SENATE DOCKET, NO. 344        FILED ON: 1/13/2009

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 30

The Commonwealth of Massachusetts

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In the Year Two Thousand Nine

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An Act encouraging low-income savings and economic opportunity.

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

SECTION 1. Section 111 of Chapter 5 of the Acts of 1995 is hereby amended by adding at the end of the third sentence the following words:--

; provided, however, that up to $10,000 of lump sum income shall be disregarded as income and excluded as an asset if within 30 days of its receipt it is deposited in a separate identifiable account as a financial institution, community development corporation or other non-profit agency approved by the department to establish and administer such financial accounts.  Withdrawals from such an account may only be for the purposes identified in subparagraph (a) through (e):

(a) Expenses for education or job training to attend an accredited or approved education or training institution;

(b) The purchase or repair of a home that is the applicant of recipient’s principal residence;

(c) The purchase or repair of a vehicle use for transportation to work or to attend an education or training program;

(d) Capital to start a small business for any family member 18 years or age or older.

(e) Health care costs not covered by public or private insurance.