This bill establishes new requirements for the management of federal benefits received by dependent children in the custody of the Department of Health and Human Services (DHHS). It mandates that the DHHS determine the eligibility of children for benefits from the Social Security Administration or Veterans Administration within 60 days of entering care. If a child is already receiving benefits, the DHHS will not change the appointed representative payee unless deemed unsuitable. The bill also allows the DHHS to serve as the representative payee if no other suitable candidate is available and outlines a phase-in schedule for conserving a percentage of the child's federal benefits, starting at 25% in 2028 and reaching 100% by 2034.

Additionally, the bill requires the DHHS to establish procedures for creating ABLE accounts for children in its custody and to provide annual accounting of the use of benefits to the child and their representatives. It emphasizes that the department cannot use the child's benefits to cover costs of care and must notify relevant parties of any decisions regarding the child's benefits. The bill also includes provisions for the release of remaining funds upon termination of the department's responsibility for the child and allows the DHHS to request additional funds from the fiscal committee for implementing these changes. The effective dates for various sections of the bill are staggered, with some provisions taking effect as early as July 1, 2027.

Statutes affected:
As Amended by the House: 126-A:6-a
As Amended by the Senate: 126-A:6-a
As Amended by the Senate (2nd): 126-A:6-a
Version adopted by both bodies: 126-A:6-a
CHAPTERED FINAL VERSION: 126-A:6-a