[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 10478 Introduced in House (IH)]

<DOC>






118th CONGRESS
  2d Session
                               H. R. 10478

 To ensure that foster children are able to use their Social Security 
 benefits, Supplemental Security Income benefits, and other assets and 
        benefits to address their needs and improve their lives.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           December 18, 2024

   Mr. Davis of Illinois (for himself and Mr. Raskin) introduced the 
 following bill; which was referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
 To ensure that foster children are able to use their Social Security 
 benefits, Supplemental Security Income benefits, and other assets and 
        benefits to address their needs and improve their lives.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Protecting Foster Youth Resources 
Act''.

SEC. 2. LIMITATION ON USE FOR STATE COSTS OF BENEFITS PAID TO STATE OR 
              LOCAL GOVERNMENT ACTING AS A REPRESENTATIVE PAYEE FOR A 
              FOSTER CHILD.

    (a) Amendments to Title II.--Section 205(j)(9) of the Social 
Security Act (42 U.S.C. 405(j)(9)) is amended--
            (1) by inserting ``(A)'' after ``(9)''; and
            (2) by adding at the end the following:
    ``(B)(i) For purposes of this subsection, misuse of benefits by a 
State or local government agency serving as a representative payee 
under this subsection for an individual in foster care under the 
responsibility of the State occurs in any case in which the State or 
local government agency uses any benefits paid to the representative 
payee pursuant to paragraph (1) of this subsection or any other law or 
any other property of, or held for the benefit of, the individual, 
for--
            ``(I) foster care maintenance payments under section 472; 
        or
            ``(II) other payments made by the State or a political 
        subdivision of the State to cover any other cost or expense for 
        the individual other than to meet unmet current needs described 
        in section 471(a)(39).
    ``(ii) An expense described in paragraph (4)(A)(i) of this 
subsection or section 1631(a)(2)(D) shall not be considered a cost or 
expense for purposes of clause (i)(II) of this subparagraph.''.
    (b) Amendments to Title XVI.--Section 1631(a)(2)(A)(iv) of such Act 
(42 U.S.C. 1383(a)(2)(A)(iv)) is amended--
            (1) by inserting ``(I)'' after ``(iv)''; and
            (2) by adding after and below the end the following:
    ``(II)(aa) For purposes of this paragraph, misuse of benefits by a 
State or local government agency serving as a representative payee 
under this subsection for an eligible individual in foster care under 
the responsibility of the State occurs in any case in which the State 
or local government agency uses any benefits paid to the representative 
payee pursuant to clause (ii) of this subparagraph or any other law or 
any other property of, or held for the benefit of, the individual, 
for--
            ``(AA) foster care maintenance payments under section 472; 
        or
            ``(BB) other payments made by the State or a political 
        subdivision of the State to cover any other cost or expense for 
        the individual other than to meet unmet current needs described 
        in section 471(a)(39).
    ``(bb) An expense described in subparagraph (D) of this paragraph 
or section 205(j)(4)(A)(i) shall not be considered a cost or expense 
for purposes of item (aa)(BB) of this subclause.''.
    (c) Amendments to Part E of Title IV.--Section 471(a) of such Act 
(42 U.S.C. 671(a)) is amended--
            (1) by striking ``and'' at the end of paragraph (36)(D);
            (2) by striking the period at the end of paragraph (37); 
        and
            (3) by adding at the end the following:
            ``(38)(A) provides that neither the State nor a local 
        government in the State may use any benefits paid to the State 
        or local government on behalf of an individual in foster care 
        under the responsibility of the State, or any other assets, 
        resources, or earnings of such an individual, for--
                    ``(i) foster care maintenance payments under 
                section 472; or
                    ``(ii) other payments made by the State or a 
                political subdivision of the State to cover any other 
                cost or expense for the individual other than to meet 
                unmet current needs described in paragraph (39).
            ``(B) An expense described in section 205(j)(4)(A)(i) or 
        1631(a)(2)(D) shall not be considered a cost or expense for 
        purposes of subparagraph (A)(ii) of this paragraph.''.

SEC. 3. SCREENING OF FOSTER CHILDREN FOR ELIGIBILITY FOR SOCIAL 
              SECURITY AND SUPPLEMENTAL SECURITY INCOME BENEFITS.

