14200 Permanency Care Assistance (PCA)
14210 PCA Overview
CPS September 2026
Permanency Care Assistance (PCA) is provided to people who assume managing conservatorship of a child previously in the temporary or permanent managing conservatorship of DFPS. Assistance is provided as long as all the eligibility criteria for assistance are met.
The assistance may take the form of the following:
- Financial assistance—Negotiated monthly payments paid to an eligible caregiver to assist with a child’s needs.
- Medical assistance—Provided through Medicaid.
- Reimbursement of nonrecurring expenses—Provided for expenses related to obtaining the permanent managing conservatorship of an eligible child.
For more details related to PCA processes and eligibility information, please see the following:
- DFPS Rules, 40 TAC §700.1027
- Services to Kinship Caregivers Resource Guide
- Texas Family Code §264.851
- DFPS Rules, 40 TAC §700.1053
- DFPS Rules, 40 TAC §700.1057
14211 Determining PCA Eligibility
14211.1 Steps for the Regional Eligibility Assistance Units
CPS September 2026
Regional adoption assistance eligibility specialists determine eligibility for Permanency Care Assistance (PCA).
This determination is based on the following:
- Information provided to the eligibility worker by the child’s DFPS or single source continuum contractor (SSCC) caseworker.
- Data in DFPS automated systems, such as IMPACT.
To determine a child’s eligibility for PCA, the eligibility specialist must take the following steps:
Step 1: Review the PCA Packet and Evaluate It for Completeness
As soon as the eligibility specialist receives the PCA eligibility packet from the child’s DFPS or SSCC caseworker, the specialist logs receipt of the packet into the regional shared drive for PCA.
No more than three business days from the date the packet is received, the specialist reviews the packet to ensure the following:
- The packet is complete.
- A foster and adoption (FAD) home entry has been made in IMPACT for any homes verified by a private child placing agency (CPA).
The specialist asks the child’s DFPS or SSCC caseworker for any missing or insufficient documentation.
Step 2: Make a Preliminary Determination about PCA Eligibility
A preliminary determination of eligibility is one in which all the eligibility requirements are met except for the following:
- The agreement for PCA has not yet been negotiated and signed.
- Managing conservatorship has not been granted by the courts.
The adoption assistance eligibility specialist must make a preliminary determination of eligibility within five business days of receipt of a completed packet. This time frame applies whether the packet is complete initially, or the packet is completed after the specialist asks for additional documentation.
Within two business days of the determination, the specialist notifies the appropriate parties in accordance with Step 2a: If the Child Is Preliminarily Determined to Be Eligible or Step 2b: If the Child Is Determined Ineligible, as applicable.
Step 2a: If the Child Is Preliminarily Determined to Be Eligible
Evaluate Eligibility for Title IV-E or State-Paid PCA
If a family is determined to have preliminary eligibility, the eligibility specialist must determine whether PCA will be paid using either of the following:
- Federal Title IV-E funding
- State funding
A child’s eligibility for Title IV-E or state-paid PCA is based on the child’s eligibility for funding while in foster care. The eligibility specialist verifies this in IMPACT, based on the following:
- The child’s initial application for foster care assistance.
- Any change in the determination.
A copy of this documentation must be included as part of the eligibility file.
If the child does not meet the requirements for Title IV-E eligibility, but satisfies the requirements for PCA eligibility, the child’s PCA is state-funded.
Notify Appropriate Parties about the Determination
After determining whether a child who is preliminarily eligible for federal Title IV-E funding or state funding, the eligibility specialist completes and sends Form 2117 Notice of Preliminary Eligibility Determination to all the following people:
- The child’s DFPS or SSCC caseworker and the supervisor who signed the PCA packet.
- The prospective permanent managing conservator.
- The PCA negotiator responsible for negotiating the child’s PCA benefits.
Step 2b: If the Child Is Determined Ineligible
If the child is determined ineligible for PCA, the eligibility specialist sends the prospective managing conservator and the DFPS or SSCC caseworker a written and dated notification of denial via Form 2119 Permanency Care Assistance Denial, citing the following information:
- Each reason for the decision.
- The family’s right to appeal.
