S.B. 10

1

PUBLIC ASSISTANCE ELIGIBILITY
2 1999 GENERAL SESSION
3 STATE OF UTAH
4 Sponsor: Millie M. Peterson
5 AN ACT RELATING TO WORKFORCE SERVICES; REQUIRING THAT ONE PASSENGER
6 VEHICLE S [ AND INCOME-PRODUCING ASSETS ] s BE EXCLUDED FROM ELIGIBILITY
7 DETERMINATIONS FOR PUBLIC ASSISTANCE; AND MAKING TECHNICAL AND
8 CONFORMING AMENDMENTS.
9 This act affects sections of Utah Code Annotated 1953 as follows:
10 AMENDS:
11 26-18-2, as last amended by Chapter 21, Laws of Utah 1988
12 26-18-3, as last amended by Chapter 183, Laws of Utah 1990
13 26-18-4, as last amended by Chapter 181, Laws of Utah 1987
14 26-18-10, as last amended by Chapter 21, Laws of Utah 1988
15 26-40-103, as enacted by Chapter 360, Laws of Utah 1998
16 35A-3-102, as enacted by Chapter 174, Laws of Utah 1997
17 35A-3-107, as renumbered and amended by Chapter 174, Laws of Utah 1997
18 35A-3-302, as enacted by Chapter 174, Laws of Utah 1997
19 35A-3-310, as enacted by Chapter 174, Laws of Utah 1997
20 35A-3-401, as renumbered and amended by Chapter 174, Laws of Utah 1997
21 Be it enacted by the Legislature of the state of Utah:
22 Section 1. Section 26-18-2 is amended to read:
23 26-18-2. Definitions.
24 As used in this chapter:
25 (1) "Applicant" means any person who requests assistance under the medical programs of
26 the state.
27 (2) "Division" means the Division of Health Care Financing within the department,

