Washington State House of Representatives Office of Program Research	BILL ANALYSIS
Appropriations Committee

HB 3002

Brief Description:  Concerning the treatment of income and resources for institutionalized persons receiving medical assistance.

Sponsors:  Representatives Cody and Sommers.

Brief Summary of Bill

$The Department of Social and Health Services will allow spouses of institutionalized persons receiving medical assistance to retain up to $30,000 in resources.

Hearing Date:  3/7/02

Staff:  Bernard Dean (786‑7130).

Background:

The federal Social Security Act requires states to protect the income and assets of the spouses of nursing home residents receiving Medicaid services and of nursing home‑eligible persons receiving Medicaid services through a Community Options Program Entry System (COPES) waiver.  When one spouse receives medical assistance, the total value of all resources belonging to either spouse is computed.  Half of the total is attributed to each spouse.  However, in accordance with federal requirements, the spouse not receiving long‑term care services must be allowed to keep at least $17,856 and not more than $89,280 in assets.  States are authorized to set the level of protection higher than the federal minimum, but not more than the federal maximum.

Summary of Bill:

The Department of Social and Health Services will allow the spouse of an institutionalized person receiving medical assistance to have up to $30,000 in resources. 

For the fiscal biennium beginning July 1, 2003, and each fiscal biennium thereafter, the maximum resource allowance amount for the spouse will be adjusted for economic trends and conditions by increasing the amount allowable by the consumer price index as published by the federal Bureau of Labor Statistics.  However, in no case shall the amount allowable exceed the maximum resource allowance permissible under the Social Security Act.

Appropriation:  None.

Fiscal Note:  Requested on March 1, 2002.

Effective Date:  The bill takes effect on July 1, 2002.