On Sep. 3, CAL LEG bill to exempt funds from money judgements.
CAL LEG enrolled bill SB 242 to revise the Hope, Opportunity, Perseverance, and Empowerment (HOPE) trust account program to exempt funds in trust accounts.
From mean-tested programs and money judgments, impose specified certifications.
HOPE for Children Trust Account Act, established trust fund account for elligible minors who parent, guardian, died due to COVID-19 during federal public health emergency.
Proposed Amendments
Required the Treasurer to verify the cause of death of the parent, custodian, guardian and to verify the minor’s family household income prior to the death of the parent.
Signed statements also accepted, under the penalty of perjury if information is false.
To maximize automatic enrollment, Treasuer to collaborate with State Department to gather data to maximize participation in the HOPE Trust Account Program for eligible.
Bill would prohibit funds and returns accrued in a HOPE trust account from being considered income or assets until an eligible youth withdraws or transfers the funds.
Program enrollee are eligible to withdraw or transfer funds from their HOPE trust account on 18th birthday, Treasurer to assist in transferring funds from their trust.
CAL LEG 2-9-2-4-3-704.235 specified that a one-time lump-sum payment made from a HOPE trust account shall be exempt without making a claim; provided exemption.
A financial institution that receives a payment directly from the State shall treat the payment as exempt from levy if it is designated HOPE trust account payment.
