First Regular Session Seventy-fifth General Assembly STATE OF COLORADO INTRODUCED LLS NO. 25-0055.01 Alana Rosen x2606 SENATE BILL 25-150 Senate Committees House Committees Health & Human Services A BILL FOR AN ACT C ONCERNING CREATING A PILOT PR OGRAM TO ENCOURAGE YOUTH IN101 FOSTER CARE TO GRADUATE FROM HIGH SCHOOL .102 Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov .) The bill creates the fostering success pilot program (pilot program) in the department of human services (department). The pilot program is a 2-part program, which includes: ! The supplemental support for foster students program (supplemental support program), which awards $2,000 scholarships annually to a foster care provider, kinship SENATE SPONSORSHIP Michaelson Jenet, HOUSE SPONSORSHIP Gilchrist, Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment. Capital letters or bold & italic numbers indicate new material to be added to existing law. Dashes through the words or numbers indicate deletions from existing law. foster care provider, or a non-certified kinship care provider (provider) who cares for a youth in the legal custody of a county department of human or social services until the youth graduates from high school; and ! The milestone incentives program (milestone program), which awards $1,000 to a youth for successfully graduating from high school. On or before September 30, 2025, subject to available appropriations, the department shall contract with a third-party administrator (administrator) to develop, implement, and administer the pilot program. The department shall contract with an administrator that is: ! A nonprofit organization; ! Experienced working with students and families; and ! Experienced administering student scholarship and grant programs. On or before December 31, 2025, subject to available appropriations, the department shall establish a timeline for: ! Announcing the pilot program; ! Accepting applications from youth and their providers; and ! Selecting youth and their providers to participate in the pilot program. The department shall select youth and provider participants in the order of applications received. A youth and their provider selected to participate in the pilot program must participate in the supplemental support program and the milestone program. The administrator may contract with one or more private entities to develop and implement a system to establish scholarship accounts that allows payment to qualifying vendors by electronic means from an online portal. The administrator shall: ! Ensure that the scholarship account is accessible through an online portal for the provider to facilitate payments to a qualifying vendor for the supplemental support program; ! Ensure the transfer of scholarship funds from the online portal directly to a qualifying vendor without direct access to scholarship funds by a provider; and ! Distribute money to each scholarship account. The administrator shall ensure that a youth has sole access to the milestone