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Officials outline timeline for tiered foster‑care rates; counties warn funding and fidelity gaps remain

2602518 · March 12, 2025
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Summary

CDSS described milestones and public engagement for implementing the new tiered foster‑care rate structure, while counties and providers warned of insufficient funding for CANS fidelity work and requested clearer milestones and state support.

The Assembly subcommittee heard a multi-hour briefing on the implementation plan for California’s new tiered foster‑care rate structure (TRS), a statutory reform that ties payment levels to individualized assessments of foster children’s needs.

Angie Schwartz, Deputy Director of CDSS’s Children and Family Services Division, said the department plans to release most core guidance by July 2026 and implement the first version of the statewide automation (CWS CARES) in October 2026, with rates going live July 1, 2027. Key components include the strength‑building program, an immediate‑needs program and automation tied to the Child and Adolescent Needs and Strengths (CANS) assessment.

Because tier assignment will be based on the CANS tool, many witnesses insisted fidelity investments are essential. "We've never really invested in the fidelity related work that's needed to ensure that both the CANS and CFTs are implemented as envisioned," Diana Boyer of the County Welfare Directors Association said. County representatives said current state funding for CANS and Child and Family Team (CFT) work is insufficient; CWDA estimated counties overspent the existing allocation by roughly 25% in fiscal 2023–24 (about $17.5 million).

Provider groups raised concerns about timing, adequacy of rates for short‑term residential therapeutic programs, and continuity of services such as high‑fidelity wraparound. Kim Lewis of SpearNet asked whether wraparound services would force youth to change teams when tiers change, which could undermine continuity of care.

The Legislative Analyst’s Office urged the administration to publish a detailed implementation roadmap with milestones, stakeholder feedback points and measurable readiness criteria. Lawmakers asked the LAO and CDSS to identify the funding gap that counties face and to produce a recommended funding figure for the May revision. The committee emphasized the need to monitor fiscal and operational readiness as the project proceeds.