I

103D CONGRESS

1ST SESSION H. R. 3009

To amend titles XVI and XIX of the Social Security Act to improve work

incentives for people with disabilities.

IN THE HOUSE OF REPRESENTATIVES

AUGUST 6, 1993

Mr. STARK (for himself and Mr. RAMSTAD) introduced the following bill;

which was referred jointly to the Committees on Ways and Means and

Energy and Commerce

A BILL

To amend titles XVI and XIX of the Social Security Act

to improve work incentives for people with disabilities.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Work Incentives

5 Amendments of 1993’’.

6 SEC. 2. TABLE OF CONTENTS.

7 The table of contents is as follows:

Sec. 1. Short title.

Sec. 2. Table of contents.

TITLE I—ACCESS TO SSI WORK INCENTIVES

Sec. 101. Access to work incentives under SSI for SSDI-only recipients who

lose eligibility for SSDI benefits because of working.
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TITLE II—WORK INCENTIVES WAIVER AUTHORITY

Sec. 201. Eligibility of certain individuals with disabilities for coverage under

Medicaid home and community-based care waivers.

Sec. 202. Waiver authority.

TITLE III—AMENDMENTS TO WORK INCENTIVES PROVISIONS

Sec. 301. Disregard deemed income of eligible spouse when determining continued Medicaid eligibiity under section 1619(b).

Sec. 302. Continuation of Medicaid for the aged who lose SSI due to excessive

earnings.

Sec. 303. Self-support plans not disapproved within 30 days to be deemed approved.

Sec. 304. Regulations regarding completion of self-support plans.

Sec. 305. Exclusion of income and resources under self-support plans in determining Medicaid eligibility in ‘‘section 209(b)’’ States.

Sec. 306. Expansion of self-support plans to include housing goals.

Sec. 307. Self-support plans for the aged.

Sec. 308. Additional State supplementation requirement.

Sec. 309. Treatment of unemployment compensation, worker’s compensation,

and sick pay as earned income for SSI purposes.

Sec. 310. Treatment of certain grant, scholarship, or fellowship income as

earned income for SSI purposes.

Sec. 311. SSI eligibility for students temporarily abroad.

TITLE IV—EFFECTIVE DATE

Sec. 401. Effective date.

1 TITLE I—ACCESS TO SSI WORK

2 INCENTIVES

3 SEC. 101. ACCESS TO WORK INCENTIVES UNDER SSI FOR

4 SSDI-ONLY RECIPIENTS WHO LOSE ELIGI5 BILITY FOR SSDI BENEFITS BECAUSE OF

6 WORKING.

7 (a) IN GENERAL.—Section 1619 of the Social Secu8 rity Act (42 U.S.C. 1382h) is amended—

9 (1) in subsection (a), by adding at the end the

10 following:

11 ‘‘(3) Notwithstanding paragraph (1) of this sub12 section, a qualified individual shall not be required to have
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1 been eligible to receive benefits under section 1611 (or a

2 State supplementary payment) for a month in order to

3 qualify for a monthly benefit under this subsection.’’;

4 (2) in subsection (b)—

5 (A) in paragraph (1), by inserting ‘‘(or, in

6 the case of a qualified individual, because of his

7 or her resources)’’; and

8 (B) by adding at the end the following:

9 ‘‘(4)(A) The requirement in paragraph (1) of this

10 subsection, that an individual have been eligible to receive

11 a benefit under section 1611 or any federally administered

12 State supplementary payment for a month, shall not apply

13 to any qualified individual.

14 ‘‘(B) In applying paragraph (1) of this subsection to

15 a qualified individual, the Secretary shall, for 12-month

16 period beginning 3 months after the end of the individual’s

17 period of trial work (as defined in section 222(c)), dis18 regard that portion of the resources of the individual, as

19 of the beginning of such 12-month period, that exceeds

20 the amount which would otherwise result in the ineligibil21 ity of the individual for benefits under this title.’’; and

22 (3) by adding at the end the following:

23 ‘‘(e) As used in this section, the term ‘qualified indi24 vidual’ means an individual—
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1 ‘‘(1) who has been entitled to benefits under

2 subsection (d), (e), or (f) of section 202 based on

3 disability, or disability insurance benefits under sec4 tion 223;

5 ‘‘(2) whose termination month (as defined in

6 section 223(a)(1)) has not commenced; and

7 ‘‘(3) who files an application for benefits under

8 this title during the 3-month period immediately fol9 lowing the individual’s period of trial work (as de10 fined in 222(c)).’’.

