I 

114TH CONGRESS 

1ST SESSION H. R. 2339 

To amend title XIX of the Social Security Act to clarify the treatment 

of lottery winnings and other lump sum income for purposes of income 

eligibility under the Medicaid program, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 14, 2015 

Mr. PITTS introduced the following bill; which was referred to the Committee 

on Energy and Commerce 

A BILL 

To amend title XIX of the Social Security Act to clarify 

the treatment of lottery winnings and other lump sum 

income for purposes of income eligibility under the Medicaid program, and for other purposes. 

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

3 SECTION 1. TREATMENT OF LOTTERY WINNINGS AND 

4 OTHER LUMP SUM INCOME FOR PURPOSES 

5 OF INCOME ELIGIBILITY UNDER MEDICAID. 

6 (a) IN GENERAL.—Paragraph (14) (relating to modi7 fied adjusted gross income) of section 1902(e) of the SoVerDate Sep 11 2014 01:19 May 20, 2015 Jkt 049200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H2339.IH H2339

emcdonald on DSK67QTVN1PROD with BILLS
2 

•HR 2339 IH

1 cial Security Act (42 U.S.C. 1396a(e)) is amended by add2 ing at the end the following new subparagraph: 

3 ‘‘(J) TREATMENT OF CERTAIN LOTTERY

4 WINNINGS AND INCOME RECEIVED AS A LUMP

5 SUM.— 

6 ‘‘(i) In the case of an individual who 

7 is the recipient of qualified lottery 

8 winnings or qualified lump sum income, 

9 and whose eligibility for medical assistance 

10 is determined based on the application of 

11 modified adjusted gross income under sub12 paragraph (A), a State may, in deter13 mining such eligibility, consider such 

14 winnings or income (as applicable) as in15 come received on a monthly basis— 

16 ‘‘(I) if such winnings or income 

17 (as applicable) is received in an 

18 amount that is less than $50,000, 

19 over a period of 12 months; and 

20 ‘‘(II) if such winnings or income 

21 (as applicable) is received in an 

22 amount that is greater than or equal 

23 to $50,000, over a period specified by 

24 the State not to exceed 240 months, 


emcdonald on DSK67QTVN1PROD with BILLS
3 

•HR 2339 IH

1 in proportion to the amount of the 

2 winnings or income (as applicable). 

3 ‘‘(ii) DEFINITIONS.—In this subpara4 graph: 

5 ‘‘(I) The term ‘qualified lottery 

6 winnings’ means winnings from a 

7 sweepstakes, lottery, or pool described 

8 in paragraph (3) of section 4402 of 

9 the Internal Revenue Code of 1986 or 

10 a lottery operated by a multi-state or 

11 multi-jurisdictional lottery association 

12 in an amount that is not less than 

13 $20,000, including amounts awarded 

14 as a lump sum payment. 

15 ‘‘(II) The term ‘qualified lump 

16 sum income’ means income that is re17 ceived as a lump sum in an amount 

18 that is not less than $20,000, includ19 ing income received from the transfer 

20 or sale of real or personal property 

21 from the estate (as defined in section 

22 1917(b)(4)) of a deceased indi23 vidual.’’. 

24 (b) RULE OF CONSTRUCTION.—Nothing in this Act 

25 shall be construed as preventing a State from intercepting 


emcdonald on DSK67QTVN1PROD with BILLS
4 

•HR 2339 IH

1 the State lottery winnings awarded to an individual in the 

2 State to recover amounts paid by the State under the 

3 State Medicaid plan under title XIX of the Social Security 

4 Act for medical assistance furnished to the individual. 

5 (c) EFFECTIVE DATE.—The amendment made by 

6 subsection (a) shall apply with respect to income received 

7 as a lump sum, or winnings received pursuant to lotteries 

8 occurring, after a date specified by the State, but not ear9 lier than the date that is 24 months before such date of 

10 enactment. 

Æ 


emcdonald on DSK67QTVN1PROD with BILLS