Senate Introduced Bill 506























SENATE BILL NO. 506


   April 14, 1999, Introduced by Senator 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 57 and 60 (MCL 400.57 and 400.60),

   section 57 as added by 1995 PA 223.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1         Sec. 57.  (1) As used in this section and sections 57a to

 2     57g  57K:

 3         (a) "Adult-supervised household" means either of the

 4    following:

 5         (i) The place of residence of a parent, stepparent, or
             legal

 6    guardian of a minor parent.

 7         (ii) A living arrangement not described in subparagraph
             (i)

 8    that the family independence agency approves as a family setting

 9    that provides care and control of a minor parent and his or her




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 1    child and supportive services including, but not limited to,

 2    counseling, guidance, or supervision.

 3         (b) "Caretaker" means an individual who is acting as parent

 4    for a child in the absence or because of the disability of the

 5    child's parent or stepparent and who is the child's legal guardi-

 6    an, grandparent, great grandparent, great-great grandparent, sib-

 7    ling, stepsibling, aunt, great aunt, great-great aunt, uncle,

 8    great uncle, great-great uncle, nephew, niece, first cousin, or

 9    first cousin once-removed, a spouse of  any  A
             person listed

10    above, a parent of the putative father, or an unrelated individ-

11    ual aged 21 or older whose appointment as legal guardian of the

12    child is pending.

13         (c) "Child" means an individual who is not emancipated under

14     Act No. 293 of the Public Acts of 1968, being sections
             722.1 to

15     722.6 of the Michigan Compiled Laws  1968 PA 293,
                       MCL 722.1 TO

16    722.6, who lives with a parent or caretaker, and who is either of

17    the following:

18         (i) Under the age of 18.

19         (ii) Age 18 or 19, a full-time high school student, and
             rea-

20    sonably expected to graduate from high school before the age of

21    20.

22         (d) "Family" means 1 or more of the following:

23         (i) A household consisting of a child and either of the

24    following:

25         (A) A parent or stepparent of the child.

26         (B) A caretaker of the child.





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 1         (ii) A pregnant woman.

 2         (iii) A parent of a child in foster care.

 3         (e) "Family independence assistance" means financial assist-

 4    ance provided to a family under the family independence program.

 5         (f) "Family independence assistance group" means all those

 6    members of a program group who receive family independence

 7    assistance.

 8         (g) "Family independence program" means the program of

 9    financial assistance established under section 57a.

10         (h) "Minor parent" means an individual under the age of 18

11    who is not emancipated under  Act No. 293 of the Public Acts
             of

12     1968  1968 PA 293, MCL 722.1 TO 722.6, and who is
                       either the bio-

13    logical parent of a child living in the same household or a preg-

14    nant woman.

15         (i) "Payment standard" means the standard  upon which
              THAT

16    THE family independence program benefits are based ON if the

17    family independence assistance group has no net income.

18         (J) "PUBLIC ASSISTANCE" MEANS 1 OR MORE OF THE FOLLOWING

19    PROVIDED UNDER THIS ACT:

20         (i) FAMILY INDEPENDENCE ASSISTANCE.

21         (ii) STATE FAMILY ASSISTANCE.

22         (iii) STATE DISABILITY ASSISTANCE.

23         (iv) FOOD STAMPS.

24         (K)  (j)  "Program group" means a family and
             all those indi-

25    viduals living with a family whose income and assets are consid-

26    ered for purposes of determining financial eligibility for family

27    independence assistance.



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 1         (l)  (k)  "Recipient" means an
             individual receiving  family

 2     independence  PUBLIC assistance.

 3         (M)  (l)  "Social contract" means a
             document described in

 4    section 57e that is executed by a family in return for the

 5    receipt of family independence assistance.

 6         (N)  (m)  "Substance abuse" means that term as
             defined in

 7    section 6107 of the public health code,  Act No. 368 of the

 8     Public Acts of 1978, being section 333.6107 of the Michigan

 9     Compiled Laws  1978 PA 368, MCL 333.6107.

10         (O)  (n)  "Substance abuse treatment" means
             outpatient or

11    inpatient services or participation in alcoholics anonymous or a

12    similar program.