For the family to be eligible for any benefits, any appeal must be concluded before managing conservatorship of the child is transferred to the kinship caregiver.
The case file must contain documentation showing the date that the denial notice was mailed to the prospective permanent managing conservator.
Step 3: Negotiating a PCA Agreement with a Prospective Managing Conservator
The PCA negotiator negotiates the amount of PAC the family will receive.
When negotiation is complete, the PCA negotiator and family complete Form 2120es Permanency Care Assistance Agreement. The negotiator then sends the original form to the adoption assistance eligibility specialist and provides the family with a copy.
Step 4: Activating PCA Benefits upon a Transfer of Managing Conservatorship
Upon receipt of the notice the child or youth is in permanent managing conservatorship, the eligibility specialist records and authorizes all PCA payments in IMPACT. Once benefits are activated, the eligibility specialist also completes and sends Form 2120 Activation of Permanency Care Assistance Notice to the managing conservator and the child’s DFPS or SSCC caseworker.
The effective date of the PCA agreement is the date upon which managing conservatorship is awarded to the prospective managing conservator.
14211.2 Eligibility Units’ Ongoing PCA Responsibilities
CPS September 2026
An adoption assistance eligibility specialist has the following ongoing responsibilities related to Permanency Care Assistance (PCA):
- Maintaining information in IMPACT when there is a change in the family’s circumstances.
- Processing the reimbursement of qualified nonrecurring expenses related to obtaining permanent managing conservatorship.
- Obtaining certification of continued eligibility, as follows:
- Children under 18—Every five years (or more often, as needed)
- Young adults 18 and older—Annually
- Notifying and requesting that other states or U.S. territories provide Medicaid coverage to Texas recipients of PCA who live out of state.
- Authorizing Medicaid coverage for children from other states who live in Texas but receive PCA paid for with Title IV-E funding from another state’s public child welfare agency.
- Initiating reimbursement when assistance was overpaid.
- Authorizing supplemental payments when assistance was underpaid.
- Maintaining the case in the appropriate eligibility unit.
- Activating benefits in accordance with any orders issued after a fair hearing.
14211.3 Determining Which Region Maintains a Case Involving PCA
CPS September 2026
The following guidelines are used to determine the region responsible for maintaining a case that involves Permanency Care Assistance (PCA).
| If … |
Then … |
|---|---|
The child’s eligibility is confirmed, the PCA agreement is in effect, and payment was made to the recipient for nonrecurring adoption expenses … |
The DFPS region in which the permanent managing conservator lives maintains the case. |
The child is placed in another state or U.S. territory for permanent managing conservatorship... |
The DFPS region that determined eligibility and entered into the PCA maintains the case. |
the family moves out of state ... |
The DFPS region that last managed the case maintains the case. |
DFPS is authorizing only Medicaid to permanency care recipients from another state who live in Texas ... |
The DFPS region where the family lives maintains the case. |
14212 Negotiating Permanency Care and Deferred Agreements
14212.1 Role of the Negotiator in Determining PCA
CPS September 2026
The benefits negotiator, upon receiving notice of a preliminary determination of eligibility, must complete the following steps:
- Determine the child’s needs by reviewing the records of the child and family. The benefits negotiator also reviews information on the personal circumstances of both the results of the home study and the content of the Permanency Care Assistance (PCA) Worksheet Form 2116 and the Kinship Family Resources Form 2118.
- Contact the family within two days of receiving the preliminary determination of eligibility and make an appointment to discuss PCA benefits and negotiate the PCA agreement.
- Discuss PCA with the family, particularly how to obtain Medicaid benefits in Texas and other states, and discuss potential issues.
- Provide the family with information about educational requirements. Determine the payment ceiling for monthly payments and communicate that information to the family.
- Negotiate and execute a PCA agreement with the family. Negotiators meet in person with the family when possible. Contact may be made in the family’s home or in a DFPS office, whichever is suitable to both parties, or contact may be made by telephone.
Important note: The agreement must be negotiated before managing conservatorship of the child is transferred to the kinship caregiver, or eligibility for PCA will be permanently lost.
