14000 Foster Care Assistance, Permanency Care Assistance, and Adoption Assistance

14100 Foster Care Assistance

14110 Eligibility and Benefits for Children in DFPS Conservatorship

14111 Role of the Foster Care Eligibility Specialist

CPS September 2026

Within seven calendar days after receiving the Foster Care Assistance Application and related documentation from the DFPS or the single source continuum contractor (SSCC) caseworker, the foster care eligibility specialist must do all of the following:

Obtain birth verification for children born in Texas from the Department of State Health Services (DSHS) Vital Statistics TxEVER System, if the DFPS or the SSCC caseworker does not provide birth verification. The BVS Vital Statistics TxEVER record also serves as verification of the child’s U.S. citizenship status. Foster care eligibility staff prints the child’s birth record from TxEVER, scans, and emails a copy to the DFPS or the SSCC caseworker.
Verify the child’s Social Security number (SSN) and receipt of Social Security Administration (SSA) benefits through use of SSA’s Wire Third Party Query System (WTPY) system. If the eligibility specialist determines that the child has never had an SSN issued by the SSA, the specialist must contact the child’s DFPS or SSCC caseworker to complete the SSA’s Form SS-5 Application for a Social Security Card and to coordinate with the regional Supplemental Security Income (SSI) coordinator and other regional staff to process the request for an SSN.
Search the following entities to obtain the child and family’s income and resource information during the Aid to Families with Dependent Children (AFDC) eligibility month, which is the month the court proceedings were initiated:
- Health and Human Services Commission (HHSC)
- Texas Integrated Eligibility Redesign Project (TIERS)
- Office of the Attorney General’s (OAG) Child Support system
- Data Broker systems
Determine the child’s eligibility by processing the Foster Care Assistance Application in IMPACT.
Record the child’s eligibility in IMPACT.

Except for the WTPY inquiry, upload all inquiry documents related to the eligibility determination into the OneCase/NeuDocs system.

14111.1 Consistency with Income and Resources Information

CPS September 2026

When completing an eligibility determination, the eligibility specialist must always review the following documents to ensure consistency with the information recorded on the Foster Care Assistance Application:

Affidavit
Original petition
Initial removal order

If information affecting the child’s foster care eligibility is found to be inconsistent between any of these documents, or within the Foster Care Assistance Application itself, the eligibility specialist must do the following:

Contact the DFPS or SSCC caseworker to get clarification on which information is correct.
Update the appropriate section on the Foster Care Assistance Application.

14111.2 Unknown Family Income on the Foster Care Assistance Application

CPS September 2026

The child and the family’s income information reported on the Foster Care Assistance Application in IMPACT is used to determine a child’s initial eligibility for Title IV-E foster care assistance. When the child and family’s income is unknown, staff must use the following procedures when completing the Foster Care Assistance Application.

Actions by the Eligibility Specialist

If the eligibility specialist receives a Foster Care Assistance Application or other case documentation that indicates the parent worked or had income, but no specific amounts are listed on the affidavit, the eligibility specialist must do the following:

Contact the DFPS or SSCC caseworker to request specific information from the family about income or earnings included on the application, affidavit, or case documentation.
Follow up with the DFPS or SSCC caseworker to obtain the requested information before the child’s foster care assistance certification is due.
Upload the DFPS or SSCC caseworker’s responses and any email correspondence efforts to obtain information in the OneCase/NeuDocs system.

Other Means to Address Income

The eligibility specialist uses the information available from the following sources to address the family’s income:

Health and Human Services Commission (HHSC) Texas Integrated Eligibility Redesign Project (TIERS) system. The eligibility specialist must use the income information from TIERS only if the certification period of the HHSC case began in the same month of the initiation of the court proceedings that led to the child’s removal.
Office of the Attorney General’s (OAG) child support system.
Wire Third Party Query (WTPY) system to obtain information about the child in DFPS conservatorship.
Data Broker system, when applicable.
Affidavit.

The eligibility specialist uploads all inquiry results, except results from the WTPY inquiry, to the OneCase/NeuDocs system.

Zero Family Income and Determining Subsistence

The eligibility specialist must ensure that every Foster Care Assistance Application listing no family income addresses the family’s manner of subsistence. If an eligibility specialist receives an application with no family income listed, and the manner of the subsistence is not addressed, the eligibility specialist must use information from the following sources to do so:

TIERS system.
OAG child support system.
Wire Third Party Query (WTPY) system, used only for children in DFPS conservatorship.
Data Broker system, when applicable.
Affidavit.

If family income is identified through inquiries in these systems, the eligibility specialist must update the Foster Care Assistance Application to show these income amounts and process the application.

Unable to Determine Family’s Subsistence

If the eligibility specialist cannot address the family’s manner of subsistence using the above databases, the eligibility specialist must do the following:

Contact the DFPS or SSCC caseworker to request additional needed information.
Use the information provided by the DFPS or SSCC caseworker to address the family’s manner of subsistence.
Certify the child for Title IV-E, provided that all other IV-E requirements are met.

If the eligibility specialist initially determines that a child is eligible for state-paid funds and the DFPS or SSCC caseworker provides additional information, the eligibility specialist must reevaluate the child for IV-E eligibility.

If there is documentation indicating that the parent or parents worked, they refused to provide income information, or their income could not be verified through any means, the eligibility specialists marks the checkbox on the Foster Care Assistance application to deny Title IV-E eligibility.

14112 Data Broker

CPS September 2026

When applicable, six months after the child’s initial eligibility determination, the Foster Care eligibility specialists check the HHSC Data Broker, which is a system used to verify earnings of household members for Title IV-E eligibility purposes. Employers report the information to the Texas Workforce Commission. Appendix 1530-H: Data Broker Verification Procedures explains the circumstances under which eligibility staff must perform a Data Broker inquiry, and the actions eligibility staff must take based on the inquiry results. If the child’s eligibility must be changed due to the Data Broker results, the eligibility specialist must do the following:

Process a new Foster Care Assistance Application to adjust the child’s eligibility.
Adjust the child’s eligibility back to the initial eligibility determination date.

The eligibility specialist must certify a child eligible for state-paid assistance if information in the Foster Care Assistance Application, case documentation, or affidavit indicates that the parent or parents did either of the following:

Worked.
Refused to provide income information, and the parent’s income could not be verified through any source, including Data Broker.

14113 Annual Review of Eligibility

CPS September 2026

Role of the Eligibility Specialist

The eligibility specialist must do the following:

Review all documentation sent by the DFPS or SSCC caseworker.
Determine the child’s continued eligibility for Title IV-E, including the required judicial permanency findings, by processing the Foster Care Review in IMPACT.
Determine eligibility for Medicaid assistance for state-paid cases due to changes to the child’s citizenship status. For example, DFPS might obtain a document verifying U.S. citizenship for a child who previously had a status of Undetermined.
Record the child’s eligibility in IMPACT.
Place all documents related to the eligibility redetermination in the child’s eligibility file.

14114 Notifications to SSA and Use of the Wire Third Party Query System

CPS September 2026

Notify SSA When a Child Who Receives Benefits Enters Conservatorship

DFPS must promptly notify the Social Security Administration (SSA) when a child who receives SSA benefits is placed in DFPS conservatorship. These benefits include Supplemental Security Income (SSI) and Retirement, Survivors, and Disability Insurance (RSDI). Prompt notification prevents benefit overpayment to ineligible payees.

The regional SSI coordinator must notify SSA when the coordinator learns or determines that a child in conservatorship receives SSA benefits.

Upon notification, SSA suspends the child’s benefits pending receipt of the application by DFPS to be the representative payee for the benefits.

Access SSA’s Wire Third Party Query System for Benefits Information

Wire Third Party Query System (WTPY) does the following for DFPS staff:

Provides staff with access to SSI and RSDI benefit information from SSA.
Allows staff to determine if a child in DFPS conservatorship is a current or former recipient of SSA benefits. This enables the SSI coordinator to promptly do either of the following:
- Notify SSA that the child is now in DFPS custody and will apply for DFPS to be named representative payee for his or her benefits.
- Reapply with SSA to reinstate the child’s benefits with DFPS as representative payee.

Use of the WTPY system is based on the Agreement Between the Social Security Administration and the State of Texas. DFPS staff may use the system only to find information on children in DFPS conservatorship. The WTPY system is used to determine if a child is a current or former recipient of federal benefits. Copies of the WTPY inquiry results cannot be saved, printed, emailed, or uploaded into OneCase/NeuDocs.

HHSC Benefit Searches Versus WTPY Queries

Eligibility staff must complete a WTPY query on all children as part of the initial foster care assistance application process.

If eligibility staff verifies through WTPY or other means that a child is receiving federal benefits, the eligibility specialist must notify the regional SSI coordinator by the close of business the day, after the verification is received, that the child receives an SSA benefit and the benefit type only. The SSI coordinator files an application with SSA for DFPS to become the representative payee for the benefits.

For procedures on obtaining WTPY security from SSA or for lockouts and other system problems, see Appendix 1514: Requesting Wire Third Party Query (WTPY) System Access.

14120 Obtaining Certified Birth Certificates and Birth Records Screenshots

CPS September 2026

Access to DSHS Vital Statistics TxEVER System

DFPS eligibility specialists have access to the Vital Statistics TxEVER system from the Department of State Health Services (DSHS). This system allows the eligibility specialists to verify birth information and order certified birth certificates for children in DFPS conservatorship who were born in Texas.

Request Certified Birth Certificate Only Under Certain Circumstances

Certified birth certificates may be requested only in the following situations:

It is necessary when applying for a Social Security number (SSN) if one has never been obtained. Otherwise, the Social Security Administration (SSA) can confirm the SSN of a child in DFPS managing conservatorship.
It is necessary when applying for Supplemental Security Income (SSI) or other federal benefits for the child.
It is necessary when applying for a Texas driver license or Texas identification card for the youth.
Parental rights are terminated, and the child becomes eligible for adoption
It is necessary to resolve a credit report discrepancy for a youth aged 14 or older.
It is necessary to meet requirements that DFPS provide youth with personal documents per Texas Family Code §264.121.
Other situations in which the recipient requires a certified copy.

Steps for Ordering Out-of-State Birth Certificates

Once the request has been received, the eligibility specialist does the following:

Processes the request through the VitalChek website.
Sends the requestor a confirmation email that the request was received and processed.

Once the birth certificate is received, the designated eligibility specialist does the following:

Forwards the birth certificate to the requestor.
Sends the requestor an email indicating that the birth certificate was sent.

14130 Foster Care Assistance Eligibility Requirements for Children and Youth Who Are in DFPS Conservatorship

14131 General Foster Care Assistance Eligibility Requirements

14131.1 General Eligibility Requirements for Title IV-E and State-Paid Foster Care

CPS September 2026

Every child who is eligible for Title IV-E or state-paid foster care assistance must meet the requirements in DFPS Rules, 40 TAC §700.316. Each requirement must be verified by the eligibility specialist.

14131.11 Responsibility for Placement and Care

CPS September 2026

The child or youth must be under the placement and care responsibility of DFPS, which is met if any of the following are true:

The child is placed in DFPS’s managing conservatorship according to a written court order issued under Title 5 of the Texas Family Code.
DFPS takes possession of a child under Texas Family Code Chapter 262. eligibility staff confer with the DFPS Federal and State Support division for clarification of whether DFPS obtained responsibility for placement and care of a child, and if DFPS is able to pay for a placement through IMPACT.
The child lives with his or her minor parent, and the minor parent is in DFPS’s conservatorship, so long as the minor parent and the child reside in the same foster home or child care institution.
The young adult:
- Was in DFPS’s conservatorship on the day before turning 18.
- Has signed a voluntary Extended Foster Care Agreement.
- Meets all of the eligibility requirements in DFPS Rules, 40 TAC §700.346 (relating to Extended Foster Care).
The child lives with a parent who is receiving extended foster care assistance. In some instances, the parent may be required to apply for Medicaid on the child’s behalf under DFPS Rules, 40 TAC §700.346.

14131.12 Age

CPS September 2026

When a child first comes into foster care, the child must be under the age of 18, and the eligibility specialist must verify the child’s age by reviewing the child’s birth certificate, hospital certificate, or one of the other items in subsection B of Appendix 1530-F: Categorical Requirements for AFDC.

14131.13 Placement Facility

CPS September 2026

Except in circumstances when a child is absent from foster care placement, the child must be receiving care in a placement for which the following are true:

Placement meets the definition of foster family home or childcare institution, as those terms are defined by 42 USC §672(c).
Placement is approved by DFPS.

DFPS does not contract for foster care services with any public child care institutions with more than 25 beds. Children are not eligible for either Title IV-E or state-paid assistance while placed in such settings.

DFPS Rules, 40 TAC §700.316

14131.14 Social Security Number

CPS September 2026

If eligible, the child must have, or must have applied for, a Social Security number (SSN). SSNs are obtained for all children except undocumented children. Once undocumented children receive their Legal Permanent Residency, an SSN is obtained for them.

