. 2015(f), 8 U.S.C. sec. 1641(b), and paragraph (a) of this 11
subsection, or any successor provision of state or federal law, the 12
cabinet shall immediately t erminate future Supplemental Nutrition 13
Assistance Program benefits and initiate disenrollment. 14
2. An applicant who is subject to termination and disenrollment pursuant 15
to subparagraph 1. of this paragraph but whose lawful presence or 16
eligible alien status is pending verification may receive temporary 17
benefits only for the minimum period required under federal law, or, if 18
no minimum period is specified, for a period not to exceed ninety (90) 19
days from the date of the original verification request. 20
(f) The ca binet shall submit to the United States Department of Agriculture 21
information concerning any household member for whom it is unable to 22
verify under paragraph (a) of this subsection, regardless of whether such 23
household member is applying to participate in the program as a member of 24
the household. 25
(g) Notwithstanding any options provided under 7 C.F.R. sec. 273.11(c)(3), 26
when administering Supplemental Nutrition Assistance Program benefits, 27
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including eligibility and household benefit allotment, the cabinet s hall not 1
prorate or exclude the income or financial resources of individuals 2
ineligible under paragraph (a) of this subsection who are members of the 3
household. All such income and resources shall be fully considered. 4