HomeMy WebLinkAboutAgenda - 10-06-1997 - 10c 1
Orange County Board of Commissioners
Agenda Item Abstract
Meeting Date: October 6, 1997
Action Agenda
Item# /O-c-
SUBJECT: Senate Bill 352: Part XII, Welfare Reform Initiatives
Department: Social Services
ATTACHMENT (S): INFORMATION CONTACT:
1. Senate Bill 352 Marti Pryor-Cook,Ext.#2802
2. Outline of county options
(Pios and Cons) TELEPHONE NUMBERS:
Hillsborough - 732-8181
Durham - 688-7331
Mebane -227-2031
Chapel Hill - 967-9251/968-4501
Purpose: To provide information regarding the duties of county boards of
commissioners as outlined in Senate Bill (SB) 352: Part XII, Welfare Reform Initiatives:
Background: On August 28, 1997,the NC General Assembly approved SB 352, Part
XII, Welfare Reform Initiatives. The legislation establishes The Work First Program as a
program of public assistance,replacing the old Aid to Families with Dependent Children
(AFDC) Program. The purpose of the Work First Program is to provide eligible families
with short-term assistance to facilitate their movement to self-sufficiency through
employment.
In addition to specifying the specific requirements for operating and meeting the goals of
the Work First Program,the legislation defines the duties of county boards of
commissioners as follows:
• Decide by three-fifths(3/5)majority vote whether the county will request designation
as an Electing Program County or a Standard Program County. Electing counties may
operate pilot programs and standard counties will operate under statewide eligibility
criteria and benefit calculations.
• Submit a written request and documentation of the three-fifths majority vote by
October 31, 1997,to the North Carolina Department of Health and Human Services
(DHHS)for consideration as an Electing or a Standard County designation.
• Appoint a committee to identify the needs of the Work First population and to assist
in developing the County Plan to respond to the needs.
The committee membership shall include representatives of the board of social services;
the boards of mental health;the public health board; the local school systems; the
2
business community; the board of county commissioners; and community-based
organizations.
• Provide an opportunity for the public to comment on the County Plan.
• Review and approve the County Plan for submission to the DHHS by January 15,
1998.
Orange County has initiated several efforts to facilitate the planning process for Welfare
Reform initiatives. For instance, the Board of County Commissioners convened a
Welfare Reform Task Force in the Spring of 1996. The Task Force recommended in
September 1996 that it be re-convened after the passage of Welfare Reform Legislation
by the NC General Assembly to assist with developing the County Plan.
Also, the Human Service Advisory Commission sponsored a public forum on September
17, 1997. The participants discussed the Welfare Reform Legislation and provided
recommendations on various strategies necessary for successful implementation of
Welfare Reform in Orange County. Their recommendations will pass on to the
committee that develops the County Plan for review and approval by the Board of
County Commissioners.
At its last meeting,the Social Services Board voted to recommend to the Board of
County Commissioners that Orange County request a standard county designated. The
DSS Board plans to make its recommendation formally to the Board of Commissioners at
the October 21, 1997,meeting. The DSS Board will also suggest a process to facilitate
the development of the County Plan for The Work First Program and other Welfare
Reform Initiatives.
Recommendation: The Manager recommends that the Board accepts this report as
information.
Attachment 1
GENERAL ASSEMBLY OF NORTH CAROLINA
1997 SESSION
SENATE BILL 352
PART )(II. WELFARE REFORM INITIATIVES...
4
rules of the Commission. The Department is authorized to revoke or suspend a
certificate at any time it determines that the holder no longer meets the qualifications
prescribed for emergency medical technicians or for ambei medical
responders.
(b) The Commission shall adopt rules setting forth the qualifications required for
certification of an-t anee medical responders and emergency medical
technicians.
(bl) An individual currently certified as an emergency medical technician by t-h-e
National Registry of Emer?encv Medical Technicians or by another state where the
educatiorJcertification requirements have been approved for
,,. legal r.eco;urion by the Department of _ , Health and
Human Services. in accordance with rules promulgated by the Medical Care
Commission, and who is either currently residing in North Carolina or affiliated with
a permitted ambulance provider offering service within North Carolina, may be
eligible for certification as an emergency medical technician without examination.
This certification shall be valid for a period not to exceed the length of the
applicant's original certification or four years, whichever is less. -
(c) Duly authorized representatives of the Department may issue temporary
certificates with or without examination upon finding that this action will be in the
public interest. Temporary certificates shall be valid for a period not exceeding 90
days."
Section 11A.129F. G.S. 131E-161 reads as rewritten:
"§ 131E-161. Violation declared.misdemeanor.
It shall be the responsibility of the ambulance provider to ensure that the
ambulance operation complies with the provisions of this Article and all rules
adopted for this Article. Upon the violation of-any part of this Article or any rule _
adopted under authority of this Article, the Department shall have the power to =
revoke-or suspend the permits of all.vehicles owned or operated by the violator. The
operation of an ambulance without a. valid permit or after a permit has been
suspended or revoked or without an emergency medical technician and Ambe4&nee
e medical responder aboard as required by G.S. 131E-158, shall constitute a
Class 1 misdemeanor."
Section 11A.130. This Part becomes effective when this act becomes law; .
provided, however-,-that for-purposes=of budget-and- financial- records, this, section - -
becomes effective July 1, 1997. The Departments by agreement and at the direction
of the Office of State Budget and Management shall undertake certification, revisions,
and transfer of budget funds and financial records so that State fiscal- year financial
records, reports, and accounting are maintained as if this Part had become effective
July 1, 1997.
PART X31, WELFARE REFORM INITIATIVES AND CONFORMING CHANGES
Requested by: Representatives Berry, Howard, Cansler, Morgan, Senators Martin of
Guilford, Cooper, Forrester,Winner
SUBPART A. WELFARE REFORM INITIATIVES.
-- -- - Section 12.1. The title of Part 2 of Article 2 of Chapter 108A of the
General Statutes reads as rewritten:
"Part 2, . Work First Program."
Section 12.2. G.S. 108A-24 reads as rewritten:
"§ 10SA-24. Definitions. —
As used in Chapter 108A: -
Page 248 Senate Bill 352
S
(1} `Applicant' is any person who requests assistance or on whose
behalf assistance is requested.
la `Biometrie' means a digitized image of selected features of an
individual encoded and processed in a manner that ensures art
e..Ttraordinarily high correlation between the digital data and the
actual characteristics of an individual.
'Community service' means work exchanged for temporary jubiic
assistance.
(I c) `County block grant' means federal and State money appro rig 'ated
to implement and maintain a county's Work First Program.
(I d) `County department of social services' means a count/ department
of social services. consolidated human services agency. or other
local agency designated to administer services pursuant to this
Article'.
e 'County Plan' is the biennial Work First Program Ilan 2repared by
each county pursuant to this Article and submitted to the
Department for incorporation into the State Plan.
(2) `Department' is the Department of Human Resources, unless the
context clearly indicates otherwise.
(3) `Dependent___child' is a person under 18 years of age whe is
,
marring ,persen related by lbleed,
or in the medical assistance program. a person under 19 vears of
. `Electing County' means a county that elects to develop and is
approved to administer a local Work First Program.
Q1 `Emnloymient' means work that requires either a contributibn to
FICA or the filing of a State N C Form D-400. or the equivalent.
(3c) Tamiv' means a unit consisting of a minor child or children and
one or more of their biological ,parents adoptive parents.
UeI212arents. or grandparents living together,
(. `Federal TANF funds' means the Tem2orary Assistance for Needv
Families block grant funds provided for in Title IV-A of the Social
Security Act.
`FICA' means the taxes imposed by the Federal Insurance
Contribution Act 26 U.S.C. 4 3101, et sea.
(30 _First StoI2 Employment Assistance' is the rrog-am established to
- - ..assist recipients of Work First Program assistance with employment
_ through job registration job search Job preparedness, and
community service.
�3gZ
'Full-time employment' means employment which requires the
employee to work a regular schedule of hours qer day and days
per week established as the standard full-time workweek by the
em„2lover, but not Iess than an avera;t of 30 hours per week.
(4) Repealed by Session Laws 1983, c. 14, s. 3.
4a `Mutual Responsibility Agreement' (;MRA') is an agreement
between a county and a rec l2ient of Work First Program assistance
7^_9
0
which describes the conditions for eligibility for the assistance and
what the county will provide to assist the recipient in moving from :
assistance to self-sufticiencv. A 'IyiRA may provide for recipient
parental responsibilities and child development goals and what a
counr; or the State will provide to assist the recipient in achieving
those child development goals. Improvement in literacy shall be a
pan of anv LIRA, but a recipient snail not be penalized if unable
to achieve improvement. A LIRA is a prerequisite for anv Work
First Pro;am assistance under this Article.
4bl- `Parent' means biological parent or adoptive parent.
(5) `Recipient' is a person to whom, or on whose behalf, assistance is
granted under this Article. -
(6) `Resident,' unless otherwise defined by federal regulation, is a
person who is living in North Carolina at the time of application
with the intent to remain permanently or for an indefinite period;
or who is a person who enters North Carolina seeking employment
or with a job commitment.
(7) `Secretary' is the Secretary of Human Resources, unless the
context clearly indicates.otherwise.
`Standard Program County' means-a county that participates in the
Standard Work First Program.
`Standard Work First Pro;a -- means the Work First Program
developed bathe Department.
10 `State Plan' is the biennial Work First Programplan. based upon
the aggregate of the Electing County Plans and the Standard Work
First Program. grepared by the Department for the State's Work
First Program pursuant to this Article and submitted sequentially
- to the Budget Director to the General Assembly, to the Governor. _
and to the appropriate federal officials for approval.
LW `Temj2or=' is a time period. not to exceed 60 cumulative months.
which meets the federal renuirement of Title IV-A.
12 `Title IV-A' means the Social Security Act. 42 U.S.C. S 601. et
amended- Dv -the- Personal RespensibLit and Work
Qoportuniv Reconciliation Act of 1996 P L 104-193, and to other
provisions of federal law as may apply to assistance provided in
this Article.
l `Work' is lawful activ& exchan ged for cash_ goods. uses. or
services.
LL41 `Work First Diversion Assistance' is a short-terra cash payment
that is intended to substantia lly reduce the likelihood of a family
requiring Work First Family Assistance.
`Work First Family Assistance' is a pro-am of tune-limited
neriodic gaMents children of lizible
families while the adult family members enge in activities to
prepare for entering and to enter the workplace
1 `Work First Prom-am' is the Temporary Assistance for Needv
Families program established in this Article.
17 'Work Pr assistance' d r services
provided under the Work First Program.
(1�- `Work First Services' are services funded from appropriations
made pursuant to this Article and designed to facilitate the
purposes of the Work First Program."
Section 12.3. G.S. 108A-25 reads as rewritten:
Page 250 Senate Bill 352
"§ 108A-25. Creation of programs.
(a) The following programs of public assistance are hereby established, and shall
be administered by the county department of social services or the Department of
Human Resources under federal regulations or under rules ,: adopted
by the Social Services Commission and under the supervision of the Department of
Human Resources:
State-county special assistance for adults;
3 Food stamp program;
4 Foster care and adoption assistance payments;
5 Low income energy assistance program.
(b) The program of medical assistance is Itereby established as a program of public
assistance and shall be administered by the county departments of social services
under rules adopted by the Department of Human Resources.
(bl) The Work First Program is Pctahlished as a program of public assistance and
shall be supervised and administered as provided in Part 2 of this Article.
(c) The Department of Human Resources ' may accept all
s
grants-in-aid for program of public assistance which may be available to the State by
the federal government. The provisions of this Article shall be liberally construed in
order that the State and its citizens may benefit fully from sttel_ the federal
grants-4n-aid."
Section 12.4. Part-1 of Article 2 of Chapter 108A of the General Statutes
is amended by adding the following new sections to read:
"4 108A-25.1. Recipient identification system
- (a) The Department shall establish and maintain-a uniform system in the
Department and in all counties of identifying all Work First food stamp. and medical
assistance program recipients This system shall provide ,security and portability
throughout the State and between- the departments within the State involved in
means-tested public assistance programs and shall have the'capability of identifying
recipients of assistance from all means-tested programs administered or funded
through the Department.
(b) The identification system established in -this section shall use multiple
biometrics to ensure greater than ninety-nine percent (99%) accuracy - for - - - -
interdepartmental identification.
(c) The Department shall ensure that the biometric identification system will be
compatible with any existing,dMartnientai biometric identification system
"i 108A-25.2. Exemption from limitations for individuals convicted of certain drug-
related felonies.
Individuals convicted of Class H or I controlled substance felony offenses in this
State shall be eligible to participate in the Work First Pro_g-ram and food stamp
program:
Six months after release from custodv if no additional controlled
substance felony offense is committed during that period and
successful completion of or continuous active participation in a
required substance abuse treatment program---determined
appr,o2n to by the area mental health authori : or -"
If not committed to custody six months after the date of conviction
if no additional controlled substance felony,offense is committed
during that -period and successful completion of or continuous
active participation in a required substance abuse treatment —
program determined appropriate by the area mental health
authority.
Paze 251
8
A county department of social services shall require individuals who are eligible -for Work First Program assistance and food stamp benefits pursuant to this section to -
undergo substance abuse treatment as a condition for receiving Work First Pro,am
or food stamp benefits. if funds and programs are available and to the event allowed
by federal law."
Section 12.5. G.S. 108A-27 reads as rewritten:
„§ 10SA-27. Attt4teri2atien eg . Families it;t—Bree .._t G i _ eft Rre';.' m..
Authorization and description of Work Furst Program: Work First Proerara changes: '
desianation of Electinz and Standard Program Counties.
(a) The Department isattf --_-d te shall -- establish: r
Dependent supervise, and monitor the Work First Program.