14131.15 Young Adults and Guardianship

CPS September 2026

A young adult is eligible for continued foster care maintenance payments subject to the provisions at DFPS Rules, 40 TAC §700.316(c) if the following are true:

The young adult was previously in DFPS’s conservatorship the day before turning 18.
The young adult is under guardianship of the Health and Human Services (HHSC) Office of Guardianship Services on or after turning 18.

14131.2 General Eligibility Requirements for MAO Foster Care

CPS September 2026

Every child who is eligible for Medical Assistance Only (MAO) foster care must meet the following general requirements, as verified by the eligibility specialist:

Responsibility for placement and care—The child or youth must be under the placement and care responsibility of DFPS.
Age—The child or youth must be under the age of 18.

DFPS Rules, 40 TAC §700.316

In addition to the general requirements above, children in DFPS conservatorship who are eligible for MAO foster care must also meet Medicaid eligibility requirements.

14132 Additional Eligibility Requirements for Title IV-E Foster Care

CPS September 2026

Besides the general eligibility requirements specified in DFPS Rules, 40 TAC §700.316(c), relating to general eligibility requirements for foster care assistance, a child must meet the requirements below to qualify for Title IV-E foster care.

42 USC §672

45 CFR §1356.21

14132.1 Judicial Determinations

CPS September 2026

Time Frame for Title IV-E Eligibility

Title IV-E eligibility starts on the first day of placement in the month that a court order finds the following to be true:

Remaining in the home would be contrary to the welfare of the child.
DFPS made reasonable efforts to prevent removal.

Example

A child is removed from the home on October 30. On November 1, the court finds that remaining in the home is contrary to the welfare of the child, and that DFPS made reasonable efforts to prevent the child’s removal from the home. Title IV-E eligibility begins on November 1. The child is not Title IV-E eligible for October 30–31 and must be assigned state-paid eligibility for those days.

Reasonable Effort to Finalize a Permanency Plan

Additional judicial determinations must be made regarding permanency planning. At least once during every 12-month period that the child remains in foster care, a court must make a determination that the agency made reasonable efforts to finalize the child’s permanency plan. This period starts with the date of the court-ordered removal.

If the court does not find that DFPS made reasonable efforts to finalize the child’s permanency plan, the child’s Title IV-E eligibility ends on the last day of the month in which the finding is due.

The child will not regain Title IV-E eligibility until the court finds subsequently that DFPS made reasonable efforts to finalize a permanency plan for the child. In this case, the child’s Title IV-E eligibility resumes on the first day of the month in which the finding is made.

Requirements for All Judicial Determinations

All required judicial determinations must be explicitly documented and made on a case-by-case basis as stated in the court order. It is not acceptable for a court order to merely reference state law in support of a required judicial determination.

Affidavits and Nunc pro tunc orders (refers to a ruling that retroactively corrects an earlier court ruling) cannot be used as documentation to verify that the required judicial determinations were made. Nunc pro tunc orders may be used only to make technical corrections unrelated to the judicial determination requirements. The only acceptable, alternative documentation of judicial determinations, absent language in a court order, is a transcript of the court proceedings.

45 CFR §1356.21(d)

14132.2 Citizenship or Immigration Status

CPS September 2026

In order to receive Title IV-E payments (foster care maintenance or adoption assistance), the child must be a citizen of the United States or a qualified alien as defined in 8 USC §1641. If a child does not meet the U.S. citizenship or qualified alien status requirement in the month of the removal, the child cannot subsequently become IV-E eligible if he or she later obtains U.S. citizenship or a qualifying alien immigration status. In addition, the Title IV-E state plan requires states to have procedures to verify the citizenship or immigration status of foster care children.

8 USC §1611

42 USC §671(a)(27)

8 USC §1613

Verification

The eligibility specialist must review the foster care application and supporting documentation to verify the child’s U.S. citizenship or qualified alien status.

Staff verifies U.S. citizenship with either of the following:

U.S. certificate of birth.
A Texas Department of State Health Services Vital Statics birth record printout for children born in Texas.

Note: If a child is born out of state, staff submits a request to order the birth certificate through the VitalChek website through his or her regional foster care eligibility specialist or VitalChek liaison

When a birth certificate or the child’s birth record cannot be located in the Bureau of Vital Statistics (BVS) data base, staff uses the documents listed in Appendix 1000-2: Additional Acceptable U.S. Citizenship Verification Documents in descending order to confirm citizenship.

Staff verifies qualified alien status with a:

Permanent Resident Card (I-551).
Form I-94 arrival and departure document, which is issued when the child is granted asylum. The Form I-94 should have a stamp showing that asylum was granted under Section 208 of the Immigration and Nationality Act (INA).
Form I-94 arrival and departure document for refugees admitted under section 207 of the Immigration and Nationality Act (INA).
Form I-94 arrival and departure card with a stamp showing parole at any time as a Cuban or Haitian entrant.

If the child possesses other U.S. immigration documentation besides the above documents, staff contacts the federal or state support unit or his or her regional immigration specialist for a determination on the child’s immigration status.

Evaluative Conclusion

The DFPS or SSCC caseworker may choose the Evaluative Conclusion option on the Foster Care Assistance Application in IMPACT to determine that a child is a U.S. citizen. The DFPS or SSCC caseworker must document on the application the reason for using this option based on either of the following criteria:

A document proving the child’s birth in the U.S. (medical, insurance, or school record) that was created before the date of removal.
A credible person with knowledge of the family’s history who states that the child was born in the U.S.

If an Evaluative Conclusion is used for U.S. citizenship, the eligibility specialist certifies the child’s foster care assistance for 90 calendar days. When recording the child’s initial eligibility determination in IMPACT, the eligibility specialist sets the review date to 90 calendar days from the eligibility start date. At the 90-day review, the eligibility specialist must verify that the agency obtained a U.S. birth certificate or other documentation of U.S. citizenship.

At the 90-day review, if documentation verifying the child’s U.S. citizenship status is found, the child’s citizenship and eligibility statuses remain unchanged.

If no documentation is received verifying the child’s U.S. citizenship status, or if it was determined that the child is not a U.S. citizen, the eligibility specialist does the following:

If the child is Title IV-E eligible:
- Changes the child’s citizenship status in IMPACT to Undetermined Status.
- Processes a new Foster Care Assistance Application indicating that the child has Undetermined Citizenship/Alien status to deny Title IV-E eligibility.
- Records a new Eligibility event with an Actual Eligibility of “State-paid,” effective to the initial eligibility start date and a Medicaid Eligibility Type of “State-paid.”
- Notifies the caseworker by email of the citizenship status change and uploads the email to OneCase/Neudocs.
If the child is State-paid eligible:
- Changes the child’s citizenship status in IMPACT to Undetermined Status.
- No new Foster Care Assistance application is needed.
- Records a new Eligibility event with a Medicaid Eligibility Type of “State-paid,” effective to the initial eligibility start date.
- Notifies the caseworker by email of the citizenship status change and uploads the email to One Case/Neudocs.

14132.3 Social Security Number

CPS September 2026

If eligible, the child must have, or must have applied for, a Social Security number.

14132.4 Valid Removal from the Home

CPS September 2026

A child is eligible for Title IV-E assistance only if the child is the subject of a valid removal from the home.

Both of the following must occur for a removal to be valid:

The court makes a finding that remaining in the home is “contrary to the welfare” of the child.
The court’s “contrary to the welfare” finding coincides with DFPS’s action to physically take the child from the home.

If DFPS does not physically remove the child from the home by the end of the next business day following the day the court makes the “contrary to the welfare” finding, the following occurs:

The child is not eligible for Title IV-E assistance.
The child remains ineligible for Title IV-E assistance for the entire foster care episode. A foster care episode is the time period from when the court legally orders the child’s removal to when the court dismisses the conservatorship case.
The foster care eligibility specialist denies the child’s application for Title IV-E assistance.

Exceptions to Standard Time Frame

Extenuating circumstances may prevent DFPS from physically removing the child from the home by the end of the next business day after the day the court makes the “contrary to the welfare” finding. For example, the child may be missing because the child ran away, or the parent took the child.

In some cases, the court may order an alternative time frame for DFPS to physically remove the child from the home.

In these situations, eligibility staff members consult with the DFPS Federal and State Support division.

14132.5 Aid to Families with Dependent Children (AFDC) Requirements

CPS September 2026

The child must meet the AFDC eligibility requirements that were in effect in the AFDC state plan on July 16, 1996. To meet those requirements, the child must have been a needy child under the following circumstances:

In the home from which the court judicially (legally) removed the child.
During the month in which DFPS filed the petition for removal.

See Appendix 1530-F: Categorical Requirements for AFDC.

14132.6 Child Care Institution (CCI) Placements

CPS September 2026

Child care institution (CCI) placements have a 14-day Title IV-E claiming limit. These types of placements include, but are not limited to, residential treatment centers, general residential operations, and emergency shelters. The child’s placement page in IMPACT identifies these CCI placements as Congregate Care placements. For Title IV-E eligible children, DFPS may claim up to 14 days of Title IV-E Foster Care Maintenance Payments (FCMP) each time a child is placed in a CCI, regardless of whether the child had previous CCI placements during his or her foster care episode.

See:

Exceptions to the 14-day Title IV-E Claiming Limit for Child Care Institutions

Sex Trafficking

Children who are exempt from the 14-day Title IV-E claiming limit while placed at that CCI are:

Confirmed sex trafficking victims.
Those who are at risk of becoming sex trafficking victims, as identified by the Title IV-E agency.
Those who are placed in a CCI that provides high-quality residential care and supportive services for sex trafficking victims.

See SSA, Foster Care Maintenance Payments Program, Section 472 (k)(2)(D).

Pregnant and Parenting Services

A youth is exempt from the 14-day Title IV-E claiming limit if both of the following criteria are met:

The youth is placed in a CCI specializing in providing prenatal, post-partum, or parenting support services for youth.
The youth has the “pregnant” or “youth parent” characteristic added in their Person Detail page in IMPACT.

SSA, Foster Care Maintenance Payments Program, Section 472(k)(2)(B)

The Texas Child-Centered Care (T3C) service package for the placement type that qualifies as providing the prenatal, post-partum, or parenting support services for youth is the GRO Tier I: Services to Support Community Transition for Youth & Young Adults who are Pregnant or Parenting, which corresponds to service code T12 for SSCC placements and T36 for DFPS placements.

14133 Requirements When Title IV-E Children Are in a Non-Title IV-E Placement

14133.1 Trial Home Visits or Monitored Returns

CPS September 2026

When a child is in a trial home visit or monitored return, the child is not eligible to receive either Title IV-E or state-paid foster maintenance payments. This is because the child is now living with the person who is responsible for the child’s financial support. The child can be reinstated for Title IV-E foster care payments without a new foster care application if the following are true:

The reunification fails.
DFPS retains responsibility for care and placement of the child (the original removal order is still in effect).

A trial visit or monitored return can last for only six months unless the court issues an order to extend the trial home placement beyond that time frame. A new foster care application must be processed based on current circumstances in the home if either of the following are true:

DFPS conservatorship was dismissed.
The child stayed in the placement longer than six months without the court continuing the placement.

In these circumstances the child will more than likely not meet Title IV-E requirements and, instead, will be eligible to be paid by the state-paid.

Eligibility Staff Actions

If the child returns to foster care within the six-month period or the court-ordered time frame, the eligibility specialist reinstates the child’s previous foster care eligibility.

If the child returns to foster care after the six-month period or the court-ordered time frame, the child’s Title IV-E eligibility must be reestablished through a new Foster Care Application. In this case, the eligibility specialist asks the DFPS or the single source continuum contractor (SSCC) caseworker to take the following actions:

Complete and submit to the specialist a new Foster Care Assistance Application in IMPACT, reflecting the situation in the home from where the monitored return occurred in the month the child returned to foster care.
Send the specialist the court order that moves or transfers the child into a different placement.
Review the court order for the required Title IV-E judicial determinations.
Process the submitted Foster Care Assistance Application in IMPACT and answer the questions regarding the Title IV-E judicial determinations accordingly.
Add the appropriate eligibility for the child in IMPACT.

14133.2 Placements Outside the Scope of Foster Care

CPS September 2026

When a child returns to a paid foster care placement from a non-paid placement, the child retains Title IV-E eligibility as long as the original court order pertaining to the child’s removal is still in effect. The eligibility specialist reinstates the child’s Title IV-E foster care eligibility without completing a foster care application or review.

Examples of such non-paid placements include the following:

Kinship or relative placements.
Adoptive placements.
Jails or facilities that are primarily for the detention of children.
Medical or psychiatric hospitals.

The exceptions are for children returning to foster care from a monitored return, as described in the previous section and youth in Extended Foster Care policy section.

14134 Additional Eligibility Requirements for State-Paid Foster Care

CPS September 2026

A child must meet the following criteria to be eligible for state-paid foster care.

A child is eligible for non-Title IV-E foster care if all of the following are true:

He or she is not eligible for Title IV-E foster care assistance.
He or she meets requirements in DFPS Rules, 40 TAC §700.316.
He or she is placed in a foster home or other residential childcare facility, or in a comparable residential facility in another state.

