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Enrolled Version - Final Version Senate Bill 430 History

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Key: Green = existing Code. Red = new code to be enacted
ENROLLED

Senate Bill No. 430

(By Senators Tomblin, Mr. President, and Buckalew,

By Request of the Executive)

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[Passed April 12, 1997; in effect ninety days from passage.]

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AN ACT to amend and reenact sections two, three, four, five, six, seven, eight, nine, ten, eleven, twelve, fifteen and eighteen, article nine, chapter nine of the code of West Virginia, one thousand nine hundred thirty-one, as amended; to further amend said article by adding thereto a new section, designated section twenty; and to amend and reenact section twenty-four, article two, chapter forty-eight-a of said code, all relating to conforming the West Virginia works act and support enforcement law to federal requirements; legislative findings; defining terms; removing obsolete language relating to program implementation, waiver proposals and emergency rules; removing requirement that rules be promulgated in accordance with administration procedures act; changing work exemption for new mothers; requiring personal responsibility contract be signed before receipt of cash assistance; diversionary assistance allowances; providing for confidentiality of information; fines and criminal penalties for unauthorized release of confidential information; and removing the pass-through of the first fifty dollars of amounts collected as child support.

Be it enacted by the Legislature of West Virginia:
That sections two, three, four, five, six, seven, eight, nine, ten, eleven, twelve, fifteen and eighteen, article nine, chapter nine of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be amended and reenacted; that said article be further amended by adding thereto a new section, designated section twenty; and that section twenty-four, article two, chapter forty-eight-a of said code be amended and reenacted, all to read as follows:
CHAPTER 9. HUMAN SERVICES.

