The proposed bill, known as "The Help for Low Income Seniors Act," aims to enhance financial eligibility for the Medicare savings program by removing asset limits and increasing income thresholds. Specifically, it mandates the Department of Health and Human Services to eliminate the resource test for eligibility and to establish income disregards that allow individuals with incomes up to 185% of the federal poverty level to qualify as qualified Medicare beneficiaries, while those with incomes between 185% and 250% can qualify as qualified individuals. The bill also requires the department to adopt necessary rules and submit amendments to the state Medicaid plan to implement these changes by November 1, 2025.

The fiscal impact of the bill is significant, with an estimated increase of approximately $14.3 million in general fund expenditures annually to cover additional Medicare premiums and cost-sharing for new beneficiaries. The Department anticipates that the changes will allow around 10,000 lower-income individuals to access Medicare benefits, potentially reducing future Medicaid costs by enabling more individuals to remain in their homes rather than seeking institutional care. The funding for these expenditures will be split evenly between general and federal funds.