In addition to the above criteria, the child must also meet one of the following criteria:

He or she is the subject of a suit DFPS initiated and for which DFPS was named as conservator.
He or she is a child for whom DFPS has the duty of care, control, and custody, after taking possession of the child in an emergency.

14135 Medical Coverage for Children in Foster Care

CPS September 2026

If the placement is a setting that is eligible to receive Medicaid, DFPS provides medical coverage to the following people:

Children who are in DFPS’s managing conservatorship.
Young adults in the Extended Foster Care Program.

Any child who is in the managing conservatorship of DFPS is certified as having at least Medical Assistance Only (MAO). The certification is effective until DFPS’s legal responsibility is terminated. This includes children absent from their placements without authorization or in unauthorized placements.

Situations may arise in which it would be in the best interest of the child to discontinue foster care Medicaid in order to provide a child in DFPS conservatorship with another type of Medicaid coverage. This might be needed to facilitate a placement or to provide the child access to other medical services. In these situations, it is necessary for the DFPS state office division administrator of the Federal or State Support Division to give approval before terminating the Medicaid benefits of any child in DFPS conservatorship.

14135.1 Medicaid Eligibility Types

CPS September 2026

Children and young adults who receive aid and assistance under Title IV-E of the state plan are eligible for federally funded Medicaid. On the Eligibility Summary page in IMPACT, the eligibility specialist chooses Regular as the Medicaid Eligibility Type for all children with an Actual Eligibility type of Title IV-E.

The eligibility specialist selects Regular as the Medicaid Eligibility Type if the child or young adult meets the following criteria:

He or she is not categorically eligible for Title IV-E Medicaid.
He or she is a U.S. citizen or a qualified alien and any of the following criteria apply:
- He or she is younger than age 18 and has been placed in the managing conservatorship of DFPS by the county or district court as a result of a finding of abuse or neglect by DFPS.
- He or she is younger than age 21 and DFPS assumes financial responsibility for the young adult, and he or she is cared for in a foster home or other residential childcare facility licensed by DFPS or a public or private child placing agency.
- He or she is:
  - Younger than age 21.
  - In the Extended Foster Care Program.
  - In a supervised independent living (SIL) setting.

For all other children and young adults, the eligibility specialists selects State-paid as the Medicaid Eligibility Type.

14135.2 Medical Assistance Only (MAO) Auto-Eligibility

CPS September 2026

Medical Assistance Only (MAO) Auto-Eligibility establishes an MAO-type of Medicaid in the Texas Integrated Eligibility Redesign System (TIERS) before DFPS determines the actual foster care assistance eligibility.

The IMPACT case management system creates an MAO Auto-Eligibility Event when the following are true:

A child has an open SUB-REG or SUB-C-PB stage in IMPACT.
A child does not have an open foster care or adoption assistance type of eligibility in IMPACT.
A placement is entered into IMPACT.

If the system does not generate MAO Auto Eligibility, Medicaid will not be added until the foster care eligibility specialist processes a Foster Care Assistance Application.

When the application is processed, MAO Auto Eligibility ends, and the correct eligibility type is entered in IMPACT based on the eligibility determination

14135.3 MAO Coverage for Children Placed in Kinship, Relative, or Own Home Placement

CPS September 2026

Foster care eligibility specialists must certify children for Medical Assistance Only (MAO) coverage when children meet the following criteria:

The child leaves foster care but remains in the conservatorship of DFPS.
The child returns to his or her own home, relatives, or kinship placement.

Application for and Determination of Eligibility for Foster Care Assistance

When a child is placed in the conservatorship of DFPS, the following actions occur:

The DFPS caseworker assigned to a child’s case must complete a Foster Care Assistance Application.
A foster care eligibility specialist assigns MAO eligibility.

Caregivers May Apply for TANF When MAO Is Active

The application and determination are required regardless of whether the relative or kinship caregiver is applying for Temporary Assistance for Needy Families (TANF) or kinship care payment. The relative or kinship caregiver may apply for TANF payments even if an MAO-type Medicaid is active for the child.

Basis for and Duration of MAO Eligibility

If a child in DFPS conservatorship is placed directly with a relative or kinship caregiver, the foster care eligibility specialist assigns MAO eligibility using the Foster Care Assistance Application submitted by the child’s DFPS or single source continuum contractor (SSCC) caseworker. This eligibility remains open until a court terminates DFPS responsibility as conservator. The foster care eligibility specialist follows the procedures for determining eligibility that apply to all children in DFPS conservatorship.

14135.4 MAO Coverage for Children in Adoptive Placements

CPS September 2026

Children in adoptive placements may or may not qualify for adoption assistance, which includes Medicaid.

For children in adoptive placements and in the managing conservatorship of DFPS who do not qualify for adoption assistance, DFPS must continue to provide Medical Assistance Only (MAO) coverage until the child qualifies for adoption assistance or until DFPS’s legal responsibility for the child ends.

Transferring Foster Care to Adoption MAO Coverage

On the effective date of the adoptive placement, the following actions occur:

The foster care eligibility specialist end-dates the child’s foster care eligibility.
The adoption assistance eligibility specialist opens the child’s Medical Assistance Only (MAO) eligibility in the child’s adoption stage, effective the first day of the month following the adoptive placement.

14135.5 MAO Coverage for Children in Texas Juvenile Justice Department (TJJD) Placements

CPS September 2026

Terminating Medical Assistance Only (MAO) Eligibility

When a child is placed in the Texas Juvenile Justice Department (TJJD) or a juvenile detention facility administered by the county juvenile probation department, the foster care eligibility specialist must end the child’s MAO eligibility in IMPACT. This is required because these placements are considered to be secured settings.

Reinstating MAO Eligibility

The child’s eligibility may be reinstated when he or she is released from the TJJD or a juvenile detention facility and placed back into foster care or a kinship placement, provided DFPS continues as managing conservator.

14136 Eligibility in Medical Facilities Before Placement

CPS September 2026

A child in a medical facility is eligible for Medical Assistance Only (MAO) if the following are true

The child meets the general eligibility requirements specified in DFPS Rules, 40 TAC §700.316(b).
DFPS or the single source continuum contractor (SSCC) plans to place the child outside the home in a residential childcare facility or relative placement as soon as the child leaves the medical facility.

DFPS or the SSCC must proceed with the planned placement unless the court changes the order, or some other event occurs that clearly precludes making the placement.

The child’s eligibility for foster care assistance begins on the date DFPS takes possession of the child as stated in Texas Family Code Chapter 262.

DFPS Rules, 40 TAC §700.320

In certain situations, when a child is in the hospital, he or she may be eligible for Medicaid before entering DFPS conservatorship. These cases must be referred to the CPS Federal and State Support Division for review on a case-by-case basis. Request for approval will be submitted to HHSC by the Federal and State Support division.

14137 Foster Care Payments during Absences from Foster Care Placements

CPS September 2026

During a temporary absence, Title IV-E payments can only be made to a foster care placement for the entire month if both of the following are true:

The child is only absent from placement for 14 days or less.
The child returns to the same foster care provider at the end of the temporary absence.

The Role of the DFPS Eligibility Specialist

The eligibility specialist monitors the situation until the end of the temporary absence and updates the child’s Title IV-E eligibility status as described below.

If the temporary absence period was 14 days or less, and the child returned to the same foster care provider, the specialist continues the child’s eligibility as Title IV-E through the entire month.
If the temporary absence period was more than 14 days, and the child was returned to the same foster care provider, the specialist changes the following:
- The child’s selected eligibility to state-paid eligible, effective the 15th day of the temporary absence.
- The child’s selected eligibility back to Title IV-E, effective the date when the child is placed back with the same foster care provider.
If the child was not returned to the same foster care provider at the end of the temporary absence, DFPS cannot use Title IV-E funds to pay the provider during the temporary absence. Instead, DFPS uses state-paid funds to pay the provider from the beginning of the temporary absence through the date the child is discharged from the provider’s care. To ensure that state-paid funds are used for that period, the specialist does the following:
- Changes the child’s selected eligibility to state-paid, effective the first day of the temporary absence.
- Ends the child’s state-paid eligibility, effective the date of discharge from the foster care provider.
- When applicable, adds Medical Assistance Only (MAO) eligibility for the period between the discharge and the subsequent paid foster care placement.
- Changes the child’s selected eligibility back to Title IV-E, effective the date of placement with the subsequent paid foster care placement.

14138 Medicaid Benefits for Foster Care Children Placed in Texas from Other States

CPS September 2026

Authorizing Medicaid Benefits

The foster care eligibility specialist records the child’s eligibility as Medical Assistance Only (MAO) in the IMPACT case management system. The effective date of the child’s Medicaid coverage is the earliest date that both of the following are true for the child:

He or she is eligible for Title IV-E payments for foster care while placed in Texas.
He or she is not receiving Medicaid from another state.

Every 12 months, the eligibility specialist confirms whether the child is still eligible for DFPS foster care Medicaid by verifying with the DFPS or SSCC caseworker that the sending state continues to make Title IV-E foster care payments to the child’s caregiver.

If the child continues to be eligible, the foster care eligibility specialist records a new eligibility date for the child in IMPACT. An IMPACT review of the child’s foster care is not needed to recertify children for continued Medicaid eligibility.

14139 Medicaid Benefits for Foster Care Children Placed Out of State

CPS September 2026

Title IV-E Foster Care Payments

When a child in DFPS conservatorship who is eligible for Title IV-E is placed in another state, and DFPS continues to pay for the child’s foster care with Title IV-E funds, the following are true:

The receiving state becomes responsible for providing the child’s Medicaid benefits.
DFPS provides the receiving state with information about the child’s eligibility to receive Medicaid through Title IV-E.
After the receiving state approves the child’s placement and the child has been placed, the eligibility specialist changes the child’s Medicaid type to None in IMPACT, which allows DFPS to continue making Title IV-E payments to the child’s caregiver but ends the child’s DFPS foster care Medicaid.

DFPS Rules, 40 TAC §700.345

State-Paid Foster Care

If DFPS is paying for the foster care of a child who is eligible for state-paid care, the foster care eligibility specialist records the child’s selected eligibility as State-Paid in IMPACT.

MAO Foster Care

If DFPS is not making foster care payments, the foster care eligibility specialist changes the child’s selected eligibility to Medical Assistance Only (MAO) in IMPACT. This applies to children who are eligible for both Title IV-E and state-paid care.

Ending the Child’s Eligibility

The eligibility specialist ends the child’s eligibility for DFPS foster care Medicaid or equivalent coverage in IMPACT only if either of the following occur:

The specialist is later notified that the child is receiving Medicaid in the receiving state.
The legal responsibility of DFPS is terminated.

14140 Foster Care Assistance Eligibility Requirements for Young Adults Formerly in DFPS Conservatorship

14141 Extended Foster Care Assistance

CPS September 2026

The eligibility specialist performs an annual review of eligibility for all young adults who are receiving Extended Foster Care assistance. Although the DFPS or the single source continuum contractor (SSCC) caseworker is responsible for verifying that the young adult participates in one of the permissible educational and work-related activities throughout the year, the eligibility specialist annually reviews the documentation provided by the DFPS or the SSCC caseworker to ensure that the young adult remains eligible, following all applicable requirements.

The eligibility specialist makes any changes after the annual review of eligibility due at the young adult’s 21st birthday.

14150 Recoupment of Foster Care Maintenance Overpayment and Billing Coordinator Role

CPS September 2026

A recoupment is a process to retrieve funds when DFPS overpays a foster care provider. The IMPACT system identifies when DFPS overpays a foster care provider and generates a Prior Period Adjustment (PPA) invoice to recoup the overpaid funds. A CPS regional foster care billing coordinator can also create a PPA invoice to recoup funds through IMPACT. A billing coordinator may also manually recoup an overpayment from a foster care provider.

If the overpayment can be recouped from the subsequent payment, the regional foster care billing coordinator returns the check to the provider and includes a completed Form 8103B Returning a Refund Check to the Provider.

14151 Manual Recoupment Process

CPS September 2026

To initiate manual recoupment, the regional foster care billing coordinator takes the following steps.

Ensures the adjusting invoice is still outstanding in IMPACT before beginning the recoupment process.
Checks the payment history to verify that the adjusting invoice correctly reflects the amount to be recouped.
Completes Form 8103a Request for Payment Letter. The letter informs the provider that an overpayment occurred and gives details of the overpayment and the correct payment. The letter identifies the due date for the provider returning the overpayment to DFPS.
Completes Form 8102fc Request for Payment to DFPS. The provider uses this form to track the reimbursement, which the provider can make as one payment or several. Every time the provider makes a payment, the provider includes a new copy of Form 8102fc with the latest payment documented.
Emails the completed Form 8103a Request for Payment Letter and Form 8102fc Request for Payment to DFPS to the DFPS Accounting Form 8102 mailbox.
Sends the completed Form 8103a Request for Payment Letter and Form 8102fc Request for Payment to DFPS to the provider by certified mail.
Keeps copies of Form 8103a Request for Payment Letter and Form 8102fc Request for Payment to DFPS for the regional foster care billing coordinator’s records.
Marks the Manual Recoupment Requested box on the invoice in IMPACT. (The box is available for 90 days after the invoice is approved.)
Follows up with the DFPS Accounting Form 8102 mailbox after 30 days to determine if the provider repaid the funds. If the provider repaid the funds, enter the date provided by accounting staff on the invoice in IMPACT. If provider does not respond or pay within 30 days, accounting staff will contact the provider.
On the day after entering the payment completed date, ensures the invoice phase changed from Valid Without Errors (VWO) to Manual Recoupment Process (MRP). If the invoice phase did not change to MRP, the foster care billing coordinator submits a ticket to Information Technology Services to request the invoice phase change to MRP.

