Amendment H-8180 to HF 2716

Filed March 9, 2026 in the House by

In plain words

AI summary This amendment replaces the entire bill to establish a "work without worry" program that provides Medicaid coverage to employed individuals with disabilities. The new version sets specific eligibility rules based on age and employment, creates a sliding scale for monthly premiums based on income, and includes a six-month grace period for coverage if a person temporarily loses their job or faces a health crisis.¹

What it changes

1. By striking everything after the enacting clause and inserting: “Section
2. NEW SECTION . 249P.1 Definitions. As used in this chapter, unless the context otherwise requires:
3. “Countable income” means the income of an individual when the income is received and can be used to meet the individual’s needs for food, clothing, and shelter. “Countable income” does not include the income of another member of the individual’s household, or certain receipts as described in 20 C.F.R. §416.1103.
4. “Department” means the department of health and human services.
5. “Disability” means a qualifying disability as determined by the federal social security administration, or the individual is determined by the department to have a physical or mental impairment, or combination of impairments, that have lasted or are expected to last for at least twelve months or result in death.
6. “Long-term services and supports” means the broad range of health, health-related, and personal care assistance services and supports, provided in home and community-based settings, necessary for persons with disabilities who experience limitations in their capacity for self-care due to a physical, cognitive, or mental disability or condition.
7. “Program” means the work without worry program established in section 249P.3. Sec.
8. NEW SECTION . 249P.2 Program —— intent. It is the intent of the general assembly to remove barriers to employment for individuals who, but for income and resources, meet the definition of disability, by providing medical assistance to employed individuals with disabilities through a work without worry program in accordance with section 1902(a)(10)(A)(ii)(XIII) of the federal Social Security Act, and Medicaid eligibility, using less restrictive income and resource requirements through the application of section 1902(r)(2) of the federal Social Security Act, and cost-sharing requirements established by the department and approved by the centers for Medicare and Medicaid services of the United States department of health and human services. Sec.
9. NEW SECTION . 249P.3 Program —— established.
10. The work without worry program is established under the medical assistance program and shall be administered by the department to provide employed individuals with disabilities access to health care coverage through the medical assistance program.
11. Except as otherwise specified in this chapter, provisions applicable to the medical assistance program pursuant to chapter 249A shall be applicable to the program.
12. In addition to the benefits received under the program, an individual shall have access to all traditional Medicaid services under the medical assistance program, as well as additional long-term services and supports and community-based services, including waiver services, for which the individual meets any applicable level of care requirements.
13. The department shall make every effort to coordinate benefits with the health care coverage provided by an employer of an employed individual with a disability receiving benefits under this chapter. Sec.
14. NEW SECTION . 249P.4 Program —— eligibility.
15. Except as otherwise provided in this chapter, an individual may participate in the program if the individual meets all of the following criteria: a. The individual is eligible for the medical assistance program under chapter 249A. b. The individual is at least eighteen years of age. c. The individual is less than sixty-five years of age. d. The individual has a disability. e. The individual is employed, earns income from employment which may include self-employment, and works at least one hour per month.
16. The department shall not adopt a rule for program eligibility based upon any of the following: a. An individual’s income or resources. b. A resource test or limit. c. An individual’s receipt of federal disability benefits.
17. An individual who receives supplemental security income shall be automatically eligible for the program and may participate the program.
18. An individual may be eligible for or receive other health care coverage including through an employer, through Medicare, through the medically needy program, the qualified Medicare beneficiary program, or the specified low-income Medicare beneficiary program. If the individual has such other coverage and is subject to payment of copayments or premiums for that coverage, notwithstanding the premium requirements under the program to the contrary, the individual shall not be subject to payment of premiums otherwise applicable under the program. Sec.
19. NEW SECTION . 249P.5 Program —— premiums.
20. An individual’s monthly program premium amount shall equal, rounded down to the nearest whole dollar, any of the following: a. If the individual’s verified countable income is less than one hundred fifty percent of the federal poverty level applicable to the individual’s household’s size, zero percent of the individual’s verified countable income. b. If the individual’s verified countable income is between one hundred fifty percent and two hundred fifty percent of the federal poverty level applicable to the individual’s household’s size, three percent of the individual’s verified countable income. c. If the individual’s verified countable income is more than two hundred fifty percent of the federal poverty level applicable to the individual’s household’s size, six percent of the individual’s verified countable income.
21. a. An individual shall report any change in the individual’s countable income to the department. b. The department shall utilize the individual’s verified countable income until the individual reports a change in countable income and the change is processed by the department, unless there is good cause for the department’s delay in verifying the change in the individual’s countable income. c. A change in an individual’s program premium amount shall be effective the month after the change in the individual’s countable income is reported to and verified by the department.
22. An individual shall be covered under the program for six consecutive months beginning the first day of the month in which the department approves the individual’s application for the program.
23. The department shall create a six-month grace period that provides continuous program coverage to an individual following the individual’s temporary loss of employment, or a health crisis that temporarily prevents the individual from continuing employment. The individual shall be required to continue to pay the program premium based on the individual’s verified countable income during the six-month grace period.
24. The department may terminate an individual’s program coverage if the individual fails to pay four consecutive months of program premiums.
25. An individual must pay a program premium in full for any month that program coverage is provided, including a month when a redetermination of coverage is made, a month when continued coverage is requested, and during the period of an eligibility determination appeal. Sec.
26. NEW SECTION . 249P.6 Rules. The department shall adopt rules pursuant to chapter 17A to administer this chapter. Sec.
27. WORK WITHOUT WORRY PROGRAM —— DEPARTMENT OF HEALTH AND HUMAN SERVICES.
28. The department of health and human services shall submit any waiver request or state plan amendment, or combination thereof, to the centers for Medicare and Medicaid services of the United States department of health and human services as necessary to create a work without worry program in accordance with this Act.
29. Any individual participating in the Medicaid for employed persons with disabilities program when the work without worry program is implemented shall be transferred to and enrolled in the work without worry program. Sec.
30. EFFECTIVE DATE. This Act, being deemed of immediate importance, takes effect upon enactment.”
31. Title page, by striking lines 1 through 5 and inserting “An Act relating to the establishment of the work without worry program under the medical assistance program for employed individuals with disabilities, and including effective date provisions.”

Official amendment (PDF) · In the Bill Book