Michigan is set to relieve counties of administrative costs of foster care

Revising the fund sourcing for the private child placing agency administrative rate would

increase state costs by approximately $500,000 and decrease county costs by the same

amount. The FY 2013-14 DHS budget provides funding to support this change.

The FY 2013-14 DHS budget provides $5.1 million Gross ($3.8 million GF/GP) to

increase private child placing agency administrative rates from $37 per child per day to

$40. The FY 2013-14 DHS budget also includes boilerplate section 546(4) which states

that the $3 rate increase would only be provided if the Social Welfare Act is amended to

eliminate the county matching requirement for this increase.

In FY 2011-12, counties had to provide their 50% matching requirement for about 20%

of the private child placing agency administrative rates (or 10% of the total cost); these

foster care cases are, in general, temporary court wards that do not meet federal IV-E

eligibility. The other 80% of the administrative rates are funded with either 50%

federal/50% GF/GP if the foster care case is eligible for federal IV-E funds or 100%

GF/GP if the foster care case is a state ward.

Voting is beautiful, be beautiful ~ vote.©