SENATE BILL NO. 675

A bill to amend 1939 PA 280, entitled

"The social welfare act,"

by amending sections 57, 57d, 57e, and 57f (MCL 400.57, 400.57d, 400.57e, and 400.57f), section 57 as amended by 2018 PA 574, section 57d as amended by 2011 PA 131, section 57e as amended by 2024 PA 138, and section 57f as amended by 2014 PA 51.

the people of the state of michigan enact:

Sec. 57. (1) As used in this section and sections 57a to 57z:

(a) "Adult-supervised household" means either of the following:

(i) The place of residence of a parent, stepparent, or legal guardian of a minor parent.

(ii) A living arrangement not described in subparagraph (i) that the department approves as a family setting that provides care and control of a minor parent and his or her child and supportive services including, but not limited to, counseling, guidance, or supervision.

(b) "Bureau" means the bureau of fair competition and free enterprise created in section 7 of the economic development fair competition and free enterprise act.

(c) (b) "Caretaker" means an individual who is acting as parent for a child in the absence or because of the disability of the child's parent or stepparent and who is 1 of the following:

(i) The child's legal guardian, grandparent, great grandparent, great-great grandparent, sibling, stepsibling, aunt, great aunt, great-great aunt, uncle, great uncle, great-great uncle, nephew, niece, first cousin, or first cousin once-removed. , a

(ii) A spouse of any person listed above, a in subparagraph (i).

(iii) A parent of the putative father. , or an

(iv) An unrelated individual aged 21 years of age or older whose appointment as legal guardian of the child is pending.

(d) (c) "Child" means an individual who is not emancipated under 1968 PA 293, MCL 722.1 to 722.6, who lives with a parent or caretaker, and who is either of the following:

(i) Under the age of 18.Less than 18 years of age.

(ii) Age 18 years of age and a full-time high school student.

(e) (d) "Family" means 1 or more of the following:

(i) A household consisting of a child and either of the following:

(A) A parent or stepparent of the child.

(B) A caretaker of the child.

(ii) A pregnant woman.

(iii) A parent of a child in foster care.

(f) (e) "Family independence program assistance" means financial assistance provided to a family under the family independence program.

(g) (f) "Family independence program assistance group" means all those members of a program group who receive family independence program assistance.

(h) (g) "Family independence program" means the program of financial assistance established under section 57a.

(i) (h) "Family self-sufficiency plan" means a document described in section 57e that is executed by a family in return for receiving family independence program assistance.

(j) (i) "Medical review team" means the team composed of a disability examiner and a physician as a medical consultant who certifies disability for the purpose of eligibility for assistance under this act.

(k) (j) "Negative action period" means the time frame a client is given notice for a benefit decrease or closure of the family independence program benefit.

(l) (k) "Minor parent" means an individual under the age of less than 18 years of age who is not emancipated under 1968 PA 293, MCL 722.1 to 722.6, and who is either the biological parent of a child living in the same household or a pregnant woman.

(m) (l) "PATH program" means the PATH: partnership. accountability. training. hope. work partnership program. A reference to the JET program means the PATH program.

(n) (m) "Payment standard" means the standard upon on which family independence program assistance benefits are based.

(o) (n) "Program group" means a family and all those individuals living with a family whose income and assets are considered for purposes of determining financial eligibility for family independence program assistance, except as provided in section 57a(6).

(p) (o) "Recipient" means an individual receiving family independence program assistance.

(q) (p) "Substance abuse" means that term as defined in section 100d of the mental health code, 1974 PA 258, MCL 330.1100d.

(r) (q) "Substance abuse treatment" means outpatient or inpatient services or participation in Alcoholics Anonymous or a similar program.

(s) (r) "Supplemental security income" means the program of supplemental security income provided under title XVI.

(2) A reference in this act to "aid to dependent children" or "aid to families with dependent children" means "family independence program assistance".

