BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1633
                                                                  Page  1

          Date of Hearing:   May 11, 2005

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                   Judy Chu, Chair

                    AB 1633 (Evans) - As Amended:  April 20, 2005 

          Policy Committee:                              Human Services  
          Vote:        6-1

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:   Yes

           SUMMARY  

          This bill requires the Department of Social Services (DSS) to  
          convene a workgroup and develop best practice guidelines  
          regarding accessing the Social Security Income/State  
          Supplementary Program (SSI/SSP) on behalf of children in foster  
          care. Specifically, this bill: 

          1)Requires the workgroup to include the County Welfare Directors  
            Association, child welfare advocates, and former foster youth.  


          2)Requires guidelines to be established by December 31, 2006 and  
            to include: 

             a)   Determining timing for disability screenings for  
               children in foster care.
             b)   Assisting children applying for benefits.
             c)   Aiding children in appealing adverse decisions.
             d)   Informing foster parents and guardians of the  
               availability of SSI/SSP benefits for youth leaving care. 
             e)   Maximizing federal benefits. 

          3)Requires counties to set aside three months of SSI/SSP  
            benefits in a savings account prior to a foster youth leaving  
            care at age 18. 

          4)Clarifies current law to allow youth to remain in foster care  
            until their 19th birthday if they are enrolled in high school  
            or an equivalency program. 

           FISCAL EFFECT  








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          1)Unknown costs in the range of $100,000 for DSS to convene a  
            workgroup and publish best practice guidelines. 

          2)An unknown but significant on-going workload to county welfare  
            departments to aid children in applying for, receiving, and  
            tracking cash benefits. The application process can be time  
            consuming and many applications require additional appeals and  
            submission of information. 

          3)An unknown but significant on-going increase in SSI/SSP  
            benefits to the extent this bill adds new clients to this  
            program. Average benefits are more than $10,000 per client per  
            year in 2005. Therefore, even 100 additional foster children  
            receiving benefits would generate an addition $1 million in  
            costs.  There are over 75,00 children in foster care statewide  
            and over 4,000 foster youth exit care each year at age 18. 

          4)Increased foster care costs to support the SSI/SSP savings  
            accounts required by this bill. Because youth cannot be  
            eligible for both SSI/SSP and federal foster care funding, the  
            costs of housing foster youth for the three months before they  
            leave care would fall to the state and the county. These costs  
            range from $2,500 to $20,000 for three months, depending on a  
            youth's placement. 

          5)Off-setting savings to the extent that SSI/SSP benefits  
            improve outcomes for current and former foster youth. Many  
            young adults who age out of the foster care system face  
            homelessness, incarceration, and hospitalization. Having some  
            financial stability under the SSI/SSP program may help  
            stabilize many of these former foster youth while they  
            transition to adulthood. 

           COMMENTS  

           Rationale  . This bill, sponsored by the National Center for Youth  
          Law, increases efforts to gain access to cash benefits on behalf  
          of eligible foster children. SSI/SSP provides cash assistance to  
          eligible aged, blind, and disabled persons. The average grant in  
          2005 is $842 monthly for an individual. 

          This bill encourages applications for SSI/SSP and requires  
          savings accounts for beneficiaries nearing emancipation. Many  
          foster youth face major barriers to healthy and stable living.  








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          However, foster youth nearing adulthood face some of the biggest  
          barriers. Although some foster youth receive benefits under  
          current law, many thousands are likely eligible due to mental  
          health or medical issues, or physical disabilities. 

          In addition, the bill clarifies current law to allow youth to  
          stay in care while completing a high school education. According  
          to sponsors, many jurisdictions already authorize extended stays  
          where others seek clarification. 

           

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