Amd S132, add SS147-a & 147-b, Soc Serv L; add S85, St Fin L
 
Enacts the "welfare reform act" to require applicants for public assistance to submit to a drug test; provides that the illegal use of a controlled substance, indicated in such a test, shall result in the denial of public assistance benefits; such provisions do not apply to persons 65 or older; prohibits the sale or purchase of alcoholic beverages, tobacco products or lottery tickets with public assistance benefits; prohibits the use of public assistance benefits, by means of an electronic benefit transfer transaction, at a liquor store, casino or adult entertainment facility; establishes the public assistance integrity fund.
STATE OF NEW YORK
________________________________________________________________________
3905--A
2013-2014 Regular Sessions
IN SENATE
February 26, 2013
___________
Introduced by Sens. BALL, RITCHIE -- read twice and ordered printed, and
when printed to be committed to the Committee on Social Services --
committee discharged, bill amended, ordered reprinted as amended and
recommitted to said committee
AN ACT to amend the social services law, in relation to drug testing of
certain public assistance applicants, prohibiting the sale or purchase
of alcoholic beverages, tobacco products or lottery tickets with
public assistance benefits and prohibiting use of or access to such
benefits in a casino, liquor store or adult entertainment facility;
and to amend the state finance law, in relation to establishing the
public assistance integrity fund
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Short title. This act shall be known and may be cited as
2 the "welfare reform act".
3 § 2. Subdivision 4 of section 132 of the social services law, as
4 added by section 23 of part B of chapter 436 of the laws of 1997, para-
5 graphs (a) and (c) as amended by chapter 214 of the laws of 1998, para-
6 graphs (d), (e), (f) and (g) as amended by section 43-a and paragraph
7 (i) as added by section 44 of part C of chapter 58 of the laws of 2008,
8 is amended to read as follows:
9 4. (a) Investigation into [the cause of] the condition of a head of
10 household or of any adult applicant [or recipient and the treatment
11 which will be helpful to such person], who is under the age of sixty-
12 five years, shall include a urine drug test screening process for [alco-
13 hol and/or substance abuse] illegal use of controlled substances using a
14 standardized screening [instrument] process to be developed by the
15 office of alcoholism and substance abuse services in consultation with
16 the department of health. Such screening shall be performed by a social
17 services district at the time of application [and periodically thereaft-
18 er but not more frequently than every six months, unless the district
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD07289-03-3
S. 3905--A 2
1 has reason to believe that an applicant or recipient is abusing or
2 dependent on alcohol or drugs, in accordance with regulations promulgat-
3 ed by the department] at the expense of such head of household or adult
4 applicant.
5 (b) When the screening process indicates that there is reason to
6 believe that an applicant or recipient is [abusing or dependent on alco-
7 hol or drugs] engaged in the illegal use of a controlled substance, the
8 social services district shall [require a formal alcohol or substance
9 abuse assessment, which may include drug testing, to be performed by an
10 alcohol and/or substance abuse professional credentialed by the office
11 of alcoholism and substance abuse services. The assessment may be
12 performed directly by the district or pursuant to contract with the
13 district] immediately deny such head of household or applicant, who is
14 under the age of sixty-five years, from receiving any public assistance
15 benefits.
16 (c) The social services official shall refer applicants and recipients
17 whom it determines are presently ineligible for public assistance bene-
18 fits due to a positive drug test result and thus unable to work by
19 reason of their need for treatment for [alcohol or] substance abuse
20 [based on the formal assessment] to a treatment program licensed or
21 certified by the office of alcoholism and substance abuse services or
22 operated by the United States office of veterans affairs and determined
23 by the social services official to meet the rehabilitation needs of the
24 individual. When residential treatment is appropriate for a single
25 custodial parent, the social services official shall make diligent
26 efforts to refer the parent to a program that would allow the family to
27 remain intact for the duration of the treatment.
28 (d) A person, who is under the age of sixty-five years, who fails to
29 participate in the urine drug test screening or in the assessment shall
30 be ineligible for public assistance. Other members of a household [which
31 includes a person who has failed to participate in the screening or
32 assessment] under the age of eighteen years shall, if otherwise eligi-
33 ble, receive public assistance only through [safety net assistance] a
34 custodian of such assistance appointed by the social services district,
35 if [they] such members are otherwise eligible for public assistance.
