S 1103 Session 109 (1991-1992)
S 1103 General Bill, By Bryan, H.U. Fielding, D.L. Hinds, C.T. Hinson, Peeler and
M.T. Rose
A Bill to amend the Code of Laws of South Carolina, 1976, by adding Chapter 28
to Title 44 so as to establish the Self-Sufficiency Trust Fund and the
Disability Fund to provide funds to aid developmentally disabled, mentally
ill, and physically handicapped persons.
11/25/91 Senate Prefiled
11/25/91 Senate Referred to Committee on Medical Affairs
01/14/92 Senate Introduced and read first time SJ-29
01/14/92 Senate Referred to Committee on Medical Affairs SJ-29
04/28/92 Senate Committee report: Favorable with amendment
Medical Affairs SJ-31
04/29/92 Senate Recommitted to Committee on Medical Affairs SJ-345
COMMITTEE REPORT
April 28, 1992
S. 1103
Introduced by SENATORS Bryan, Peeler, Fielding, Hinds, Hinson and
Rose
S. Printed 4/28/92--S.
Read the first time January 14, 1992.
THE COMMITTEE ON MEDICAL AFFAIRS
To whom was referred a Bill (S. 1103), to amend the Code of Laws
of South Carolina, 1976, by adding Chapter 28 to Title 44 so as to
establish the Self-Sufficiency Trust Fund, etc., respectfully
REPORT:
That they have duly and carefully considered the same, and
recommend that the same do pass with amendment:
Amend the bill, as and if amended, by deleting Section 44-28-40(B),
page 2, and inserting:
/(B) Upon proper certification by the South Carolina Department
of Mental Retardation, the State Department of Mental Health, or the
State Agency of Vocational Rehabilitation, the State Treasurer shall
process vouchers from the Self-Sufficiency Trust Fund accounts for
services provided pursuant to this section./
Amend further by deleting Section 44-28-80, page 3, and inserting:
/Section 44-28-80. For each Self-Sufficiency Trust, a separate
interest bearing account must be established in the State Treasurer's
office./
Amend further, Section 44-28-360, by adding at the end:
/These agencies are responsible only for the beneficiaries that meet
their individual eligibility criteria./
Amend further by deleting Section 44-28-370, page 5, and inserting:
/Section 44-28-370. For each Disability Trust, a separate interest
bearing account must be established in the State Treasurer's office./
Amend title to conform.
WARREN K. GIESE, for Committee.
STATEMENT OF ESTIMATED FISCAL
IMPACT
1. Estimated Cost to State-First Year
$Indeterminate (see below)
2. Estimated Cost to State-Annually
Thereafter $Indeterminate (see below)
S. 1103 amends the 1976 Code of Laws of South Carolina by adding
Chapter 28 to Title 44. The Bill establishes two (2) trust funds--The
Self-Sufficiency Trust Fund and the Disability Trust Fund -- in the State
Treasury, separate and distinct from the General Fund. Both funds
would be exempt from Federal income taxes.
Both funds are intended to provide funds to aid developmentally
disabled, mentally ill and physically handicapped persons who are
eligible for services from the Department of Mental Health (DMH), the
Department of Mental Retardation (DMR) or the State Agency of
Vocational Rehabilitation (VR). The Bill provides that parents and
families may contribute to the Trust Funds by setting up "self-sufficiency trusts" to purchase specific care for their disabled
dependents that supplements care provided by DMH, DMR, or VR. The
self-sufficiency trust mechanism avoids loss of other benefits and
invasion of trust principal.
Both Trust Funds would be administered by the State Treasurer.
DMH, DMR and VR are charged with promulgating regulations relating
to the operation of the two Trust Funds. The number of people
potentially affected by S. 1103 is not known and cannot be estimated
with reasonable accuracy at this time.
Both DMH and DMR indicated that the additional workloads
imposed on them by S. 1103 can be absorbed without additional staff or
costs. However, the State Treasurer's Office indicates that they have no
experience administering funds which require records to be maintained
for individuals, and can therefore not make an accurate estimate of
impact. The Vocational Rehabilitation Department indicates that S.
1103 conflicts with other provisions of law which prohibit it from
providing services to persons with long-term disabilities. Accordingly,
the fiscal impact from enactment of S. 1103, as written, is indeterminate.
This is a companion Bill to H. 4105.
Prepared By: Approved By:
Aaron Krute George N. Dorn, Jr.
State Budget Analyst State Budget Division
A BILL
TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976,
BY ADDING CHAPTER 28 TO TITLE 44 SO AS TO ESTABLISH
THE SELF-SUFFICIENCY TRUST FUND AND THE DISABILITY
FUND TO PROVIDE FUNDS TO AID DEVELOPMENTALLY
DISABLED, MENTALLY ILL, AND PHYSICALLY HANDICAPPED
PERSONS.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. The 1976 Code is amended by adding:
"Article 1
Self-Sufficiency Trust Fund
Section 44-28-10. There is established the Self-Sufficiency Trust
Fund, separate and distinct from the general fund, in the State Treasury.
The purpose of the Self-Sufficiency Trust Fund is to provide a life-care
planning option to meet the supplemental service needs of individuals
with disabilities in order to enable parents and families to plan a more
secure future for their disabled dependents without fear of loss of
benefits or invasion of trust principal.
Section 44-28-20. For the purpose of this chapter `a
self-sufficiency trust' means a trust created by a nonprofit corporation
exempt from federal income taxes pursuant to Section 501(c)(3) of the
Internal Revenue Code of 1986 and organized for purposes of providing
care or treatment of one or more developmentally disabled, mentally ill,
or physically handicapped persons eligible for services of the South
Carolina Department of Mental Retardation, State Department of Mental
Health, or the State Agency of Vocational Rehabilitation.
