BILL ANALYSIS AB 1905 Page 1 Date of Hearing: April 14, 2010 ASSEMBLY COMMITTEE ON APPROPRIATIONS Felipe Fuentes, Chair AB 1905 (Cook) - As Amended: March 17, 2010 Policy Committee: Human ServicesVote:6 - 0 Urgency: No State Mandated Local Program: Yes Reimbursable: Yes SUMMARY This bill clarifies that the approval of an approved relative foster care provider should remain intact during the reapproval process and that the reapproval process should not result in the delay or termination of foster care grants for relative homes. FISCAL EFFECT There are no significant costs associated with this legislation. Eliminating the need for county social workers to temporarily shift relative caregivers from the federal foster care program to a state-only program could result in some administrative savings for the counties. COMMENTS 1)Background . Federal law does not require licensure of relative caregiver homes receiving federal Title IV-E foster care payments. It does, however, require states to apply the same licensing standards to both relative and non-relative homes. While California explicitly exempts relative caregiver homes from licensure, in response to the federal Adoptions and Safe Families Act of 1997, the state conformed to federal law when it implemented an approval process for relative homes, administered by counties. However, the state has effectively established a higher standard for relative caregivers than for non-relative homes because DSS required counties to perform an initial assessment of relative caregiver homes, followed by an annual reassessment for all relative caregivers. Only a portion of AB 1905 Page 2 non-relative caregivers are required to be reassessed on an annual basis. DSS has also required, through this higher standard, that foster care payments to relative caregivers be terminated if the annual reassessment is not completed within one year of the initial approval. 2)Rationale . As a result of the higher standards for relative homes, according to the author, the state and counties are needlessly losing federal funding for relative placements. The sponsor of this bill, the County of San Bernardino, states: "Due to high workloads at the local level and the fact that the state underfunds the county workload for annual reassessments, counties struggle to complete these reviews on time. We currently have approximately 1,500 children placed with relatives. Due to the reduction in our Child Welfare Service allocation, processing the annual reassessment in a timely fashion has become an extremely daunting task?As a result of late reassessment, under state regulations, the federal funding for these placements stop, resulting often in an "overpayment" to that home for the month the home was not deemed in compliance. For any overpayment to a relative caregiver, the state must re-pay the federal government its share and cannot recoup these costs from either foster parents or counties based on current law." This bill would allow approved relative caregivers to remain eligible for federal foster care payments pending an annual reassessment as the state standard for relative home approval currently exceeds federal and state licensing requirements. Analysis Prepared by : Julie Salley-Gray / APPR. / (916) 319-2081