14152 Notifying Providers of Recoupment that Exceeds 50 Percent of Next Payment

CPS September 2026

If the amount to be recouped is greater than 50 percent of the next projected payment, the regional foster care billing coordinator performs the following actions:

Notifies the provider about the recoupment by phone.
Documents the phone call on Form 8103c Telephone Log.
Does either of the following:
- Approves the PPA invoice to recoup the overpayment if the provider agrees with the planned recoupment.
- Records the recoupment reasons on the Phone Log if the provider disagrees with the planned recoupment.The regional foster care billing coordinator tells the provider that the provider’s comments and information will be relayed to the director of the state office Accounting Division.

14152.1 Extreme Hardship and Repayment Plans

CPS September 2026

The regional foster care billing coordinator informs the provider that if repayment of the full amount creates an extreme hardship, they can submit a letter within 10 business days of notification requesting a repayment plan for:

Remaining time in the placement.
Current provider status (such as active or inactive).
Impact on the child.
Provider’s financial situation and contents of the letter explaining hardship.
Monthly repayment installment amounts.

The repayment plan must be documented on Form 8103d Provider Repayment Plan Documentation and Approval and submitted for approval (see table below).

Dollar Thresholds for Repayment	Time Frame for Repayment	Required Written Approval From
Under $50,000	12 months or less	CPS regional operations and support administrator
$50,000–$100,000	12 months or less	CPS regional director
$100,000 or more	12 months or less	CPS director of field
Any	More than 12 months, not to exceed 24 months	CPS assistant commissioner and director of accounting, in addition to the approval appropriate for the dollar threshold mentioned above

Renegotiating the Payment Plan

If at any time the provider requests a new payment plan, or if the provider stops making payments according to the approved payment plan, regional staff forwards the information to the Foster Care Billing program specialist who contacts the DFPS Accounting division.

14153 When Not to Initiate Recoupment Procedures

CPS September 2026

If the CPS regional director approves the request to forgo recoupment, regional foster care billing staff forward the memorandum to the CPS division administrator for Federal and State Support.

The division administrator forwards the memorandum to the appropriate person for approval. The division administrator also sends a copy to the director of the Accounting Division. The decision must be approved in writing before the provider can be notified that recoupment was waived.

14160 Managing Children’s Funds

14161 Receipt of Funds

CPS September 2026

Upon notification that DFPS has received funds for a child, the SSI coordinator:

Verifies the type of funds.
Specifies whether any of the funds are considered a lump sum payment.
Directs the accountant as to how the funds should be spent.

14162 Closing Children’s Income Accounts

14162.1 Children with a Dedicated Account and a Legal Status of Resp Terminated

CPS September 2026

When the accounts payable (AP) accountant contacts the Supplemental Security Income (SSI) coordinator to state that a child with a Dedicated Account box checked has left paid care, the SSI coordinator contacts the DFPS State Office SSI program specialist to begin the process of closing the account.

14163 Checks Payable to Young Adult in DFPS Care

CPS September 2026

In some instances, funds received by check are made payable to a young adult who is aged 18 or older and has signed an agreement to stay in the care of DFPS. If there is no signed Voluntary Extended Foster Care Agreement (VEFCA) or Voluntary Return to Foster Care Agreement (VRFCA) agreement, the Supplemental Security Income (SSI) coordinator contacts the DFPS or the single source continuum contractor (SSCC) caseworker to see whether the young adult agreed to remain in DFPS care. If there is a signed agreement, the SSI coordinator puts a copy of the agreement in the young adult’s financial folder.

14163.1 New Benefit Award from SSA

CPS September 2026

When the Social Security Administration (SSA) awards a new benefit to a child, the Supplemental Security Income (SSI) coordinator notifies the accounts payable (AP) accountant and forwards a copy of the award letter that identifies the child.

14163.2 Income When Child Is in Paid Substitute Care

CPS September 2026

Each month, the foster care billing coordinator receives a list of income to be applied toward children’s cost of care on monthly invoices. Then the foster care billing coordinator returns the income list to the accounts payable (AP) accountant with the invoice numbers annotated where each child’s income was applied.

14163.3 Lump Sum Distribution

CPS September 2026

The SSI coordinator, within 30 calendar days of receiving notice of the lump sum payment, does the following:

Works with appropriate regional staff members to identify appropriate needs for the child, which can include items or services that can improve the child’s daily living conditions.
Gets cost estimates for the items or services.
Gets approvals for the items or services
Submits the completed Form 8107 Lump Sum Distribution Checklist to the AP staff.

DFPS or the single source continuum contractor (SSCC) caseworker purchases the items or services within 30 calendar days of receiving the check that is made payable to the business where the items or services are being purchased. DFPS or the SSCC caseworker sends copies of receipts to the SSI coordinator and the AP accountant. After appropriate needs are addressed, the SSI coordinator authorizes funds, not to exceed $850.00, to be reserved for the child.

14164 Annual Reconciliation for Each Child

CPS September 2026

As part of the process of preparing or approving the SSA Representative Payee report, the Supplemental Security Income (SSI) coordinator conducts an annual reconciliation of each child’s income and expenditures using the Child’s Transaction report in IMPACT on the Financial Account Register. The SSI coordinator sends a copy of the report to the accounts receivable (AR) accountant who tracks the reconciliations on the Delinquent Reconciliations report, which is an Excel spreadsheet.

14165 Distribution of Child Support Funds When the Child Is in DFPS Conservatorship

CPS September 2026

Monthly Payments

The Office of the Attorney General (OAG) sends funds that it collects for the monthly child support obligation to DFPS.

If any funds remain after appropriate pass through of funds to caregivers, relatives, fictive kin, or to pay for services or items a child needs, DFPS conserves the funds to use in the child’s best interest.

DFPS staff members determine the child’s best interest by consulting with the DFPS regional attorney and considering the child’s current and foreseeable needs.

If staff members can purchase the item or service with other funds, they do not use the conserved excess funds. Staff members may use conserved funds for the child’s hobbies, extracurricular activities, and normalcy events.

Restitution Payments for a Child in DFPS Conservatorship

A DFPS or single source continuum contractor (SSCC) caseworker must notify the regional CPS Supplemental Security Income (SSI) coordinator when all of the following apply:

A court orders, or has already ordered, intoxication manslaughter restitution payments for a child in DFPS conservatorship or a child entering DFPS conservatorship.
The DFPS or SSCC caseworker receives notification of the order.
DFPS will be receiving the payments on behalf of the child.

The SSI coordinator contacts the DFPS Accounting division, which will manage the child’s funds from the intoxication manslaughter restitution payments.

The DFPS or SSCC caseworker must inform the child and the child’s caregivers of the restitution order, and the fact that DFPS is receiving the funds on behalf of the child. If the child, the caregiver, or the DFPS or SSCC caseworker wants some of the child’s restitution funds to be spent, the DFPS or SSCC caseworker or caregiver contacts the regional SSI coordinator, who coordinates the request with the Children’s Income Unit in DFPS Accounting.

If a convicted person who was ordered to pay restitution does not pay it, DFPS reports the situation to the Office of the Attorney General (OAG) of Texas, or another appropriate person or entity, for the purpose of enforcement of the restitution order.

14170 Supplemental Security Income (SSI) for Children in Foster Care

CPS September 2026

Supplemental Security Income (SSI) benefits are based on financial need and disability. Benefits include monthly maintenance payments and Medicaid coverage. If a child is receiving SSI Medicaid, DFPS puts the child on a foster care-related Medicaid with Star Health coverage, unless the child is in a placement that requires SSI Medicaid to cover the cost of care or to pay for the placement. This does not affect the SSI payment.

The regional CPS SSI coordinator applies for SSI benefits from the Social Security Administration (SSA) on behalf of a child who appears to meet the necessary criteria for SSI eligibility. When the SSA approves these benefits, DFPS becomes the representative payee of the benefit. DFPS generally uses the benefit to offset the cost of the child’s foster care payment.

Notifying SSA When a Child Who Receives Benefits Enters Conservatorship

A child entering foster care may be a recipient of SSI or Retirement, Survivors, and Disability Insurance (RSDI) benefits. When DFPS learns that a child receiving SSA benefits was placed in DFPS conservatorship, DFPS must promptly notify the SSA and submit a representative payee application to the SSA. This prompts the SSA to suspend the child’s benefit issuance, pending approval of DFPS’s representative payee application for benefits.

The foster care eligibility specialist does the following:

Performs an SSA benefit inquiry on the Wire Third Party Query (WTPY) system as part of the child’s Title IV-E eligibility determination.
Notifies the regional SSI coordinator of the receipt of SSA benefits and the benefit type, only when the WTPY results show that the child previously received or currently receives SSA benefits, or when the foster care eligibility specialist is notified by any other means that a child entering care has SSA benefits.
Informs the SSI coordinator of the child’s Title IV-E status after completing the Title IV-E eligibility determination for children showing SSI benefits.

The SSI coordinator submits a Representative Payee Application (SS-11) to the SSA requesting that DFPS be named the representative payee of the child’s benefits. For children receiving SSI, the SSI coordinator also reports the child’s Title IV-E status, as this affects the child’s eligibility to receive SSI benefits.

When the SSA approves the payee change, DFPS becomes the representative payee of the benefit. DFPS generally remains the representative payee of the benefit until managing conservatorship ends. SSI coordinators consult with the State Office and the Federal and State Support Division before allowing another entity to become the representative payee of a child’s benefit while DFPS remains the managing conservator.

14171 Effect of SSI Eligibility on Title IV-E Foster Care

CPS September 2026

A CPS Supplemental Security Income (SSI) coordinator may apply for SSI benefits on behalf of a child who is also eligible for Title IV-E foster care assistance. If DFPS claims Title IV-E foster care assistance for the child’s maintenance payment, DFPS cannot use the child’s SSI benefit to offset the Title IV-E foster care payment.

When an SSI coordinator decides to apply for SSI benefits for a child who is eligible for Title IV-E assistance, the SSI coordinator does the following:

Submits a letter of intent to file an application with the Social Security Administration (SSA).
Informs the regional foster care eligibility specialist about the letter's submission and asks the eligibility specialist to end the child’s Title IV-E eligibility, effective the first day of the month in which the letter of intent was submitted to SSA.

In IMPACT, the eligibility specialist leaves the child’s Actual Eligibility as Title IV-E, because this is based on the child’s initial eligibility determination and not based on receipt of SSI benefits.

The eligibility specialist assigns one of the following as the Selected Eligibility, effective the first date of the month in which the letter of intent was submitted to SSA:

State paid, if the child is in a paid foster care placement.
Medical Assistance Only (MAO), if the child is in a non-paid placement.

If the SSA denies the child’s SSI application, the SSI coordinator notifies the eligibility specialist. In IMPACT, the eligibility specialist changes the child’s Selected Eligibility back to Title IV-E, effective the first day of the month in which the letter of intent was submitted to the SSA.

14171.1 Receiving SSI or Title IV-E Benefits

CPS September 2026

The decision to receive Supplemental Security Income (SSI) or Title IV-E benefits, for a child in paid foster care, is based on the amount of the child’s foster care payment.

Receiving SSI Benefits Instead of Title IV-E Benefits

If the SSI coordinator determines that DFPS will receive and use the child’s SSI benefits to offset the child’s cost of care, the child’s Title IV-E benefits must be ended. The SSI coordinator informs the foster care eligibility specialist to change the child’s Selected Eligibility to State-paid effective on the first day of the first month in which SSI benefits are received.

Receiving Title IV-E Benefits Instead of SSI Benefits

If the SSI coordinator determines that DFPS will claim Title IV-E foster care benefits for the child, the SSI coordinator must ask the SSA to suspend the child’s SSI benefits. The SSI coordinator does the following:

Contacts the SSA to report the child’s receipt of Title IV-E funding and to request suspension of the child’s SSI benefits, effective the following month.
Asks the foster care eligibility specialist to change the child’s Selected Eligibility to Title IV-E, effective the first day of the month following the month the SSI coordinator requested the SSI suspension from the SSA.
Informs the regional Children’s Income Accounting (CIA) accountant of the request for suspension and the effective date of the suspension.

The foster care eligibility specialist does the following:

Changes the child’s Selected Eligibility to Title IV-E, effective the first day of the month of the SSI suspension.
Ends the SSI Income entry on the child’s Person Detail page, reflecting the date that the SSI benefits were suspended.

Once the SSA informs the SSI coordinator of the SSI suspension, the SSI coordinator informs the foster care eligibility specialist and the regional CIA accountant of the month of the SSI suspension. The SSI coordinator sends the first page of the award letter to the CIA accountant showing the SSI suspension date. The foster care eligibility specialist assigns the child a Selected Eligibility of Title
IV-E, effective the first day of the month of the SSI suspension.

