1. (a) Before September 1, 2025, the office must reapply to the United States Department of Health and Human Services for a state plan amendment that:

   1. (1) provides for establishment of the long term care partnership program as described in IC 12-15-39.8 ;
   2. (2) provides that the long term care program established under IC 12-15-39.6 shall be discontinued on the date on which the long term care partnership program described in IC 12-15-39.8 is fully implemented; and

   3. (3) ensures, with the explicit concurrence of the United States Department of Health and Human Services, that an individual who purchased a qualified long term care policy (as defined in IC 12-15-39.6-5 ) before the discontinuance of the long term care program established under IC 12-15-39.6 shall be eligible for an asset disregard under IC 12-15-39.6-10 :

      1. (A) notwithstanding the discontinuance of the long term care program, as provided in IC 12-15-39.6-12 ; and

      2. (B) even though a qualified long term care policy (as defined in IC 12-15-39.6-5 ):

         1. (i) was issued before the date of the state plan amendment requested under this subsection;
         2. (ii) is not tax qualified; and
         3. (iii) does not meet the standards of Section 6021 of the federal Deficit Reduction Act (P.L.109–171).

2. (b) If the office receives approval for the state plan amendment described in subsection (a):

   1. (1) the office shall implement the state plan amendment not later than sixty (60) days after the state plan amendment is approved; and

   2. (2) the office shall publish in the Indiana Register under IC 4-22-7-7 a statement:

      1. (A) announcing that the state plan amendment described in subsection (a) has been approved by the United States Department of Health and Human Services; and

      2. (B) setting forth the date on which:

         1. (i) the office will fully implement the state plan amendment under subdivision (1); and
         2. (ii) the long term care program established under IC 12-15-39.6 will be discontinued.

3. (c) If the office does not receive approval for a state plan amendment described in subsection (a):

   1. (1) the office shall take no action under subsection (b); and

   2. (2) the office and the department of insurance:

      1. (A) shall study:

         1. (i) the long term care program established under IC 12-15-39.6 , including the affordability and cost effectiveness of the program for individuals who purchase qualified long term care policies (as defined in IC 12-15-39.6-5 ); and
         2. (ii) the affordability and cost effectiveness of long term care partnership programs established under Section 6021 of the federal Deficit Reduction Act of 2005;
      2. (B) may solicit the comments and recommendations of individuals with experience and expertise in the fields of Medicaid, insurance, personal finance, and government concerning the subjects set forth in clause (A);
      3. (C) shall make findings and recommendations concerning ways in which the affordability and cost effectiveness of the long term care program established under IC 12-15-39.6 can be improved; and

      4. (D) shall, not later than December 1, 2026:

         1. (i) issue a report setting forth the findings and recommendations made under clause (C); and
         2. (ii) submit the report to the executive director of the legislative services agency in an electronic format under IC 5-14-6 for distribution to the members of the general assembly.

As added by P.L.196-2021, SEC.2. Amended by P.L.9-2022, SEC.18; P.L.107-2025, SEC.1.