S. 5186

119 S5186 IS: Allowing Steady Savings by Eliminating Tests Act
 U.S. Senate
 2026-07-30
 text/xml
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 Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
 II  119th CONGRESS  2d Session  S. 5186  IN THE SENATE OF THE UNITED STATES   July 30, 2026   Mr. Coons  (for himself,  Mr. Kaine ,  Mr. Van Hollen ,  Ms. Baldwin ,  Mr. Reed ,  Mr. Schatz ,  Mr. Booker , and  Mrs. Gillibrand ) introduced the following bill; which was read twice and referred to the  Committee on Finance    A BILL
To eliminate asset limits employed by certain federally funded means-tested public assistance programs, and for other purposes.
1.
Short title; table of contents
(a)
Short title
This Act may be cited as the   Allowing Steady Savings by Eliminating Tests Act   or the   ASSET Act  .
(b)
Table of contents
The table of contents for this Act is as follows:
Sec. 1. Short title; table of contents.
Sec. 2. Findings; sense of Congress.
Sec. 3. States prohibited from imposing asset limits on programs funded by Temporary Assistance for Needy Families (TANF) grants.
Sec. 4. Eliminating asset limits in the supplemental nutrition assistance program (SNAP).
Sec. 5. Eliminating asset limit in Low-Income Home Energy Assistance Program (LIHEAP).
Sec. 6. Updating and indexing the resource limit for supplemental security income (SSI).
Sec. 7. Effective date.
2.
Findings; sense of Congress
(a)
Findings
Congress finds as follows:
(1)
Many means-tested public assistance programs limit eligibility for benefits on the basis of the assets of a family, such as savings and other resources. Such asset limits impede the ability of needy families to improve their financial circumstances and thereby reduce their dependence on public assistance programs.
(2)
Restricting eligibility for public assistance programs on the basis of assets negatively affects the financial security of low-income families. For example, to avoid losing eligibility for public assistance under an asset limit, a family may avoid mainstream financial services such as bank accounts, or refrain from acquiring and saving resources that would enable the family to weather an unanticipated expense.
(3)
The risk that people who don't need public assistance will take advantage of public assistance programs in the absence of asset limits is low, in part because most applicants for public assistance have very few assets, must meet strict work requirements, and usually may only participate in a program for a limited time.
(4)
Evidence from States that have eliminated asset limits suggests that the administrative cost savings associated with the elimination of asset limits outweigh any increases in payments made to beneficiaries.
(b)
Sense of Congress
It is the sense of Congress that certain federally funded means-tested public assistance programs should not utilize asset limits to restrict eligibility for assistance under those programs.
3.
States prohibited from imposing asset limits on programs funded by Temporary Assistance for Needy Families (TANF) grants
(a)
No State limitation on allowable financial resources
Section 408(a) of the Social Security Act ( 42 U.S.C. 608(a) ) is amended by adding at the end the following new paragraph:
(13)
No asset or resource limit
A State to which a grant is made under section 403 shall not apply any asset or resource limit for eligibility of a family for any benefit, assistance, or service provided under the State program funded under this part.
 .
(b)
Conforming amendments
Section 408(f) of the Social Security Act ( 42 U.S.C. 608(f) ) is amended—
(1)
in the matter preceding paragraph (1), by striking  or resources ; and
(2)
in paragraph (1)—
(A)
in the paragraph heading, by striking
and resources  ;
(B)
by striking subparagraph (B);
(C)
by redesignating subparagraph (C) as subparagraph (B); and
(D)
in subparagraph (B) (as so redesignated), by striking  and resources  each place it appears.
(c)
Delay permitted if State legislation required
(1)
In general
In the case of a State to which a grant is made under section 403 of the Social Security Act ( 42 U.S.C. 603 ) that the Secretary of Health and Human Services determines requires State legislation (other than legislation appropriating funds) to meet the requirements of paragraph (13) of section 408(a) of such Act ( 42 U.S.C. 608(a) ), such State shall not be regarded as failing to comply with the requirements of such paragraph before the first day of the first calendar quarter that begins after the close of the first regular session of the State legislature that begins after the date of enactment of this Act.
(2)
2-year legislative session
For purposes of paragraph (1), in the case of a State that has a 2-year legislative session, each year of the session shall be considered to be a separate regular session of the State legislature.
4.
