Title: Social Security COVID Correction and Equity Act
Policy area: Social Welfare

Summary:
Social Security COVID Correction and Equity Act
This bill expands the Old-Age, Survivors, and Disability Insurance (OASDI) benefits program, temporarily expands the Supplemental Security Income (SSI) program, and otherwise modifies these programs.
Specifically, the bill revises OASDI benefits by (1) modifying funding formulas, (2) extending eligibility for certain benefits, and (3) increasing income thresholds used to determine the percentage of benefits subject to federal income tax.
Changes to OASDI funding formulas include (1) increasing the primary insurance amount, (2) establishing new methods to calculate benefits for individuals with lifetime low earnings and for widows and widowers, and (3) modifiying application of the national average wage index to prevent certain reductions to benefits.
In addition, children of a deceased, disabled, or retired worker remain eligible for OASDI benefits through age 22 if they are full-time students. Under current law, they receive benefits through age 18.
The bill also extends dependent child benefits under the OASDI program to specified family members other than grandparents or step-grandparents, including in cases where a court grants custody of the dependent child to an eligible family member. To receive benefits under current law, either both parents must be disabled or deceased or a grandparent or step-grandparent must legally adopt the dependent child.
The bill also temporarily increases income and resource limits for the SSI program, thereby temporarily expanding eligibility. This program helps aged, blind, and disabled individuals with limited income and resources meet their basic needs.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 4986 Introduced in Senate (IS)]

<DOC>






116th CONGRESS
  2d Session
                                S. 4986

To prevent an unintended drop in Social Security benefits due to COVID-
19 and the application of the National Average Wage Index, and improve 
    Social Security and Supplemental Security Income benefits on an 
                            emergency basis.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            December 9, 2020

  Ms. Hirono introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
To prevent an unintended drop in Social Security benefits due to COVID-
19 and the application of the National Average Wage Index, and improve 
    Social Security and Supplemental Security Income benefits on an 
                            emergency basis.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Social Security COVID Correction and 
Equity Act''.

SEC. 2. TABLE OF CONTENTS.

    The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Preventing an unintended drop in benefits relating to the 
                            application of the National Average Wage 
                            Index.
Sec. 4. Across-the-board benefit increase.
Sec. 5. Increase in minimum benefit for lifetime low earners based on 
                            years in the workforce.
Sec. 6. Increase in threshold amounts and rate for inclusion of Social 
                            Security benefits in income.
Sec. 7. Extension of child's benefit for full-time post-secondary 
                            school students under age 23.
Sec. 8. Improving Social Security benefits for widows and widowers in 
                            two-income households.
Sec. 9. Increasing access to benefits for children who live with 
                            grandparents or other relatives.
Sec. 10. Update in eligibility for the Supplemental Security Income 
                            program.
Sec. 11. Support and maintenance furnished in kind not included as 
                            income.
Sec. 12. Holding SSI, Medicaid, and CHIP beneficiaries harmless.
Sec. 13. Expedited adjustment of underpayments.
Sec. 14. Appropriation of funds.

SEC. 3. PREVENTING AN UNINTENDED DROP IN BENEFITS RELATING TO THE 
              APPLICATION OF THE NATIONAL AVERAGE WAGE INDEX.

    (a) Modifications Related to Computation of Primary Insurance 
Amount.--Section 215 of the Social Security Act (42 U.S.C. 415) is 
amended--
            (1) in subsection (a)(1)(B)(ii)(I)--
                    (A) in subclause (I)--
                            (i) by striking ``the national'' and 
                        inserting ``(aa) the national''; and
                            (ii) by striking ``, by'' at the end and 
                        inserting ``; or''; and
                    (B) by adding at the end of subclause (I) the 
                following:
                            ``(bb) if higher (and if such second 
                        calendar year is after 2019), the highest 
                        national average wage index (as so defined) for 
                        any calendar year before such second calendar 
                        year, by''; and
            (2) in subsection (b)(3)(A)(ii)--
                    (A) in subclause (I)--
                            (i) by striking ``the national'' and 
                        inserting ``(aa) the national''; and
                            (ii) by striking ``, by'' at the end and 
                        inserting ``; or''; and
                    (B) by adding at the end of subclause (I) the 
                following:
                            ``(bb) if higher (and if such second 
                        calendar year is after 2019), the highest 
                        national average wage index (as so defined) for 
                        any calendar year before such second calendar 
                        year, by''.
    (b) Modification Related to Reduction of Benefits Based on 
Disability.--Section 224(f)(2)(B)(i) of such Act (42 U.S.C. 
424(f)(2)(B)(i)) is amended by inserting ``(or if higher (and if such 
calendar year is after 2019), the highest national average wage index 
(as so defined) for any calendar year before such calendar year)'' 
after ``made''.