The Vurpose of the Work First Program is to provide eligible famili es with short-term
assistance to facilitate their movement to self-sufficiency through employment. =rrrrs
(b) The Work First Prom-am in all counties shall include program administration
First StoI2 Emnloyment Regigration. and three categories f assistance to artici
1 Work First Diversion Assistance.
2 Work First Family Assistance: and
Work First Services. -All counties shall utilize the registration process of the First Stop Employment
Assistance Program All other provisions of the First Stop Employment Assistance
Program shall be optional to the.counties.
(c) The Department may change the Work First Program when required to
comply with federal law. Any changes in federal law that necessitate a change in the
Work First Program shall be effected by temporary rule until the next State Plan is
approved by the General Assembly -Any change effected by the Department to =
comply with federal law shall be rMorted to the-Joint Legislative Public Assistance
Commission and included in the State Plan submitted during the next session of the
General Assembly following the change.
(d) The Department shall allow counties maximum flexibility in the Work First
Progrram while ensuring that the counties comply with federal and State laws and
regulations.--Subject to-gMC limitations-i 12osed ,y--law tire-Department shall-allow -
counties to request to be designated as either Electing Counties or Standard Program
Counties in the Work First Program,
(e) All counties shall notify the ng—mv-1 rr+ent in writing as to-whether they desire to
be designated as either Electing.or Standard Program. A county shall submit in its
notification to the Department documentation demonstrating that three-fifths of its
county commissioners support its desired designation Upon receipt of the
notification from the county. the Department shall send to the county confirmation of
the county's pla, nning designation A county that desires to be redesignate_d shall
submit a request in writing to the Depa--ent at least six months prior to the
effective date of the neat State Plan In its request for redesignation the county shall
.submit documentation demonstrating that three fifths of its county commissioners
support the redesignation, Upon receipt of the notification from the county. the
- - - Department shall send to -.the county confirmation of the county's pla rim ,
redesienation A countv's redesignation shall become effective or the effective date
of the neat State Plan following• the redesio nation A couatv's designation _Qr
redesignation shall not be effected eacot as provided in this Arttsle
(f) The board of county commissioners in an Electing County shall be responsible
for development administration and implementation of the- Work First Program in
that county.
Page 252 Senate Bill 352
9
The county department of social services in a Standard Program County shall
be responsible for administering and implementing the Standard Work First Program
in that county.
(h) The Department and Electing Counties in develogin; an Electing County
Work First Program or the Standard Work First Program, may distinguish istinguish among
uctertial a oups of recil2ients on whatever basis necessary to enhance program
irposes and to madmize federal revenues so long as the rights, including the
constitutional rights of equal nrote-ctien and due process, of individuals are protected.
The Department and Electing Counties may provide Work First Program assistance
to le?al immigrants on the same basis as citizens to the extent permitted by federal
law."
Section 12.6. Part 2 of Article 2 of Chapter 108A of the General Statates
is amended by adding the following new sections:
114 108A-27.1. Time limitations on assistance.
(al Under the Standard Work First Progjam unless an extension or an exemption
is provided pursuant to the 2rovisions of this Part or the State Plan. any cash
assistance provided to a person or family in the emplovment program shall only be
provided for a cumulative total of 24 months After having received cash assistance
for 24-months the ,person or the family may reapply for cash assistance, but not until
after 36 months from the last month the 2erson or the family received cash assistance.
This subsection shall not apply to child-only cases.
ases.
(,b) Electing Counties may set any time limitations on assistance it finds
appropriate so long as the time limitations do not conflict or exceed any federal time
limitations.
"& 108A-27.2. General duties of the Department.
The Department shall have the following general duties with respect to the Work
First Program: _
l PPiovide technical assistance to counties developing- and
imp a enting their County Plans including providing information
c�c ncernin- applicable federal law and regulations and changes to
_
federal law and regulations that affect the permissible use of
federal funds and scope of the Work First Program in-a county -
2 Describe autho-rized federal and State_ work activities:— — -�--
3 Define requirements for assignment of child sul2- income and
compliance with child support activities:
Establish a schedule for counties to submit their ounty Plans to
ensure that all Standard County Plans are adopted by the Standard
Program Counties vv January 15 of each even-numbered year and
all Electing County Plans are adopted by Electing Counties _hv-
Febru= 1 of each even numbered vear and review and then
recommend a State Plan to the General Assembly:
Enn=e that The County Plans comply with- federal and State laws.
rules and regulations are consistent with the overall pumoses and
goals of the Work First Program and max'miz-. federal receipts for
the Works First Program:
j P,rUare the State Plan in accordance with G-5. 108A-27.9 and
federal laws and rei ulations and submit 't to the Budget erector
for approval:
M Submit the State Plan as approved by the Budget Director, to the
General Assembly for agprovah
(8) Report monthly to the Joint Legislative Public Assistance
Commission on the monthly progress reports submitted ,bv the.
counties to the Department:
_ paQP 2�3
10
91 Develon and imolement a system to monitor and evaluate the
impact of the Work First Program on children and families,
including the impact of the Wore First Program on the economic
security and health of children and families, child abuse and
neglect. caseloads for child oretective services and foster care.
school attendance, and academic and behavioral performance.
State and county agencies shall ceo-e._t,- in providing information
needed to conduct these evaluations, sharng data and information
except where prohibited Secincaliv bv frederal law or regulation:
L) Monitor the performance of counties relative to their County Plans
and the overall goals of the Work First Program'and report every
six months to the Director of the Budget and the Joint Legislative -
Public Assistance Commission and annually to the General
Assembly on the counties' attainment of the outcomes and goals:
11 Provide quarterly progress reports to the county departments of
social services. the county,boards of commissioners. and the Joint
Legislative Public Assistance Commission on the. performance of
counties in achieving Work First Program eanectaons:
12 Report to the Joint Legislative Public Assistance Commission and
the House and Senate AA.1212rol2nations Subcommittees on Human
Resources the counties which have requested Electing status,
provide copies of the proposed Electing County PIans to the Joint
Legislative bblic Assistance Commission and the House and
Senate Appropriations Subcommittees on Human Resources. and
make recommendations to the Joint Legislative Public Assistance
Commission the chairs of the House and Senate Subcommittees
on Human Resources 'and the General Assembly on which of the
proposed Electing Counly Plans ensure compli ance with federal
and State laws rules and regulations and are consistent with the'
overall 12=os__ es and goals for the Work First Program: and
Make recommendations to the General Assembly for approval of
counties to become Electing Counties which represent. in
-- _7 - - _ -___agUegatP no more than fifteen and one-half percent (15.5%) of.
the total Work First caseload at October 1 of each year and. for
each county submitting.--a plan the reasons individual counties
were or were not recommended.
"S 10SA 27.3 Electing Counties Duties of county boards of commissioners
(al The duties of the county boards of commissioners in Electing Counties under
the Work First Program are as follows:
Establish county outcome and performance goals based on county
economic educational and employment factors and adopt cntena
for determining the progress of the county in moving persons
families to self-sufficiencvs
2 Establish eligibility criteria for recipients:
Prescribe the method of calculating benefits for recipients:
L4,1_ Determine and list persons and families eligible for the Work First
Program:
t51 If made a part of the county's Work First Program develop and
enter into Mutual Resnonsibility Agreements with Work First
— _ Program recipients and ensure that the services and resources that
are needed to assist participants to comply with the obligations
under their Mutual Responsibility.Agreements are available;
Page 254 Senate Bill 352
11
(6) Ensure that participants engage in the minimum hours of work
activities required by Title IV-A;
M Provide community service work for anv recipient who cannot find
employment:
(� Make payments of Work First Diversion Assistance and Wort{ First
Familv Assistance to recipients having MR.-ks,
�. Monitor compliance with Mutual Resrorsibility Agztemer_ts and
enforce the agreement provisions:
10 Monitor and evaluate the impact of the Work First Program on
children and families. including the impact of the Program on the
economic security and health of children and families, child abuse
and neglect. caseloads for child protective services and foster care,
school attendance, and academic and behavioral performance, and
report the findings to the Department quarterly:
11 " Ensure compliance with applicable State and federal laws. rules,
and regulations for the Work First Program:
12 Develop. adopt. and submit to the Department a biennial County_
lan
-- 13 Provide monthly progress ss reports to the Department in a format to
— be determined by the Department:
14 '. Develop and_ implement an appeals �rocess for the county's Work
First Program that substantially complies with G.S. 108A-79.
(b) The county board of commissioners shall not delegate the responsibilities
described in subdivisions (a)(1). (,a,)(ll). and (a)(12) of this section but may delegate
other duties to public or private entities. Notwithstanding any delegation of duty. the
_ county board. of commissioners shall remain accountable for its• duties under the
Work First Program. -
(c) The county board of commissioners shall appoint a committee of individuals
to identifv the needs of the population to be served and to review and assist in
developing the County Plan to respond to the needs The committee membership
shall include but is not limited to representatives of the county board of social
services the board of the area mental health authority, the local public health board._
the local scho6l ystgms the business community. the board of county commissioners -and community-based organizations representative of the 2g2ulation to be served
(d) The county board of commissioners shall review and approve the County Plan
for submission to the Department.
"4 10SA-27.4. Electing Counties -- County Plan,
(a) Each Electing, County shall submit to the Department according to the
schedule established by the Department and in compliance with all federal and State
laws, rules. and regulations. a biennial County Plan.
(b) An Electing County's County Plan shall have at least the following five parts:
(1) Part I. Conditions Within the CounZv:
(21 Part II Outcomes and Goals for the CounM
11 Part III Plans to Achieve and Measure the Outcomes and Goals:
4) Part IV. Administration: and
5 Part V. Funding Requirements, ` - -
(,cl Funding requirements shall at least identify the amount of a county block
zrant for Work First Diversion Assistance a county, block ggant for Work First
Familv Assistance a county block grant for Work First Services and the county's
maintenance of effort contribution A county ma,y establish a reserve. --
(d) The County Plans in Electing Counties may provide that in cases where
benefits are paid only for a child the case is considered a family case.
(e) Each county shall include in its County Plan the followinz:
Page 255
12
The number of MRAs entered into by the county:
(2,) A description of the county's plans for serving families who need
child care, trarsnortation. substance abuse services, and
emplov*nent support based on the needs of the community and the
availability of services and funding:
3 A list of the community service programs equivalent to full-time
em-clovment that are being offered to Work First. Pro,am
recipients who are unable to find full-time emplovment:
� A description of the county's eligibility criteria, benefit calculation,
and anv other volicies adopted by the county relating to eligibility,
terms. and conditions for receiving Work First Program assistance,
including sanctions. asset and income requirements. time limits and
extensions. rewards, exemptions. and exceptions to requirements.
If an Electing County Plan proposes to change eligibility
requirements. benefits levels. or-reduce maintenance of effort. the
county shall describe the reasons for these changes and how the
coup - intends to utilize the maintenance of effort savingL
30 A description of how the county plans to utilize public and private
resources to assist in moving persons and families to self-
sufficiency: and
�6Z Any request to the Department for waivers to rules or any
proposals for statutory changes to remove any impediments to
implementation of the County's Plan.
(f) Each county shall provide to the general public an opportunity to review and
comment upon its County Plan,prior to its submission to the Department.
(g) A county may modify its County Plan once each biennium but not at any
other time unless the county notifies*the Department of the proposed modification
and the-Department: determines that the proposed modification is consistent with _
State and federal law-and the goals for the Work First Program.
"4 108A-27.5. Electing Counties —-Duties of the Department.
In addition to the general duties prescribed in G.S. 108A-27.3. the Department
shall have the following duties with respect to establishing supervising and
-- - -- monitoring the Work First Program in- Electing- Counties-while allowing Electing
Counties maximum flexibility in-designing,and implementing County Plans:
Coordinate activities of other State ;encies providing technical
sWport to counties developing their County Plans:
At the request of the counties provide assistance to counties in
their activities with private sector individuals and organizations
relative to County Plans: and
Establish the baseline for the State maintenance of effort.
"& 108A-27.66.. Standard Program Counties -- Duties of county departments of SQCW
services and county boards of commissioners.
(a) Except as otherwise provided in this Article the Standard Work First Program
shall be administered by the county departments of social services The county
departments of social services in Standard Program Counties shams
- --- - - In consultation with the -Department and the county board of
commissioners establish outcome and performance Was for each
Standard Program County based on economic factors and
conditions in that county aimed at reducing child op vertu by
means of goals that measure the increased numbers of persons
employed the increased numbers of hours worked by and wages
earned by recipients and other measures of child well-being:
Page 256 Senate Bill 352
13
Determine elisibility of persons and families for the Work First
Program:
X31 Enter into Mutual Responsibility Agreements with participants if
required under the State Flan and ensure that the services and
resources that are needed to assist participants to comply with their
obligations under their tifutual Responsibility Agreements are
available.
M Comply with State and federal law relating to Work First and Title
IV-A:
M Develop the County Plans for submission by the counties to the
Department:
Ensure that participants engage in the minimum hours of work
activities required by the State Plan and Title IV-A.
M Ensure that the components of the Work First Program are funded
solely from authorized sources and that federal TANF funds are
uSed only for purposes and programs authorized by federal and
State law:
Monitor and evaluate the impact of the Work First Program on
-
children and families including the impact of the Program on the
economic security and health of children and families. child abuse
and neglect -caseloads for child protective services and foster care.
school attendance and academic and behavioral performance and
report the findings to the Department quarterly: and
Provide monthly progress reports to the Department in a format to
be determined by the Department.
(b) In consultation with the Department a county department of social services
may delegate a any of its duties under this Article to another pubic agency or v_nvate
contractor. Prior to delegating v duty, a county department of social services shall
submit its proposed delegation to the Deoartinent as the Department may provide.
