Bill Text: MI HB4394 | 2017-2018 | 99th Legislature | Introduced

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Bill Title: Human services; services or financial assistance; water rate affordability program and fund; create. Amends 1939 PA 280 (MCL 400.1 - 400.119b) by adding secs. 14m, 14n, 14o & 14p. TIE BAR WITH: HB 4393'17

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2017-03-22 - Bill Electronically Reproduced 03/21/2017 [HB4394 Detail]

Download: Michigan-2017-HB4394-Introduced.html

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HOUSE BILL No. 4394

 

 

March 21, 2017, Introduced by Reps. Chang, Pagan, Hammoud, Love, Yanez, Neeley, Wittenberg, Moss, Sneller, Phelps, Geiss, Hoadley, Gay-Dagnogo, Rabhi, Ellison and LaGrand and referred to the Committee on Local Government.

 

     A bill to amend 1939 PA 280, entitled

 

"The social welfare act,"

 

(MCL 400.1 to 400.119b) by adding sections 14m, 14n, 14o, and 14p.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 14m. As used in this section and sections 14n to 14p:

 

     (a) "Eligible customer" means a provider's customer whose

 

household income does not exceed 200% of the federal poverty

 

guidelines or who meets any of the following requirements:

 

     (i) Has received assistance from a state emergency relief

 

program within the past year.

 

     (ii) Receives food assistance under the federal Supplemental

 

Nutrition Assistance Program administered by the state.

 

     (iii) Receives medical assistance administered this act.

 

     (iv) Receives any other form of federal or state public

 

assistance.

 

     (b) "Nonaffordability affidavit" means the nonaffordability

 

affidavit provided to an individual under section 3 of the water

 

shutoff protection act.

 

     (c) "Provider" means any water and sewerage system that

 

provides water or sewerage service in this state.

 

     (d) "Task force" means the task force created in section 14o.

 

     (e) "Water rate affordability program" or "WRAP" means the

 

water rate affordability program created in section 14n.

 

     Sec. 14n. (1) The water rate affordability program is created

 

within the department to address reduction or retiring of water and

 

sewerage bill arrearages and to ensure that an eligible customer's

 

monthly water and sewerage bill is based on the eligible customer's

 

household income. The department shall develop and administer the

 

water rate affordability program created under this act.

 

     (2) Not later than 30 days after the department receives a

 

signed nonaffordability affidavit, the department shall complete an

 

income eligibility review to determine if the individual meets the

 

eligibility requirement for the water rate affordability program.

 

The department shall determine eligibility for the water rate

 

affordability program through the same process by which it

 

determines eligibility for cash assistance under this act.

 

     (3) In addition to any other verification of income accepted

 

by the department, the department may accept a federal income tax

 

return as documentation of income. When applicable, the department

 

shall use publicly available information regarding standard benefit

 

amounts for supplemental security income and temporary assistance

 

for needy families. An applicant has no obligation to provide

confirmation of the amount of benefits he or she receives from

 

supplemental security income and temporary assistance to needy

 

families.

 

     (4) Eligibility for the water rate affordability program in

 

all cases requires a showing of financial hardship or an inability

 

to pay a provider for services rendered. An applicant who

 

demonstrates a monthly income that does not exceed 200% of the

 

federal poverty guidelines as determined by the department has

 

satisfied this eligibility requirement.

 

     (5) If, upon the department's determination of the

 

individual's household income, the department finds that the

 

individual is an eligible customer, the department shall provide

 

that information, as well as the eligible customer's household

 

income, to the eligible customer's provider. Upon receipt of the

 

information from the department under this subsection, the eligible

 

customer's provider shall charge the eligible customer a rate that

 

is affordable based on the eligible customer's household income as

 

determined by the department. Alternatively, the department may

 

provide a subsidy to the eligible customer based on the

 

department's determination of the eligible customer's household

 

income.

 

     (6) The department shall inform the individual of the

 

determination of whether or not he or she is an eligible customer.

 

If the individual is an eligible customer, the department shall

 

provide him or her with information regarding the water rate

 

affordability program and the rate to be charged by the provider.

 

     Sec. 14o. (1) Not later than 30 days after the effective date

of the amendatory act that added this section, the department shall

 

create a water rate affordability program task force.

 

     (2) The department director shall appoint members of the task

 

force that include, but are not limited to, representatives of

 

providers and water and sewerage customer advocacy groups.

 

     (3) The task force shall do all of the following:

 

     (a) Discuss, and advise the department on, best practices for

 

administering the water rate affordability program.

 

     (b) By no later than March 1, 2016, create a plan for the

 

water rate affordability program that is based on household income,

 

that addresses water and sewerage bill arrearages, and that

 

includes, but is not limited to, WRAP funding and coordination of

 

voluntary check-off contributions with providers. This plan shall

 

be implemented by the department no later than October 1, 2016.

 

     Sec. 14p. (1) The water rate affordability program fund is

 

created within the state treasury.

 

     (2) The state treasurer may receive money or other assets from

 

any source for deposit into the fund, including, but not limited

 

to, money received from a voluntary checkoff on water and sewerage

 

bills as provided in the water shutoff protection act. The state

 

treasurer shall direct the investment of the fund. The state

 

treasurer shall credit to the fund interest and earnings from fund

 

investments.

 

     (3) Money in the fund at the close of the fiscal year shall

 

remain in the fund and shall not lapse to the general fund.

 

     (4) The department shall be the administrator of the fund for

 

auditing purposes.

     (5) The department shall expend money from the fund, upon

 

appropriation, only for 1 or more of the following purposes:

 

     (a) Administration of the water rate affordability program.

 

     (b) Providing of a subsidy to eligible customers as determined

 

necessary by the department.

 

     Enacting section 1. This amendatory act takes effect 90 days

 

after the date it is enacted into law.

 

     Enacting section 2. This amendatory act does not take effect

 

unless Senate Bill No. ____ or House Bill No. ____ (request no.

 

00446'17) of the 99th Legislature is enacted into law.