BILL ANALYSIS Ó SENATE COMMITTEE ON HUMAN SERVICES Senator McGuire, Chair 2015 - 2016 Regular Bill No: AB 423 ----------------------------------------------------------------- |Author: |Cooley | ----------------------------------------------------------------- |----------+-----------------------+-----------+-----------------| |Version: |May 28, 2015 |Hearing |July 14, 2015 | | | |Date: | | |----------+-----------------------+-----------+-----------------| |Urgency: |No |Fiscal: |Yes | ---------------------------------------------------------------- ----------------------------------------------------------------- |Consultant|Sara Rogers | |: | | ----------------------------------------------------------------- Subject: CalWORKs: relative caregivers SUMMARY This bill requires a county, immediately following the placement of a child in the home of a relative, to initiate an application for CalWORKs in order to ensure that the child receives funding while eligibility determinations for other foster care benefits are pending. It also provides that, if the child is found to be ineligible for federal foster care payments, the county shall determine eligibility for the Approved Relative Caregiver Funding Option Program if the county has opted into the program. The bill also requires the county to screen every youth who is in foster care and who has been determined to be ineligible for AFDC-FC benefits for Supplemental Security Income (SSI) program eligibility, as specified. ABSTRACT Existing law: 1) Establishes a juvenile court's jurisdiction over a child who has suffered, or is at substantial risk of suffering, serious physical harm inflicted non-accidentally upon the child by the child's parent or guardian. (WIC 300) 2) Establishes multiple programs of support for dependent or AB 423 (Cooley) Page 2 of ? former dependent children and the families that care for them. Each of the federally reimbursed programs has a corollary state-only funded program for children who are not eligible under Aid to Families with Dependent Children (AFDC) income eligibility criteria from 1996. These include: Aid to Families with Dependent Children-Foster Care (AFDC-FC), (WIC 11401) Kinship Guardianship Assistance Payment Program (Kin-GAP), (WIC 11360; WIC 11385) Adoption Assistance Program, (WIC 16115) Non Relative Legal Guardianship (WIC 11405) CalWORKs (for children who are ineligible for federal IV-E funding in foster care and residing with relatives). (WIC 11250) 1) Establishes the Approved Relative Caregiver Funding Option program to provide counties with the option of making the amount paid to approved relative caregivers caring for non-federally eligible children equal to the amount paid on behalf of children who are federally eligible. (WIC 11461.3) 2)Provides that the following funding shall be used for the Approved Relative Caregiver Funding Option Program: a. The applicable regional per-child CalWORKs grant. b. Appropriated general fund resources. c. County funds. only to the extent required.(WIC 11461.3) 3) Requires that a child who cannot be left in the home of a parent or guardian be placed by a county social worker in a foster home, with priority going to a relative of the child or nonrelative extended family member. (WIC 309) 4)Requires that immediately following the placement of a child who has been temporarily detained into the home of a relative or a nonrelative extended family member, the county welfare department must evaluate and approve or deny the home for AB 423 (Cooley) Page 3 of ? purposes of AFDC-FC benefit eligibility. (WIC 309 (d)(2)) This bill: 1)States legislative findings that relative placements are the most utilized type of foster placement in California and that by establishing the Approved Relative Caregiver Funding Option Program, the Legislature intends to ensure that children placed with relatives are able to access state funding in an equal amount and in a similar manner to children in other types of foster placements. 2)Requires a county, immediately following the placement of a child in the home of a relative, to initiate an application for CalWORKs in order to ensure that the child receives funding while eligibility determinations are pending for other benefits. Provides that if the relative caregiver is also needy, the relative caregiver shall be responsible for applying for CalWORKs benefits to cover his or her own needs. 3)Requires a county welfare department to concurrently initiate an application for CalWORKs, initiate the application for AFDC-FC, and evaluate the home for AFDC-FC eligibility. 4)If the child is found to be ineligible for AFDC-FC, requires the county to initiate and complete the application for, and determine eligibility for, the Approved Relative Caregiver Funding Option Program, if the child is placed with a relative and the county has opted into the program. 