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Disabled workers seek $20,000 unearned‑income disregard for Ohio WorkAbility participants

2655745 · March 5, 2025
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Summary

Two witnesses asked the House Medicaid Committee to add a $20,000 unearned income disregard to Ohio WorkAbility (the post‑65 variant of MBIWD), arguing that current rules treat unearned income — pensions and retirement benefits — much more harshly than earned income and could push people into institutional care.

Christine Brown and Connie Farley told the Ohio House Medicaid Committee they are asking lawmakers to create a $20,000 unearned‑income disregard for the Ohio WorkAbility program, a Medicaid buy‑in category for workers with disabilities who turn 65.

Brown, who identified herself as an individual with a disability, explained that ‘‘unearned income’’ includes public pensions, veteran benefits and Social Security Disability Insurance (SSDI). She said current rules offer a $20,000 disregard for earned income but only a $20 disregard for unearned income under the programs that apply to beneficiaries age 65 and older, increasing the risk that people will have to choose between paying large sums to keep in‑home supports or entering institutions.

Connie Farley, who described herself as paralyzed for 40 years and a licensed social worker, said Ohio WorkAbility (implemented in October 2024) lets certain employed disabled individuals who turn 65 continue in‑home nursing care. ‘‘If this $20,000 unearned income disregard is not in place, then I will only have $1,880‑some dollars a month to live on,’’ she told the committee, saying she feared being forced into an institution.

Why it matters: Witnesses argued the unequal treatment of pension and retirement income undermines work incentives and could erode access to home‑and‑community‑based services. They asked the committee to support an amendment to HB 96 that would extend the larger unearned‑income disregard used for earned income to unearned categories for Ohio WorkAbility beneficiaries.

Committee response: Ranking Member Baker thanked the witnesses and said an amendment is being pursued to help them; he asked for follow‑up information. Representative Stevens and others expressed appreciation and sympathy but did not propose additional specific alternative language during the hearing.

Ending: Witnesses asked for legislative relief to prevent displacement from home care to institutional settings. Committee members asked the witnesses to stay in touch as the budget and amendment language are finalized.