    (a) State Plan Requirement.--Section 471(a) of the Social Security 
Act (42 U.S.C. 671(a)), as amended by section 2(c) of this Act, is 
amended--
            (1) by striking ``and'' at the end of paragraph (37);
            (2) by striking the period at the end of paragraph (38) and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(39) provides that, not later than the beginning of the 
        first calendar quarter that begins after the 1-year (or, if 
        State legislation is required to comply with this paragraph, 2-
        year) period that begins with the date of the enactment of this 
        paragraph, the State agency referred to in paragraph (2) of 
        this subsection shall--
                    ``(A) develop and implement procedures to ensure 
                that, within 60 days after the status of a child who is 
                in foster care under the responsibility of the State is 
                first reviewed pursuant to section 475(5)(B) and 
                annually thereafter, the child is screened to determine 
                the potential eligibility of the child for benefits 
                under title II and for supplemental security income 
                benefits under title XVI;
                    ``(B) if the screening results in a determination 
                that the child is potentially eligible for any of such 
                benefits, apply for, and (if necessary) appeal any 
                decisions made with respect to, the benefits within 60 
                days;
                    ``(C) develop and implement procedures to ensure 
                that any such child who is potentially eligible for, or 
                is a recipient of, benefits under title II or 
                supplemental security income benefits under title XVI, 
                is assisted with applying for such benefits not later 
                than 180 days (or, if the child has attained 17 years 
                of age, 1 year) before the child exits foster care; and
                    ``(D) provide for the appropriate transfer of any 
                such benefits application for a child who is returning 
                home or moving out of State to ensure that the 
                application for benefits is not disrupted by the return 
                or move.''.
    (b) GAO Study.--
            (1) In general.--Within 4 years after the date of the 
        enactment of this Act, the Comptroller General of the United 
        States shall complete a study to determine whether the States 
        have substantially complied with the amendments made by this 
        section and to develop recommendations to improve the 
        compliance, including specifically whether the States have--
                    (A) established successful procedures that screen 
                all foster children under the responsibility of the 
                States for their potential eligibility for benefits 
                under title II of the Social Security Act and for 
                supplemental security income benefits under title XVI 
                of such Act;
                    (B) provided all such potentially eligible foster 
                children assistance in applying for, and appealing 
                decisions made with respect to, the benefits; and
                    (C) implemented procedures to identify suitable 
                nongovernmental candidates to serve as representative 
                payees for children in foster care with respect to the 
                benefits.
            (2) Report to the congress.--Within 1 year after completing 
        the study required by paragraph (1), the Comptroller General 
        shall submit to the Congress a written report that contains the 
        results of the study and the recommendations referred to in 
        paragraph (1).

SEC. 4. NOTICE TO ATTORNEY OR GUARDIAN AD LITEM FOR FOSTER CHILD OF 
              DETERMINATION TO PAY SOCIAL SECURITY OR SUPPLEMENTAL 
              SECURITY INCOME BENEFITS TO REPRESENTATIVE PAYEE.

    (a) Amendment to Title II.--Section 205(j)(2)(E)(ii) of the Social 
Security Act (42 U.S.C. 405(j)(2)(E)(ii)) is amended--
            (1) by striking ``In'' and inserting ``On application for 
        the appointment of a person to be a representative payee under 
        paragraph (1), on making the initial and final determinations 
        on such an application, on receipt of an appeal of any such 
        determination, and in''; and
            (2) by inserting ``, except that, in the case of an 
        individual who is in foster care under the responsibility of a 
        State or in a legal guardianship, such notice shall also be 
        provided to any attorney or guardian ad litem appointed to 
        represent the individual in any foster care proceeding or 
        proceeding in which a decision referred to in section 
        422(b)(8)(B) may be made, any parent of the individual, any 
        relative with custody or legal guardianship of the child, and, 
        if the individual has attained 14 years of age, to the 
        individual'' before the period at the end.
    (b) Amendment to Title XVI.--Section 1631(a)(2)(B)(xii) of such Act 
(42 U.S.C. 1383(a)(2)(B)(xii)) is amended--
            (1) by striking ``In'' and inserting ``On application for 
        the appointment of a person to be a representative payee under 
        subparagraph (A)(ii), on making the initial and final 
        determinations on such an application, on receipt of an appeal 
        of any such determination, and in''; and
            (2) by inserting ``, except that, in the case of an 
        individual who is in foster care under the responsibility of a 
        State or in a legal guardianship, such notice shall also be 
        provided to any attorney or guardian ad litem appointed to 
        represent the individual in any foster care proceeding or 
        proceeding in which a decision referred to in section 
        422(b)(8)(B) may be made, any parent of the individual, any 
        relative with custody or legal guardianship of the child, and, 
        if the individual has attained 14 years of age, to the 
        individual'' before the period at the end.