If SSA issues DFPS an SSI benefit for a month after the SSI suspension request, DFPS returns the SSI benefit to the SSA.

14171.2 Changes that Affect Claiming SSI or Title IV-E Benefits

CPS September 2026

Placement with a Relative or Kinship Caregiver

DFPS does not make foster care payments to non-licensed relatives or kinship caregivers but sends the Social Security Administration (SSA) benefits to these caregivers to use on the child’s daily needs. The Supplemental Security Income (SSI) coordinator asks the SSA to reinstate the child’s SSI benefits when the situation meets both of the following criteria:

The SSA had suspended the child’s SSI benefits due to Title IV-E eligibility.
The child is placed with a non-licensed relative or kinship caregiver.

Once the SSA informs the SSI coordinator that the child’s SSI has been reinstated, the SSI coordinator asks the foster care eligibility specialist to end the child’s Selected Eligibility of Title IV-E, effective the first day of the month that the SSI benefits were reinstated.

The eligibility specialist does the following:

Changes the child’s Selected Eligibility to State-paid for any days of the month that the child was in paid foster care.
Changes the child’s Selected Eligibility to MAO (medical assistance only) for the days the child was placed with the non-licensed relative or kinship caregiver.
Adds a new SSI Income entry on the child’s Person Detail page reflecting the amount and start date that DFPS will begin receiving the SSI benefits.

Changes to the Child’s Foster Care Payment Rate

State Office issues a quarterly report to regional foster care eligibility staff and SSI coordinators, identifying children receiving SSI benefits whose service level decreased from Moderate, Specialized, or Intense to Basic, or whose service level increased from Basic to Moderate, Specialized, or Intense. Foster care eligibility specialists screen the report and inform the regional SSI coordinator that the child’s service level increased above or decreased to Basic. Staff take the actions below for each situation.

Child’s Service Level Raised Above Basic

The SSI coordinator notifies the Social Security Administration (SSA) to request suspension of the child's SSI benefits. The coordinator does not request the suspension of the SSI benefits for youth aged 17 or above that appear on the report.
Once the SSI is suspended, the SSI coordinator asks the foster care eligibility specialist to change the child's Selected Eligibility from State-paid to Title IV-E, effective the first of the month following the month that the child’s SSI is suspended. For example, SSA suspends the child's SSI during October 2025. The eligibility specialist changes the child's Selected Eligibility to Title IV-E effective 11/01/25, since DFPS received the October SSI benefit.
The foster care eligibility specialist changes the child’s eligibility as described above and ends the SSI Income entry on the child’s Person Detail page reflecting the date that the SSI benefits were suspended.
The SSI coordinator informs the CIA accountant that the child’s SSI benefit was suspended and provides the effective date of the suspension.
After the first of the month following the suspension, the SSI coordinator contacts the accounts receivable accountant to verify that an SSI payment was not received for the child. This ensures that SSI funds are not applied toward the child's cost of care after the child's Selected Eligibility is transferred from State-paid to Title IV-E foster care.

Child’s Service Level Decreased to Basic

The SSI coordinator notifies SSA to reinstate the child's SSI benefits.
The SSI coordinator informs the foster care eligibility specialist to change the child's Selected Eligibility from Title IV-E to State-paid, effective the first day of the month when the SSA reinstates the SSI benefits or sends notice to the SSI coordinator that the SSI benefits are reinstated. For example, the SSA reinstates the child's SSI beginning with the October 2018 benefit. The eligibility specialist changes the child's Selected Eligibility to State-paid effective 10/01/25.

14172 Effect of SSI Eligibility on State-Paid Foster Care

CPS September 2026

A child who is determined to be ineligible for Title IV-E foster care assistance is deemed eligible for state-paid foster care assistance. DFPS elects to receive the Supplemental Security Income (SSI) benefits for a child who is eligible for state-paid foster care assistance and uses the SSI to offset the child’s monthly foster care payments. The child’s state-paid foster care payments do not affect the child’s eligibility for SSI or the amount of SSI benefits a child receives.

14173 Effect of SSI Eligibility on MAO Foster Care

CPS September 2026

A child who resides in a non-paid placement is assigned medical assistance only (MAO) foster care assistance. When Supplemental Security Income (SSI) benefits are received for a child in non-paid foster care, DFPS forwards the benefits to the non-paid caregiver to meet the child’s daily needs.

A child receiving SSI benefits must remain active on foster care Medicaid while in DFPS managing conservatorship in order to remain under STAR Health managed care. It is in the child’s best interest to discontinue foster care Medicaid and use the child's SSI Medicaid coverage in certain situations, such as when securing a specific placement or to provide the child access to other medical services. Staff obtain approval from the CPS Federal and State Support Division administrator before terminating the foster care Medicaid of any child in the conservatorship of DFPS.

14174 SSI Applications for Youth Aging Out of Care

CPS September 2026

The Social Security Administration (SSA) requires each Supplemental Security Income (SSI) recipient or potential recipient who is 18 years old or older to be evaluated according to the adult listings of impairments. If a youth has a significant disability and will require the appointment of a legal guardian, the DFPS or the single source continuum contractor (SSCC) caseworker notifies the SSI coordinator when the youth turns 17 years old. The SSI coordinator submits an SSI application on behalf of the youth, regardless of the youth’s Title IV-E eligibility.

Although the youth will be reevaluated sometime after he or she turns 18 years old to determine whether the criteria of an adult with a disability are met, the medical evidence will already be on file with the SSA when the youth’s eligibility is established.

State office sends a quarterly report to regional SSI coordinators identifying youth in foster care who are 17 years old and potentially eligible for SSI. The regional SSI coordinators are responsible for submitting SSI applications for the identified youth, regardless of eligibility for Title IV-E assistance.

14175 Home and Community-Based Services (HCS) Placement

CPS September 2026

The HCS program provides individualized services and support to people with intellectual and developmental disabilities who are living in any of the following settings:

With their families
In their own homes
In other community settings such as small group homes

In most cases, a person is placed on a waiting list to obtain HCS services since there are more people than Medicaid slots available.

A child who is eligible for an HCS waiver slot placement must have active Supplemental Security Income (SSI) eligibility before placement. When the child is placed, DFPS allows the HCS provider to become the representative payee of the child’s SSI benefit. The HCS provider uses the child’s SSI monthly benefit to pay for room and board. The DFPS or single source continuum contractor (SSCC) caseworker placing the child notifies the HCS provider of the need to become the child’s representative payee for the child’s SSI benefits. When the child is placed, the DFPS or the SSCC caseworker documents the child’s HCS placement as a Non-FPS Paid placement type, as DFPS does not pay for the child’s cost of care in these settings.

For more information about HCS placements, see 4118 Additional Actions for Placing Children with Intellectual or Developmental Disabilities and the Foster and Licensed Facility Placements Resource Guide.

14175.1 SSI Coordinator and Foster Care Eligibility Specialist Responsibilities

CPS September 2026

The regional Supplemental Security Income (SSI) coordinator and the foster care eligibility specialist have specific responsibilities to ensure that:

The representative payee of the child’s SSI benefits transitions from DFPS to the Home and Community-Based Services (HCS) provider.
The child’s foster care Medicaid coverage transitions to an SSI Medicaid coverage before and after the HCS placement.

When the plan for the youth is to be placed in an HCS placement, the regional developmental disability specialist (DDS) contacts the regional SSI coordinator to verify whether the child’s SSI benefits are active, suspended, or denied. The SSI coordinator may need to contact the local Social Security Administration (SSA) office to verify SSI status.

Within three days of being contacted, the SSI coordinator notifies the DDS, the DFPS or the single source continuum contractor (SSCC) caseworker, and the foster care eligibility specialist about the benefit status. If the child’s SSI benefits were denied or the child never had SSI, the SSI coordinator must submit an application for SSI to SSA. A pending SSI application must not prevent the DFPS or SSCC caseworker from accepting an HCS waiver slot.

The child’s SSI benefit status determines what procedures the SSI coordinator and the foster care eligibility specialist follow.

14175.11 If the Child’s SSI Benefits are Active

CPS September 2026

When a Home and Community-Based Services (HCS) waiver slot is offered to a child, and the child’s Supplemental Security Income (SSI) benefits are active, DFPS receives the child’s monthly SSI benefit. The SSI coordinator informs the developmental disability specialist (DDS), the DFPS or single source continuum contractor (SSCC) caseworker, and the foster care eligibility specialist that the SSI benefits are active. The SSI coordinator reminds the DFPS or SSCC caseworker to inform the HCS provider to apply with the Social Security Administration (SSA) to be the child’s representative payee of the SSI benefits after the placement is made.

When the child is later placed with the HCS provider, the DFPS or SSCC caseworker records the placement as a Non-FPS paid placement. This automatically sends the foster care eligibility specialist a task in IMPACT. At that time, the eligibility specialist does the following:

Notifies the SSI coordinator about the placement.
Changes the child’s Selected Eligibility type to medical assistance only (MAO), effective the date of placement, which allows the child to remain eligible for Star Health Services. If the child is 18 years old, the specialist ends the Eligibility, which transitions the child to SSI-related Medicaid.

The SSI coordinator does the following:

Contacts the SSA to resign as representative payee for the child’s SSI benefits and explains that the HCS provider will be applying to be the successor payee.
Notifies the DFPS Children’s Income Accounting (CIA) unit to return any SSI benefits received after DFPS resigned as the representative payee. If DFPS remains the managing conservator of the child, DFPS does not return the child’s conserved funds in a checking, savings, or dedicated account to the SSA unless instructed to do so by the SSA.

14175.12 If the Child’s SSI Benefits Are Suspended by SSA

CPS September 2026

When a Home and Community-Based Services (HCS) waiver slot is offered to a child, and the child’s Supplemental Security Income (SSI case is active but the Social Security Administration (SSA) is not issuing monthly benefits, the SSI coordinator does all of the following:

Requests that SSA reinstate the child’s SSI monthly benefits effective the following month.
Contacts the foster care eligibility specialist to change the child’s Selected Eligibility from Title IV-E to State-paid foster care maintenance payments, effective the first day of the following month. This ensures that Title IV-E foster care maintenance payments are not claimed while the child remains in the paid placement.
Informs the regional developmental disability specialist (DDS) and the DFPS or single source continuum contractor (SSCC) caseworker that the SSI benefits are being reinstated and reminds the DFPS or SSCC caseworker to inform the HCS provider that the provider must apply with SSA to be the child’s representative payee of the SSI benefits after the placement is made.
Contacts the DDS, the DFPS or SSCC caseworker, and the foster care eligibility specialist when the award letter from the SSA is received notifying them that the child’s SSI benefits were reinstated.

When the child is later placed with the HCS provider, the DFPS or SSCC caseworker selects Non-FPS Paid as the Placement Type. This automatically sends the foster care eligibility specialist a task in IMPACT. At that time, the eligibility specialist:

Notifies the SSI coordinator about the placement.
Changes the child’s Selected Eligibility type to MAO, effective the date of placement, which allows the child to remain eligible for Star Health Services. If the child is 18 years old, the specialist ends the Eligibility, which transitions the child to SSI-related Medicaid.

The SSI coordinator:

Contacts the SSA to resign as representative payee for the child’s SSI benefits and explains that the HCS provider will be applying to be the successor payee.
Notifies the DFPS Children’s Income Accounting (CIA) unit to return any SSI benefits received after the representative payee resignation. If DFPS remains the managing conservator of the child, DFPS does not return the child’s conserved funds in a checking, savings, or dedicated account to the SSA, unless the SSA instructs to do so.

14175.13 Child Never Had SSI Benefits or SSA Denies Benefits after Suspension

CPS September 2026

The Social Security Administration (SSA) requires a new application to reinstate the Supplemental Security Income (SSI) benefits in either of the following situations:

The child never had SSI.
DFPS suspended the SSI benefits, and then the SSA denied the benefits.

When the plan for the youth is to be placed in a Home and Community-Based Services (HCS) placement, the SSI coordinator does all of the following:

Informs the regional developmental disability specialist (DDS), the DFPS or single source continuum contractor (SSCC) caseworker, and the foster care eligibility specialist that the child does not have SSI benefits, and that an application for SSI benefits must be submitted.
Requests a protective filing date from SSA as notice of intent to file an application for SSI.
Contacts the foster care eligibility specialist to change the child’s Selected Eligibility from Title IV-E to State-paid foster care maintenance payments, effective the first day of the month in which the protective filing date request is sent to the SSA. This ensures that Title IV-E foster care maintenance payments are not claimed while the SSI application is pending approval, and the child remains in the paid placement.
Submits a full application for SSI to the SSA within 60 days of requesting the protective filing date.
Contacts the DDS, the DFPS or SSCC caseworker, and the foster care eligibility specialist when the child’s SSI benefits have been approved and reminds the DFPS or SSCC caseworker to inform the HCS provider to apply with the SSA to be the child’s representative payee of the SSI benefits after the placement is made.

