Foster Care Stabilization Act of 2026

#3802 | S Congress #119

Policy Area: Families
Subjects:

Last Action: Read twice and referred to the Committee on Finance. (2/9/2026)

Bill Text Source: Congress.gov

Summary and Impacts
Original Text

Bill Summary

The "Foster Care Stabilization Act of 2026" aims to improve the support and services available to foster youth by establishing a demonstration grant program under Title IV of the Social Security Act. This legislation authorizes the Secretary of Health and Human Services to award up to three grants, each not exceeding $1,000,000, to foster care stabilization agencies. These grants are intended to provide emergency relief to foster youth and enhance pre-placement services for those awaiting foster care placement.

Key provisions of the act include:

1. **Grant Purpose**: Funds can be used for hiring staff, providing essential items like clothing and food, and addressing child abuse and neglect concerns.

2. **Application Process**: Agencies interested in receiving grants must submit detailed proposals outlining how they will utilize the funds.

3. **Targeted Outreach**: The Secretary is mandated to ensure that grant opportunities are widely communicated, particularly in rural areas and among Indigenous communities.

4. **Reporting Requirements**: The Secretary must submit a report to Congress detailing how the funds were utilized, including data on the provision of necessities and the outcomes for foster youth receiving assistance.

Overall, the legislation seeks to enhance the stability and wellbeing of foster youth by ensuring they receive timely and adequate support during critical transitional periods.

Possible Impacts

The "Foster Care Stabilization Act of 2026" could have several significant effects on individuals, particularly foster youth and the agencies that support them. Here are three examples:

1. **Improved Emergency Relief for Foster Youth**: The legislation establishes a grant program specifically aimed at providing emergency relief to foster youth. This could lead to immediate benefits for young people in foster care who face unexpected hardships. For example, funds could be used to provide essential items like clothing, food, or personal necessities, which would directly improve their quality of life and help them feel more secure during difficult times.

2. **Enhanced Pre-Placement Services**: By improving pre-placement services offered by foster care stabilization agencies, this act could lead to better preparation and support for youth who are waiting for placement. For instance, agencies may use grant funds to hire additional staff who are specifically trained to address the unique needs of foster youth, offering them counseling or educational support. This could help reduce the trauma associated with transitions into foster care and improve overall outcomes for these young people.

3. **Increased Accountability and Data Monitoring**: The requirement for the Secretary to report to Congress on how the grant funds are utilized will enhance accountability for the agencies receiving the funds. This could lead to a more effective use of resources, as agencies will need to evaluate their services based on the outcomes reported. For foster youth, this means a higher likelihood that services will be tailored to their needs, promoting better long-term outcomes such as successful transitions to independent living or educational success.

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 3802 Introduced in Senate (IS)]

<DOC>






119th CONGRESS
  2d Session
                                S. 3802

      To amend title IV of the Social Security Act to establish a 
demonstration grant program to provide emergency relief to foster youth 
and improve pre-placement services offered by foster care stabilization 
                   agencies, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            February 9, 2026

    Mrs. Fischer (for herself and Mr. Hickenlooper) introduced the 
 following bill; which was read twice and referred to the Committee on 
                                Finance

_______________________________________________________________________

                                 A BILL


 
      To amend title IV of the Social Security Act to establish a 
demonstration grant program to provide emergency relief to foster youth 
and improve pre-placement services offered by foster care stabilization 
                   agencies, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Foster Care Stabilization Act of 
2026''.

SEC. 2. GRANTS TO IMPROVE PRE-PLACEMENT SERVICES FOR FOSTER YOUTH.