SEC. 4. ACROSS-THE-BOARD BENEFIT INCREASE.

    (a) In General.--Section 215(a)(1)(A)(i) of the Social Security Act 
(42 U.S.C. 415(a)(1)(A)(i)) is amended by striking ``90 percent'' and 
inserting ``93 percent''.
    (b) Effective Date.--
            (1) In general.--The amendment made by subsection (a) shall 
        apply with respect to monthly insurance benefits payable for 
        months in calendar year 2020.
            (2) Recomputation of primary insurance amounts.--
        Notwithstanding section 215(f) of the Social Security Act, the 
        Commissioner of Social Security shall recompute primary 
        insurance amounts to the extent necessary--
                    (A) to carry out the amendments made by this 
                section; and
                    (B) to account for the nonapplication of such 
                amendments after calendar year 2020.
    (c) Rule of Construction.--For purposes of applying subparagraphs 
(A) and (B) of section 215(i)(1) of the Social Security Act in any 
calendar year, nothing in this Act shall be considered a general 
benefit increase under title II of such Act.

SEC. 5. INCREASE IN MINIMUM BENEFIT FOR LIFETIME LOW EARNERS BASED ON 
              YEARS IN THE WORKFORCE.

    (a) In General.--Section 215(a)(1) of the Social Security Act (42 
U.S.C. 415(a)(1)) is amended--
            (1) by redesignating subparagraph (D) as subparagraph (E); 
        and
            (2) by inserting after subparagraph (C) the following new 
        subparagraph:
    ``(D)(i) Effective with respect to monthly insurance benefits 
payable for months in calendar year 2020, no primary insurance amount 
computed under subparagraph (A) may be less than the greater of--
            ``(I) the minimum monthly amount computed under 
        subparagraph (C); or
            ``(II) in the case of an individual who has more than 10 
        years of work (as defined in clause (iv)(I)), the alternative 
        minimum amount determined under clause (ii).
    ``(ii)(I) The alternative minimum amount determined under this 
clause is the applicable percentage of \1/12\ of the poverty guideline 
for 2019.
    ``(II) For purposes of subclause (I), the applicable percentage is 
the percentage specified in connection with the number of years of 
work, as set forth in the following table:

``If the number of years                                 The applicable
   of work is:                                           percentage is:
        11...........................................     6.25 percent 
        12...........................................    12.50 percent 
        13...........................................    18.75 percent 
        14...........................................    25.00 percent 
        15...........................................    31.25 percent 
        16...........................................    37.50 percent 
        17...........................................    43.75 percent 
        18...........................................    50.00 percent 
        19...........................................    56.25 percent 
        20...........................................    62.50 percent 
        21...........................................    68.75 percent 
        22...........................................    75.00 percent 
        23...........................................    81.25 percent 
        24...........................................    87.50 percent 
        25...........................................    93.75 percent 
        26...........................................   100.00 percent 
        27...........................................   106.25 percent 
        28...........................................   112.50 percent 
        29...........................................   118.75 percent 
        30 or more...................................   125.00 percent.

    ``(iii) For purposes of this subparagraph--
            ``(I) the term `year of work' means, with respect to an 
        individual, a year to which 4 quarters of coverage have been 
        credited based on such individual's wages and self-employment 
        income; and
            ``(II) the `term poverty guideline for 2019' means the 
        annual poverty guideline for 2019 (as updated annually in the 
        Federal Register by the Department of Health and Human Services 
        under the authority of section 673(2) of the Omnibus Budget 
        Reconciliation Act of 1981) as applicable to a single 
        individual.''.
    (b) Recomputation of Primary Insurance Amounts.--Notwithstanding 
section 215(f) of the Social Security Act, the Commissioner of Social 
Security shall recompute primary insurance amounts to the extent 
necessary--
            (1) to carry out the amendments made by this section; and
            (2) to account for the nonapplication of such amendments 
        after calendar year 2020.
    (c) Conforming Amendment.--Section 209(k)(1) of such Act (42 U.S.C. 
409(k)(1)) is amended by inserting ``215(a)(1)(E),'' after 
``215(a)(1)(D),''.