11 (b) EFFECTIVE DATE.—The amendments made by

12 subsection (a) shall take effect on the date of the enact13 ment of this Act, and shall apply with respect to periods

14 of trial work (as defined in 222(c) of the Social Security

15 Act) ending on or after the date that is 3 months before

16 such date of enactment.

17 TITLE II—WORK INCENTIVES

18 WAIVER AUTHORITY

19 SEC. 201. ELIGIBILITY OF CERTAIN INDIVIDUALS WITH DIS20 ABILITIES FOR COVERAGE UNDER MEDICAID

21 HOME AND COMMUNITY-BASED CARE WAIV22 ERS.

23 (a) IN GENERAL.—Section 1915(c) of the Social Se24 curity Act (42 U.S.C. 1396n(c)) is amended by adding at

25 the end the following new paragraph:
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1 ‘‘(11)(A) At the request of a State, the State plan

2 may provide services under a waiver under this subsection

3 to any individual described as follows (but only if such

4 individual would otherwise be entitled to services under the

5 waiver):

6 ‘‘(i) An individual who receives benefits under

7 subsection (d), (e), or (f) of section 202 based on

8 disability, or disability insurance benefits under sec9 tion 223.

10 ‘‘(ii) An individual who would be entitled to

11 benefits under subsection (d), (e), or (f) of section

12 202 based on disability, disability insurance benefits

13 under section 223, or benefits under section 1611

14 through the application of section 1619, if the indi15 vidual’s earnings did not exceed the applicable cri16 teria used by the Secretary to determine whether an

17 individual has demonstrated an ability to engage in

18 substantial gainful activity.

19 ‘‘(B) In the case of an individual described in sub20 paragraph (A)(ii), a waiver under this subsection may also

21 include a waiver of the provisions of section 1903(f)(4)(C)

22 requiring the Secretary to disregard subsection (b) of sec23 tion 1612 in determining whether the individual’s income

24 exceeds 300 percent of the supplemental security income

25 benefit rate established by section 1611(b)(1).’’.
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1 (b) EFFECTIVE DATE.—The amendment made by

2 subsection (a) shall apply to waivers under section 1915(c)

3 of the Social Security Act for quarters beginning 90 or

4 more days after the date of the enactment of this Act.

5 SEC. 202. WAIVER AUTHORITY.

6 Part A of title XVI of the Social Security Act (42

7 U.S.C. 1381–1382j)) is amended by adding at the end the

8 following:

9 ‘‘SEC. 1622. WORK INCENTIVES.

10 ‘‘(a) REQUEST.—For the purpose of enabling individ11 uals who are aged, blind, or disabled individuals to work,

12 any State may request the Secretary to apply subsection

13 (c) with respect to the residents of the State.

14 ‘‘(b) PROVISION OF WORK INCENTIVES.—The Sec15 retary shall apply subsection (c) with respect to the resi16 dents of a State that has submitted a request under sub17 section (a) if the Secretary finds that doing so would be

18 cost-effective and efficient and not inconsistent with the

19 purposes of this title, and would encourage work by indi20 viduals with severe disabilities.

21 ‘‘(c) NATURE OF WORK INCENTIVES.—In determin22 ing whether any resident of the State is eligible for bene23 fits under this title and, if so, the amount of such bene24 fits—

25 ‘‘(1) section 1612(b)(4) shall be applied—
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1 ‘‘(A) by substituting ‘not more than

2 $2,400 (as agreed upon by the Secretary and

3 the State in which the individual resides)’ for

4 ‘$780’ each place such term appears; and

5 ‘‘(B) by substituting ‘one-third’ for ‘one6 half’ each place such term appears; and

7 ‘‘(2) earned income shall be excluded under sec8 tion 1612(b) only pursuant to paragraphs (1),

9 (2)(A), and (4) of such section.’’.

