89R9026 MLH-D By: Hancock S.B. No. 2040 A BILL TO BE ENTITLED AN ACT relating to the establishment of the Texas Adoption Assistance Program. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Chapter 162, Family Code, is amended by adding Subchapter I to read as follows: SUBCHAPTER I. TEXAS ADOPTION ASSISTANCE PROGRAM Sec. 162.751. DEFINITIONS. In this subchapter: (1) "Adoption assistance grant" means a Texas Adoption Assistance Program grant awarded under Section 162.755. (2) "Comptroller" means the comptroller of public accounts. (3) "Eligible parent" means a parent who meets the requirements of Section 162.753. (4) "Program" means the Texas Adoption Assistance Program established under this subchapter. Sec. 162.752. PROGRAM ESTABLISHMENT AND ADMINISTRATION; PURPOSE. The comptroller shall establish and administer the Texas Adoption Assistance Program for the purpose of encouraging the adoption of Texas children by providing adoptive parents with assistance with adoption-related expenses. Sec. 162.753. ELIGIBILITY OF PARENTS. A person is eligible for an adoption assistance grant under the program if the person: (1) resides in this state on the date the adoption assistance grant is awarded; (2) is an adoptive parent under an adoption granted under Section 162.016 of a child who: (A) is younger than 18 years of age on September 1 of the state fiscal year in which the adoption assistance grant is awarded; (B) resided in this state as part of this state's foster care system; and (C) is not the biological child of the adoptive parent's spouse; (3) applies for a grant under Section 162.755 not later than the first anniversary of the date the adoption under Section 162.016 is granted; and (4) has an annual gross household income that is not more than $250,000. Sec. 162.754. MAXIMUM AMOUNT OF GRANT. (a) The maximum amount of an adoption assistance grant is: (1) for an eligible parent or parents with an annual gross household income of not more than $100,000, an amount equal to 50 percent of the amount of any adoption-related expenses incurred by the parent or parents; (2) for an eligible parent or parents with an annual gross household income of more than $100,000 and not more than $150,000, an amount equal to 40 percent of the amount of any adoption-related expenses incurred by the parent or parents; (3) for an eligible parent or parents with an annual gross household income of more than $150,000 and not more than $200,000, an amount equal to 25 percent of the amount of any adoption-related expenses incurred by the parent or parents; and (4) for an eligible parent or parents with an annual gross household income of more than $200,000 and not more than $250,000, an amount equal to 10 percent of the amount of any adoption-related expenses incurred by the parent or parents. (b) For purposes of this section, adoption-related expenses are expenses incurred by the parent or parents for: (1) legal fees for adoption paperwork; (2) hiring legal representation; (3) a home study under Section 264.207; (4) adoption advertisements; (5) adoption fees; (6) medical expenses of the birth mother; (7) case management; or (8) communication support, in the case of an open adoption. Sec. 162.755. APPLICATION; AWARD OF GRANTS. Each state fiscal year, the comptroller shall award under the program a number of one-time adoption assistance grants, as determined by the comptroller based on available funds, to eligible parents who apply to the comptroller in the manner prescribed by comptroller rule. Sec. 162.756. COLLABORATION WITH OTHER AGENCIES. (a) The comptroller shall collaborate with the Health and Human Services Commission and the Department of Family and Protective Services to promote the program to families, adoption agencies, hospitals, faith-based organizations, and other applicable stakeholders. (b) The Department of Family and Protective Services shall provide information about the program in adoption materials and in meetings with prospective adoptive parents. Sec. 162.757. RULES; PROCEDURES. (a) The comptroller shall adopt rules and procedures to implement and administer this subchapter, including rules for: (1) the application process; and (2) the process for documenting expenses made under the program. (b) The Health and Human Services Commission and the Department of Family and Protective Services may adopt rules to assist the comptroller in administering the program. Sec. 162.758. REPORT. (a) Not later than December 1, 2026, the comptroller, in consultation with the Health and Human Services Commission and the Department of Family and Protective Services, shall submit to the legislature a report on the outcomes and status of the program. The report must include any recommendations for future needs of the program. (b) This section expires January 1, 2027. SECTION 2. This Act takes effect September 1, 2025.