SI NY02003.001 NJ - Interim Assistance Reimbursement (IAR) Background (RTS 371 - 06/2003)
In August 1974, Congress enacted P.L. 93-368, which provided temporary reimbursement
through June 30, 1976 to the states/counties for financial assistance provided to
individuals pending determinations of their SSI eligibility. Public Law 94-365 enacted
in July 1976 made the interim assistance procedure permanent. Effective January 3,
1989 Section 9110 of Public Law 100-203 (Omnibus Budget Reconciliation Act of 1987)
amends section 1631 of the Social Security Act to extend interim assistance reimbursement
(IAR) to states who have signed Agreements with SSA and who have provided assistance
to recipients whose supplemental security income benefits have been suspended or terminated
and who are subsequently found eligible for benefits. In August 1996, the Personal
Responsibility and Work Opportunity Reconciliation Act of 1996 was passed. Section
221, of the Act, states that for SSI benefits paid on December 1, 1996, there are
certain restrictions on larger past-due benefits. These provisions effect IAR payments
(See SI NY02003.080).