28 established under Section 26-18-2.1 .
29 (3) "Client" means a person who the department has determined to be eligible for
30 assistance under the Medicaid program or the Utah Medical Assistance Program established under
31 Section 26-18-10 .
32 (4) "Medicaid program" means the state program for medical assistance for persons who
33 are eligible under the state plan adopted pursuant to Title XIX of the federal Social Security Act.
34 (5) "Medical or hospital assistance" means services furnished or payments made to or on
35 behalf of recipients of medical or hospital assistance under state medical programs.
36 (6) (a) "Passenger vehicle" means a self-propelled, two-axle vehicle intended primarily for
37 operation on highways and used by an applicant or recipient to meet basic transportation needs
37a S AND HAS A FAIR MARKET VALUE BELOW 40% OF THE APPLICABLE AMOUNT OF THE FEDERAL
37b LUXURY PASSENGER AUTOMOBILE TAX ESTABLISHED IN 26 U.S.C. SEC. 4001 AND ADJUSTED
37c ANNUALLY FOR INFLATION s .
38 (b) "Passenger vehicle" does not include:
39 (i) a commercial vehicle, as defined in Section 41-1a-102 ;
40 (ii) an off-highway vehicle, as defined in Section 41-1a-102 ; or
41 (iii) a motor home, as defined in Section 13-14-102 .
42 [(6)] (7) "Recipient" means a person who has received medical or hospital assistance under
43 the Medicaid program or the Utah Medical Assistance Program established under Section
44 26-18-10 .
45 Section 2. Section 26-18-3 is amended to read:
46 26-18-3. Administration of Medicaid program by department -- Disciplinary
47 measures and sanctions -- Funds collected.
48 (1) The department shall be the single state agency responsible for the administration of
49 the Medicaid program in connection with the United States Department of Health and Human
50 Services pursuant to Title XIX of the Social Security Act.
51 (2) The department shall develop implementing policy in conformity with this chapter, the
52 requirements of Title XIX, and applicable federal regulations.
53 (3) The department may, in its discretion, contract with the Department of Human Services
54 or other qualified agencies for services in connection with the administration of the Medicaid
55 program, including but not limited to the determination of the eligibility of individuals for the
56 program, recovery of overpayments, and enforcement of fraud and abuse laws to the extent
57 permitted by law and quality control services.
58 (4) The department shall provide, by rule, disciplinary measures and sanctions for
59 Medicaid providers who fail to comply with the rules and procedures of the program, provided that
60 sanctions imposed administratively may not extend beyond:
61 (a) termination from the program;
62 (b) recovery of claim reimbursements incorrectly paid; and
63 (c) those specified in Section 1919 of Title XIX of the federal Social Security Act.
64 (5) Funds collected as a result of a sanction imposed under Section 1919 of Title XIX of
65 the federal Social Security Act shall be deposited in the General Fund as nonlapsing dedicated
66 credits to be used by the division in accordance with the requirements of that section.
67 (6) h (a) h In determining whether an applicant or recipient is eligible for a service or benefit
68 under this part or Chapter 39, Children's Health Insurance Program, the department shall h , IF
68a SUBSECTION (6)(b) IS SATISFIED, h exclude
69 from consideration S [ : ] s
70 S [ (a) ] s one passenger vehicle designated by the applicant or recipient S [ ; and ] s
71 S [ (b) personal property that may be used for income-producing activities ] s .
71a h (b) BEFORE SUBSECTION (6)(a) MAY BE APPLIED:
71b (i) THE FEDERAL GOVERNMENT MUST:
71c (A) DETERMINE THAT SUBSECTION (6)(a) MAY BE IMPLEMENTED WITHIN THE STATE'S
71d EXISTING PUBLIC ASSISTANCE-RELATED WAIVERS AS OF JANUARY 1, 1999;
71e (B) EXTEND A WAIVER TO THE STATE PERMITTING THE IMPLEMENTATION OF
71f SUBSECTION (6)(a); OR
71g (C) DETERMINE THAT THE STATE'S WAIVERS THAT PERMIT DUAL ELIGIBILITY
71h DETERMINATIONS FOR CASH ASSISTANCE AND MEDICAID ARE NO LONGER VALID; AND
71i (ii) THE DEPARTMENT MUST DETERMINE THAT SUBSECTION (6)(a) CAN BE IMPLEMENTED
71j WITHIN EXISTING FUNDING. h
72 Section 3. Section 26-18-4 is amended to read:
73 26-18-4. Department standards for eligibility under Medicaid -- Funds for abortions.
74 (1) The department may develop standards and administer policies relating to eligibility
75 under the Medicaid program as long as they are consistent with Subsection 26-18-3 (6). An
76 applicant receiving Medicaid assistance may be limited to particular types of care or services or
77 to payment of part or all costs of care determined to be medically necessary.
78 (2) The department shall not provide any funds for medical, hospital, or other medical
79 expenditures or medical services to otherwise eligible persons where the purpose of the assistance
80 is to perform an abortion, unless the life of the mother would be endangered if an abortion were
81 not performed.
82 (3) Any employee of the department who authorizes payment for an abortion contrary to

83 the provisions of this section is guilty of a class B misdemeanor and subject to forfeiture of office.
84 (4) Any person or organization that, under the guise of other medical treatment, provides
85 an abortion under auspices of the Medicaid program is guilty of a third degree felony and subject
86 to forfeiture of license to practice medicine or authority to provide medical services and treatment.
87 Section 4. Section 26-18-10 is amended to read:
88 26-18-10. Utah Medical Assistance Program -- Policies and standards.
89 (1) The division shall develop a medical assistance program, which shall be known as the

