[Congressional Record Volume 163, Number 200 (Thursday, December 7, 2017)]
[Senate]
[Pages S7931-S7932]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. CORNYN (for himself, Mr. Cassidy, and Mr. Toomey):
  S. 2209. A bill to amend title XIX of the Social Security Act to 
require States to count monetary winnings from lotteries and other 
lump-sum income of $80,000 or more as if they were obtained over 
multiple months for purposes of determining income eligibility for 
medical assistance; to the Committee on Finance.


 =========================== NOTE =========================== 

  
  On page S7931, December 7, 2017, in the second column, the 
following appears: S. 2209. A bill to amend title XIX of the 
Social Security Act to require States to count monetary winnings 
from lotteries and other lump-sum income of $80,000 or more as if 
they were obtained over multiple months for purposes of 
determining income eligibly for medical assistance; to the 
Committee on Finance.
  
  The online Record has been corrected to read: S. 2209. A bill to 
amend title XIX of the Social Security Act to require States to 
count monetary winnings from lotteries and other lump-sum income 
of $80,000 or more as if they were obtained over multiple months 
for purposes of determining income eligibility for medical 
assistance; to the Committee on Finance.


 ========================= END NOTE ========================= 

  Mr. CORNYN. Mr. President, I ask unanimous consent that the text of 
the bill be printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 2209

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Prioritizing the Most 
     Vulnerable Over Lottery Winners Act of 2017''.

     SEC. 2. TREATMENT OF LOTTERY WINNINGS AND OTHER LUMP-SUM 
                   INCOME FOR PURPOSES OF INCOME ELIGIBILITY UNDER 
                   MEDICAID.

       (a) In General.--Section 1902 of the Social Security Act 
     (42 U.S.C. 1396a) is amended--
       (1) in subsection (a)(17), by striking ``(e)(14), (e)(14)'' 
     and inserting ``(e)(14), (e)(15)''; and
       (2) in subsection (e)--
       (A) in paragraph (14) (relating to modified adjusted gross 
     income), by adding at the end the following new subparagraph:
       ``(J) Treatment of certain lottery winnings and income 
     received as a lump sum.--
       ``(i) In general.--In the case of an individual who is the 
     recipient of qualified lottery winnings (pursuant to 
     lotteries occurring on or after January 1, 2018) or qualified 
     lump sum income (received on or after such date) and whose 
     eligibility for medical assistance is determined based on the 
     application of modified adjusted gross income under 
     subparagraph (A), a State shall, in determining such 
     eligibility, include such winnings or income (as applicable) 
     as income received--

       ``(I) in the month in which such winnings or income (as 
     applicable) is received if the amount of such winnings or 
     income is less than $80,000;
       ``(II) over a period of 2 months if the amount of such 
     winnings or income (as applicable) is greater than or equal 
     to $80,000 but less than $90,000;
       ``(III) over a period of 3 months if the amount of such 
     winnings or income (as applicable) is greater than or equal 
     to $90,000 but less than $100,000; and
       ``(IV) over a period of 3 months plus 1 additional month 
     for each increment of $10,000 of such winnings or income (as 
     applicable) received, not to exceed a period of 120 months 
     (for winnings or income of $1,260,000 or more), if the amount 
     of such winnings or income is greater than or equal to 
     $100,000.

       ``(ii) Counting in equal installments.--For purposes of 
     subclauses (II), (III), and (IV) of clause (i), winnings or 
     income to which such subclause applies shall be counted in 
     equal monthly installments over the period of months 
     specified under such subclause.
       ``(iii) Hardship exemption.--An individual whose income, by 
     application of clause (i), exceeds the applicable eligibility 
     threshold established by the State, shall continue to be 
     eligible for medical assistance to the extent that the State 
     determines, under procedures established by the State (in 
     accordance with standards specified by the Secretary), that 
     the denial of eligibility of the individual would cause an 
     undue medical or financial hardship as determined on the 
     basis of criteria established by the Secretary.
       ``(iv) Notifications and assistance required in case of 
     loss of eligibility.--A State shall, with respect to an 
     individual who loses eligibility for medical assistance under 
     the State plan (or a waiver of such plan) by reason of clause 
     (i)--

       ``(I) before the date on which the individual loses such 
     eligibility, inform the individual--

       ``(aa) of the individual's opportunity to enroll in a 
     qualified health plan offered through an Exchange established 
     under title I of the Patient Protection and Affordable Care 
     Act during the special enrollment period specified in section 
     9801(f)(3) of the Internal Revenue Code of 1986 (relating to 
     loss of Medicaid or CHIP coverage); and
       ``(bb) of the date on which the individual would no longer 
     be considered ineligible by reason of clause (i) to receive 
     medical assistance under the State plan or under any waiver 
     of such plan and be eligible to reapply to receive such 
     medical assistance; and

       ``(II) provide technical assistance to the individual 
     seeking to enroll in such a qualified health plan.

       ``(v) Qualified lottery winnings defined.--In this 
     subparagraph, the term `qualified lottery winnings' means 
     winnings from a sweepstakes, lottery, or pool described in 
     paragraph (3) of section 4402 of the Internal Revenue Code of 
     1986 or a lottery operated by a multistate or 
     multijurisdictional lottery association, including amounts 
     awarded as a lump sum payment.
       ``(vi) Qualified lump sum income defined.--In this 
     subparagraph, the term `qualified lump sum income' means 
     income that is received as a lump sum from one of the 
     following sources:

       ``(I) Monetary winnings from gambling (as defined by the 
     Secretary and including gambling activities described in 
     section 1955(b)(4) of title 18, United States Code).
       ``(II) Damages received, whether by suit or agreement and 
     whether as lump sums or as periodic payments (other than 
     monthly payments), on account of causes of action other than 
     causes of action arising from personal physical injuries or 
     physical sickness.
       ``(III) Income received as liquid assets from the estate 
     (as defined in section 1917(b)(4)) of a deceased 
     individual.''; and

       (B) by striking ``(14) Exclusion'' and inserting ``(15) 
     Exclusion''.
       (b) Rules of Construction.--
       (1) Interception of lottery winnings allowed.--Nothing in 
     the amendment made by subsection (a)(2) shall be construed as 
     preventing a State from intercepting the State lottery 
     winnings awarded to an individual in the State to recover 
     amounts paid by the State under the State Medicaid plan under 
     title XIX of the Social Security Act (42 U.S.C. 1396 et seq.) 
     for medical assistance furnished to the individual.
       (2) Applicability limited to eligibility of recipient of 
     lottery winnings or lump sum income.--Nothing in the 
     amendment made by subsection (a)(2)(A) shall be construed, 
     with respect to a determination of household income for 
     purposes of a determination of eligibility for medical 
     assistance under the State plan under title XIX of the Social 
     Security Act (42 U.S.C. 1396 et seq.) (or a waiver of such 
     plan) made by applying modified adjusted gross income under 
     subparagraph (A) of section 1902(e)(14) of such Act (42 
     U.S.C. 1396a(e)(14)), as limiting the eligibility for such 
     medical assistance of any individual that is a member of the 
     household other than the individual who received qualified 
     lottery winnings or qualified lump-sum income (as defined in 
     subparagraph (J) of such

[[Page S7932]]

     section 1902(e)(14), as added by subsection (a)(2)(A) of this 
     section).

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