program award funds. There are no restrictions on how the youth may use the milestone program award funds. On or before July 1, 2028, the administrator shall administer a survey to youth and their providers to receive feedback on the pilot program. On or before October 31, 2028, the administrator shall report to the SB25-150 -2- department the following information: ! The number of participants selected for the pilot program; ! The amount of money awarded through the pilot program; ! The survey results from youth and their providers; and ! How the pilot program affected the youth's performance in school. On or before December 31, 2028, the department shall submit a report summarizing the information collected from the survey to the education committees of the house of representatives and senate, the health and human services committees of the house of representatives and senate, or their successor committees. Be it enacted by the General Assembly of the State of Colorado:1 SECTION 1. In Colorado Revised Statutes, add 19-7-105 as2 follows:3 19-7-105. Fostering success pilot program - financial support4 for youth in foster care, kinship foster care, or non-certified kinship5 care - report - rules - definitions - repeal. (1) A S USED IN THIS SECTION,6 UNLESS THE CONTEXT OTHERWISE REQUIRES :7 (a) "F OSTERING SUCCESS PILOT PROGRAM " OR "PILOT PROGRAM"8 MEANS THE FOSTERING SUCCESS PILOT PROGRAM CREATED IN SUBSECTION9 (2) OF THIS SECTION, WHICH CONSISTS OF TWO PROGRAMS : THE10 SUPPLEMENTAL SUPPORT FOR FOSTER STUDENTS PROGRAM CREATED IN11 SUBSECTION (2)(a)(I) OF THIS SECTION AND THE MILESTONE INCENTIVES12 PROGRAM CREATED IN SUBSECTION (2)(a)(II) OF THIS SECTION.13 (b) "M ILESTONE INCENTIVES PROGRAM " MEANS THE MILESTONE14 INCENTIVES PROGRAM CREATED IN SUBSECTION (2)(a)(II) OF THIS15 SECTION.16 (c) "P ROVIDER" MEANS A FOSTER CARE PARENT OR A RELATIVE OR17 KIN WHO PROVIDES KINSHIP FOSTER CARE AND WHO IS CERTIFIED TO18 OPERATE A KINSHIP FOSTER CARE HOME PURSUANT TO SECTION 26-6-910.19 SB25-150-3- "PROVIDER" ALSO INCLUDES A RELATIVE OR KIN WHO PROVIDES1 NON-CERTIFIED KINSHIP CARE, AS DEFINED IN SECTION 26-6-903, TO A2 CHILD OR YOUTH WHO IS IN THE LEGAL CUSTODY OF THE COUNTY3 DEPARTMENT.4 (d) "Q UALIFYING VENDOR" MEANS AN ELIGIBLE SERVICE VENDOR5 THAT THE THIRD-PARTY ADMINISTRATOR APPROVES TO PARTICIPATE AND6 PROVIDE SERVICES TO YOUTH AND PROVIDERS PARTICIPATING IN THE7 SUPPLEMENTAL SUPPORT FOR FOSTER STUDENTS PROGRAM .8 (e) "S UPPLEMENTAL SUPPORT FOR FOSTER STUDENTS PROGRAM "9 MEANS THE SUPPLEMENTAL SUPPORT FOR FOSTER STUDENTS PROGRAM10 CREATED IN SUBSECTION (2)(a)(I) OF THIS SECTION.11 (2) (a) T HE FOSTERING SUCCESS PILOT PROGRAM IS CREATED IN12 THE DEPARTMENT. THE PILOT PROGRAM IS A TWO-PART PILOT PROGRAM13 THAT INCLUDES:14 (I) T HE SUPPLEMENTAL SUPPORT FOR FOSTER STUDENTS PROGRAM ,15 WHICH AWARDS TWO -THOUSAND-DOLLAR SCHOLARSHIP PAYMENTS16 ANNUALLY TO A SCHOLARSHIP ACC OUNT ESTABLISHED IN SUBSECTION17 (3)(a) OF THIS SECTION FOR A FOSTER CARE PROVIDER , KINSHIP FOSTER18 CARE