36 (e) [A person referred to a treatment program pursuant to paragraph
37 (c) of this subdivision, and the household with which he or she resides
38 shall receive safety net assistance while the person is participating in
39 such treatment, if the household is otherwise eligible for public
40 assistance. If a person referred to treatment cannot participate in that
41 treatment because treatment is not presently available, that person and
42 the household with which he or she resides shall receive safety net
43 assistance if the household is otherwise eligible for public assistance.
44 (f) If an applicant or recipient is required, pursuant to paragraph
45 (c) of this subdivision, to participate in an appropriate rehabilitation
46 program and refuses to participate in such program without good cause or
47 leaves such program prior to completion of the program without good
48 cause, provided that program completion shall be solely determined by
49 the guidelines and rules of such rehabilitation program, or if an appli-
50 cant or recipient has been suspended from the receipt of social security
51 disability benefits or supplemental security income benefits by reason
52 of noncompliance with requirements of the federal social security admin-
53 istration for treatment for substance abuse or alcohol abuse, the person
54 will be disqualified from receiving public assistance as follows:
S. 3905--A 3
1 (i) for the first failure to participate in or complete the program,
2 until the failure ceases or for forty-five days, whichever period of
3 time is longer;
4 (ii) for the second such failure, until the failure ceases or for one
5 hundred twenty days, whichever period of time is longer; and
6 (iii) for the third and subsequent failures, until the failure ceases
7 or for one hundred eighty days, whichever period is longer.
8 Good cause shall be defined in regulations by the commissioner.
9 The household with which the person resides shall continue to receive
10 safety net assistance if otherwise eligible.
11 (g) Persons disqualified from receiving public assistance pursuant to
12 paragraph (f) of this subdivision who would otherwise be eligible for
13 public assistance and who return to required treatment prior to the end
14 of the disqualification period and are receiving residential care as
15 defined in paragraph (d) of subdivision three of section two hundred
16 nine of this chapter shall be eligible for safety net assistance.
17 (h) Notwithstanding any inconsistent provision of section one hundred
18 thirty-one-o of this article, if a recipient required to participate in
19 an appropriate treatment program pursuant to paragraph (c) of this
20 subdivision receives a personal needs allowance, such allowance shall be
21 made as a restricted payment to the treatment program and shall be a
22 conditional payment. If such recipient leaves the treatment program
23 prior to the completion of such program, any accumulated personal needs
24 allowance will be considered an overpayment and returned to the social
25 services district which provided the personal needs allowance.
26 (i) Compliance with the provisions of this subdivision shall not be
27 required as a condition of applying for or receiving medical assistance]
28 Any person who submits to a drug test pursuant to this subdivision and
29 his or her test is negative for the illegal use of controlled
30 substances, shall be reimbursed by the social services district for the
31 expense of such test.
32 (f) Any person denied benefits pursuant to this subdivision may reap-
33 ply for such benefits upon submission to another drug test and the
34 return result of such test which is negative for the illegal use of
35 controlled substances.
36 § 3. The social services law is amended by adding two new sections
37 147-a and 147-b to read as follows:
38 § 147-a. Penalties for the purchase or sale of alcoholic beverages,
39 tobacco products or lottery tickets with public assistance benefits. 1.
40 For the purposes of this section, "public assistance benefits" means
41 money or property provided directly or indirectly through programs of
42 the federal government, the state or any political subdivision thereof,
43 and administered by the office of temporary and disability assistance or
44 social services districts.