Notwithstanding any delegation of dui a county department of social services shall
remain accountable for its duties under the Work First Program
(c) The county board of commissioners shall aRooint a committee of individuals- -- -
to identify the need, of the population to b served and to review and assist in-
developing the Counly Plan to re *_+ond to the needs. The committee membership
shall include but is not limited to representatives of the county board of social
services the board of the area mental health authority, the local public health board
the local school Systems the business community the board of county con=ssioners.
and community-based org * epresentative of the population to be served.
(d) The county board of commissiongrsshall review and approve the Coun ty Plan
or submission to the Department,
10SA-2'7.7. Standard Prom County Plan. -
(a) Each Standard Program County shall submit to-the Department for approval a
biennial County Plan that describes the Work First Diversion Assistance and Work
First Services the county proposes to offer.
(b) Prior to submitting its County Plan to the Department a county shall provide
the public with an opportuni ty to review and comment upon it.
(cl The County Plan of a Standard Program County shall include a description of
how the county will:
]U Utilize both public c and .private resources to assist in moving
persons and families to self-sufficiency:
Serve families who need child care transportation substance abuse
services and employment support based on the needs of the
community and the availability of services and funding: and
Paze 257
14
(31 Address the needs of persons and families in any other areas
specified by the Department.
"§ 103A-27.8. Standard Program Counties -- Duties of Deuartment.
(a) The Degartment shall establish. develop, supervise. and monitor the Standard
Work First Program. Ln addition to its general duties prescribed in G:S. 108A-27.2.
the Department shall have the following duties with respect to the Standard Work
First Program and the Standard Program Counties:
Establish the requirements for the content of County Plans and
review and approve the Countv Plans submitted by the Standard
Pros am Counties•
M Advise and assist the Social Services Commission in adopting rules
necessary to implement the provisions of this Article:
3 Supervise disbursement of county block grants to the Standard
Program Counties for Work First Services:
Make payments of Work First Family Assistance and Work First
Diversion Assistance: ,
Coordinate activities of other State and county agencies in meeting
the goals of the Work First Program:
Work with State and county agencies and with private sector
greanizat ons and individuals to develoIprograms and methods to-
meet the goals of the Work First Program: and
M Develop a- Mutual Responsibility Agreement for use by Standard
Program Counties.
(b) The Secretary in consultation with the Office of State Budget and
Management. may adopt tempo a y rules when necessary to:
1 Implement provisions of the State Plan.
2 - _MaAmize federal revenues to prevent the-loss of federal funds:
Enhance the ability of the Department to prevent fraud and abuse _
in the Work First Program: and
(4� . Mod' the provisions in the State Plan as necessary to meet
changed circumstances after-approval of the State Plan.
(c) The Social Services Commission may adopt rules in accordance with G.S.
143B-153 when necessary to-imnlement this Article and subiect-to delegation- by the
Secretary of any rule-making authority to implement the provisions of the State Plan.
"I 108A-27.9. State Plan.
(a) The D=artment shall prepare and submit to the Director of the Budget.-in
accordance with the procedures established in G S 143-161 for federal block grant
funds a biennial State Plan that proposes the goals and re,uirements for the State
and the terms of the Work First Progra.*n for each fiscal year. Prior to submitting a
State Plan to the General Assembly. the Department shall submit the State Plan to
the Joint Legislative Public Assistance Commission for its review and then consult
with local governments and private sector orgranizations regarding the design of the
State Plan and allow 45 days to receive comments from them:
(b) The State Plan shall consist of generally a hp cable movisi_ ns and two
separate sections. one proposing the terms of the Work First Proem in Electing
Counties and the oth g the terms for the Standard Work First Program. ,
(c) The State Plan shall include the foll owing generally aML a provision
U Provisions to ensure that no Work First Program reciDients.
rewired to participate in work activities shall be employed or
assigned when:
a. Any reg'.ular emplovee is on layoff from the same or
substantially equivalent job:
Page 258 Senate Bill 352
15
An emplover terminates any regular emplovee or otherwi
causes an involuntary reduction in the emplover's workforce
in order to hire Work First recipients: or
e. An emplover otherwise causes the displacement of any
currently emploved worker or positions, including_oarnal;
displacements such as reductions in hours of nonovertime
work, wages, or employment benefits. in order to hire Wori
First recipients:
Provisions to ensure the establishment and maintenance cf
grievance procedures to resolve complaints by regular emplovee§
who allege that the employment or assignment of a Work First
Program recipient is in violation of subdivision (31 of this
subsection:
Provisions to ensure that Work First Program participants_required
spate in work activities shall be subject to and have the
same rights under federaL State. or local laws applicable to non-
Work First Program eMlovees in similarly situated work activities
including. but not limited to wage and hour laws health and
safery standards and nondiscrimination laws provided that nothing
in this-- subdivision shall be construed to prohibit Work First
Program participants from receiving additional State or county
services designed to assist Work First Program pamcigants achieve
job stability and self-sufficiency;
A description of eligible federal and State work activities:
5 Requirements for assignment of child support income and
compliance with child support activities:
centzves -for high-performing counties-- contingency plans for
-counties unable to meet financial commitments during-the term of
the State Plan and sanctions against counties failing to meet
performan ce expectations including allocation of any federal
penalties that may be assessed against the State as a result of a
o nty's failure to perform: and
M &2 g„else required by federal or State law rate. or regulation
to be included in the Sty an.
(d) The section of the State Plan p posing the terms of the Work First Program
in Electing Counties shall be based upon the agglegate of the Electing County Plans
and shall include the following:
LU Allocations of federal and State funds for Electing Counties in the
Work First Pro&= including block grants to counties and the
allocation ofrundin- for adiminiaeon not to exceed the federally
1 L
p_ ablis hed limitations on the use of federal TAiy r tunas and the
limits imposed under this Article•
Maintenance of effort and levels of State and county_ funding for
Electing Counties in the Work First Program:
) Federal eligibility requirements and a description of the eligibility
requirements and benefit calculation in eac� �e ti County-and
A description of the federal State and each Electing County's
financial participation in the Work First Program,.
The Department may modify the section in the State Plan regarding Electing
Counties once a biennium or except as necessary to reflect any modifications made
by. an Electing County. Any changes to the section of the State Plan_ regarding
Electing Counties shall be rel2grted to the Joint Legislative Public Assistance
-- Page 259
16'
Commission at the next meeting of the Commission following the changes and to the -
General Assembly during the next session following the changes.
(e) The section of State Plan describing the Standard Work First Program shall
include:
(1) Benefit Levels. limitations. and payments and the method for
calculating benefit levels and payments:
2) Eiia-bility criteria. including asset and income standards:
3) Any exceptions or exemptions proposed to work requirements:
4) Provisions for when extensions may be granted to a person or
famiiv who reaches the time limit for receipt of benefits:
5) Provisions for exceptions and exemptions to criteria, time limits,
and standards: . -
Provisions for sanctions for recipient failure to comply with
program requirements:
(7� Terms and conditions for repayment of Work First Diversion
Assistance by recipients who subsequently receive Work First
Family Assistance:
(88) Allocations of federal State. and county funds for the Standard
Work First Program including county block grants to the counties
for Work First Services:
Levels of State and county funding for the Standard Work First
Program:
LIO-1 Allocation for funding for administration at the State and local
level not to exceed the federally established limitations on use of
federal TANF funds for program administration. .
11 A description of the Department's consultation with local
- governments and private sector organizations and a summary of
anv comments received during the 45-day public comment penod.
(f) In addition to those items required to be included pursuant to subsection (e) of
this section the State Plan may include proposals to establish the following as part of
the Standard Work First Program:,
Demonstration projects in one or more counties to assess the value
- - 4ia �proposed changes., in State policy or_to--test.ways to improve -
prog-ams: and
Requirement that recipients shall be required to enter into and
compjv with Mutual Responsibility Agreements as a condition of
receiving benefits If p;ovided for in the State Plan the terms and
conditions of Mutual Responsibility Agreements shall be consistent
with program purposes federal law and availability of funds.
(g) The State Plan may provide for automatic Medicaid ehgib�y for all Work
First Program recipients.
(h) The State Plan may provide that in cases where benefit are paid only for a
child, the case is considered a family case.
"4 108A-2710 Duties of the Director of the Bndget/Governor.
(a) The Director of the Budget shall by Mav 15 of each even-numbered calendar
year, approve and recommend adoption l_Ythe General Assembly of the State Plan. - - ------ -- a -
(b) At the berg of every fiscal year. the Director of the .budget shall report to
the General Assembly the number of permanent State emplovees who have been
Work First Program recipients during the previous calendar year
all sign it and cause it to
(e) After the State Plan has become law. the Governor sh
be submitted to federal officials in accordance with federal law. -
$ 108A-27.11. Work First Program funding,
Page 260 Senate Bill 352
17
(a) County block grants. except funds for Werk First Family Assistance, shall be
computed based on the percentage of each county's total AFDC (including AFDC-
EA) and JOBS expenditures. except expenditures for cash assistance, to statewide
actual expenditures for those programs in fiscal year 199 -96. The resulting
percentage shall be applied to the State's total budgeted funds, excert funds budgeted
for Work First Family Assistance, for Work First Pro-ram expenditures at the count•
level.
(b) The following shall mplv-to funding for Standard Program Counties:
(1) The Department shall make palments of Work First Family
Assistance and Work First Diversion Assistance subject to the
availability of federal. State, and county funds.
The Department shall reimburse counties for county expenditures
under the Work First Program subject to the availability of federal.
State. and county funds.
(c) Each Electing County's allocation for Work First Family Assistance shall be
computed based on the percentage of each Electing County's total expenditures for
cash assistance to statewide actual expenditures for cash assistance in 199 -96. The
resulting percentage shall be applied- to the total budgeted funds for Work First
Familv Assistance. The Department shall transmit the federal funds contained in the
county block grants to Electing Counties as soon as practicable after they become
available to the State and in-accordance with federal cash management laws and
regulations The 'DMartment shall transmit one-fourth of the State funds contained
in county block grants to Electing Counties at the beginning of each quarter. Once
paid, the county block grant funds shall not revert.
§ 108A-27.12. Maintenance of effort.
(a) The Department shall define in the State Plan or by -rule the term
`maintenance of effort' based on that term as defined in Title IV-A and shall provide to counties a list of activities that Qualify for federal main_tenance of effort
requirements.
(b) If a county fails to comply with the maintenance of effort requirement in
subsection a) of this section the Director of the Budget may withhold State moneys
appropriated to the county pursuant to G S 108A-93. - --- — -_ -
(c) The Department shall' maintain �the State's maintenance of,effort at- one - -
hundred percent (100%) of the amount the State budgeted for programs under this
Part during fiscal year 1996-97.
(d) For Standard Program Counties using the preceding fiscal year as the base
vear, counties shall maintain a financial commitment to the Work First Program
equal to the proportion of State funds allocated to the Work First Program At no
time shall a Standard Program County reduce State or county funds previously
obligated or appropriated for child welfare services,
(e) During the first vear a county operates a§ an Electing County, the county's
m_aintenance of effort shall be no less than ninety percent (90%) of the amount the
county budgeted for programs under this Part during fiscal year 1996-97 If dunn-Z
the first vear of operation as Electing the Electing County achieves one hundred
percent (100%) of its goals as set forth in its Electing County Plan. then the Electrn�
County may reduce its maintenance of effort to eiL7hty percent (SO%) of the amount
programs _
the county budgeted for proms under this Part durzztg, seal vear 1996- 7 for the
second vear of the Electing Countv's Qperanon and for all years thereafter that the
county maintains Electing status. —
"$ 10SA-27.13. Performance standards-
(a) The Depamnent in consultation with the county department of social services
and county board of commissioners shall establish acceptable levels of performance
for Standard Prog am Counties in meeting Work First expectations measured by
-- ---- - - - Pase 261
18
outcome and performance Goals contained in the State Plan. The Department shall
establish monitoring mechanisms and reporting requirements to assess progress
toward the goals The well-being of children and economic factors and conditions
within the counties including the increased numbers of persons employed and
increased numbers of hours worked by and wages earned by recipients. shall be
considered by the Department.
(b) Electing County performance shall be judged upon the county's abihiv to
attain the outcomes and goals established in that county's County Plan.
(c) A-11 adult recipients of Work First Program assistance are erected to achieve
full-rime employment. subject to applicable exceptions. Adult recipients of Work
First Program assistance shall comply with the provisions and requirements in their
MRAs.
"S 108A-27.14. Corrective action.
(a) When any county fails to meet acceptable levels of performance. the
Department may take one or more of the following actions to assist the county in
meeting its Work First goals:
U Notify the county of the deficiencies and add additional monitoring
and reporting requirements.
ReQuire the county to develo$ and submit for approval by the
Doartment a corrective action plan. _
( If any Standard Program County fails to meet acceptable levels of performance
for two consecutive ears or fails to comly with a corrective action plan developed
pursuant to this section. the Department may assume control of the county's Work
First Program. appoint an administrator to administer the countv's Work First
Program and exercise the powers assumed to administer the Work First Program
either directly or through contract with private or public agencies County funding
shall continue at levels established by the State Plan when the -State has assumed
control of a county Work First Program At no time after the State has assumed
control of a Work First Program shall a county withdraw funds previously obligated
or appropriated to the Work First Program.
(c) If an Electing Counly fails to achieve its Work First Program goals for two
consecutive vears or fails to comply with a corrective action plan developed pursuant
to-this section and -as a result the-federal--government-imposes a penalty upon- the -
Sta.te then the county shall lose its Electing County status.
"4 108A-27.15. Assistance not an entitlement: aR
(a) Any assistance pro;rams established under this Part whether administered by
the Department or the counties are not entitlements and nothing in this Part shall
create any prop. erty right
(b) The Standard Work First Progran�is a program of tem_porary public assistance
for the Rur,�ose of an appeal under G S 108A-79.
"& 108A-27.1& Use of Work First Reserve Fund.
