H-4560.1          _______________________________________________

                            SUBSTITUTE HOUSE BILL 2527

                  _______________________________________________

State of Washington              52nd Legislature             1992 Regular Session

By House Committee on Human Services (originally sponsored by Representatives Grant, Moyer, G. Fisher, Neher, Dellwo, R. King, Wineberry, Dorn, Paris, Franklin, Van Luven, Scott, Haugen, Morris, Ludwig, Ogden, Cooper, Pruitt, Hine, Rasmussen and Brekke)

Read first time 02/07/92.  Allowing certain earnings to be retained by recipients of public assistance.

     AN ACT Relating to earnings of members of assistance units receiving aid to families with dependent children; and creating new sections.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.      The legislature finds that many people receiving assistance under the aid to families with dependent children program cannot meet their financial obligations with the level of assistance provided and must work to supplement their income.  The legislature finds that these people should not be penalized for working by having most of their earned income in effect deducted from their assistance grant.  Therefore, the legislature declares that it shall be the policy of the state of Washington that aid to families with dependent children recipients be allowed to retain half of their earned income.

NEW SECTION. Sec. 2.      (1) The secretary of the department of social and health services shall petition the federal government for a waiver under the aid to families with dependent children program.  Under the terms of the waiver, in determining the total income of families applying for or receiving assistance under the aid to families with dependent children program, one dollar of earned income for every two dollars of income earned by the parent of a dependent child shall be disregarded.

     (2) The department of social and health services shall report on the status of the waiver to the appropriate standing committees of the legislature by December 1, 1992.  When the waiver is granted, the department shall report to the appropriate standing committees of the legislature.