10 TITLE III—AMENDMENTS TO

11 WORK INCENTIVES PROVISIONS

12 SEC. 301. DISREGARD DEEMED INCOME OF INELIGIBLE

13 SPOUSE WHEN DETERMINING CONTINUED

14 MEDICAID ELIGIBIITY UNDER SECTION

15 1619(b).

16 Section 1614(f)(1) of the Social Security Act (42

17 U.S.C. 1382c(f)(1)) is amended by inserting ‘‘(other than

18 under section 1619(b))’’ after ‘‘benefits’’.

19 SEC. 302. CONTINUATION OF MEDICAID FOR THE AGED

20 WHO LOSE SSI DUE TO EXCESSIVE EARNINGS.

21 Section 1619 of the Social Security Act (42 U.S.C.

22 1382h) is amended by adding at the end the following:

23 ‘‘(e) For purposes of title XIX, any individual who

24 was determined to be an eligible individual (or eligible

25 spouse) by reason of age and was eligible to receive bene-
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1 fits under section 1611 (or a federally administered State

2 supplementary payment) for a month, and who becomes

3 ineligible to receive such benefits for a subsequent month

4 solely due to excessive income shall, neverthelesss, be con5 sidered to be receiving supplemental security income bene6 fits for so long as the individual continues to be otherwise

7 eligible for benefits under this title.’’.

8 SEC. 303. SELF-SUPPORT PLANS NOT DISAPPROVED WITH9 IN 30 DAYS TO BE DEEMED APPROVED.

10 (a) AMENDMENTS TO INCOME EXCLUSION RULES.—

11 Section 1612(b)(4) of the Social Security Act (42 U.S.C.

12 1382a(b)(4)(A)) is amended in each of subparagraphs (A)

13 and (B) by inserting ‘‘and, for purposes of this clause,

14 a plan for self-support which is not disapproved by the

15 Secretary within 30 days after the date of submission shall

16 be deemed to be approved by the Secretary until subse17 quently disapproved by the Secretary,’’ after ‘‘plan,’’.

18 (b) AMENDMENT TO RESOURCE EXCLUSION

19 RULE.—Section 1613(a)(4) of such Act (42 U.S.C.

20 1382b(a)(4)) is amended by inserting ‘‘and, for purposes

21 of this paragraph, a plan for self-support which is not dis22 approved by the Secretary within 30 days after the date

23 of submission shall be deemed to be approved by the Sec24 retary until subsequently disapproved by the Secretary,’’

25 after ‘‘such plan’’.
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1 SEC. 304. REGULATIONS REGARDING COMPLETION OF

2 SELF-SUPPORT PLANS.

3 Section 1633 of the Social Security Act (42 U.S.C.

4 1383b) is amended by adding at the end the following:

5 ‘‘(d) The Secretary shall establish a time limit by

6 which activities under a plan for achieving self-support

7 must be completed, using criteria that take into account

8 the difficulty of achieving self-support based on the needs

9 of the individual and the goals of the plan.’’.

10 SEC. 305. EXCLUSION OF INCOME AND RESOURCES UNDER

11 SELF-SUPPORT PLANS IN DETERMINING

12 MEDICAID ELIGIBILITY IN ‘‘SECTION 209(b)’’

13 STATES.

14 (a) IN GENERAL.—

15 (1) DETERMINATION OF INCOME.—The first

16 sentence of section 1902(f) of the Social Security

17 Act (42 U.S.C. 1396a(f)) is amended—

18 (A) by striking ‘‘and incurred expenses’’

19 and inserting ‘‘incurred expenses’’; and

20 (B) by striking ‘‘thereof)’’ and inserting

21 the following: ‘‘thereof, and any income of an

22 individual with a plan for achieving self-support

23 approved by the Secretary under section

24 1612(b)(4))’’.

25 (2) DETERMINATION OF RESOURCES.—The

26 first sentence of such section is amended by striking
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1 ‘‘is not’’ and inserting the following: ‘‘and the re2 sources of any such individual (excluding any re3 sources excluded under a plan for achieving self-sup4 port approved by the Secretary under section

5 1613(a)(4)) are not’’.

6 (b) EFFECTIVE DATE.—The amendments made by

7 subsection (a) shall apply to quarters beginning on or

8 after the expiration of the 90-day period that begins on

9 the date of the enactment of this Act.

