Updated June 30, 2021
Child Welfare: Purposes, Federal Programs, and Funding
The Work of Child Welfare Agencies
health, education, and law enforcement agencies—to carry out
Children depend on adults—usually their parents—to protect
child welfare activities. This work is done consistent with state
and support them. The broadest mission of public child welfare
laws and policies. At the same time the federal government has
agencies is to strengthen families so that children can depend
long provided technical support and funding that is intended to
on their parents to provide them with a safe and loving home.
improve state child welfare work. By providing this funding,
More specifically, child welfare agencies work to prevent
the federal government compels states to meet certain program
abuse or neglect of children by their parents/caregivers. If
rules, such as requiring permanency planning for all children in
abuse or neglect has already happened, the agencies are
foster care. Compliance with these child welfare requirements
expected to provide aid, services, or referrals as needed to
is monitored via federal plan approvals, audits, and reviews.
ensure children do not re-experience maltreatment. For some
The Children’s Bureau within the U.S. Department of Health
children, this means placement in foster care.
and Human Services (HHS) administers most federal child
welfare programs. State level administration may be housed in
Federal child welfare policy has three primary goals:
the state human services department, or by an independent,
ensuring children’s safety, enabling permanency for
state-level child and family services agency. Some states have
children, and promoting the well-being of children
county-administered programs supervised by the state agency.
and their families.
Child Welfare Spending and Programs
Foster care is understood as a temporary living situation. The
State child welfare agencies spent about $33 billion on child
first task of a child welfare agency is to provide services to
welfare purposes during state FY2018, according to a survey
enable children to safely reunite with their families. If that is
by researchers at Child Trends. Most of that spending drew
not possible, then the agency works to find a new permanent
from state and local coffers (56%). Of the remainder, 26% was
family for the child via adoption or guardianship. Youth in
supplied by federal child welfare programs—including those
care who are neither reunited nor placed with a new permanent
authorized in Title IV-E and Title IV-B of the Social Security
family are typically “emancipated” at their state’s legal age of
Act (SSA) and the Child Abuse Prevention and Treatment Act
majority. These youth are said to have “aged out” of care.
(CAPTA)—and 18% came from other federal programs not
solely child welfare-focused (principally, the Social Services
Children Served
Block Grant and Temporary Assistance for Needy Families).
During FY2019, public child protection agencies screened
For FY2021, about $12.6 billion was provided for federal
allegations of abuse or neglect involving 7.9 million children,
programs that are wholly dedicated to child welfare.
carried out investigations or other protective responses
involving 3.5 million of those children, and provided follow-
Figure 1. Federal Child Welfare Funding by Purpose
up services in the homes of some 1.1 million of those children.
(FY2021 total: ~$12.6 billion) Dollars shown in millions
Following a child protective services investigation, some
children are removed to foster care. During FY2019, more
than 251,000 children entered care. The circumstances most
often associated with children’s entry to foster care are neglect
and/or parental drug abuse. Among the 424,000 children who
were in foster care on the last day of FY2019, the majority
(82%) lived in family homes (nonrelative or relative foster
family homes and pre-adoptive homes), 10% lived in a group
home or institution, about 7% were on trial home visits or in
supervised independent living, and close to 1% had run away.
Among the 249,000 children who formally left foster care
during FY2019, more than half returned to their parents or

went to live informally with a relative (53%), while 37% left
Source: Prepared by CRS using funding levels provided in P.L. 116-260, P.L.
care for a new permanent family via adoption or guardianship.
117-2, and, per HHS, ACF, amount paid in FY2021 (for FY2020) funding
At the same time, 8% aged out of care, while most of the
certainty grants P.L. 116-94 (Div. N, §602). Amounts for foster care, adoption
and guardianship reflect increased federal IV-E cost-sharing authorized in P.L.
remainder (1%) were transferred to the care of another agency.
116-127 (§6008) due to the COVID-19 public health emergency. Per HHS,
Who Bears Public Responsibility for This Work?
ACF, of the foster care and prevention amount, $13 mil ion is for prevention.
*FY2020 funding certainty grants were made to 18 eligible agencies in spring
Under the U.S. Constitution, states are considered to bear the
2021. Awards may be adjusted. See HHS, ACF, ACYF, CB, PI-21-04, p 23.
primary public responsibility for ensuring the well-being of
** Includes regular and additional COVID-19-related or other funds.
children and their families. Public child welfare agencies at the
state and local levels work with an array of private and public
entities—including the courts and social service, health, mental
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Child Welfare: Purposes, Federal Programs, and Funding
Title IV-E of the Social Security Act
waives the evidence rules from April 30, 2020, to September
Title IV-E supports foster care, adoption assistance, and (at
30, 2021, and raises federal IV-E kinship navigator support to
state option) guardianship assistance to children who meet
100% for the same period.
federal IV-E eligibility rules. As of FY2019, the program may
Title IV-B of the Social Security Act
be used for kinship navigator programs meeting IV-E evidence
Title IV-B includes the Stephanie Tubbs Jones Child Welfare
standards. As of FY2020, states may opt to provide selected
Services (CWS) and the MaryLee Allen Promoting Safe and
evidence-based foster care prevention services. Funding is
Stable Families (PSSF) programs, which authorize grants to
authorized on a permanent (no year limit) and open-ended,
states and tribes for child and family services. Total FY2021
mandatory basis. P.L. 116-260 (Div. H) provides $9.9 billion
funding for CWS, PSSF and related research and training is
in definite budget authority.