(a) By the fifteenth of each month the Secretary shall certify to the Director of
the Budget and the Fiscal Research Division of the General Assembly the actual
expenditures for Work First Family Assistance for the fiscal_year Up until the
beginning of that month and the projected expenditures for the remainder of the
--- - - - fiscal vear. If on- March 1 the actual ex-Denditures for the fiscal year-exceed two- -
thirds of the total amount of expenditures expected for the entire fiscal year. then the
Secretary shall attempt to access any available federal funds If federal funds are
unavailable and the General Assembly is not in session the Director of the Budget
may. in the order below:
if� Use funds available from the Work First Reserve-Fund--es tablished
pursuant to G.S. 143-15.3C:
Use funds available to the Department: or _
Page 262 Senate Bill 352
t`J
(3) Notwithstanding G.S. 143-23, use funds available from other
departments, institutions, or other s ending agencies of the State
(b) The Director or the Budget shall revort to the Joint Legislative Commission
on Governmental Operations the Joint Legislative Public Assistance Commission
and the House of Representatives and Senate Appropriations Subcommittees on
Human Resources prier to making any transfer 12ursuant to this section
(c) E.Iceot as nrovided in this section funds from the Work First Reserve Fund
established ;zurslzant to G.S. 143-15.3C shall not be expended until appropriated priated by
the General Assemblv."
Section 12.7. (a) G.S. 108A-29 reads as rewritten:
"§ 10SA-29. . First Stop Emplovment Assistance• priority for
employment services.
werl
21--�E;re is established' in De ent of Commerce "roeram to be called
First Stop EmRIovment Assistance The Secretary of the Department of Commerce
shall administer the pro m -with the participation and cooperation of the
Employment Security Commission county boards of commissioners the Department
of Health and Human Services the Department of Labor. the Department of Crime
Control and Public Safety. and the.community college system The responsibilities of
each agency shall be specified in a Memorandum of Understanding between the
Departments of Commerce and Health and Human Services in consultation with the _
Employment Security Commission the Department of Labor, and the community
collega5vstera The Emp oMent Security Commission shall be the presumptive -
primary deliverer of iob placement services for the Work First Program _
(a2) Individuals seeking to appjy or reapply for Work First Program assistance and
who are not exempt from work requirements shall register with the First Stog
Employment Assistance Program The point of registration shall be at an office of.
the Employment Security Commission in the county m which the individual resides
or at another location designated in a Memorandum of -Understanding between the
Employment Security Commission and the local depa=ent of social services.
(a3) Individuals who are not otherwise exempt shall_present verification of
registration. at the time of gRRIving for Work First Program assistance Unless
exempt the individual shall not approved for Work First Program assistance until
verification is received. Child-only cases are exempt from this requirement.
(,a4) The Employment Security, Commission shall expand its Labor Market
Information Svstem The expansion shall at least include- statistical information on
unemployment rates and other labor trends by county- and publications dealing with
licensing requirements economic development and career ,.proiections. and
information technology systems which can be used to track participants through the
employment and d i ire r e
aS) The Employment Security Commission shall be-the Rrimary job lace p_ mnt
entity of the Work First Program The EmRIovment Security ommission shall assist --
registrants through job search job placement or referral to community service.
(a6) At the county's option. the Employment Security!Comrtussion. in
consultation with and with the assistance of the agencies specified in the
Memorandum of Understanding described in subsection (a2) of this section- shall
provide to Work First Program registrants the continuum of services available
through its Employment Services division Each County Plan may provide that the
county department of social services enter into a cooperative agreement with the
- -- _ Page 263
zu
Employment Security Commission for Job registration, job search, and job placement -
on behalf of Work First Program registrants. The cooperative agreement shall
include a provision for�pavment to the Employment Security Commission by the
county department of social services for the cost of providing. the services described
in this subsection as the same are reflected as a component of the County PIan
payable from fund allocations in the county block grant.
Ja!) If after evaluation of an individual the Employment Security Commission
believes it necessary. the Employment Securitv Commission also may refer an
individual placed in the Job Preparedness component of the First Stop Employment
Program to a local community college for enrollment in General Education
Development. Adult Basic Education. or Human Resources Development ,rrograms
which are alreadv in existence. Additionallv. the Commission may refer an -
individual to a literacy council. Through a Memorandum of Understanding between
the Employment Security Commission and the local department of social services. a
pvstem shall be established to monitor an individual's progress through close
communications with the agencies assisting the individual. The EmRlo=ent Security
Commission shall adopt rules to accomplish this subsection.
(a8) The Job Preparedness component of the Program shall last a ma3imum of 12
weeks unless the recipient is registered and is satisfactorilyprogressing in a program
that requires additional time to complete. Every reasonable effort shall be made to
place the recipient in part-time employment or part-time community service if the
time required exceeds the 12-week maximum The Emp, loyment Security
Commission may contract with-service providers to provide the services described in
this section and shall monitor the Rrovision of the services by the service,providers
(0) An individual placed in the Job Search component of the First Stop
EmRlovment Program shall look for work and shall accept any suitable employment. _
The Employment Security Commission shall refer individuals to current job openings
and shall make job development contacts for individuals. Individuals shall be - =
required to ke= a record of their Job search activities on a job search record form
provided by the Commission and the Employment Security Commission yell monitor
these activities A `job search record' means a writt en list of dates times places.
addresses teleRhone numbers names and circumstances of job interviews. The Job
-Search-component shall include at least one weekil contact with the-Employ ment -
Security Commission The Employment Security Commission shall adopt rules to
accomplish this subsection.
(a10) The Employment Security Commission shall work with the Department of
Labor to develop a relationship with these Rrivate employment agencies to utilize
their services and make referrals of individuals registered with the Employment
Security,Commission.
(all) The Employment Security Commission shall noti all employers in the
State of the `Exclusive No-Fault' Referral Service available through the Employment
Security Commission to employers who hire personnel through Job Service refenais.
(al2) All individuals referred to jobs through th=plovme it Security
Commission shall be instructed in the Rrocedures for gRplying for the Federal Earned
Income Credit fFEIC) All individuals referred to lobs through the Employment
Security Commissioe-who query for the FEIC shall gpnl by-filing. a .
W-5 form with their employers.
(,ar3) The FEIC shall not be counted as income when eli gibility is determined for
Work First Prog�-�*n assistance Medicaid food stamps subsidies public housing,or
Supplemental Security Income..
(a14) An individual who has not found a iob within 12 weeks of being placed in
the Job Search component of the Program may also be placed in the ommunity
Service component at the county's option.
Page 264 Senate Bill 352
21
(x15) Once an individual has registered as required in subsection (a2) of this
section and upon verincation of the registration by the agency or contractor providing
the Work First Prod am assistance the individual's eli;bility for Wort Fist Program
assistance may be evaluated and the application completed Continued receipt of
Work First Program benefits is contingent upon successful ;oarticigaron in the First
Stop Emplovment Program and Iack of cooperation and oartici^atiez in the First
&00 mpiovment Pro.,am may result in the termination of benefits to the individual
(x16) The county board of c ommissioners shall determine whic'rt agencies or
nonprofit or private contractors will participate with the EmI21g trent Security
Commission and the local department of social services in developing the rules to
implement the First Stop Employment Program
(a17) Each county shall organize a Job Service Emplover Committee based on
the membership makeup of the Job Service Emplover Committees in etstence at the
time this act becomes law. Each Job Service Emplover Committee in counties
participating in the First Stop Employment Program shall oversee the operation of
the Program in that county and shall report to the local Employment Security
Commission quarterly on its recommendations to improve the First Stop Employment
Program. The Employment Security Commission shall develop the reporting method
and time frame and shall coordinate a full report to be presented to the Joint
Legislative Public Assistance Commission by the end of each calendar year. Counties
having a Workforce DeveIopment Board may designate the Board to perform the
duties described in this section rather than organizing a Job Service Em lloover
Committee.
(b) Members of families with dependent children and with aggrega te family
income at or below the level required for eligibility for =�' � =I`°° "`
Dependent Gitildreit , Work First Family Assistance. regardless of whether
or not they have applied for such assistance, shall be given priority in obtaining
eta:npewer employment services including training and
community service provided by or through State agencies or counties or with funds
which are allocated to the State of North Carolina directly or indirectly through
prime s onsors or otherwise for the purpose of,employment of unemployed persons.
(c) rRepealed.]" - - - — -----
" (b) Each county's Job Service Employer Committee or Workforce-
Development Board shall develop a study of the "working poor" in their respective
counties and shall include the following in the study:
(1) Determine the extent to which current labor market participation
enables individuals and families to earn the amount of disposable
income necessary to meet their basic needs;
(2) Determine how many North Carolinians work and earn wages
below one hundred fifty percent (150%) of the Federal Poverty
Guideline and study trends in the size and demographic profiles of
this underemployed group within the respective county;
(3) Examine job market factors that contribute to any changes in the
composition and numbers of the working poor including, but not
limited to, shifts from manufacturing to. service, from full-tune to
part-time work, from permanent to temporary or their contingent
employment;
(4) Consider and determine the respective responsibilities of the public
and private sectors in ensuring that working families and
individuals have disposable income adequate to meet their basic
needs;
Paze 263
22,
(5) Evaluate the effectiveness of the unemployment insurance system
in meeting the needs of low-wage workers when they become
unemployed;
(6) Examine the efficacy of a State earned income tax credit that
would enable working families to meet the requirements of the
basic needs budget;
(7) Examine the wages, benefits, and protections available_ to part-time
and temporary workers, leased employees, independent
contractors, and other contingent workers as compared to regular
full-time workers;
(8) Solicit, receive, and accept grants or other funds from any person
or entity and enter into agreements with respect to these grants or
other funds regarding the undertaking of studies or plans necessary
to carry out the purposes of the committee; and
(9) _Request any necessary data from either public or private entities
that relate to the needs of the committee or board.
Each committee or board shall .prepare and submit a report on the
finding for the county which it represents by May 1, 1998, to the Joint Legislative
Public Assistance Commission, the House of Representatives and Senate
Appropriations Subcommittees on Humans Resources and Natural and Economic
Resources. Each committee or board may involve the Department of Commerce in
conducting its study and preparing the report.
(c) Of the funds appropriated in this act to the Office of State Budget
and Management, the sum of one million five hundred thousand two hundred two
dollars ($1,500,202) for fiscal year 1997-98 shall be allocated to the Department of
Commerce for the following purposes: _
(1) To establish First Stop Employment Assistance in the
Department of Commerce; -
(2) To expand the Labor Market Information System in the
Employment Security Commission; and
(3) To assist the Job Service Employer Committees or the
Workforce Development Boards in their completion of the
- - - - - study of the-working poor-
The Department of Commerce shall report its recommendations
regarding future funding of the First Stop Employment Assistance Program to the
1997 General Assembly, 1998 Regular Session, upon its convening.
(d) G.S. 126-7.1 reads as rewritten:
"§ 126-7.1. Posting requirement; State employees receive priority consideration;
reduction-in-forte rigs rights: Work First hiring
(a) All vacancies for which any State agency, department, or institution openly
recruit shall be posted within at least the following:
(1) The personnel office of the agency, department, or institution
having the vacancy; and
(2) The particular work unit of the agency, department, or institution
having the vacancy
in-a location readily accessible to employees. If the decision is-made, initially or at -any time while the vacancy remains open, to receive applicants from outside the
recruiting agency, department, or institution, the vacancy shall be listed with the
Office of State Personnel for the purpose of informing current State employees of
such vacancy. The State agency, department, or imtitution may not receive approval
from the Office of State Personnel to fill a job vacancy if the agency, department, or
institution cannot prove to the satisfaction of the Office of State Personnel that it
complied with these posting requirements. The agency, department, or institution =_
Page 266 Senate Bill 352
23
which hires any person in violation of these posting requirements shall pay such
person when employment is discontinued as a result of such violation for the work
performed during the period of time between his initial employment and separation.
(a') State employees to be affected by a reduction in force shall be notified of the
reduction in force as soon as practicable, and in any event, no less than 30 days prior
to the effective date of the reduction in force.
(a2) The State Personnel Commission shall adopt rules to provide that priority
consideration for State employees separated from State employment as the result of
reductions in force is to enable a State employee's return to career service at a salary
grade and salary rate equal to that held in the most recent position. The State
Personnel Commission shall provide that a State employee who:
(1) Accepts a position at the same salary grade shall be paid at the
same salary rate as the employee's previous position.
(2) Accepts a position at a lower salary grade than the employee's
previous position shall be paid at the same rate as the previous
position unless the salary rate exceeds the maximum of the new
salary grade. When the salary rate exceeds the maximum of the
salary grade, the employee's new salary rate shall be reduced to
the maximum of the new salary grade.
(b) Subsection (a) of this-section does-not apply to vacancies which must be filled
immediately to prevent world stoppage or the protection of the public health, safety,
or security.
(c) If a State employee subject to this section:
(1) Applies for another position of State employment that would
constitute a promotion and;
(2) Has substantially equal qualifications as an applicant who is not a
State employee
then the State employee shall -receive priority consideration over the applicant who is
not a State employee. This priority consideration shall not apply when. the only
applicants considered-for the vacancy are current State employees.
(cl) If a State employee who has been separated due to reduction in force or who
has been given notice of imminent-separation due to reduction in--force: - -
-- --'- - - (1) Applies-for another position of State employment equal to or
lower in salary grade than the position held by the employee at the
time of notification or separation; and
(2) Is determined qualified for that position
then within all State agencies, the State employee shall receive priority consideration
over all other applicants but shall receive equal consideration with other applicants
who are current.State employees not affected by the reduction in force. This priority
shall remain in effect for a period of 12 months from the date the employee receives
notification of separation by reduction in force. State employees separated due to
reduction in force. shall receive higher priority than other applicants with
employment or reemployment priorities, except that the reemployment priority
created by G.S. 126-5(e)(1) shall be considered as equal. The reduction-in-force
priority created by this subsection shall be administered in accordance with rules
promulgated by the State Personnel Commission.