14212.2 Other Considerations When Negotiating for PCA
CPS September 2026
The negotiator for Permanency Care Assistance (PCA) and the prospective permanent managing conservator must consider the following when discussing and negotiating the amount of PCA:
- The child’s present and future need for services, assessed in relation to:
- Family’s income
- Other resources
- Expenses
- Plans for the future
- The child’s income and benefits, such as Retirement, Survivors, Disability Insurance (RSDI) or benefits provided through the U.S. Department of Veterans Affairs (VA) that meet the following criteria:
- Benefits are specifically designated for the child.
- The child will retain these benefits in the permanent conservatorship.
- These benefits must be applied toward meeting the child’s needs.
- The costs for meeting the child’s needs through private sources, only when those needs cannot be met through publicly funded sources.
- Policies explained in Appendix 1618.3: Discussion Guide – Negotiating Permanency Care Assistance and the PCA Worksheet Form 2116.
14212.3 Explaining Education Requirements When Negotiating for PCA
CPS September 2026
The negotiator for Permanency Care Assistance explains to the prospective managing conservator that DFPS may periodically require proof of full-time attendance for a child who is old enough to be required to go to school.
DFPS Rules, 40 TAC §700.1049(d)
14212.4 Explaining PCA Successor Benefits
CPS September 2026
If the kinship caregivers die or become incapacitated, the child may lose or experience a lengthy disruption in benefits, unless potential successor caregivers are identified in the Permanency Care Assistance (PCA) Agreement or in an amendment of the agreement.
In order to receive the child’s benefits, the successor caregivers will be required to:
- Sign a new PCA agreement.
- Obtain legal custody of the child.
- Meet DFPS background check standards.
All benefits are voided if the kinship caregivers do not identify potential successor caregivers for the child in the event that kinship caregivers die or become incapacitated.
14212.5 Negotiating Deferred Agreements for PCA
CPS September 2026
A deferred agreement for Permanency Care Assistance (PCA) is a written agreement between the prospective permanent managing conservator and DFPS to negotiate PCA at a future date, if the need arises.
Deferred agreements are used when the following are true:
- The child and the prospective managing conservator meet the eligibility requirements for PCA when the court awards permanent managing conservatorship. This includes meeting the requirement of signing the PCA agreement before transferring managing conservatorship of the child to the kinship caregiver.
- The prospective managing conservator is able to meet the child’s current needs.
- The negotiator anticipates that the prospective managing conservator will need assistance meeting the child’s needs in the future.
Under the terms of a deferred agreement, the following must be true:
- The family and child’s eligibility for PCA is already established.
- If the family and child require assistance in the future, the family and DFPS negotiate at that time for specific benefits, including Medicaid, monthly financial assistance, or both.
The existence of a deferred agreement eliminates the need for a fair hearing for PCA.
14213 Providing Medical Assistance to PCA Recipients
14213.1 Providing Medical Care to a Child Who Lives in Texas and Receives PCA
CPS September 2026
The medical care for a child who receives Permanency Care Assistance in Texas is covered under the Texas Medicaid Program.
14213.2 Providing Medical Care to a Child Who Lives Out of State and Receives PCA
CPS September 2026
When a child is eligible for Permanency Care Assistance that is paid for with Title IV-E funding, and the child lives outside Texas, the state of residence is responsible for providing medical assistance.
The child will continue to be covered through the Texas Medicaid Program. However, unless the child independently qualifies for the other state’s Medicaid program, the managing conservator generally will be able to access benefits only from a Texas Medicaid provider.
14220 A Change in the Circumstances of a PCA Recipient
CPS September 2026
Reporting Changes
A family that entered into an agreement with DFPS to receive Permanency Care Assistance (PCA) is responsible for immediately reporting to the appropriate eligibility specialist changes in circumstances that may affect assistance, including the following:
- Any name or address changes.
- A change in marital status.
- The death of a child or permanent managing conservator.
- The incapacitation of the permanent managing conservator.
- The relocation of the child (the child no longer lives with the permanent managing conservator).
- A change in the child’s legal status.
- A change in any circumstance that would warrant termination of the agreement for PCA.
Making a Request
When a change in a family’s circumstances affects the child’s current needs, or affects the family’s ability to meet those needs, the family may request a change in the monthly payment. The family may make the request only if the family is not already receiving the maximum monthly payment.
