LEGISLATIVE SERVICES AGENCY OFFICE OF FISCAL AND MANAGEMENT ANALYSIS 200 W. Washington St., Suite 301 Indianapolis, IN 46204 (317) 233-0696 iga.in.gov FISCAL IMPACT STATEMENT LS 6250 NOTE PREPARED: Dec 5, 2023 BILL NUMBER: HB 1056 BILL AMENDED: SUBJECT: Representation of Qualified Foster Children. FIRST AUTHOR: Rep. Olthoff BILL STATUS: As Introduced FIRST SPONSOR: FUNDS AFFECTED:XGENERAL IMPACT: State & Local XDEDICATED FEDERAL Summary of Legislation: This bill provides that a child in a child in need of services (CHINS) proceeding who meets certain requirements is entitled to be represented by counsel. It requires a juvenile court in certain circumstances to appoint counsel. It requires the attorney appointed to represent the child to continue representing the child throughout the entire duration of the CHINS case. It also allows the county to apply for reimbursement under the Public Defense Fund. Effective Date: July 1, 2024. Explanation of State Expenditures: Public Defense Fund: The bill could potentially increase the number of claims for reimbursement from the Public Defense Fund. If additional claims are approved, OFMA estimates the bill could potentially increase state expenditures from the Public Defense Fund by approximately $518,427 to $896,201 annually beginning in FY 2025. This estimate does not include all eligible populations entitled to representation based on the bill’s requirements. OFMA assumes the cost-per-case for a child in a CHINS case is similar to the cost of representation for a parent, guardian, or custodian in a CHINS/TPR case. The estimate is based on a five- year-average of new CHINS filings and the percentage of older foster youth at least 14 years of age. Explanation of State Revenues: Explanation of Local Expenditures: Summary - If a child, at least 14 years of age, in a CHINS case is entitled to representation, the bill will increase county costs for indigent counsel services and public defender caseloads. The bill is estimated to increase local expenditures by approximately $1.08 M to $1.86 M HB 1056 1 annually. The costs incurred by counties may be somewhat offset by the federal Title IV-E reimbursement grants for eligible CHINS expenses. Actual cost will depend on the court caseload, cost of representation, type of cases disposed of, and a county's eligibility for reimbursement from the Public Defense Fund. The Public Defender Commission does not provide reimbursement for adoption, juvenile paternity, status, and miscellaneous cases. The following table shows the cost of representation for children in CHINS cases. Cost of Legal Representation for Children > 14 yrs of age; Based on CHINS Filings between 2018 and 2022 *Foster Youth > 14 yrs Commission Counties Non- Commission Counties Total County Cost: High 1,584 $1.34 M $515,004 $1.86 M Average 1,246 $1.06 M $405,257 $1.47 M Low 916 $0.78 M $297,915 $1.08 M *OFMA estimates that about 10.3% of total foster youth are at least 14 years of age or older. Currently, 66 counties receive public defense reimbursement and 5 counties receive IV-E funding only. In CY 2022, there were approximately 8,894 new CHINS filings. Of the new filings, about 81% of new cases were in commission counties. Additional Information - Appointment of Counsel: The bill expands the population entitled to attorney representation. It provides that appointments shall last for the duration of the child’s case, including any appeals. The bill provides that the courts shall appoint counsel for a child in the following circumstances: 1. A child who is at least 14; 2. A child who is a respondent in a CHINS case and must admit or deny a petition; 3. A child is an older youth, in a collaborative care program, or is a respondent in a CHINS case and must deny or deny a petition; 4. A child who is a participant in voluntary older youth services; 5. A child agrees to accept counsel; 6. A child who is involved with a residential care; 7. A child alleged to be a victim of human trafficking under IC 31-34-1-3.5; 8. A child who is dual status (as defined by IC 31-41-1-2) with an open CHINS and JD case; 9. A child who needs the protection of attorney-client privilege and confidentiality; 10.A child who is a parent of an infant who also has a CHINS case; 11.Has an immigration issue; 12.Has a trust or assets that need to be protected; 13.Has a personal injury claim; or 14.When there is a significant difference between the child’s wishes and the child’s best interest at the detention hearing or initial hearing. HB 1056 2 Due to the complex nature of the child welfare and juvenile justice system, the same child could appear in multiple categories at various times in the life of a case and through their interactions with the DCS or the juvenile court system. Explanation of Local Revenues: State Agencies Affected: Public Defender Commission. Local Agencies Affected: Courts with juvenile court jurisdiction; county public defenders. Information Sources: Indiana Public Defender Commission, Funding and Reimbursement History, https://www.in.gov/publicdefender/funding-and-reimbursement-history/; Indiana Supreme Court, Reports & Statistics, https://publicaccess.courts.in.gov/ICOR; Department of Child Services, Report & Statistics, Practice Indicator Reports, September 2022 - September 2023; Child Welfare Outcomes Report Data (2020). Fiscal Analyst: Corrin Harvey, 317-234-9438. HB 1056 3