SSI Approved before HCS Placement

When the child is later placed with the HCS provider, the DFPS or SSCC caseworker records the placement as a Non-FPS Paid placement. This automatically sends the foster care eligibility specialist a task in IMPACT. At that time, or when the eligibility specialist is notified by the DFPS or SSCC caseworker about the placement, the eligibility specialist does the following:

Notifies the SSI coordinator, who then resigns as representative payee of the SSI benefits.
Changes the child’s Selected Eligibility type to MAO, effective the date of placement, which allows the child to remain eligible for Star Health Services. If the child is 18 years old, the specialist ends the Eligibility, which transitions the child to SSI-related Medicaid.

SSI Approved after HCS Placement

When the child is placed with the HCS provider before the SSA approves the SSI application, or if an SSI application had not been submitted, DFPS continues the child’s foster care Medicaid coverage. In these situations, the eligibility specialist does one of the following:

Notifies the SSI coordinator about the child’s placement.
Changes the child’s Selected Eligibility to MAO, effective the date of the placement with the HCS provider, if the child is younger than 18 years old.
Ends the child’s foster care eligibility, effective the date of the placement with the HCS provider, if the child is 18 years old or older.

The SSI coordinator contacts the CPS state office SSI program specialist for consultation.

When the child’s SSI is subsequently approved, the SSI coordinator does all of the following:

Notifies the DFPS or SSCC caseworker, the regional DDS, and the foster care eligibility specialist.
Reminds the DFPS or SSCC caseworker to inform the HCS provider to apply with the SSA to be the child’s representative payee of the SSI benefits.
Contacts the SSA to resign as representative payee for the child’s SSI benefits and explains that the HCS provider will be applying to be the successor payee.
Notifies the DFPS Children’s Income Accounting (CIA) unit to return any SSI benefits received after the representative payee resignation. If DFPS remains the managing conservator of the child, DFPS does not return the child’s conserved funds in a checking, savings or dedicated account to SSA unless instructed to do so by the SSA.

When notified that the child’s SSI was approved, the foster care eligibility specialist changes the child’s Selected Eligibility type to MAO effective the date of placement, which allows the child to remain eligible for Star Health Services. If the child is 18 years old, the specialist ends the Eligibility, which transitions the child to SSI-related Medicaid.

14175.2 Medical Assistance Only (MAO) Eligibility in HCS Placements

CPS September 2026

A child must have active Supplemental Security Income (SSI) eligibility before placement in a Home and Community-Based Services (HCS) home. If the child is younger than 18 years old, DFPS keeps the child on foster care-related Medicaid. When the child turns 18 years old, the eligibility specialist ends the child’s foster care-related Medicaid by ending the child’s Medical Assistance Only (MAO) eligibility in IMPACT. This sends a denial request to the Texas Integrated Eligibility Redesign System (TIERS) and may transfer coverage to an SSI-related Medicaid if the child has active SSI eligibility.

Within three days of ending the child’s MAO eligibility, the foster care eligibility specialist verifies that the child’s medical coverage transferred from foster care-related Medicaid to SSI-related Medicaid by searching the child’s Medicaid History screen in TIERS. The eligibility specialist confirms that the Medicaid History screen has a denial date for the foster care-related Medicaid and a begin date for the SSI-related Medicaid.

If the foster care-related Medicaid has not been denied, the eligibility specialist emails the DFPS FC-ADO Medicaid Exceptions mailbox to request that the foster care-related Medicaid be denied and to have the Health and Human Services Commission (HHSC) reinstate the SSI-related Medicaid.
If the foster care-related Medicaid has been denied, but the SSI Medicaid is not active, the eligibility specialist emails the DFPS FC-ADO Medicaid Exceptions mailbox to request that HHSC reinstate the SSI Medicaid.

If HHSC notifies DFPS FC-ADO Medicaid Exceptions mailbox that it cannot reinstate the child’s SSI-related Medicaid, the following notifications are made:

The DFPS FC-ADO Medicaid Exceptions mailbox notifies the eligibility specialist.
The eligibility specialist notifies the DFPS or SSCC caseworker.
The DFPS or SSCC caseworker notifies the HCS provider, who is the new SSI benefits representative payee, to contact the SSA about the problem with the SSI-related Medicaid.

14176 Child-Specific Contract Placements

CPS September 2026

In rare instances, DFPS may enter into child-specific contracts (CSCs) with providers, including Home and Community-Based Services (HCS) providers, for a child’s care. If DFPS receives a monthly Social Security Administration (SSA) benefit for the child, DFPS uses those monthly benefits to pay the child’s cost of care.

If a child eligible for Title IV-E funds is placed in an HCS provider under a child-specific contract, the eligibility specialist changes the child’s Selected Eligibility to State-paid foster care maintenance payments.

14177 Establishing a Dedicated Account Using a Supplemental Security Income (SSI) Lump Sum

CPS September 2026

Dedicated Accounts

The Social Security Administration (SSA) determines when an award requires a dedicated account and notifies the representative payee. The regional Supplemental Security Income (SSI) coordinator is the region’s point of contact for facilitating the establishment of a dedicated account.

Establishing a Dedicated Account

The following procedures are used to establish a dedicated account:

The regional SSI coordinator receives an award letter from the SSA naming the child, the amount of the award, and stating that a dedicated account is required.
The regional SSI coordinator emails the state office SSI program specialist to request that a dedicated account be established and attaches a copy of the award letter to the email.
The SSI program specialist forwards the request to state office accounting. State office accounting submits the required documentation to the bank to open a dedicated account.
Once the account is established, state office accounting sends the account number to the program specialist. The program specialist forwards the account information, including the bank routing number, to the SSI coordinator.
The SSI coordinator sends the account number and bank routing number to the SSA office that sent the award letter.
The SSI coordinator notifies the Children’s Income Account (CIA) accountant that a dedicated account was established. The CIA accountant checks the Child has a dedicated Account indicator box in IMPACT located on the child’s Financial Account Detail page.
The SSA deposits the award via wire transfer to the account.
For large award amounts, SSA may deposit the award in installments. The award letter indicates the total amount of the award and the amount of the first installment. If the SSI coordinator receives a notice when SSA pays each installment, the coordinator sends a copy to the SSI program specialist, who forwards a copy to state office accounting.
If the SSA inadvertently issues a lump sum award in excess of the amount requiring a dedicated account without requesting that a dedicated account be established, the SSI coordinator consults with the SSI program specialist.

How to Request and Process Expenditures

Expenditures from the dedicated account can be made only with SSA approval and must be related to the child’s impairment. The process for requesting expenditures is as follows:

The DFPS or single source continuum contractor (SSCC) caseworker sends the request to the regional SSI coordinator. The request includes a cost estimate or invoice showing the cost of the item or service to be purchased.
The SSI coordinator emails the DFPS or SSCC supervisor, the program director, and the regional developmental disability specialist, if appropriate, to request approval of the expenditure.
If the request is approved, the SSI coordinator contacts the local SSA office to obtain approval from the SSA.
If the SSA approves the expenditure, the SSI coordinator notifies the SSI program specialist in state office and includes the cost estimate or invoice for the item or service and vendor information where the item or service will be purchased. If the approval by the SSA is in writing, the SSI coordinator sends the approval to the SSI program specialist as well.
The SSI CPS state office program specialist has a check issued payable to the vendor. The check is sent by overnight mail to the SSI coordinator. The SSI coordinator forwards it to the DFPS or SSCC caseworker, or to whoever will pay the designated vendor of the approved goods or services.
For audit purposes, copies of all receipts for purchases must be maintained in the child’s financial record by the Children's Income Accounting unit.

Closing a Dedicated Account

The following are procedures to close a dedicated account:

The SSI coordinator informs the local SSA that DFPS is no longer the managing conservator of the child, or that the youth is 18 years old and has left CPS care. The SSI coordinator provides SSA with the name and address of the people with whom the child currently resides.
The SSI coordinator notifies the local SSA that DFPS will return the balance of funds remaining in the child’s dedicated account to the SSA. The SSI coordinator obtains the name and address of the SSA staff to send the money via certified mail.
The SSI coordinator emails the following information to the SSI program specialist:
- The child’s name, Social Security number, and date of birth.
- The date the DFPS conservatorship was terminated.
- The name, relationship, address, and phone number of the person with whom the child currently resides.
- The name and address of the SSA contact to whom the conserved funds are sent via certified mail.
The SSI program specialist contacts state office accounting to request closure of the account, and that the bank issue a check of the account balance.
Once the check is received, the SSI program specialist sends a letter and the check via certified mail to the SSA contact identified by the SSI coordinator. The program specialist sends a copy of the letter to the SSI coordinator.
The SSI coordinator notifies the Children’s Income Account (CIA) accountant that a dedicated account has been closed. The CIA accountant unchecks the Child has a dedicated Account indicator box in IMPACT that is located on the child’s Financial Account Detail page.

Income and Resources for SSI Recipients

For any child receiving SSI benefits who has earned income, the child’s DFPS or SSCC caseworker reports the earnings to the regional SSI coordinator on a monthly basis. The SSI coordinator reports the earnings to the local SSA office.

The DFPS or SSCC caseworker must ask the youth for a copy of the bank statement reflecting the current balances from the youth’s personal account. The DFPS or SSCC caseworker gives the youth’s ending account balances (checking and savings) to the regional SSI coordinator. The SSI coordinator reports the account balance to SSA when there is a change to the balance.

The SSI coordinator also reports the account balance to the Children’s Income Account (CIA) unit in DFPS Accounting. When a child’s combined resources are close to the $2,000 limit, the child’s DFPS or SSCC caseworker contacts the youth to identify items or services that can be purchased to improve the youth’s daily living conditions. The spend-down of conserved funds on identified needs ensures that the youth’s resources do not exceed the $2,000 SSI resources limit.

14178 Third-Party Resources for Medical Care Services

CPS September 2026

Third-party payers are entities or people who are legally responsible for paying the medical claims of Medicaid recipients. As a condition of eligibility, Medicaid recipients assign their rights to medical support and payment for medical care from any third party to Medicaid.

HHSC Rules, 1 TAC §354.2311

HHSC Rules, 1 TAC §354.2313

14178.1 Reporting Third-Party Payers

CPS September 2026

The DFPS or the single source continuum contractor (SSCC) caseworker determines whether third-party resources are available to the child at the time the child is removed from the home. The DFPS or SSCC caseworker asks the child’s parents or caretakers if the child has any medical coverage provided through individual, group, or governmental health insurance. The DFPS or SSCC caseworker reports insurance coverage to the foster care eligibility specialist on the Foster Care Assistance Application in IMPACT.

For a child receiving Adoption Assistance, which includes Medicaid, the adoptive parent reports whether he or she will have any medical insurance coverage for the child other than Medicaid. The adoptive parent reports this on Form 2250 Adoption Assistance Request and submits the form to the adoption worker. The adoption worker sends a copy of this form to the adoption assistance eligibility specialist.

For a child or youth in conservatorship, the foster care eligibility specialist completes the form and reports the coverage. For a child or youth receiving Title IV-E or state-paid adoption assistance, the adoption assistance eligibility specialist completes the form and reports the coverage.

Staff uses Form 1039 Medical Insurance Input to report the coverage to the address below.:

Texas Medicaid & Healthcare Partnership

TPL Department

PO Box 202948

Austin, TX 78720-2948

Phone: 1-800-846-7307

Fax: (512) 514-4225

For a child in DFPS conservatorship, the DFPS or SSCC caseworker notifies the parent or other policyholder that when the child needs medical care, DFPS will ask the medical provider to file for benefits from insurance before filing for Medicaid. The DFPS or SSCC caseworker asks the policyholder to report any changes in insurance coverage to the DFPS or SSCC caseworker.

14180 Managing a Supplemental Security Income (SSI) or RSDI Lump Sum

CPS September 2026

Some children in DFPS conservatorship receive Supplemental Security Income (SSI) benefits based on the child’s physical or mental disabilities. A child receiving SSI may also receive a Retirement, Survivors, and Disability Insurance (RSDI) benefit, based on a parent’s disability or death. SSI and RSDI are federal benefits administered by the Social Security Administration (SSA).

When the SSA approves a child for SSI or RSDI, this may generate a lump sum payment (called an “underpayment” by the SSA). This lump sum payment covers the monthly payments due between the original application date and the date the SSA determines the child’s eligibility, which is generally three to six months after the application is submitted.

The SSI coordinator manages the child’s SSI and RSDI lump sums, so that they will not affect the child’s newly determined SSI eligibility. This management includes getting approval for expenditures for the child’s appropriate needs. The SSI coordinator works with the following:

DFPS or SSCC caseworker
Foster care eligibility specialist
DFPS Children’s Income Account unit

All SSI and RSDI lump sums are deposited into the regional Children’s Income Accounts. The only exception is when the SSA requires the lump sum to be deposited and held in a dedicated savings account.

14181 Managing SSI and RSDI Lump Sums

14181.1 Approvals for Lump Sum Expenditures

CPS September 2026

Staff may use Supplemental Security Income (SSI)—a non-dedicated account— and Retirement, Survivors, and Disability Insurance (RSDI) lump sums for items or services that improve the child’s daily living conditions. These expenditures from the lump sum are allowed under certain conditions and with DFPS or single source continuum contractor (SSCC) management review and approval.

