1 of 1 HOUSE DOCKET, NO. 963 FILED ON: 1/17/2023 HOUSE . . . . . . . . . . . . . . . No. 157 The Commonwealth of Massachusetts _________________ PRESENTED BY: Tricia Farley-Bouvier _________________ To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General Court assembled: The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: An Act protecting benefits owed to foster children. _______________ PETITION OF: NAME:DISTRICT/ADDRESS :DATE ADDED:Tricia Farley-Bouvier2nd Berkshire1/17/2023Lindsay N. Sabadosa1st Hampshire1/20/2023Carmine Lawrence Gentile13th Middlesex1/25/2023David F. DeCoste5th Plymouth1/26/2023Joseph D. McKenna18th Worcester1/31/2023Vanna Howard17th Middlesex2/1/2023Mary S. Keefe15th Worcester2/6/2023Michelle M. DuBois10th Plymouth2/7/2023 1 of 7 HOUSE DOCKET, NO. 963 FILED ON: 1/17/2023 HOUSE . . . . . . . . . . . . . . . No. 157 By Representative Farley-Bouvier of Pittsfield, a petition (accompanied by bill, House, No. 157) of Tricia Farley-Bouvier and others relative to protecting benefits owed to foster children. Children, Families and Persons with Disabilities. The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Third General Court (2023-2024) _______________ An Act protecting benefits owed to foster children. Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows: 1 SECTION 1. Section 21 of chapter 119 of the General Laws, as appearing in the 2020 2Official Edition, is hereby amended by inserting after the definition of “Appropriate Services” 3the following definition:- 4 5 “Benefits”, benefits under Title XVI of the Social Security Act, also referred to as 6“Supplemental Security Income” or “SSI”; benefits under Title II of the Social Security Act, also 7referred to as “Retirement, Survivors or Disability Benefits” or “RSDI”; or federal veterans 8benefits. 9 10 SECTION 2. Said section 21 of said chapter 119, as so appearing, is hereby further 11amended by inserting after the definition of “Relative” the following definition:- 2 of 7 12 13 “Representative Payee or Fiduciary”, any person or entity designated to receive benefits 14for a minor child under the agency rules governing such benefits. 15 16 SECTION 3. Section 23 of said chapter 119, as so appearing, is hereby amended by 17inserting after subsection (i) the following subsection:- 18 19 (j) The department shall comply with section 23C, including providing eligibility 20screening, payee or fiduciary assistance, appropriate notice, benefits accounting, conservation of 21benefits and other services relative to benefits for children and youth below the age of 22 under 22the custody, care, or responsibility of the department. 23 SECTION 4. Chapter 119 of the General Laws is hereby amended by inserting after 24section 23B the following section:- 25 Section 23C. (a) When a child is placed in substitute care pursuant to a voluntary 26placement agreement or due to court-ordered custody, the department shall make all reasonable 27efforts to identify within 60 days of the child being committed to custody of the department 28whether the child is already receiving or may be eligible to receive benefits. In reviewing 29eligibility, the department shall consult with the parents and others who may have information 30about the child’s eligibility. If the department ascertains, or has cause to believe, that the child 31may be eligible for benefits, it shall apply to the agency administering such benefits on the 32child’s behalf, in cooperation with the child’s attorney. If benefits are denied, the department 3 of 7 33shall notify the child’s attorney and consult with its legal department regarding whether to appeal 34the decision. The department shall review cases of children in care annually to determine 35whether the child may have become eligible for benefits after the initial assessment. Whenever 36the child is or may be eligible for SSI, the department shall, if necessary for benefits eligibility, 37forego claiming that child for purposes of any federal IV-E maintenance payments under Section 38475(4) of the Social Security Act. The department shall designate an individual in its central 39office and each of its regional offices to oversee its responsibilities under this subsection. 40 41 (b) If the child is already receiving benefits prior to entering department custody, the 42department may apply to be designated as the child’s representative payee or fiduciary. If the 43department is applying for benefits for the child, the department may also apply to be the 44representative payee or fiduciary. In either instance, in deciding whether to apply to be the 45representative payee or fiduciary, the department, in cooperation with the child’s attorney, shall 46consider the preferences mandated in 20 C.F.R. § 404.2021(c) or 20 C.F.R. § 416.621, or other 47applicable program rules, and apply to become representative payee or fiduciary only if there is 48no other suitable candidate available. Where the goal is reunification, the department shall 49consider whether applying to become the child’s representative payee or fiduciary will 50undermine the goal of reunification and be contrary to the child’s best interests. Where the 51department is the representative payee or fiduciary, the department shall periodically review if 52under current circumstances, someone other than the department is available to apply to the 53applicable benefits agency to assume such a role, and could better serve as representative payee 54or fiduciary, in the child’s best interests. 4 of 7 55 56 (c) When the department submits an application to be appointed as a child’s 57representative payee or fiduciary, or applies on behalf of the child for benefits, the department 58shall provide prior notice to the child’s parents if parental rights have not been terminated, the 59legal guardian or guardians, the child’s attorney, the attorney or attorneys for the parents or legal 60guardian, the child’s caseworker and the child, if the child is aged 12 or older. The notice shall 61state that interested parties may submit information relevant to the selection of a representative 62payee or fiduciary for the child, and that individuals may have the right to contest the selection of 63a representative payee or fiduciary before the Social Security Administration or Veterans 64Administration. Prompt notice shall also be given to such persons regarding any communications 65from the Social Security Administration or Veterans Administration pertaining to acceptance or 66denial of benefits or the selection of a representative payee or fiduciary, as well as any appeal or 67other action requested by the department regarding an application for benefits. Prompt notice 68shall also be given to all such parties whenever a special trust account or savings account is 69established on behalf of the child under subsections (e) and (f). 