$781 million, including $85 million in supplemental PSSF
Foster Care, Adoption, and Guardianship
funding in response to COVID-19. Capped mandatory funding
Under IV-E, states and participating tribes must provide foster
is authorized for PSSF through FY2022 and discretionary
care and adoption assistance to eligible children and the federal
funding for CWS and PSSF is authorized through FY2021.
government is committed to paying a part of the cost of that
There are no federal eligibility rules for receipt of Title IV-B
aid (50% to 83%, depending on the state/tribe), as well as a
services. Funds are used to protect children (CWS); support,
part of the cost of administering the program (50% in all states/
preserve, and reunite families (CWS and PSSF); and promote
tribes) and for training (75% in all states/tribes). States/tribes
and support adoption (CWS and PSSF). Children served may
may opt to provide IV-E guardianship aid under this same
be living at home or in foster care. States must provide at least
cost-sharing structure. An estimated 703,000 children received
$1 in nonfederal funds for every $3 in federal funds received.
IV-E support in an average FY2019 month, including adoption
aid (504,000), foster care support (163,000), or guardianship
A portion of PSSF funding is reserved each year for the Court
aid (35,000).
Improvement Program ($30 million), monthly caseworker visit
grants ($20 million), Regional Partnership Grants (RPGs) to
The Families First Coronavirus Response Act (P.L. 116-127)
improve outcomes for children and families affected by
authorized a temporary increase in support for Title IV-E
substance use disorder ($20 million), and for related technical
assistance payments, committing the federal government to
assistance and research (circa $8 million). For FY2021, $10
paying 56.2% to 89.2% of state costs (depending on the state
million of the supplemental PSSF funds were provided to
or tribe). During FY2021, this was expected to provide $523
boost Court Improvement funding and, out of regular PSSF
million in additional federal IV-E support to states/tribes. This
funding; $19 million is provided for kinship navigator grants to
increased federal IV-E cost sharing remains available through
states and tribes; $2.6 million is directed to the IV-E
the end of the quarter in which the HHS Secretary declares the
prevention services clearinghouse; and $1 million supports
COVID-19 public health emergency ended.
additional child and family services research.
In general, states and tribes must only spend IV-E dollars
Chafee Program for Successful Transition to Adulthood
(federal and state/tribal) on children who meet federal
Under the Chafee program, states receive grants for services to
eligibility criteria. Rules vary by type of aid. For foster care,
assist children who experience foster care at age 14 or older,
they include an income test (applied to the home the child is
including youth formerly in care up to age 21 (or 23 in states
removed from), removal requirements (typically, a judge must
that offer foster care support to age 21). Funding is also
find that a home is “contrary to the welfare” of the child and
authorized for Educational and Training Vouchers (ETVs ) to
that “reasonable efforts” to prevent foster care were made),
allow Chafee-eligible youth to attend college or post-
placement in a licensed foster family home or other eligible
secondary training. Funding for Chafee basic grants is
facility, and age requirements. Fewer than 50% of children in
authorized on a capped mandatory basis and for ETVs on a
care meet those criteria, although this share varies by state.
discretionary basis. Both funding authorizations are permanent
Through FY2021, P.L. 116-260 (Div. X) prohibits states from
(no year limit). States are required to provide no less than $1
requiring youth to leave foster care solely due to age (whether
for every $4 in federal Chafee/ETV funding they receive.
18 or, in some states, 21) and, for purposes of determining IV-
FY2021 funding of these activities is $586 million, including
E eligibility, it lifts the age (and related work/education) rules.
$400 million to help states better serve youth during the
Prevention and Kinship Navigator
COVID-19 pandemic.
States and tribes opting to provide approved IV-E prevention
Child Abuse Prevention and Treatment Act (CAPTA)
services may offer them to children at “imminent risk” of
CAPTA authorizes grants to states to improve child protective
foster care; pregnant or parenting youth in care; and the parents
services (no nonfederal match required), and for community-
or kin caregivers of these children and youth. No income test
based efforts to prevent child abuse and neglect (20%
need apply. As of late June 2021, 13 jurisdictions (11 states,
nonfederal match required). It also funds research and
DC, and one tribe) had approval to offer IV-E prevention
technical assistance. CAPTA’s discretionary funding
services, and 15 more (13 states and two tribes) had submitted
authorities expired with FY2015, but support has continued.
plans seeking approval to do so. P.L. 116-260 (Div. X)
increases federal support for prevention services from 50% to
CAPTA funding totaled $536 million for FY2021, including
100% for April 1, 2020–September 30, 2021.
$190 million for state grants ($90 million in regular funding
and $100 million supplemental), $311 million for community-
Title IV-E funded kinship navigator programs may serve
based grants ($61 million in regular funding and $250 million
kinship families without regard to child welfare involvement.
supplemental, no nonfederal match required), and $35 million
This support is authorized at 50% of state/tribal costs, provided
for research and technical assistance.
the navigator program meets the IV-E evidence standards. To
date, none have been found to do so. P.L. 116-260 (Div. X)
Emilie Stoltzfus, Specialist in Social Policy
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Child Welfare: Purposes, Federal Programs, and Funding

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