45 2. No recipient of public assistance benefits shall use all or any
46 portion of such benefits for the purchase of any alcoholic beverage,
47 tobacco product or lottery ticket. Any person who violates the
48 provisions of this subdivision shall upon the first such violation be
49 disqualified from receiving public assistance benefits by means of
50 direct cash payment or electronic benefits transfer access device for a
51 period of one month, upon a finding of a second such violation be
52 disqualified from receiving public assistance benefits by means of
53 direct cash payment or electronic benefits transfer access device for a
54 period of three months, and upon a finding of a third or subsequent such
55 violation shall be permanently disqualified from receiving public
56 assistance benefits by means of direct cash payment or electronic bene-
S. 3905--A 4
1 fits transfer access device. Such person shall have the right to a fair
2 hearing pursuant to section twenty-two of this chapter. Notwithstanding
3 any provision of this chapter or any other law to the contrary, no
4 applicant for public assistance benefits shall be approved unless he or
5 she attests to the fact that alcoholic beverages, tobacco products and
6 lottery tickets are products which are prohibited from being purchased
7 with such benefits pursuant to this section. Such attestation shall be
8 in a form prescribed by the commissioner of temporary and disability
9 assistance.
10 3. No person engaged in retail sales, or any agent or employee there-
11 of, shall sell or offer for sale any alcoholic beverage, tobacco product
12 or lottery ticket to any other person in exchange for or for consider-
13 ation of public assistance benefits by means of an electronic benefits
14 transfer access device. Any person who violates the provisions of this
15 subdivision shall be subject to a civil fine of one hundred dollars for
16 the first such violation, a civil fine of five hundred dollars for the
17 second such violation within any five year period of time, and upon a
18 finding of a third or a subsequent violation within any five year period
19 of time the license, permit or certification issued to such person
20 pursuant to the alcoholic beverage control law, and/or article twenty
21 and/or article thirty-four of the tax law shall be suspended.
22 4. In any proceeding brought against the operator of a retail business
23 engaged in retail sales, pursuant to subdivision three of this section
24 when the unlawful sale was made by an agent or employee of the operator
25 of such business, it shall be an affirmative defense in favor of such
26 operator that, at the time of such alleged violation, the business oper-
27 ator can and does produce proof that the agent or employee who committed
28 such violation completed a training program established pursuant to
29 subdivision five of this section.
30 5. a. The commissioner of temporary and disability assistance shall
31 promulgate rules and regulations that would develop and establish crite-
32 ria for training programs on the prohibition on the sale and purchase of
33 alcoholic beverages, tobacco products and lottery tickets in exchange
34 for public assistance benefits. Such training may be given and adminis-
35 tered by schools; other entities including trade associations whose
36 members are engaged in the retail sale of alcoholic beverages, tobacco
37 products and/or lottery tickets; and national and regional franchisors
38 with at least five franchises in the state which engage in the sales of
39 alcoholic beverages, tobacco products and/or lottery tickets. The office
40 of temporary and disability assistance shall provide for the issuance of
41 certificates of approval to all certified training programs on the
42 prohibition on the sale and purchase of alcoholic beverages, tobacco
43 products and/or lottery tickets in exchange for public assistance bene-
44 fits. Certificates of approval may be revoked by the office of temporary
45 and disability assistance for failure to adhere to the commissioner's
46 rules and regulations. Such rules and regulations shall afford those who
47 have been issued a certificate of approval an opportunity for a hearing
48 prior to any determination of whether such certificate should be
49 revoked. The commissioner of temporary and disability assistance shall
50 adopt rules to effectuate the provisions of this subdivision, including
51 minimum requirements for the curriculum of each such training program
52 and the regular training of agents and employees holding certificates of
53 completion or renewal certificates.
54 b. To effectuate the provisions of this subdivision, the office of
55 temporary and disability assistance is empowered to require in
56 connection with an application the submission of such information as
S. 3905--A 5
1 such office may direct; to prescribe forms of applications and of all
2 reports it deems necessary to be made by any applicant or certificate
3 holder; to conduct investigations, to require maintenance of such books
4 and records as such office may direct; and to cancel, revoke or suspend
5 for cause any certificate provided for in this subdivision.
6 c. Each entity authorized to give and administer a training program on
7 the prohibition on the sale and purchase of alcoholic beverages, tobacco
8 products and lottery tickets in exchange for public assistance benefits
9 shall issue certificates of completion to all persons engaged in retail
10 sales, and the agents and employees thereof who successfully complete
11 such approved training program. Such entity shall regularly transmit to
12 the office of temporary and disability assistance the names, addresses
13 and dates of attendance of all such persons, agents and employees who
14 successfully complete an approved training program. Such transmittal
15 shall be in a form and manner prescribed by such office. A certificate
16 of completion or renewal thereof issued by an entity authorized to give
17 and administer a training program pursuant to this subdivision to
18 persons engaged in retail sales, and the agents and employees thereof
19 shall not be invalidated by a change of employer. Attendance at any
20 course established pursuant to this subdivision shall be in person,
21 through distance learning methods or through an internet based online
22 program. Each certificate of approval, renewal and completion thereof
23 shall be issued for a period of three years.