(c2) If the applicants for reemployment for a position include current State
employees, a State employee with more than 10 years of service shall receive priority
consideration over a State employee having less than 10 years of service in the same
or related position classification. This reemployment priority shall be given by all
State departments, agencies, and institutions with regard to positions subject to this
Chapter.
Page 26
24
(d) `Qualifications' within the meaning of subsection (c) of this section shall = _
consist of: -
1 Training or education;
2 Years of experience; and
3 Other skills, knowledge, and abilities that bear a reasonable
functional relationship to the abilities and skills required in the job
vacancy applied for.
(e) Each State agency depai-trnent and institution is encouraged to hire into State
government employment qualified ARolicants who are current or former Work First
Program 2articipants."
Section 12.8. Chapter 108A of the General Statutes is amended by
adding a new section to read:
"$ IOSA-291. Substance abase treatment required- drug. tesdne for Work First
Program recipients.
(a) Each applicant or current recipient of Work First Program benefits,
determined by a Qualified Substance Abuse Professional ( SAP or by a 1hvsician
certified by the American Society_of Addiction Medicine (ASAM) to be addicted to .
alcohol or drugs and to be in need of professional substance abuse treatment services
shall be required. as part of the person's MRA and as a condition to receiving Work
First Program benefits. to participate satisfactorily in an individualized plan of
treatment in an apropriate treatment grogram As a mandatory program component
of articiRation -'in an addiction treatment program each applicant or current
recipient shall be required to submit to an approved reliable and professionally
administered regimen of testing for 12resence of alcohol or drugs without advance
notice during and after Farticination in accordance with the addiction treatment
program's individualized plan of treatment follow-up and continuing care services
for the applicant or current recipient.
(b) An applicant or current recipient who fails to comply with any requirement
imposed pursuant to this section shall not be eligible for benefits or shall be subject to
the termination of benefits but shall be considered to be receiving benefits for
purposes of determiningel'gj h for medical assistance.
(c) The children of aav applicant or current recipient shall remain eligible for
—benefits—and these benefits shall be paid to a protective Ra,yee pursuant to G S 108A-_
(d) An applicant or current recipient shall not be regarded as failing to comply
with the reourreme its of this section if an appropriate drug or alcohol treatment
program is unavailable.
(e) Area mental health authorities organized pursuant to Article 4 of Chapter
122C of the General Statutes shall be responsible for administering thg provisions of
this section.
(f) The reanirements of this section may be waived or modified as necessary in
the case of individual arnnli canrc or recipients to the degree necessary to comply with
Medicaid eli gibility pro, visions."
Section 12.8A. G-S. 108A-31 reads as rewritten:
"§ 108A-31. Application for assistance.
who believes that er the is
Any person _
eligible to receive aid te families with depeedent eltg Work First Program `
assistance may apply for assistance to the county department of social services in the
county in which the appiieem person resides. resides or in the case of residents of
Electing Counties to the public or private entity designated by the board of county
commissioners. It &MH be made t " ee
. Counties shall
record inquiries for and accevt anglications from all persons requesting to apply for _
Page 268 Senate Bill 352
25
Work First Program assistance. Counties shall process alplications in a reasonable
and timely manner."
Section 12.9. G.S. 108A-38 reads as rewritten:
"§ 108A-38. Protective and vendor payments.' 'S previded t'er by G.S. _ W;-en
When necessary to comply with any present or future federal law or regulalicr, in
order to obtain federal participation in public assistance payments, the payments may
be made direct to vendors to reimburse them for goods and services provided the
applicants or recipients, and may be made to protective payees who shall act for the
applicant or recipient for receiving and managing assistance. Payments to vendors
and protective payees shall be made to the extent provided in, and in accordance
with, rules and regttla of the Social Services Commission or the Department,
which rules shall be subject to applicable federal laws and
regulations."
Section 12.10. G.S. 108A-49 reads as rewritten:
"§ 108A-49. Foster care and adoption assistance payments.
(a) Benefits in the form of foster care assistance shall be granted in accordance
with the rules niRA reomileeens of the Social Services Commission to any dependent
child who i& would have been eligible to receive AFPG Aid to Families with
Dependent Children (as that,_program was in effect on June 1. 1995). but for his or
her removal from the home-Of a specified relative for placement in a foster care
facility; provided, that the child's placement and care is the responsibility of a county
department of social services.
(b) Adoption assistance payments for certain adoptive children shall be granted in
accordance with the rules ftd reg atietts of the Social Services Commission to _
adoptive parents who adopt a , child eligible to receive foster care maintenance
payments--or. supplemental security income benefits; provided, that the child cannot
be returned to his or her parents; and provided, that the child has special needs-
which create a financial barrier to adoption.
(c) The Department is authorized to use available federal payments to states under
Title N-E of the Social- Security Act _for- foster-care.-and adoption assistance
payments."
Section 12.11. G.S. 108A-58 reads as rewritten:
"§ 108A-58. Transfer of property for purposes of qualifying for medical assistance;
periods of ineligibility.
(a) Any person, otherwise eligible, who, either while receiving medical assistance
benefits or within one year prior to the date of applying for medical assistance
benefits, unless some other time period is mandated by controlling federal law, sells,
gives, assigns or transfers countable real or personal property or an interest their;
, in real o- pro arty for
the purpose of retaining or establishing eligibility for medical assistance benefits, shall
be ineligible to receive medical assistance benefits there—A - as set forth in subsection
(c) of this section.
--- Countable real and personal property includes real property, excluding a homesite,
------ - intangible -- personal property, nonessential motor and recreational vehicles,
nonincome producing business equipment, boats and motors. The provisions of this
act shall not apply to the sale, gift, assignment or transfer of real or personal property
if and to the extent that the person applying for medical assistance would have been
eligible for such assistance notwithstanding ownership of such property or an interest
therein.
(b) Any sale, gift, assignment or transfer of real or personal property or an interest
thereit, in real or personal property. as provided in subsection (a) of this section,
shall be presumed to have been made for the purpose of retaining or establishing
26
eligibility for medical assistance benefits unless the person, or his the person's legal =
representative, who sells, gives, assigns or transfers the property or interest, receives -
valuable consideration at least equal to the fair market value, less encumbrances, of
the property or interest.
(c) Any Person wite, i _,r _ �„ his -, ___ who sells
.., ..i�J .. _..ate V -r ,...u....__. : ,
gives, assigns or transfers real or personal property or an interest t4terein in real or
personal property for the pur-pose of retainin or establishing eligibility for medical
assistance benefits, as provided in subsectiona) of this section, sitaR shall, after the
time of transfer. be ineligible-tar receive these benefits iite until.an amount
equal to the uncompensated value of the property or interest has been expended by
or on behalf of the person for h4 the ep rson's maintenance and support, including
medical expenses, paid or incurred, or shall be ineligible in accordance with the
following schedule, whichever is sooner:
(1) For uncompensated value of at least one thousand dollars ($1,000)
but not more than six thousand dollars ($6,000), a one-year period
of ineligibility from date of sale, gift, assignment or transfer;
(2) For uncompensated value of more than six thousand dollars
($6,000) but not more than twelve thousand dollars ($12,000), a
two-year period of ineligibility from ¢ate of sale, gift, assignment or
transfer;
(3) For uncompensated value of more than twelve thousand dollars
($12,000), a two-year period of ineligibility from date of sale, gift,
assignment or transfer, plus one additional month of ineligibility
for each five hundred dollar .($500.00) increment or portion
thereof by which the uncompensated value exceeds twelve
thousand dollars (S12,000), but in no event to exceed three years.
(d) The sale, gift, assignment or transfer for a consideration less than fair market
-value, less encumbrances,.of any tangible personal property which was acquired with -
the proceeds of sale, ass. ent or transfer of real or intangible personal property
described in subsection (a of this section or in exchange for such real or intangible
personal property shall be presumed to have been for the purpose of evading the
provisions of this section if the acquisition and sale, gift, assignment or transfer of the
tangible personal-property is by or on behalf of a person receiving medical assistance
or within one year of malung application for such assistance and the consequences of
the sale, gift, assignment of transfer of such tan ble personal property shall be
determined under the provisions of subsections (c , and g) of this section.
(e) The presumptions created by subsections �b) and (d) may be overcome if the
person receiving or applying for medical assistance, or his the person's legal
representative, establishes by the greater weight of the evidence that the sale, gift,
assignment or transfer was exclusively for some purpose other than retaining or
establishing. eligibility for medical assistance benefits.
(f) For the purpose of establishing uncompensated value under subsection (c), the
value of property or an interest therein shall be the fair market value of the property =
or interest, at the time of the sale, gift, assignment or transfer, less the amount of
compensation, if any, received for the property or interest..There shall be a rebuttable
presumption that the fair market value of real property is the most recent property
tax value of the property, as ascertained according to Subchapter II of Chapter 105 of
the General Statutes. Fair market value for purpose of this subsection shall be such
value, determiner) as above set -out, less any legally enforceable encumbrances to
which the property is subject.
(g) In the event that there is more than one sale, gift, assignment or transfer of
property or an interest therein by a person receiving medical assistance or within one
year of the date of an application for medical assistance, unless some other time
Page 270 Senate Bill 352
27
period is mandated by controlling federal law, the uncompensated value, for the
purposes of subsection (c), shall be the aggregate uncompensated value of all sales,
gifts, assignments and transfers. The date which is the midpoint between the date of
the first and last sale, gift, assignment or transfer shall be the date from which the
period of ineligibility shall be determined under subsection (c).
(h) This section shall not apply to applicants for or recipients of s:ti �e i
-- ependent ei2iidren, Work First Family Assistance or to persons entitled to
medical assistance by virtue of their eligibility for aid te fern.._. . . ...._...
r Work First Family Assistance.
(i) This section shall apply only to transfers made before July 1, 1988."
Section 12.12. G.S. 108A-80 reads as rewritten:
"§ 108A-80. Confidentiality of records.
(a) Except as provided in (b) below, it shall be unlawful for any person to obtain,
disclose or use, or to authorize, permit, or acquiesce in the use of any list of names or
other information concerning persons applying for or receiving public assistance or
social services that may be directly or .indirectly derived from the records, files or
communications of the Department or the county boards of social services, or county
departments of social services.or acquired in the course of performing official duties
except for the purposes directly connected with the administration of the programs of
public assistance and social _services in accordance with federal law. rules and
regulations. and the rules and regttla of the Social Services
Commission or the Department.
(b) The Department shall furnish a copy of the recipient check register monthly to
each county auditor showing a complete list of all recipients of
Work First Family Assistance in Standard Program Counties
_ and State-County Special Assistance for Adults, their addresses, and the amounts of
the monthly grants. An Electing County whose checks are not being issued by the
State shall furnish a copy of the recipient check register monthly to its county auditor
showing a complete list of all recipients of Work First Family Assistance to the
Electing County their addresses and the amounts of the monthly pavments. 4414
These registers ters shall be � public reeer records open to public inspection
register the registers or
during the regular office hours-of the county auditor, but sei$- e
the information contained therein may not be used for any commercial or political
purpose. Any violation of this section shall constitute a Class 1 misdemeanor.
(c) Any listing of recipients of benefits under any public assistance or social
services program compiled by or used for official purposes by a county board of
social services or a county. department of social services shall not be used as a mailing
list for political purposes. This prohibition shall apply to any list of recipients of
benefits of any federal, State, county or mixed public assistance or social services
program. Further, this prohibition shall apply to the use of such listing by any
person, ora-amzation, corporation, or business, including but not limited to public
officers or employees of federal, State, county, or other local governments, as a
mailing list for political purposes. Any violation of this section shall be punishable as
— a Class 1 misdemeanor. av adopt rules
(d) The Social Services Commission_ ' .. --. p•
governing access to case files for social services and public assistance
programs, except the Medical Assistance Program. The Secretary of the Department
of Human Resources shall have the authority to adopt rules t
governing access to medical assistance case files." _
al Statutes is amended by
Section 12.12A. Chapter 143 of the Gener
adding a new section to read:
"$ 14-3-15.3C. Work First Reserve Fund.
28
(a) The State Controller shall establish a restricted reserve in the General Fund to
be known as the Work First Reserve Fund At the end of each fiscal year, the State
Controller shall reserve State funds into this reserve in an amount equalling one-
fourth of anv Work First Program funds from State General Fund appropriations
remaining unexpended at the end of the fiscal year. up to a matmum balance in the
account of fifty million dollars ($50.000.000). The General Assembly may
a&propriate additional funds into this reserve.
(b) Funds in the Work First Reserve Fund shall be used only for the purposes
described in Title IV bf the Social.Security. Act and only as provided in G.S. 108A-
27.16.
(,c) The Director of the Budget shall regort to the Joint Legislative Commission on
Governmental Operations the Joint Legislative Public Assistance Commission. and
the House and Senate Appropriations Subcommittees on Human Resources prior to
using the funds described in subsection (a) of this section."
Section 12.13. G.S. 153A-255 reads as rewritten:
"§ 153A-255. Authority to provide social service programs.
Each county shall provide social service programs pursuant to Chapter 108A and
Chapter 111 and may otherwise undertake, sponsor, organize, engage in, and support
other social service programs intended to further the health, welfare, education,
- employment. safety, comfort, and convenience of its citizens."
Section 12.14. G.S. 108A-28,_ 108A-28.1, 108A-30, 108A-32, 108A-33,
108A-34, 108A-35, 108A-39.1, and 108A-92 are repealed.
Section 12.15. Article 12G of Chapter 120 of the General Statutes is
repealed.
Section 12.16. (a) The Department of Labor, in conjunction with the
Department of Health and Human Services, shall establish a pilot.project creating
Individual of
Accounts (IDA).to assist working families.
