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Show MEN LAW INVALIDATION AMONG PENDING WELFARE CHANGES Utah's lien law. a landmark in public welfare administration administra-tion in the state, will become inoperative in 1974 under terms of Fed Tal legislation pas. ed in the closing days of the congressional congres-sional session last fall, it is noted in a Research Report released re-leased this week by Utah Foundation, Foun-dation, the private, nonprofit public service agency. Nullification of the lien law wil be effective by the provisions provi-sions of public law 92-603 (known during congressional debates as H.R. 1), which hps been given more attention for its Social Security changes than for the changes it will bring about in public welfare administration. The Federal sla'ute does not specifically repeal state lien laws, but establishes eligibility for receipt of Old Age Assistance Assist-ance without regard to property prop-erty liens. Under provisions o5 the- act, the Federal Government Govern-ment will take over administration adminis-tration of Old Age Assistance, Aid to the Blind, and Aid to tile Permanently and Tctally Disabled on January 1, 1974 Welfare programs dealing with children's needs will be left in the hands of the states, wi'.h continued Federal financial assistance. as-sistance. Utah's lien law was enacted in 1947 and laer ratified rat-ified by popular vote. It gives the state a lien against real property owned by adult recipients recip-ients of public welfare, to be collected after the death of the owners who retain full us i of their property during their lifetimes. Enac'm.-'.t of the lien law in Utah is widely credited with helping to reduce the growing public welfare burden in the late 1940's and 1950s and thereby making money available to meet the spiralling costs of public education in the state. While the Federal legislation only nullifies operation of the Utah lien law and those of other states where the exist and does not repeal them, a proposal for outright repeal is expected to be placed before the 1973 Legislature, the Foundation Foun-dation noted. Considerable opposition op-position is expected to develop against the proposal for repeal. One of the stated objectives ol the lien law was to make genuine need a criterion of dispensing Old Age Assistance and provide adequate aid for those actually needing it. The Foundation report notes that the law appears to have achieved a large degree of success, suc-cess, as Utah numberical Old Age load is relatively light, but payments to individual recipients recip-ients are near national and regional re-gional averages. Noting that the state will lese some revenue when Ihe lien law becomes inoperative and would lose more if the law were outright repealed, Utah Foundation states: "It is not the dollars which are of first importance, however, but the possible future effects of repeal." re-peal." "Many observers feel that if the lien law is repealed, it might not be possible to re-enact re-enact it. And while there would be no need for the law while P.L. 92-603 is in effect in its present form, there is no certainty that it will .not some day be substantially altered or repealed .... responsibility for Old Age Assistance may return re-turn to the states, and the lien law could again serve a most useful purpose to maintain a program based on genuine need." When the Federal Government Govern-ment (through the Social Security Se-curity Administration) takes over complete financing of adult welfare programs (except General Assistance which has a'ways been and will remain exclusively a responsibility of the states), Utah and other states will be relieved of a substantial sub-stantial direct financial burden the Foundation report notes However, in Utah's case there will be some offset. Federal definition of "disabled" if somewhat tighter than Utah's and the changeover may result in a heavier load being placed on the state's General Assistance Assist-ance budget. A number of other changes are being contemplated in Utah's internal public welfare administration. "Money programs", pro-grams", including not only ca h payments but such things as vendor payments and food stamps, will be formally separated separ-ated from programs concerned with the furnishing of social services, under terms of proposed pro-posed legislation. The program; have already been separated in actual operation and the proposed pro-posed legislation would apply the stamp of formal recognition. recogni-tion. "While some welfare officials feel the separatiin of prrgrams will result in increased efficiency effic-iency and others question this, most appear to agree that the separation would be a good thing for ether reasons," the Foundation says. "Under Federal Fed-eral laws and court decisions, income maintenance programs have come to be regarded as basic legal rights, while it is desired to provide the services programs only on request." |