24 § 147-b. Prohibition of use of public assistance benefits in certain
25 facilities. 1. For the purposes of this section:
26 a. "Electronic benefit transfer transaction" means the use of a credit
27 card or debit card service, automated teller machine, point-of-sale
28 terminal or access to an online system for the withdrawal of funds or
29 the processing of a payment for merchandise or a service.
30 b. "Casino" means any casino, gaming establishment or gambling casino,
31 but shall not include:
32 (i) any retail store which sells groceries including staple foods
33 (within the meaning of section 3(r) of the Food and Nutrition Act of
34 2008 (7 U.S.C. 2012 (r)), and which also offers or is located within the
35 same building or complex as casino, gambling or gaming activities; or
36 (ii) any other establishment that offers casino, gambling or gaming
37 activities incidental to the principal purpose of the business of such
38 establishment.
39 c. "Liquor store" means any retail establishment which exclusively or
40 primarily sells alcoholic beverages. Such term shall not include any
41 grocery store which sells both alcoholic beverages and staple foods
42 (within the meaning of section 3(r) of the Food and Nutrition Act of
43 2008 (7 U.S.C. 2012 (r)).
44 d. "Public assistance benefits" means money or property provided
45 directly or indirectly through programs of the federal government, the
46 state or any political subdivision thereof, and administered by the
47 office of temporary and disability assistance or social services
48 districts.
49 2. No recipient of public assistance benefits shall by means of an
50 electronic benefit transfer transaction withdraw or use such benefits in
51 any liquor store, casino or retail establishment which provides adult-
52 oriented entertainment in which performers disrobe or perform in an
53 unclothed state for entertainment. Any person who violates the
54 provisions of this subdivision shall upon the first such violation be
55 disqualified from receiving public assistance benefits by means of
56 direct cash payment or electronic benefits transfer access device for a
S. 3905--A 6
1 period of one month, upon a finding of a second such violation shall be
2 disqualified from receiving public assistance benefits by means of
3 direct cash payment or electronic benefits transfer access device for a
4 period of three months, and upon a finding of a third or subsequent such
5 violation shall be permanently disqualified from receiving public
6 assistance benefits by means of direct cash payment or electronic bene-
7 fits transfer access device. Such person shall have the right to a fair
8 hearing pursuant to section twenty-two of this chapter.
9 3. The office of temporary and disability assistance shall establish
10 and implement rules and regulations prohibiting recipients of public
11 assistance benefits, by means of any electronic benefit transfer trans-
12 action, from withdrawing or using any such benefits in any liquor store,
13 casino or retail establishment which provides adult-oriented enter-
14 tainment in which performers disrobe or perform in an unclothed state
15 for entertainment.
16 § 4. The state finance law is amended by adding a new section 85 to
17 read as follows:
18 § 85. Public assistance integrity fund. 1. There is hereby established
19 in the joint custody of the state comptroller and the commissioner of
20 taxation and finance a special revenue fund to be known as the "public
21 assistance integrity fund".
22 2. The public assistance integrity fund shall consist of monies
23 received by the state from fines and fees imposed pursuant to sections
24 one hundred forty-seven-a and one hundred forty-seven-b of the social
25 services law, and all other monies appropriated, credited or transferred
26 thereto from any other fund or source.
27 3. Monies of the public assistance integrity fund, following appropri-
28 ation thereof, shall be solely made available to the office of temporary
29 and disability assistance for expenditure for the costs of such office
30 associated with the prevention of misuse of public assistance benefits
31 including, but not limited to, administration, oversight, training and
32 enforcement related activities.
33 § 5. This act shall take effect February 22, 2014; provided that,
34 effective immediately, any actions necessary to implement the provisions
35 of this act on its effective date are authorized and directed to be
36 completed on or before such date.