Sec. 57d. (1) The department and the Michigan economic development corporation or a successor entity bureau shall conduct weekly orientation sessions for family independence program assistance applicants. After the department makes an initial determination that an adult or a child aged 16 years of age or older who is not attending elementary or secondary school full-time may be eligible for family independence program assistance and is not exempt from JET PATH program participation under section 57f, that individual shall participate in assigned work-related activities. The individual, the department, and a JET PATH program representative shall develop the family's family self-sufficiency plan in accordance with section 57e.

(2) If an applicant who is not exempt from JET PATH program participation under section 57f fails to cooperate with the JET PATH program or other required employment and training activities, the family is ineligible for family independence program assistance.

(3) The department shall impose penalties under section 57g if the individual fails to comply with the individual's family self-sufficiency plan.

(4) If the individual is complying with the family self-sufficiency plan, the department, a JET PATH program representative, and the recipient may revise the family self-sufficiency plan if necessary and the family independence program assistance group shall continue to receive family independence program assistance so long as if the recipients meet family independence program assistance requirements.

(5) The department shall reassess the recipient's eligibility for family independence program assistance every 12 months after the date the application for family independence program assistance was approved. At the time of a reassessment under this subsection, the recipient shall meet with his or her caseworker and JET PATH program representative and redevelop the family self-sufficiency plan.

Sec. 57e. (1) Each family receiving family independence program assistance shall execute a family self-sufficiency plan outlining the responsibilities of members of the family independence program assistance group, the contractual nature of family independence program assistance, and the focus on the goal of attaining self-sufficiency. The family self-sufficiency plan must be developed by the department and the adult family members of the family independence program assistance group with the details of PATH program participation to be included in the family self-sufficiency plan being developed by the department, the Michigan economic development corporation or a successor entity, bureau, and the adult family members of the family independence program assistance group. Except as described in section 57b, the department shall complete a thorough assessment to facilitate development of the family self-sufficiency plan, including consideration of referral to a life skills program, and determination as to whether the family independence program assistance group's adult members are eligible to participate in the PATH program or are exempt from PATH program participation under section 57f. The family self-sufficiency plan must identify compliance goals that are to be met by members of the family independence program assistance group and goals and responsibilities of the members of the family independence program assistance group, the department, and the PATH program. The family self-sufficiency plan must reflect the individual needs and abilities of the particular family, and include at least all of the following:

(a) The obligation of each adult and each child aged 16 years of age or older who is not attending elementary or secondary school full-time to participate in the PATH program unless exempt under section 57f.

(b) The obligation of each minor parent who has not completed secondary school to attend school.

(c) Except as provided in section 57f(3) and (4), the obligation of each adult to engage in employment, PATH program activities, education or training, community service activities, or self-improvement activities, as determined appropriate by the department.

(d) The obligation to cooperate in the establishment of paternity and to assign child and spousal support to the department as required by federal law and to cooperate in the procurement of child support, if applicable.

(e) The obligation of a recipient who fails to comply with compliance goals due to substance abuse to participate in substance abuse treatment and submit to any periodic drug testing required by the treatment program.

(f) If the recipient is determined to be eligible to participate in the PATH program, the obligation that the requirements of the family self-sufficiency plan must, at a minimum, meet federal guidelines for work participation. Exceptions may be granted if it is determined that the recipient or a family member in the recipient's household has a disability that needs reasonable accommodation as required by section 504 of title V of the rehabilitation act of 1973, 29 USC 794, subtitle A of title II of the Americans with disabilities act of 1990, 42 USC 12131 to 12134, or another identified barrier that interferes with the recipient's ability to participate in required activities. Reasonable accommodation must be made to adjust the number of required hours or the types of activities required to take the identified limitations into account.

(g) The obligation that the recipient must enroll in a GED preparation program, a high school completion program, or a literacy training program, if the department determines the resources are available and the assessment and plan demonstrate that these issues present a barrier to the recipient meeting the requirements in his or her family self-sufficiency plan. This basic educational skills training must be combined with other occupational skills training, whenever if possible, to ensure that it can be counted toward federal work participation requirements.

(h) Notification to the recipient of the 60-month lifetime cumulative total for collecting family independence program assistance.

(i) A prohibition on using family independence program assistance to purchase lottery tickets, alcohol, or tobacco, for gambling, or for illegal activities or any other nonessential items.