Processing a Request
Upon receiving a request for a change in the monthly payment, the PCA negotiator contacts the permanent managing conservator within 10 business days to negotiate a new payment amount.
Negotiated increases are effective no earlier than the first of the month following the month in which the new agreement is signed.
The adoption assistance eligibility specialist updates the information reported as a change within five days of receiving the change.
14221 Benefits: PCA Recertification and Termination
14221.1 Recertification of PCA Eligibility
CPS September 2026
Certification of continued eligibility is required at least every five years for children younger than 18 years old.
No fewer than 90 days before the five-year date for certification of continued eligibility, the eligibility specialist mails Form 2122 Permanency Care Assistance (PCA) Recertification and Form 2123 PCA Certification of Continued Eligibility Instructions to the permanent managing conservator.
The eligibility specialist makes three attempts to secure the required documentation from the conservator, with the last attempt being a certified letter.
If the eligibility specialist finds that the family was overpaid, the specialist must initiate the recoupment process.
14221.2 Terminating PCA
CPS September 2026
A Permanency Care Assistance (PCA) agreement may be terminated before a child turns 18 years old.
When the child moves out of or leaves the permanent managing conservator’s home, the permanent managing conservator does the following:
- Reports the change.
- Provides evidence of the conservator’s continued, routine, and ongoing financial support of the child.
If the child returns to substitute care and DFPS becomes the child’s managing conservator, the child’s PCA is suspended so DFPS can provide foster care payments. In this situation, PCA cannot be transferred to a subsequent permanent managing conservator.
14221.3 Recertification of Eligibility for Extended PCA
CPS September 2026
For a youth who is eligible for extended Permanency Care Assistance (PCA), the eligibility specialist obtains certification of the youth’s continued eligibility. The first certification is completed the month in which the youth turns 18. Eligibility then is determined annually until the young adult turns 20, which covers the young adult until the 21st birthday.
Each year, around the youth or young adult’s birthday, the eligibility specialist makes three attempts to obtain Form 2122 PCA Recertification and Form 2123 PCA Certification of Continued Edibility/Instructions from the youth, young adult, or caregiver. These forms are required documentation for certification of continued eligibility.
The attempts at contact are made as follows:
- The first attempt is made 60 days before the youth or young adult’s birthday.
- The second attempt is made 30 days before the youth or young adult’s birthday, if the first attempt is unsuccessful.
- The third attempt is made on the youth or young adult’s birthday, by certified letter, if the second attempt is unsuccessful.
If the necessary documentation is not received within 30 days of the young adult’s 18th birthday, the eligibility specialist terminates extended benefits. If the required documentation is received at a later date, the eligibility specialist can restart extended benefits. The start date will be the first of the month in which the documentation of eligibility is received.
The permanent Kinship conservator must provide sufficient documentation to meet the education- or work-related requirements each time eligibility is recertified for young adults 18 and older. The permanent managing conservator submits documents directly to the adoption assistance eligibility specialist.
14222 Recouping a PCA Overpayment
CPS September 2026
When a permanent managing conservator receives an overpayment for Permanency Care Assistance (PCA), the overpaid funds must be recouped.
Overpayment may be required for any of the following reasons:
- The child is younger than age 18, and the permanent managing conservator is no longer legally responsible for the child.
- The permanent managing conservator is no longer providing support to the child.
- The child or permanent managing conservator dies.
- The child was mistakenly determined to be eligible for benefits.
14222.1 Standard Cases—Recouping PCA Overpayments in 30 Days
CPS September 2026
When a Permanency Care Assistance (PCA) payment has been overpaid, the adoption assistance eligibility specialist for the region discusses the case with the eligibility supervisor.
If the eligibility specialist and supervisor are not sure whether recoupment is needed, the specialist consults by email with a Federal and State Support program specialist.
In the email to the program specialist, the eligibility specialist includes the following:
- Child’s name.
- Child’s personal identification number.
- A brief overview of the circumstances that led to the overpayment.
Required Consultation
The eligibility specialist and supervisor must consult with the program specialist before processing a recoupment in any of the following circumstances:
- The overpayment exceeds six months.
- The overpayment exceeds $50,000.
- Fraud is suspected.
