SENATE BILL No. 817

November 6, 2001, Introduced by Senators JOHNSON and HAMMERSTROM and referred to

the Committee on Families, Mental Health and Human Services.

A bill to amend 1939 PA 280, entitled

"The social welfare act,"

by amending sections 57d, 57e, 57f, and 57g (MCL 400.57d,

400.57e, 400.57f, and 400.57g), as added by 1995 PA 223, and by

adding section 14h.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

1 SEC. 14H. (1) THE FAMILY INDEPENDENCE AGENCY SHALL USE AN

2 ELECTRONIC BENEFIT TRANSFER SYSTEM FOR FOOD STAMP DISTRIBUTION.

3 (2) TO THE EXTENT THAT RULES OR PARTS OF RULES PROMULGATED

4 UNDER THIS ACT CONFLICT WITH THE PROVISIONS OF THIS SECTION, THE

5 PROVISIONS OF THIS SECTION SUPERSEDE THOSE RULES OR PARTS OF

6 RULES.

7 (3) THE FOLLOWING RULES ARE RESCINDED:

8 (A) R 400.3002 OF THE MICHIGAN ADMINISTRATIVE CODE.

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1 (B) R 400.3003 OF THE MICHIGAN ADMINISTRATIVE CODE.

2 (C) R 400.3004 OF THE MICHIGAN ADMINISTRATIVE CODE.

3 (D) R 400.3007 OF THE MICHIGAN ADMINISTRATIVE CODE.

4 (E) R 400.3008 OF THE MICHIGAN ADMINISTRATIVE CODE.

5 (F) R 400.3012 OF THE MICHIGAN ADMINISTRATIVE CODE.

6 (G) R 400.3013 OF THE MICHIGAN ADMINISTRATIVE CODE.

7 Sec. 57d. (1) The Michigan jobs commission DEPARTMENT OF

8 CAREER DEVELOPMENT and the family independence agency shall con-

9 duct joint orientation sessions for family independence assist-

10 ance applicants no less frequently than weekly. After the family

11 independence agency makes an initial determination that an adult

12 or a child aged 16 or older who is not attending elementary or

13 secondary school full-time might be eligible for family indepen-

14 dence assistance, that individual shall attend a joint orienta-

15 tion session as a condition of eligibility prior to receipt of

16 family independence assistance. After completion of the orienta-

17 tion, the individual and the family independence agency shall

18 develop the family's social contract in accordance with section

19 57e. If all eligibility criteria are met, the family indepen-

20 dence agency shall provide family independence assistance to the

21 family for not more than 2 months.

22 (2) By the end of 2 months following the orientation ses-

23 sion described in subsection (1), the family independence agency

24 shall review the individual's compliance with the social

25 contract. If the individual has failed FAILS to cooperate with

26 work first JOINT ORIENTATION OR OTHER REQUIRED EMPLOYMENT AND

27 TRAINING ACTIVITIES, the family is ineligible for further

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1 family independence assistance. If the individual fails to

2 cooperate with any other social contract requirement, the

3 (3) THE family independence agency shall impose penalties

4 under section 57g . IF THE INDIVIDUAL FAILS TO COMPLY WITH

5 EITHER OF THE FOLLOWING:

6 (i) WORK FIRST ACTIVITIES.

7 (ii) EMPLOYMENT AND TRAINING ACTIVITIES.

8 (4) THE FAMILY INDEPENDENCE AGENCY MAY IMPOSE PENALTIES

9 UNDER SECTION 57G IF THE INDIVIDUAL FAILS TO COMPLY WITH THE

10 INDIVIDUAL'S SOCIAL CONTRACT REQUIREMENTS.

11 (5) If the individual is complying with the social contract,

12 the family independence agency and the recipient shall revise the

13 social contract if necessary and the family independence assist-

14 ance group shall continue to receive family independence assist-

15 ance so long as the recipients meet family independence assist-

16 ance program requirements.

