Bill Text: HI SB974 | 2025 | Regular Session | Introduced

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Bill Title: Relating To Foster Care.

Spectrum: Moderate Partisan Bill (Democrat 6-1)

Status: (Introduced) 2025-01-29 - The committee on HHS deferred the measure. [SB974 Detail]

Download: Hawaii-2025-SB974-Introduced.html

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THE SENATE	S.B. NO.	974
THIRTY-THIRD LEGISLATURE, 2025
STATE OF HAWAII

A BILL FOR AN ACT

 

 

relating to foster care.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 

     SECTION 1.  The legislature finds that the United States Department of Health and Human Services Adoption and Foster Care Analysis and Reporting System recorded 1,418 children in foster care in Hawaii on September 30, 2021.  Approximately ten per cent of foster youth in the United States are entitled to social security benefits, either because their parents have died or because they have a physical or mental disability.

     The legislature also finds that the United States Social Security Administration (SSA) generally appoints representative payees to receive and manage social security payments on behalf of beneficiaries who are incapable of managing their social security or supplemental security income, including children.  Although the SSA lists child welfare service agencies as one of the least preferred types of representative payees, many state child welfare agencies apply to become the representative payee of child beneficiaries in foster care and intercept and seize their social security payments, often without notifying the child or other persons who are more preferred as the child's representative payee.  Between 2018 and 2022, the department of human services collected $1,500,000 on behalf of thirty-seven children in foster care.

     The legislature believes that intercepting social security payments meant for foster children limits their financial well-being as they pursue higher education or achieve financial independence.  In addition, child welfare officials in New York City recently decided to end the practice of intercepting foster children's social security payments and plan to deposit the payments into savings accounts, which a foster child may access when the child is returned to their family, is adopted, or ages out of foster care.

     Accordingly, the purpose of this Act is to:

     (1)  Prohibit the department of human services from using any social security benefits or funds received for a child under foster custody of the department to cover the cost of foster care services; and

     (2)  Require the department of human services to deposit all social security funds received for a child under foster custody of the department into a savings account that may be accessed by the child when the child returns to their family, is adopted, or ages out of foster care.

     SECTION 2.  Chapter 587A, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§587A-    Social security payments to children in foster care; savings account.  (a)  The department shall not use any social security payments, including supplemental security income payments, it receives from the Social Security Administration on behalf of a child under foster custody of the department to cover the cost of any foster care services.

     (b)  The department shall establish a savings account for each child under foster custody of the department, on behalf of whom the department receives social security payments, including supplemental security income payments, and deposit all social security payments received from the Social Security Administration for the child into the child's savings account.  The department shall make the savings account accessible to the child when the child is removed from foster care custody because the child returns to their family, is adopted, or ages out of foster care."

     SECTION 3.  New statutory material is underscored.

     SECTION 4.  This Act shall take effect upon its approval.

 

INTRODUCED BY:	_____________________________

 

 

 

Report Title:

DHS; Social Security Payments; Foster Care; Savings Account

 

Description:

Prohibits the Department of Human Services from using any social security income payments, including supplemental income payments it receives on behalf of a child under foster custody of the Department to cover the cost of foster care services.  Requires the Department of Human Services to deposit all social security income payments received on behalf of a child under foster custody of the Department into a savings account that shall be made accessible to the child when the child leaves foster care custody.

 

 

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.