Section 44-28-30. (A) The State Treasurer is the custodian of the
Self-Sufficiency Trust Fund and pursuant to an agreement with the
trustee of a self-sufficiency trust may accept money from a
self-sufficiency trust in the name of a beneficiary for deposit in the
Self-Sufficiency Trust Fund. The treasurer shall maintain a separate
account in the Self-Sufficiency Trust Fund for each named beneficiary
and shall promptly credit the account of a beneficiary with money
received from a self-sufficiency trust on behalf of that beneficiary.
(B) The agreement, naming one or more beneficiaries residing in
this State who are developmentally disabled, mentally ill, or physically
handicapped, must specify the supplemental care or treatment to be
provided for each named beneficiary with the money deposited in the
Self-Sufficiency Trust Fund.
Section 44-28-40. (A) The South Carolina Department of
Mental Retardation, State Department of Mental Health, or the State
Agency of Vocational Rehabilitation must provide care or treatment for
a beneficiary from monies available from the beneficiary's account
maintained in the Self-Sufficiency Trust Fund.
(B) The State Comptroller General shall make payments from the
Self-Sufficiency Trust Fund to the South Carolina Department of Mental
Retardation, the State Department of Mental Health, or the State Agency
of Vocational Rehabilitation based on vouchers properly certified by the
agency for services provided pursuant to this section.
Section 44-28-50. The receipt by a beneficiary of money from the
Self-Sufficiency Trust Fund or of supplemental care or treatment
provided with money from the fund may in no way reduce, impair, or
diminish the benefits to which the beneficiary is otherwise entitled by
law.
Section 44-28-60. If the State Treasurer after consultation with the
South Carolina Department of Mental Retardation, the State Department
of Mental Health, or the State Agency of Vocational Rehabilitation
determines that the money in the account of a named beneficiary cannot
be used for supplemental care or treatment of the beneficiary in a
manner consistent with the agreement or upon request of the trustee of
the self-sufficiency trust, the remaining money in the account and any
accumulated interest promptly must be returned to the self-sufficiency
trust which deposited the money in the Self-Sufficiency Trust Fund.
Section 44-28-70. The State Treasurer shall credit interest earned
on the Self-Sufficiency Trust Fund to the fund and shall allocate the
interest pro rata to the accounts of the named beneficiaries of the fund.
Section 44-28-80. (A) At the end of every month, the State
Treasurer shall submit an accurate statement of transactions of the
Self-Sufficiency Trust Fund to the Comptroller General. The statement
must contain every sum of money received or paid, including the person
and office receiving the funds, the person and office to whom funds
were disbursed, and on which beneficiary's account money was received
or paid and for what purpose.
(B) At any time upon the request of the Comptroller General, the
State Treasurer shall produce statements of transactions concerning any
matter of the Self-Sufficiency Trust Fund. These statements must be
promptly furnished, certified, and must meet the satisfaction of the State
Treasurer.
Section 44-28-90. The South Carolina Department of Mental
Retardation, the State Department of Mental Health, and the State
Agency of Vocational Rehabilitation shall promulgate regulations
necessary for the implementation and administration of the
Self-Sufficiency Trust Fund.
Article 3
Disability Trust Fund
Section 44-28-310. There is established the Disability Trust Fund,
separate and distinct from the general fund, in the State Treasury. The
purpose of the Disability Trust Fund is to provide supplemental services
to meet the needs of low income and indigent individuals with
disabilities.
Section 44-28-320. The State Treasurer may accept for deposit in
the Disability Trust Fund:
(1) monies left to the Disability Trust Fund by donors of a
self-sufficiency trust defined in Article 1 of this chapter at the death of
the disabled beneficiary; and
(2) bequests and contributions from private donors, corporations,
or foundations.
Section 44-28-330. Monies in the Disability Trust Fund must be
expended solely to provide supplemental services to meet the need for
care or treatment for low income or indigent individuals with
developmental disabilities, mental illness, or physical handicaps.
Section 44-28-340. The State Treasurer shall credit earned interest
on the Disability Trust Fund to the fund.
Section 44-28-350. The receipt by a beneficiary of money from the
trust fund or of supplemental care or treatment provided with money
from the trust fund does not in any way reduce, impair, or diminish the
benefits to which the beneficiary is otherwise entitled by law.
Section 44-28-360. The South Carolina Department of Mental
Retardation, State Department of Mental Health, or State Agency of
Vocational Rehabilitation must provide care or treatment for the
beneficiary from monies available from the Disability Trust Fund.
Section 44-28-370. (A) At the end of every month, the State
Treasurer shall submit an accurate statement of transactions of the
Disability Trust Fund to the Comptroller General. The statement must
contain every sum of money received or paid, including the person and
office receiving the funds, the person and office to whom funds were
disbursed, and on which beneficiary's account money was received or
paid and for what purpose.
(B) At any time upon the request of the Comptroller General, the
State Treasurer shall produce statements of transactions concerning any
matter of the Disability Trust Fund. These statements must be promptly
furnished, certified, and must meet the satisfaction of the State
Treasurer.
Section 44-28-380. The South Carolina Department of Mental
Retardation, the State Department of Mental Health, and the State
Agency of Vocational Rehabilitation shall promulgate regulations
necessary for the implementation and administration of the Disability
Trust Fund."
SECTION 2. This act takes effect six months after approval by the
Governor.
-----XX----- |