THE SENATE	S.B. NO.	963
THIRTY-THIRD LEGISLATURE, 2025		S.D. 1
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO THE SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Chapter 346, Hawaii Revised Statutes, is amended by adding four new sections to part II to be appropriately designated and to read as follows:

"§346-A Supplemental nutrition assistance program; ineligible households. The department shall exercise its option under federal regulations to prorate or exclude certain income from household members who are ineligible for the supplemental nutrition assistance program by:

(1) Counting only the proportionate share of income from those household members ineligible for the supplemental nutrition assistance program due to immigration status or other federally permitted exclusion criteria, as allowed under federal regulations; and

(2) Ensuring that household benefit calculations are completed in a manner that does not unduly penalize eligible household members.

§346-B Supplemental nutrition assistance program; standard medical deduction. (a) Pursuant to federal guidance, the department shall establish a standardized medical expense deduction option for elderly or disabled household members, as defined under federal regulations, who incur medical expenses above the federal minimum threshold. The department shall apply a standard medical expense deduction for all eligible households, in lieu of requiring verification of actual medical expenses, to the extent allowed by federal law.

(b) Households with documented medical expenses exceeding the standard deduction may opt to claim actual medical expenses.

§346-C Supplemental nutrition assistance program; pre‑release application program. (a) In accordance with federal guidance, the department shall establish a pre-release supplemental nutrition assistance program application process for individuals who are incarcerated and scheduled for release. The department shall:

(1) Partner with correctional facilities to identify eligible individuals within a specified time frame before their release date;

(2) Facilitate the completion and submission of supplemental nutrition assistance program applications so that benefits, if approved, are available immediately upon or shortly after release;

(3) Provide information, counseling, and assistance with supplemental nutrition assistance program eligibility criteria to incarcerated individuals transitioning back into the community;

(4) Seek any necessary federal waivers, approvals, or clarifications to effectuate this section; and

(5) Comply with all applicable federal rules governing supplemental nutrition assistance program application and eligibility processes, ensuring that no benefits are issued to an incarcerated individual before their release.

(b) The department shall adopt rules pursuant to chapter 91 for the purposes of this section.

§346-D Supplemental nutrition assistance program; reports. The department shall submit an annual report to the legislature no later than twenty days prior to the convening of each regular session, beginning with the regular session of 2026. The annual report shall include:

(1) Data on the implementation and utilization of the supplemental nutrition program options established pursuant to sections 346-A, 346-B, and 346-C, including the number and characteristics of participating households;

(2) The administrative costs savings or changes resulting from the adoption of these options;

(3) An analysis of the impact of these options on participation rates in the State's supplemental nutrition assistance program and benefit adequacy; and

(4) Recommendations for any proposed changes or improvements."

SECTION 2. Section 346-53.3, Hawaii Revised Statutes, is amended to read as follows:

"[[]§346-53.3[]] Temporary assistance for needy families and [food stamps] supplemental nutrition assistance program for individuals with a felony conviction [which] that has as an element the possession, use, or distribution of a controlled substance. Section 115(a) of Public Law 104-193 shall not apply in Hawaii [to persons who are complying with treatment or who have not refused or failed to comply with treatment]."

SECTION 3. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.

SECTION 4. In codifying the new sections added by section 1 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.

SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 6. This Act shall take effect on December 31, 2050.

Report Title:

DHS; Supplemental Nutrition Assistance Program; Ineligible Income; Standard Medical Deduction; Incarcerated Individuals; Pre-release Application Process; Reports; Personal Responsibility and Work Opportunity Reconciliation Act; Drug Felony Ban; Temporary Assistance for Needy Families

Description:

Requires the Department of Human Services to: (1) Prorate or exclude certain income from household members who are ineligible for the Supplemental Nutrition Assistance Program (SNAP) in determining SNAP household eligibility and benefit levels; (2) Establish a standardized medical expense deduction option for elderly or disabled household members who incur medical expenses above the federal minimum threshold; (3) Establish a pre-release SNAP application process for individuals who are incarcerated and scheduled for release; and submit annual reports to the Legislature. Specifies that the restriction under federal law prohibiting individuals convicted of certain drug-related felonies from receiving SNAP benefits and Temporary Assistance for Needy Families (TANF) benefits does not apply in Hawaii. Repeals treatment compliance requirements for TANF benefits. Effective 12/31/2050. (SD1)

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