By Farabee H.B. No. 1316
77R5841 SMJ-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the consideration of a trust as property liable for the
1-3 support of clients at mental health community centers or patients
1-4 at state hospitals.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Section 534.0175(a), Health and Safety Code, is
1-7 amended to read as follows:
1-8 (a) If a client is the beneficiary of a trust that has an
1-9 aggregate principal of $250,000 [$50,000] or less, the corpus or
1-10 income of the trust is not considered to be the property of the
1-11 client or the client's estate and is not liable for the client's
1-12 support. If the aggregate principal of the trust exceeds $250,000
1-13 [$50,000], only the portion of the corpus of the trust that exceeds
1-14 that amount and the income attributable to that portion are
1-15 considered to be the property of the client or the client's estate
1-16 and are liable for the client's support.
1-17 SECTION 2. Section 552.018(a), Health and Safety Code, is
1-18 amended to read as follows:
1-19 (a) If a patient is the beneficiary of a trust that has an
1-20 aggregate principal of $250,000 [$50,000] or less, the corpus or
1-21 income of the trust is not considered to be the property of the
1-22 patient or the patient's estate and is not liable for the patient's
1-23 support. If the aggregate principal of the trust exceeds $250,000
1-24 [$50,000], only the portion of the corpus of the trust that exceeds
2-1 that amount and the income attributable to that portion are
2-2 considered to be the property of the patient or the patient's
2-3 estate and are liable for the patient's support.
2-4 SECTION 3. This Act takes effect immediately if it receives
2-5 a vote of two-thirds of all the members elected to each house, as
2-6 provided by Section 39, Article III, Texas Constitution. If this
2-7 Act does not receive the vote necessary for immediate effect, this
2-8 Act takes effect September 1, 2001.