BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AJR 10
                                                                  Page  1

          Date of Hearing:   April 20, 2005

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                   Judy Chu, Chair

                    AJR 10 (Chu) - As Introduced:  March 15, 2005 

          Policy Committee:                             Human  
          ServicesVote:7-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This bill urges federal approval of the California Title IV-E  
          Waiver submitted to the United States Department of Health and  
          Human Services (HHS) in May of 2004. Specifically, this bill:

          1)Urges the California Department of Social Services (DSS) to  
            work with counties to submit final revisions of the Title IV-E  
            waiver application. 

          2)Urges HHS to expeditiously approve the waiver, thereby  
            allowing California to make necessary programmatic and funding  
            changes.

          3)Urges the state and counties to adopt laws and policies that  
            allow for the use of more flexible funding to allow children  
            to remain at home and families intact.  

           FISCAL EFFECT  

          Minor absorbable workload to DSS to continue working with the  
          federal government and county welfare departments to receive  
          approval for the Title IV-E waiver. 

           COMMENTS  

           1)Rationale  . This bill, sponsored by the Children's Law Center  
            of Los Angeles, urges federal, state, and local government to  
            expedite waiver approval.  Approval will authorize California  
            to move away from uncapped IV-E funding that is only available  
            when a child is removed from his or her home. Financing that  
            is only available when children enter foster care discourages  








                                                                  AJR 10
                                                                  Page  2

            prevention and diversion programs to maintain family units.  
            With waiver approval, funding may be used instead on the front  
            end to preserve families and obviate the need for foster care  
            through innovative, timely, and appropriate services for  
            children at risk of foster care placement. 

           2)Foster Care Funding . Foster care is an open-ended entitlement  
            program funded by federal, state, and local governments.  
            Children are eligible for foster care grants if they are  
            living with a foster care provider under a court order or a  
            voluntary agreement between the child's parent and a county  
            welfare department. In 2005-06 expenditures for foster care  
            are projected to be more than $1.7 billion ($413 million GF)  
            for the care of more than 75,000 children.

           Analysis Prepared by  :    Mary Ader / APPR. / (916) 319-2081