BILL ANALYSIS                                                                                                                                                                                                    




                    Appropriations Committee Fiscal Summary
          
                                           500 (Kuehl)
          
          Hearing Date:  5/26/05          Amended: 4/4/05        
          Consultant:  John Decker            Policy Vote:  
          Judic(7-0), HS (6-0)     
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          BILL SUMMARY:   The bill makes a minor parent eligible to  
          share a foster care placement with his or her child in a  
          "whole family foster care" placement.  Specifically, the  
          bill creates a state program to:

             1.   Provide for foster care facilities designed for  
               minor parents and their children,
             2.   Require that when parent and child are placed in  
               the same foster care facility, the facility will  
               receive full foster care payment,
             3.   Require that the caregiver and the minor adopt a  
               shared responsibility plan for the minor's child.
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                          Fiscal Impact (in thousands)

           Major Provisions                    2005-06             2006-07   
                      2007-08            Fund
           Reduced state assistance         -$300           - $150      
                    General
          Increased federal support              $200            $400  
               FF
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          STAFF COMMENTS:  Suspense File. 

          Under current law, when a minor and child are placed in the  
          same foster facility, the payment to the facility is often  
          lower than it would be if the family were in separate  
          facilities.

          By making these statutory changes, the whole family foster  
          care placement will increase the state's eligibility for  
          federal assistance.  By making the change to encourage  
          placing both parent and minor in the same facility, the  
          sponsors believe that the bill will increase both federal  










          assistance and the total number of foster placements in  
          California.
          
          The County Welfare Directors Association estimates net  
          state savings to the General fund of about $300,000 in  
          2006-07, and falling amounts thereafter, as the number of  
          whole family placement rises.  Beginning in 2010-11, the  
          association estimates that annual state costs will increase  
          as the state savings for current  placements are offset by  
          an increasing number of placements.   Federal funds for  
          foster care will increase by about $200,000 in 2006-07 and  
          rise to over $1 billion by 2010-11.