House Ways and Means subcommittee urges modernization of Chafee as witnesses say ‘aging out is not a plan’

Members of the U.S. House Committee on Ways and Means Subcommittee on Work and Welfare heard bipartisan testimony that the federal John H. Chafee foster care program and related federal supports need modernization and better local coordination to prevent young people from ‘‘aging out’’ of care without stable housing, education or connections.

The hearing opened with Chairman Darren LaHood saying, “Aging out is not a plan,” and describing recent reauthorization work under the Supporting America’s Children and Families Act and remaining gaps in services. Ranking Member Danny Davis and other members cited data on educational and housing outcomes for former foster youth as motivation for further legislative changes.

Witnesses with personal experience and nonprofit operators described barriers that limit youth access to services such as education and training vouchers (ETVs), foster-youth housing vouchers, and workforce supports. Kimberly Webb, a 20-year-old from Farmington, Missouri who is enrolled in Missouri’s Royals program, told the panel that specialized, relationship-driven case management made a decisive difference for her: “They didn’t boss me around or make decisions for me. They gave me the information I needed and supported me in making my own choices,” Webb said, describing one-on-one coaching and help getting vital documents, transportation and life skills.

Ramon Nelson, a former foster youth and lived-experience leader, described years of poor information and instability that delayed his college progress and left him briefly homeless: “I’m not what I’ve been through. I’m what I’m built for,” Nelson said. He told members he learned about federal supports such as Chafee and housing assistance only after long delays and peer supports helped him access resources and complete his degree.

Program leaders testified about measurable improvements from targeted models but urged federal policy changes. Dr. Maggie Stevens, president and CEO of Foster Success, said streamlined administrative processes and human-centered supports raise completion rates for ETV recipients: “We meet young people where they are in their educational journeys, and we help them move to reaching their educational goals,” she said, citing completion rates above the national average for students served by her organization’s ETV administration.

Lisa Gillette, executive director of Foster Forward in Rhode Island, described the Works Wonders program, which pairs coaching, peer support and employer-connected internships with housing assistance; she recounted a participant who said, “I was alive, but I wasn’t really living,” before entering the program and later completed a certified nursing assistant program and secured employment and housing.

Committee members and witnesses highlighted several recurring problems: - Awareness and outreach gaps: Witnesses and members noted that many eligible youth do not know about Chafee services, education and training vouchers (ETVs), or HUD foster-youth housing vouchers (FYI). Multiple witnesses said repeated, plain-language notices at court hearings, caseworker contacts and school interactions could increase uptake. - Administrative and funding design: Witnesses and members cited a recent Government Accountability Office (GAO) finding that some states returned unspent Chafee and ETV funds to the federal government, and attributed underuse to red tape, inconsistent state interpretations of allowable uses, and funding formulas that allocate dollars based on total children in care rather than the number of transition-age youth eligible for Chafee services. - Program design and scale: Operators urged lifting or adjusting the ETV funding cap, explicitly allowing Chafee funds to pay for specialized case management for older youth, expanding ETV eligibility to trade and technical programs, and improving coordination between WIOA-funded workforce programs, Chafee, and HUD FYI vouchers.

Committee members cited several data points discussed at the hearing: approximately 15,600 youth aged out of foster care in 2023; studies showing roughly 25 percent of former foster youth experience homelessness within four years of leaving care; lower high-school completion rates for foster youth (roughly 79 percent versus 92 percent for peers), and that ETVs provide up to $5,000 per youth for postsecondary costs. Witnesses also said some states add their own supports (Illinois, for example, adds a $2,500 state subsidy to federal vouchers).

Witnesses offered examples of successful local models that combine housing vouchers, wage-paid internships and coaching. Gillette described Rhode Island’s approach to connecting HUD FYI vouchers to supportive services and local affordable housing purchases; Stevens described technological and coaching changes that reduced application processing time and increased student persistence and credential completion among ETV recipients. Webb and Nelson both credited peer and community programs (Royals, FosterClub and others) with providing crucial information and supports they otherwise lacked.

Members asked about specific reforms: clarifying allowable Chafee uses to include targeted case management; recalculating federal grant formulas to reflect the number of Chafee-eligible youth; reducing documentation and administrative barriers under WIOA to allow easier workforce placement; and aligning FYI vouchers with community-based supportive services and housing stock.

The panel also discussed limited but targeted federal investments. A member noted an announced $25 million FYI allocation for 2026; witnesses urged using FYI dollars together with Chafee and local nonprofit supports to provide 36 months of housing runway plus wraparound services.

No formal votes or formal committee actions were taken at the hearing. Members concluded by thanking witnesses and asking for follow-up materials; the committee stated members have two weeks to submit written questions for the record.

Why it matters: congressional members framed the issue as a bipartisan, practical policy challenge with clear downstream consequences for homelessness, unemployment and education. Witnesses with lived experience and program operators presented specific operational fixes (outreach, funding formula adjustments, clearer eligible uses for Chafee funds, and pairing housing vouchers with intensive supportive services) the committee could pursue in legislation or oversight.

Looking ahead, members said they will continue negotiation on Chafee modernization, possible statutory clarification of allowable services, and improved coordination among HUD, Labor, and state child-welfare agencies to boost uptake of existing funds.