(b) Of the funds appropriated in this act to the. Office of State Budget
and Management, the the sum of three hundred thousand dollars ($300,000) for the
1997-98 fiscal year and the sum of three hundred thousand dollars ($300,000) for the
1998-99 fiscal year shall be transferred to the Department of Labor to establish a pilot
project creating Individual Development Accounts (IDA) to:
- -- (1) -- -Provide-individuals and families, especially the underemployed, an
opportunity and an incentive to accumulate assets.
(2) Promote investments in education, homeownership, and
microenterprise development.
(3) Demonstrate that household savings strategies, such as the
development of IDAs, can be a powerful strategy for assisting
working persons and families to achieve long-term self-sufficiency.
(4) Utilize and build comprehensive community partnerships that
support asset building in low-wealth communities.
(c) The funds allocated in this section shall be made available to serve as -
matching funds for personal savings of qualified participants selected to participate in
a multiyear demonstration to last not more than five years. Other expenses of the
demonstration, including training, technical assistance, evaluation, and other program
and administrative expenses, shall be covered from other public and private sources.
Matching funds provided from the funds allocated in this section may be used by
qualified participants for home purchase, investment in a business or self-employment
venture owned by the participant, or costs of postsecondary education or training for
the participant. Participants shall not be restricted as to the amounts or sources of —
funds deposited in the account, but in order to create the incentive for continued
savings, only savings from earned income will qualify for State matching funds. Tax
return reports of earned income shall be used to verify compliance. Funds contained
Page 272 Senate Bill 352
29
in Individual Development Accounts shall not be counted as assets in the Work First
Program.
Section 12.17. (a) Notwithstanding any other provision of law, 'oe2inninz
October 1, 1997, each county shall dedicate the full return to the county fer .AFDC
and Work First Cash Assistance benefit amount that was determined fraudulent or
erroneous and recovered by that county pursuant to the AFDC Fraud Controi
Program to enhance and improve program integrity.
�b) The return to the county shall be detened as follows:
rmi
1) For collections relative to AFDC or Work First cash assistance
payments made prior to January 1, 1997, the return shall be equal
to the county's distributive share and one-half of the Scate's
distributive share of the total AFDC and Work First cash
assistance benefits recovered.
(2) For collections relative to Work First cash assistance benefits paid
on or after January 1, 1997, the return shall be equal to seventy-
five percent (75%) of the total amount recovered.
(c) The Department of Health and Human Services shall ensure that
persons charged with, or suspected of, AFDC or Work First fraud not be subjected to
any of the following: --
�1 Coercion;
2� Discrimination in targeting persons for civil action, or criminal
prosecution; or
(3) Civil investigation or civil action without being (i) properly
informed as to those matters that might arise out of the
investi ation, or action that might result in criminal prosecution
and (iI in such a case, being property advised of their right not to -
_ incriminate themselves. -
Section 12.18. (a) There is established a Joint Legislative Public
Assistance Commission. The Joint Legislative Public Assistance Commission shall
perform the duties and functions provided in this_Part, shall monitor implementation
of the provisions of this Part, and shall-make any necessary recommendations to the
General Assembly-regarding any-further changes to law-or-mle—TLhe_Speaker of'the-, -
House of Representatives shall appoint 10 members, two of whom shall be cochairs,
and the President Pro Tempore of the Senate shall appoint 10 members, two of
whom shall be cochairs. The Joint Legislative Public Assistance Commission shall
first convene within 30 days after this part becomes law.
(b) The Department shall report any changes made to the State Plan to
the Joint Legislative Public Assistance Commission within 60 days after the change.
Section 12.19. The Legislative Research Commission may study issues
relating to the Medical Assistance Program and the State-County Special Assistance
Program, including the following: the need for further restrictions and longer periods
of disqualification for the transfer of property for purposes of qualifying for medical
assistance and State-County Special Assistance, and appropriate recovery from
recipient estates of benefits paid by the Medical Assistance Program and the State-
County Special -Assistance Program. The Legislative Research Commission may
report the results of its study, along with any legislative proposals and cost_analyses,
to the 1998 General Assembly.
Section 12.20. (a) Qunties desiring to be designated as Electing
Counties shall submit a request in writing to the Department of Health and Human
Services not later than October 31, 1997. The Department shall notify Electing
Counties not later than November 15, 1997.
(b) The requirement that the Department prepare and submit the State
Plan to the General Assembly for approval in accordance with the procedures set
30
forth in G.S. 143-16.1 shall not be applicable for fiscal year 1997-98. Until the
counties have prepared their county plans and the State has prepared the State Plan
in accordance with this Part and that State Plan has been enacted by the General
Assembly and it becomes law, the provisions of the State Plan submitted to the
federal government on October 16, 1996, shall remain in effect. State Plans
submitted after the 1997-98 fiscal year shall be enacted by the General Assembly and
become law in order to be effective.
(c) Utilizing GCV=,menu Auditing Standards issued by the Comptroller
General of the United States, an independent evaluator shall evaluate the operation
of the Work First Program in the Standard Program Counties and in the Electing
Counties, based on criteria established by the State Auditor in consultation with the
Standard Program Counties and the Electing Counties. The. evaluation shall include -
a review of the Electing Counties' methodologies and the impact of those
methodologies upon the Work First Program. The independent evaluator shall
present a report of the findings to the 2000 General Assembly. The Department shall
select the independent evaluator to perform the evaluation. The report shall include
the followin
1) Whether the Electing County/Standard Program County system
should be continued or modified, and the rationale for the .
recommendation;
(2) Five-year projections as to the impact of continuing the Electing
County/Standard Program County system, based on anticipated
outcome measures related to child well-being, economic data, and
other means of measuring the success of the system;
(3) Whether the numbers of Electing Counties should be expanded
and under what conditions.
Any Electing County may elect to contract for its own independent
evaluation. Any Electing-`County that elects to contract for its own independent
evaluation shall submit a report of its evaluation to the Department for inclusion in
the report described in this subsection. The report shall be presented to the House
and Senate Appropriations Subcommittees on Human Resources, the Joint
Legislative Public_ Assistance Commission, and the Joint Legislative Commission on
- Governmental Operations on or before February 1, 2000.- -
(d) The Department of Health and Human Services shall study the
movement of recipients of Work First Program assistance between counties within the
State, particularly the movement of recipients into and out of Electing Counties, and
the reasons for movement, including differences in eligibility criteria, benefit levels,
and time limits. The Department shall report the results of its study to .the House
and Senate Appropriations Subcommittees on Human Resources, the Joint
Legislative Public Assistance Commission, and the Joint Legislative Commission on
Governmental Operations ou or before February 1, 2000.
(e) The Department of Health and.Human -Services shall monitor the
following and report its findings quarterly to the House and Senate Appropriations
Subcommittees on Human Resources and the Joint Legislative Public Assistance
Commission: _
(1) The number of Work First Program recipients anticipated to
remain without work and lose benefits due to time limits unposed
by federal and State law and local policy;
(2) Efforts being made by counties and the State to intensify efforts
designed to prevent recipients from losing benefits where they are—
making reasonable efforts to become and remain employed; and
(3) The reasons recipients who are subject to termination for failure to
meet work requirements were unable to find work.
___ _ Pace 274 Senate Bill 352
31
The Joint Legislative Public Assistance Commission shall further examine
ways that Work First Program recipients can overcome obstacles to finding
employment and remaining employed.
Section 12.20A. (a) The Department of Commerce. tl:e Employrrnent
Security Commission, and the Department of Health and Huma:-i Services shall
proceed, in consultation with the community college system, to develop an amended
Work First State Plan to secure federal Welfare-to-Mors ;ant funds to assist Work
First Program recipients in' obtaining employment. The Department of Commerce.
the Employment Security Commission, and the Department of Health and Human
Services shall identify potential sources of State funds which may be used as a match
for the federal grant. The Governor shall designate the Department of Commerce as
the State's lead agency for the Welfare-to-Work initiative. The Governor also shall
pursue a waiver from the federal government to permit the Job Service Employer
Committees to administer the program at the local level.
(b) The Department of Commerce, the Employment Security
Commission, and the Department of Health and Human Services shall develop a plan
to implement the Welfare-to-Work initiative in this State, develop performance goals
and measures for this initiative, and estimate the cost impact on the State budget for
the next five years of implementing the initiative. The Department of Commerce, the
Employment Security Commission, and the Department of Health and Human
Services shall report to the General Assembly its findings and recommendations by
April 1, 1998. The Department of Commerce shall not expend anv State or federal
funds for the Welfare-to-Work initiative until the amended State Plan is submitted to
the General Assembly and the amended State Plan becomes law.
Section 12.21. (a) Chapter 114 of the General Statutes is amended by
adding a new Article to read:
"ARTICLE 6. _
"Office of the Inspector General.
"§ 114-40. Inspector General.
a The Office of InQector General is tab i hed in the De ent of Justice to
r vide a central d a n of and re§gonsibilitv for cti 'ti related to
detection prosecution and prevention of fraud abuse and waste in means-tested
Qublic assistance Rrograms The -Office -of Inspector General is designated-as the-
State Law Enforcement Bureau (SLEB) to take custody and control of food stamp
from the federal Food and Consumer Service to make them available to nonfederal
law enforcement and investigative agencies to conduct criminal and food stamp
program violation investigations. -
(b) It shall be the dugv and responsibility of the Inspector General to:
j, Receive complaints and information concerning alleged_ fraud.
abuse and waste in means tested public assistance programs.
(2) Investigate complaints and information received concernmg_alleQed
fraud abuse or waste in mean's testedM.ublic assistance progr ms
and whenever the Ge
Inspector neral finds rt apt3ropnate to do so.
to pursue action for an- v violations of In relating to means-tested
public assistance gams whether by civil action or by criminal
prosecution:
Review the activities Rerformed in the Department of Health and
Services Divisions of Medical Assistance and ocial
Services and in local district attorney's offices relating o
detection prosecution and prevention of fraud abuse r waste in
means tested public assistance programs:
— - --- — Paae 275_
32
j4, Coordinate and implement fraud, abuse, and waste detection. -.
prosecution, and prevention activities between local Rro,am
integ*ity workers, local district attornev's offices. and the State:
Keep the Secretary of Health and Human Services informed
concerning fraud. abuse. waste, and deficiencies relating to means-
tested public assistance ,programs administered or financed by the
Department of Health and Human Services. recommend corrective
action concerning fraud. abuses. and deficiencies, and renort to the
Secretary and the Joint Legislative Public Assistance Commission
on the progress made in implementing corrective action:
Ensure effective coordination and cooperation between the State
Auditor, federal auditors. the Department of Health and Human
Services. and other governmental bodies in fraud.abuse. and waste
detection. prosecution. and prevention activities relating to means-
tested public assistance programs with a view toward avoiding
duplication: and
m Educate State and local law enforcement agencies concerning
fraud. abuse. and waste detection. prosecution. and prevention in
public assistance progms and encourage pursuit of prosecution of
violations.
Cc) The Inspector General shall be apooin^ ted by the Attorney General and shall
report to an official designated by the Attorney General The Inspector General shall
be annointed without regard to_,political affiliation
d The e t removed from office by the A rnev General.
el The Inspector General' shall have access to any records. data. or other
information of the Department of Health and Human Services and local county
agencies the Inspector General believes necessary to carry out the inspector General's
duties The Inspector General may request any information or assistance as may be -
necessary from the Department or from-any federal State or local government entity.
"& 114-41. Inspector General: inmadutions. -
(a) In carrying out the duties and responsibilities specified in this Article. the
Inspector General may initiate conduct supervise and coordinate investigations
designed to detect dieter prevent and eradicate fraud abuse- and-waste-ur means- - -
tested public assistance programs For these purposes the Inspector General shall:
Receive and consider complaints and conduct. supervise. or
coordinate such inguiries investigations or reviews as the
In.pector General finds appropriate The Inspector General may
receive complaints and in- formation directly_ from local program
integrity workers:
U Establish policies and standards for the investigation. detection.
and elimination of fraud abuse waste and mismanagement in the
means-tested public assistance-progrrams:
Establish and coordinate training nroer=s for local and 'State
gram intenily workers to improve et.ection. of fraud abuse
and waste:
- - — - Provide assistance to the federal government aimed at eliminating
food stamp violations:
j Re oR rt eapeditiou& to the State Bureau of Investigation or other_
law enforcement agencies as appropriate whenever the Inspector
General has reasonable grounds to believe there has been a
violation of criminal law. The Inspector Gene--al may. whenever
the Inspector General finds it to be aRlrolnate. 12rosecute
violations of criminal law or bring a civil action relanng to_fraud:
Page 276 Senate Bill 352
33
mouse or waste in means-tested public assistance programs on
behalf of the State:
(61 Conduct investigations and other inauir:es free of actual or
perceived impairment to the inde;2endence of the Inspector
General or when the Inspector General has reasonable grounds to
believe there has been a violation of crlminai law: and
M Submit in a timely fashion final rep arts on investigations
conducted by the Inspector General ro the Attorney General.
(b) The Inspector General shall, not later than Szptember 30 of each vear..
prepare an annual report summarizing the act.,,,-t,--.s of the office during the
immediately preceding State fiscal year. The final report shall be furnished to the
Attornev General and to the Secretary of the Department of Health and Human
Services The report shall include a summary of investigative activities
"4 114-42. Inspector General: complaints.
(a) Anv person who knows or has reasonable cause to believe that a person has
committed or is in the ,process of committing a violation of law relating to fraud.
abuse or waste in a public assistance program. may 1�„ire and file with the
Inspector General a complaint that identifies the person making the report and the
person who allegedly committed or is committing the wrongful act or omission.
describes the wrongful act or omission and explains how the person reporting knew
or came to believe that the =- son committed or is in the process of committing the
wrongful act or omission.
(b) The Inspector General shall prescribe a form for complaints under this
section The Inspector General shall provide a blank copy of the form to any person.
free of charge No complaint is defective however, because it is not made_on the
form.prescribed by the Inspector General."
