N.Y. Tax Law § 1613-B

Current through 2024 NY Law Chapter 456
Section 1613-B - Crediting of lottery prizes against public assistance benefits
(1) Notwithstanding any limitations in section one hundred four of the social services law, the director of the lottery, on behalf of the division of the lottery, shall enter into a written agreement with the commissioner of the office of temporary and disability assistance, on behalf of the office of temporary and disability assistance, which shall set forth the procedures for crediting any lottery prize of six hundred dollars or more awarded to an individual against any and all public assistance benefits which were given to or on behalf of such individual within a period of up to ten years prior to the issuance of such prize of which the director of the lottery has been notified by the commissioner of the office of temporary and disability assistance pursuant to the provisions of such agreement; provided, however, that in no event shall such credit to the office of temporary and disability assistance exceed fifty percent of any such lottery prize and provided further that, unless otherwise determined cost effective by the commissioner of the office of temporary and disability assistance and the director of the lottery such procedure shall be required only to the extent that and with respect to periods for which it can be effected through automated type match.
(2) Such agreement shall include:
(a) the procedure under which the office of temporary and disability assistance and the division of the lottery shall exchange information concerning lottery winnings and persons liable for receipt of public assistance within the previous ten years;
(b) subject to the approval of the director of the budget the procedure for reimbursement of the division of the lottery by the office of temporary and disability assistance for the additional cost of carrying out the procedures authorized by this section;
(c) provision for crediting lottery prizes to past-due support in accordance with subdivisions ten and eleven of section one hundred eleven-b of the social services law prior to effecting any such credit against public assistance; and
(d) such other matters as the parties to such agreement shall deem necessary to carry out the provisions of this section.
(3) Prior to awarding any lottery prize of six hundred dollars or more, the division of the lottery shall review the notice of liability of public assistance benefits paid provided by the office of temporary and disability assistance. For each lottery prize winner identified on such notice as an individual, who is receiving or has received, within the last ten years, public assistance benefits, the lottery division shall credit to the office of temporary and disability assistance such amount of the prize to satisfy the amount of public assistance benefits indicated as received within the previous ten years, and any remainder shall be awarded to the prize winner; provided, however, that in no event shall such credit to the office of temporary and disability assistance exceed fifty percent of any such lottery prize.
(4) The division of the lottery shall certify to the comptroller the total amount of the lottery prize winning to be credited against public assistance benefits owed to the state and the remainder of such prize winning to be awarded to the prize winner.
(5) The division of the lottery shall notify the prize winner in writing of the total amount of the lottery prize winning to be credited against public assistance benefits and the remainder of such prize winning to be awarded to the prize winner. Such notice shall further advise the prize winner that the office of temporary and disability assistance shall provide separate notice, in writing, to the prize winner of the procedure for and time frame by which the prize winner may contest such crediting.
(6) The office of temporary and disability assistance shall notify the prize winner in writing, of the amount of such prize winning to be credited against public assistance benefits and the procedure and time frame by which the prize winner may contest such crediting. Such procedure shall include the address and telephone number of the office of temporary and disability assistance and who the prize winner may contact with respect to correction of any error in such crediting concerning such individual's liability for public assistance benefits or with respect to payment of such liability.
(7) From the time the division of the lottery is notified by the office of temporary and disability assistance of an individual's liability for public assistance benefits under the agreement provided for in this section, the division of the lottery shall be relieved from all liability to such individual, their assigns, successors, heirs or representatives for the amount of any lottery prize winning of six hundred dollars or more certified to the comptroller to be credited against public assistance benefits and such individual shall have no right to commence a court action or proceeding or to any other legal recourse against the division of the lottery to recover such lottery winnings certified to the comptroller to be credited against public assistance benefits. Provided, however, nothing herein shall be construed to prohibit such individual from proceeding against the office of temporary and disability assistance to recover that part of such lottery winnings thereon so certified to the comptroller to be credited against public assistance benefits which is greater than the amount of public assistance benefits paid to such individual within ten years of the date of such certification.
(8) The division of the lottery shall promulgate such rules and regulations as it deems necessary to carry out the provisions of this section.

N.Y. Tax Law § 1613-B