5)Requires that if a county determines that the child is not eligible for AFDC-FC benefits, the county welfare department shall explain the specific basis for this determination and screen the child for eligibility for the federal Supplemental Security Income program, as specified. 6)Provides that a minor or nonminor foster youth who has been placed in the home of a relative caregiver and who is a teen AB 423 (Cooley) Page 4 of ? parent with a child living in the same home or placement, shall receive an infant supplement, as specified. 7)Requires that receipt of Approved Relative Caregiver program payments shall begin immediately upon determination that a child is not eligible for AFDC-FC, as specified, and that the initiation of such payment shall not be dependent upon completion of any application. Further states that, to the extent that an application or related information is required, the county shall complete the application or supply necessary information on behalf of the relative caregiver. 8)Permits an approved relative caregiver to receive payments on behalf of a child, regardless of whether the child is placed outside the county of jurisdiction. Further requires the county of jurisdiction to be responsible for providing the Approved Relative Caregiver payment. 9)Requires an infant supplement for a child to be included in the provider rate when that child is living with a parent who receives Approved Relative Caregiver benefits. 10)States that an Approved Relative Caregiver or CalWORKs relative may be designated as a whole family foster home. 11)States that, if aid is paid on behalf of a child whose parent or guardian is receiving reunification services, the county welfare department shall determine whether referral of the case to the local child support agency is in the best interest of the child, as specified. 12)Requires the county to screen every youth who is in foster care and who has been determined to be ineligible for AFDC-FC benefits for Supplemental Security Income (SSI) program eligibility, as specified. Further requires the county to submit an SSI application to the federal Social Security Administration on behalf of a youth who is determined through screening to be likely eligible for benefits. AB 423 (Cooley) Page 5 of ? 13)Stipulates that no continuous appropriation, as specified, shall be made from the General Fund to counties in order to implement this act. 14)Currently does not incorporate chaptering language from SB 79 (Senate Committee on Budget, Chapter 20, Statutes of 2015) FISCAL IMPACT An Assembly Appropriations analysis states that this bill incurs the following potentially significant ongoing costs: State GF costs (due to Proposition 30) for counties to immediately initiate applications and determine eligibility for AFDC-FC, CalWORKs, or ARC program benefits for foster children placed with relative caregivers. Increase in AFDC-FC, CalWORKs, and ARC payments due to mandating eligibility for aid from the date of placement. Every one additional month of aid for 8,500 relative placements could cost in the range of $2.9 million to $7.3 million (GF) depending on whether the county has opted into the ARC program. State costs for county welfare departments to provide an explanation of the eligibility requirements and benefit amounts of programs to relative caregivers. Assuming 30 minutes of social worker time for 8,500 relative placements, it would cost about $325,000 (GF). State costs of about $235,000 (GF) for county welfare departments to screen for SSI eligibility, assuming 30 minutes of social worker time. As existing law requires counties to screen for SSI for foster youth between the age of 16 and 17 years, no additional costs are assumed for this age group. AB 423 (Cooley) Page 6 of ? State costs of about $250,000 (GF) to provide the infant supplement of $411 per month to an estimated 50 cases statewide. BACKGROUND AND DISCUSSION Purpose of the bill: According to the author, "Foster children are some of the most vulnerable in our state. It is vitally important that we do everything we can to help them succeed. The ARC program is an important step forward in making sure that relative caregivers are given the same funding as nonrelatives, but not all counties have opted into the program. In counties that don't opt in, those children who do not qualify for federal foster care benefits are still eligible to receive CalWORKs, but often their relative caregivers do not understand how to navigate the system in order to ensure the benefits these children are entitled to. [This bill] clarifies procedures and application requirements for counties that opt into the ARC program, as well requiring counties that do not opt into the program to screen foster children in relative placements to see if they qualify for CalWORKs funding." Assistance for foster children State statute establishes multiple programs to support children in foster care, including AFDC-FC, Kin-GAP, adoption assistance and payments to non-relative legal guardians. However, income eligibility requirements for the AFDC-FC