Laws: Cases and Codes : U.S. Code : Title 42 : Section 1320b-7


   
U.S. Code as of: 01/19/04
Section 1320b-7. Income and eligibility verification system

    (a) Requirements of State eligibility systems
      In order to meet the requirements of this section, a State must
    have in effect an income and eligibility verification system which
    meets the requirements of subsection (d) of this section and under
    which - 
        (1) the State shall require, as a condition of eligibility for
      benefits under any program listed in subsection (b) of this
      section, that each applicant for or recipient of benefits under
      that program furnish to the State his social security account
      number (or numbers, if he has more than one such number), and the
      State shall utilize such account numbers in the administration of
      that program so as to enable the association of the records
      pertaining to the applicant or recipient with his account number;
        (2) wage information from agencies administering State
      unemployment compensation laws available pursuant to section
      3304(a)(16) of the Internal Revenue Code of 1986, wage
      information reported pursuant to paragraph (3) of this
      subsection, and wage, income, and other information from the
      Social Security Administration and the Internal Revenue Service
      available pursuant to section 6103(l)(7) of such Code, shall be
      requested and utilized to the extent that such information may be
      useful in verifying eligibility for, and the amount of, benefits
      available under any program listed in subsection (b) of this
      section, as determined by the Secretary of Health and Human
      Services (or, in the case of the unemployment compensation
      program, by the Secretary of Labor, or, in the case of the food
      stamp program, by the Secretary of Agriculture);
        (3) employers (as defined in section 653a(a)(2)(B) of this
      title) (including State and local governmental entities and labor
      organizations) in such State are required, effective September
      30, 1988, to make quarterly wage reports to a State agency (which
      may be the agency administering the State's unemployment
      compensation law) except that the Secretary of Labor (in
      consultation with the Secretary of Health and Human Services and
      the Secretary of Agriculture) may waive the provisions of this
      paragraph if he determines that the State has in effect an
      alternative system which is as effective and timely for purposes
      of providing employment related income and eligibility data for
      the purposes described in paragraph (2), and except that no
      report shall be filed with respect to an employee of a State or
      local agency performing intelligence or counterintelligence
      functions, if the head of such agency has determined that filing
      such a report could endanger the safety of the employee or
      compromise an ongoing investigation or intelligence mission, and
      except that in the case of wage reports with respect to domestic
      service employment, a State may permit employers (as so defined)
      that make returns with respect to such employment on a calendar
      year basis pursuant to section 3510 of the Internal Revenue Code
      of 1986 to make such reports on an annual basis;
        (4) the State agencies administering the programs listed in
      subsection (b) of this section adhere to standardized formats and
      procedures established by the Secretary of Health and Human
      Services (in consultation with the Secretary of Agriculture)
      under which - 
          (A) the agencies will exchange with each other information in
        their possession which may be of use in establishing or
        verifying eligibility or benefit amounts under any other such
        program;
          (B) such information shall be made available to assist in the
        child support program under part D of subchapter IV of this
        chapter, and to assist the Secretary of Health and Human
        Services in establishing or verifying eligibility or benefit
        amounts under subchapters II and XVI of this chapter, but
        subject to the safeguards and restrictions established by the
        Secretary of the Treasury with respect to information released
        pursuant to section 6103(l) of the Internal Revenue Code of
        1986; and
          (C) the use of such information shall be targeted to those
        uses which are most likely to be productive in identifying and
        preventing ineligibility and incorrect payments, and no State
        shall be required to use such information to verify the
        eligibility of all recipients;

        (5) adequate safeguards are in effect so as to assure that - 
          (A) the information exchanged by the State agencies is made
        available only to the extent necessary to assist in the valid
        administrative needs of the program receiving such information,
        and the information released pursuant to section 6103(l) of the
        Internal Revenue Code of 1986 is only exchanged with agencies
        authorized to receive such information under such section
        6103(l); and
          (B) the information is adequately protected against
        unauthorized disclosure for other purposes, as provided in
        regulations established by the Secretary of Health and Human
        Services, or, in the case of the unemployment compensation
        program, the Secretary of Labor, or, in the case of the food
        stamp program, the Secretary of Agriculture, or (!1) in the
        case of information released pursuant to section 6103(l) of the
        Internal Revenue Code of 1986, the Secretary of the Treasury;


        (6) all applicants for and recipients of benefits under any
      such program shall be notified at the time of application, and
      periodically thereafter, that information available through the
      system will be requested and utilized; and
        (7) accounting systems are utilized which assure that programs
      providing data receive appropriate reimbursement from the
      programs utilizing the data for the costs incurred in providing
      the data.
    (b) Applicable programs
      The programs which must participate in the income and eligibility
    verification system are - 
        (1) any State program funded under part A of subchapter IV of
      this chapter;
        (2) the medicaid program under subchapter XIX of this chapter;
        (3) the unemployment compensation program under section 3304 of
      the Internal Revenue Code of 1986;
        (4) the food stamp program under the Food Stamp Act of 1977 [7
      U.S.C. 2011 et seq.]; and
        (5) any State program under a plan approved under subchapter I,
      X, XIV, or XVI of this chapter.
    (c) Protection of applicants from improper use of information
      (1) In order to protect applicants for and recipients of benefits
    under the programs identified in subsection (b) of this section, or
    under the supplemental security income program under subchapter XVI
    of this chapter, from the improper use of information obtained from
    the Secretary of the Treasury under section 6103(l)(7)(B) of the
    Internal Revenue Code of 1986, no Federal, State, or local agency
    receiving such information may terminate, deny, suspend, or reduce
    any benefits of an individual until such agency has taken
    appropriate steps to independently verify information relating to -
    
        (A) the amount of the asset or income involved,
        (B) whether such individual actually has (or had) access to
      such asset or income for his own use, and
        (C) the period or periods when the individual actually had such
      asset or income.

