Assigned to HHS & APPROP FOR COMMITTEE ARIZONA STATE SENATE Fifty-Sixth Legislature, First Regular Session REVISED FACT SHEET FOR S.B. 1544 kinship foster care; stipend Purpose Requires the Department of Child Safety (DCS) to provide a kinship foster care parent with a stipend of $600 per month for each child placed with the foster care parent. Background DCS is responsible for investigating reports of abuse and neglect relating to children and coordinating services to maintain permanency on behalf of the child, strengthening the family and providing prevention, intervention and treatment services (A.R.S. § 8-451). The placement of a child who is in DCS custody is determined by the best interests of the child, and DCS must establish kinship foster care services for a child who has been removed from the child's home. A kinship foster care parent may be eligible to receive the following financial services for the child: 1) full foster care benefits, including payment if the kinship foster care parent becomes a licensed foster care home; and 2) Temporary Assistance for Needy Families cash assistance payments (A.R.S. § 8-514.03). DCS provides maintenance payments to licensed foster families for the care of children in out-of-home care. DCS sets foster care rates and determines eligibility for special rates. There is a basic daily foster home rate paid on behalf of each foster child placed in a licensed foster home. The basic rate is between $19.68 per day per child and $27.15 per day per child, depending upon the age of the child. The basic daily kinship foster home rate paid on behalf of each foster child placed in an unlicensed foster care bed is $9.86 per day per child with no changes depending on the child's age. There are no differences with the daily clothing allowance or daily personal allowance between foster or kinship fore care homes (DCS Child Placement Rates and Special Allowances Approval Matrix). An unlicensed kinship foster care parent will receive monthly reimbursement from DCS. At the end of each month, the parent will confirm the number of days the child was in their home. The reimbursement includes a diaper allowance, if applicable, the personal and clothing allowances and the Kinship Stipend of $75 (DCS). Laws 2022, Chapter 329 appropriated $19,811,200 from the state General Fund (state GF) in FY 2023 to DCS to provide a kinship foster care parent with a stipend of $300 per month for each child placed with the foster care parent. The Legislature intended that the one-time appropriation be considered for ongoing funding in future years. The Joint Legislative Budget Committee (JLBC) fiscal note estimates that S.B. 1544 will result in a cost to the state GF of $19.6 million to provide the increased subsidy to current recipients (JLBC fiscal note). FACT SHEET – Revised S.B. 1544 Page 2 Provisions 1. Requires DCS to provide a kinship foster care parent with a stipend of $600 per month for each child placed with the foster care parent. 2. Becomes effective on the general effective date. Revised 1. Updates the fiscal impact statement. 2. Updates the background to include information on the kinship foster care stipend and DCS's authority regarding foster care maintenance payment rates. Prepared by Senate Research February 23, 2023 MM/MC/slp