    Section 426 of the Social Security Act (42 U.S.C. 626) is amended 
by adding at the end the following:
    ``(d) Grants To Improve Pre-Placement Services for Foster Youth.--
            ``(1) Establishment.--The Secretary shall award 3 
        demonstration grants of not more than $1,000,000 to foster care 
        stabilization agencies for the purpose of providing emergency 
        relief to foster youth and improving pre-placement services for 
        foster youth waiting for placement.
            ``(2) Duration.--A foster care stabilization agency that 
        receives a grant under this subsection shall have 3 years to 
        spend funds awarded by the grant and return any unused grant 
        funds to the Secretary.
            ``(3) Application.--A foster care stabilization agency that 
        desires to receive a grant under this subsection shall submit 
        to the Secretary an application at such time, in such manner, 
        and containing such information as the Secretary may require, 
        that shall include the following:
                    ``(A) A description of how grant funds will be used 
                to provide emergency relief to foster youth by the 
                foster care stabilization agency.
                    ``(B) A description of how grant funds will be used 
                to improve pre-placement services offered by the foster 
                care stabilization agency.
            ``(4) Application dissemination.--The Secretary shall 
        ensure that the solicitation of applications for a grant under 
        this subsection is posted publicly on the website of the 
        Administration for Children and Families and shall make special 
        dissemination efforts to rural areas and among Indian Tribes, 
        Tribal organizations, and Native Hawaiian organizations.
            ``(5) Use of funds.--A grant awarded under this subsection 
        may be used to carry out any of the following activities:
                    ``(A) Hiring of personnel necessary to provide 
                emergency relief to foster youth and ensure that 
                services, resources, and assistance reach such youth.
                    ``(B) Provision of clothing and other personal 
                necessities to a foster youth for a total not to exceed 
                $250 per foster youth, per year.
                    ``(C) Purchase of food and equipment needed to 
                prepare food for foster youth.
                    ``(D) Provision of service and support to prevent 
                and respond to occurrences of child abuse and neglect 
                with respect to foster youth.
                    ``(E) Any other extraordinary or emergency 
                assistance needed to promote the safety and self-
                sufficiency of foster youth.
                    ``(F) Any other purpose that the Secretary 
                determines appropriate.
            ``(6) Reservation.--The Secretary shall reserve $45,000 of 
        any amounts referred to in paragraph (9) for administration, 
        oversight, and technical assistance activities related to this 
        subsection.
            ``(7) Report.--The Secretary shall submit to the Congress a 
        report that--
                    ``(A) describes how grants awarded under this 
                subsection have been used to provide emergency relief 
                to foster youth;
                    ``(B) describe how grants awarded under this 
                subsection have been used on pre-placement services;
                    ``(C) contains data on the extent of clothing and 
                other necessities purchased with grant funds awarded 
                under this subsection that have been provided to foster 
                youth;
                    ``(D) provides an evaluation of case outcomes for 
                foster youth who have benefitted from grant funds; and
                    ``(E) states the number of home transfers for each 
                foster youth that has benefitted from grant funds.
            ``(8) Definitions.--In this subsection:
                    ``(A) Foster care stabilization agency.--The term 
                `foster care stabilization agency' means a local public 
                or private nonprofit entity, including a community or 
                faith-based organization, with expertise and experience 
                providing direct services to 1 or more of the 
                following:
                            ``(i) Children who are under the care and 
                        placement responsibility of a State or tribal 
                        agency that administers a plan under this part 
                        or part E.
                            ``(ii) Foster youth who have not attained 
                        18 years of age.
                            ``(iii) Foster youth who have attained 18 
                        years of age.
                    ``(B) Foster youth.--The term `foster youth' means 
                an individual in foster care who has not attained 26 
                years of age.
                    ``(C) Home transfer.--The term `home transfer' 
                means the initial placement of a foster youth in foster 
                care, and any subsequent placement of that foster youth 
                while in foster care.
            ``(9) Funding.--To the extent that the total of the amounts 
        made available under subsection (a) for a fiscal year exceeds 
        $5,000,000 more than the amount so made available for the 
        previous fiscal year, the Secretary shall use the amounts to 
        carry out this subsection.''.
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