90 Utah Medical Assistance Program, for low income persons who are not eligible under the state
91 plan for Medicaid under Title XIX of the Social Security Act or Medicare under Title XVIII of that
92 act.
93 (2) Persons in the custody of prisons, jails, halfway houses, and other nonmedical
94 government institutions are not eligible for services provided under this section.
95 (3) The department shall develop standards and administer policies relating to eligibility
96 requirements, consistent with Subsection 26-18-3 (6), for participation in the program, and for
97 payment of medical claims for eligible persons.
98 (4) The program shall be a payor of last resort. Before assistance is rendered the division
99 shall investigate the availability of the resources of the spouse, father, mother, and adult children
100 of the person making application.
101 (5) The department shall determine what medically necessary care or services are covered
102 under the program, including duration of care, and method of payment, which may be partial or
103 in full.
104 (6) The department shall not provide public assistance for medical, hospital, or other
105 medical expenditures or medical services to otherwise eligible persons where the purpose of the
106 assistance is for the performance of an abortion, unless the life of the mother would be endangered
107 if an abortion were not performed.
108 (7) The department may establish rules to carry out the provisions of this section.
109 Section 5. Section 26-40-103 is amended to read:
110 26-40-103. Creation and administration of the Utah Children's Health Insurance
111 Program.
112 (1) There is created the Utah Children's Health Insurance Program to be administered by
113 the department in accordance with the provisions of:
114 (a) this chapter; and
115 (b) the State Children's Health Insurance Program, 42 U.S.C. Sec. 1397 et seq.
116 (2) The department shall:
117 (a) prepare and submit the state's children's health insurance plan before May 1, 1998, and
118 any amendments to the federal Department of Health and Human Services in accordance with 42
119 U.S.C. Sec.1397ff; and
120 (b) make rules in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking

121 Act regarding:
122 (i) eligibility requirements consistent with Subsection 26-18-3 (6);
123 (ii) program benefits;
124 (iii) the level of coverage for each program benefit;
125 (iv) cost-sharing requirements for enrollees, which may not:
126 (A) exceed the guidelines set forth in 42 U.S.C. Sec. 1397ee; or
127 (B) impose deductible, copayment, or coinsurance requirements on an enrollee for
128 well-child, well-baby, and immunizations;
129 (v) the administration of the program; and
130 (vi) the provider assessment, including:
131 (A) the factor for the assessment;
132 (B) the administration, collection, and enforcement of the assessment, including:
133 (I) auditing a provider's records; and
134 (II) imposing penalties for failure to pay the assessment as required; and
135 (C) reducing the amount of the assessment to the extent funds are deposited into the
136 Hospital Provider Assessment Account created in Section 26-40-112 as a result of private
137 contributions to the program.
138 (3) Before July 1, 2001, the Governor's Office of Planning and Budget shall study the
139 effectiveness of the department's administration of the program and report any findings to:
140 (a) the Health and Human Services Interim Committee of the Legislature;
141 (b) the Health Policy Commission; and
142 (c) the department.
143 Section 6. Section 35A-3-102 is amended to read:
144 35A-3-102. Definitions.
145 As used in this chapter:
146 (1) "Applicant" means a person who requests assistance under this chapter.
147 (2) "Average monthly number of families" means the average number of families who
148 received cash assistance on a monthly basis during the previous federal fiscal year, starting from
149 October 1, 1998 to September 30, 1999, and continuing each year thereafter.
150 (3) "Cash assistance" means a monthly dollar amount of cash a client is eligible to receive
151 under Section 35A-3-302 .