program are frozen at the 1996 AFDC standards - meaning that in order for a child to be eligible for federal AFDC-FC funding, he or she must have been removed from a family that has a monthly income of below $734, regardless of the income of the family member who is now caring for the foster child. As a result, the proportion of federally eligible foster youth is declining over time, shifting the cost of the program to state-only funding, and increasing the numbers of relative caregivers who are ineligible for federal funding. AB 423 (Cooley) Page 7 of ? For a federally-eligible foster youth placed with a relative, the federally-funded payment averages approximately $923 per month. Current statute allows a child who does not meet federal AFDC-FC eligibility criteria and is cared for by a nonrelative to receive a state-only foster care payment equal to the federal AFDC-FC payment. This practice is consistent across the various types of foster care placements, except for when a child is placed with a relative. A basic foster care rate for a 12-year-old is $800. In California, families caring for relatives who are ineligible for AFDC-FC federal payments are paid through the CalWORKs program, with the child receiving a single benefit allocation of approximately $369 per month in a high-cost county). In response to this payment inequity and the impact it has on the ability of relatives to care for children in the foster care system, SB 855 (Committee on Budget and Fiscal Review, Chapter 29, Statutes of 2014) created the Approved Relative Caregiver Funding Option Program, allowing counties to pay approved relative caregivers the same amount paid on behalf of children who are eligible for foster care payments. This year's Human Services trailer bill included additional clean up language that sought to increase federal participation and streamline eligibility processes for families, including the following provisions: If the approved relative caregiver is needy, his or her assistance unit size will include the number of Approved Relative Caregiver children, or non-minor dependents, for purposes of determining program income and eligibility of the CalWORKs assistance unit only, however for purposes of calculating the grant amount foster children are excluded. Overpayments will be collected pursuant to existing foster care program requirements. The county with court jurisdiction of the child has payment responsibly for Approved Relative Caregiver children. An approved relative caregiver is exempt from Statewide Fingerprint Imaging Systems, reporting, immunization, and other CalWORKs requirements. Creation of an annual increase for the caregiver, as AB 423 (Cooley) Page 8 of ? specified, to ensure that the caregiver payments get a full California Necessities Index (CNI) adjustment. Relative caregivers A county's first priority for placement is in the home of a relative, unless the placement would not be in the best interests of the child. Caseworkers are required to make diligent efforts to locate relatives, but if a relative is not immediately found a child may be placed in a licensed or certified foster home. Although "relative" for purposes of preferential consideration is limited to grandparents, siblings, aunts or uncles, the statutory definition of "relative" is broad, based on a 5th degree of separation standard. This means that placement within this broader network of relatives may cause the child to receive far less aid and other services than if they were placed in a stranger's home. Nearly one-third of the nearly 63,000 non-probation foster youth are placed with relatives, most of them with non-guardian relatives. Another 123 probation foster youth, of the nearly 4,000, are placed with relatives. Children who have medical or mental health needs, parenting youth, or youth on probation are the least likely to find permanent homes and instead are more likely to remain in "long term foster care" in residential placements (such as a group home). Outcomes data collected by CDSS shows that nearly 10 percent of non-probation foster youth and 15 percent of probation youth age out of the systems without a "permanent connection." For these youth, recruiting and supporting relative caregivers is a key to a successful transition to adulthood. However, without sufficient financial support and services these distant relatives are often unable to care for the youth. The Approved Relative Caregiver Funding Option program, which all but 15 counties have opted in to, equalizes the financial aid payments for these families, though many other services and supports remain unavailable to them. Under both state and federal law, relative and non-relative caregivers are required to be approved by the caseworker using specific standards, including a Department of Justice background check. This process can be lengthy. Beginning in 2017, the resource family approval process for foster families will AB 423 (Cooley) Page 9 of ? simplify