Standard Recoupment Process
- The Federal and State Support program specialist for the Adoption Assistance (AA) and Permanency Care Assistance (PCA) programs in DFPS State Office sends Form 8102 PCA Request for Payment to DFPS to the regional eligibility specialist. The form provides the permanent managing conservator with details about the recoupment, such as:
- Invoice number
- Date of service
- Original warrant date
- Original warrant amount
- Total amount of the overpayment
- The regional eligibility specialist sends the form to the regional operation support administrator (ROSA), who then completes and signs Form 8103a PCA Overpayment Letter. The ROSA mails the following to the permanent managing conservator:
- Form 8103a PCA Overpayment Letter, explaining that the overpayments must be repaid.
- Form 8102 PCA Request for Payments to DFPS (Expenditure Overpayment), providing the details of the overpayment and recoupment.
- The permanent managing conservator does the following:
- Completes Form 8102 PCA Request for Payments to DFPS (Expenditure Overpayment).
- Sends a copy of the form with each payment to the DFPS address provided in the letter.
- The ROSA sends a copy of Form 8103a PCA Overpayment Letter and Form 8102 PCA Request for Payment to DFPS to:
- The email box at FORMS8102@dfps.texas.gov.
- The Federal and State Support program specialist for the AA and PCA programs.
Handling Late Payments
On the 30th day after the date listed on Form 8103a PCA Overpayment Letter, the DFPS Accounting Office does the following:
- Sends a second letter to the permanent managing conservator, this time by certified mail.
- Notifies the ROSA by email.
If the permanent managing conservator contacts the ROSA on or after the 30th day from the date on Form 8103a PCA Overpayment Letter, the ROSA does either of the following:
- Refers the permanent managing conservator to the DFPS Accounting Office to discuss a repayment plan.
- Notifies the DFPS Accounting Office, if a repayment plan was proposed by the permanent managing conservator.
If the permanent managing conservator fails to respond to the second letter within 30 days, the DFPS Accounting Office refers the case to the Office of the Attorney General of Texas.
14222.2 Hardship Cases—Recouping PCA Payments in Any Dollar Amount
CPS September 2026
If a permanent managing conservator contacts the regional operation support administrator (ROSA) within 30 days from the date on Form 8103a Permanency Care Assistance (PCA) Overpayment Letter to explain that the conservator cannot repay the overpayment in full by the due date, the ROSA offers the conservator a repayment plan, as follows.
The amount of the overpayment determines which DFPS personnel must approve the repayment plan.
To begin the process, the ROSA asks the permanent managing conservator to do the following:
- Explain in writing (by mail or email) why the parent cannot repay the entire dollar amount by the due date.
- Send the letter or email to the ROSA by the 10th business day from the date that the conservator first contacted the regional adoption assistance eligibility specialist about repayment.
When the ROSA receives the letter explaining the permanent managing conservator’s inability to pay by the due date, the ROSA does the following:
- Discusses a payment plan with the conservator.
- Completes and signs Form 8103g PCA Overpayment Approval Letter, which explains the details of the payment plan as discussed with the permanent managing conservator.
The ROSA then sends the following to the permanent managing conservator by certified mail:
- The original Form 8103g PCA Overpayment Approval Letter
- Form 8103h-PCA Provider Repayment Plan Documentation and Approval
- Copy of Form 8102a Request for Reimbursement to DFPS (Expenditure Overpayment)
The permanent managing conservator does the following:
- Signs Form 8103h-PCA Provider Repayment Plan Documentation and Approval.
- Returns it to the ROSA.
When the ROSA receives the signed Form 8103h-PCA Provider Repayment Plan Documentation and Approval, the ROSA does the following:
- Mails the original and a copy of Form 8102-PCA Request for Payment to DFPS to the DFPS Accounting Office.
- Sends a copy of Form 8102 by email to the Federal and State Support program specialist for Adoption or Permanency Care Assistance.
14222.3 Extreme Hardship Cases—Recouping PCA Payments in More Than 12 Months (Requires State Office Approval)
CPS September 2026
If a permanent managing conservator explains to the regional operation support administrator (ROSA) in writing why the conservator cannot repay the overpayment within 12 months, the ROSA informs the managing conservator of the following:
- A plan that exceeds 12 months must be approved by the DFPS State Office.
