An Act to Provide Economic Justice to Historically Disadvantaged Older Citizens by Amending the Laws Governing the Medicare Savings Program
Maine Legislature, Session 131, LD 1522
Committee: Health and Human Services
Sponsors: FAY, JACKSON, CLOUTIER, GATTINE, MEYER, TALBOT ROSS, MOORE
Amends: 22 MRSA §3174-K

Legislative Document
No. 1522
H.P. 977
House of Representatives, April 5, 2023
An Act to Provide Economic Justice to Historically Disadvantaged 
Older Citizens by Amending the Laws Governing the Medicare 
Savings Program
Reference to the Committee on Health and Human Services suggested and ordered printed.
ROBERT B. HUNT
Clerk
Presented by Representative FAY of Raymond.
Cosponsored by President JACKSON of Aroostook and
Representatives: CLOUTIER of Lewiston, GATTINE of Westbrook, MEYER of Eliot, 
Speaker TALBOT ROSS of Portland, Senator: MOORE of Washington.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  22 MRSA §3174-KKK is enacted to read:
§3174-KKK.  Medicare savings program
The department shall administer the Medicare savings program as described in 42 
United States Code, Section 1396a(a)(10)(E) in accordance with this section.
1.  Asset test.  The department may not apply an asset test in determining eligibility 
for the program.
2.  Income eligibility.  The department shall establish income disregards for eligibility 
for the program using a method that recognizes the necessary adequate income for meeting 
basic needs in this State.
3.  Rules.  The department shall adopt rules to implement this section. Rules adopted 
pursuant to this section are routine technical rules as defined in Title 5, chapter 375, 
subchapter 2-A.
Sec. 2.  Income eligibility for Medicare savings program; rules.  The 
Department of Health and Human Services shall amend its rule Chapter 332: MaineCare 
Eligibility Manual to implement income eligibility requirements that use the Maine data 
identified for singles and couples in the Elder Economic Security Standard Index developed 
by the Gerontology Institute at the University of Massachusetts Boston and linking it to the 
nearest federal poverty level that is equivalent or above. The department shall use the filters 
identified by the index as "homeowner with a mortgage" and "poor health" and the 
equivalent federal poverty income level to establish the upper income levels for qualifying 
individuals. The department shall decrease the maximum income level for qualifying 
individuals by 15% to determine the upper income level for qualified Medicare 
beneficiaries. The department shall amend the rule to provide that if the index is no longer 
annually updated by the Gerontology Institute at the University of Massachusetts Boston, 
the department must apply an annual cost-of-living adjustment based on the Consumer 
Price Index. The department shall adopt rules pursuant to this section no later than January 
1, 2024. Rules adopted pursuant to this section are routine technical rules as defined in the 
Maine Revised Statutes, Title 5, chapter 375, subchapter 2-A.
Sec. 3.  State plan amendment.  The Department of Health and Human Services 
shall prepare and submit any necessary Medicaid state plan amendments to the United 
States Department of Health and Human Services, Centers for Medicare and Medicaid 
Services for approval for the removal of the asset test and income eligibility guidelines 
required by this Act.
SUMMARY
This bill makes 3 changes to the Medicare savings program.
1.  It removes the asset test.
2.  It changes the income eligibility methodology by setting the federal poverty level 
at income levels established using the Elder Economic Security Standard Index developed 
by the Gerontology Institute at the University of Massachusetts Boston. It sets the upper 
limit for qualifying individuals at a federal poverty level that is equivalent to or above the 
income level established by the index using the filters "homeowner with a mortgage" and 
"poor health." The upper limit for the qualified Medicare beneficiaries is 15% below that 
level.
3.  It eliminates the specified low-income Medicare beneficiary as a category.
The Department of Health and Human Services must amend its rules to implement the 
new income levels no later than January 1, 2024 and submit any necessary state plans to 
the United States Department of Health and Human Services, Centers for Medicare and 
Medicaid Services.