this process, although there may still be delays for a few caregivers. Prior Legislation: AB 1882 (Cooley, 2014) was similar to this bill. It was held on Senate Appropriations Committee's Suspense File. SB 855 (Committee on Budget and Fiscal Review, Chapter 29, Statutes of 2014) among other things, established the ARC Funding Option program. COMMENTS Following extensive negotiations with the County Welfare Directors Association of California and CDSS, the author proposes several amendments to this bill. Currently this bill requires counties who have opted into the Approved Relative Caregiver (ARC) program to provide ARC payments immediately upon a determination that a child is not federally eligible for foster care payments, even if the family has not yet been formally approved as a relative caregiver. The relative caregiver process involves a more thorough background clearance than is required for initial relative placement. Due to backlogs at the court level in entering arrest disposition and other information, some criminal record clearances can take months or longer. Instead of initiating ARC payments prior to approval, the author proposes to amend the bill to instead ensure that families are quickly enrolled in CalWORKs pending the formal caregiver approval. The author also intends to limit to 120 days, the length of time that an approved Relative Caregiver must wait to receive payments while a criminal record clearance is pending. AB 423 (Cooley) Page 10 of ? For the 15 counties that have not opted into the Approved Relative Caregiver program, the process to apply for CalWORKs is simplified and made automatic. The current process for relative caregivers to receive CalWORKs requires a full application process, including documenting employment and income information that is not relevant to being paid as a foster caregiver. As proposed to be amended, this bill would require non-ARC counties to utilize a streamlined CalWORKs application. The specific amendments proposed by the author are as follows: Amendment 1: Page 5, line 10: (d) (2) (A) Immediately following the placement of a child in the home of a relative, the county shall initiate an application for CalWORKs pursuant to Article 2 (commencing with Section 11250) on behalf of the child in order to ensure that the child receives funding while eligibility determinations for other benefits are pending. The county shall utilize the shortened CalWORKs application and simplified CalWORKs eligibility standards that pertain to determining a foster child's CalWORKs eligibility for the Approved Relative Caregiver Funding Option Program pursuant to Sections 11253.5 and 11461.3. The application date for CalWORKs and the beginning date of aid shall be the date the child was placed with the relative. If the relative caregiver is also needy, the relative caregiver shall be responsible for applying for CalWORKs benefits to cover his or her own needs. Amendment 2: Page 5, line 22: Insert the following at the end of the paragraph: (B) Concurrently with initiating the application for CalWORKs pursuant to this paragraph, the county welfare department shall also evaluate and approve or deny the home for purposes of AFDC-FC eligibility pursuant to Section 11402. The placing agency shall initiate the application for AFDC-FC and determine eligibility. If the child is found to be ineligible for AFDC-FC, the county shall initiate and complete the application for, and determine eligibility for, the Approved Relative Caregiver AB 423 (Cooley) Page 11 of ? Funding Option Program if the child is placed with a relative and the county has opted into the program pursuant to Section 11461.3. If an application was submitted for purposes of determining CalWORKs eligibility pursuant to subparagraph (A) that contains all necessary information to determine eligibility for the Approved Relative Caregiver Funding Option Program, a new application need not be initiated for purposes of complying with this subparagraph. The beginning date of aid for the Approved Relative Caregiver funding shall be either the date of placement or the date of approval of the home pursuant to Section 309(d)(2), whichever is later, and shall be no later than 30 days after the date of placement, unless the county documents the need for additional time to complete the home approval process because of a need to obtain additional records or documentation to determine whether a criminal conviction can be waived, or similar circumstances. If additional time is necessary, the beginning date of aid for the Approved Relative Caregiver Funding Option Program shall be the date of approval but funding must commence no later than 120 days after the date of placement . If the child is transferring from CalWORKs to ARC but remains in the home of the same related caregiver, the effective date of program transfer is the first month following the request for change of program. Amendment 3: Page 5, line 29 - 30: (C) If the county