SEC. 6. INCREASE IN THRESHOLD AMOUNTS AND RATE FOR INCLUSION OF SOCIAL 
              SECURITY BENEFITS IN INCOME.

    (a) In General.--Subsection (a) of section 86 of the Internal 
Revenue Code of 1986 is amended to read as follows:
    ``(a) In General.--Gross income for the taxable year of any 
taxpayer described in subsection (b) (notwithstanding section 207 of 
the Social Security Act) includes Social Security benefits in an amount 
equal to the lesser of--
            ``(1) 85 percent of the Social Security benefits received 
        during the taxable year, or
            ``(2) one-half of the excess described in subsection 
        (b)(1).''.
    (b) Base Amount.--Subsection (c) of section 86 of such Code is 
amended to read as follows:
    ``(c) Base Amount.--For purposes of this section, the term `base 
amount' means--
            ``(1) except as otherwise provided in this paragraph, 
        $35,000,
            ``(2) $50,000 in the case of a joint return, and
            ``(3) zero in the case of a taxpayer who--
                    ``(A) is married as of the close of the taxable 
                year (within the meaning of section 7703) but does not 
                file a joint return for such year, and
                    ``(B) does not live apart from his spouse at all 
                times during the taxable year.''.
    (c) Transfers to Trust Funds.--
            (1) Hospital insurance trust fund held harmless.--Of the 
        total revenue from taxation of social security benefits, there 
        are appropriated to the Federal Hospital Insurance Trust Fund 
        such amounts as would be transferred to such fund under section 
        121(e) of the Social Security Amendments of 1983 (42 U.S.C. 401 
        note) and section 86 of such Code as such sections were in 
        effect on the day before the date of the enactment of this Act, 
        at such times and in such manner as would be provided therein.
            (2) Transfers to payor funds.--Of the balance of the total 
        revenue from taxation of social security benefits remaining 
        after appropriations under paragraph (1) have been made, there 
        are appropriated to each payor fund amounts equivalent to the 
        portion of such balance equal to a fraction--
                    (A) the numerator of which is the amount equivalent 
                to the net revenues received in the Treasury 
                attributable to the application of sections 86 and 
                871(a)(3) of such Code to payments from such payor fund 
                made in taxable years beginning during calendar year 
                2019; and
                    (B) the denominator of which is the total revenue 
                from taxation of social security benefits.
            (3) Transfers.--The amounts appropriated by paragraph (2) 
        to any payor fund shall be transferred from time to time (but 
        not less frequently than quarterly) from the general fund of 
        the Treasury on the basis of estimates made by the Secretary of 
        the Treasury of the amounts referred to in such paragraph. Any 
        such quarterly payment shall be made on the first day of such 
        quarter and shall take into account social security benefits 
        estimated to be received during such quarter. Proper 
        adjustments shall be made in the amounts subsequently 
        transferred to the extent prior estimates were in excess of or 
        less than the amounts required to be transferred.
            (4) Definitions.--For purposes of this subsection--
                    (A) Total revenue from taxation of social security 
                benefits.--The term ``total revenue from taxation of 
                social security benefit''s means the amount equivalent 
                to the net revenues received in the Treasury 
                attributable to the application of sections 86 and 
                871(a)(3) of the Internal Revenue Code of 1986 to 
                payments from any payor fund made in taxable years 
                beginning during calendar year 2019.
                    (B) Payor fund.--The term ``payor fund'' means any 
                trust fund or account from which payments of social 
                security benefits are made.
                    (C) Social security benefits.--The term ``social 
                security benefits'' has the meaning given such term by 
                section 86(d)(1) of the Internal Revenue Code of 1986.
            (5) Conforming rule.--Section 121(e) of the Social Security 
        Amendments of 1983 (42 U.S.C. 401 note) shall not apply with 
        respect to net revenues received in the Treasury attributable 
        to the application of sections 86 and 871(a)(3) of the Internal 
        Revenue Code of 1986 to payments from any payor fund made in 
        taxable years beginning during calendar year 2019.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning in calendar year 2019.

