REPORT TITLE:
TANF; $5,000 Asset Disregard


DESCRIPTION:
Allows recipients of TANF to have 1 savings account up to $5,000
for tuition, books, and incidental expenses or a down payment on
a primary residence or for business incubation to be disregarded
in calculation of determination of assistance.  Also exempts net
worth of any business owned by a member of the assistance unit.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                            919         
HOUSE OF REPRESENTATIVES                H.B. NO.           
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO RECIPIENTS OF TEMPORARY ASSISTANCE TO NEEDY FAMILIES.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  Chapter 346, Hawaii Revised Statutes, is amended
 
 2 by adding a new section to be appropriately designated and to
 
 3 read as follows:
 
 4      "�346-     Asset disregard; savings accounts; rules.  (a)
 
 5 Any individual or family receiving temporary assistance to needy
 
 6 families or any other assistance under this chapter except for
 
 7 general assistance, shall be allowed to have or establish one
 
 8 interest-bearing savings account per assistance unit not to
 
 9 exceed $5,000 at a financial institution for the purpose of
 
10 paying for tuition, books, and incidental expenses at any
 
11 elementary, secondary, or vocational school or any college or
 
12 university or for making a down payment on a primary residence or
 
13 for business incubation.  Any funds deposited in the account, and
 
14 any interest earned thereon, shall be disregarded in any
 
15 calculation of determination of assistance under section 346-53
 
16 for as long as the funds and interest remain on deposit in the
 
17 account.  Any amounts withdrawn from the account for the purposes
 
18 stated in this section shall be exempt from consideration in any
 
19 determination of assistance.  For the purposes of this section,
 

 
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                                     H.B. NO.           
                                                        
                                                        

 
 1 "business incubation" means the initial establishment of a
 
 2 commercial operation which is owned by a member of the assistance
 
 3 unit.  The net worth of any business owned by a member of the
 
 4 assistance unit, shall also be disregarded in any calculation of
 
 5 determination of assistance under section 346-53.
 
 6      (b)  The department shall adopt rules in accordance with
 
 7 chapter 91 to carry out the purposes of this section."
 
 8      SECTION 2.  The department of human services shall obtain
 
 9 any federal waivers that may be required to implement this Act.
 
10      SECTION 3.  New statutory material is underscored.
 
11      SECTION 4.  This Act shall take effect upon its approval and
 
12 upon the obtaining of any necessary federal waivers.
 
13 
 
14                           INTRODUCED BY:  _______________________