Proposed NJ Law Would Help Foster Kids Save Up A Nest Egg

NEW JERSEY — Far too many youth are leaving New Jersey’s foster care system with only a duffel bag to their name. But a proposed state law in New Jersey could help provide them with a nest egg that they can use to give themselves a hand up as they enter adulthood, its supporters say.

Earlier this week, the bipartisan New Jersey Senate Health, Human Services, and Senior Citizens Committee unanimously voted to advance S-3153. If it becomes law, the bill would prohibit the state Department of Children and Families (DCF) from using the property or benefits of any child in their custody to offset the cost incurred by the state for the child’s care.

Here are some additional details about the bill, according to its sponsors, Sen. Teresa Ruiz and Sen. Joseph Cryan:

“Under the bill, the DCF would be required to conserve the child’s benefits in an account at a federally insured financial institution for the child’s future use. The department would be eligible to use these benefits in the child’s best interests if the child has unmet needs that exceed the state’s maintenance obligation within the federal income and resource limits established for the relevant federal benefits program.”

The bill now heads to the Senate Budget and Appropriations Committee for further review.

“Many exit the foster care system into homelessness with only a duffel bag to their name,” Cryan said. “Dedicating these benefits for future use can mean the difference between life on the street and life with stability, security and opportunity.”

“Removing provisions that require children to pay for their own foster care — a public service that federal law mandates the government pay for — will pave the way for a brighter future as they transition out of the system,” Ruiz said.

“We must do everything we can to secure the financial future of our youth in foster care and their families so we are not perpetuating a system that keeps families separated and foster kids with little resources when they begin their independent lives,” she added.

A companion bill, A-4543, has been introduced in the Assembly and currently sits before the appropriations committee.

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