Sponsored by:
Senator M. TERESA RUIZ
District 29 (Essex and Hudson)
Senator JOSEPH P. CRYAN
District 20 (Union)
Co-Sponsored by:
Senator McKnight
SYNOPSIS
Prohibits DCF from using federal benefits, received by a child in out of home placement, to reimburse State for the cost of the childs maintenance.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning federal benefits for a child in out of home placement and supplementing P.L.1991, c.290 (C.9:6B-1 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. In any case of a child in the custody of the division, the department is prohibited from utilizing any portion of the childs property or benefits, including federal Social Security benefits, to offset the States costs for the childs maintenance.
b. If the department has been appointed as the representative payee for the federal benefits of a child in the custody of the division, the department may utilize such benefits of a child in the custody of the division for the childs unmet needs beyond the amount that the State is obligated, required, or agrees to pay, after notifying the child, the childs parent(s) or legal guardian, counsel, and the Family Part of the Chancery Division of the Superior Court.
c. If the department has been appointed as the representative payee for the federal benefits of a child in the custody of the division, the department shall establish an account at a federally insured financial institution into which the childs federal benefit will be deposited for conservation or use in the childs best interests, consistent with federal and State asset and resource limits, as applicable.
d. For any child in the custody of the division, the department shall determine whether the child is receiving or is eligible to receive federal benefits. If the department determines that a child is eligible or may be eligible for federal benefits, the department shall apply for the benefits on behalf of the child with notice to the child, the childs parent(s) or legal guardian, counsel, and the Family Part of the Chancery Division of the Superior Court.
e. If the department has been appointed as representative payee for a childs benefits, it shall provide an annual accounting as to the use, application, or conservation of such benefits to the child, the childs parents(s) or legal guardian, counsel, and the Family Part of the Chancery Division of the Superior Court.
f. As used in this section:
Department means the Department of Children and Families.
Division means the Division of Child Protection and Permanency in the Department of Children and Families.
Federal benefits means any cash
payments from the federal government for which a child may be eligible, including
but not limited to, Social Security benefits pursuant to Title II of the Social
Security Act (42 U.S.C. s.401 et seq.) and Title XVI of the Social Security Act
(42 U.S.C. s.1381 et seq.), and Veterans Administration benefits.
Representative payee has the same meaning as provided in paragraph (j) of Section 405 of Title II of the Social Security Act (42 U.S.C. s.405(j)(1)(A)) and in paragraph (a) of Section 1383 of Title XVI of the Social Security Act (42 U.S.C. s.1383(a)(2)(A)(ii)(I)).
2. The Commissioner of Children and Families shall apply for any federal waivers as may be necessary to implement the provisions of this act and ensure continued federal reimbursement for State expenditures for child welfare services under Part E of Title IV of the Social Security Act (42 U.S.C. s.670 et seq.).
3. The Commissioner of Children and Families, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations necessary to implement the provisions of this act.
4. This act shall take effect on the first day of the twelfth month next following enactment, except that the Commissioner of Children and Families may take any anticipatory administrative action in advance as shall be necessary for the implementation of this act.
STATEMENT
This bill prohibits the Department of Children and Families from using the property or benefits of any child under the custody of the Division of Child Protection and Permanency to offset the States costs for the childs maintenance. Rather, the bill stipulates that the department must either conserve the childs benefits, in an account at a federally insured financial institution, for the childs future use or to use in the childs best interests for unmet needs that exceed the States maintenance obligation, within the federal income and resource limits established for the relevant federal benefits program.
Typically, the federal Social Security Administration will appoint the department as the representative payee for a child under the divisions custody to manage any federal benefits to which the child is entitled. These federal benefits include, but are not limited to:
1. Social Security Disability Insurance benefits, based on the work history of a disabled or deceased parent;
2. Supplemental Security Income benefits for a child who is under the age of 18 years, has a disability, and who meets certain income and resource limits established by the Social Security Administration;
3. Survivor benefits for children of deceased military veterans, which are provided by the Veterans Administration; and
4. Railroad Retirement Benefits.
These federal benefits are provided in the childs name, but are intended to be used to support the costs associated with the childs care. In the case of a child in an out-of-home placement, the department is the childs caregiver and, under federal law, may be allowed to use the childs federal benefits to offset the States costs to maintain the child in an out-of-home placement.
By prohibiting the department from utilizing the federal benefits of a child under the divisions custody to offset the States costs to care for the child, the sponsor intends to ensure that the childs financial resources be preserved to either pay for the childs unmet needs while in an out of home placement, or save for the childs future use.