WA diverts benefits meant for foster youth. That practice may end
Jan. 24—OLYMPIA —
The practice of intercepting those benefits — like Retirement, Survivors, and
But now, two lawmakers say they will propose legislation this session to end the practice.
Sen.
The state
But a multibillion-dollar budget deficit looms over this year's legislative session, as lawmakers must pass a balanced state budget by
The budget shortfall "certainly might" cause an extra hurdle for her bill, Warnick said. "But this is money that's due to those children."
"One thing about foster youth — they're in the foster system not because they're bad kids or because of anything they've done," Warnick said. "If we can tell the story and make our point, hopefully it'll get done."
Sen.
"I think that we shouldn't use vulnerable children's property as a revenue source," Alvarado said in a recent interview.
A proposal to end the practice was first introduced by Alvarado in 2023, but the measure did not pass in the
Alvarado noted that a proviso was included in the 2023-25 budget that required DCYF to develop an implementation plan to end the diversion of benefits and develop a policy about preserving those benefits for children and youth. DCYF then convened a public benefit preservation work group which came up with recommendations on how to end the policy, and the bill comes out of those efforts, she said.
Others have been working with Alvarado and Warnick to get a bill passed this session.
That report found that in 2018 alone, states collected more than
"I think the good news now is that our state is on a path to get rid of this practice," said
The challenging part, Justice said, is backfilling the revenue DCYF would lose.
"I would say this policy probably represents the most regressive approach to funding state services, if you think about it," Justice said. "Unfairly burdening the most vulnerable children in our state with contributing to their own care is not the right part of the solution to balancing our state's budget, no matter what the budget climate is."
Justice also added that about 15% of youth who exit the foster care system experience homelessness within 12 months, so withholding benefits means they are missing out on the ability to meet their basic needs. Withholding benefits could prevent stability for their families if children are reunited. She said some foster youth aren't even aware they receive federal benefits.
Distributing those benefits to youth, as intended, would be "wonderful," said
Watts said the current policy predates the agency itself, which was established in 2017, and that when the issue came to light, the agency was not even certain if it engaged in the practice.
The policy, she said, came from a "real push to maximize the use of federal funding in order to close state budgets" during a time when many states were facing budget shortfalls. Additionally,
Watts said the work group commissioned to look at the issue took careful consideration in crafting the policy by consulting with other states who have reformed the policy. The work group also considered the infrastructure needed to conserve benefits in accounts for foster youth.
According to the
© 2025 The Seattle Times. Visit www.seattletimes.com. Distributed by Tribune Content Agency, LLC.


Report: If Medicaid expansion ends, be prepared to pay more for private insurance in Montana
Trump Puts Kibosh On Idea For Fed Digital Currency With One Stroke Of His Pen
Advisor News
- CT governor’s candidates claims: What’s true, and what’s misleading
- Retaining clients by giving them a memorable experience
- Addressing the longevity paradox
- Employers shift focus from retirement access to financial outcomes
- Helping widowed clients navigate their new financial reality
More Advisor NewsAnnuity News
- Symetra and TIAA Announce Launch of Mariner Re
- Jackson Launches Suite of Fixed Index Annuities Focused on Accumulation
- Farm Bureau P&C insurers post first underwriting gain since 2021
- Legacy Marketing, Malibu Life launch two fixed indexed annuities
- Changing client priorities are reshaping annuity conversations
More Annuity NewsHealth/Employee Benefits News
- Study Findings from Duke University Medical Center Broaden Understanding of Managed Care (Evolution of Tined Leadless Pacemaker Implantation: Patient Selection, Implant Volume, Center Characteristics, and Safety Trends): Managed Care
- Researchers at University of Kentucky Release New Data on Managed Care (Governing the OR: How Do Political and Regulatory Landscapes Influence Pediatric Urology Surgery Costs?): Managed Care
- Studies from Georgia State University Yield New Information about Geriatrics and Gerontology (Does the Pilot Long-Term Care Insurance Work as Expected in China? Examining its Impact on Hospital Utilizations, Medical Expenses, and Health): Aging Research – Geriatrics and Gerontology
- Findings from Harvard University in the Area of Managed Care Described (Balanced and Robust Randomized Treatment Assignments: the Finite Selection Model for the Health Insurance Experiment and Beyond*): Managed Care
- New OBGYN and Reproduction Study Results from Louisiana Department of Health Described (Experiences of Lactation Support Among Medicaid-Insured Mothers in Louisiana): OBGYN and Reproduction
More Health/Employee Benefits NewsLife Insurance News