Sen. Ron Wyden (D-OR) introduced in August Senate Bill 1509 that is a different twist to the previous Senate bill 1013,“State Child Welfare Innovations Act of 2011.”  The new legislation provides states with incentives to improve the well-being of children in the child welfare system through systemic changes and innovations.  It also calls for increased collaboration between state agencies that impact the well-being of children, including juvenile justice, education, labor, housing, etc.  This act promotes collaboration by requiring an inter-agency working group to identify existing federal resources and streamline them to reduce duplication and allow grantees to access additional services and funding streams.

The Promoting Accountability and Excellence in Child Welfare Act would establish a 5-year grant program to give states and localities greater flexibility to implement comprehensive reforms to existing child welfare programs, provided they can demonstrate success in improving child well-being.  The legislation also directs the Secretary of Health and Human Services to report to Congress with recommendations on how to update federal foster care financing. Under current law, eligibility for federal foster care assistance remains tied to the obsolete Aid to Families with Dependent Children (AFDC) program, meaning each year fewer children in foster care are eligible for federal funding. As a result, states are required to take on an ever-increasing share of foster care financing. This structure forces states to compensate by drawing funds from other programs such as Temporary Assistance to Needy Families (TANF) and the Social Security Block Grant (SSBG) to provide for children in care.

This legislation was referred to the Senate Committee on Finance, where Senate Bill 1013 sits since being referred to the Committee in May 2011.  It is unclear if either legislation that calls for huge changes in the child welfare system will receive more attention during this Congress.