17 Sec. 57e. (1) Each family receiving family independence

18 assistance shall execute a social contract outlining the respon-

19 sibilities of members of the family independence assistance

20 group. The social contract shall be developed jointly by the

21 family independence agency and the adult family members and shall

22 identify compliance goals that are to be met by members of the

23 family independence assistance group. The social contract shall

24 reflect the individual needs and abilities of the particular

25 family, and shall include at least all of the following:

26 (a) The obligation of each adult and each child aged 16 or

27 older who is not attending elementary or secondary school

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1 full-time to participate in work first unless exempt under

2 section 57f.

3 (b) The obligation of each minor parent who has not com-

4 pleted secondary school to attend school.

5 (c) The obligation of each adult to engage in at least 20

6 hours per week of employment, work first activities, education

7 or training, community service activities, or self-improvement

8 activities, AS DETERMINED APPROPRIATE BY THE FAMILY INDEPENDENCE

9 AGENCY, UP TO 40 HOURS PER WEEK.

10 (d) The obligation to cooperate in the establishment of

11 paternity and the procurement of child support, if applicable.

12 (e) The obligation of a recipient who fails to comply with

13 compliance goals due to substance abuse to participate in sub-

14 stance abuse treatment and submit to any periodic drug testing

15 required by the treatment program.

16 (f) Any other obligation the family independence agency

17 determines is necessary to enable the family to achieve

18 independence.

19 (2) Beginning 6 weeks after the birth of her child until

20 the child is 3 months old, the family independence agency may

21 permit a mother exempted from work first under section 57f(3)(d)

22 to receive instruction in parenting, nutrition, and child devel-

23 opment as fulfillment of her social contract obligation under

24 section (1)(c).

25 (2) (3) The family independence agency shall monitor each

26 family's compliance with the social contract. If the family

27 fails to comply with the compliance goals set forth in the social

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1 contract, the family independence agency shall impose penalties

2 under section 57g.

3 Sec. 57f. (1) The family independence agency shall enter

4 into an agreement with the Michigan jobs commission DEPARTMENT

5 OF CAREER DEVELOPMENT in order to facilitate the administration

6 of work first. The family independence agency shall make infor-

7 mation on the program available to the legislature.

8 (2) Except as otherwise provided in subsection (3), every

9 member of a family independence assistance group shall be

10 referred to and shall participate in work first. If a recipient

11 has cooperated with work first but the work first agency deter-

12 mines that a job is not available, the recipient may enroll in a

13 program that is specifically job-related and of no more than 2

14 years' duration that is offered by a college or university, com-

15 munity college, state-licensed vocational or technical education

16 program, or state-licensed proprietary school. The particular

17 activities in which the recipient is required or authorized to

18 participate, the number of hours of work required, and other

19 details of work first shall be developed by the Michigan jobs

20 commission DEPARTMENT OF CAREER DEVELOPMENT and the family inde-

21 pendence agency and shall be set forth in the recipient's social

22 contract.

23 (3) The following individuals are exempt from participation

24 in work first:

25 (a) A child under the age of 16.

26 (b) A child aged 16 or older, or a minor parent, who is

27 attending elementary or secondary school full-time.

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1 (c) An individual who is working a minimum number of hours

2 determined by the family independence agency to be necessary to

3 meet federal requirements.

4 (C) (d) The mother of a child under the age of 3 months.

5 THE FAMILY INDEPENDENCE AGENCY MAY REQUIRE A MOTHER EXEMPTED FROM

6 PARTICIPATION IN WORK FIRST UNDER THIS SUBDIVISION TO PARTICIPATE

7 IN FAMILY SERVICES, INCLUDING, BUT NOT LIMITED TO, INSTRUCTION IN

8 PARENTING, NUTRITION, AND CHILD DEVELOPMENT BEGINNING 6 WEEKS

9 AFTER THE BIRTH OF HER CHILD UNTIL THE CHILD IS 3 MONTHS OLD AS

10 FULFILLMENT OF THAT MOTHER'S SOCIAL CONTRACT OBLIGATION UNDER

11 SECTION 57E(1)(C).

12 (D) (e) An individual aged 65 or older.