ARTICLE 9. WEST VIRGINIA WORKS PROGRAM.
§9-9-2. Legislative findings; purpose.
(a) The Legislature hereby finds and declares that:
(1) The entitlement of any person to receive federal-state cash assistance is hereby discontinued;
(2) At-risk families are capable of becoming self- supporting;
(3) A reformed assistance program should both expect and assist a parent and caretaker-relatives in at-risk families to support their dependent children and children for which they are caretakers;
(4) Every parent or caretaker-relative can exhibit responsible patterns of behavior so as to be a positive role model;
(5) Every parent or caretaker-relative who receives cash assistance has a responsibility to participate in an activity to help them prepare for, obtain and maintain gainful employment;
(6) For a parent or caretaker-relative who receives cash assistance and for whom full-time work is not feasible, participation in some activity is expected to further themselves, their family or their community;
(7) The state should promote the value of work and the capabilities of individuals;
(8) Job development efforts should enhance the employment opportunities of participants;
(9) An effective public education system is the key to long- term self-support; and
(10) A reformed assistance program should be structured to achieve a clear set of outcomes; deliver services in an expedient, effective and efficient manner; and maximize community support for participants. After five years, there is expected to be a decrease in the following: (i) The number of persons receiving public assistance; and (ii) the amount of time an individual remains on public assistance.
(b) The goals of the program are to achieve more efficient and effective use of public assistance funds; reduce dependency on public programs by promoting self-sufficiency; and structure the assistance programs to emphasize employment and personal responsibility. The program is to be evaluated on the increase in employment rates in the program areas; the completion of educational and training programs; the increased compliance in preventive health activities, including immunizations; and a decrease in the case-load of division of personnel.
§9-9-3. Definitions.
In addition to the rules for the construction of statutes in section ten, article two, chapter two of this code and the words and terms defined in section two, article one of this chapter, unless a different meaning appears from the context:
(a) "At-risk family" means a group of West Virginians living in the same household, living below the federally designated poverty level, lacking the resources to become self-supporting, and consisting of a dependent minor child or children living with a parent, stepparent or caretaker-relative; an "at-risk family" may include an unmarried minor parent and his or her dependent child or children who live in an adult supervised setting;
(b) "Beneficiary" or "participant" means any parent or caretaker-relative in an at-risk family who receives cash assistance for himself or herself and family members;
(c) "Cash assistance" means temporary assistance for needy families or diversionary assistance;
(d) "Challenge" means any fact, circumstance or situation that prevents a person from becoming self-sufficient or from seeking, obtaining or maintaining employment of any kind, including physical or mental disabilities, lack of education, testing, training, counseling, child care arrangements, transportation, medical treatment or substance abuse treatment;
(e) "Community or personal development" means activities designed or intended to eliminate challenges to participation in self-sufficiency activities. These activities are to provide community benefit and enhance personal responsibility, including, but not limited to, classes or counseling for learning life skills or parenting, dependent care, job readiness, volunteer work, participation in sheltered workshops or substance abuse treatment;
(f) "Department" means the state department of health and human resources;
(g) "Division" means the division of human services;
(h) "Income" means money received by any member of an at- risk family which can be used at the discretion of the household to meet its basic needs: Provided, That income shall not include earnings of minor children in school, payments received from earned income tax credit or tax refunds;
(i) "Personal responsibility contract" means a written agreement entered into by the division and a beneficiary which establishes the responsibilities and obligations of the beneficiary;
(j) "Secretary" means the secretary of the state department of health and human resources;
(k) "Subsidized employment" means employment with earnings provided by an employer who receives a subsidy from the division for the creation and maintenance of the employment position;
(l) "Support services" means, but is not limited to, the following services: Child care; medicaid; transportation assistance; information and referral; resource development services which is assisting families to receive child support enforcement and supplemental social security income; family support services which is parenting, budgeting and family planning; relocation assistance; and mentoring services;
(m) "Unsubsidized employment" means employment with earnings provided by an employer who does not receive a subsidy from the division for the creation and maintenance of the employment position;
(n) "Work" means unsubsidized employment, subsidized employment, work experience or community or personal development; and
(o) "Work experience" means unpaid structured work activities that are provided in an environment where performance expectations are similar to those existing in unsubsidized employment and which provide training in occupational areas that can realistically be expected to lead to unsubsidized employment.
§9-9-4. Authorization for program.