determines that the child is not eligible for AFDC-FC benefits, the county welfare department shall explain the specific basis for this determination and shall screen the child for eligibility for the federal Supplemental Security Income program in accordance with Section 13758 .The application date for CalWORKs for the child shall be the date the child was placed with the relative. Amendment 4: Page 9, line 1: After "pending" add the following: The county shall utilize the shortened CalWORKs application and simplified CalWORKs eligibility standards that pertain to determining a foster child's CalWORKs eligibility for the Approved Relative Caregiver Funding Option Program pursuant to Sections 11253.5 and 11461.3. The application date for CalWORKs AB 423 (Cooley) Page 12 of ? and the beginning date of aid shall be the date the child was placed with the relative. If the relative caregiver is also needy, the relative caregiver shall be responsible for applying for CalWORKs benefits to cover his or her own needs. Amendment 5: Page 9, line 13: Insert the following at the end of the paragraph: If an application was submitted for purposes of determining CalWORKs eligibility pursuant to subparagraph (A) that contains all necessary information to determine eligibility for the Approved Relative Caregiver Funding Option Program, a new application need not be initiated for purposes of complying with this subparagraph. The beginning date of aid for the Approved Relative Caregiver funding shall be either the date of placement or the date of approval of the home pursuant to Section 309(d)(2), whichever is later, and shall be no later than 30 days after the date of placement, unless the county documents the need for additional time to complete the home approval process because of a need to obtain additional records or documentation to determine whether a criminal conviction can be waived, or similar circumstances. If additional time is necessary, the beginning date of aid for the Approved Relative Caregiver Funding Option Program shall be the date of approval but funding must commence no later than 120 days after the date of placement. Amendment 6: Page 9, line 20 - 21: Strike the line beginning with "CalWORKs" and ending with "relative" as follows: (C) If the county determines that the child is not eligible for AFDC-FC benefits, the county welfare department shall explain the specific basis for this determination and shall screen the child for eligibility for the federal Supplemental Security Income program in accordance with Section 13758.The application date for CalWORKs for the child shall be the date the child was placed with the relative. Amendment 7: Page 22, lines 30 - 38: Amend subsection (e) (4) AB 423 (Cooley) Page 13 of ? as follows: (e) (4) Receipt of funding through the Approved Relative Caregiver Funding Option Program shall begin immediately upon a finding that the child is not eligible for AFDC-FC pursuant to subdivision (a) of Section 11404 and approval of the home consistent with the timelines included in subdivision (B) of section 309.and initiation of payment shall not be dependent upon completion of any application. To the extent that an application or other information is required to determine county share of costs or for the utilization of CalWORKs funding, the county shall complete that application, or provide that information, on behalf of the relative caregiver to the extent possible prior to requesting information from the relative caregiver. If an application was submitted for purposes of determining CalWORKs eligibility pursuant to section 309(d) (2)(A) or 361.45(b)(1) that contains all necessary information to determine eligibility for the Approved Relative Caregiver Funding Option Program, a new application need not be initiated. Amendment 8: Page 27, line 31: Add a new sentence at the end of the paragraph to read: (a)? developed pursuant to Section 13752. The screening shall occur no later than 120 days after the child is placed or upon concluding that the child is not eligible for AFDC-FC benefits, whichever is later. PRIOR VOTES ----------------------------------------------------------------- |Assembly Floor: |78 - | | |0 | |-----------------------------------------------------------+-----| |Assembly Appropriations Committee: |17 - | | |0 | |-----------------------------------------------------------+-----| |Assembly Human Services Committee: |7 - | | |0 | | | | ----------------------------------------------------------------- POSITIONS AB 423 (Cooley) Page 14 of ? Support: Alliance for Children's Rights California Alliance of Child and Family Services California Communities United California Department of Social Services California Youth Connection Children's Advocacy Institute Children's Law Center Children Now Dependency Legal Group of San Diego Hillsides Lilliput Children's Services OC Kinship & Support Org. Public Counsel's Children's Rights Project Oppose: None received. -- END --