Jacque Bill eliminates penalties for those looking to work
MADISON, WI… Bipartisan legislation authored by State Senator André Jacque (New Franken) unanimously passed the Assembly Committee on Health, Aging and Long-Term Care today on a vote of 12 to 0.
Assembly Bill 253 (AB 253) grants greater financial flexibility to disabled individuals who are working and receiving support through the Wisconsin Medical Assistance Purchase Plan (MAPP), addressing the “benefits cliff” dilemma that many within the program face.
Disabled adults in Wisconsin on Medicaid are supported in their workforce participation through enrollment in MAPP, a buy-in program open to individuals at or below 250% of the federal poverty level who have under $15,000 in total assets. As of April, that program included 32,102 Wisconsin residents.
Those using the MAPP program can open an Independence Account and deposit 50 percent of their gross work earnings to protect their Medicaid coverage, up to $15,000 for a twelve-month period. AB 253 as amended would remove the cap on earnings that can be deposited for those qualified to participate in the program, and would also exempt up to $40,000 in funds obtained as a result of an inheritance payment. The legislation has the formal support of the Wisconsin Board for People with Developmental Disabilities and is a follow-up to previous legislation authored by Sen. Jacque removing a number of other disincentives to taking on expanded work opportunities through the MAPP program. Rep. Rob Brooks is the lead Assembly author of the bill.
“Disabled individuals who are able and want to work should not be penalized for attempting to improve their life circumstances, and AB 253 removes potential obstacles to that goal,” said Jacque.
The law was specifically drafted in response to concerns about disabled individuals receiving inheritance payments as well as losing significant amount of the money they earned if they deposited excess savings into an independence account. A disabled person on Medicaid monitors their earnings to ensure they retain health care coverage while working, but the beneficiary of an unexpected inheritance payment is at risk of being subjected to financial penalties, or to reduce the amount they work.
“This legislation will encourage individuals with disabilities to live full, independent and productive lives, and I am pleased to see this effort to protect disabled Wisconsin workers on Medicaid advance,” said Jacque.
AB 253 now moves to the full Assembly for a vote. If passed by both state legislative chambers, the bill would move to the governor’s desk for a signature.
Senator André Jacque represents Northeast Wisconsin’s First Senate District, consisting of Door, Kewaunee and Calumet Counties and portions of Brown, Manitowoc, and Outagamie counties.
