Section 2. The committee for public counsel services shall establish a definition of ''indigency'' for the purposes of this chapter and uniform standards and procedures for the determination by the courts of the commonwealth that: (1) a person is indigent and is unable to obtain counsel or (2) a person is indigent, but has the ability to pay a reduced fee for the appointment of counsel. The definition and standards, and any amendments thereto, shall be subject to the approval of the supreme judicial court and shall be used by the courts of the commonwealth in determining assignment of cases to the committee pursuant to section 5. In the formulation of the definition, standards and procedures, the committee shall utilize: (1) the reporting system operated by the commissioner of transitional assistance for the purpose of verifying financial eligibility of participants in state or federally funded programs; (2) the accessibility of income data available from the department of revenue; and (3) verifying material assets through the registry of motor vehicles.