PROVIDER, OR A NON-CERTIFIED KINSHIP CARE PROVIDER WHO CARES19 FOR A YOUTH IN THE LEGAL CUSTODY OF A COUNTY DEPARTMENT UNTIL20 THE YOUTH GRADUATES FROM HIGH SCHOOL TO BE USED FOR21 EDUCATION-RELATED EXPENSES FOR THE YOUTH ; AND22 (II) T HE MILESTONE INCENTIVES PROGRAM , WHICH AWARDS A23 YOUTH WHO IS IN THE LEGAL CUST ODY OF A COUNTY DEPARTMENT AND24 LIVING IN A FOSTER CARE HOME , KINSHIP FOSTER CARE HOME , OR25 NON-CERTIFIED KINSHIP CARE HOME ONE THOUSAND DOLLARS FOR26 SUCCESSFULLY GRADUATING FROM HIGH SCHOOL .27 SB25-150 -4- (b) ON OR BEFORE SEPTEMBER 30, 2025, SUBJECT TO AVAILABLE1 APPROPRIATIONS, THE DEPARTMENT SHALL CONTRACT WITH A2 THIRD-PARTY ADMINISTRATOR TO DEVELOP , IMPLEMENT, AND ADMINISTER3 THE PILOT PROGRAM. THE DEPARTMENT SHALL CONTRACT WITH A4 THIRD-PARTY ADMINISTRATOR THAT IS:5 (I) A NONPROFIT ORGANIZATION , AS DEFINED IN SECTION6 26.5-5-303;7 (II) E XPERIENCED WORKING WITH STUDENTS AND FAMILIES ; AND8 (III) E XPERIENCED ADMINISTERING STUDENT SCHOLARSHIP AND9 GRANT PROGRAMS.10 (c) (I) T HE DEPARTMENT SHALL EXAMINE URBAN , RURAL, AND11 SUBURBAN AREAS WITH HIGH RATES OF YOUTH IN FOSTER CARE TO12 IDENTIFY THE REGIONS TO IMPLEMENT THE PILOT PROGRAM .13 (II) T HE THIRD-PARTY ADMINISTRATOR SHALL IMPLEMENT THE14 PILOT PROGRAM IN THE REGIONS THAT THE DEPARTMENT IDENTIFIES15 PURSUANT TO SUBSECTION (2)(c)(I) OF THIS SECTION.16 (d) O N OR BEFORE DECEMBER 31, 2025, SUBJECT TO AVAILABLE17 APPROPRIATIONS, THE DEPARTMENT SHALL ESTABLISH A TIMELINE FOR :18 (I) A NNOUNCING THE PILOT PROGRAM ;19 (II) A CCEPTING APPLICATIONS FROM YOUTH AND THEIR20 PROVIDERS; AND21 (III) S ELECTING YOUTH AND THEIR PROVIDERS TO PARTICIPATE IN22 THE PILOT PROGRAM.23 (e) T HE DEPARTMENT SHALL SELECT YOUTH AND PROVIDER24 PARTICIPANTS IN THE ORDER OF APPLICATIONS RECEIVED . A YOUTH AND25 THEIR PROVIDER SELECTED TO PARTICIPATE IN THE PILOT PROGRAM MUST26 PARTICIPATE IN THE SUPPLEMENTAL SUPPORT FOR FOSTER STUDENTS27 SB25-150 -5- PROGRAM AND THE MILESTONE INCENTIVES PROGRAM .1 (f) A S PART OF THE APPLICATION PROCESS, A YOUTH AND THEIR2 PROVIDER MUST AGREE THAT THE YOUTH 'S ACADEMIC PERFORMANCE MAY3 BE SHARED BY THE YOUTH 'S EDUCATION PROVIDER , AS DEFINED IN4 SECTION 22-32-138 (1), WITH THE DEPARTMENT OF EDUCATION AS5 DESCRIBED IN SECTION 22-32-138 (9.5)(b).6 (3) (a) T HE THIRD-PARTY ADMINISTRATOR SHALL ESTABLISH A7 SCHOLARSHIP ACCOUNT ON BEHALF OF A YOUTH . THE THIRD-PARTY8 ADMINISTRATOR MAY CONTRACT WITH ONE OR MORE PRIVATE ENTITIES TO9 DEVELOP AND IMPLEMENT A COMMERCIALLY VIABLE , COST-EFFECTIVE,10 AND PROVIDER-FRIENDLY SYSTEM TO:11 (I) E STABLISH SCHOLARSHIP ACCOUNTS ; AND12 (II) M AXIMIZE PAYMENT FLEXIBILITY BY ALLOWING FOR PAYMENT13 OF SERVICES TO QUALIFYING VENDORS BY TRANSFERRING SCHOLARSHIP14 FUNDS BY ELECTRONIC OR ONLINE MEANS FROM AN ONLINE PORTAL .15 (b) T HE THIRD-PARTY ADMINISTRATOR SHALL :16 (I) E NSURE THAT THE SCHOLARSHIP ACCOUNT IS ACCESSIBLE17 THROUGH AN ONLINE PORTAL FOR THE PROVIDER TO FACILITATE18 PAYMENTS TO A QUALIFYING VENDOR WHO PROVIDES SERVICES TO YOUTH19 AND THEIR