HB1683 (2010) Detail

Requiring random drug testing of public assistance recipients.


HB 1683-FN – AS INTRODUCED

2010 SESSION

10-2653

05/01

HOUSE BILL 1683-FN

AN ACT requiring random drug testing of public assistance recipients.

SPONSORS: Rep. Baldasaro, Rock 3; Rep. Itse, Rock 9; Rep. Hinkle, Hills 19; Rep. Hogan, HillsĀ 25; Rep. Swinford, Belk 5

COMMITTEE: Health, Human Services and Elderly Affairs

ANALYSIS

This bill directs the department of health and human services to institute a random drug testing program for public assistance recipients.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

10-2653

05/01

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Ten

AN ACT requiring random drug testing of public assistance recipients.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 New Subdivision; Public Assistance; Random Drug Testing Program. Amend RSA 167 by inserting after section 97 the following new subdivision:

Random Drug Testing Program

167:98 Random Drug Testing for Recipients of Public Assistance.

I. The commissioner of the department of health and human services shall institute a random drug testing program for all applicants for, or recipients of, public assistance under this chapter or the food stamp program under RSA 161.

II. The commissioner shall deny, or otherwise deem ineligible, any applicant for, or recipient of, public assistance in the form of welfare or food stamps or both, if the applicant or recipient twice fails a drug test for illegal consumption of any illegal drugs/controlled substances or prescription drugs not prescribed by his or her doctor.

III. Any applicant or recipient of public assistance in the form of welfare or food stamps or both shall submit to the commissioner’s random drug testing program as a requirement for eligibility or continued receipt of such assistance. Failure to comply shall be the same as twice failing a drug test.

IV. Any applicant or recipient of public assistance in the form of welfare or food stamps or both who fails an initial drug test shall be required to submit to a second drug test no less than 30 days and no more than 60 days from the initial drug test. The commissioner shall not deny, or otherwise deemed ineligible, any applicant or recipient until the failure of the second drug test.

V. Any applicant or recipient of public assistance in the form of welfare or food stamps denied, or otherwise deemed ineligible, by the commissioner following a failure of an initial random drug test and the mandatory secondary test shall be ineligible to receive, or prohibited from reapplying for, such benefits for a period of 2 years from the date that the commissioner denied an applicant’s claim or determined the applicant to be ineligible. Any applicant denied or deemed to be ineligible under this section shall submit to a mandatory drug test as part of a reapplication for public assistance in the form of welfare or food stamps or both.

VI. The commissioner shall be responsible for ensuring that applicants and recipients chosen for drug testing are selected at random, and not by any other criteria, including, but not limited to, suspicion of drug use, previous drug use, or criminal conviction for drug use or possession.

VII. The commissioner shall be responsible for ensuring the confidentiality of any and all drug test results administered as part of the program. Random drug test results shall only be used for the purpose of denying, or determining eligibility for continued receipt of, public assistance in the form of welfare or food stamps or both. At no time shall drug test results be released to any public or private person or entity.

VIII. Urine tests may be taken at local district offices by using instant testing devices that are approved by the Food and Drug Administration and comply with the Health Insurance Portability and Accountability Act to ensure the protection of the privacy of individually identifiable health information is protected. The commissioner shall take all reasonable steps to keep the cost of testing to a minimum. The commissioner shall establish a system to maintain test results of applicants for up to 2 years on each applicant that has tested positive.

IX. The commissioner shall adopt rules, under RSA 541-A, relative to the implementation and administration of the random drug testing program.

2 Effective Date. This act shall take effect January 1, 2011.

LBAO

10-2653

Revised 12/29/09

HB 1683 FISCAL NOTE

AN ACT requiring random drug testing of public assistance recipients.

FISCAL IMPACT:

      The Department of Health and Human Services states this bill may increase state, county, and local expenditures by an indeterminable amount in FY 2011 and each year thereafter. This bill will have no fiscal impact on state, county, and local revenue.

METHODOLOGY:

