Photo by Justin Clay | The Signal
And all of which would be addressed by House Bill 768 (HB 768), known as the “Achieving a Better Life Experience Act” (ABLE). ABLE allows a tax-free savings account of up to $100,000 for individuals without compromising their eligibility for Medicaid. As long as that money is spent on disability-related needs in areas such as transportation, education and housing. The bill unanimously passed a House vote on Feb. 23.
A sponsor of the bill, State Rep. Lee Hawkins, R- Gainesville, told the AJC that if withdrawals from an ABLE-account are qualified as disability need-based, there will be no tax, however, if they are for non-related causes, there will be 10 percent tax on the withdrawal.
The bill echoes the ABLE Act passed by Congress in 2014, providing the same benefits to individuals with disabilities, an account created for the person and family to cover need-based expenses. With the federal government to look up to, 35 other states have passed an ABLE bill, each with different versions, and each allowing a different maximum to ABLE accounts. But many states will not be launching the program until 2017.
Full-time care; part-time jobs
To qualify as a recipient for Medicaid, Supplemental Security Income (SSI) or the Social Security Disability Insurance (SSDI), a disabled individual can only have up to $2,000 in their bank account, or $3,000 if it’s a couple. Which means scoring a full-time, good-paying job isn’t an option in danger of exceeding the bank account max.
According to Medicaid experts Carla Willis, Bill Rencher, Melissa Haberlen and Kristi Fuller of Georgia State’s public policy department, an ABLE account will not be taken into consideration when individuals are considered for SSI, SSDI and Medicaid benefits.
“[The bill would allow] individuals with disabilities to save money for disability-related expenses without risking certain federal benefits or access to Medicaid coverage,” the team said in an email to The Signal.
Hall said many of her friends and previous co-workers had to be sent home from their jobs earlier to qualify as only part-time workers and not exceed the bank account limit.
“Even if that’s money we’ve earned, if we go above that number we’re in danger of losing our benefits,” she said. “And with $2,000, it’s almost impossible to find an apartment in Atlanta.”
And that’s why life at home comes as the easiest – and only – option for many, Hall said. With Medicaid covering only up to 40 hours a week of nursing services, and with certain disabilities requiring round-the-clock care, parents become the caretakers of such individuals.
Hall said she thinks, for handicap accessibility reasons, the most convenient housing facility is Piedmont North. She said she’d love a kitchen of her own, but Commons don’t have accessible doors and despite the fact that she’s a junior, Piedmont North is the only convenient housing facility.
However, she still has to have a nurse come in every morning and evening to help her get ready. And she feels fortunate that that’s all she needs, because she said there are others that need more intensive care throughout the day but can’t afford it.
She currently holds an internship at the State Capitol, and said a disabled co-worker lacks the care she needs, because she doesn’t have the funding or money to pay for it.
“Her elderly mom has to take weeks off at a time to take care of her, because even though she needs 24-hour care, funding doesn’t allow for it. And if she passes away, the girl will have to be institutionalized,” Hall said.
The bill also addresses is the issue of transportation, which for Hall is a constant barrier.
She said after being deemed unfit to drive, her only choice was public transit, which is both expensive and inconvenient.
“Taking MARTA once or twice is fine, but it doesn’t drop you off at all the precise locations,” Hall said. “And Marta drivers are often late, and very expensive.”
After landing another internship recently, Hall said there is more to consider before accepting.
“It’s exactly 17 minutes from the school. But an accessible car and driver costs $135, and I can’t afford to pay that money every day.” Hall said.
Terms of agreement
Under HB 768, once an individual with an ABLE account passes away, the state’s Department of Community Health claims the money the individual received for medical assistance (Medicaid) since opening their ABLE account.
This means, after their passing, guardians or family members of disabled individuals are obliged to pay the state government back for all need-related expenses that Medicaid covered, and if needed, draw that money from the ABLE account.
According to the Georgia State experts, the clause concerning the deceased is consistent with Medicaid policies, such as Medicaid estate recovery of Georgia Medicaid for Workers with Disability Program.
“Federal law allows a person’s home to be excluded as a resource for the purposes of Medicaid eligibility, but after the person passes away funds are recovered from their estate for the purpose of covering the cost of the services provided,” the team said.
They said such policies were there to make sure that people consider Medicaid as the last resort when it comes to health insurance.
But despite the requirements, Hall said it’s a win-win.
“An ABLE account not only allows me to store money, but it guarantees for additional funding from the government to cover my expenses. So it’s only fair if I pay that money back,” she said.
It’s more than a bill, Hall said; it’s an eye-opener to people that view disabled individuals as non-contributing members to society.
“Everyone has their daily life struggles, but when people look at someone who’s disabled, they think we can’t do anything,” Hall said. “So it’s not that I want the bill to receive more funding from the government, but just to earn my own money and be independent.”