13         (P)  (o)  "Work first" means the program of
             employment and

14    training administered by the  Michigan jobs commission
             

15    DEPARTMENT OF CAREER DEVELOPMENT for applicants and recipients of

16    family independence assistance.

17         (2) A reference in this act to "aid to dependent children"

18    or "aid to families with dependent children" means "family inde-

19    pendence assistance".

20         Sec. 60.  (1)  Any person who by means of wilful false

21     statement or representation or by impersonation or other
                       fraudu-

22     lent device obtains or attempts to obtain, or aids or abets
                       any

23     person to obtain (a) assistance or relief to which he is not

24     entitled; or (b) a larger amount of assistance or relief
                       than

25     that to which he is justly entitled; or any officer or
                       employee

26     of a county, city or district department of social welfare
                       who

27     authorizes or recommends relief to persons known to him to
                       be



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 1    ineligible or to have fraudulently created their
             eligibility; or

 2     any  A PERSON SHALL NOT MAKE A WILLFUL FALSE
                       STATEMENT OR REPRE-

 3    SENTATION, USE AN ACCESS DEVICE OR OTHER FRAUDULENT DEVICE, OR

 4    ASSIST ANOTHER PERSON TO DO EITHER OF THE FOLLOWING:

 5         (A) OBTAIN PUBLIC ASSISTANCE THAT THE PERSON IS NOT ENTITLED

 6    TO RECEIVE.

 7         (B) OBTAIN A LARGER AMOUNT OF PUBLIC ASSISTANCE THAN THE

 8    PERSON IS ENTITLED TO RECEIVE.

 9         (2) AN EMPLOYEE OF THE FAMILY INDEPENDENCE AGENCY SHALL NOT

10    KNOWINGLY AUTHORIZE OR RECOMMEND THAT PUBLIC ASSISTANCE BE ISSUED

11    TO A PERSON WHO IS INELIGIBLE OR WHOSE ELIGIBILITY IS BASED ON

12    FRAUD.

13         (3) A person  who  SHALL NOT knowingly
              buys or aids or

14     abets  BUY, ASSIST in buying, or ASSIST in disposal
                       of the prop-

15    erty of a person receiving PUBLIC assistance  or relief
              without

16    the consent of the director or supervisor of the state

17    department.  , shall, if 

18         (4) IF the amount involved  shall be of the value of
              IS

19    $500.00 or less,  be deemed  A PERSON WHO VIOLATES

20    SUBSECTION (1), (2), OR (3) IS guilty of a misdemeanor.  ,
             and

21     shall, if  IF the amount involved  shall be
                       of the value of  IS

22    more than $500.00,  be deemed  THE PERSON IS guilty
             of a felony

23     ,  and upon conviction shall be punished as
             provided by the laws

24    of this state.

25         (5) The amount involved as used in this  subsection
             shall be

26     defined as  SECTION IS  the difference between the
                       lawful amount





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 1    of PUBLIC assistance  or aid  and the amount of
             PUBLIC assistance

 2     or aid  actually received.

 3         (6) If  anyone  A PERSON receives PUBLIC
             assistance  or

 4     relief  through means enumerated in this section,
                        in which  THAT

 5    THE prosecution  is deemed  CONSIDERS unnecessary,
             the  state

 6     department or county departments  FAMILY
                       INDEPENDENCE AGENCY may

 7    take the necessary steps to recover from the recipient the amount

 8    involved, plus interest at 5% per annum.

 9         (7) On conviction of  the  violation of
              the provisions  A

10    PROVISION of this section of  any  AN officer or
             employee of

11     any  A county, city, or district 
             department of social welfare,

12     such  FAMILY INDEPENDENCE AGENCY, THE officer or
                       employee shall

13    be removed or dismissed from office.