Eliminating asset limits in supplemental nutrition assistance program
(a)
Eligible households
Section 5 of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2014 ) is amended—
(1)
in subsection (a)—
(A)
in the first sentence, by striking  and other financial resources ; and
(B)
in the second sentence, by striking  and (r)  and inserting  and (q) ;
(2)
in subsection (d)—
(A)
in paragraph (1), by striking  , except as provided in subsection (k) ;
(B)
in paragraph (10), by striking  program except as otherwise provided in subsection (k) of this section  and inserting  program, except as otherwise provided in subsection (i) ;
(C)
in paragraph (12), by striking  section 3112  and inserting  section 5312 ;
(D)
by striking paragraph (13); and
(E)
by redesignating paragraphs (14) through (19) as paragraphs (13) through (18), respectively;
(3)
by striking subsections (g) and (j);
(4)
by redesignating subsections (h), (i), (k), (l), (m), and (n) as subsections (g), (h), (i), (j), (k), and (l), respectively; and
(5)
in subsection (h) (as so redesignated)—
(A)
in paragraph (1), by striking  and resources  each place it appears; and
(B)
in paragraph (2)—
(i)
by striking subparagraph (B); and
(ii)
by redesignating subparagraphs (C) through (E) as subparagraphs (B) through (D), respectively.
(b)
Eligibility disqualifications
Section 6 of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2015 ) is amended—
(1)
in subsection (d)(4)—
(A)
in subparagraph (N)(iii)(I)(bb), by striking  subsection (d)(1) or subsection (o)  and inserting  paragraph (1) or subsection (n) ; and
(B)
by striking  subsection (o)  each place it appears and inserting  subsection (n) ;
(2)
in subsection (f), in the undesignated matter following subparagraph (D) of paragraph (2), by striking  and financial resources ;
(3)
by striking subsection (h);
(4)
by redesignating subsections (i) through (s) as subsections (h) through (r), respectively;
(5)
in paragraph (6) of subsection (n) (as so redesignated)—
(A)
in subparagraph (F), by adding a period at the end; and
(B)
in subparagraph (G), by striking  (D),, (E) or  and inserting  (D), (E), or ;
(6)
in paragraph (1) of subsection (q) (as so redesignated)—
(A)
in subparagraph (A)(iv), by inserting  section  after  defined in ; and
(B)
in subparagraph (B), by striking  subsection (k)  and inserting  subsection (j) ; and
(7)
in paragraph (2) of subsection (r) (as so redesignated)—
(A)
by striking  allowable financial resources and ; and
(B)
by striking  (g), (i), (k), (l), (m), and (n)  and inserting  (h), (i), (j), (k), and (l) .
(c)
Research, demonstration, and evaluations
Section 17 of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2026 ) is amended—
(1)
by striking subsections (h) and (i);
(2)
by redesignating subsections (j) through (n) as subsections (h) through (l), respectively;
(3)
in subsection (k) (as so redesignated)—
(A)
by striking  subsections (l) through (n)  each place it appears and inserting  subsections (j) through (l) ; and
(B)
in paragraph (2)(E), by striking  section 6(l)(2)  and inserting  section 6(k)(2) ; and
(4)
in paragraph (4)(A) of subsection (l) (as so redesignated)—
(A)
in the matter preceding clause (i), by striking  available,—  and inserting  available— ; and
(B)
in clause (i)(II), by striking  and financial resources (as described in section 5(g)) .
(d)
Conforming amendments
(1)
Section 7(i)(1) of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2016(i)(1) ) is amended by striking  section 6(o)(2)  and inserting  section 6(n)(2) .
(2)
Section 11(e)(22) of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2020(e)(22) ) is amended by striking  section 6(i)  and inserting  section 6(h) .
(3)
Section 16 of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2025 ) is amended—
(A)
in subsection (a)(9), by striking  section 17(n)  and inserting  section 17(l) ; and
(B)
in subsection (h)—
(i)
in paragraph (1)—
(I)
in subparagraph (B)(ii), by striking  section 6(o)  and inserting  section 6(n) ;
(II)
in subparagraph (E)—
(aa)
by striking  section 6(o)(3)  each place it appears and inserting  section 6(n)(3) ;
(bb)
by striking  section 6(o)(2)  each place it appears and inserting  section 6(n)(2) ; and
(cc)
in clause (ii)—
(AA)
in subclause (III), by striking  section 6(o)(4)  and inserting  section 6(n)(4) ; and
(BB)
in subclause (IV), by striking  section 6(o)(6)  and inserting  section 6(n)(6) ; and
(III)
in subparagraph (F)(ii)(III)(ee)(AA), by striking  section 6(o)  and inserting  section 6(n) ; and
(ii)
in paragraph (5)(C)(iv)(I), by striking  section 6(o)(2)  and inserting  section 6(n)(2) .
(4)
Section 18(g)(2) of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2027(g)(2) ) is amended by striking  section 5(h)  and inserting  section 5(g) .