152 (4) "Child care services" means care of a child for a portion of the day that is less than 24
153 hours in a qualified setting, as defined by rule, by a responsible person who is not the child's parent
154 or legal guardian.
155 (5) "Date of enrollment" means the date on which the applicant was approved as eligible
156 for cash assistance.
157 (6) "Director" means the director of the division.
158 (7) "Diversion" means a single payment of cash assistance under Section 35A-3-303 to a
159 client who is eligible for but does not require extended cash assistance under Part 3, Family
160 Employment Program.
161 (8) "Division" means the Division of Employment Development.
162 (9) "Education or training" means:
163 (a) basic remedial education;
164 (b) adult education;
165 (c) high school education;
166 (d) education to obtain the equivalent of a high school diploma;
167 (e) education to learn English as a second language;
168 (f) applied technology training;
169 (g) employment skills training; or
170 (h) on-the-job training.
171 (10) "Full-time education or training" means training on a full-time basis as defined by the
172 educational institution attended by the parent client.
173 (11) "General assistance" means financial assistance provided to a person who is not
174 otherwise eligible for cash assistance under Part 3, Family Employment Program, because that
175 person does not live in a family with a related dependent child.
176 (12) "Office of Recovery Services" means the state's Title IV-D child support enforcement
177 agency organized within the Department of Human Services.
178 [(14)] (13) "Parent client" means a person who enters into an employment plan with the
179 division to qualify for cash assistance under Part 3, Family Employment Program.
180 [(13)] (14) "Plan" or "state plan" means the state plan submitted to the Secretary of the
181 United States Department of Health and Human Services to receive funding from the United States
182 through the Temporary Assistance for Needy Families Block Grant.

183 (15) (a) "Passenger vehicle" means a self-propelled, two-axle vehicle intended primarily
184 for operation on highways and used by an applicant or client to meet basic transportation needs
184a S AND HAS A FAIR MARKET VALUE BELOW 40% OF THE APPLICABLE AMOUNT OF THE FEDERAL
184b LUXURY PASSENGER AUTOMOBILE TAX ESTABLISHED IN 26 U.S.C. SEC. 4001 AND ADJUSTED
184c ANNUALLY FOR INFLATION s .
185 (b) "Passenger vehicle" does not include:
186 (i) a commercial vehicle, as defined in Section 41-1a-102 ;
187 (ii) an off-highway vehicle, as defined in Section 41-1a-102 ; or
188 (iii) a motor home, as defined in Section 13-14-102 .
189 [(15)] (16) "Single minor parent" means a person under 18 years of age who is not married
190 and has a minor child in his care and custody.
191 Section 7. Section 35A-3-107 is amended to read:
192 35A-3-107. Disclosure of income and property owned -- Eligibility standards.
193 (1) Applicants and clients shall execute forms provided by the division describing all:
194 [(1)] (a) property owned;
195 [(2)] (b) insurance owned by any member of the immediate family; and
196 [(3)] (c) income available.
197 (2) h (a) h In determining whether an applicant or client is eligible for a service or benefit
198 provided under this part, the division shall h , IF SUBSECTION (2)(b) IS SATISFIED , h exclude from
198a consideration S [ : ] s
199 S [ (a) ] s one passenger vehicle designated by the applicant or client S [ ; and ] s
200 S [ (b) personal property that may be used for income-producing activities ] s .
200a h (b) BEFORE SUBSECTION (2)(a) MAY BE APPLIED:
200b (i) THE FEDERAL GOVERNMENT MUST:
200c (A) DETERMINE THAT SUBSECTION (2)(a) MAY BE IMPLEMENTED WITHIN THE STATE'S
200d EXISTING PUBLIC ASSISTANCE-RELATED WAIVERS AS OF JANUARY 1, 1999;
200e (B) EXTEND TO THE STATE A WAIVER THAT PERMITS THE IMPLEMENTATION OF
200f SUBSECTION (2)(a); OR
200g (C) DETERMINE THAT THE STATE'S WAIVERS THAT PERMIT DUAL ELIGIBILITY
200h DETERMINATIONS FOR CASH ASSISTANCE AND MEDICAID ARE NO LONGER VALID; AND
200i (ii) THE DEPARTMENT MUST DETERMINE THAT SUBSECTION (2)(a) CAN BE IMPLEMENTED
200j WITHIN EXISTING FUNDING. h
201 Section 8. Section 35A-3-302 is amended to read:
202 35A-3-302. Eligibility requirements.
203 (1) The program of cash assistance provided under this part is known as the Family
204 Employment Program.