- The maximum repayment plan is 24 months.
- There is no guarantee approval will be granted.
If the permanent managing conservator agrees to a repayment plan of more than 12 months, but not more than 24 months, the ROSA does the following:
- Forwards the total amount to be recouped and the time frame for payment to the division administrator of the DFPS Federal and State Support Division.
- Notifies the permanent managing conservator that the plan has been forwarded for approval.
The division administrator does the following:
- Processes the request for a payment plan.
- Obtains the required approval.
Plan Is Approved
If the repayment plan is approved, staff at DFPS State Office do the following:
- Obtain Form 8103h PCA Provider Repayment Plan Documentation and Approval from the division administrator (the sole source for the form).
- Send completed Form 8103h to the managing conservator to obtain the conservator’s signature of approval.
Plan Is Not Approved
If the repayment plan is not approved, the division administrator notifies the permanent managing conservator.
14223 Fair Hearings Regarding Decisions about PCA
14223.1 Duties of the Adoption Assistance Eligibility Specialist
CPS September 2026
The adoption assistance eligibility specialist does the following:
- Informs the permanent managing conservator about the right to a fair hearing whenever Permanency Care Assistance (PCA) is:
- Denied
- Delayed
- Suspended
- Reduced
- Terminated
- Explains what supporting documentation the permanent managing conservator will need to provide at the hearing, as proof of a child’s eligibility.
- Prepares a fair hearing packet and submits it to the DFPS Office of General Counsel in the State Office, including the following:
- The prospective permanent managing conservator’s entire case file for PCA.
- A recommendation to be added to an agreed order, when applicable. An agreed order shows what the family will be eligible for after a fair hearing.
If the permanent managing conservator requests a fair hearing during the negotiation of benefits, the negotiator for PCA does the following:
- Prepares a written report summarizing the dispute over the amount of assistance and the efforts taken to resolve it.
- Provides documentation of the process and results of the discussion and negotiation with the permanent managing conservator, including any pertinent notes or recordings.
In such circumstances, the negotiator must be prepared to participate and testify in the fair hearing.
Adoption Assistance Eligibility Specialist Responsibilities for College Tuition and Fee Exemption
Adoption assistance eligibility specialists must research and determine whether the college tuition and fee exemption letter can be issued to youth or young adults.
Regional adoption assistance eligibility specialists must:
- Prepare the letter for signature by the regional operations support administrator (ROSA), CPS program administrator, or CPS regional director.
- File a copy of the letter in the youth’s file.
14224 Enhanced Permanency Care Assistance
CPS September 2026
Enhanced permanency care assistance is intended to reduce financial barriers for kinship and fictive kinship caregivers.
14224.1 Eligibility Specialist Approval Process
CPS September 2026
The eligibility specialist, who processes permanency care assistance (PCA), reviews the packet within three days of receipt, to determine whether it is complete and contains all required documentation. If the packet is incomplete, the eligibility specialist immediately notifies the DFPS or single source continuum contractor (SSCC) caseworker and prospective conservator in writing of the additional required information or documentation.
The eligibility specialist has five working days to make a preliminary determination of eligibility after receipt of a complete PCA packet.
After the eligibility specialist reviews the packet and makes a preliminary determination of eligibility, the regional approvers decide whether to recommend the child for enhanced PCA .
DFPS State office approval is necessary before negotiations begin.
14224.2 DFPS State Office Approval Process
CPS September 2026
To request approval from DFPS state office, the regional requester submits the following:
- Enhanced Permanency Care Assistance Memo
- Form 2309 Documentation for Enhanced Permanency Care Assistance
- Related documents
The Enhanced Permanency Care Assistance Memo requires the signatures and approval of each of the following people:
- The requester (eligibility specialist or negotiator)
- The child’s DFPS or single source continuum contractor (SSCC) caseworker
- The DFPS or SSCC caseworker’s supervisor
- The program director
DFPS State Office processes requests for enhanced permanency care assistance within 10 working days. If the submitted packet is incomplete, then additional time may be required.
Upon completion of the review, DFPS State Office emails a memo of approval or denial to the regional director and the approvers who signed Form 2309.