SEC. 5. MANAGEMENT OF ASSETS AND BENEFITS FOR FOSTER YOUTH.

    (a) Plan for Managing Assets and Benefits for Foster Youth.--
Section 471(a) of the Social Security Act (42 U.S.C. 671(a)), as 
amended by sections 2(c) and 3(a) of this Act, is amended--
            (1) by striking ``and'' at the end of paragraph (38);
            (2) by striking the period at the end of paragraph (39) and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(40) provides that, with respect to each child in foster 
        care under the responsibility of the State on whose behalf the 
        State manages any assets or Federal, State, or local benefits, 
        the State agency shall do the following:
                    ``(A) Develop a plan, developed specifically for 
                the child, that is designed to best meet the unmet 
                current and future needs of the child that are not 
                covered by assistance available from the Federal, 
                State, and local governments, that stabilizes the 
                child, in accordance with the following:
                            ``(i)(I) The plan shall set forth a 
                        strategy to conserve benefits not necessary for 
                        the immediate unmet needs of the child, 
                        determined as provided for pursuant to clause 
                        (ii) of this subparagraph, in a manner that 
                        best meets the future health, educational, 
                        housing, financial, and employment needs of the 
                        child, and for the placement of any such 
                        benefits in 1 or more accounts that are not 
                        subject to any asset limits under title XVI of 
                        this Act, such as--
                                    ``(aa) an account of the type 
                                described in section 1631(a)(2)(F) of 
                                this Act;
                                    ``(bb) an ABLE account established 
                                under section 529A of the Internal 
                                Revenue Code of 1986;
                                    ``(cc) a trust exempt from resource 
                                limitations under section 1613 of this 
                                Act;
                                    ``(dd) an individual development 
                                account established pursuant to Federal 
                                or State law; or
                                    ``(ee) another account in which 
                                benefits for the child may be conserved 
                                in a manner that the State determines, 
                                consistent with this paragraph, is in 
                                the best interests of the child.
                            ``(II) The plan shall ensure that a 
                        reasonable amount of the assets of the child 
                        are available for the child's immediate unmet 
                        personal needs for which the benefits should be 
                        used to serve the best interests of the child 
                        consistent with sections 205(j)(10)(B) and 
                        1631(a)(2)(A)(iv)(II), if applicable.
                            ``(III) The plan shall provide for a 
                        determination of any additional assets, or 
                        benefits for current or former foster youth, to 
                        which the child may be entitled, including 
                        civil judgments, inheritances, or earnings, and 
                        shall provide for the assets to be conserved as 
                        part of the plan as described in clause (i).
                            ``(IV) Any funds conserved in accordance 
                        with the plan shall be used to supplement and 
                        not supplant any other Federal, State, or local 
                        funds or programs that are or become available 
                        for the benefit of the child.
                            ``(V) The plan shall provide that any 
                        assets set aside under the plan shall be 
                        conserved (except for a use of funds described 
                        in items (aa) through (gg) of section 
                        1631(a)(2)(F)(ii)(II)), and placed in an 
                        account described in subclause (I) of this 
                        clause, until the date the child ceases to be 
                        in foster care under the responsibility of the 
                        State.
                            ``(ii) The State agency shall--
                                    ``(I) develop and implement the 
                                plan in collaboration with the child 
                                (on an age-appropriate basis) if the 
                                child has attained 14 years of age, and 
                                any attorney or guardian ad litem 
                                appointed to represent the individual 
                                in any foster care proceeding or 
                                proceeding in which a decision referred 
                                to in section 422(b)(8)(B) may be made; 
                                and
                                    ``(II) provide plan information to 
                                the social worker for the child and the 
                                parents and caretakers of the child.
                            ``(iii)(I) Within 60 days after the status 
                        of the child is first reviewed pursuant to 
                        section 475(5)(B), the State agency shall 
                        complete the plan.
                            ``(II) The State agency shall ensure that 
                        each subsequent such review of such status 
                        shall include consideration of an updated 
                        version of the plan and a report on the 
                        progress made in implementing the plan.
                            ``(iv)(I) Not later than 30 days before the 
                        status of the child is first reviewed pursuant 
                        to section 475(5)(B) after completion of the 
                        plan, the State agency shall provide a copy of 
                        the plan to any attorney or guardian ad litem 
                        appointed to represent the individual in any 
                        foster care proceeding or proceeding in which a 
                        decision referred to in section 422(b)(8)(B) 
                        may be made.
                            ``(II) Not later than 30 days before each 
                        subsequent such review, the State agency shall 
                        provide an updated copy of the plan to the 
                        attorney or guardian ad litem so appointed.
                            ``(v)(I) The State agency shall create a 
                        simple process by which the child, parent, 
                        relative caregiver, or attorney or guardian ad 
                        litem appointed to represent the individual in 
                        any foster care proceeding or proceeding in 
                        which a decision referred to in section 
                        422(b)(8)(B) may be made may request the plan 
                        to be modified to meet needs of the child, and 
                        for expedited consideration of any such 
                        request.
                            ``(II) The plan shall not be treated, in 
                        any administrative or judicial review 
                        proceeding, as meeting the requirements of this 
                        paragraph with respect to a child unless the 
                        plan is determined by the reviewer to be the 
                        best available means of meeting the current and 
                        future health, educational, housing, financial, 
                        and employment needs of the child.
                    ``(B) Assist the child in developing a plan to 
                manage the benefits so as to meet the current and 
                future needs of the child that are not covered by 
                assistance available from the Federal, State, and local 
                governments.''.
    (b) Provisions Relating to Representative Payees.--
            (1) Amendments to title ii.--Section 205(j) of such Act (42 
        U.S.C. 405(j)) (as amended by the preceding provisions of this 
        Act) is amended further--
                    (A) by redesignating paragraphs (8), (9), (10), 
                (11), and (12) as paragraphs (9), (10), (11), (12), and 
                (13), respectively; and
                    (B) by inserting after paragraph (7) the following 
                new paragraph:
    ``(8) A representative payee who is a State shall manage the 
benefits paid to the representative payee under paragraph (1) on behalf 
of an individual who is in foster care under the responsibility of the 
State, in accordance with the plan developed for the child pursuant to 
section 471(a)(40).''.
            (2) Amendment to title xvi.--Section 1631(a)(2) of such Act 
        (42 U.S.C. 1383(a)(2)) is amended by adding at the end the 
        following:
    ``(J) A representative payee who is a State shall manage the 
benefits paid to the representative payee under subparagraph (A)(ii) of 
this paragraph on behalf of an individual who is in foster care under 
the responsibility of the State, in accordance with the plan developed 
for the child pursuant to section 471(a)(40).''.