PROVIDERS PARTICIPATING IN THE SUPPLEMENTAL SUPPORT FOR20 FOSTER STUDENTS PROGRAM ;21 (II) E NSURE THE DIRECT TRANSFER OF SCHOLARSHIP FUNDS FROM22 THE ONLINE PORTAL TO A QUALIFYING VENDOR TO PAY FOR EXPENSES ;23 (III) E NSURE YOUTH AND THEIR PROVIDERS CANNOT WITHDRAW24 OR HAVE DIRECT ACCESS TO THE SCHOLARSHIP FUNDS ; AND25 (IV) D ISTRIBUTE MONEY TO EACH SCHOLARSHIP ACCOUNT .26 (c) S TARTING IN THE 2026-27 FISCAL YEAR, THE DEPARTMENT27 SB25-150 -6- SHALL DISTRIBUTE TWO THOUSAND DOLLARS TO YOUTH AND PROVIDERS1 FOR THE SUPPLEMENTAL SUPPORT FOR FOSTER STUDENTS PROGRAM . THE2 PROVIDERS MAY USE THE SCHOLARSHIP FUNDS ON EDUCATION -RELATED3 SERVICES FOR YOUTH THAT ARE PROVIDED BY A QUALIFIED VENDOR THAT4 INCLUDE, BUT ARE NOT LIMITED TO:5 (I) A FTER-SCHOOL TUTORING SERVICES;6 (II) C OMPUTERS OR TECHNOLOGICAL DEVICES INTENDED FOR A7 YOUTH'S EDUCATIONAL NEEDS;8 (III) T RANSPORTATION FEES;9 (IV) E XPENSES OR FEES RELATED TO EXTRACURRICULAR10 ACTIVITIES, FIELD TRIPS, OR OTHER EDUCATIONAL EXPERIENCES ; AND11 (V) P ERSONAL GROWTH EXPERIENCES , WHICH MAY INCLUDE12 PARTICIPATING IN SPORTS AND OUTDOOR NATURE EXPERIENCES .13 (d) T HE PROVIDER MAY NOT USE THE SCHOLARSHIP FUNDS ON14 TUITION AND FEES FOR PRIVATE SCHOOL.15 (e) S CHOLARSHIP FUNDS MUST BE SPENT WITHIN NINE MONTHS16 AFTER THE THIRD-PARTY ADMINISTRATOR DISTRIBUTES THE SCHOLARSHIP17 FUNDS IN THE YOUTH'S SCHOLARSHIP ACCOUNT. AT THE END OF THE NINE18 MONTHS, UNSPENT SCHOLARSHIP FUNDS ARE REVERTED BACK TO THE19 DEPARTMENT.20 (4) (a) U PON A YOUTH'S GRADUATION, THE THIRD-PARTY21 ADMINISTRATOR SHALL DISTRIBUTE THE AWARD FUNDS DESCRIBED IN22 SUBSECTION (2)(a)(II) OF THIS SECTION INTO THE YOUTH'S ACCOUNT.23 (b) T HE THIRD-PARTY ADMINISTRATOR SHALL ENSURE THAT A24 YOUTH HAS SOLE ACCESS TO THE MILESTONE INCENTIVES PROGRAM25 AWARD FUNDS. THERE ARE NO RESTRICTIONS ON HOW THE YOUTH MAY26 USE THE MILESTONE INCENTIVES PROGRAM AWARD FUNDS .27 SB25-150 -7- (5) ON OR BEFORE JULY 1, 2028, THE THIRD-PARTY1 ADMINISTRATOR SHALL ADMINISTER A SURVEY TO YOUTH AND PROVIDERS2 TO RECEIVE THE FOLLOWING INFORMATION :3 (a) F EEDBACK FROM PROVIDERS REGARDING THEIR EXPERIENCE4 PARTICIPATING IN THE PILOT PROGRAM;5 (b) F EEDBACK FROM YOUTH REGARDING THEIR EXPERIENCE6 PARTICIPATING IN THE PILOT PROGRAM; AND7 (c) H OW YOUTH WHO RECEIVED AWARD FUNDS THROUGH THE8 MILESTONE INCENTIVES PROGRAM USED THE AWARD FUNDS .9 (6) (a) O N OR BEFORE OCTOBER 31, 2028, THE THIRD-PARTY10 ADMINISTRATOR SHALL PROVIDE THE DEPARTMENT WITH THE FOLLOWING11 INFORMATION:12 (I) T HE NUMBER OF APPLICANTS SELECTED FOR THE PILOT13 PROGRAM;14 (II) T HE AMOUNT OF MONEY AWARDED THR OUGH THE PILOT15 PROGRAM;16 (III) T HE RESULTS OF THE SURVEY CONDUCTED PURSUANT TO17 SUBSECTION (5) OF THIS SECTION; AND18 (IV) H OW THE PILOT PROGRAM AFFECTED THE YOUTH 'S19 PERFORMANCE IN SCHOOL, INCLUDING, AT A MINIMUM:20 (A) T HE GRADUATION AND COMPLETION RATES OF YOUTH21 PARTICIPATING IN THE PILOT PROGRAM; AND22 (B) T HE AGGREGATED ACADEMIC PERFORMANCE OF YOUTH23 PARTICIPATING IN THE PILOT PROGRAM.24 (b) O N OR