14224.3 Timing of Negotiation for Enhanced Permanency Care Assistance and Placement
CPS September 2026
Negotiation for enhanced Permanency Care Assistance may begin only after approval from the State Office. Within five working days after the end of the negotiations, regional staff inform DFPS State Office staff of the negotiated amount.
14224.4 Authorization of Payments for Enhanced Permanency Care Assistance
CPS September 2026
As with Permanency Care Assistance (PCA), the PCA eligibility specialist records and authorizes all PCA payments in IMPACT, upon receipt of the signed enhanced PCA agreement.
The eligibility specialist only enters an enhanced rate if the specialist has received a copy of the approval memorandum from the DFPS State Office approving enhanced PCA.
14224.5 Denials of Enhanced Permanency Care Assistance
CPS September 2026
If the DFPS State Office denies a request for enhanced permanency care assistance (PCA), then the regional staff send the prospective conservators Form 2424 Enhanced Permanency Assistance Denial Letter to the following:
- The child’s DFPS or single source continuum contractor (SSCC) caseworker.
- The placing agency, if the placing agency is not DFPS.
The child’s case file must contain a copy of the denial letter.
14300 Adoption Assistance Program
CPS September 2026
Definitions
For definitions of terms related to the Adoption Assistance program, see 40 Texas Administrative Code §700.801.
Description of the Adoption Assistance Program
The purpose of adoption assistance is to facilitate adoption of children with special needs who might otherwise not be adopted. The law requires DFPS to try to find an adoptive home for the child without adoption assistance, except when doing so is not in the child’s best interest. If a child is eligible for adoption assistance, the following types of benefits may be available:
- Monthly payments negotiated and paid to an eligible caregiver (adoptive parent) to help a child with special needs.
- Medical assistance, which is generally provided through Medicaid.
- Reimbursement of nonrecurring (one-time) expenses related to adopting an eligible child.
DFPS Rules, 40 TAC §700.802(b)
Such benefits can assist a family who, otherwise, would be unable to adopt a child with special needs, allowing the family to give the child a permanent home.
Adoption assistance is not intended to replace the adoptive parents’ legal responsibility to support their children. Families are responsible for using their own resources to help them provide for the children’s needs. These resources are considered when determining whether a family may receive adoption assistance and, if so, the amount or types of assistance.
14310 Adoption Assistance
14311 Eligibility Requirements for Adoption Assistance for Children Adopted from DFPS Conservatorship
14311.1 General Eligibility Requirements
CPS September 2026
For any child adopted from DFPS conservatorship to be eligible for adoption assistance (either Title IV-E or state-paid), the following requirements must be met:
- The child must meet the definition of a child with special needs.
- The home into which the child is placed for adoption must be approved as an adoptive home in accordance with the Minimum Standards for Child-Placing Agencies in Texas (or in accordance with applicable law, if the adoptive home is in another state). This includes a requirement that a home in Texas has an approved home screening and meets the Texas requirements about prohibited criminal conduct and the abuse or neglect history.
- The adoptive parent or parents must sign an adoption assistance agreement before the consummation of the adoption. There are limited exceptions to this requirement.
- The child must not be adopted internationally.
14311.2 Determining Whether a Child Has Special Needs
CPS September 2026
A child with special needs is one who meets all of the criteria in this section.
Eligible Conditions for Adoption Assistance
The child is less than 18 years old at the time the adoptive placement agreement is signed, and meets at least one of the following conditions.
- The child was in the managing conservatorship of DFPS or an authorized entity on the day immediately preceding the date of adoption.
- The child is at least six years old.
- The child is at least two years old and a member of a racial or ethnic group that exits foster care at a slower pace than other racial or ethnic groups.
- The child is being adopted with a sibling, joining a sibling who has been adopted by the parents, or for whom the parents already have permanent managing conservatorship or an equivalent arrangement in another state.
- The child has a verifiable physical, mental, or emotional handicapping condition, as established by an appropriately qualified professional’s diagnosis that states what the condition is, and that it is handicapping.
- The child has been determined by the Social Security Administration (SSA) to meet all the medical or disability requirements with respect to eligibility for Supplemental Security Income (SSI) benefits.