SEC. 7. EXTENSION OF CHILD'S BENEFIT FOR FULL-TIME POST-SECONDARY 
              SCHOOL STUDENTS UNDER AGE 23.

    (a) In General.--Section 202(d)(1)(B) of the Social Security Act 
(42 U.S.C. 402(d)(1)(B)) is amended to read as follows:
                    ``(B) at the time such application was filed was 
                unmarried and--
                            ``(i) had not attained the age of 18,
                            ``(ii) was a full-time elementary or 
                        secondary school student and had not attained 
                        the age of 22,
                            ``(iii) was a full-time post-secondary 
                        school student and had not attained the age of 
                        23, or
                            ``(iv) is under a disability (as defined in 
                        section 223(d)) which began before he attained 
                        the age of 22, and''.
    (b) Definition of Full-Time Post-Secondary School Student.--
            (1) In general.--Section 202(d)(7) of such Act (42 U.S.C. 
        402(d)(7)) is amended--
                    (A) in subparagraph (A)--
                            (i) by inserting ``and a `full-time post-
                        secondary school student' is an individual who 
                        is in full-time attendance as a student at a 
                        post-secondary educational institution'' before 
                        ``, as determined by the Commissioner'';
                            (ii) by inserting ``or a `full-time post-
                        secondary school student''' before ``if he is 
                        paid by his employer'';
                            (iii) by inserting ``or a post-secondary 
                        educational institution, as applicable,'' 
                        before ``at the request'';
                            (iv) by inserting ``or a `full-time post-
                        secondary school student''' before ``for the 
                        purpose of this section''; and
                            (v) by inserting ``or a full-time post-
                        secondary school student'' before ``shall be 
                        deemed''; and
                    (B) in subparagraph (B)--
                            (i) by inserting ``or a full-time post-
                        secondary school student'' after ``student'';
                            (ii) by inserting ``or a post-secondary 
                        educational institution, as applicable'' before 
                        ``at which he has been''; and
                            (iii) by striking ``an elementary or 
                        secondary school'' in each of the second and 
                        third places in which such term appears and 
                        inserting ``such a school''.
            (2) Transition from elementary or secondary school.--
        Section 202(d)(7)(B) of such Act (42 U.S.C. 402(d)(7)(B)) is 
        amended by adding at the end the following sentence: ``An 
        individual who has been in full-time attendance at an 
        elementary or secondary school shall, during a succeeding 
        period of nonattendance at such school, be deemed to be a full-
        time secondary-school student if (i) such period is 4 calendar 
        months or less, and (ii) the individual shows to the 
        satisfaction of the Commissioner that he intends to be in full-
        time attendance at a post-secondary educational institution 
        immediately following such period.''
    (c) Definition of Post-Secondary Educational Institution.--Section 
202(d)(7)(C) of such Act (42 U.S.C. 402(d)(7)(C)) is amended by adding 
at the end the following:
                            ``(iii) A `post-secondary educational 
                        institution' is an institution described in 
                        section 102 of the Higher Education Act of 1965 
                        (20 U.S.C. 1002).''.
    (d) Conforming Amendments.--
            (1) Section 202(d)(1)(E) of such Act (42 U.S.C. 
        402(d)(1)(E)) is amended by inserting ``or a full-time post-
        secondary school student'' after ``student''.
            (2) Section 202(d)(1)(F) of such Act (42 U.S.C. 
        402(d)(1)(F)) is amended by striking ``the earlier of--'' and 
        all that follows through ``the age of 19,'' and inserting the 
        following: ``the earlier of--
                            ``(i) the first month during no part of 
                        which the child is a full-time elementary or 
                        secondary school student or a full-time post-
                        secondary school student,
                            ``(ii) the month in which the child attains 
                        the age of 22, but only if the child is not a 
                        full-time post-secondary school student during 
                        any part of such month, or
                            ``(iii) the month in which the child 
                        attains the age of 23,''.
            (3) Section 202(d)(1)(G) of such Act (42 U.S.C. 
        402(d)(1)(G)) is amended by striking ``(if later)'' and all 
        that follows through ``the age of 19,'' and inserting the 
        following: ``(if later) the earlier of--
