Texas House Bill HB1709

Texas 2011 - 82nd Regular

• Out of House Committee: 5/6/11
• Introduced: 2/23/11
• Refer: 3/3/11
• Report Pass: 5/3/11

Caption

Relating to the creation of the individual development account program to provide savings incentives and opportunities for certain foster children to pursue home ownership, postsecondary education, and business development.

Impact

The implementation of HB 1709 could significantly impact state laws regarding asset development and financial assistance programs for vulnerable populations. This bill not only amends the Human Resources Code by creating Subchapter E specifically focused on foster children but also provides a framework for the management and utilization of individual development accounts. It sets the groundwork for engaging sponsoring organizations to facilitate and monitor the accounts while allowing flexibility in the allocation of funds, including the option for grant funds to match participant contributions for qualified expenditures.

Summary

House Bill 1709 aims to establish an individual development account program specifically designed for certain foster children. This program is intended to provide these young individuals with savings incentives and opportunities to accumulate assets, ultimately facilitating their pursuit of home ownership, postsecondary education, and entrepreneurial endeavors. By creating structured pathways for these foster children, this bill recognizes their unique challenges and aims to empower them toward financial independence and self-sufficiency.

Contention

Notable points of contention surrounding HB 1709 may arise regarding eligibility criteria and the administration of matching funds. The bill outlines specific criteria for participation, limiting it to foster children aged 15 to 23, which may lead to debates on whether this age range sufficiently addresses the needs of all eligible individuals, especially considering the unique circumstances of older foster youth. Additionally, discussions may center around the funding mechanisms and commitments made by the state to ensure that adequate resources are available to support the program’s goals without overextending budgetary constraints.