BILL ANALYSIS Senate Appropriations Committee Fiscal Summary Senator Christine Kehoe, Chair 654 (Leno) Hearing Date: 04/27/2009 Amended: As introduced Consultant: Jacqueline Wong-HernandezPolicy Vote: Human Services 4-1 _________________________________________________________________ ____ BILL SUMMARY: SB 654 extends eligibility for independent living skills education services to former foster youth placed with non-related legal guardians. _________________________________________________________________ ____ Fiscal Impact (in thousands) Major Provisions 2009-10 2010-11 2011-12 Fund GF cost pressure from $300 $300 $300 General increased eligibility _________________________________________________________________ ____ STAFF COMMENTS: This bill meets the criteria for referral to the Suspense File. The Independent Living Program (ILP) is a county-administered resource for youth in foster care, intended to give them skills for living independently upon aging out of the foster care system. While services vary by county, ILP programs typically teach youth skills ranging from writing checks to applying for jobs and college. They also provide youth with information about education, training, housing, and other services that are available in their community. Eligibility is extended to youth who were or are in foster care at any time from their 16th to their 19th birthday, or youth who were or are between the ages of 16 and 18 years of age and participating in the Kinship Guardianship Assistance Payment Program (Kin-GAP). Youth are eligible for ILP services up to the day before their 21st birthday. Until about 3 years ago, eligibility was also extended to youth who met the age requirements and were placed with a non-relative legal guardian. Since then, DSS has made them ineligibile, and this bill would seek to reinstate their eligibility. Because the ILP's funding is grant-based, rather than per-child based, it is a relatively stable amount (about $35 million for 2008-09 in state and federal funds) that will not increase because of increased eligibility for services. The likely result is diminished service for all eligible youth. If the funding were to increase proportionally to account for the new eligible youth, DSS has estimated it would likely cost approximately $1.2 million. Because this estimate fails to take into account both the rate of participation for eligible youth (about 50%) and the counties' sunk costs incurred for programs and staff by offering services at all (many of these services are classes and training offered through programs at schools and community centers), the CWDA estimate of $300,000 is far more reasonable. Page 2 SB 654 (Leno) Some counties and children's attorneys suggest that some non-related foster parents are reluctant to assume guardianship of their older foster children because that would make them ineligible for ILP services, and that others have asked to have guardianship rescinded in order to maintain the youths' ILP eligibility. Therefore, to the extent that this bill causes some foster parents to assume legal guardianship, it would save approximately $3500 per year, per child, in child welfare services and court room costs. If even 86 children statewide are remaining in foster care, with its accompanying court and social worker costs, simply to receive ILP services, their exit from foster care would save the state the $300,000 cost of the increased eligibility.