(a) The secretary shall conduct the West Virginia works program in accordance with this article and any applicable regulations promulgated by the secretary of the federal department of health and human services in accordance with federal block-grant funding or similar federal funding stream. This program shall be implemented to replace welfare assistance programs for at-risk families in accordance with this article and within federal requirements; to coordinate the transfer of all applicable state programs into the temporary assistance to needy families West Virginia works program; to expend only the funds appropriated by the Legislature to establish and operate the program or any other funds available to the program pursuant to any other provisions of the code or rules; to establish administrative due process procedures for revocation or termination proceedings; and implement such other procedures as may be necessary to accomplish the purpose of this article.
(b) The secretary may establish the program as one or more pilot projects to test the policy being evaluated. Any pilot project so established is to be consistent with the principles and goals set forth in this article. The secretary shall determine the counties in which to implement the provisions of this program, considering a fair representation of both rural and urban areas, and may vary the program components to test the effectiveness, efficiency and fiscal impact of each prior to statewide implementation. The secretary shall structure the initial pilot program, or programs to include a minimum of fifteen percent of the state population that qualifies for temporary assistance for needy families, or any successor program. The pilot program shall eventually include a minimum of fifteen percent of the participants eligible in other categories, as funds are available.
(c) The West Virginia works program authorized pursuant to this act does not create an entitlement to that program or any services offered within that program, unless entitlement is created pursuant to a federal law or regulation. The West Virginia works program, and each component of that program established by this act or the expansion of any component established pursuant to federal law or regulation, is subject to the annual appropriation of funds by the Legislature.
(d) Copies of all rules proposed by the secretary shall also be filed with the legislative oversight commission on health and human resources accountability established pursuant to article twenty-nine-e, chapter sixteen of this code.
(e) In conjunction with the performance evaluation of the department of health and human resources scheduled during the interim of the Legislature in the year one thousand nine hundred ninety-seven, the performance evaluation and research division of the legislative auditor's office shall undertake a statistical study evaluating the rates at which participants in the pilot program established under this article move to unsubsidized employment, subsidized employment and work experience, and report findings to the joint committee on government operations not later than the thirtieth day of October, one thousand nine hundred ninety-seven. The performance evaluation and research division may review and make recommendations with respect to the methodology established by the secretary for evaluating the effectiveness, efficiency and fiscal impact of the pilot project established pursuant to this section.
(f) Notwithstanding the provisions of subsection (b) of this sectionarticle, the secretary shall implement, not later than the first day of January, one thousand nine hundred ninety-eight, modifications to the temporary assistance to needy families program so that the method of calculating the amount of cash assistance for which a participant's family is eligible, including treatment of income and assets, does not vary depending on the participant's county of residence: Provided, That nothing in this subsection may be construed to require the expansion or statewide implementation of the program created in this article until such time as the effectiveness, efficiency and fiscal impact of the program is tested and evaluated.
§9-9-5. West Virginia works program fund.
There is hereby created a special account within the state treasury to be known as the "West Virginia Works Program Fund". Expenditures from the fund shall be used exclusively to meet the necessary expenditures of the program, including wage reimbursements to participating employers, temporary assistance to needy families, employment-related child care payments, transportation expenses and administrative costs directly associated with the operation of the program. Moneys paid into the account shall be from specific annual appropriations of funds by the Legislature.
§9-9-6. Program participation.
(a) Unless otherwise noted in this article, all adult recipients of cash assistance shall be required to participate in the West Virginia works pilot program in accordance with the provisions of this article. The level of participation, services to be delivered and work requirements shall be defined within the terms of the personal responsibility contract and through rules established by the secretary.
(b) To the extent funding permits, any individual exempt under the provisions of section eight of this article may participate in the activities and programs offered through the West Virginia works program.
(c) Support services other than cash assistance through the works program may be provided to at-risk families to eliminate the need for cash assistance.
(d) Cash assistance through the works program may be provided to an at-risk family if the combined family income is below the income and asset test levels established by the division: Provided, That an at-risk family that includes a married man and woman and dependent children of either one or both may receive an additional cash assistance benefit in an amount ten percent greater than the cash assistance benefit provided to the same size household in which there are no married adults: Provided, however,: That an at-risk family shall receive an additional cash assistance benefit in an amount equal to the amount of child support collected in a month on behalf of a child or children of the at- risk family, not to exceed fifty dollars.
§9-9-7. Work requirements
.

