Revision: March 6, 2024, 9:08 a.m.
HB 1598-FN-A - AS INTRODUCED
2024 SESSION
24-2311
05/10
HOUSE BILL 1598-FN-A
SPONSORS: Rep. Wallner, Merr. 19; Rep. DeSimone, Rock. 18; Rep. Mooney, Hills. 12; Rep. Long, Hills. 23; Sen. Rosenwald, Dist 13
COMMITTEE: Children and Family Law
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ANALYSIS
This bill clarifies the obligation of the department of health and human services to ensure that social security payments and veterans benefits for children in the care of the department be held securely until the child has reach the age of majority or is no longer in the care of the department. The bill makes an appropriation to the department for this purpose.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
24-2311
05/10
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twenty Four
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Section; Dependent Children; Federal Benefits. Amend RSA 126-A by inserting after section 6 the following new section:
126-A:6-a Dependent Children; Use and Management of Federal Benefits.
I. For all children in the care of the department, the department shall determine whether each child is receiving or eligible for benefits administered by the Social Security Administration or the Veterans Administration within 60 days after the child enters the department's care. If the department determines that a child is eligible or may be eligible for federal benefits, the department shall apply for the benefits on behalf of the child.
II. If a child is already receiving benefits before entering the department's care or if the department applies for benefits on behalf of the child, the department shall identify, in consultation with the child and the child's representative, a representative payee in accordance with 20 CFR sections 404.2021 and 416.621 and shall apply to become the representative payee only if no other suitable candidate is available. If the department is determined by the court to serve as the representative payee, the department:
(a) Shall not use the child's federal benefits, other benefits, savings, or assets to pay for or to reimburse the department or this state for any of the costs of the child's care.
(b) May use the child's federal benefits for the child's unmet needs beyond what the department is obligated or required to pay.
(c) Shall establish an appropriate account to use and conserve the child's benefits in the child's best interest for current unmet needs and future needs in a manner consistent with federal and state asset and resource limits. The account may include any of the following:
(1) A special needs trust.
(2) A pooled special needs trust.
(3) An Achieving a Better Life Experience (ABLE) account, also known as a STABLE NH account, established pursuant to RSA 195-K and section 529A of the Internal Revenue Code.
(4) Any other trust account determined not to interfere with social security or asset limitations for any other benefit program.
(d) Shall provide an annual accounting as to the use, application or conservation of the child's federal benefits to the child, the child's representative, and the child's parents or guardians.
(e) Shall periodically review if someone other than the department is available to apply to assume the role of representative payee and could better serve in that role in the child's best interests.
III. The department shall notify the child, the child's parents, unless parental rights have been terminated, the child's guardian, the child's current placement and the child's attorney of any application, decision, or appeal related to a child's federal benefits. In providing notice of any denial of benefits, the department shall consult with the child's representative and appeal the denial if it is in the child's best interests.
IV. The department shall annually review cases of children in the department's care to determine whether a child may have become eligible for benefits after the department's initial assessment.
V. Notwithstanding any other law, on termination of the department's responsibility for the child, the department shall release any monies remaining to the child's credit pursuant to the requirements of the funding source or, in the absence of any requirements, shall release the remaining monies to:
(a) The child, if the child is at least 18 years of age or is emancipated.
(b) The person who is responsible for the child if the child is a minor and not emancipated.
VI. For purposes of this section, a "child in the care of the department" means the department has custody or guardianship over the child or the child in a court-ordered placement or other out-of-home placement under the supervision of the department.
2 Appropriation; Department of Health and Human Services; Management of Federal Benefits for Children in Foster Care. For the purpose of managing social security payments and veteran's benefits for children in placement through the department of health and human services, the sum of $1 for the fiscal year ending June 30, 2025 is hereby appropriated to the department of health and human services. The governor is authorized to draw a warrant for said sum out of any money in the treasury not otherwise appropriated.
3 Effective Date. This act shall take effect January 1, 2025.
24-2311
Revised 3/6/24
HB 1598-FN-A- FISCAL NOTE
AS INTRODUCED
FISCAL IMPACT: [ X ] State [ ] County [ ] Local [ ] None
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Estimated State Impact - Increase / (Decrease) | ||||||
| FY 2024 | FY 2025 | FY 2026 | FY 2027 | ||
Revenue | $0 | $0 | $0 | $0 | ||
Revenue Fund(s) | None | |||||
Expenditures | $0 | $1,433,000 | $2,870,000 | $2,899,000 | ||
Funding Source(s) | General Fund | |||||
Appropriations | $0 | $1 | $0 | $0 | ||
Funding Source(s) | General Fund | |||||
• Does this bill provide sufficient funding to cover estimated expenditures? [X] No • Does this bill authorize new positions to implement this bill? [X] No | ||||||
METHODOLOGY:
This bill requires the Department of Health and Human Services to ensure that social security payments and veterans benefits for children in the care of the Department are held securely until the child is no longer in the care of the Department. The Department states that the bill adds additional duties and responsibilities to its mandate, in that it will require a review of Social Security and Veterans Administration benefits eligibility for all children over whom the Department has custody or guardianship, as well as all children in a court-ordered or other placement. The Department states that this will require an annual accounting of benefits provided to certain individuals, among other responsibilities. The Department expects that six new positions will be needed, including two Supervisor IVs, two Program Specialist IIIs, one attorney, and one paralegal, at a total cost of $761,000 in FY25, $766,000 in FY26, and $795,000 in FY27.
In addition to the impacts above, the Department states that, by finding additional children eligible for Supplemental Security Income, the bill will result in a loss of Title IV-E federal revenue collected by the State. The Department estimates this loss in federal revenue at $704,000 per year. Finally, the Department assumes the bill will result in a further annual loss of $1,400,000 in federal SSI revenue paid directly to the State. The Department assumes state general funds will be needed to make up for the lost federal revenue, resulting in an increased general fund expenditure of approximately $2,104,000 per year.
This bill has an effective date of January 1, 2025. It is therefore assumed that the first year's costs will be 50 percent of the full-year cost of implementation. The bill contains an appropriation of $1 in FY25.
AGENCIES CONTACTED:
Department of Health and Human Services