SF548

Purpose

To expand access to medical assistance (MA) for Minnesota residents who are disabled and for people aged 65 and older by increasing the income limits used to determine MA eligibility, and by clarifying how various sources of income are treated in the eligibility calculations.

Main Provisions

• Amends Minnesota Statutes 2024 section 256B.056 subdivision 4 to change how income affects MA eligibility.
• For general MA eligibility (the group covered under section 256B.055 subdivisions 7, 7a, and 12), the bill sets income limits at up to 100% to 133% of the federal poverty guidelines (FPG). For Supplemental Security Income (SSI) recipients, MA eligibility would use the SSI standard in effect on the applicable January date.
• For MA eligibility under section 256B.055 subdivision 3a (parents or caretaker relatives), income may be up to 133% of the FPG for the household size.
• For MA eligibility under section 256B.055 subdivision 15, a person may have income up to 133% of the FPG for the household size.
• For MA eligibility under section 256B.055 subdivision 16, a person aged 19 to 20 may have income up to 133% of the FPG for the household size.
• For MA eligibility under section 256B.055 subdivision 3a, a child under age 19 may have income up to 275% of the FPG for the household size.
• In calculating income for eligibility for paragraphs a–e, if a person is not a resident of a long-term care facility, increases in income shall be disregarded as required by federal law (Public Laws 94-566 sections 503, 99272, and 99509).
• For persons eligible under paragraph a, veteran aid and attendance benefits and Veterans Administration unusual medical expense payments are considered income to the recipient (i.e., they are counted as income in the MA calculation).

Significant Changes to Existing Law

• Expands and clarifies MA income-eligibility thresholds across several categories (general MA, parents/caretaker relatives, other individuals, and children) to allow higher income levels to qualify.
• Introduces or clarifies how certain income sources are treated in eligibility determinations:
  • Disregard of some increases in income in accordance with federal law for those not living in long-term care facilities.
  • Counts certain veteran-related payments (veteran aid and attendance benefits and VA unusual medical expense payments) as income for the recipient, affecting MA eligibility determinations for those individuals.
• Aligns MA income calculations with federal poverty guidelines and SSI standards, with annual adjustments tied to SSI standards in effect each January.

Implementation Considerations

• The changes hinge on how income is calculated and which categories people fall into (general MA, parents/caretaker relatives, young adults, and children).
• Recipients and applicants should be aware that certain veterans benefits and medical expense payments may affect MA eligibility as income.
• The provisions reference federal law requirements for disregarding income increases, indicating ongoing alignment with federal guidelines.

Relevant Dates and References (as described in the bill) - SSI income standard adjustments are tied to January updates each year. - Federal law references include Public Laws 94-566, sections 503, 99272, and 99509, governing disregards of certain income increases in MA calculations. - The bill specifically amends Minnesota Statutes 2024 section 256B.056 subdivision 4.

Relevant Terms - medical assistance (MA) - income limit / income eligibility - federal poverty guidelines (FPG) - Supplemental Security Income (SSI) - household size - long-term care facilities - Minnesota Statutes 2024, section 256B.056 subdivision 4 - 256B.055 subdivisions 7, 7a, 12, 3a, 15, 16 - parent or caretaker relative - veteran aid and attendance benefits - Veterans Administration unusual medical expense payments - Public Laws 94-566, sections 503, 99272, 99509 - disregard increases in income - eligibility calculation / eligibility determination - unused income adjustments (as per federal requirements)