      (2) Such individual shall be informed by the agency of the
    findings made by the agency on the basis of such verified
    information, and shall be given an opportunity to contest such
    findings, in the same manner as applies to other information and
    findings relating to eligibility factors under the program.
    (d) Citizenship or immigration status requirements; documentation;
      verification by Immigration and Naturalization Service; denial of
      benefits; hearing
      The requirements of this subsection, with respect to an income
    and eligibility verification system of a State, are as follows:
        (1)(A) The State shall require, as a condition of an
      individual's eligibility for benefits under a program listed in
      subsection (b) of this section, a declaration in writing, under
      penalty of perjury - 
          (i) by the individual,
          (ii) in the case in which eligibility for program benefits is
        determined on a family or household basis, by any adult member
        of such individual's family or household (as applicable), or
          (iii) in the case of an individual born into a family or
        household receiving benefits under such program, by any adult
        member of such family or household no later than the next
        redetermination of eligibility of such family or household
        following the birth of such individual,

      stating whether the individual is a citizen or national of the
      United States, and, if that individual is not a citizen or
      national of the United States, that the individual is in a
      satisfactory immigration status.
        (B) In this subsection, in the case of the program described in
      subsection (b)(4) of this section - 
          (i) any reference to the State shall be considered a
        reference to the State agency, and
          (ii) any reference to an individual's eligibility for
        benefits under the program shall be considered a reference to
        the individual's eligibility to participate in the program as a
        member of a household, and
          (iii) the term "satisfactory immigration status" means an
        immigration status which does not make the individual
        ineligible for benefits under the applicable program.

        (2) If such an individual is not a citizen or national of the
      United States, there must be presented either - 
          (A) alien registration documentation or other proof of
        immigration registration from the Immigration and
        Naturalization Service that contains the individual's alien
        admission number or alien file number (or numbers if the
        individual has more than one number), or
          (B) such other documents as the State determines constitutes
        reasonable evidence indicating a satisfactory immigration
        status.

        (3) If the documentation described in paragraph (2)(A) is
      presented, the State shall utilize the individual's alien file or
      alien admission number to verify with the Immigration and
      Naturalization Service the individual's immigration status
      through an automated or other system (designated by the Service
      for use with States) that - 
          (A) utilizes the individual's name, file number, admission
        number, or other means permitting efficient verification, and
          (B) protects the individual's privacy to the maximum degree
        possible.

        (4) In the case of such an individual who is not a citizen or
      national of the United States, if, at the time of application for
      benefits, the statement described in paragraph (1) is submitted
      but the documentation required under paragraph (2) is not
      presented or if the documentation required under paragraph (2)(A)
      is presented but such documentation is not verified under
      paragraph (3) - 
          (A) the State - 
            (i) shall provide a reasonable opportunity to submit to the
          State evidence indicating a satisfactory immigration status,
          and
            (ii) may not delay, deny, reduce, or terminate the
          individual's eligibility for benefits under the program on
          the basis of the individual's immigration status until such a
          reasonable opportunity has been provided; and

          (B) if there are submitted documents which the State
        determines constitutes reasonable evidence indicating such
        status - 
            (i) the State shall transmit to the Immigration and
          Naturalization Service either photostatic or other similar
          copies of such documents, or information from such documents,
          as specified by the Immigration and Naturalization Service,
          for official verification,
            (ii) pending such verification, the State may not delay,
          deny, reduce, or terminate the individual's eligibility for
          benefits under the program on the basis of the individual's
          immigration status, and
            (iii) the State shall not be liable for the consequences of
          any action, delay, or failure of the Service to conduct such
          verification.

        (5) If the State determines, after complying with the
      requirements of paragraph (4), that such an individual is not in
      a satisfactory immigration status under the applicable program - 
          (A) the State shall deny or terminate the individual's
        eligibility for benefits under the program, and
          (B) the applicable fair hearing process shall be made
        available with respect to the individual.
    (e) Erroneous State citizenship or immigration status
      determinations; penalties not required
      Each Federal agency responsible for administration of a program
    described in subsection (b) of this section shall not take any
    compliance, disallowance, penalty, or other regulatory action
    against a State with respect to any error in the State's
    determination to make an individual eligible for benefits based on
    citizenship or immigration status - 
        (1) if the State has provided such eligibility based on a
      verification of satisfactory immigration status by the
      Immigration and Naturalization Service,
        (2) because the State, under subsection (d)(4)(A)(ii) of this
      section, was required to provide a reasonable opportunity to
      submit documentation,
        (3) because the State, under subsection (d)(4)(B)(ii) of this
      section, was required to wait for the response of the Immigration
      and Naturalization Service to the State's request for official
      verification of the immigration status of the individual, or
        (4) because of a fair hearing process described in subsection
      (d)(5)(B) of this section.
    (f) Medical assistance to aliens for treatment of emergency
      conditions
      Subsections (a)(1) and (d) of this section shall not apply with
    respect to aliens seeking medical assistance for the treatment of
    an emergency medical condition under section 1396b(v)(2) of this
    title.



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