HEALTH CARE AUTHORITY
[Filed August 8, 2018, 2:02 p.m., effective September 8, 2018]
Effective Date of Rule: Thirty-one days after filing.
Purpose: The agency is amending chapter 182-560 WAC, Achieving a Better Life Experience (ABLE) Act, to comply with amendments to federal rules under 26 U.S.C. Sec. 529A, qualified ABLE programs, and to clarify how contributions to ABLE accounts count towards countable income in determining eligibility for apple health programs.
Citation of Rules Affected by this Order: Amending WAC 182-560-100.
Statutory Authority for Adoption: RCW 41.05.021
; 26 U.S.C. Section 529A qualified ABLE programs.
Adopted under notice filed as WSR 18-14-070 on June 29, 2018.
Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 1, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.
Number of Sections Adopted at the Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.
Number of Sections Adopted on the Agency's own Initiative: New 0, Amended 0, Repealed 0.
Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.
Number of Sections Adopted using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 1, Repealed 0.
Date Adopted: August 8, 2018.
AMENDATORY SECTION(Amending WSR 17-11-135, filed 5/24/17, effective 7/1/17)
WAC 182-560-100Achieving a Better Life Experience (ABLE) Act.
This rule describes a qualified achieving a better life experience (ABLE) account and its effect on the determination of eligibility for Washington apple health coverage.
(1) A qualified ABLE account:
(a) Is established and maintained by a state, or its designated agency or entity;
(b) Meets federal requirements under 26 U.S.C. Sec. 529A; and
(c) Is used to save funds for the disability related expenses of the account's designated beneficiary.
(2) This section applies to ABLE account beneficiaries who:
(a) Are entitled to benefits based on blindness or disability under Title II or XVI of the Social Security Act; or
(b) Meet the blindness or disability requirements under WAC 182-512-0050 (1)(b) and (c).
(3) The disability or blindness described in subsection (2)(a) or (b) of this section must have occurred before age twenty-six.
(4) This section does not apply if the total combined annual contributions to an ABLE account exceed the ((gift tax annual exclusion amount identified in the Internal Revenue Service publication 559))limit under 26 U.S.C. Sec. 529A.
(5) When determining countable income for apple health programs for the account's designated beneficiary, the medicaid agency or the agency's designee does not:
(a) Count contributions made by a person other than the designated beneficiary to the ABLE account;
(b) Count funds distributed from the account;
(c) Count earnings generated by the account, such as accrued interest or dividends; or
(d) Reduce income used to determine eligibility by the amount of contributions made to the account, including any funds the designated beneficiary may contribute to it.
(6) When determining eligibility for apple health programs, the agency or the agency's designee excludes as resources:
(a) The value of an ABLE account, including any earnings generated by the account; and
(b) Subject to subsection (8) of this section, distributions from the account for qualified disability expenses as long as the beneficiary:
(i) Maintains an ABLE account;
(ii) Contributes to an ABLE account; or
(iii) Receives distributions from such ABLE account.
(7) "Qualified disability expense (QDE)" means any expense related to the beneficiary's blindness or disability that is made for the benefit of the beneficiary, including the following expenses:
(d) Employment training and support;
(e) Assistive technology and personal support services;
(g) Prevention and wellness;
(h) Financial management;
(i) Legal fees;
(j) Expenses for oversight and monitoring; and
(k) Funeral and burial expenses.
(8) Distributions under subsection (6)(b) of this section, which are retained into a subsequent calendar month:
(a) Remain excluded as resources as long as the distributions are identifiable and the beneficiary still intends to use the distribution for a QDE;
(b) Are available resources on the first day of a subsequent calendar month if the intent of the beneficiary changes such that the beneficiary will not use the distribution for a QDE; and
(c) Are available resources on the first day of any subsequent month when the distribution is actually used for a non-QDE.
(9) The agency or the agency's designee counts as a resource on the first day of the following month any funds distributed for purposes other than paying a QDE expense described in subsection (7) of this section.
(10) If the beneficiary has multiple ABLE accounts, the agency or the agency's designee applies this section to the first ABLE account established.
(11) Funds remaining in the ABLE account when the beneficiary dies are subject to estate recovery under chapter 182-527 WAC, less any:
(a) Outstanding QDE debts; and
(b) Premium payments made from the ABLE account on behalf of the beneficiary to obtain coverage under the apple health care for workers with disabilities described in WAC 182-511-1000.