(j) Information regarding sanctions that must be imposed under section 57g for noncompliance.

(k) Any other obligation the department determines is necessary to enable the family to achieve independence.

(2) The department shall monitor each family's compliance with the family self-sufficiency plan.

Sec. 57f. (1) The department shall enter into an agreement with the Michigan economic development corporation or a successor entity bureau to facilitate the administration of the PATH program. The department shall make information on the program available to the legislature.

(2) Except as provided in section 57b, at the time the department determines that an individual is eligible to receive family independence program assistance under this act, the department shall determine whether that individual is eligible to participate in the PATH program or if the individual is exempt from PATH program participation under this section. The particular activities in which the recipient is required or authorized to participate, including community service, the number of hours of work required, and other details of the PATH program shall must be developed by the department and the Michigan economic development corporation or a successor entity bureau and shall be set forth in the recipient's family self-sufficiency plan. If a recipient has cooperated with the PATH program, the recipient may enroll in a program approved by the local workforce development board. Any and all training Training or education, with the exception of except high school completion, GED preparation, and literacy training, must be occupationally relevant and in demand in the labor market as determined by the local workforce development board and may must not be no more than 2 years in duration. Participants must make satisfactory progress while in training or education.

(3) The following individuals are exempt from participation in the PATH program:

(a) A child under the age of who is less than 16 years of age.

(b) A child age who is not less than 16 to or more than 18 years of age and who is attending elementary or secondary school full-time.

(c) A recipient who has medical documentation of being disabled or medical documentation of an inability to participate in employment or the PATH program for more than 90 days because of a mental or physical condition.

(d) A recipient unable to participate as determined by the medical review team.

(e) A recipient aged 65 years of age or older.

(f) A recipient of supplemental security income.

(g) A recipient of retirement, survivor, or disability insurance based on disability or blindness, or a recipient found eligible for retirement, survivor, or disability insurance based on disability or blindness who is in nonpay status.

(4) The department may grant a temporary exemption from participation in the PATH program to any of the following:

(a) An individual who is suffering from a documented short-term mental or physical illness, limitation, or disability that severely restricts his or her ability to participate in PATH program activities. An individual with a documented mental or physical illness, limitation, or disability that does not severely restrict his or her ability to participate in the PATH program shall be required to must participate in the PATH program at a medically permissible level. An exemption under this subdivision shall must not exceed a period of 90 days without a review by a department caseworker.

(b) An individual for whom certain program requirements have been waived under section 56i. An exemption under this subdivision shall must not exceed a period of 90 days without a review by a department caseworker.

(c) A parent with a child under the age of less than 60 days of age if that child is in the home or a mother for postpartum recovery up to 60 days after giving birth if that child is not in the home.

(d) A pregnant recipient who, based on medical documentation, is severely restricted in her ability to participate in PATH program activities for the duration of the pregnancy.

(e) The spouse of a recipient who is verified as disabled and living in the home with the spouse if it is verified that the spouse is needed in the home full-time due to the extent of medical care required. An exemption under this subdivision shall must not exceed a period of 365 days without a review by a department caseworker.

(f) A parent of a child who is verified as disabled and living in the home with the parent if it is verified that the parent is needed in the home due to the extent of medical care required. If the child attends school, the parent may be referred to the PATH program with limitations. An exemption under this subdivision shall must not exceed a period of 365 days without a review by a department caseworker.

(5) An individual is not disabled for purposes of this section if substance abuse is a contributing factor material to the determination of disability.

(6) The department may promulgate rules in accordance with the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328, identifying exemptions under this section. The director of the department may grant exemptions for extenuating circumstances beyond the exemptions provided for in this section. The department shall annually provide to the legislature, at the same time as the governor's departmental budget proposal, a report of the number of exemptions issued under this section and the individual reason for those exemptions. This subsection does not apply after December 31, 2013.

(7) As used in this section, "PATH program" means the PATH: partnership. accountability. training. hope. work partnership program.

Enacting section 1. This amendatory act does not take effect unless Senate Bill No. 631 of the 103rd Legislature is enacted into law.