SEC. 6. SHARING OF INFORMATION ABOUT BENEFIT PAYMENTS MADE TO 
              REPRESENTATIVE PAYEES AND ANY PART OF WHICH HAS BEEN 
              PROVIDED TO A STATE.

    Section 471(a) of the Social Security Act (42 U.S.C. 671(a)), as 
amended by sections 2(c), 3(a), and 5(a) of this Act, is amended--
            (1) by striking ``and'' at the end of paragraph (39);
            (2) by striking the period at the end of paragraph (40) and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(41) provides that the State shall have in effect an 
        agreement entered into pursuant to section 205(j)(12) that 
        includes a provision for the sharing of information about 
        benefits under title II or XVI that have been paid to 
        representative payees and the portion, if any, of such benefit 
        payments that have been provided to, or intercepted by, the 
        State''.

SEC. 7. TECHNICAL ASSISTANCE FOR CHILD WELFARE AGENCIES.

    (a) In General.--On request of a State agency responsible for 
administering, or supervising the administration of, a State program 
authorized by part E of title IV of the Social Security Act, the 
Secretary of Health and Human Services, in consultation with the 
Commissioner of Social Security, shall provide the State agency with 
technical assistance in carrying out the amendments made by this Act, 
including guidance for informing non-State representative payees of 
children in foster care under the responsibility of the State who are 
recipients of benefits under title II of such Act or supplemental 
security income benefits under title XVI of such Act of the 
availability of appropriate savings vehicles for any part of the 
benefits not required to meet the immediate unmet needs of the 
children.
    (b) Limitations on Authorization of Appropriations.--In addition to 
any amounts otherwise made available to carry out this section, there 
are authorized to be appropriated to carry out this section $4,500,000 
for fiscal year 2025, and such sums as may be necessary for each of 
fiscal years 2026 through 2030.

