Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 302 (2025GS)

Sponsor

Rep. Fiefia, Doug

Final action

Governor Signed 3/24/2025

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• defines terms;
• requires the Department of Health and Human Services (department) to apply for a Medicaid waiver to ensure that minors in the custody of the department who receive federal benefits will maintain resource-eligibility for Medicaid;
• requires the department to evaluate whether a minor in the custody of the department is receiving or is eligible to receive federal benefits;
• provides that, as appropriate, the department shall apply for federal benefits on behalf of a minor in the custody of the department, and may accept appointment as the representative payee for a minor's federal benefits;
• provides accounting, reporting, and administrative requirements for the department concerning a federal benefit provided to a minor in the custody of the department;
• requires the department to offer financial literacy training for a minor who received a federal benefit while in the custody of the department, or for a successor representative payee;
• grants rulemaking authority to the department relating to the administration of federal benefits for minors in the custody of the department;
• requires the department to report annually to the Health and Human Services Interim Committee regarding federal benefits received on behalf of minors in the custody of the department; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

10
26B-3-231
80-2-504
0
Minors in State Custody Amendments
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Doug Fiefia
Senate Sponsor: Todd Weiler
LONG TITLE
General Description:
This bill addresses federal benefits for minors who are in the custody of the Department of 
Health and Human Services.
Highlighted Provisions:
This bill:
defines terms;
requires the Department of Health and Human Services (department) to apply for a 
Medicaid waiver to ensure that minors in the custody of the department who receive 
federal benefits will maintain resource-eligibility for Medicaid;
requires the department to evaluate whether a minor in the custody of the department is 
receiving or is eligible to receive federal benefits;
provides that, as appropriate, the department shall apply for federal benefits on behalf of a 
minor in the custody of the department, and may accept appointment as the 
representative payee for a minor's federal benefits;
provides accounting, reporting, and administrative requirements for the department 
concerning a federal benefit provided to a minor in the custody of the department;
requires the department to offer financial literacy training for a minor who received a 
federal benefit while in the custody of the department, or for a successor representative 
payee;
grants rulemaking authority to the department relating to the administration of federal 
benefits for minors in the custody of the department;
requires the department to report annually to the Health and Human Services Interim 
Committee regarding federal benefits received on behalf of minors in the custody of the 
department; and
makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a special effective date.
Utah Code Sections Affected:
ENACTS:
26B-3-231
, Utah Code Annotated 1953
80-2-504
, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1, Section 
26B-3-231
 is enacted to read:
26B-3-231
. Medicaid waiver for minor beneficiaries.
(1)
As used in this section:
(a)
"ABLE account" means the same as that term is defined in Section 
80-2-504
.
(b)
"Federal benefit" means the same as that term is defined in Section 
80-2-504
.
(c)
"Minor beneficiary" means the same as that term is defined in Section 
80-2-504
.
(d)
"Qualified minor" means a minor beneficiary who is not eligible for an ABLE 
account or other account that would allow the funds in the account to be disregarded 
for the purpose of determining resource-eligibility for Medicaid.
(2)
On or before January 1, 2026, the department shall apply for a Medicaid waiver or state 
plan amendment to:
(a)
disregard a qualified minor's federal benefit for the purpose of determining 
resource-eligibility for Medicaid; or
(b)
increase the resource-eligibility limit for qualified minors to an amount that would 
allow qualified minors to remain resource-eligible for Medicaid while also 
continuing to receive federal benefits.
Section 2, Section 
80-2-504
 is enacted to read:
80-2-504
. Definitions -- Federal benefits for minors in the custody of the 
department -- Financial training -- Rulemaking -- Reporting.
(1)
As used in this section:
(a)
"ABLE account" means an Achieving a Better Life Experience account.
(b)
"Custody of the department" means the legal custody of the department.
(c)
"Department" means the same as that term is defined in Section 
80-1-102
, or one of 
the department's divisions, offices, or institutions.
(d)
"Federal benefit" means a benefit administered by the United States Social Security 
Administration, the United States Department of Veterans Affairs, or the United 
States Railroad Retirement Board.
(e)
"Maintenance cost" means a payment to a foster parent, kin, or other caregiver for 
the costs of providing a minor with food, clothing, housing, daily supervision, 
personal incidentals, and transportation.
(f)
"Minor beneficiary" means a minor:
(i)
who is in the legal custody of the department; and
(ii)
for whom the department receives or manages a federal benefit.
(g)
"Representative payee" means a person appointed by a federal agency to manage a 
benefit the federal agency provides to a minor.
(2)
(a)
Within 60 days after a minor is placed in the custody of the department, the 
