Just before the President's Day break, Representative Jim McDermott (D-WA) introduced the Invest in KIDS Act, H.R. 5466. McDermott is Chair of the House Subcommittee on Income Security and Family Support, the key subcommittee to the child welfare community.
CWLA, and PCANY, supports the new bill since it advances many of the key principles for a major reform proposal: federal support for all children in care, more flexibility in the use of funds to provide key services, support for kinship families, expanded access to federal funds by tribal communities, expanded support for youth, and funding to address the workforce shortage in child welfare.
McDermott introduced a similar measure in the last Congress, and this bill builds on that effort in several areas. Similar to his last bill, this legislation would allow federal funding through title IV-E foster care and adoption assistance to all children, replacing current eligibility limitations. As many people in child welfare understand, currently eligibility for federal foster care and adoption assistance is based on whether a child was removed from a family that would have been eligible for the now nonexistent AFDC cash assistance program. Fewer than 45% of foster children are eligible for federal support. The bill would extend coverage to all children in care and hold down the cost by reducing the federal funding matching rate. It would allow states up to three years to update their current coverage, meaning states would have time to maximize coverage and funding.
The bill would extend Title IV-E to kinship and guardianship placements, and allows tribes and tribal consortia to apply for direct access to federal funds. Another feature would allow states to draw down IV-E funds for services in a more flexible manner than currently allowed. State spending in this flexible manner would be based on a state plan to address some of the shortfalls outlined by a state's Child and Family Service Reviews and the resulting Program Improvement Plans. States would have to have outcomes to measure the results.
The legislation contains a new subpart three under Title IV-B to assist in the development of a state child welfare workforce strategy. A state would submit a plan for these federal dollars and measure such data as caseloads. Another provision that has long been supported by CWLA is access to Title IV-E training funds by nonprofit agencies. These funds could also be used for court personnel.
A new provision in the McDermott bill that is gaining interest in this Congress would allow states to provide Title IV-E foster care funds through age 21, at state option. HHS would issue regulations around the supervision for this extended care population. Currently, states that allow such coverage use state funds, or they use a patchwork of federal funding, including funds from the Chaffee Independent Living program, to provide a mix of services as a transition but not to keep children in care.
A new concept in H.R. 5466 is a grant that could be used in three ways: to create a kinship navigator program, similar to provisions in the Kinship Caregiver Support Act (S. 661/H.R. 2188); to fund intensive family-finding programs, and to fund the use of family-group decision making. Fifty million dollars a year would be provided to allow states to fund such efforts.
The bill would also reauthorize the current adoption incentive fund, which is due to expire, and seek to better promote the use of adoption tax credits to lower income families, especially foster families. The bill would require states to have better health planning with the state Medicaid agency and would also require states to have plans that would allow a child in foster care to remain in his or her school of origin when it's in the best interest of the child, or when they have to relocate, to be allowed immediate admission into a new school.
The legislation is scheduled for an initial hearing this week. The subcommittee is still limited by the "paygo" rules that require committees--at least in the human service area--to pay for any new programs or program cost increases with offsets or reductions in other areas of the committee's jurisdiction. Some provisions have been gaining in popularity and may be low in cost, such as the two kinship bills, the extension of funding to tribes, and extending the age of foster care. One or a combination of these proposals could pass in this Congress, depending on the political momentum.