BILL NUMBER: S2144
SPONSOR: PERSAUD
 
TITLE OF BILL:
An act to amend the social services law, in relation to exempting income
earned by persons from certain job training or adult education programs
from the determination of need for public assistance programs
 
PURPOSE OR GENERAL IDEA OF BILL:
The bill proposes a 100% earned income disregard to allow individuals
completing a state or federally recognized public assistance employment
program to retain full public benefits for six months for purposes of
mitigating a "benefits cliff".
 
SUMMARY OF SPECIFIC PROVISIONS:
Section one of the bill would amend section 131-a of the Social Services
Law to allow a six month earned income disregard for individuals
commencing employment after leaving or completing a qualifying job
training program
Section two of the bill would provide for an immediate effective date.
 
JUSTIFICATION:
Many public assistance recipients who are working to attain greater
self-sufficiency encounter economic barriers as their rising incomes
disqualify them from various benefits. Such benefits include, but are
not limited to Supplemental Nutrition Assistance Program (SNAP), Medi-
caid, childcare and rental assistance. When a household no longer quali-
fies for benefits (even with minimum wage incomes), the costs associated
with purchasing healthcare and paying for childcare are often too great
and can thus deter some recipients from fully re-entering the workforce.
Under this legislation, individuals entering the paid workforce after
participating in a qualified state or federal job training program (or
welfare-to-work program) would be allowed to continue receiving benefits
alongside earned income for a maximum of six months. This would allow
recipients to save earned income in an amount exceeding statutory limits
so that recipients can absorb future expenses that will increase as a
result of disqualification from various federal and state benefits. The
Massachusetts Department of Transitional Assistance has implemented a
similar program.
 
PRIOR LEGISLATIVE HISTORY:
2022: S. 6589-A passed Senate, delivered to Assembly
2021: S. 6589 reported to Finance
 
FISCAL IMPLICATIONS:
To be determined.
 
EFFECTIVE DATE:
This act shall take effect immediately.

Statutes affected:
S2144: 131-a social services law, 131-a(8) social services law