    This Department of Health and Human Services (DHHS) states this bill would require the Department to institute a random drug-testing program for all applicants for, or recipients of, public assistance. Individuals who fail a drug test for consumption of any illegal drugs/controlled substances or prescription drugs not prescribed by his or her physician would be ineligible for assistance for two years. Failure to comply with the mandatory drug test would be treated the same as twice failing a drug test. Pursuant to RSA 167:4, the term “public assistance” includes financial assistance, medical assistance and food stamps. DHHS states the Centers for Medicare and Medicaid Services (CMS) has indicated that 423 CFR 435.120 and 435.121 would prohibit the Department from implementing a mandatory drug test requirement for Medicaid eligibility; the Food and Nutrition Service (FNS) has indicated that 7 CFR 273.2(a)(1) would prohibit the Department from implementing a mandatory drug test requirement for Supplemental Nutrition Assistance Program (Food Stamp) eligibility; and the Administration for Children and Families (ACF) has verified that State agencies are allowed by federal law to implement a mandatory drug test requirement for the Temporary Assistance to Needy Families (TANF) program. DHHS states this bill requires the Department to test for consumption of illegal drugs/controlled substances or prescription drugs not prescribed the individual’s physician. For this mandate, it is assumed that the test would be for “illicit drug use” as defined by the Substance Abuse and Mental Health Services Administration (SAMHSA). According to SAMHSA, “illicit drugs” include marijuana/hashish, cocaine (including crack), heroin, hallucinogens, inhalants, and prescription-type psychotherapeutics, pain relievers, tranquilizers, stimulants and sedatives used non-medically. The administrative costs associated with drug testing run from $35 - $75 per administered test (per the Center for Law and Social Policy, June 16, 2009). For cost estimation purposes, it is assumed that the administrative cost will be $55 per administered test. Because of the federal prohibitions against mandatory drug testing for various programs, the only eligibility groups affected by this legislation would be financial assistance groups: Old Age Assistance, Aid to the Permanently and Totally Disabled, Aid to the Needy Blind, TANF, 2-Parent Needy Family Program, and Interim Disabled Parent Program. The proposed legislation indicates that all applicants for, or recipients of, public assistance would be subject to random mandatory drug testing. There are no age limitations in the proposed legislation; therefore, it is assumed that both children and adults will be subject to random mandatory drug testing. As of November 2009, the total number of recipients were as follows –

    Program # of Persons

    Temporary Assistance to Needy Families 10,580

    2-Parent Needy Family Program 1,173

    Interim Disabled Parent Program 2,034

    Aid to the Permanently and Totally Disabled 8,127

    Aid to the Needy Blind 251

    Old Age Assistance 1,490

    Total 23,655

    To date, Michigan is the only state to have imposed random drug testing on all applicants/recipients. According to the Center for Law and Social Policy, Michigan’s plan was to test 20 percent of its TANF adult recipients every 6 months. In the five weeks that Michigan ran the program, it found that 10 percent of recipients tested positive for illicit drugs. This was consistent with the drug use rates of Michigan’s general population. Because there are no other statistics available, it is assumed that New Hampshire’s experience will be the same as Michigan’s experience in that the mandatory drug testing will yield results that are consistent with the drug use rates for New Hampshire’s general population. According to SAMHSA, approximately 8.83% of New Hampshire’s population aged 12 or older have used illicit drugs in the past month. It is assumed that 40% of the population will be tested (23,655 x 40% = 9,462) and that of the tested population 8.83% (835) will test positive for illicit drugs at the initial test and will therefore require a second test. The number of population that will fail the second test is unknown; however, it is expected that the number will be minimal due to the fact that individuals will be given advance notice of the second test and will be able to discontinue illicit drug use in time to provide a clean test sample. Federal regulations require eligibility determinations be made within a specified time period following application for assistance. Since denial of benefits would not be enforceable until a second drug test is administered, the application would be processed in accordance with federal requirements. It is assumed that the department will have to provide travel and child care reimbursement because individuals will be required to come to their local district office to provide a urine sample. Modifications will have to be made to district offices to allow for the collection of test samples. The cost of such modifications is currently unknown. DHHS states this bill will also require a number of changes be made to the New HEIGHTS eligibility system. The associated costs for making the necessary changes will be a one-time expense. The Department estimates the fiscal impact as follows -

      • Estimated Cost of Performing Initial of tests X average cost per test - 9,464 tests X $55 = $520,520;

      • Estimated cost of performing a second test on the 8.83% of initial test failures - 835 tests X $55 = $45,925;

      • Estimated cost of reimbursing Individuals for travel and childcare - unable to determine at this time;

      • Staffing required to administer and provide ‘chain of control’ of urine specimens - unable to determine at this time;

      • Costs associated with health safety requirements for those staff handling urine specimens - unable to determine at this time;

      • Transportation of samples statewide to the Public Health Laboratory (assuming that DHHS would have access to the PH Lab) - unable to determine at this time;

      • Increased costs associated for the Public Health Laboratory to provide testing for this population - unable to determine at this time;

      • Estimated cost of Renovating District Offices - unable to determine at this time;

      • Estimated one-time cost of making necessary changes to the New HEIGHTS eligibility determination system -

          o Number of Deloitte Staff Needed - 5

          o Number of Months - 5

          o Total Hours (173.3 X 5 months x 5 staff) - 4,332.5

          o Cost per hour - $83

                    Total New HEIGHTS Cost - $359,598

      • Estimated savings as a result of eligibility penalties - unable to determine at this time.

    The Department states any individual who is penalized for failing a mandatory drug test twice, or who refuses to take a mandatory drug test will likely request additional assistance from local welfare agencies. The Department further states children of parents who are denied access to public assistance such as food stamps, may suffer consequences of malnutrition, lack of medical care, and safe housing which could result in an increase in foster care requirements for the protection of children. The exact fiscal impact cannot be determined at this time.