McMorris Rodgers Introduces Final Legislation, Champions ABLE Act Legacy for the Disability Community

Washington, D.C. – Today, Eastern Washington Congresswoman Cathy McMorris Rodgers (WA-05) introduced the bipartisan ABLE Tomorrow Act to protect and strengthen tax-advantaged 529A savings accounts for people with disabilities. This legislation builds on the landmark Stephen Beck, Jr., Achieving a Better Life Experience (ABLE) Act of 2014, which continues to give individuals with disabilities the opportunity to save for disability-related expenses without losing eligibility for certain public benefits programs, like Medicaid and Supplemental Security Income (SSI).

“Nearly ten years ago today, the ABLE Act was signed into law, marking a new chapter filled with opportunity and independence for millions of Americans, like my son Cole, living with a disability. For me, ensuring those who are part of the disability community have every possible chance to live happy, healthy, and productive lives is not just good policy, it’s personal,” said Rodgers. “That’s why I’m proud to have fought alongside incredible ability advocates to expand ABLE accounts even further with the ABLE to Work Act, ABLE Financial Planning Act, and ABLE Age Adjustment Act all being signed into law.”

“Today, we are building on that progress and cementing the ABLE legacy with the introduction of the ABLE Tomorrow Act. This legislation will preserve and strengthen the life-changing 529A savings accounts that have empowered so many in the disability community to achieve a better life,” she continued. “For the past 20 years, this has been my mission, and I can think of no better way to end my time in the People’s House.”

Since the ABLE Act was signed into law, Cathy successfully fought to improve it multiple times, with the following bills also signed into law:

• ABLE to Work Act (H.R. 1896) – This legislation would allow an ABLE beneficiary who earns income for a job to save up to the Federal Poverty Level, which is currently at $11,770, in addition to their annual contribution limit of $14,000. This is targeted to assist only those disabled individuals who cannot contribute to an employer retirement saving plan.
• ABLE Financial Planning Act (H.R. 1897) – This legislation allows for rollovers from a 529 to a 529A account, but still maintains the annual contribution limit of $14,000. This would allow individuals who may have been saving for their child’s college tuition, which is now no longer needed, to rollover up to the maximum contribution each year until the 529 account has been depleted.
• ABLE Age Adjustment Act (H.R. 1219) – This legislation raises the age limit for eligibility to open an ABLE account from age 26 to 46. Increasing the age limit allows access to ABLE accounts for individuals who may face debilitating diseases, accidents or mental illnesses later in life, including multiple sclerosis, Lou Gehrig’s disease, and paralysis or other ailments due to an accident.

CLICK HERE to learn more about the history of the ABLE Act.

With the introduction of the ABLE Tomorrow Act, Rodgers is helping chart the course for the next phase of growing the ABLE program by making the following improvements: 

• Making the ABLE to Work Act and ABLE Financial Planning Act permanent.
• Eliminating the Medicaid clawback in the original ABLE Act.
• Provides ample warning for account holders to safeguard social security benefits should they inadvertently exceed the maximum allowed balance of $100,000.
• Allows for a one-time lump sum into an ABLE account beyond the $18,000 per gift tax contribution limit for certain instances.
• Encourages the Social Security Administration and Department of Veterans Affairs to offer ABLE education programs for families when discussing SSI or SSDI benefits.
• Allows an employer to make contributions to an ABLE eligible worker’s 529A account in lieu of contributions to the employer’s defined contribution plan. 

CLICK HERE to read the bill.