                            ``(i) the first month during no part of 
                        which the child is a full-time elementary or 
                        secondary school student or a full-time post-
                        secondary school student,
                            ``(ii) the month in which the child attains 
                        the age of 22, but only if the child is not a 
                        full-time post-secondary school student during 
                        any part of such month, or
                            ``(iii) the month in which the child 
                        attains the age of 23,''.
            (4) Section 202(d)(6)(A) of such Act (42 U.S.C. 
        402(d)(6)(A)) is amended to read as follows:
                    ``(A)(i) is a full-time elementary or secondary 
                school student and has not attained the age of 22,
                    ``(ii) is a full-time post-secondary school student 
                and has not attained the age of 23, or
                    ``(iii) is under a disability (as defined in 
                section 223(d)) and has not attained the age of 22, 
                or''.
            (5) Section 202(d)(6)(D) of such Act (42 U.S.C. 
        402(d)(6)(D)) is amended to read as follows:
                    ``(D) the earlier of--
                            ``(i) the first month during no part of 
                        which the child is a full-time elementary or 
                        secondary school student or a full-time post-
                        secondary school student,
                            ``(ii) the month in which the child attains 
                        the age of 22, but only if the child is not a 
                        full-time post-secondary school student during 
                        any part of such month, or
                            ``(iii) the month in which the child 
                        attains the age of 23,
                but only if he is not under a disability (as so 
                defined) in such earlier month; or''.
            (6) Section 202(d)(6)(E) of such Act (42 U.S.C. 
        402(d)(6)(E)) is amended by striking ``(if later)'' and all 
        that follows to the end and inserting the following: ``(if 
        later) the earlier of--
                            ``(i) the first month during no part of 
                        which the child is a full-time elementary or 
                        secondary school student or a full-time post-
                        secondary school student,
                            ``(ii) the month in which the child attains 
                        the age of 22, but only if the child is not a 
                        full-time post-secondary school student during 
                        any part of such month, or
                            ``(iii) the month in which the child 
                        attains the age of 23.''.
            (7) Section 202(d)(7)(D) of such Act (42 U.S.C. 
        402(d)(7)(D)) is amended--
                    (A) by striking ``A child who'' and inserting ``(i) 
                A child who'';
                    (B) by striking ``age 19'' and inserting ``age 
                22'';
                    (C) by striking ``clause (i) of paragraph (1)(B)'' 
                and inserting ``clause (ii) of paragraph (1)(B)''; and
                    (D) by adding at the end the following:
                    ``(ii) A child who attains age 23 at a time when he 
                is a full-time post-secondary school student (as 
                defined in subparagraph (A) of this paragraph and 
                without application of subparagraph (B) of such 
                paragraph) but has not (at such time) completed the 
                requirements for, or received, a diploma or equivalent 
                certificate from a post-secondary educational 
                institution (as defined in subparagraph (C)(iii)) shall 
                be deemed (for purposes of determining whether his 
                entitlement to benefits under this subsection has 
                terminated under paragraph (1)(F) and for purposes of 
                determining his initial entitlement to such benefits 
                under clause (iii) of paragraph (1)(B)) not to have 
                attained such age until the first day of the first 
                month following the end of the quarter or semester in 
                which he is enrolled at such time (or, if the post-
                secondary educational institution (as so defined) in 
                which he is enrolled is not operated on a quarter or 
                semester system, until the first day of the first month 
                following the completion of the course in which he is 
                so enrolled or until the first day of the third month 
                beginning after such time, whichever first occurs).''.
    (e) Effective Date.--The amendments made by this section shall 
apply with respect to applications for child's insurance benefits filed 
in calendar year 2020 and with respect to individuals entitled to such 
benefits during any month of such calendar year, except that such 
amendments shall not apply for purposes of determining continuing 
eligibility for child's insurance benefits for any month after such 
calendar year.