10 SEC. 306. EXPANSION OF SELF-SUPPORT PLANS TO IN11 CLUDE HOUSING GOALS.

12 Section 1612(b)(4) of the Social Security Act (42

13 U.S.C. 1382a(b)(4)) is amended in each of subparagraphs

14 (A)(iii) and (B)(iv), by inserting ‘‘, containing a career

15 or housing goal, that has been’’ before ‘‘approved’’ and

16 Section 1613(a)(4) of the Social Security Act (42 U.S.C.

17 1382b(a)(4)) is amended by inserting ‘‘, containing a ca18 reer or housing goal, that has been’’ before ‘‘approved’’.

19 SEC. 307. SELF-SUPPORT PLANS FOR THE AGED.

20 (a) INCOME EXCLUSION.—Section 1612(b)(4) of the

21 Social Security Act (42 U.S.C. 1382a(b)(4) is amended—

22 (1) in subparagraph (A), by striking the comma

23 at the end and inserting ‘‘; or’’

24 (2) in subparagraph (B)—
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1 (A) by striking ‘‘(and has not’’ and all that

2 follows through ‘‘age 65),’’ and inserting ‘‘, or

3 has attained age 65’’;

4 (B) in clause (ii), by inserting ‘‘in the case

5 of such a disabled individual (or spouse),’’ after

6 ‘‘(ii)’’; and

7 (C) in clause (iv), by striking ‘‘, or’’ and

8 inserting a semicolon; and

9 (3) by striking subparagraph (C).

10 (b) RESOURCE EXCLUSION.—Section 1613(a)(4) of

11 such Act (42 U.S.C. 1382b(a)(4)) is amended by striking

12 ‘‘who is blind or disabled and’’.

13 SEC. 308. ADDITIONAL STATE SUPPLEMENTATION RE14 QUIREMENT.

15 Section 1616 of the Social Security Act (42 U.S.C.

16 1382e) is amended—

17 (1) in subsection (b)(1), by inserting ‘‘(or, by

18 reason of section 1619, are considered to be)’’ before

19 ‘‘receiving’’; and

20 (2) in subsection (c), by striking paragraph (3).

21 SEC. 309. TREATMENT OF UNEMPLOYMENT COMPENSA22 TION, WORKER’S COMPENSATION, AND SICK

23 PAY AS EARNED INCOME FOR SSI PURPOSES.

24 Section 1612(a)(1) of the Social Security Act (42

25 U.S.C. 1382a(a)(1)) is amended—
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1 (1) by striking ‘‘and’’ at the end of subpara2 graph (D); and

3 (2) by adding at the end the following:

4 ‘‘(F) unemployment compensation benefits

5 and worker’s compensation benefits paid under

6 any Federal or State law, and benefits paid to

7 an individual as compensation for sick leave not

8 taken by the individual; and’’.

9 SEC. 310. TREATMENT OF CERTAIN GRANT, SCHOLARSHIP,

10 OR FELLOWSHIP INCOME AS EARNED IN11 COME FOR SSI PURPOSES.

12 Section 1612(a)(1) of the Social Security Act (42

13 U.S.C. 1382a(a)(1)), as amended by section 309 of this

14 Act, is amended—

15 (1) by striking ‘‘and’’ at the end of subpara16 graph (E); and

17 (2) by adding at the end the following:

18 ‘‘(G) any grant, scholarship, or fellowship

19 described in section 1612(b)(7) to the extent

20 not excluded from income pursuant to such sec21 tion.’’.

22 SEC. 311. SSI ELIGIBILITY FOR STUDENTS TEMPORARILY

23 ABROAD.

24 Section 1611(f) of the Social Security Act (42 U.S.C.

25 1382(f)) is amended by adding at the end the following:
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1 ‘‘The 1st sentence of this subsection shall not apply to

2 any individual who demonstrates to the satisfaction of the

3 Secretary that the absence of the individual from the Unit4 ed States will be temporary and for the purpose of con5 ducting studies as part of an educational program related

6 to an educational institution in the United States.’’.

7 TITLE IV—EFFECTIVE DATE

8 SEC. 401. EFFECTIVE DATE.

9 Except as otherwise provided in this Act, the amend10 ments made by this Act shall take effect on the 1st day

11 of the 1st calendar month that begins 90 or more days

12 after the date of the enactment of this Act.

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