The ABLE Tomorrow Act is supported by the following organizations: 

• The Lighthouse for the Blind 
• National Down Syndrome Society 
• National Association of Insurance and Financial Advisors
• Global Connections to Employment 
• Microsoft
• National Federation for the Blind
• Autism Speaks
• Ancor
• National Down Syndrome Congress
• Muscular Dystrophy Association
• Autistic Self-Advocacy Network
• Northwest Center
• Melwood
• National Disability Rights Network
• Cure SMA 
• National Association of Councils on Developmental Disabilities
• Jewish Federations of North America
• Autism Society of America
• Association of University Centers on Disabilities
• National Disability Institute
• National Association of State Treasurers
• ABLE Savings Plans Network (ASPN)

“I’ve had the privilege and honor to advocate alongside Congresswoman McMorris Rodgers for 17 years on many, many disability issues, but it’s clear our work on the bipartisan ABLE Act will forever remain her lasting legacy in the U.S. Congress. Because of Congresswoman McMorris Rodgers’ leadership on the ABLE Act, millions of people with disabilities, through ABLE accounts, now have an opportunity to save, plan, and achieve financial freedom. The ABLE Tomorrow Act clearly demonstrates the Congresswoman’s dedication to our disability community and charts the future to build upon the initial success of the ABLE Act from 10 years ago. As a community, we look forward to our critical and important ABLE 3.0 advocacy ahead.” – Sara Hart Weir, National ABLE Act Advocate and Executive Director of the Kansas Council on Developmental Disabilities 

“As one of the leading organizations to work with Congress on the passage of the original ABLE Act a decade ago, the National Down Syndrome Society is proud to champion The ABLE Tomorrow Act, a vital step in expanding and strengthening ABLE accounts for all individuals with disabilities. We are immensely grateful for Congresswoman McMorris Rodgers’ leadership and tireless advocacy on behalf of her son, Cole, and the entire disability community. Her legacy will be felt long after her time in Congress, with the lives she’s transformed through the ABLE program.” – Kandi Pickard, President and CEO of the National Down Syndrome Society. 

“On behalf of Autism Speaks, we extend our deepest gratitude to Representative Cathy McMorris Rodgers, not only for introducing this bill, but for her steadfast leadership and commitment to advancing supports and services for people with disabilities, including autism, throughout her career. We were proud to recognize her several years ago with the Autism Speaks Congressional Leadership Award for her longstanding and extraordinary efforts, including her work to create and enhance ABLE accounts, improve employment outcomes for people with disabilities, improve lifespan and respite programs, and advance the Autism CARES Act. Today’s introduction of the ABLE Tomorrow Act is yet another testament to her legacy of progress as this legislation makes significant improvements to existing ABLE policy, enhancing the ability of individuals with disabilities to save for disability-related expenses and empowering them to plan for their financial futures.” – Keith Wargo, Autism Speaks President and CEO

“The ABLE Tomorrow Act makes some critical improvements to the Stephen Beck Jr ABLE Act such as eliminating the Medicaid clawback provision, the fear of which has been a deterrent to the wider adoption of ABLE accounts. We are grateful to Rep McMorris Rodgers for her leadership and tenacity that has significantly improved the lives of people with disabilities by enabling them to save for the future without jeopardizing their much-needed benefits. She has left quite a legacy that will not be forgotten.” – Jim Hudson, National Down Syndrome Congress Executive Director

“ABLE accounts have been an indispensable tool for adults with spinal muscular atrophy (SMA) and families of children with SMA, allowing them to save for future needs without jeopardizing their current access to critical care and services. Cure SMA proudly supports the ABLE Tomorrow Act, which includes common-sense provisions that will strengthen the program and make it easier for individuals and families with SMA to save for tomorrow. Thank you to Rep. McMorris Rodgers for her leadership and for all the sponsors for their support of the people with SMA and other individuals with disabilities.” – Maynard Friesz, Cure SMA Vice President for Policy and Advocacy

“Chair Cathy McMorris Rodgers has been a tremendous champion for Americans with disabilities, and we commend her efforts to strengthen ABLE plans through this new legislation. With over 180,000 ABLE account holders already benefiting, this bill will expand outreach and education for even more individuals. The National Association of State Treasurers and its ABLE Savings Plans Network are eager to work with the Congresswoman to continue to improve the financial future of Americans with disabilities.” – Shaun Snyder, NAST CEO

“NAIFA believes the ABLE Tomorrow Act is critical to ensure individuals with disabilities and their families have the certainty and security to continue investing in their futures.” – Tom Cothron, NAIFA President

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