SEC. 8. IMPROVING SOCIAL SECURITY BENEFITS FOR WIDOWS AND WIDOWERS IN 
              TWO-INCOME HOUSEHOLDS.

    (a) In General.--
            (1) Widows.--Section 202(e) of the Social Security Act (42 
        U.S.C. 402(e)) is amended--
                    (A) in paragraph (1)--
                            (i) in subparagraph (B), by inserting 
                        ``and'' at the end;
                            (ii) in subparagraph (C)(iii), by striking 
                        ``and'' at the end;
                            (iii) by striking subparagraph (D);
                            (iv) by redesignating subparagraphs (E) and 
                        (F) as subparagraphs (D) and (E), respectively; 
                        and
                            (v) in the flush matter following 
                        subparagraph (E)(ii), as so redesignated, by 
                        striking ``becomes entitled to an old-age 
                        insurance benefit'' and all that follows 
                        through ``such deceased individual,'';
                    (B) by striking subparagraph (A) in paragraph (2) 
                and inserting the following:
            ``(2)(A) Except as provided in subsection (k)(5), 
        subsection (q), and subparagraph (D) of this paragraph, such 
        widow's insurance benefit for each month shall be equal to the 
        greater of--
                            ``(i) the primary insurance amount (as 
                        determined for purposes of this subsection 
                        after application of subparagraphs (B) and (C)) 
                        of such deceased individual, or
                            ``(ii) subject to paragraph (9), in the 
                        case of a fully insured widow or surviving 
                        divorced wife, 75 percent of the sum of any 
                        old-age or disability insurance benefit for 
                        which the widow or the surviving divorced wife 
                        is entitled for such month and the primary 
                        insurance amount (as determined for purposes of 
                        this subsection after application of 
                        subparagraphs (B) and (C)) of such deceased 
                        individual.'';
                    (C) in paragraph (5)--
                            (i) in subparagraph (A), by striking 
                        ``paragraph (1)(F)'' and inserting ``paragraph 
                        (1)(E)''; and
                            (ii) in subparagraph (B), by striking 
                        ``paragraph (1)(F)(i)'' and inserting 
                        ``paragraph (1)(E)(i)''; and
                    (D) by adding at the end the following:
            ``(9) For purposes of paragraph (2)(A)(ii), the amount 
        determined under such paragraph shall not exceed the primary 
        insurance amount for such month of a hypothetical individual--
                    ``(A) who became entitled to old-age insurance 
                benefits upon attaining early retirement age during the 
                month in which the deceased individual referred to in 
                paragraph (1) became entitled to old-age or disability 
                insurance benefits, or died (before becoming entitled 
                to such benefits), and
                    ``(B) to whom wages and self-employment income were 
                credited in each of such hypothetical individual's 
                elapsed years (within the meaning of section 
                215(b)(2)(B)(iii)) in an amount equal to the national 
                average wage index (as described in section 209(k)(1)) 
                for each such year.''.
            (2) Widowers.--Section 202(f) of the Social Security Act 
        (42 U.S.C. 402(f)) is amended--
                    (A) in paragraph (1)--
                            (i) in subparagraph (B), by inserting 
                        ``and'' at the end;
                            (ii) in subparagraph (C)(iii), by striking 
                        ``and'' at the end;
                            (iii) by striking subparagraph (D);
                            (iv) by redesignating subparagraphs (E) and 
                        (F) as subparagraphs (D) and (E), respectively; 
                        and
                            (v) in the flush matter following 
                        subparagraph (E)(ii), as so redesignated, by 
                        striking ``or becomes entitled to an old-age 
                        insurance benefit'' and all that follows 
                        through ``such deceased individual,'';
                    (B) by striking subparagraph (A) in paragraph (2) 
                and inserting the following:
            ``(2)(A) Except as provided in subsection (k)(5), 
        subsection (q), and subparagraph (D) of this paragraph, such 
        widower's insurance benefit for each month shall be equal to 
        the greater of--
                            ``(i) the primary insurance amount (as 
                        determined for purposes of this subsection 
                        after application of subparagraphs (B) and (C)) 
                        of such deceased individual, or
                            ``(ii) subject to paragraph (9), in the 
                        case of a fully insured widower or surviving 
                        divorced husband, 75 percent of the sum of any 
                        old-age or disability insurance benefit for 
                        which the widower or the surviving divorced 
                        husband is entitled for such month and the 
                        primary insurance amount (as determined for 
                        purposes of this subsection after application 
                        of subparagraphs (B) and (C)) of such deceased 
                        individual.'';
                    (C) in paragraph (5)--
                            (i) in subparagraph (A), by striking 
                        ``paragraph (1)(F)'' and inserting ``paragraph 
                        (1)(E)''; and
                            (ii) in subparagraph (B), by striking 
                        ``paragraph (1)(F)(i)'' and inserting 
                        ``paragraph (1)(E)(i)''; and
                    (D) by adding at the end the following:
            ``(9) For purposes of paragraph (2)(A)(ii), the amount 
        determined under such paragraph shall not exceed the primary 
        insurance amount for such month of a hypothetical individual--
                    ``(A) who became entitled to old-age insurance 
                benefits upon attaining early retirement age during the 
                month in which the deceased individual referred to in 
                paragraph (1) became entitled to old-age or disability 
                insurance benefits, or died (before becoming entitled 
                to such benefits), and
                    ``(B) to whom wages and self-employment income were 
                credited in each of such hypothetical individual's 
                elapsed years (within the meaning of section 
                215(b)(2)(B)(iii)) in an amount equal to the national 
                average wage index (as described in section 209(k)(1)) 
                for each such year.''.
    (b) Conforming Amendment.--Section 209(k)(1) of the Social Security 
Act (42 U.S.C. 409(k)(1)), as amended by section 103(c), is further 
amended by inserting ``202(e)(9), 202(f)(9),'' after ``sections''.
    (c) Effective Date.--The amendments made by this section shall 
apply only with respect to widow's and widower's insurance benefits 
payable for months in calendar year 2020.