Unless otherwise exempted by the provisions of section eight of this article, the West Virginia works program shall require that anyone who possesses a high school diploma, or its equivalent, or anyone who is of the age of twenty years or more, to work or attend an educational or training program for a minimum of twenty hours per week to receive any form of cash assistance. In accordance with federal law or regulation, the work, education and training requirements of this section are waived for any qualifying participant with a child under six years of age if the participant is unable to obtain appropriate and available child care services. In order for any participant to receive cash assistance, he or she shall enter into personal responsibility contracts pursuant to the provisions of section nine of this article.
§9-9-8. Exemptions.
Participants exempt from the work requirements of the works program pursuant to the provisions of this section shall be required to develop a personal responsibility contract. The secretary shall establish by rule categories of persons exempt only from the work requirements of the program, which categories include, but are not limited to, the following:
(a) A parent caring for a dependent child with a life- threatening illness;
(b) Individuals over the age of sixty years;
(c) Full-time students that are less than twenty years of age and are pursuing a high school diploma or equivalent;
(d) Persons with a physical or mental incapacity or persons suffering from a temporary debilitating injury lasting more than thirty days;, as defined by the secretary;
(e) Relatives providing in-home care for an individual that would otherwise be institutionalized; and
(f) Any woman during the last trimester of pregnancy and the first six months after the birth of the child but in no case shall the woman be exempt from the work requirements for more than a total of six months: Provided, That, in the case of the birth of the first child to said woman after said woman first becomes a cash assistance recipient, the woman may be exempt up to the time her child reaches twelve months of age.
§9-9-9. Personal responsibility contract.
(a) Every eligible adult beneficiary shall participate in a program orientation and the development, and subsequent revisions, of a personal responsibility contract. The contract shall be defined based on the assessed goals and challenges of the participant:
(1) If the participant has a recent attachment to the work force, the contract shall include provisions regarding required job search activities, identified support services, level of benefits requested and time limitation.
(2) If the participant does not have a recent attachment to the work force, the contract shall identify the evaluation or testing activities, and/or job training activities necessary prior to job search activities, identified support services, benefits requested and time limitation.
(3) If it is determined that the participant is not able to obtain or maintain gainful employment, the contract shall contain appropriate provisions defining the activities that benefit the participant, their family or their community.
(4) The participant's contract shall include the requirement that the participant develop and maintain, with the appropriate health care provider, a schedule of preventive care for their dependent child, including routine examinations and immunizations; assurance of school attendance for school age children under their care; assurance of properly supervised child care, including after-school care; and establish paternity or actively pursue child support, or both, if applicable and if deemed necessary, nutrition or other counseling, parenting or family planning classes.
(5) If the participant must overcomes challenges prior to employment, the contract shall include a list of the identified challenges and an individual plan for overcoming the same.
(6) If the participant is a teenage parent, the participant may work, but the contract shall include the requirements that the participant:
(A) Remain in an educational activity to complete high school, obtain a general equivalent diploma or obtain vocational training and make satisfactory scholastic progress;
(B) Attend parenting classes or participate in a mentorship program, or both if appropriate; and
(C) Live at home or in other adult supervised arrangements if they are unemancipated minor parents.
(7) If the participant is under the age of twenty years and does not have a high school education or its equivalent, the contract shall include requirements to participate in mandatory education or training, which if the participant is unemployed, may include a return to high school with satisfactory scholastic progress.
(b) In order to receive cash assistance the participant shall enter into a personal responsibility contract. If the participant refuses to sign the personal responsibility contract, the participant and family members shall be ineligible to receive cash assistance: Provided, That a participant who alleges that the terms of a personal responsibility contract are inappropriate based on the individual circumstances of the participant may request and shall be provided a fair and impartial hearing in accordance with administrative procedures established by the division and due process of law. A participant who signs a personal responsibility contract, or complies with a personal responsibility contract, does not waive his or her right to request and receive a due process hearing under this subsection.
(c) Personal responsibility contracts shall be drafted by the division on a case-by-case basis; take into consideration the individual circumstances of each beneficiary; reviewed and reevaluated not less often than every two years; and, in the discretion of the division, amended or extended on a periodic basis.
§9-9-10. Participation limitation; exceptions.
The length of time a participant may receive cash assistance through the West Virginia works program shall be defined in the personal responsibility contract: Provided, That no participant may receive benefits for a period longer than sixty months, except in circumstances as defined by the secretary.
§9-9-11. Breach of contract; notice; sanctions.
(a) The division may refuse to extend or renew a personal responsibility contract and the benefits received by the beneficiary, or may terminate an existing contract and benefits, if the division finds any of the following:
(1) The employment of fraud or deception by the beneficiary in applying for or receiving program benefits;
(2) A substantial breach of the requirements and obligations set forth in the personal responsibility contract;
(3) A violation of any provision of the personal responsibility contract, this article, or any rule promulgated by the secretary pursuant to this article.
(b) In the event the division determines that a personal responsibility contract or the benefits received by the beneficiary are subject to revocation or termination, written notice of the violation, revocation or termination shall be deposited in the United States mail, postage pre-paid and addressed to the beneficiary at his or her last known address thirteen days prior to such termination or revocation. Such notice shall state the action of the division, its reason or reasons for such termination and grant to the beneficiary a reasonable opportunity to be heard at a fair and impartial hearing before the division in accordance with administrative procedures established by the division and due process of law.
(c) In any hearing granted pursuant to the provisions of this section, the beneficiary shall maintain the burden of proving that his or her benefits were improperly terminated and shall bear his or her own costs, including attorneys fees.
(d) The secretary shall determine by rule de minimis violations and those violations subject to sanctions and maximum penalties. In the event the division finds that a beneficiary has violated any provision of this article, of his or her personal responsibility contract or any applicable division rule, the division shall impose sanctions against the beneficiary as follows:
(1) For the first noncompliance, a one-third reduction of benefits for three months;
(2) For the second noncompliance, a two-thirds reduction in benefits for three months; and
(3) For the third noncompliance, a termination of benefits for six months.
(e) For any sanction imposed pursuant to subsection (d) of this section, if compliance occurs within thirteen days of the date of the notice of the sanction, the reduction in benefits shall not be imposed, but the noncompliance shall count in determining the level of sanction to be imposed for any future noncompliance. Once a reduction in benefits is in effect, it shall remain in effect for the designated time period: Provided, That if a participant incurs a second noncompliance sanction during the time period of an imposed first noncompliance sanction, the sanctions shall run concurrently at the second noncompliance sanction rate: Provided, however, That if during the time period of an imposed second noncompliance sanction, a third noncompliance occurs, the third noncompliance sanction shall be imposed and the participant's benefits shall be terminated. If benefits are terminated, benefits may not be provided until after the six-month time period and the noncompliance that caused the termination has been rectified or excused.
§9-9-12.
Diversionary assistance allowance in lieu of monthly cash assistance.