department shall determine whether the minor is receiving or may be eligible for any 
federal benefit.
(b)
If the department determines that a minor in the custody of the department is eligible 
or may be eligible for a federal benefit, the department shall apply for the benefit on 
the minor's behalf.
(c)
After any material change in the circumstances of a minor in the custody of the 
department that could affect the minor's potential eligibility for federal benefits, the 
department shall reevaluate whether the minor may be eligible for any federal benefit 
and, if the department determines that the minor is eligible or may be eligible for a 
federal benefit, the department shall apply for the benefit on the minor's behalf.
(3)
(a)
The department shall apply to become and may accept an appointment to serve as 
the representative payee for a minor in the custody of the department.
(b)
For a minor beneficiary in the custody of the department for whom the department 
has been appointed as the representative payee, the department shall annually review 
whether it is in the best interest of the minor beneficiary for someone other than the 
department to apply to assume the role of representative payee.
(4)
(a)
The department shall establish a separate account for each minor beneficiary into 
which the minor beneficiary's benefit shall be deposited.
(b)
Unless good cause, as defined in rules adopted in accordance with Subsection 
(6)
, 
exists to use a different type of account, if a minor beneficiary is eligible for an 
ABLE account the department shall use an ABLE account as the account into which 
the minor beneficiary's benefit shall be deposited.
(c)
If good cause exists to not use an ABLE account for a minor beneficiary, or if a 
minor beneficiary is not eligible for an ABLE account, the department shall 
determine and use the type of account that will best preserve the minor beneficiary's 
benefit, which may include:
(i)
a 529 savings account, as that term is defined in Section 
35A-9-601
;
(ii)
a special needs trust; or
(iii)
another type of tax-advantaged account that the department can administer in 
compliance with the requirements described in Subsection 
(4)(d)
.
(d)
The department shall administer each minor beneficiary's account:
(i)
in the best interest of the minor beneficiary for whom the account is established;
(ii)
in accordance with the provisions of this section;
(iii)
consistent with the department's fiduciary duties; and
(iv)
in a manner that does not interfere with asset limitations for any state or federal 
benefit program for which the minor beneficiary is or may be eligible.
(e)
As permitted by, and unless otherwise required by the source of the benefit:
(i)
the department may expend up to 75% of a federal benefit deposited into a minor 
beneficiary's account established pursuant to Subsection 
(4)(a)
 for maintenance 
costs; and
(ii)
the department shall conserve or invest the balance of a minor beneficiary's 
federal benefit that is not expended for maintenance costs.
(f)
The department shall provide an annual statement to each minor beneficiary and the 
minor beneficiary's guardian ad litem, if applicable, detailing each receipt and 
disbursement involving funds deposited on the minor beneficiary's behalf.
(5)
(a)
Unless otherwise directed by the source of the benefit, the department shall 
transfer a minor beneficiary's account to the minor, the minor's parent or guardian, a 
successor payee, or otherwise as required by the source of the balance, when the 
department's custody over the minor is terminated.
(b)
When transferring an account pursuant to Subsection 
(5)(a)
, the department shall 
seek to and take all necessary steps to transfer the minor beneficiary's account 
directly to the minor, the minor's parent or guardian, including requesting any 
necessary authorization for the direct transfer from the source of the benefit.
(c)
At the time the department transfers the minor beneficiary's account pursuant to 
Subsection 
(5)(a)
, the department shall offer financial literacy training to the minor or 
the successor payee.
(d)
The department may work with other state agencies, departments, or offices to 
provide the training described in Subsection 
(5)(c)
.
(6)
The department shall make rules in accordance with Title 63G, Chapter 3, Utah 
Administrative Rulemaking Act, to implement the requirements of this section and to 
provide for the accounting and protection of federal benefits for minor beneficiaries in 
the division's custody, including:
(a)
criteria for the preservation and disbursement of a minor beneficiary's federal 
benefits;
(b)
defining what constitutes good cause for the use of an account other than an ABLE 
account, as described in Subsection 
(4)(b)
;
(c)
safeguards to prevent the mismanagement of and protect against theft, loss, or 
misappropriation of minor beneficiary's federal benefits; and
(d)
policies and procedures to ensure compliance with federal regulations.
(7)
On or before September 1 each year, the department shall provide a report to the Health 
and Human Services Interim Committee that includes, for the preceding fiscal year:
(a)
the number of minor beneficiaries in the custody of the department who received 
federal benefits;
(b)
the types of federal benefits received by minor beneficiaries in the custody of the 
department;
(c)
a description of the department's policies or procedures for managing minor 
beneficiaries' federal benefits in accordance with the requirements of this section; and
(d)
the total amount of federal benefits received and expended on behalf of minor 
beneficiaries in the custody of the department.
Section 3. 
Effective Date.
This bill takes effect on 
July 1, 2025
.
3-7-25 10:13 PM