70 (d) When the department is the child’s representative payee or fiduciary, it shall maintain 71an accounting of the child’s benefits, and shall submit a report quarterly to the child, if the child 72is aged 12 or over, parents, if parental rights have not been terminated, guardian, counsel for the 73child, counsel for the parent or parents, counsel for the guardian, the child’s caseworker and the 74court. The report shall include a statement of the amount and source of benefits collected by the 75department since any prior notification; the amount of benefits paid into any account maintained 76on behalf of the child; any amounts deducted by the department and the reasons for the 77deductions; any other withdrawals from the account established for the child and the reasons for 5 of 7 78such withdrawals; and information regarding all the child’s assets and resources, including 79benefits, insurance, cash assets, trust accounts, and earnings. 80 81 (e) If the department is the child’s representative payee or fiduciary, it shall place no 82less than 10 per cent of the child’s benefits in an account to be used only for the child’s personal 83needs. The department shall not use such funds to pay for items or activities that it ordinarily 84purchases for other foster children who do not receive benefits. If the child is receiving SSI 85benefits, the department shall ensure that any funds retained for personal needs do not exceed 86any federal asset limit. The balance of funds from benefits held by the department as a 87representative payee or fiduciary may be spent on unmet needs, subject to program requirements 88for administration of such benefits, and otherwise shall be conserved as savings for the child’s 89transition to adulthood at age 18. Any funds administered for SSI recipients above the federal 90asset limit shall be conserved in an Achieving a Better Life Experience (ABLE) account, 91authorized by Section 529A of the Internal Revenue Code of 1986, or another trust account for 92the child determined not to interfere with SSI or asset limitations for any other benefit program. 93If the child is not receiving SSI or other benefits with an asset limit, the department shall place 94excess funds in a savings account for the child. Benefits of a foster child shall not be used by the 95department to offset the cost of providing foster care. If the department is the child’s 96representative payee or fiduciary and receives retroactive benefits for the child, those funds shall 97be administered as required by program rules and placed in a separate dedicated account 98pursuant to applicable regulations, where necessary. 99 6 of 7 100 (f) The department shall take steps to conserve the benefits of children receiving benefits 101under this paragraph to assist them in the transition to adulthood and living independently. The 102department shall establish accounts as specified in subsection (e) in conserving a child’s benefits. 103The department shall work actively with the Social Security Administration and the child to 104ensure that when the child leaves foster care or turns 18, all payments of benefits will be returned 105to the Social Security Administration to be held on the child’s behalf or, upon the instructions of 106Social Security Administration, transferred to the child or to a new representative payee. The 107department shall provide the child with ongoing financial literacy training and support, including 108specific information regarding the existence, availability, and use of funds conserved for the 109child, beginning by age 14. Financial literacy training concerning restrictions on the use of 110conserved funds shall also be made available to all parents, guardians, and adoptive parents 111gaining access to funds conserved by the department. 112 (g) The department shall provide an annual report to the house and senate committees on 113ways and means, the committee on children, families and persons with disabilities, the clerks of 114the house and the senate and the secretary of the executive office of administration and finance, 115not later than September 1; provided, that the report shall set forth (i) the numbers of children 116committed to the department’s custody who were screened for eligibility for benefits; (ii) 117whether such screening occurred within 60 days of being committed to the department’s custody 118and if not, the date of the screening and reasons for the delay; (iii) the percentage of the children 119screened who were already receiving benefits; determined to possibly be eligible for benefits; 120and determined not to be eligible for benefits; (iv) the actions taken on behalf of such children to 121apply for such benefits where they have been determined to be possibly eligible, including the 122number and type of applications filed and approved and the number of appeals filed; (v) the 7 of 7 123percentages of such children determined to be eligible for SSI, RSDI and veterans benefits; (vi) 124of all such children receiving SSI, RSDI or veteran’s benefits, the number of children for whom 125the department is the representative payee, the number of children for whom the parent or 126guardian is the representative payee, and the number of children for whom another interested 127person is the representative payee; and (vii) the savings tools used by the department to conserve 128for transition the benefits of such children receiving SSI, RSDI and veterans benefits and the 129frequency and degree to which such tools were employed for such children during the annual 130review period. 131 132 (h) In administering the benefits of young adults ages 18 to 22 for whom the department 133is acting as a representative payee or fiduciary, the department shall comply with the 134requirements for children under subsections (a) through (g). 135 136 SECTION 5. Not later than 90 days after the effective date of this act, the secretary of the 137executive office of health and human services shall promulgate regulations as necessary to 138implement section 23C of chapter 119 of the General Laws, as inserted by this act.