205 (2) (a) The division shall submit a state plan to the Secretary of the United States
206 Department of Health and Human Services to obtain federal funding under the Temporary
207 Assistance for Needy Families Block Grant.
208 (b) The provisions of the state plan submitted under Subsection (2)(a) shall be consistent
209 with this part and federal law.
210 (c) If a discrepancy arises between a provision of the state plan and this part, this part
211 supersedes the provision in the state plan.
212 (3) The services and supports under this part are for both one-parent and two-parent
213 families.

214 (4) To be eligible for cash assistance under this part, a family shall:
215 (a) have at least one minor dependent child; or
216 (b) have a parent who is in the third trimester of a pregnancy.
217 (5) (a) In an appropriations act, the Legislature shall determine annually the maximum
218 monthly dollar amount of cash assistance for families based on family size.
219 (b) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, and
220 consistent with Section 35A-3-107 , the department shall establish rules for eligibility and the
221 amount of cash assistance a family is eligible to receive under this part, which shall be based on:
222 (i) family size;
223 (ii) family income;
224 (iii) the maximum monthly income established under Subsection (5)(a); and
225 (iv) other relevant factors.
226 (6) When determining the dollar amount of cash assistance to be provided under this
227 chapter, the division shall disregard from earned income:
228 (a) $100; and
229 (b) 50% of the remaining monthly income.
230 (7) Once eligibility has been established, the division shall disregard money on deposit in
231 an Individual Development Account established under Section 35A-3-312 when determining
232 subsequent eligibility.
233 (8) The department shall provide for an appeal of a determination of eligibility in
234 accordance with Title 63, Chapter 46b, Administrative Procedures Act.
235 Section 9. Section 35A-3-310 is amended to read:
236 35A-3-310. Child care services.
237 (1) A parent client may receive assistance for child care under this part for a minor child
238 in the care and custody of the parent client, unless the other parent in a two-parent family:
239 (a) is capable of caring for the family's child;
240 (b) is not employed; and
241 (c) has not entered into an employment plan with the division.
242 (2) The division shall encourage a parent client to obtain child care at no cost from a
243 parent, sibling, relative, or other suitable provider.
244 (3) Within appropriations from the Legislature and in accordance with Title 63, Chapter

245 46a, Utah Administrative Rulemaking Act, and Section 35A-3-107 , the department may make
246 rules governing eligibility for child care services for a minor child in the care and custody of a
247 parent who does not or no longer receives cash assistance under this part.
248 Section 10. Section 35A-3-401 is amended to read:
249 35A-3-401. General assistance.
250 (1) (a) General Assistance may be provided to individuals who are not receiving cash
251 assistance under Part 3, Family Employment Program, or Supplemental Security Income, and who
252 are unemployable according to standards promulgated by the department.
253 (b) (i) General Assistance may be provided by payment in cash or in kind.
254 (ii) The office may provide an amount less than the existing payment level for an otherwise
255 similarly situated client of cash assistance under Part 3, Family Employment Program.
256 (c) The office shall establish asset limitations for General Assistance clients consistent
257 with Section 35A-3-107 .
258 (d) (i) General Assistance may be granted to meet special nonrecurrent needs of an
259 applicant for the federal Supplemental Security Income program, if the applicant agrees to
260 reimburse the division for assistance advanced while awaiting the determination of eligibility by
261 the Social Security Administration.
262 (ii) General Assistance payments may not be made to a current client of cash assistance
263 or Supplemental Security Income.
264 (e)(i) General assistance may be used for the reasonable cost of burial for a client, if heirs
265 or relatives are not financially able to assume this expense, and the county is determined not to be
266 liable for the expense under Section 17-5-250 .
267 (ii) Notwithstanding Subsection (1)(e)(i), if the body of a person is unclaimed, Section
268 53B-17-301 applies.
269 (iii) The department shall fix the cost of a reasonable burial and conditions under which
270 burial expenditures may be made.
271 (2) The division may cooperate with any governmental unit or agency, or any private
272 nonprofit agency in establishing work projects to provide employment for employable persons.

Legislative Review Note
as of 11-24-98 4:43 PM

A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel

Committee Note

The Workforce Services Interim Committee recommended this bill.