SEC. 8. ANNUAL NOTICE OF STATE USE OF FOSTER YOUTH ASSETS.

    Section 471(a) of the Social Security Act (42 U.S.C. 671(a)), as 
amended by sections 2(c), 3(a), 5(a), and 6 of this Act, is amended--
            (1) by striking ``and'' at the end of paragraph (40);
            (2) by striking the period at the end of paragraph (41) and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(42) provides that the State agency shall--
                    ``(A) within 1 year after the effective date of 
                this paragraph, provide each child in foster care under 
                the responsibility of the State with an accounting of 
                all assets of, and all amounts payable to or for the 
                benefit of, the child that the State used for 
                maintenance or care of the child, which accounting 
                shall specify the source of each asset or amount so 
                used, the amount so used, and the purpose for which the 
                amount or asset was so used;
                    ``(B) annually thereafter, provide each child who, 
                at any time in the then preceding 12-month period, was 
                in foster care under the responsibility of the State, 
                with such an accounting with respect to all such assets 
                and amounts so used in the 12-month period; and
                    ``(C) on request of any individual who was in 
                foster care under the responsibility of the State for 
                such an accounting, provide the child with the 
                accounting.''.

SEC. 9. SIMPLIFYING ADMINISTRATIVE REIMBURSEMENT FOR CARETAKER TRAINING 
              COSTS.

    Section 474(a)(3)(B) of the Social Security Act (42 U.S.C. 
674(a)(3)(B)) is amended by striking ``receiving assistance'' and 
inserting ``without regard to whether the child is eligible for a 
benefit''.

SEC. 10. ADJUSTMENT OF FEDERAL SHARE OF ADMINISTRATIVE EXPENSES FOR 
              MANAGING FOSTER YOUTH BENEFITS ELIGIBILITY.

    Section 474(a)(3) of the Social Security Act (42 U.S.C. 674(a)(3)) 
is amended--
            (1) in subparagraph (C)(iv), by striking ``and'' at the 
        end;
            (2) in subparagraph (D), by striking ``and'' at the end; 
        and
            (3) by redesignating subparagraph (E) as subparagraph (F) 
        and inserting after subparagraph (D) the following:
                    ``(E) 75 percent of the total amounts expended 
                during such quarter under paragraphs (39) and (40) of 
                section 471(a) for children in foster care under the 
                responsibility of the State, without regard to whether 
                the child is eligible for a benefit funded under this 
                part; and''.

SEC. 11. EFFECTIVE DATES.

    (a) Amendments to Title II or XVI of the Social Security Act.--The 
amendments made by sections 2(a), 2(b), 4, and 5(b) of this Act shall 
apply to benefits payable for months beginning after the later of--
            (1) the date the Commissioner of Social Security prescribes 
        rules to implement the amendment; or
            (2) 1 year after the date of the enactment of this Act.
    (b) State Plan Requirements Relating to Plans for Managing Assets 
and Benefits for Foster Youth and Sharing of Information About Benefit 
Payments Made to Representative Payees and Any Part of Which Has Been 
Provided to a State.--
            (1) In general.--The amendments made by sections 5(a) and 6 
        of this Act shall take effect on the first day of the first 
        calendar quarter beginning after the date of the enactment of 
        this Act, and shall apply to payments under part E of title IV 
        of the Social Security Act for calendar quarters beginning 
        after such first day.
            (2) Delay permitted if state legislation required.--If the 
        Secretary of Health and Human Services determines that State 
        legislation (other than legislation appropriating funds) is 
        required in order for a State plan approved under part E of 
        title IV of the Social Security Act to meet the additional 
        requirements imposed by the amendments made by section 5(a) or 
        6 of this Act, the plan shall not be regarded as failing to 
        meet any of the additional requirements before the first day of 
        the first calendar quarter beginning after the first regular 
        session of the State legislature that begins after the date of 
        the enactment of this Act. If the State has a 2-year 
        legislative session, each year of the session is deemed to be a 
        separate regular session of the State legislature.
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