(5)
Section 103(a)(2)(D) of the Workforce Innovation and Opportunity Act ( 29 U.S.C. 3113(a)(2)(D) ) is amended by striking  section 6(o) of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2015(o) )  and inserting  subsection (n) of section 6 of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2015 ) .
(6)
Section 121(b)(2)(B)(iv) of the Workforce Innovation and Opportunity Act ( 29 U.S.C. 3151(b)(2)(B)(iv) ) is amended by striking  section 6(o) of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2015(o) )  and inserting  subsection (n) of section 6 of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2015 ) .
(7)
Section 454 of the Social Security Act ( 42 U.S.C. 654 ) is amended—
(A)
in paragraph (4)(A)(i), by striking  section 6(l)(1) of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2015(l)(1) )  and inserting  subsection (k)(1) of section 6 of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2015 ) ;
(B)
in paragraph (6)(B)(i), by striking  subsection (l) or (m) of section 6 of the Food and Nutrition Act of 2008  and inserting  subsection (k) or (l) of section 6 of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2015 ) ; and
(C)
in paragraph (29)(A)(ii), by striking  section 6(l)(2) of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2015(l)(2) )  and inserting  subsection (k)(2) of section 6 of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2015 ) .
(e)
Delay permitted if State legislation required
(1)
In general
If the Secretary of Agriculture determines that State legislation (other than legislation appropriating funds) is required in order for a State plan under section 11 of the Food and Nutrition Act of 2008 ( 7 U.S.C. 2020 ) to meet the additional requirements imposed by the amendments made by this section, the State plan shall not be regarded as failing to comply with the requirements of that section solely on the basis of the failure of the plan to meet those additional requirements before the first day of the first calendar quarter that begins after the close of the first regular session of the State legislature that begins after the date of enactment of this Act.
(2)
Legislative session
For purposes of paragraph (1), if a State has a 2-year legislative session, each year of the session shall be considered to be a separate regular session of the State legislature.
5.
Eliminating asset limit in Low-Income Home Energy Assistance Program (LIHEAP)
(a)
Elimination of limitations on allowable financial resources
Section 2605(b)(2) of the Low-Income Home Energy Assistance Act of 1981 ( 42 U.S.C. 8624(b)(2) ) is amended, in the matter following subparagraph (B), by inserting  , and agrees that the State may not exclude a household from eligibility in a fiscal year solely or partially on the basis of the assets of 1 or more members of the household  before the semicolon.
(b)
Delay permitted if State legislation required
(1)
In general
In the case of a State plan under section 2605 of the Low-Income Home Energy Assistance Act of 1981 ( 42 U.S.C. 8624 ) that the Secretary of Health and Human Services determines requires State legislation (other than legislation appropriating funds) in order for the plan to meet the additional requirements imposed by the amendment made by this section, the State plan shall not be regarded as failing to comply with the requirements of such section 2605 solely on the basis of the failure of the plan to meet those additional requirements before the first day of the first calendar quarter that begins after the close of the first regular session of the State legislature that begins after the date of enactment of this Act.
(2)
2-year legislative session
For purposes of paragraph (1), in the case of a State that has a 2-year legislative session, each year of the session shall be considered to be a separate regular session of the State legislature.
6.
Updating and indexing the resource limit for supplemental security income (SSI)
(a)
In general
(1)
Update in resource limit for individuals and couples
Section 1611(a)(3) of the Social Security Act ( 42 U.S.C. 1382(a)(3) ) is amended—
(A)
in subparagraph (A), by striking  $2,250  and all that follows through the end of the subparagraph and inserting  $20,000 in calendar year 2026, and shall be increased as described in section 1617(d) for each subsequent calendar year. ; and
(B)
in subparagraph (B), by striking  $1,500  and all that follows through the end of the subparagraph and inserting  $10,000 in calendar year 2026, and shall be increased as described in section 1617(d) for each subsequent calendar year. .
(2)
Inflation adjustment
Section 1617 of such Act ( 42 U.S.C. 1382f ) is amended—
(A)
in the section heading, by inserting
; inflation adjustment   after
benefits  ; and
(B)
by adding at the end the following:
(d)
In the case of any calendar year after 2026, each of the amounts specified in section 1611(a)(3) shall be increased by multiplying each such amount by the quotient (not less than 1) obtained by dividing—
(1)
the average of the Consumer Price Index for Elderly Consumers (CPI–E, as published by the Bureau of Labor Statistics of the Department of Labor) for the 12-month period ending with September of the preceding calendar year, by
(2)
such average for the 12-month period ending with September 2025.
 .
(b)
Effective date
The amendments made by this section shall take effect as if enacted on January 1, 2026.
7.
Effective date
Except as otherwise provided, the amendments made by this Act shall apply to benefits for calendar months beginning on or after the date that is 30 days after the date of enactment of this Act.