[Federal Register Volume 59, Number 196 (Wednesday, October 12, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-25178]
[[Page Unknown]]
[Federal Register: October 12, 1994]
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DEPARTMENT OF HEALTH AND HUMAN SERVICES
Administration for Children and Families
45 CFR Part 233
Aid to Families With Dependent Children; Adult Assistance
Programs; Income and Resource Disregards Related to Interests of
Individual Indians in Trust or Restricted Lands
AGENCY: Administration for Children and Families (ACF), HHS.
ACTION: Proposed rule.
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SUMMARY: These proposed regulations incorporate additional statutory
disregards in the rules for the Aid to Families With Dependent Children
(AFDC) program and the adult assistance programs in Guam, Puerto Rico
and the Virgin Islands. Included is the income disregard provided under
section 13736 of Pub. L. 103-66, the Omnibus Budget Reconciliation Act
of 1993, which amends section 8 of Pub. L. 93-134. This income
disregard is effective January 1, 1994. This amendment provides that up
to $2,000 per year of income derived from interests of individual
Indians in trust or restricted lands shall not be considered in
determining assistance under the Social Security Act or any other
Federal or federally assisted program.
Additionally, we propose to incorporate the resource disregard
provided under section 8 of Pub. L. 93-134, as added by section 4 of
Pub. L. 97-458, effective January 12, 1983. This provision requires
that interests of individual Indians in trust or restricted lands shall
not be considered a resource in determining eligibility for assistance
under the Social Security Act or any other Federal or federally
assisted program.
DATES: Interested persons and agencies are invited to submit written
comments concerning the proposed regulations no later than December 12,
1994.
FOR FURTHER INFORMATION CONTACT:
Mr. Mack A. Storrs, Division of AFDC Program, Office of Family
Assistance, Administrative for Children and Families, Fifth Floor, 370
L'Enfant Promenade, SW, Washington, DC 20447, Telephone (202) 401-9289.
SUPPLEMENTARY INFORMATION:
Discussion of Proposed Rule Provisions
Disregard of Certain Income Derived From Interests of Individual
Indians in Trust or Restricted Lands
Effective January 1, 1994, section 13736 of Pub. L. 103-66, the
Omnibus Budget Reconciliation Act of 1993, amends section 8 of Pub. L.
93-134 to provide that up to $2,000 per year of amounts derived from
interests of individual Indians in trust or restricted lands shall not
be counted as income. The Conference Report identifies ``leases on
individually-owned trust or restricted Indian lands'' as such interests
[H.R. Rep. No. 103-111, 103D Cong., 1st Sess., 494-495 (1993)]. The
income generally comes from interests in lands allotted to individual
Indians many years ago. Income to individual Indians generated by these
interests is likely to be quite small because many of the original
interests is allotted lands have fractionized over time due to the
inheritance of multiple heirs over several generations.
Under the proposed regulations, the disregard of up to $2,000 per
year would be applicable only to income. Any disregarded amounts
retained by an individual after the month in which they are received
would be counted as a resource. We also propose to give States the
flexibility to define the yearly period for applying the income
disregard.
Section 233.20 would be amended by redesignating paragraph
(a)(4)(i) as (a)(4)(i)(a), and adding a new paragraph (a)(4)(i)(b) to
incorporate the income disregard required by section 8 of Pub. L. 93-
134, as amended.
Disregard of Individual Indian Interests in Trust or Restricted Lands
From Consideration as a Resource
Public Law 93-134, enacted October 19, 1973, provides for the use
or distribution of certain Indian judgment funds. Public Law 97-458,
enacted January 12, 1983, made several amendments to Pub. L. 93-134.
One amendment made by section 4 of Pub. L. 97-458 was the addition of a
new section 8 to Pub. L. 93-134. Section 8 of Pub. L. 93-134 requires
that interests of individual Indians in trust or restricted lands shall
not be considered a resource in determining eligibility for assistance
under the Social Security Act of any other Federal or federally
assisted program.
Although this provision was effective in 1983, it was not
incorporated in the regulations at that time because it was considered
unnecessary. Interests in trust or restricted lands are not considered
a resource under the definition of available income and resources in
existing regulations at 45 CFR 233.20(a)(3)(ii)(D). These regulations
provide, in pertinent part, that income and resources are considered
available both when actually available and when the applicant or
recipient has a legal interest in a liquidated sum and has the legal
ability to make such sum available for support and maintenance.
However, we now propose to incorporate the resource disregard in
order to prevent any confusion that may result were we to incorporate
only the income disregard provided under section 13736 of Pub. L. 103-
66. Therefore, we would further amend section 233.20 by adding
paragraph (a)(4)(ii)(v) to incorporate the resource disregard required
by section 8 of Pub. L. 93-134, as added by section 4 of Pub. L. 97-
458.