SEC. 9. INCREASING ACCESS TO BENEFITS FOR CHILDREN WHO LIVE WITH 
              GRANDPARENTS OR OTHER RELATIVES.

    (a) In General.--Title II of the Social Security Act (42 U.S.C. 401 
et seq.) is amended--
            (1) in section 202(d)--
                    (A) in paragraph (1)(C), by inserting ``except as 
                provided in paragraph (9),'' before ``was dependent''; 
                and
                    (B) by amending paragraph (9) to read as follows:
    ``(9)(A) In the case of a child who is the child of an individual 
under clause (3) of the first sentence of section 216(e) and is not a 
child of such individual under clause (1) or (2) of such first 
sentence, the criteria specified in subparagraph (B) shall apply 
instead of the criteria specified in subparagraph (C) of paragraph (1).
    ``(B) The criteria of this subparagraph are that--
            ``(i) the child has been living with such individual in the 
        United States for a period of not less than 12 months;
            ``(ii) the child has been receiving not less than \1/2\ of 
        the child's support from such individual for a period of not 
        less than 12 months; and
            ``(iii) the period during which the child was living with 
        such individual began before the child attained age 18.
    ``(C) In the case of a child who is less than 12 months old, such 
child shall be deemed to meet the requirements of subparagraph (B) if, 
on the date the child attains 1 year of age, such child has lived with 
such individual in the United States and received at least \1/2\ of the 
child's support from such individual for substantially all of the 
period which began on the date of such child's birth.''; and
            (2) in section 216(e), in the first sentence--
                    (A) by striking ``grandchild or stepgrandchild of 
                an individual or his spouse'' and inserting 
                ``grandchild, stepgrandchild, or other first-degree, 
                second-degree, third-degree, fourth-degree, or fifth-
                degree relative of an individual or the individual's 
                spouse'';
                    (B) by striking ``was no natural or adoptive 
                parent'' and inserting ``is no living natural or 
                adoptive parent'';
                    (C) by striking ``was under a disability'' and 
                inserting ``is under a disability'';
                    (D) by striking ``living at the time'' and all that 
                follows through ``, or (B)'' and inserting ``, (B)''; 
                and
                    (E) by inserting ``, or (C) a court of competent 
                jurisdiction has issued an order granting custody of 
                such person to the individual or the individual's 
                spouse'' before the first period.
    (b) Conforming Amendments.--Section 202(d)(1) of the Social 
Security Act (42 U.S.C. 402(d)(1)) is amended--
            (1) by striking ``subparagraphs (A), (B), and (C)'' and 
        inserting ``subparagraphs (A) and (B) and subparagraph (C) or 
        paragraph (9) (as applicable)''; and
            (2) by striking ``subparagraphs (B) and (C)'' and inserting 
        ``subparagraph (B) and subparagraph (C) or paragraph (9) (as 
        applicable)''.
    (c) Effective Date.--The amendments made by this section shall 
apply with respect to applications for child's insurance benefits filed 
in calendar year 2020, except that such amendments shall not apply for 
purposes of determining continuing eligibility for child's insurance 
benefits for any month after such calendar year.

SEC. 10. UPDATE IN ELIGIBILITY FOR THE SUPPLEMENTAL SECURITY INCOME 
              PROGRAM.

