HB-5441, As Passed House, December 1, 2005

SUBSTITUTE FOR

HOUSE BILL NO. 5441

     A bill to amend 1939 PA 280, entitled

"The social welfare act,"

by amending section 57g (MCL 400.57g), as amended by 2001 PA 280.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 57g. (1) The  family independence agency  department

shall develop a system of penalties to be imposed if a recipient

fails to comply with applicable rules or the provisions of this

section  act related to family independence program benefits and

work first compliance. Penalties may be cumulative and may include

reduction of the grant, removal of  an individual  the recipient

from the family independence assistance group, and termination of

assistance to the family.

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

demonstrated that there was good cause for failing to comply. The

family independence agency  department shall determine the

circumstances that constitute good cause based on factors that are

beyond the recipient's control.  of a recipient.

     (3)  Recipients who are  A recipient who is willing to

participate in activities leading to self-sufficiency but who

require  requires child care or transportation in order to

participate shall not be penalized if the  family independence

agency  department determines that child care or transportation is

not reasonably available or provided to  them  him or her.

     (4) The system of penalties developed under subsection (1)

shall include both of the following:

     (a) Family independence program benefits shall be terminated

if a recipient fails, without good cause, to comply with applicable

child support requirements including efforts to establish paternity

and obtain child support. The assistance group is ineligible for

family independence program assistance for not less than 1 calendar

month. After assistance has been terminated for not less than 1

calendar month, assistance may be restored if the noncompliant

recipient complies with child support requirements including the

action to establish paternity and obtain child support.

     (b) For any instance of noncompliance, before determining that

a penalty shall be imposed, the  family independence agency

department shall determine if good cause for noncompliance exists.

The  family independence agency  department shall notify the

recipient that he or she has 10 days to demonstrate good cause for

noncompliance. If the department determines that good cause  is not

determined to  does not exist for the noncompliance, assistance

shall be terminated. After termination, the assistance group is

ineligible for family independence program assistance for not less

than 1 calendar month.

     (5) For the  purposes  purpose of this section,

"noncompliance" means 1 or more of the following:

     (a) A recipient quits a job.

     (b) A recipient is fired for misconduct or for absenteeism

without good cause.

     (c) A recipient voluntarily reduces the hours of employment or

otherwise reduces earnings.

     (d) A recipient does not participate in work first activities.

     (6) If a recipient does not meet the recipient's individual

social contract  personal development plan requirements, the

family independence agency may  department shall impose a penalty.

     (7) After termination for the first instance of noncompliance,

the assistance group is ineligible for family independence program

assistance for not less than 1 calendar month. After assistance has

been terminated for not less than 1 calendar month, family

independence program assistance may be approved if the recipient

completes a willingness to comply test and reevaluation of the

personal development plan is approved and amended by a family

independence specialist and a work first representative. After

termination for a second instance of noncompliance, the assistance

group is ineligible for family independence program assistance for

not less than 3 calendar months. After assistance has been

terminated for not less than 3 calendar months, family independence

program assistance may be approved if the recipient completes a

willingness to comply test and reevaluation of the personal

development plan is approved and amended by a family independence

specialist and a Michigan works agency worker. For purposes of this

section, "willingness to comply" means participating in work first

or other self-sufficiency activities for up to 40 hours within 10

working days. At the time  any  a first or second penalty is

imposed under this section, the  family independence agency

department shall provide the recipient written notice of his or her

option to immediately reapply for family independence program

benefits and that he or she may complete a "willingness to comply

test" during the penalty period. At the time a third penalty is

imposed under this section, the department shall provide the

recipient written notice that he or she is no longer eligible to

receive family independence program assistance and that he or she

may not reapply.

     (8)  The family independence agency  Each county office shall

submit a report  for the period between February 1, 2002 and

December 31, 2002  once every 90 days to the legislature, the house

and senate fiscal agencies,  and the appropriate house and senate

standing committees that handle family and children's issues, and

the house and senate appropriations subcommittees for the

department budget, that contains all of the following information

for that time period:

     (a) The number of sanctions imposed for first instances of

noncompliance and reapplications made.

     (b) The number of sanctions imposed for second instances of

noncompliance and reapplications made.

     (c) The number of lifetime benefits imposed for third

instances of noncompliance.

(d)  (b) The number of family independence program cases

reopened.

(e)  (c) The number of  referrals to emergency shelters by

the department  family independence program cases permanently

closed.

     (d) The number of sanctions imposed on families with at least

1 disabled parent.

     (e) The number of sanctions imposed on families with disabled

children.

     (9) Each time a recipient is scheduled to participate in

activities to fulfill the work first requirement but fails to

participate in those activities, the assistance group's family

independence program assistance shall be reduced by an amount per

hour equal to the current minimum wage rate as set in state or

federal law, whichever is the higher amount at the time the

reduction is imposed. A reduction of family independence program

assistance under this subsection may be imposed on the assistance

group without the reduction being considered a termination of

benefits for noncompliance under subsection (10).

     (10) After the third termination for noncompliance under this

section, the assistance group is ineligible to receive any family

independence program assistance.

     Enacting section 1. This amendatory act does not take effect

unless all of the following bills of the 93rd Legislature are

enacted into law:

     (a) House Bill No. 5438.

     (b) House Bill No. 5439.

     (c) House Bill No. 5440.

     (d) House Bill No. 5442.

     (e) House Bill No. 5443.

     (f) House Bill No. 5444.

     (g) House Bill No. 5445.

     (h) House Bill No. 5446.