|SAME AS||No Same As|
|Amd §131-n, Soc Serv L|
|Exempts certain funds in a qualified tuition program in the calculation of household benefits under public assistance programs.|
|02/02/2017||referred to social services|
|01/03/2018||referred to social services|
|03/06/2018||reported referred to ways and means|
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NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A4371 SPONSOR: Titus
TITLE OF BILL: An act to amend the social services law, in relation to exempting certain funds in a qualified tuition program in the calculation of household benefits under public assistance programs   PURPOSE OF BILL: This legislation will exempt or disregard funds in a qualified tuition program that satisfies the requirement of section 529 of the Internal Revenue Code of 1986, as amended, from assets limit tests to qualify for public assistance.   SUMMARY OF SPECIFIC PROVISIONS: Section 1. Subdivision 1 of section 131-n of the social services law, as amended by chapter 373 of the laws of 2003, paragraph (c) as amended by section 5 of part J of chapter 58 of the laws of 2014, is amended to include the exemption of funds in qualified tuition programs.   JUSTIFICATION: Currently New Yorkers who have more than $2,000 in assets are not eligi- ble to receive public assistance. A few of these assets as listed in New York Social services Law 131-n are excluded; such as refunds from the Earned Income tax credit and individual Development Accounts which aid families in saving money allowing them to work towards greater self-suf- ficiency. Currently 529 accounts which permit families to put aside money and invest in their children's future college educations are not included in these exemptions. Meaning if a family is able to put aside $2,000 to help send their children to college they can no longer receive public assistance, this puts these families at a grave disadvantage. A recent study showed that a mere 9% of students from low-income families obtain a bachelor's degree compared with 54% of students from wealthier families. New York's low-income families need support and assistance so that they may develop college savings for their children. In order to help these families obtain The American dream and aid their children in attending college Social Services Law 131-n desperately needs to be amended to exempt 529 accounts to help these New York families.   FISCAL IMPLICATIONS: To be determined.   LEGISLATIVE HISTORY: A3156 (2015-2016) referred to social services   EFFECTIVE DATE: This act shall take effect immediately; provided, however, that the amendments to section 131-n of the social services law made by section one of this act shall not affect the expiration of such section and shall be deemed to expire therewith.
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STATE OF NEW YORK ________________________________________________________________________ 4371 2017-2018 Regular Sessions IN ASSEMBLY February 2, 2017 ___________ Introduced by M. of A. TITUS -- read once and referred to the Committee on Social Services AN ACT to amend the social services law, in relation to exempting certain funds in a qualified tuition program in the calculation of household benefits under public assistance programs The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision 1 of section 131-n of the social services law, 2 as amended by section 1 of part X of chapter 54 of the laws of 2016, is 3 amended to read as follows: 4 1. The following resources shall be exempt and disregarded in calcu- 5 lating the amount of benefits of any household under any public assist- 6 ance program: (a) cash and liquid or nonliquid resources up to two thou- 7 sand dollars, or three thousand dollars in the case of households in 8 which any member is sixty years of age or older, (b) an amount up to 9 four thousand six hundred fifty dollars in a separate bank account 10 established by an individual while currently in receipt of assistance 11 for the sole purpose of enabling the individual to purchase a first or 12 replacement vehicle for the recipient to seek, obtain or maintain 13 employment, so long as the funds are not used for any other purpose, (c) 14 an amount up to one thousand four hundred dollars in a separate bank 15 account established by an individual while currently in receipt of 16 assistance for the purpose of paying tuition at a two-year or four-year 17 accredited post-secondary educational institution, so long as the funds 18 are not used for any other purpose, (d) the home which is the usual 19 residence of the household, (e) one automobile, up to ten thousand 20 dollars fair market value, through March thirty-first, two thousand 21 seventeen; one automobile, up to eleven thousand dollars fair market 22 value, from April first, two thousand seventeen through March thirty- 23 first, two thousand eighteen; and one automobile, up to twelve thousand 24 dollars fair market value, beginning April first, two thousand eighteen EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD01980-01-7A. 4371 2 1 and thereafter, or such other higher dollar value as the local social 2 services district may elect to adopt, (f) one burial plot per household 3 member as defined in department regulations, (g) bona fide funeral 4 agreements up to a total of one thousand five hundred dollars in equity 5 value per household member, (h) funds in an individual development 6 account established in accordance with subdivision five of section three 7 hundred fifty-eight of this chapter and section four hundred three of 8 the social security act [ and], (i) for a period of six months, real 9 property which the household is making a good faith effort to sell, in 10 accordance with department regulations and tangible personal property 11 necessary for business or for employment purposes in accordance with 12 department regulations, and (j) funds in a qualified tuition program 13 that satisfies the requirement of section 529 of the Internal Revenue 14 Code of 1986, as amended. If federal law or regulations require the 15 exemption or disregard of additional income and resources in determining 16 need for family assistance, or medical assistance not exempted or disre- 17 garded pursuant to any other provision of this chapter, the department 18 may, by regulations subject to the approval of the director of the budg- 19 et, require social services officials to exempt or disregard such income 20 and resources. Refunds resulting from earned income tax credits shall be 21 disregarded in public assistance programs. 22 § 2. This act shall take effect immediately; provided, however, that 23 the amendments to section 131-n of the social services law made by 24 section one of this act shall not affect the expiration of such section 25 and shall be deemed to expire therewith.