HOUSE BILL REPORT
HB 1247


This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As Passed House:
February 14, 2007

Title: An act relating to eligibility for long-term care services.

Brief Description: Concerning eligibility for long-term care services.

Sponsors: By Representatives Morrell, Hinkle, Cody, Wallace and Moeller; by request of Department of Social and Health Services.

Brief History:

Health Care & Wellness: 1/25/07, 2/5/07 [DP].

Floor Activity:

Passed House: 2/14/07, 95-0.

Brief Summary of Bill
  • Limits the value of exempted home equity to $500,000 in determining a person's eligibility for Medicaid-funded long-term care services.


HOUSE COMMITTEE ON HEALTH CARE & WELLNESS

Majority Report: Do pass. Signed by 12 members: Representatives Cody, Chair; Morrell, Vice Chair; Hinkle, Ranking Minority Member; Alexander, Assistant Ranking Minority Member; Barlow, Campbell, Condotta, Green, Moeller, Pedersen, Schual-Berke and Seaquist.

Staff: Dave Knutson (786-7146).

Background:

The federal Deficit Reduction Act of 2005 limited the exemption status of an individual's home in determining eligibility for Medicaid-funded long-term care services. The State has the option to set the home equity standard between $500,000 and $750,000. The request legislation submitted by the Department of Social and Health Services sets the home equity exemption at not less than $500,000.


Summary of Bill:

Individuals with home equity in excess of $500,000 will be ineligible for Medicaid-funded long-term care services based on an application filed on or after May 1, 2006. If there is a spouse, or blind, disabled, or dependent children under age 21 living in the home, the home equity rule will not apply. The dollar amount of the home equity standard will be increased each year, beginning in 2011, based on the percentage increase in the consumer price index.


Appropriation: None.

Fiscal Note: Not requested.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony:

(In support) This change is required by federal law. This will help seniors plan for how they will pay for their long-term care.

(Opposed) None.

Persons Testifying: (In support) Representative Morrell, prime sponsor; and Bill Moss, Department of Social and Health Services and Aging and Disabilities Services Administration.

Persons Signed In To Testify But Not Testifying: None.