13 (E) A RECIPIENT OF SUPPLEMENTAL SECURITY INCOME.

14 (F) AN INDIVIDUAL WHO MEETS 1 OR MORE OF THE FOLLOWING CRI-

15 TERIA TO THE EXTENT THAT THE INDIVIDUAL, BASED ON MEDICAL EVI-

16 DENCE AND AN ASSESSMENT OF NEED BY THE FAMILY INDEPENDENCE

17 AGENCY, IS SEVERELY RESTRICTED IN HIS OR HER ABILITY TO PARTICI-

18 PATE IN EMPLOYMENT OR TRAINING ACTIVITIES:

19 (i) (f) A recipient of supplemental security income,

20 social security disability, or medical assistance due to disabil-

21 ity or blindness.

22 (ii) (g) An individual suffering from a physical or mental

23 impairment that meets federal supplemental security income dis-

24 ability standards, except that no minimum duration is required.

25 (iii) (h) The spouse of an individual described in

26 subdivision (f) or (g) SUBPARAGRAPH (i) OR (ii) who is the

27 full-time caregiver of that individual.

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1 (iv) (i) A parent or caretaker of a child who is suffering

2 from a physical or mental impairment that meets the federal sup-

3 plemental security income disability standards, except that no

4 minimum duration is required.

5 (4) In addition to those individuals exempt under subsection

6 (3), the family independence agency may grant a temporary exemp-

7 tion from participation in work first, not to exceed 90 days, to

8 an individual who is suffering from a documented short-term

9 mental or physical illness, limitation, or disability that

10 severely restricts his or her ability to participate in employ-

11 ment or training activities. An individual with a documented

12 mental or physical illness, limitation, or disability that does

13 not severely restrict his or her ability to participate in

14 employment or training activities shall be required to partici-

15 pate in work first at a medically permissible level.

16 (5) An individual is not disabled for purposes of this sec-

17 tion if substance abuse is a contributing factor material to the

18 determination of disability.

19 Sec. 57g. (1) The family independence agency shall develop

20 a system of penalties to be imposed if a recipient fails to

21 comply with the compliance goals set forth in the family indepen-

22 dence assistance group's social contract or commits fraud.

23 Penalties may be cumulative and may include reduction of the

24 grant, removal of an individual from the family independence

25 assistance group, and termination of assistance to the family.

26 (2) A penalty shall not be imposed if the recipient has

27 demonstrated that there was good cause for the noncompliance.

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1 The family independence agency shall determine those THE

2 circumstances that constitute good cause based on factors that

3 are beyond the control of a recipient.

4 (3) Recipients who are willing to participate in activities

5 leading to self-sufficiency but who require child care or trans-

6 portation in order to participate shall not be penalized if the

7 family independence agency determines that child care or trans-

8 portation is not reasonably available or provided to them.

9 (4) THE SYSTEM OF PENALTIES DEVELOPED UNDER SUBSECTION (1)