BEFORE SEPTEMBER 1, 2028, THE DEPARTMENT OF25 EDUCATION SHALL PROVIDE THE DEPARTMENT THE INFORMATION26 REGARDING THE EFFECTS OF THE PILOT PROGRAM ON YOUTH IN SCHOOL AS27 SB25-150 -8- DESCRIBED IN SUBSECTION (6)(a)(IV) OF THIS SECTION.1 (c) O N OR BEFORE DECEMBER 31, 2028, THE DEPARTMENT SHALL2 SUBMIT A REPORT SUMMARIZING THE INFORMATION DESCRIBED IN3 SUBSECTION (6)(a) OF THIS SECTION TO THE EDUCATION COMMITTEES OF4 THE HOUSE OF REPRESENTATIVES AND SENATE , THE HEALTH AND HUMAN5 SERVICES COMMITTEES OF THE HOUSE OF REPRESENTATIVES AND SENATE ,6 OR THEIR SUCCESSOR COMMITTEES .7 (7) T HE DEPARTMENT MAY ADOPT RULES FOR THE PURPOSES OF8 THIS SECTION.9 (8) T HE DEPARTMENT MAY SEEK , ACCEPT, AND EXPEND GIFTS,10 GRANTS, OR DONATIONS FROM PRIVATE OR PUBLIC SOURCES FOR THE11 PURPOSES OF THIS SECTION.12 (9) T HIS SECTION IS REPEALED, EFFECTIVE SEPTEMBER 1, 2031.13 B EFORE THE REPEAL, THIS SECTION IS SCHEDULED FOR REVIEW PURSUANT14 TO SECTION 24-34-104.15 SECTION 2. In Colorado Revised Statutes, 22-32-138, add (9.5)16 as follows:17 22-32-138. Out-of-home placement students - school stability,18 transfer, and enrollment procedures - absences - exemptions -19 provision of academic supports - report - definitions. (9.5) (a) O N OR20 BEFORE JULY 1, 2028, AN EDUCATION PROVIDER WITH STUDENTS21 PARTICIPATING IN THE FOSTERING SUCCESS PILOT PROGRAM CREATED IN22 SECTION 19-7-105 (2) SHALL REPORT TO THE DEPARTMENT OF EDUCATION ,23 AT A MINIMUM, THE FOLLOWING:24 (I) T HE GRADUATION AND COMPLETION RATES OF STUDENTS25 PARTICIPATING IN THE FOSTERING SUCCESS PILOT PROGRAM ; AND26 (II) T HE AGGREGATED ACADEMIC PERFORMANCE OF STUDENTS27 SB25-150 -9- PARTICIPATING IN THE FOSTERING SUCCESS PILOT PROGRAM .1 (b) O N OR BEFORE SEPTEMBER 1, 2028, THE DEPARTMENT OF2 EDUCATION SHALL REPORT TO THE DEPARTMENT OF HUMAN SERVICES THE3 INFORMATION DESCRIBED IN SUBSECTION (9.5)(a) OF THIS SECTION FOR4 PURPOSES OF SECTION 19-7-105 (6)(b).5 SECTION 3. In Colorado Revised Statutes, 24-34-104, add6 (32)(a)(XVI) as follows:7 24-34-104. General assembly review of regulatory agencies8 and functions for repeal, continuation, or reestablishment - legislative9 declaration - repeal. (32) (a) The following agencies, functions, or both,10 are scheduled for repeal on September 1, 2031:11 (XVI) T HE FOSTERING SUCCESS PILOT PROGRAM CREATED IN12 SECTION 19-7-105.13 SECTION 4. Act subject to petition - effective date. This act14 takes effect at 12:01 a.m. on the day following the expiration of the15 ninety-day period after final adjournment of the general assembly; except16 that, if a referendum petition is filed pursuant to section 1 (3) of article V17 of the state constitution against this act or an item, section, or part of this18 act within such period, then the act, item, section, or part will not take19 effect unless approved by the people at the general election to be held in20 November 2026 and, in such case, will take effect on the date of the21 official declaration of the vote thereon by the governor.22 SB25-150 -10-