(b) Of the funds appropriated in this act to. the Office of*State Budget
and Management, the sum of five hundred thousand dollars ($500,000)- for fiscal year
1997-98 shall be allocated to the Department of Justice to establish and support the
Office of Inspector General.
(cZ_,A_rtic_le 3 of Chapter 143B of the General Statutes is amended by
.adding a new.Part to read:
"Part 31 Office of the Internal Auditor.
"& 143B-216.50. Department of Health and Human Services-, office of the Internal
Auditor.
(a) The office of Internal Auditor is established in the Department of Health and
Human Services The offi ce of the Internal Auditor shall provide independent
reviews and analvses of various functions and„programs within the Department that
will provide management information to promote accountability- ,nteQnty, and
e_fficiencv within the Department.
(b) It shall be the duty and responsibility of the Internal Auditor to:
u Advise in the development of nerformance measures standards
and procedures for the evaluation of the Dep ent:
Assess the reliability and validity of performance measures and the
information 2rovided by -the _Department on performance
measures and standards and make recommendations for
improveLent. if necessary:
Review the actions taken by the Department of Health and Human
Services to improve program and meet program
standards and make recommendations for improvement- if
necessary_;
_ .. _ Page 277
34
Provide direction for sul2ervise, and coordinate audits.
investigations and management reviews relating to nrograms and
operations of the Department:
conduct independent analyses of 12rcgzams carried out or financed
by the DUartinent of Health and Human Services for the 12uuose
of promoting economy and efficiency in the administration of, or
preventing and detecting waste, management, misconduct, fraud
and abuse in its progrrams and operations:
Keep. the Secretary_ of the Department of Health and Human
Services informed concerning fraud, abuses, and deficiencies
relating to programs and operations administered or financed by
the Department of Health and Human Services. recommend
corrective action concerning fraud abuses and deficiencies and
report on the progress made in implementing corrective action:
Ensure effective coordination and cooperation between the -State
Auditor, federal auditors and other governmental bodies with a
view toward avoiding duplication: and
Ensure that an appropriate balance is maintained between audit.
investiglt ve and other accountability activities.
(c) The Internal Auditor shall be appointed the Secretary. The Internal
Auditor shall be appointed without regard to political affiliation.
d The Internal Auditor reRort to an official designated the ecretaa.
e) The Internal Auditor- -,°shall have access to anv records. data. or other
information of the Department the Internal Auditor believes necessary to carry out
the Internal-Auditor's duties.
"& 143B-216.51. Department of Health and Human_ Services office of the Internal
Auditor: Department audits.
(a) To ensure that Department audits are performed in accordance with
applicable auditing standards the Internal Auditor shall possess the following
qualifications:
lU A bachelors degree from an accredited college or university with a
a, iQr in accounting. or with a major in business which includes
- - five-cours an
es in accounts, d five years' experience as an internal
auditor or independent 12ostauditor. electronic data processing
auditor, accountant or anv combination thereof. The experience
shall at a minimum consist of audits of units of government or
private business enterprises operating for pro t or not for
A masters degree in accounting business admi„istration or public
• administration from an accredited college or university and four
years of experience as required in subdivision (1) of this
subsection: or
A certified public accountant license issued iursuant to law or a
c ed internal audit certificate issued lZy the Institute of Int;rnal
Auditors or earned by examination and four vears' =enence as
required in subdivision x,11 of this subsection.
- The Internal Auditor shall to the--extent both necessary and practicable. include
on the Internal Auditor's staff individuals with electronic data processin_z-99—di—ting
experience. -
( In carrying out the auditing duties and responsibilities of .this Part. the Internal
Auditor shall review--and evaluate internal controls necessary to ensure the fiscal
accountability of the Department The Internal Auditor shall conduct financial.
compliance electronic data processizlg and performance audits of the Department
and prepare audit reports of findings The scope and assignment of the audits shall
Page 278 Senate Bill 352
35
be determined by the Internal Auditor; however, the Secretary may at anv time direct
the Internal Auditor to perform an audit of a special program function or
organizational unit. The performance of the audit shall be under the direction of the
Internal :auditor.
(c) Audits undertaken pursuant to this Part shall be conducted in accordance with
audirinc, standards prescribed by the Scare Auditor. All audit reports issued by
internal audit staff shall include a statement that the audit was conducted pursuant to
t�ese standards.
(d) The Internal Auditor shall maintain. for 10 nears. a complete file of all audit
reports and ren+orts of other examinations. investigations. survevs and reviews issued
under the Internal Auditor's authority. Audit work papers and other evidence and
related supportive material directly peg to the work of his office shall be
retained according to an agreement between the Internal Auditor aid State Archives.
To promote cooperation and avoid unnecessary duplication of audit effort. audit
work papers related to issued audit reports shall be. unless otherwise prohibited by
law, made available for inspection v duly authorizgd representatives of the State and
federal governments in connection with some matter officially before them. Except
as otherwise provided in this subsection. or upon subpoena issued by a duly
authorized court or court official. audit work papers shall be kept confidential. Audit
reports shall be-public records to the extent that they do of include information
which. under State laws, is confidential and exempt from Chapter 132 of the General
Statutes or would compromise the security systems of the Department.
e The Internal Auditor shall subm it the final rMort to the Secretary.
The State Auditor shall review a sample of the Depaitnient's internal audit
reports and related work papers when determined by the State Audit that when
conducting audits it would be efficient to consider the work of the Internal Auditor.
If the State Auditor -finds deficiencies in the work of the Internal Auditor. the State
Auditor shall include a statement of these findings in the audit report of the
Department The office of the Internal Auditor will cause to be made an external
Quality control review at least once every three years by a qualified organization not
affiliated with the office of the Internal Auditor. The external quality review should
- determine whether the Department's internal q control �y�tem is m place and.
gperatiag effectively to provide reasonable assurance- that established policies and
procedures and applicable audit standards are being followed
(g) The Internal Auditor shall monitor the implementation of the Department's
response to any audit of the Department conducted by the State Auditor pursuant to
law. No later than sia months after the State Auditor publishes a report of the audit
of the Department the Internal Auditor shall report to the Secretary on the status of
corrective actions taken A cogv of the report shall be filed with the Joint Legislative
Commission on Governmental Operations.
(h) The Internal Auditor shall develop long-term and annual audit plans based on
the findings of periodic risk assessments The plaII where approj2ri should
include postaudit samplings of payments and accounts The plan shall show_ the
individual audits to be conducted durinz each near and related resources to be
devoted to the respective audits The State Controller may utlhze audits performed
by the Internal Auditor. The plan shall be submitted to the Secretary-for-a2croval.
A cogv of the approved plan shall be submitted to the State Auditor."
(d) The Department of Justice and the Department of Health and
Hunan Services shall immediately proceed with the implementation of this section,
including proceeding with all actions necessary to establish a State Law Enforcement
Bureau (SLEB) program for food stamps in the State.
- Paae 279
36
SUBPART B: STATUTORY TECINICAL AND CONFORMING CHANGES -
RELATING TO ENACTMENT OF THE WORK FIRST PROGRAM.
Section 12.22. G.S. 1-110(a) reads as rewritten:
"(a) Subject to the provisions of subsection (b) of this section with respect to
prison inmates, any superior or district court judge or clerk of the superior court may
authorize a person. to sue as an indigent in their respective courts when the person
makes affidavit that he or she is unable to advance the required court costs. The clerk
of superior court shall authorize a person to sue as an indigent if the person makes
the required affidavit and meets one or more of the following criteria:
�1� Receives food stamps.
2 Receives Work
First Family Assistance.
(3) Receives Supplemental Security Income (SSI).
4 Is represented by a legal services organization that has as its
primary purpose the furnishing of legal services to indigent
ersons.
(5) represented by private counsel working on the behalf of or
under the auspices of a legal services organization under
subdivision (4) of this section.
(6) Is seeking to. obtain a domestic violence protective order pursuant
to G.S. 50B-2
A superior or district court judge or clerk of superior court may authorize a person
who does not meet one or more of these criteria to sue as an indigent if the person is
unable to advance the required court costs. The court to which the summons is
returnable may dismiss the case and charge the court costs to the person suing as an
indigent if the allegations contained in the affidavit are determined to be untrue or if
the court is satisfied that the action is frivolous or malicious." - - -
Section 12.23. G.S. 15-155.1 reads as rewritten:
§ 15-155.1. Reports to district attorneys of aid to dependent chikhen Work First
Family Assistance and Megitimete out-of-wedlock births.
The Department of Human Resources, by and through the Secretary of Human
Resources, shall promptly-after June 14, 195% make a report_to=each-district. attorney,
setting out the names and addresses of all mothers who reside in his prosecutorial
district as defined in G.S. 7A-60 and are recipients of
assistance under the provisions of Part 2, Article 2, Chapter 108A of the General
Statutes. Such report shall in some manner show the identity of the unwed mothers
and shall set forth the number of children born to each said mother. Such a report
shall also be made monthly thereafter setting out the names and addresses of all such-
mothers who reside in the district and who may have become recipients of aid to
assistance under the provisions of Part 2. Article 2. Chante,_ r 108A
of the General Statutes since the date of the last report."
Section 12.24. G.S. 15-155.2(a)-reads as rewritten:
"(a) Upon receipt of such reports as are provided for in G.S. 15-155.1, the district
attorney of superior court may make an investigation to determine whether the-
mother of an iMegitimefe-out-of-wedlock- child or who is a recipient of aid to a
, Work First Family Assistance, has abandoned, is
willfully neglecting or is refusing to support and maintain the child within the
meaning of G.S. 14-326 or 49-2 or is diverting any part of the finds received as aid-te
Work First Family_ Assistance to any purpose other than for the
support and maintenance of fteh dependent I child in violation of G.S. 108-76.1. In
making this investigation the district attorney is authorized to call upon:
Page 280 Senate Bill 352
37
(1) Any county board of social services or the Department of Human
Resources for personal, clerical or investigative assistance and for
access to any records kept by either such board and relating to the
nutter under investigation and such boards are hereby directed to
assist in all investigations hereunder and to furnish all records
relating thereto when so requested by the district attorney;
(2) The board of county commissioners of any county within his
district for legal or.clerical assistance in making any investigation
or investigations in such county and such boards are hereby
authorized to furnish such assistance in their discretion; and
(3) The district attorney of any inferior court in his district for
personal assistance in making any investigation or investigations in
the county in which the court is located and any district attorney
so called upon is hereby authorized to.furnish such assistance by
and with the consent-of the board of county commissioners of the
county in which the court is located, which board shall provide
and fix his compensation for assistance furnished."
Section 12.25. G.S. 95-25.3(d) reads as rewritten:
(d) The Commissioner, in order to prevent curtailment of opportunities for
employment of the economically disadvantaged and the unemployed, may, by
regulation, establish a wage-'rate not. less than eighty-five percent (85%) of the
otherwise applicable wage rate in effect under subsection (a) which shall apply to all
persons (i) who have been unemployed for at least 15 weeks and who are
economically disadvantaged, or (ii) who are, or whose families are, receiving awe
S , Work First Family Assistance or who are receiving supplemental
security benefits under Title XVI of the Social Security Act.
Pursuant. to regulations issued by 'the Commissioner, certificates establishing _
eligibility for such subminimum wage shall be issued by the Employment Security
Commission. .
The regulation issued by the Commissioner shall not permit employment at the
---subtninimum rate for a period in excess o€-52 weeks."- -
Section 12.26-.- &.S. 105A-2(i) reads as rewritten: - -
"(1) `Claimant agency' means and includes:
a. The State Education Assistance Authority as enabled by
Article 23 of Chapter 116 of the General Statutes;
b. The North Carolina Department of Human Resources when
in the exercise of its authority to collect health profession
student loans made pursuant to G.S. 131-121;
C. The North Carolina Department of Human Resources when
in the performance of its duties under the Medical
Assistance Program enabled by Chapter 108A, Article 2,
Part 6, and any county operating the same Program at the
local level, when and only to the extent such a county is in
the performance of Medical Assistance Program collection
functions;
d. The North Carolina Department of Human Resources when
---- in the performance of its duties, under the Child Support
— Enforcement Program as enabled by Chapter 1101) Article 9
and Title IV, Part D of the Social Security Act to obtain
indemnification for past paid public assistance or to collect
child support arrearages owed to an individual receiving
program services and any county operating the program at
Page 281
38
the local level, when and only to the extent that the county
is engaged in the performance of those same duties; -
e. The University of North Carolina, including its constituent
institutions as specified by G.S. 116-2(4);
f. The University of North Carolina Hospitals at Chapel Hill
in the conduct of its financial affairs and operations
pursuant to G.S. 116-37;
g. The Board of Governors of the University of North Carolina
and the State Board of Education through the Colieze
Scholarship Loan Committee when in-the performance of its
duties of administering the Scholarship Loan Fund for
Prospective College Teachers enabled by Chapter 116,
Article 5;
h. The Office of the North Carolina Attorney General on
behalf of any State agency when the claim has been reduced
to a judgment;
i. The State Board of Community Colleges through
community colleges as enabled by Chapter 115D in the
conduct of their financial affairs and operations;
j. State facilities as listed in G.S. 122C-181(a), School for the
Deaf at Morganton, North Carolina Sanatorium at McCain,
Wester_n Carolina Sanatorium at Black Mountain, Eastern
North IlCarolina Sanatorium at Wilson, and Gravely
Sanatorium at Chapel Hill under Chapter 143, Article 7;
Governor Morehead School under Chapter 115, Article 40;
Central North Carolina School for the Deaf under Chapter
115, Article.41; Wright School for Treatment and Education
of Emotionally Disturbed Children -under Chapter 122C; -
and these same institutions by any other names by which
they may be known in the future;.
k. The North Carolina Department of Revenue;
1. The Administrative Office of the Courts;
m The Division- of- Forest—.Resources of the Department—of -
Environment, Health, and Natural Resources;
n. The Administrator of the Teachers' and State Employees'
Comprehensive Major Medical Plan, established in Article 3
of General Statutes Chapter 135;
o. The State Board of Education through the Superintendent
of Public Instruction when in the performance of his duties
of administering the Scholarship Loan Fund for Prospective
Teachers enabled by Chapter 115C, Article 32A and the
scholarship loan and grant programs enabled by Chapter
115C, Article 24C, Part 1;
p. The Board of Trustees of the Teachers' and State
Employees' Retirement System and the Board of Trustees of
- - the Local Governmental Employees' Retirement System in
the performance of their duties pursuant to Chapters 120,
128, 135 and 143 of the General Statutes;
q. The North Carolina Teaching Fellows Commission in the
performance of its duties pursuant to Chapter 115C, Article
24C, Part 2;
r. The North Carolina Department of Human Resources when
in the performance of its collection duties for intentional _
Page 282 Senate Bill 352
39
program violations and violations due to inadvertent
:lousehold error under the Food Stamp Program enabled by
Chapter 108A, Article 2, Part 5, and any county operating
the same Program at the local level, when and only to the
extent such a county is in the performance of Food Stamp
Program collection functions.
