BILL ANALYSIS                                                                                                                                                                                                    






                                  SENATE HUMAN
                               SERVICES COMMITTEE
                       Senator S. Joseph Simitian, Chair


          BILL NO:       AJR 10                                       
          A
          AUTHOR:        Chu                                          
          J
          VERSION:       May 5, 2005                                  
          R
          HEARING DATE:  June 14, 2005                               
          FISCAL:        Senate Appropriations
                                                                      
          1
                                                                      
          0
                                                                     
          CONSULTANT:                                                
          Sue North
                                        

                                     SUBJECT
                                         
                     Foster Care Services: Title IVE waiver

                                     SUMMARY
                                         
          The primary source of federal funding in California's  
          foster care system is Title IVE of the Social Security Act.  
           This resolution (AJR10) urges the federal government to  
          approve California's application for a Title IVE Waiver and  
          urges the Department of Social Services to work with the  
          federal government to expedite approval but also to work  
          with the counties on improvements in outcomes for at-risk  
          abused and neglected children.

                                     ABSTRACT  

          Under current law the Department of Social Services is the  
          responsible state agency  administering Title IVE funds  
          from the federal government.  These funds provide  
          approximately one-third of the revenues required to finance  
          the children in the state's foster care system.  The  
          formula used by the federal government to allocate Title  
          IVE funds measures the numbers of children in out-of-home  
                                                         Continued---



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          placement and the duration of placement.  Federal  
          regulations in addition require that all children who  
          receive the services provided pursuant to title IVE must be  
          in out-of-home placement.

          This resolution urges the federal government to change some  
          of the anachronistic elements of Title IVE law and  
          regulations and asks that California be granted a waiver to  
          demonstrate a more effective and efficient use of federal  
          funds through a broader interpretation of services in order  
          to intervene sooner while children are at home and prevent  
          costly out-of-home care.






                                  FISCAL IMPACT 

          Minor absorbable costs

                            BACKGROUND AND DISCUSSION  

          The current restrictions in the use of Title IVE monies  
          create real limitations on the effectiveness of the state's  
          foster care system since the most innovative and  
          cost-effective service programs currently in practice  
          target "wraparound services" designed to intervene and  
          assist parents and children at-risk of dependence or abuse  
          and neglect to gain the skills and supportive services  
          necessary to keep the children in their homes, staying in  
          school and staying out of the juvenile justice system.  At  
          least eight counties (Alameda, Humboldt, Orange, Placer,  
          Sacramento, San Francisco, Santa Clara and Yolo) have  
          expressed an interest in participating in the waiver,  
          should it be approved.

          It can be expected that the federal government's approval  
          may be predicated on a cost neutral approach---committing  
          no more funds to California, but rather allow the funds to  
          be expended for a broader array of services.  Nonetheless,  
          such a waiver would provide needed flexibility (in the  
          author's words) to "develop a more effective and  
          fact-driven differential response at the front end of the  




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          foster care system, based on a rational assessment of both  
          risk to the child and family strengths."

           Assembly votes
           
          Assembly Human Services  7-0
          Assembly Appropriations18-0
          Assembly Floor 72-0

                                    POSITIONS  

          Support:       Children's Law Center of Los Angeles  
          (Sponsor)
                         Protection and Advocacy, Inc.
                                      California Welfare Directors  
          Association

          Oppose:   None received






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