Missouri House advances bill to stop state from seizing foster kids' benefits

Yahoo

11-02-2025

Rep. Melissa Schmidt, a Republican from Eldridge, presents her foster care bill on Jan. 22, 2025 (Tim Bommel/Missouri House Communications).
The Missouri House on Tuesday gave initial approval to legislation that would ban the state from seizing the Social Security benefits of foster children.
It was the first bill to come up for a vote in the full House this year and succeeded on a voice vote without opposition. It will need to be approved once more by the House before heading to the Senate.
Missouri's child welfare agency takes millions of dollars each year in foster children's benefits and uses the money to help pay for foster care. As a result, kids who are orphaned or have disabilities are responsible for paying toward the cost of their care in state custody.
The effort to ban the practice won bipartisan support during last year's session and was on the precipice of passing. But it died when GOP infighting forced the state Senate to adjourn early.
House Speaker Jon Patterson pledged last month that this legislation would be the first bill sent to the Senate, highlighting the issue as legislation that 'should have been passed but fell victim to our inaction and politics.'
This year's bill, sponsored by state Rep. Melissa Schmidt, a Republican from Eldridge, passed out of committee with no testimony in opposition, on a unanimous vote.
'I share the passion that my predecessor has for Missouri children, and I believe that we have a responsibility to be their voice,' Schmidt said during the House-wide debate Tuesday.
Schmidt shared a story of a foster child whose mother, a veteran with benefits, passed away.
'He intended to use [the benefits] for college, safe housing and stable transportation,' Schmidt said. 'However, when he exited care, those dollars had already been spent, and he was left without his hope. I think we can all agree that for Missouri children, we can do better.'
There was no opposition Tuesday to the underlying idea of protecting foster children's benefits.
'This is the reason we're in the legislature,' said state Rep. Raychel Proudie, a Democrat from Ferguson. 'These children who have already been traumatized by coming into the state's care should have that money for their care. When they are our children, we become responsible for them.'
Debate centered around whether to keep two additional sections in the legislation dealing with foster care.
One section would require the Children's Division to take into consideration the religion of the foster child when determining placement, in order to ensure children are in households of a similar religion to their families' when practicable. At last year's hearing, the legislator carrying the bill said that's already common practice but he wanted to codify it into state law.
The other provision clarifies that parents allowing children to engage in appropriate independent activities without supervision would not be considered abuse or neglect.
Schmidt initially proposed that those sections be removed, so the bill would have a clear single subject and match the version filed in the Senate. After a handful of representatives opposed removing them, the sections were allowed to remain in the bill.
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It's long been a common practice nationally to take foster kids' benefits, but it's come under increased scrutiny over the last few years. Several states, including Arizona, New Mexico and Oregon, have halted the practice.
In fiscal year 2024, Children's Division spent over $10.6 million in foster kids' benefits. If the bill passes, the state will need to replace that funding. Around 1,200 children receive benefits.
The bill would prohibit the state from using those federal benefits to pay itself back for routine foster care expenses.
Instead the division could use the funds for the child's 'unmet needs' beyond what the division is obligated to pay, such as housing as the child prepares to age out of foster care. The state would also be required to ensure the account in which the child's benefits are deposited is set up in a way that doesn't interfere with federal asset limits.
The Senate version of the bill this year was filed by state Sen. Jamie Burger, a Republican from Benton, and has been referred to committee but not yet scheduled for a public hearing. It includes only the provisions surrounding foster kids' benefits.
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