Timely and Accurate Benefits Act
The Timely and Accurate Benefits Act obligates states to implement an Enhanced Income Identification and Verification Platform in order to remain eligible for federal funds for any benefit programs that determine eligibility or benefit amounts based on income. Within one year of enactment, states must procure, contract for, and use this platform. The bill defines a broad concept of “enhanced gross income” to include nearly all common income sources (earnings, unemployment, Social Security benefits, SSI, interest, rent, alimony, child support, cash assistance, gifts, distributions from trusts, and more), and it also allows for income identified through consumer-permissioned access to deposit account data. The platform is designed to automate real-time data matching, verify unreported or underreported income, and consolidate data to avoid double-counting. In short, the bill aims to tighten income verification for federal benefit programs by requiring a centralized, data-rich platform at the state level, with access to a wide range of income information, including transaction data from bank accounts, subject to applicant consent.
Key Points
- 1State compliance requirement: To receive federal funds for covered federal benefit programs, a state must, within one year after enactment, procure, contract for, and employ the Enhanced Income Identification and Verification Platform.
- 2Broad definition of enhanced gross income: The bill enumerates many income sources (wages, unemployment benefits, Social Security benefits, SSI, interest/dividends, rent, royalties, child support/alimony, cash assistance, gifts, distributions from trusts, and other income) and includes income identifiable via consumer-permissioned deposit account data.
- 3Enhanced platform capabilities: The platform must provide automated, real-time data matching to detect unreported or underreported income and potential ineligibility; analyze applicant-permissioned deposit account data to verify income not captured by existing sources; and consolidate data to avoid double-counting.
- 4Applicant consent: Data from deposit accounts must be accessed with the applicant’s permission, and there is a mechanism allowing claimants to review and attest to the accuracy of the data.
- 5Scope of applicability: “Covered federal benefit programs” include any program administered with federal funds in which eligibility or benefit levels depend on income, whether run by the federal government or by state/local governments with federal funds.