Bill Text: NY S08101 | 2015-2016 | General Assembly | Introduced

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Bill Title: Relates to NY ABLE account ownership, contributions and distributions.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2016-06-17 - SUBSTITUTED BY A9171A [S08101 Detail]

Download: New_York-2015-S08101-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________
                                          8101
                    IN SENATE
                                      June 13, 2016
                                       ___________
        Introduced  by Sen. CARLUCCI -- read twice and ordered printed, and when
          printed to be committed to the Committee on Rules
        AN ACT to amend the mental hygiene law, in relation to NY  ABLE  account
          ownership,  contributions  and  distributions;  and  to repeal certain
          provisions of the tax law relating thereto
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section 1. Subdivisions 2 and 3 of section 84.03 of the mental hygiene
     2  law, as added by chapter 576 of the laws of 2015, are amended to read as
     3  follows:
     4    2.  "Account"  or  "NY  ABLE account" shall mean an individual savings
     5  account established in accordance with the provisions of [this  article]
     6  section 529A of the Internal Revenue Code.
     7    3.  "Account  owner"  shall  mean a person who opens a savings account
     8  pursuant to the provisions of [this article] section 529A of the  Inter-
     9  nal Revenue Code, as amended, or any regulations promulgated thereunder.
    10  The  account  owner [may] must also be the designated beneficiary of the
    11  account.
    12    § 2. Subdivisions 1 and 2 of section 84.05 of the mental hygiene  law,
    13  as  added  by  chapter  576  of the laws of 2015, are amended to read as
    14  follows:
    15    1. The comptroller shall establish a NY  ABLE  account  plan  for  all
    16  eligible  individuals [and families] for the purpose of supporting indi-
    17  viduals with disabilities to maintain health, independence, and  quality
    18  of  life. The comptroller is hereby authorized to promulgate any and all
    19  rules and regulations necessary for the implementation of  this  article
    20  in  consultation  with  the  commissioners of the office for people with
    21  developmental disabilities, the office of mental health, the  department
    22  of health, and the office of temporary and disability assistance.
    23    2.  The  comptroller may implement the NY ABLE savings account program
    24  through use of third party vendors as administrators of  such  accounts,
    25  and financial organizations as account depositories and managers.  Under
    26  the  program,  eligible individuals may establish accounts directly with
    27  an account depository.
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD10067-15-6
        S. 8101                             2
     1    § 3. Subdivisions 2 and 8 of section 84.09 of the mental hygiene  law,
     2  as  added  by  chapter  576  of the laws of 2015, are amended to read as
     3  follows:
     4    2.  [A NY ABLE account may be opened by any person who desires to save
     5  money for the payment of the qualified living expenses of  a  designated
     6  beneficiary. Such person who opens a NY ABLE account shall be considered
     7  the account owner as set forth in this article.]
     8    (a)  An  application for [such] a NY ABLE account shall be in the form
     9  prescribed by the program and contain the following:
    10    (i) the name, address and social security number or employer identifi-
    11  cation number of the account owner;
    12    (ii) the designation of a designated beneficiary;
    13    (iii) the name, address and social security number of  the  designated
    14  beneficiary; and
    15    (iv) such other information as the program may require.
    16    (b) The comptroller may establish a nominal fee for such application.
    17    8.  An  account  owner  may  change  the  designated beneficiary of an
    18  account to another beneficiary [who is qualified under the provisions of
    19  this article] only as permitted  under  section  529A  of  the  Internal
    20  Revenue Code.
    21    §  4.  Paragraph 42 of subsection (b) of section 612 of the tax law is
    22  REPEALED.
    23    § 5. Paragraphs 42 and 43 of subsection (c) of section 612 of the  tax
    24  law are REPEALED.
    25    §  6.  This  act  shall  take  effect on the same date and in the same
    26  manner as chapter 576 of the laws of 2015 took effect.