Casey’s ABLE Act Becomes Law with President Obama’s Signature

Press Release - U.S. Senator Robert P. Casey, Jr. (D-PA)
Friday, December 19, 2014

ABLE Easily Passed the Senate 76-16 / Bill Previously Passed the House with 404-17 Margin / ABLE Has Been Called “…the broadest legislation to help [people with disabilities] in nearly a quarter-century.”

Washington, DC- Today, U.S. Senator Bob Casey (D-PA) announced that his Achieving a Better Life Experience (ABLE) Act was signed into law this afternoon by President Obama. The bill will allow families who have a child with a disability to save for their long-term care through 529-style savings accounts. The ABLE Act passed the Senate on Tuesday with a final vote of 76-16, and it passed the House last week with a final vote of 404-17. This legislation has been called “…the broadest legislation to help [people with disabilities] in nearly a quarter-century.”

Below is a statement from Senator Casey:

“Eight years ago, a group of parents came to Congress, asking for help with a pressing issue—adequately saving for their children’s future. These parents, including a gentleman named Steve Beck, knew firsthand the challenges many families face when a loved one has a disability. Faced with a lifetime of extraordinary expenses, parents are told not to save or put assets in their child’s name. Thanks to Steve and countless other concerned parents, we stand ready to forever change this dynamic.

The ABLE Act has been a collaborative effort. The bill was first introduced by Senators Hatch and Dodd in 2008, under the name of the Disabilities Savings Act. In each session since, Senator Burr and I have introduced the bill under the name of the Achieving a Better Life Experience Act. Today, we are proud to say that we will pass the ABLE Act with the support of over 480 members of Congress.

Beyond this lengthy legislative history, the story of the ABLE Act is also the story of individuals like Sara Wolff, a fellow Pennsylvanian who has been one of the bill’s most vocal advocates.

Several years ago, Sara was an intern in my Scranton office. Today, Sarah is 31 years old and has two jobs – she works at Keystone Resources in the Office of Advocacy and is also a Law Clerk at a firm in my hometown of Scranton, Pennsylvania. She also serves on the board of several organizations including the National Down Syndrome Society.

Sara happens to have Down syndrome. She a productive member of society and has goals and ambitions just like any other hard-working American. But a set of unfair rules has held Sara back by making it difficult for her to save money. In order to avoid being cut off from critical benefits, Sara has had to carefully avoid amassing more than two thousand dollars in assets and has made arrangements with her employers to keep her monthly pay below seven hundred dollars a month.

For years, this disincentive to save has stood in the way of Sara’s efforts to plan for future costs, her desire to live a fuller and more productive life, and her wish to pursue her own dreams and aspirations.

Read complete article HERE.

Vote Planned On Tax-Free Disability Savings Accounts

From disabilityscoop.com

     

U.S. Rep. Cathy McMorris Rodgers said that the House will vote in December on the ABLE Act, which would offer people with disabilities a new way to save. McMorris Rodgers, who is a co-sponsor of the bill, has a 7-year-old son with Down syndrome. (Gage Skidmore/Flickr)

With little time to spare, a vote will happen this year on a bill that would allow people with disabilities to save money without jeopardizing their benefits, a key member of Congress says.

U.S. Rep. Cathy McMorris Rodgers, R-Wash., said Wednesday that the House of Representatives will hold a floor vote on the Achieving a Better Life Experience, or ABLE, Act next month.

“As the mom of a son who was born with an extra 21st chromosome, I understand firsthand how federal policies can limit — not expand — opportunities for those with disabilities. The ABLE Act will change that and I am thrilled to announce we will get this critical, bipartisan legislation to the floor this December,” McMorris Rodgers told Disability Scoop.

Matt Sparks, a spokesman for House Majority Leader Kevin McCarthy, R-Calif., confirmed that the vote will take place the first week of December.

The news comes with time running short for the ABLE Act. It’s been under consideration in Congress since 2006, but has only gained significant traction this year.

Advocates have been pressing hard for a vote in December since efforts to enact the legislation would have to start all over again when a new Congress convenes in 2015 if the bill does not pass this year.

Under the ABLE Act, people with disabilities would be able to establish special accounts at any financial institution where they could deposit up to $14,000 annually. Individuals could accrue up to $100,000 in savings in the accounts without risking eligibility for government benefits like Social Security. What’s more, Medicaid coverage could be retained no matter how much money is deposited.

Funds in the proposed ABLE accounts could be used to pay for education, health care, transportation, housing and other expenses. Modeled off of the popular 529 college savings plans, interest earned on savings within the accounts would be tax-free.

The ABLE Act is widely expected to win approval, with the vast majority of members in both the House and Senate co-sponsoring the measure.

However, getting the legislation to a floor vote has not been a sure bet. Earlier this year, lawmakers indicated that they would work together to find a way to pay for the measure before bringing it up for a vote. More recently, a group of senators said that an agreement had been reached.

Now, with the House poised for a vote, it appears likely that the Senate will act as well.

“We’re very optimistic on something happening in the Senate,” said John Rizzo, a spokesman for Sen. Bob Casey, D-Pa., the ABLE Act’s lead sponsor.

Article HERE.