Substitute Senate Bill No. 1476 seeks to amend Connecticut's statutes regarding Achieving a Better Life Experience (ABLE) accounts by repealing Sections 3-39j and 3-39k and introducing new definitions and procedures. The bill defines "ABLE account" as an account established for covering qualified disability expenses for a designated beneficiary and introduces terms such as "authorized individual" and "qualified ABLE program," aligning with Section 529A of the Internal Revenue Code. It also updates eligibility criteria, allowing individuals with disabilities that occurred before age 46 to participate starting January 1, 2026, and replaces the term "depositors" with "authorized individuals" to clarify who can establish an ABLE account.

Additionally, the bill establishes the Connecticut Achieving a Better Life Experience (ABLE) Trust as a state instrumentality responsible for managing ABLE account funds, ensuring these funds are not considered state property and are not commingled with state funds. The State Treasurer will oversee the trust's operations, including fund management and annual reporting. The bill broadens the financial disregard for ABLE accounts in determining eligibility for means-tested public assistance programs, ensuring that funds in these accounts do not affect an individual's eligibility for assistance. Overall, the bill aims to enhance the management of ABLE accounts while ensuring compliance with federal regulations and promoting financial independence for individuals with disabilities.

Statutes affected:
Raised Bill: 3-39j, 3-39k, 3-39l, 3-39p, 3-39q, 3-39r
HS Joint Favorable: 3-39j, 3-39k, 3-39l, 3-39p, 3-39q, 3-39r
File No. 385: 3-39j, 3-39k, 3-39p, 3-39q, 3-39r