    (a) Update in General Income Exclusion.--Section 1612(b)(2)(A) of 
the Social Security Act (42 U.S.C. 1382a(b)(2)(A)) shall be applied for 
calendar year 2020 by substituting ``$1,476'' for ``$240''.
    (b) Update in Earned Income Exclusion.--Section 1612(b)(4) of such 
Act (42 U.S.C. 1382a(b)(4)) shall be applied for calendar year 2020 by 
substituting ``4,788'' for ``$780'' each place it appears.
    (c) Update in Resource Limit for Individuals and Couples.--Section 
1611(a)(3) of such Act (42 U.S.C. 1382(a)(3)) is amended--
            (1) in subparagraph (A), by adding at the end the 
        following: ``Notwithstanding the preceding sentence, such 
        dollar amount shall be deemed to be $20,000 for calendar year 
        2020 only.''; and
            (2) in subparagraph (B), by adding at the end the 
        following: ``Notwithstanding the preceding sentence, such 
        dollar amount shall be deemed to be $10,000 for calendar year 
        2020 only.''.

SEC. 11. SUPPORT AND MAINTENANCE FURNISHED IN KIND NOT INCLUDED AS 
              INCOME.

    (a) In General.--Section 1612(a)(2) of such Act (42 U.S.C. 
1382a(a)(2)) is amended--
            (1) by inserting ``(other than support or maintenance 
        furnished in kind)'' after ``all other income''; and
            (2) in subparagraph (A)--
                    (A) by striking ``or kind'';
                    (B) by striking clause (i) and redesignating 
                clauses (ii) and (iii) as clauses (i) and (ii), 
                respectively; and
                    (C) in clause (ii) (as so redesignated), by 
                striking ``and the provisions of clause (i) shall not 
                be applicable''.
    (b) Conforming Amendments.--
            (1) Section 1611(c) of such Act (42 U.S.C. 1382(c)) is 
        amended by striking paragraph (6) and redesignating paragraphs 
        (7) through (10) as paragraphs (6) through (9), respectively.
            (2) Section 1612(a)(2) of such Act (42 U.S.C. 1382a(a)(2)) 
        is amended--
                    (A) in subparagraph (F), by inserting ``and'' at 
                the end;
                    (B) in subparagraph (G), by striking ``; and'' and 
                inserting a period;
                    (C) by moving subparagraph (G) 2 ems to the right; 
                and
                    (D) by striking subparagraph (H).
            (3) Section 1621(c) of such Act (42 U.S.C. 1382j(c)) is 
        amended to read as follows:
    ``(c) In determining the amount of income of an alien during the 
period of 5 years after such alien's entry into the United States, 
support or maintenance furnished in cash to the alien by such alien's 
sponsor (to the extent that it reflects income or resources which were 
taken into account in determining the amount of income and resources to 
be deemed to the alien under subsection (a) or (b) of this section) 
shall not be considered to be income of such alien under section 
1612(a)(2)(A).''.
    (c) Effective Date.--The amendments made by this section shall 
apply for purposes of determining eligibility to supplemental security 
income benefits for months during calendar year 2020.

SEC. 12. HOLDING SSI, MEDICAID, AND CHIP BENEFICIARIES HARMLESS.

    For purposes of determining the income of an individual to 
establish eligibility for, and the amount of, benefits payable under 
title XVI of the Social Security Act, eligibility for medical 
assistance under the State plan under title XIX (or a waiver of such 
plan), or eligibility for child health assistance under the State child 
health plan under title XXI (or a waiver of the plan), the amount of 
any benefit to which the individual is entitled under title II of such 
Act shall be deemed not to exceed the amount of the benefit that would 
be determined for such individual under such title as in effect on the 
day before the date of the enactment of this Act.

SEC. 13. EXPEDITED ADJUSTMENT OF UNDERPAYMENTS.

    In any case in which, as a result of a provision of this Act or an 
amendment made by this Act, the Commissioner determines that an 
underpayment of benefits has occurred, the Commissioner shall pay the 
balance of the amount due as soon as practicable after the date of 
enactment of this Act.

SEC. 14. APPROPRIATION OF FUNDS.

    There are appropriated from the general fund of the Treasury to the 
Federal Old-Age and Survivors Insurance Trust Fund and the Federal 
Disability Insurance Trust Fund such sums as necessary to pay for the 
increases in benefits paid from such Trust Funds attributable to 
sections 3 through 9 of this Act and the amendments made by such 
sections.
                                 <all>