10 SHALL INCLUDE ALL OF THE FOLLOWING:

11 (A) FAMILY INDEPENDENCE PROGRAM BENEFITS SHALL BE TERMINATED

12 IF A RECIPIENT FAILS TO COMPLY WITH APPLICABLE CHILD SUPPORT

13 REQUIREMENTS INCLUDING EFFORTS TO ESTABLISH PATERNITY AND OBTAIN

14 CHILD SUPPORT. THE ASSISTANCE GROUP IS INELIGIBLE FOR FAMILY

15 INDEPENDENCE PROGRAM ASSISTANCE FOR NOT LESS THAN 1 CALENDAR

16 MONTH. AFTER ASSISTANCE HAS BEEN TERMINATED FOR NOT LESS THAN 1

17 MONTH, ASSISTANCE MAY BE RESTORED IF THE NONCOMPLIANT RECIPIENT

18 COMPLIES WITH CHILD SUPPORT REQUIREMENTS INCLUDING THE ACTION TO

19 ESTABLISH PATERNITY AND OBTAIN CHILD SUPPORT.

20 (B) FOR THE FIRST INSTANCE OF NONCOMPLIANCE, THE FAMILY

21 INDEPENDENCE AGENCY SHALL DETERMINE WITHIN 10 DAYS IF GOOD CAUSE

22 FOR NONCOMPLIANCE EXISTS. IF GOOD CAUSE IS NOT DETERMINED TO

23 EXIST, ASSISTANCE SHALL BE TERMINATED. AFTER TERMINATION, THE

24 ASSISTANCE GROUP IS INELIGIBLE FOR FAMILY INDEPENDENCE PROGRAM

25 ASSISTANCE FOR NOT LESS THAN 1 CALENDAR MONTH.

26 (C) FOR A SECOND OR SUBSEQUENT INSTANCE OF NONCOMPLIANCE,

27 THE FAMILY INDEPENDENCE AGENCY SHALL TAKE ACTION TO TERMINATE

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1 FAMILY INDEPENDENCE PROGRAM ASSISTANCE AND NOTIFY THE RECIPIENT

2 THAT HE OR SHE HAS 10 DAYS TO DEMONSTRATE GOOD CAUSE OR FAMILY

3 INDEPENDENCE PROGRAM ASSISTANCE SHALL BE TERMINATED. AFTER TER-

4 MINATION, THE ASSISTANCE GROUP IS INELIGIBLE FOR FAMILY INDEPEN-

5 DENCE PROGRAM ASSISTANCE FOR NOT LESS THAN 1 CALENDAR MONTH.

6 (5) FOR THE PURPOSES OF THIS SECTION, "NONCOMPLIANCE" MEANS

7 1 OR MORE OF THE FOLLOWING:

8 (A) A RECIPIENT QUITS A JOB.

9 (B) A RECIPIENT IS FIRED FOR MISCONDUCT OR FOR ABSENTEEISM

10 WITHOUT GOOD CAUSE.

11 (C) A RECIPIENT VOLUNTARILY REDUCES THE HOURS OF EMPLOYMENT

12 OR OTHERWISE REDUCES EARNINGS.

13 (D) A RECIPIENT DOES NOT PARTICIPATE IN WORK FIRST

14 ACTIVITIES.

15 (E) A RECIPIENT DOES NOT MEET THE RECIPIENT'S INDIVIDUAL

16 SOCIAL CONTRACT REQUIREMENTS AND THE FAMILY INDEPENDENCE AGENCY

17 DETERMINES THAT A PENALTY IS NECESSARY.

18 (F) OTHER INSTANCES AS DETERMINED BY THE FAMILY INDEPENDENCE

19 AGENCY.

20 (6) AFTER TERMINATION FOR NONCOMPLIANCE, THE ASSISTANCE

21 GROUP IS INELIGIBLE FOR FAMILY INDEPENDENCE PROGRAM ASSISTANCE

22 FOR NOT LESS THAN 1 CALENDAR MONTH. AFTER ASSISTANCE HAS BEEN

23 TERMINATED FOR NOT LESS THAN 1 MONTH, FAMILY INDEPENDENCE PROGRAM

24 ASSISTANCE MAY BE RESTORED IF THE PERSON COMPLETES A WILLINGNESS

25 TO COMPLY TEST. FOR PURPOSES OF THIS SECTION, "WILLINGNESS TO

26 COMPLY" MEANS PARTICIPATING IN WORK FIRST OR OTHER

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1 SELF-SUFFICIENCY ACTIVITIES FOR UP TO 40 HOURS WITHIN 10 WORKING

2 DAYS.

3 Enacting section 1. This amendatory act is effective

4 January 1, 2002.

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