(a) In order to encourage at-risk families not to apply for ongoing monthly cash assistance from the state, the secretary may issue one-time diversionary assistance allowances to families in an amount not to exceed three months of cash assistance in order to enable such families to become immediately self-supporting: Provided, That receipt of such allowance, regardless of amount, shall count as three months of the sixty months designated under the provisions of section ten of this article.



(b) The secretary shall establish by rule the standards to be considered in making diversionary assistance allowances.
(c) Nothing in this section shall be construed to require that the division or any assistance issued pursuant to this section be subject to any of the provisions of chapter thirty-one or chapter forty-six-a of this code.
§9-9-15. Interagency coordination.
The Legislature encourages the development of a system of coordinated services, shared information and stream-lined application procedures between the program and the other agencies within the department to implement the provisions of this article. The secretary shall require the coordination of activities between the program and the following agencies:
(a) The child support enforcement division for the purpose of establishing paternity, promoting cooperation in the pursuit of child support, encouraging noncustodial parents to get job search assistance and determining eligibility for cash assistance and support services;
(b) The bureau of public health for the purpose of determining appropriate immunization schedules, delivery systems and verification procedures; and
(c) The bureau of medical services for the purpose of reporting eligibility for medical assistance and transitional benefits.
The secretary may require the coordination of procedures and services with any other agency he or she deems necessary to implement this program: Provided, That all agencies coordinating services with the division shall, when provided with access to division records or information, abide by state and federal confidentiality requirements including the provisions of section twenty of this article.
The secretary shall propose any rules, including emergency rules, necessary for the coordination of various agency activities in the implementation of this section.
§9-9-18. Relationship with other law.
If any provision of this article conflicts with any other provision of this code or rules, the provisions of this article shall supersede such provisions: Provided, That the provisions of this article shall not supersede any provisions which are required or mandated by federal law.
Any reference in this code or rules to "aid to families with dependent children" means "temporary assistance for needy families" or any successor state program funded under Part A, Title IV of the Social Security Act.
§9-9-20. Confidentiality, fines and penalties.
(a) Except as otherwise provided in this code or rules, all records and information of the department regarding any beneficiary or beneficiary's family members shall be confidential and shall not be released, except under the following circumstances:
(1) If permissible under state or federal rules or regulations;
(2) Upon the express written consent of the beneficiary or his or her legally authorized representative;
(3) Pursuant to an order of any court based upon a finding that said information is sufficiently relevant to a proceeding before the court to outweigh the importance of maintaining the confidentiality established by this section: Provided, That all confidential records and information presented to the court shall after review be sealed by the clerk and shall not be open to any person except upon order of the court upon good cause being shown therefor; or
(4) To a department or division of the state, pursuant to the terms of an interagency agreement.
(b) Any person who knowingly and willfully releases or causes to be released the confidential records and information described in this section, except under the specific circumstances enumerated in this section, is guilty of a misdemeanor and, upon conviction thereof, shall be fined not more than five hundred dollars or confined in the county or regional jail for not more than six months, or both.
CHAPTER 48A. ENFORCEMENT OF FAMILY OBLIGATIONS.

ARTICLE 2. WEST VIRGINIA SUPPORT ENFORCEMENT COMMISSION; CHILD SUPPORT ENFORCEMENT DIVISION; ESTABLISHMENT AND ORGANIZATION.

§48A-2-24. Disbursements of amounts collected as support.

