Bill Text: NY A05508 | 2023-2024 | General Assembly | Introduced

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Bill Title: Exempts IRAs and Roth IRAs in the calculation of household benefits under public assistance programs.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-01-03 - referred to social services [A05508 Detail]

Download: New_York-2023-A05508-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          5508

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                     March 15, 2023
                                       ___________

        Introduced  by  M.  of  A. L. ROSENTHAL -- read once and referred to the
          Committee on Social Services

        AN ACT to amend the social services law, in relation to  exempting  IRAs
          and  Roth  IRAs  in the calculation of household benefits under public
          assistance programs

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1. Subdivision 1 of section 131-n of the social services law,
     2  as amended by section 5 of part U of chapter 56 of the laws of 2022,  is
     3  amended to read as follows:
     4    1.  The  following resources shall be exempt and disregarded in calcu-
     5  lating the amount of benefits of any household under any public  assist-
     6  ance program: (a) cash and liquid or nonliquid resources up to two thou-
     7  sand  five  hundred dollars for applicants, three thousand seven hundred
     8  fifty dollars for applicants in households in which any member is  sixty
     9  years of age or older or is disabled or ten thousand dollars for recipi-
    10  ents,  (b)  an amount up to four thousand six hundred fifty dollars in a
    11  separate bank account established by an individual  while  currently  in
    12  receipt of assistance for the sole purpose of enabling the individual to
    13  purchase  a  first  or  replacement  vehicle  for the recipient to seek,
    14  obtain or maintain employment, so long as the funds are not used for any
    15  other purpose, (c) an amount up to one thousand four hundred dollars  in
    16  a  separate bank account established by an individual while currently in
    17  receipt of assistance for the purpose of paying tuition at a two-year or
    18  four-year accredited post-secondary educational institution, so long  as
    19  the  funds are not used for any other purpose, (d) the home which is the
    20  usual residence of the household, (e) one automobile, up to ten thousand
    21  dollars fair market value,  through  March  thirty-first,  two  thousand
    22  seventeen;  one  automobile,  up  to eleven thousand dollars fair market
    23  value, from April first, two thousand seventeen  through  March  thirty-
    24  first,  two thousand eighteen; and one automobile, up to twelve thousand

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD00817-01-3
        A. 5508                             2

     1  dollars fair market value, beginning April first, two thousand  eighteen
     2  and  thereafter,  or  such other higher dollar value as the local social
     3  services district may elect to adopt, (f) one burial plot per  household
     4  member  as  defined  in  department  regulations,  (g) bona fide funeral
     5  agreements up to a total of one thousand five hundred dollars in  equity
     6  value  per  household  member,  (h)  funds  in an individual development
     7  account established in accordance with subdivision five of section three
     8  hundred fifty-eight of this chapter and section four  hundred  three  of
     9  the  social  security act, (i) for a period of six months, real property
    10  which the household is making a good faith effort to sell, in accordance
    11  with department regulations and tangible personal property necessary for
    12  business or for employment purposes in accordance with department  regu-
    13  lations, and (j) funds in a qualified tuition program that satisfies the
    14  requirement  of  section  529  of  the Internal Revenue Code of 1986, as
    15  amended, [and] (k) funds in a New York achieving a better  life  experi-
    16  ence  savings account established in accordance with article eighty-four
    17  of the mental hygiene law[.
    18    If] if federal law or regulations require the exemption  or  disregard
    19  of  additional  income  and  resources  in  determining  need for family
    20  assistance, or medical assistance not exempted or  disregarded  pursuant
    21  to  any  other  provision  of this chapter, the department may, by regu-
    22  lations subject to the approval of the director of the  budget,  require
    23  social  services  officials  to  exempt  or  disregard  such  income and
    24  resources. Refunds resulting from earned income  tax  credits  shall  be
    25  disregarded in public assistance programs, and (l) Individual Retirement
    26  Accounts (IRAs), and Roth IRAs.
    27    §  2.  This act shall take effect immediately; provided, however, that
    28  the amendments to section 131-n of  the  social  services  law  made  by
    29  section  one of this act shall not affect the expiration of such section
    30  and shall be deemed to expire therewith.