Regulatory Procedures
Executive Order 12866, Regulatory Planning and Review
Executive Order 12866 requires that regulations be reviewed to
ensure that they are consistent with the priorities and principles set
forth in the Executive Order. The Department has determined that this
rule is consistent with these priorities and principles. An assessment
of the costs and benefits of available regulatory alternatives
(including not regulating) demonstrated that the approach taken in the
regulation is the most cost-effective and least burdensome while still
achieving the regulatory objectives.
The total Federal and State cost for implementing this statutory
amendment is estimated to be $10.6 million for the first full year with
$5.8 million (55.2%) of this amount being the Federal share. Assuming
that the number of additional Indian families becoming eligible for
AFDC after the first year is an added 10 percent, then an added cost of
$0.6 million is estimated for a total Federal cost of $6.4 million.
These costs result from the statutory requirements and not from
decisions made in the proposed rule.
Regulatory Flexibility Act
We certify that these regulations will not have significant impact
on a substantial number of small entities because they primarily affect
State governments and individuals. Therefore, a regulatory flexibility
analysis as provided in Pub. L. 96-354, the Regulatory Flexibility Act,
is not required.
Paperwork Reduction Act
There will be no new reporting or recordkeeping requirements
imposed on the public or the States which would require clearance by
the Office of Management and Budget under the Paperwork Reduction Act
of 1980 (Pub. L. 95-511).
(Catalog of Federal Domestic Assistance Program 93.020, Public
Assistance Maintenance Assistance (State Aid)).
List of Subjects in 45 CFR Part 233
Aliens, Grant programs/social programs, Public assistance programs,
Reporting and recordkeeping requirements.
Dated: July 28, 1994.
Mary Jo Bane,
Assistant Secretary for Children and Families.
Approved: September 8, 1994.
Donna E. Shalala,
Secretary of Health and Human Services.
For the reasons set out in the preamble, Part 233, Chapter I, Title
45, Code of Federal Regulations, is proposed to be amended as follows:
PART 233--COVERAGE AND CONDITIONS OF ELIGIBILITY IN FINANCIAL
ASSISTANCE PROGRAMS
1. The authority citation for Part 233 is revised to read as
follows:
Authority: 42 U.S.C. 301, 602, 602 (note), 606, 607, 1202, 1302,
1352 and 1382 (note); and sec. 6 of Pub. L. 94-114, 89 Stat. 579;
Pub. L. 99-603, 100 Stat. 3359; sec. 4 of Pub. L. 97-458, 96 Stat.
2513; sec. 2 of Pub. L. 98-64, 97 Stat. 365; sec. 1883 of Pub. L.
99-514, 100 Stat. 2916; sec. 15 of Pub. L. 100-241, 101 Stat. 1812;
sec. 105(f) of Pub. L. 100-383, 102 Stat. 908; sec. 206(d) of Pub.
L. 100-383, 102 Stat. 914; sec. 105(i) of Pub. L. 100-707, 102 Stat.
4693; sec. 1(a) of Pub. L. 101-201, 103 Stat. 1795; sec. 10405 of
Pub. L. 101-239, 103 Stat. 2489; sec. 501(c) of Pub. L. 101-392, 104
Stat. 831; sec. 6(h)(2) of Pub. L. 101-426, 104 Stat. 925; and sec.
471(a) of Pub. L. 102-325, 106 Stat. 606 and 25 U.S.C. 1452.
2. Section 233.20 is amended by revising paragraphs (a)(4)(i) and
adding (a)(4)(ii)(v) to read as follows:
Sec. 233.20 Need and amount of assistance.
(a) * * *
(4) * * *
(i) Provide that in determining eligibility for public assistance
and the amount of the assistance payment, the following will be
disregarded as income:
(a) For all programs except AFDC. If the State chooses to disregard
income from all sources before applying other provisions for
disregarding or setting aside income, specify the amount that is first
to be disregarded, but not more than $7.50 per month, of any income of
an individual, child or relative claiming assistance. All income must
be included such as social security or other benefits, earnings,
contributions from relatives, or other income the individual may have;
(b) Pursuant to section 8 of Pub. L. 93-134, as amended by section
13736 of Pub. L. 103-66, disregard as income up to $2,000 per year of
amounts derived from leases or any other uses of interests of
individual Indians in trust or restricted lands. Any amounts retained
after the month in which they are received will be taken into account
as resources.
(ii) * * *
(v) As resources, pursuant to section 8 of Pub. L. 93-134, as added
by section 4 of Pub. L. 97-458, interests of individual Indians in
trust or restricted lands.
* * * * *
[FR Doc. 94-25178 Filed 10-11-94; 8:45 am]
BILLING CODE 4184-01-M