The North Carolina Department of Human Resources
when, in� the performance of its duties under the .eta
Pf AMe
b� ..O*'QWA 198A of
, Work First Program provided in Part 2
of Article 2 of Chapter 108A of the General Statutes or
under the State-County Special Assistance for Adults
Program provided in Part 3 of Article 2 of Chapter 108A, it
seeks to collect public assistance payments obtained through
an intentional false statement, intentional misrepresentation,
intentional failure to disclose a material fact, or inadvertent
household error;
S. The Employment Security Commission of North E-$reiine
Carolina:
t. Any State agency in the collection of salary overpayments
from former employees. employees: or
u. The State Board of Education through the Superintendent
of Public Instruction when in the performance of his duties
of administering the program under which the State
encourages participation -in the National Board for
Professional Teaching Standards (NBPTS) Program, enabled
by Section 19.28 of Chapter 769 of the 1993 Session Laws."
Section 12.27. G.S.MG-129(6) reads as rewritten: -
"(6) - `Disposable-income' means any form of periodic payment to an - –
individual, regardless of sources, including but not limited to
wages, salary, commission, self-employment income, bonus pay,
severance pay, sick pay, incentive pay, vacation pay, compensation
as an independent contractor, worker's compensation,
unemployment compensation benefits, disability, annuity,
survivor's benefits, pension and retirement benefits, interest,
dividends, rents, royalties, trust income and other similar payments,
which remain after the deduction of amounts for federal, State,
and local taxes, Social Security, and involuntary retirement
contributions. However, Supplemental Security Income, AT 4 Mr
Dependent r'h dream Work First Family Assistance, and other
public assistance payments shall be excluded from disposable
income. For employers, disposable income means `wage' as.it is
defined by G.S. 95-25.2(16). Unemployment compensation benefits
shall be treated as disposable income only for the purposes of
income withholding under the provisions of G.S. 110-136.4, and
the amount withheld shall not exceed twenty-five percent (25 015) of
the unemployment compensation benefits."
Section 12.28. G.S. 110-130.1. reads as rewritten:
"§ 110-130.1. Nen kFBG Non-Work First services.
^'" Paoe 283
40
(a) All child support collection and paternity determination services provided = _
under this Article to recipients of public assistance shall be made available to any
individual not receiving public assistance in accordance with federal lax ar.d as
contractually authorized by the nonrecipient., upon proper application and payment
of a nonrefundable application fee of ten dollars (510.00).
(b) Repealed by Session Laws 1989, c. 490.
bl) In cases in which a public assistance debt which accrued pu.s;:ant w G.S.
110-135 remains unrecovered, support payments shall be trans;-mitre to the
Department of Human Resources for appropriate distribution. Wher s.-r-%ices a.---
terminated and all costs and any public assistance debts have been sat-stied, the
sup ort payment shall be redirected to the client.
Actions or proceedings to establish, enforce, or modify a duty of support or
establish paternity as initiated under this Article shall be brought in the name of the
county or State agency on behalf of the public assistance recipient or nonrecipient
client. Collateral disputes between a custodial parent and noncustodial parent,
involving visitation, custody and similar issues, shall be considered only in separate
proceedings from actions initiated under this Article. The attorney representing the
designated representative of programs under Title IV-D of the Social Security Act
shall be deemed attorney of record only for proceedings under this Article, and not
for the separate proceedings. No attorney/client relationship shall be considered to -- _
have been created between the attorney who represents the child support
enforcement agency and any-.person by virtue of the action of the attorney in
providing the services required.-
(cl) The Department is hereby authorized to use the electronic and print media
in attempting to locate absent and deserting parents. Due diligence must be taken to
ensure that the information used is accurate or has been verified. Print media shall be
under no obligation or. duty, except that of good faith, to anyone to verify the
.correctness of any information furnished to- it by the Department or county
departments of social services.
(d) Any fee imposed by the North Carolina Department.of Revenue or the
Secretary of the Treasury to cover their costs of withholding for neft 74ZFDG non-
Work First arrearages certified for the collection of past due support from State or
federal income tax refunds-shall-be-borne-by-the client by deducting-the fee from the -
amount collected.
Any income tax refund offset amounts which are subsequently determined to have
been incorrectly withheld and distributed to a client, and which must be refunded by
the State to a responsible parent or the nondebtor spouse, shall constitute a debt to
the State owed by the client."
Section 12.29. G.S. 111-21 reads as rewritten: "
"§ 111-21. Disqualifications for relief.
No aid to needy blind persons shall be given under the provisions of this Article to
any individual for any period with respect to which he is receiving aid under the laws
of North Carolina providing Work First Family
Assistance and/or relief for the aged, an d/or aid for the permanently and totally
disabled."
SUBPART C. STATUTORY TECHNICAL AND CONFORMING CHANGES
RELATING TO THE ABOLISENT OF THE COMNIISSION ON THE FAMILY.
Section 12.30. G.S. 1-43-318.14A(a) reads as rewritten:
"(a) Except as provided in subsection (e) below, all official meetings of
commissions, committees, and standing subcommittees of the General Assembly
(including, without limitation, joint committees and study committees), shall be. held
Paze 284 Senate Bill 352
41
in open session. For the purpose of this section, the following also shall be considered
to be 'cc M. Missions, committees, and standing subcommittees of the General
Assembly':
1) The Legislative Research Commission;
2) The Legislative Services Commission;
3) The Advisory Budget Commission;
4) T'..e Joint Legislative Utility Review Committee;
5 Tne Joint Legislative Commission on Governmental Operations
i�:e Joint Legislative Commission on Municipal Incorperat ons;
-12 the Faamiir,
T
8 The Joint Select Committee on Low-Level Radioactive Waste;
9 The Environmental Review Commission;
10 The Joint Legislative Transportation Oversight Committee;
11 The Joint Legislative Education Oversight Committee;
12 The Joint Legislative Commission on Future Strategies for North
Carolina;
13 The Commission on Children with Special Needs;
14 The Legislative Committee on New Licensing Boards;
15 The Agriculture and Forestry Awareness Study Commission;
16 . The North.-Carolina Study Commission on Aging; and _
17 The standing Committees on Pensions and Retirement."
Section 12.31. G.S. 143B-150.8 reads as rewritten:
"§ 143B-150.8. Advisory Committee on Fancily-Centered Services; responsibilities.
(a) The Advisory Committee on Family-Centered Services shall have the following
responsibilities:
(1) Provide guidance and advice to the Secretary in the development
of a plan for the statewide implementation of an inter-agency
family preservation- services program - whereby family-centered
preservation services are available to all counties by July 1, 1995,
through the coordinated efforts of the Division of Social Services,
Division of Youth Services, and Division of Mental Health,
Developmental Disabilities, and Substance Abuse Services.
Recommend standards for: - - - - -
a. Oversight and.. development of family-centered preservation
services;
b. Development and maintenance of inter-agency training and
technical assistance in the provision of family-centered
services;
C. Professional staff qualifications, program monitoring, and
data collection;
d. Statewide evaluation of locally-based family preservation
programs;
e. Coordination of funding sources for family preservation
programs;
f. -Procedures for awarding grants to local agencies providing
family-centered services; and - — --
g. Annual reports to the Governor and the General Assembly
on the services provided and achievement of the Family
Preservation Services Program.
(3) The-Committee shall submit a written report not later than May 1,
1992, and not later than October 1 of each year thereafter, to the
Governor, to the Joint Legislative Commission on Governmental
Operations.
tions.
Paee 285
42
The report shall address the progress in implementation of the
Family Preservation Services Program. The report shall include an
accounting of funds expended and anticipated funding needs for
full implementation of the program. The report shall also include
the following information for each county participating in the
Program and for the Program as a whole:
a. The number of families receiving service t`U-ou h the
Program;
b. The number of children at risk of placement prior to
initiation of service in families receiving Program services;
C. Among those children in sub-subdivision b., the number of
children placed in foster care, in group homes, and in other
facilities outside their homes and families;
d. The average cost of the service provided to families under
the Program;
e. The estimated cost of out-of-home placement, through foster
care, group homes, or other facilities, which would
otherwise have been expended on behalf of children at risk
of placement who successfully remain united with their
families as a result of services provided through the
- Program. Cost estimates should be based on average length
_ of stay and average cost of such out-of-home placements;
f. The number of children who remain unified with their
families for one, two, and three years after receiving services
under the Program; and
g. An overall statement of the progress of the Program and
local projects during the preceding year, along with
recommendations for improvements. :
(b) The Committee may use funds allocated to it to- contract for services to
monitor local projects and for an independent evaluation of the Family Preservation
Services Program."
Section 12.32. Of the funds appropriated in this act to the Department of
Human Resources,_ the sum- of three million nine hundred seventy-five- thousand
dollars ($3,975,000) for the 1997-98 fiscal year shall be used to establish the uniform
system of recipient identification established in G.S. 108A-25.1 and to provide
counties with workstations for biometric imaging.
Section 12.33. Of the funds appropriated in this act to the Department of
Human Resources, the sum of twenty-five thousand dollars ($25,000) for the 1997-98
fiscal year and the sum of forty thousand dollars ($40,000) for the 1998-99 fiscal year
shall be transferred to the General Assembly for the Joint Legislative Public
Assistance Commission.
Section 12.34. Of the funds appropriated in this act to the Department of
Human Resources, the sum of sixteen million dollars ($16,000,000) for the 1997-98
fiscal year and the sum of twenty million dollars ($20,000,000) for the 1998-99 fiscal
year shall be placed in the Work First Reserve Fund established pursuant to G.S.
143-15.3C_ -
Section 12.35. The Department of Health and Human Services shall have
the uniform system of recipient identification established in G.S. 108A-25.1 in place
and operating before October 1, 1998. Except as otherwise provided in this Part, this
Part is effective when it becomes law.
Requested by: Senator Martin of Guilford, Representatives Gardner, Cansler, Clary
RESERVE TO IMPLEMENT WELFARE REFORM
Page 286 Senate Bill 352
s
43
Section 1136. (a) Of the funds appropriated in this act. to O`:icz- cf
State Budget and Management, the sum of five million seventy-five _-ousaLid two
hundr--d two dollars (55,075,202) for the 1997-98 fiscal year and the su=^ cf ihree
I n i'.:ic^. Nine hundred tl cusand debars (31M0,000)GQ,0CG) fer the 1998-39 scL e_: si a
be placed in a ResLnctive Reserve to Implement Welfare Reform. -.hest
be allocated from the Reserve as follows:
(1) 3275,000 for the 1997-98 fiscal year and S!CO3`CC =c
fiscal year to support the establis hment of a u.r_ifcr- _
public assistance progra ns as authorized undo: G.3.
and to provide counties with workstadcas fcr bior:e
(') 52,300,600 in each fiscal year to fund program inte?^t;r
each county;
(3) 5500,000 for the 1997-98 fiscal year to establish and support az
Office of Inspector General in the Department of Justice;
(4) 5300,000 in each fiscal year to establish a pilot project in the
Department of Labor for creation of Individual Development
Accounts;
(5) 51,500,202 for the 1997-98.fiscal year for the following purposes:
a. To establish First Stop Employment Assistance in the
__Department of Commerce;
b. To .,expand the Labor Market Information System in the
Employment Security Commission; and
C. To assist the Job Service Employer Committees or the
Workforce Development Boards in their completion of the
study of the working poor.
Funds shall not be allocated under this subdivision unless and until
the Office of State Budget and Management has certified that
federal funds are not available foi these purposes; and
(6) 5700,000 for the 1998-99 fiscal year for the continued support of
the Office of Inspector General in the Department of Justice, and
for the First Stop Employment Assistance in the Department of
Commerce. These funds shall be allocated by the Office of State
Budget and Management on the basis of need. _
(b) This section becomes effective July 1, 1997..
PART XIII. HOUSING FINANCE AGENCY
Requested by: Representatives Mitchell, Baker, Carpenter, H. Hunter, Senator
Martin of Pitt
HOiE PROGRAM IMATCHING FUNDS
Section 13. (a) Funds appropriated in this act to the Housing Finance
Agency for the federal HOME Program shall be used to match federal funds
appropriated for the HOME Program. In allocating State funds appropriated to
match federal HOME Program funds, the Agency shall give priority to HON E
Program pro.ects, as follows:
�1) First priority to projects that are located in counties designated as
Tier One, Tier Two, or Tier Three Enterprise Counties under G.S.
105-129.3; and
(2) Second priority to projects that benefit persons and families whose
incomes are fifty percent (50%) or less of the median family
income for the—local area, with adjustments for family size,
according to the latest figures available from the U.S. Department
of Housing and Urban Development.
Page 287
Senate Bill 352
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