14         (8)  (2) There is imposed upon every  A person
             receiving

15     relief  PUBLIC ASSISTANCE under this act 
             either upon his own

16     application or by his inclusion, to his knowledge, in the
                       appli-

17     cation of another the  HAS A continuing obligation
                       to supply to

18    the  department issuing the relief  FAMILY
             INDEPENDENCE AGENCY

19    ALL OF THE FOLLOWING:

20         (a)  the  THE complete circumstances 
             in regard to his  OF

21    THE RECIPIENT'S income from employment or from  any other
             

22    ANOTHER source or the existence of income, if known to  him
              THE

23    RECIPIENT, of other  persons receiving relief through the
             same

24     application;  MEMBERS OF THE FAMILY INDEPENDENCE
                       ASSISTANCE

25    GROUP.

26         (b)  information  INFORMATION regarding each
              and every 

27    offer of employment for  himself  THE RECIPIENT or,
             if known to



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 1     him  THE RECIPIENT, of the other  persons
             receiving relief

 2     through the same application;  MEMBERS OF THE
                       FAMILY INDEPENDENCE

 3    ASSISTANCE GROUP.

 4         (c)  information  INFORMATION concerning
             changes in  his 

 5    THE RECIPIENT'S OR ANY MEMBER OF THE FAMILY INDEPENDENCE ASSIST-

 6    ANCE GROUP'S circumstances  or those of other persons
             receiving

 7     relief through the same application which  THAT
                       would decrease

 8    the need for  relief; and  PUBLIC ASSISTANCE.

 9         (d)  the  THE circumstances or 
             whereabouts, known to him, 

10    LOCATION of relatives legally responsible for  his 
             THE

11    RECIPIENT'S OR ANY MEMBER OF THE FAMILY INDEPENDENCE ASSISTANCE

12    GROUP'S support  or for the support of other persons
             receiving

13     relief through the same application  if changes in
                        such  THE

14    circumstances or  whereabouts  LOCATION could
             affect the amount

15    of PUBLIC assistance available from  such  THE
             relatives or

16    affect their legal liability to furnish support.  Any person
             who

17     shall neglect or refuse to submit to the department issuing

18     relief the information required by this section shall, if
                       the

19     amount of relief granted as a result of such neglect or
                       refusal

20     be less than $500.00, be guilty of a misdemeanor, and if the

21     amount of relief granted as a result of such neglect or
                       refusal

22     be $500.00 or more, shall be deemed guilty of a felony, and
                       upon

23     conviction shall be punished as provided by the laws of this

24     state. 

25         (9) A PERSON WHO NEGLECTS OR REFUSES TO SUBMIT TO THE FAMILY

26    INDEPENDENCE AGENCY ISSUING PUBLIC ASSISTANCE INFORMATION

27    REQUIRED BY THIS SECTION IS GUILTY OF A MISDEMEANOR IF THE AMOUNT



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 1    OF PUBLIC ASSISTANCE GRANTED AS A RESULT OF THE NEGLECT OR

 2    REFUSAL IS LESS THAN $500.00.  IF THE AMOUNT OF PUBLIC ASSISTANCE

 3    GRANTED AS A RESULT OF THE NEGLECT OR REFUSAL IS $500.00 OR MORE,

 4    THE PERSON IS GUILTY OF A FELONY AND UPON CONVICTION SHALL BE

 5    PUNISHED AS PROVIDED BY THE LAWS OF THIS STATE.

 6         (10) AS USED IN THIS SECTION, "ACCESS DEVICE" MEANS A CARD,

 7    PLATE, CODE, ACCOUNT NUMBER, PERSONAL IDENTIFICATION NUMBER,

 8    ELECTRONIC BENEFITS TRANSFER CARD, OR OTHER MEANS OF ACCESS THAT

 9    CAN BE USED ALONE OR IN CONJUNCTION WITH ANOTHER ACCESS DEVICE TO

10    DO ANY OF THE FOLLOWING:

11         (A) CONDUCT FINANCIAL TRANSACTIONS.

12         (B) OBTAIN MONEY, PAYMENTS, ALLOTMENTS, CREDITS, BENEFITS,

13    ASSISTANCE, OR OTHER THINGS OF VALUE.

14         (C) INITIATE A TRANSFER OF FUNDS, PAYMENTS, ALLOTMENTS,

15    CREDITS, BENEFITS, OR ASSISTANCE FROM PROGRAMS ESTABLISHED UNDER

16    THIS ACT.

























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