(a) Amounts collected as child or spousal support by the child support enforcement division shall be distributed within ten days of receipt, except as otherwise specifically provided in this chapter. Such amounts shall, except as otherwise provided under the provisions of subsection (c) of this section, be distributed as follows:
(1) Any amounts which are collected periodically which represent monthly support payments shall be paid by the child support enforcement division to the appropriate administrative unit of the department of health and human resources to reimburse it for assistance payments to the family during that period (with appropriate reimbursement of the federal government to the extent of its participation in the financing);
(2) Amounts as are in excess of amounts required to reimburse the department of health and human resources under subdivision (1) of this subsection and are not in excess of the amount required to be paid during such period to the family by a court order shall be paid to the obligee; and
(3) Amounts that are in excess of amounts required to be distributed under subdivisions (1)and (2) of this subsection shall be: (A) Paid by the child support enforcement division to the appropriate administrative unit of the department of health and human resources (with appropriate reimbursement of the federal government to the extent of its participation in the financing) as reimbursement for any past assistance payments made to the family for which the department has not been reimbursed; or (B) if no assistance payments have been made by the department which have not been repaid, such amounts shall be paid to the obligee.
(b) (1) Whenever a family for whom support payments have been collected and distributed under the provisions of this chapter ceases to receive assistance from the department of health and human resources, the child support enforcement division shall provide notice to the family of their rights with regard to a continuation of services. Unless notified by the family that services are no longer desired, the child support enforcement division shall continue to collect amounts of support payments which represent monthly support payments from the obligor and pay any amount so collected, which represents monthly support payments, to the family (without requiring any formal reapplication and without the imposition of any application fee) on the same basis as in the case of other obligees who are not receiving assistance from the department of health and human resources.
(2) So much of any amounts of support so collected shall be paid, first, to the obligee until all past due support owed to the family by the obligor has been paid. After all arrearages owing to the family have been paid, any amounts of support collected which are in excess of the required support payments shall be distributed in the manner provided by paragraphs (A) and (B), subdivision (34), subsection (a) of this section with respect to excess amounts described in said subsection.
(c) (1) Notwithstanding the preceding provisions of this section, amounts collected by the child support enforcement division as child support for months in any period on behalf of a child for whom the department of health and human resources is making foster care maintenance payments shall:
(A) Be paid by the child support enforcement division to the appropriate administrative unit of the department of health and human resources to the extent necessary to reimburse the department for foster care maintenance payments made with respect to the child during such period (with appropriate reimbursement of the federal government to the extent of its participation in financing);
(B) Be paid to the appropriate administrative unit of the department of health and human resources to the extent that the amounts collected exceed the foster care maintenance payments made with respect to the child during such period but do not exceed the amounts required by a court order to be paid as support on behalf of the child during such period; and the department of health and human resources may use the payments in the manner it determines will serve the best interests of the child, including setting such payments aside for the child's future needs or making all or a part thereof available to the person responsible for meeting the child's day-to-day needs; and
(C) Be paid to the appropriate administrative unit of the department of health and human resources if any portion of the amounts collected remains after making the payments required under paragraphs (A) and (B) of this subdivision, to the extent that such portion is necessary to reimburse the department of health and human resources (with appropriate reimbursement to the federal government to the extent of its participation in the financing), for any past foster care maintenance payments, or payments of aid to families with dependent children which were made with respect to the child (and with respect to which past collections have not previously been retained);

(d) Any payment required to be made under the provisions of this section to a family shall be made to the resident parent, legal guardian or caretaker relative having custody of or responsibility for the child or children.
(e) The commission shall establish bonding requirements for employees of the child support enforcement division who receive, disburse, handle or have access to cash.
(f) The director shall maintain methods of administration which are designed to assure that employees of the child support enforcement division or any persons employed pursuant to a contract who are responsible for handling cash receipts do not participate in accounting or operating functions which would permit them to conceal in the accounting records the misuse of cash receipts: Provided, That the director may provide for exceptions to this requirement in the case of sparsely populated areas in this state where the hiring of unreasonable additional staff in the local office would otherwise be necessary.
(g) No penalty or fee may be collected by or distributed to a recipient of child support enforcement division services from the state treasury or from the child support enforcement fund when child support is not distributed to the recipient in accordance with the time frames established herein.
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