At a minimum, the regional SSI coordinator, the DFPS or SSCC supervisor, and the DFPS program director or SSCC director give approvals. Each region and SSCC establishes procedures for reviewing and approving lump sum expenditures.

Once the funds have been placed into a savings account for the child, items or services may be purchased at a later time if necessary. Staff should be aware of the child’s ongoing needs when making expenditure requests and approvals.

For more information about the approval process, see Appendix 1581.1 Appropriate Needs.

14181.2 SSI Resources Limit

CPS September 2026

The Children’s Income Accounting (CIA) unit in the DFPS Accounting division monitors Supplemental Security Income (SSI) recipient’s resource limits. The CPS SSI coordinator works with the child’s DFPS or single source continuum contractor (SSCC) caseworker to spend funds on an unmet need to ensure the child’s resources are kept under the $2,000 resource limit.

14181.3 SSI Overpayments

CPS September 2026

Child Is Over the Resources Limit

Children’s Income Accounting (CIA) notifies the regional Supplemental Security Income (SSI) coordinator when it identifies that a child receiving SSI is over the $2,000 SSI resources limit. CIA gives the SSI coordinator the date resources exceeded the limit and the countable resources amount as of that date.
SSI coordinator reports to Social Security Administration (SSA) that the child’s resources have exceeded the SSI resources limit and asks for the SSI benefits to be suspended to prevent further overpayments. The SSI coordinator reports to SSA the month when the child’s resources exceeded the resources limit, and the child’s countable resources amount at that time.
CIA holds any benefits received in the child’s savings account and marks as “on hold due to excess resources.” CIA continues to report to the SSI coordinator the monthly benefits received and asks for confirmation whether to hold the benefits due to the pending overpayment notice. CIA places monthly benefits in savings pending the overpayment letter from SSA.
The child’s conserved funds, not including the monthly benefits, should be spent down during this period to take the child under the resources limit. CIA informs the SSI coordinator when expenditures are made.
SSA provides the overpayment notice to the SSI coordinator, confirming whether there is an overpayment on the child’s record. The SSI coordinator scans all pages of the SSA Overpayment Notice and emails them to the CIA unit.
If SSA determines there is an overpayment, the SSI coordinator asks CIA to issue a check to SSA to repay the full amount identified in the overpayment letter from SSA. CIA sends a check for the requested amount to the local SSA office. CIA includes the pay stub from the overpayment letter and notes the month and year of each overpayment on the check.
If SSA determines there is no overpayment, the SSI coordinator asks CIA to process the held benefits according the child’s placement for each benefit month the funds were held.
- If the child was in a kinship or relative placement, CIA issues the held benefits to the caregiver.
- If the child was in a paid foster care placement, CIA contacts the regional foster care billing coordinator and requests a Prior Period Adjustment (PPA) by providing the following:
  - Youth’s name
  - DFPS person identification number
  - Service month and year
  - Monthly income amount
  - Provider name

Child Is under the Resources Limit

CIA notifies the SSI coordinator when a child who was previously determined as over the resources limit is now under the limit.
The SSI coordinator does both of the following:
Reports to the SSA the date the child went under the resources limit and the new conserved funds balance.
Asks the SSA to reinstate the child’s SSI benefits.
The SSA issues an award letter stating that it has placed the child back on SSI eligible status and will be reinstating benefits.
The SSI coordinator sends a copy of the new award letter to CIA when received from the SSA.
CIA stops the hold on future benefits received after the eligibility date and continues using them on cost of care or issuing them to kinship or relative placements.

42 U.S.C. §1383(b)

14182 Use and Conservation of SSI and RSDI Lump Sums for Children Receiving SSI

CPS September 2026

The staff involved with processing a lump sum includes the following:

Regional Supplemental Security Income (SSI) coordinator
DFPS or single source continuum contractor (SSCC) caseworker
DFPS or SSCC supervisor
DFPS program director or SSCC director
State office Children’s Income Accounting (CIA) unit

Once the decision is made about the use of funds, the regional foster care eligibility specialist is notified. SSI coordinators are ultimately responsible for ensuring the lump sum is handled according to policy.

14182.1 Consider the Appropriate Needs of the Child

CPS September 2026

Within 30 days of receiving notice of the Supplemental Security Income (SSI) or Retirement, Survivors, and Disability Insurance (RSDI) lump sum award, the SSI coordinator works with appropriate regional staff to do all of the following:

Identify any appropriate needs the child receiving SSI might have, which includes items or services that will improve the child’s daily living conditions. Expenditures may be, but do not need to be, related to a disability, but they must meet the definition of “appropriate needs” as found in Appendix 1581.1 Appropriate Needs. Staff does not use the lump sum award to purchase items that can be purchased by the child’s Medicaid benefit or that are included in the child’s foster care maintenance payment.
Get a cost estimate (invoice or purchase order) of all appropriate needs identified.
Get approval of the expenditure as authorized by the SSI coordinator, DFPS or single source continuum contractor (SSCC) supervisor, and the DFPS program director or SSCC equivalent.

14182.11 Expenditure Request Form

CPS September 2026

Staff must document approvals of lump sum expenditures on the Expenditure Request Form. Staff must complete a separate form for each vendor to whom a lump sum expenditure will be made.

The Supplemental Security Income (SSI) coordinator and the DFPS and the single source continuum contractor (SSCC) caseworker’s supervisor and the DFPS program director (PD) or SSCC director must sign the form, which verifies their approval for the expenditure. Original signatures are not required on the form. The approver can sign the form and then scan and email it to the next approver for signature. The region and SSCC have the discretion to determine the staff member responsible for getting the required signatures on the form. The SSI coordinator must submit the completed form with signatures to the regional Children’s Income accountant in DFPS accounting.

After getting approval, the child’s DFPS or SSCC caseworker has 30 days to purchase the approved items or services. The DFPS Children’s Income Accounting (CIA) unit issues a check to the DFPS or SSCC caseworker, made payable to the vendor, for the amount of the approved items or services.

If there is a difference in the purchase price and approved amount greater than 10 percent (10%), the SSI coordinator submits a new form with the new amount and gets new signatures for approval. The region must return the check with the incorrect amount to the accountant so it can be voided in IMPACT, before a new check with the new amount can be issued.

The DFPS or SSCC caseworker sends receipts for purchases to the regional CIA unit. The SSI coordinator is responsible for ensuring expenditures are made in a timely manner.

14182.2 Maintain Funds in a Savings Account

CPS September 2026

Within 30 days after the lump sum expenditure is made, or if no appropriate needs are identified and approved, the Supplemental Security Income (SSI) coordinator requests that the Children’s Income Accounting unit retain any remaining funds in the savings account for the child.

14182.3 Determine If There Will Be Excess Funds

CPS September 2026

If less than $1,000 in lump sum funds remain, the funds are used on the child’s cost of care. If $1,000 or more remains, the SSI coordinator notifies the Social Security Administration (SSA) the month before the nine-month lump sum exclusion period ends to suspend the Supplemental Security Income (SSI) until the child’s resources do not exceed the $2,000 limit.

14183 Child Receiving SSI Not in Paid DFPS Care

CPS September 2026

When a child moves to a non-DFPS paid placement, the Supplemental Security Income (SSI) coordinator reports the change in placement to the Social Security Administration (SSA) within 10 days after receiving notice of the placement change.

14184 How Monthly Payments are Distributed

14184.1 Child is in an Adoptive Placement

14184.11 Child is Eligible for Adoption Assistance Payments and Receives SSI

CPS September 2026

The Adoption Assistance negotiator generally negotiates a deferred Adoption Assistance Agreement with the prospective adoptive parents when the situation meets both of the following criteria:

The child receives Supplemental Security Income (SSI). The child may also receive Retirement, Survivors, and Disability Insurance (RSDI) or another monthly payment).
The child is eligible for Adoption Assistance payments.

The deferred agreement delays payment of the Adoption Assistance benefit until the adoption is consummated. Children’s Income Accounting (CIA) staff forwards the SSI and any other monthly payment that is appropriate to use for the cost of care to the prospective adoptive parents. DFPS remains representative payee of the child’s benefits until the adoption is consummated and keeps the child’s conserved funds in the child’s savings account.

If a deferred agreement was not negotiated, SSI coordinators or CIA staff consults with the state office Federal and State Support division for guidance before issuing any Social Security Administration (SSA) benefits.

After consummation, the SSI coordinator does the following:

Resigns as the representative payee for the benefits.
Ensures the following funds are returned to the SSA or the entity issuing the monthly payment:
- All conserved funds, including those in a dedicated savings account.
- Any monthly benefits received by DFPS after the adoption was consummated.

14184.12 Child is Eligible for Adoption Assistance Payments and Receives RSDI or Another Monthly Payment but Does Not Receive SSI

CPS September 2026

DFPS remains representative payee of the child’s benefits until the adoption is consummated and keeps the child’s conserved funds in the child’s savings account.

After consummation, the Supplemental Security Income (SSI) coordinator does the following:

Resigns as the representative payee for the benefits.
Ensures the following funds are returned to the SSA or the entity issuing the monthly payment:
All conserved funds, including those in a dedicated savings account.
Any monthly benefits received by DFPS after the adoption was consummated.

14184.13 Child is Not Eligible for Adoption Assistance Payments and Receives SSI, RSDI, or Other Monthly Payments

CPS September 2026

When a child receives Supplemental Security Income (SSI), Retirement, Survivors, and Disability Insurance (RSDI), or benefits from another source and is not eligible for Adoption Assistance payments, Children’s Income Accounting (CIA) staff forwards the SSI, RSDI, and any other monthly payments appropriate to use for cost of care to the prospective adoptive parents. DFPS remains representative payee of the child’s benefits until the adoption is consummated and keeps the child’s conserved funds in the child’s savings account.

After consummation, the SSI coordinator does the following:

Resigns as the representative payee for the benefits.
Notifies the child’s DFPS or single source continuum contractor (SSCC) caseworker to inform the child’s adoptive parents that their child was receiving Social Security Administration (SSA) benefits while in care and that the parents should contact their local SSA office to inquire about possible benefits for the child.
Ensures the following funds are returned to the SSA or the entity issuing the monthly payment:
- All conserved funds, including those in a dedicated savings account.
- Any monthly benefits received by DFPS after the adoption was consummated.

14184.2 Child Returns to Parents

CPS September 2026

When a child is placed with his or her parents for a trial home visit, DFPS does not serve as representative payee for Supplemental Security Income (SSI) or Retirement, Survivors, and Disability Insurance (RSDI), even though DFPS may retain managing conservatorship. Social Security Administration (SSA) eligibility rules require that the income and resources of the parents be used to determine the child’s eligibility for SSI benefits.

The SSI coordinator does all of the following:

Contacts the SSA to inform it of the placement and resigns as representative payee.
Ensures that any monthly benefits received after the child’s return home are returned to the SSA.
Contacts the state office Children’s Income Accounting unit to return the child’s funds in savings when asked by the SSA to return the conserved funds.
Notifies the child’s DFPS or single source continuum contractor (SSCC) caseworker to inform the child’s parents that their child was receiving SSA benefits while in care, and that the parents should contact their local SSA office to inquire about possible benefits for the child.

14184.3 Child is No Longer in DFPS Conservatorship

CPS September 2026

When a child is no longer in DFPS conservatorship, DFPS may not serve as representative payee for any payments. The exception is for youth in the Extended Foster Care program, where the Social Security Administration (SSA) allows DFPS to remain the representative payee for the youth’s benefits.

When conservatorship is dismissed, the Supplemental Security Income (SSI) coordinator does all of the following:

Notifies the SSA that DFPS is no longer the managing conservator of the child and can no longer serve as representative payee.
Follows the procedures to return funds to the SSA .
Establishes a dedicated savings account for the child or youth
Notifies the child’s DFPS or single source continuum contractor (SSCC) caseworker to inform the child’s parents or caregiver that the child was receiving SSI benefits while in care, and that the parents or caregiver should contact the local SSA office to inquire about possible benefits for the child.
Ensures that any monthly benefits received after DFPS’s conservatorship was dismissed and any conserved funds are returned to the SSA.

Unless directed by the SSA to return the conserved funds, DFPS may continue to manage the conserved funds of youth in the Extended Foster Care program, even when the SSA has appointed the youth to be his or her own representative payee.

The SSI coordinator informs DFPS or SSCC staff that there are conserved funds that will be sent to the SSA and gives staff the SSA contact information.

14185 Supplemental Security Income (SSI) Reports

14185.1 SSI Tracking Report

CPS September 2026

Some children in DFPS conservatorship may be eligible to receive Supplemental Security Income (SSI) benefits based on their disabilities. Regional SSI coordinators are responsible for applying for these benefits from the Social Security Administration (SSA) on behalf of these children.

To ensure that children receive SSI benefits, DFPS uses a tracking system to provide the names of all potentially eligible children who meet the necessary criteria and to track the status of the children’s SSI applications.

SSI Tracking Report

The regional SSI coordinator manages the regional SSI tracking report and makes updates continually. Quarterly, the state office SSI program specialist sends the regional SSI coordinators an electronic list of potentially eligible state-paid and Title IV-E foster care recipients targeted for SSI benefits. The SSI coordinator screens the children on the list and applies on behalf of those who may qualify.

Receiving and Processing the SSI Tracking Report

The state office SSI program specialist sends a quarterly memo prompting the SSI coordinators to email their current SSI tracking reports to state office. SSI coordinators do not update their regional SSI tracking report until the program specialist returns the tracking report updated with the new names.
Within five working days after receipt of each quarterly regional tracking report, the SSI program specialist updates the regional tracking reports with the names (color-coded in red) of children potentially eligible for SSI and returns the updated SSI tracking reports to the regional SSI coordinators.
After the SSI coordinator receives the updated tracking report, the SSI coordinator screens the list to eliminate children who meet any of the following criteria:
- Whose SSI applications are pending.
- Who were recently denied SSI benefits.
- Who left DFPS conservatorship.
- Who have too much income.
- Who are Title IV-E eligible with a higher than Basic service level.
- Who are Title IV-E eligible and are in a Community-Based Care (CBC) catchment area.
- Who are current SSI recipients.
The SSI coordinator submits a cover letter to the SSA with the list of children who are potentially eligible for benefits and for whom the SSI coordinator will submit an application. In the letter, the SSI coordinator requests a protective filing date that allows DFPS to receive children’s SSI benefits retroactive to the filing date, instead of from the time the application is actually submitted.

SSI and Emergency Assistance (EA) and Title IV-E Eligibility

A child cannot simultaneously receive SSI benefits and Emergency Assistance (EA) or Title IV-E foster care assistance. Before submitting the request to the SSA for a protective filing date for a child, the SSI coordinator ensures that the child is not eligible for EA and Title IV-E. The quarterly listing of potentially eligible children produced by state office indicates whether the child is eligible for EA or Title IV-E. The state office SSI program specialist gives this information to the SSI coordinators when the SSI program specialist updates the region's SSI tracking report. The SSI coordinators ensure that the child’s EA and Title IV-E eligibilities are ended in IMPACT using the following method.

Title IV-E Eligibility

The decision to deny a child’s Title IV-E eligibility has a fiscal impact on DFPS by preventing the agency’s ability to offset a child’s cost of care with federal funds. The SSI coordinator reviews these cases carefully to ensure that the child qualifies for SSI. Though the best interest of the child remains the overriding concern, the SSI coordinator does not pursue application of SSI benefits for Title IV-E eligible children when it is clear that the child will not qualify for SSI benefits. In addition, SSI coordinators do not pursue SSI benefits for a child who meets both of the following criteria, because it is better for the child and the agency to claim Title IV-E funds than receive the SSI benefit:

The child is eligible for Title IV-E.
The child has higher than a Basic service level or is in a Community-Based Care (CBC) catchment area.

If the SSI coordinator decides to pursue SSI eligibility for a child who is eligible for Title IV-E, the child’s Title IV-E eligibility must end on the first date of the month that the SSI coordinator requests a protective filing date with SSA. The SSI coordinator contacts the child’s foster care eligibility specialist to change the child’s Selected Eligibility from Title IV-E to state-paid.

Emergency Assistance (EA) Eligibility

When the SSI coordinator decides to pursue SSI or applies to be the representative payee, the coordinator contacts the DFPS Customer Service Center (CSC) at 1-877-642-4777 to request denial of the child’s EA eligibility. The coordinator informs the CSC representative that:

The request is time-sensitive and needs to be expedited.
The SSI coordinator is the “approving supervisor” on the data change.
The reason for the EA denial is that the SSI coordinator is making an application for federal funding on behalf of the child from another source (SSI), and the continued EA eligibility creates a dual receipt of federal benefits that is not allowed under existing federal law and regulation.
The child’s EA Deny date needs to be the last day of the month prior to the month the SSI coordinator submits the protective filing date letter to the SSA.

The CSC assigns the EA denial request a ticket number. Each SSI coordinator tracks the requests. If more than two weeks pass before any action is reported, the coordinator reports the delay to the state office program specialist for the SSI.

Since EA eligibility might not have been determined at the time an application is filed, the SSI coordinator verifies the child’s EA status at the time a Notice of Award is received.

Submitting Applications to SSA for Benefits

The SSI coordinator submits the application within 60 days after notifying the SSA of DFPS’s intent to file an application for benefits. The SSI coordinator requests legal, psychological, and medical documents from the child’s DFPS or single source continuum contractor (SSCC) caseworker. The SSI coordinator must follow up with the DFPS or SSCC caseworker supervisor or program director if the caseworker does not provide the necessary documentation to support the SSI application. SSI coordinators must have a method for tracking the return of the required application information from field staff.

Updating the Regional Tracking Report

The SSI coordinator records the status of each child screened for eligibility for SSI on the Application (APP) Status worksheet on the regional SSI tracking report. The SSI coordinator enters one of the following:

The date the application was submitted to the SSA under the APP SUB column.
The code indicating the reason the child was screened out in the STATUS column.

See Appendix 1583.1: Guide to the SSI Tracking Report for the entire list of codes and their descriptions. The coordinator updates the APP STATUS worksheet on an ongoing basis to reflect the dates the applications were submitted to the SSA.

On an ongoing basis, the SSI coordinator updates information about SSI awards and current monthly benefits on the AWD (award) Status worksheet of the region’s SSI tracking report.

Regional Oversight

Supervisors of SSI coordinators verify that the coordinators screened the potentially eligible children and updated the status on their SSI tracking reports. Supervisors check that the SSI coordinator did both of the following:

Made an entry in the STATUS column in the APP STATUS worksheet.
Included a date entry in the APP SUB (date application submitted) column for items marked with a P (current-pending approval) status in the same worksheet.

This date must be no later than 60 days after the screening deadline for the current listing included on the quarterly memo. By adhering to this 60-day time frame, the SSI coordinator ensures that, if the application is approved, the child’s eligibility will be retroactive to the protective filing date.

Preventing Overpayments

The SSI coordinator will receive an award letter indicating that a child will be eligible for SSI benefits. The award letter indicates the amount of the child’s monthly SSI payment, and if the child will receive a lump sum payment.

Upon receipt of the award letter, the SSI coordinator:

Reviews the child’s case to confirm that the child’s Title IV-E foster care eligibility was changed to State-paid, effective the first date of the month that the SSI coordinator requests a protective filing date with the SSA.
Pulls the child’s Person Eligibility report in IMPACT to verify that the child’s EA Eligibility was Denied, effective the last day of the month prior to the month the SSI coordinator submits the protective filing date with the SSA.

If the SSI coordinator determines that eligibility for either Title IV-E or EA was mistakenly reinstated, the coordinator follows the procedures in the SSI and Emergency Assistance (EA) and Title IV-E Eligibility subheading earlier in this section to deny Title IV-E or EA eligibility. The SSI coordinator then determines if the child was not eligible for part or all of the award and the amount that must be returned to the SSA to prevent an overpayment based on dual receipt of SSI and Title IV-E or EA federal benefits.

The SSI coordinator receives the monthly SSI/RSDI Recipients with Eligibility Mismatches report to identify overpayment situations with children receiving SSI benefits and simultaneously having Title IV-E or EA eligibility.

14185.2 SSI Report for 17 Year Olds in Foster Care

CPS September 2026

State office issues a quarterly report to the regional Supplemental Security Income (SSI) coordinators identifying youth in foster care who are 17 years old and potentially eligible for SSI. SSI coordinators screen the regional listing to determine one of the following for an SSI application:

It has already been submitted to the Social Security Administration (SSA).
The application needs to be submitted.
SSI eligibility should not be pursued.

The SSI coordinator updates the quarterly report on the DFPS SharePoint site with the decision and the status of the youth’s SSI application.

Regional contacts are designated to ensure that each quarterly list is researched and updated by the SSI coordinator on the SharePoint site and to assist the SSI coordinator if the coordinator is having difficulty obtaining the medical documentation from a child’s DFPS or single source continuum contractor (SSCC) caseworker.

When an SSI Application Has Been Submitted to SSA

On the report, the SSI coordinator selects the status of the application from the options in the drop-down box: Pending, Awarded, or Denied.

If the application is “pending” with the SSA (the SSA has not yet made a decision), the SSI coordinator enters the date that the application was submitted to SSA.
If the SSA “awarded” or approved the application (the SSI coordinator received an SSI award letter from the SSA), the SSI coordinator notifies the DFPS or SSCC caseworker of the child’s approval for SSI.
If SSA “denied” the application more than two years previously, the SSI coordinator assesses if the child’s current disability warrants the submission of another application.

When an SSI Application Has Not Been Submitted to SSA

If DFPS has not submitted an SSI application for a youth on the list, the SSI coordinator has 30 days from the date of issuance of the regional tracking report by state office to complete the following tasks:

Screen the report to determine if DFPS should submit an SSI application. The SSI coordinator may consult the state office SSI program specialist to help determine if an SSI application is appropriate for a youth.
Contact the DFPS or SSCC caseworker to request all medical documentation that will support an SSI application. The DFPS or SSCC caseworker sends documentation to the SSI coordinator no later than two weeks from the date of the request. If the DFPS or SSCC caseworker does not send the needed documentation to the SSI coordinator within two weeks, the SSI coordinator asks the designated regional contact for assistance in obtaining this documentation.
Request a protective filing date from the SSA upon receipt of the medical documentation from the DFPS or SSCC caseworker.
Coordinate with the foster care eligibility specialist to transition youth eligible for Title IV-E from Title IV-E to state-paid. The end date of the Title IV-E eligibility is the first day of the month in which the SSI coordinator requests a protective filing date with the SSA. This ensures that Title IV-E funding ends on the last day of the preceding month, and there is no dual federal funding.

On the report, the SSI coordinator indicates all of the following:

The date the SSI coordinator requested documentation from the DFPS or SSCC caseworker.
The protective filing date or the reason why the SSI coordinator has not yet submitted the application.
The status of the submitted application.

The SSI coordinator submits the full SSI application to the SSA within 60 days from the date of issuance of the Regional Tracking Report by state office. After updating the report, the SSI coordinator contacts the regional contact to let him or her know the regional listing is updated and ready for review.

14185.3 SSA Change Reports

CPS September 2026

The regional Supplemental Security Income (SSI) coordinators receive a set of reports called the Social Security Administration (SSA) Change Reports on a monthly basis. The reports provide information from IMPACT that may affect the benefits of children receiving SSI or Retirement, Survivors, and Disability Insurance (RSDI) benefits from the SSA. The three reports are:

SSI/RSDI Recipients with Conservatorship Dismissal Recorded
SSI/RSDI Recipients with Placement Changes
SSI/RSDI Recipients with Eligibility Mismatches

Each SSI coordinator is responsible for viewing and performing the duties outlined below on a monthly basis for the children listed under their region on the report. Duties may involve coordinating with the following:

DFPS or single source continuum contractor (SSCC) caseworker
Regional eligibility specialist
Children’s Income Account (CIA) accountant
Local SSA office

If an SSI coordinator determines that a child appearing on the report under his or her region is from a different region, the SSI coordinator contacts the SSI coordinator from the child’s region for handling.

SSI and RSDI Recipients with Conservatorship Dismissal Recorded

The report lists children receiving SSI or RSDI benefits who had a legal status entry, indicating that DFPS no longer has legal responsibility for the child, recorded in IMPACT during the prior month. These legal statuses include:

CVS Not Obtained
FPS Responsibility Terminated
Adoption Consummated
Child Emancipated

The SSI coordinator uses this report to begin the process of returning those children’s conserved funds to the SSA.

The SSI coordinator reviews the children from his or her region and does one of the following:

Notify the CIA accountants to prepare checks to return the child’s conserved funds to the SSA.
Contacts the DFPS or SSCC caseworker to ensure the Voluntary Extended Foster Care Agreement and Financial Attachment were signed, if the child will remain in Extended Foster Care after age 18.

SSI and RSDI Recipients with Placement Changes

The report lists children receiving SSI or RSDI benefits who had a placement change recorded in IMPACT during the previous month. The SSI coordinator uses the report to inform the SSA of placement changes for children receiving SSA benefits.

SSI coordinators review the children from their region and do all of the following:

Enter the claim number in the Claim# field for children receiving RSDI benefits.
Enter Yes or No for each child in the Remain Payee field depending on whether DFPS will remain the payee for the child’s benefits.
Send a copy of the report with the region’s listing to the local SSA office or follow the local SSA office’s procedures for reporting the placement changes within 10 calendar days from receipt of the report.

SSI and RSDI Recipients with Eligibility Mismatches

The report lists children who have SSI eligibility and either Emergency Assistance (EA) eligibility or Title IV-E foster care eligibility recorded in IMPACT. The report excludes children who meet any of the following criteria:

Placed in Own Home or Relative or Kinship home placements.
Children without an EA eligibility end date and whose EA eligibility deny date for that record is before the earliest financial transaction date for the report.

The SSI coordinator uses the report to identify children whose EA benefits need to be denied and to determine whether it is better to leave the identified children on SSI or Title IV-E benefits.

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Child Protective Services Handbook