Children ages zero to two, under Texas Child-Centered Care (T3C), will not routinely have a Child and Adolescent Needs and Strengths (CANS) 3.0 Assessment.
However, if Adoption Assistance benefits are pursued, and the child meets the Special Needs criteria, then the DFPS or single source continuum contractor (SSCC) caseworker must obtain the following:
- A Recommended Service Package from a CANS 3.0 Assessment, if applicable.
- Diagnosis documentation from an appropriately qualified professional that states the child’s physical, mental, or emotional handicapping condition and that the condition is handicapping.
Proof of Reasonable Efforts to Find an Adoptive Home
When the attempt to find an adoptive placement is unsuccessful, proof of such reasonable efforts may include:
- Documentation that the child was registered on an adoption registry exchange for more than 60 days.
- Documentation of any ongoing effort to locate an adoptive family, whether through child welfare entities or government or private organizations.
- The fact that one or more adoptive placements did not result in an adoption.
14311.3 Medical Assistance Only (MAO) Medicaid When a Child Has Not Qualified for Adoption Assistance
CPS September 2026
DFPS provides Medicaid coverage to children in adoptive placements until DFPS legal responsibility ends.
For children who qualify for adoption assistance benefits, the Medicaid coverage is included as part of their adoption assistance benefit.
Children who do not qualify for adoption assistance are assigned Adoption Medical Assistance Only (MAO) coverage in the Adoption stage until one of the following occurs:
- DFPS legal responsibility ends.
- The child qualifies for adoption assistance benefits.
Transferring Foster Care to Adoption MAO Coverage
On the effective date of the adoptive placement, DFPS does the following:
- The foster care eligibility specialist end-dates the child’s foster care eligibility as the date of the adoptive placement. (However, the child’s foster care Medicaid coverage continues through the end of the month.)
- 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.
14311.4 Additional Eligibility Requirements for Monthly Payments and Medicaid Coverage
CPS September 2026
In order for a child to qualify for adoption assistance monthly payments or Medicaid coverage (other than Medical Assistance Only), in addition to qualifying for the reimbursement of nonrecurring adoption expenses, the child must be in an adoptive placement and meet the Title IV-E requirements for either an applicable or non-applicable child, as appropriate.
Applicable Children
Once an applicable child satisfies the general eligibility requirements for adoption assistance and the eligibility requirements for reimbursement of nonrecurring adoption expenses, the child can qualify for Title IV-E funding by meeting one of the following additional criteria:
- The child was in DFPS conservatorship at the time of the adoptive placement.
- The Social Security Administration (SSA) has determined that the child meets all of the medical or disability requirements for Supplemental Security Income (SSI) benefits.
- DFPS determined that the child was eligible for Title IV-E adoption assistance in a prior adoption.
- Just before the adoptive placement of the child and immediately before the termination of a minor parent’s parental rights, the child was living with a minor parent as a result of a court-ordered removal.
DFPS Rules, 40 TAC §700.821(c)
Non-Applicable Children
Once a non-applicable child satisfies the general eligibility requirements for adoption assistance and the eligibility requirements for reimbursement of nonrecurring adoption expenses, the child can qualify for Title IV-E funding by meeting one of the following additional criteria:
- The Social Security Administration (SSA) determined that the child meets all of the medical or disability requirements for Supplemental Security Income (SSI) benefits.
- DFPS or another state’s public child welfare agency already determined that the child was eligible for Title IV-E foster care, based on Aid to Families with Dependent Children (AFDC) eligibility.
- DFPS determined that the child was eligible for Title IV-E adoption assistance in a prior adoption.
Just before the adoptive placement of the child, and immediately before the termination of a minor parent’s parental rights, the child was living with a minor parent who was in foster care, and the minor parent was receiving additional Title IV-E dollars to cover the costs of the child while in foster care.
DFPS Rules, 40 TAC §700.821(b)
14311.5 Eligibility Requirements for State-Paid Adoption Assistance
CPS September 2026
To be eligible for state-paid adoption assistance, the child must be in an adoptive placement and meet both of the following requirements:
- Be ineligible for Title IV-E adoption assistance.
- Meet the previously discussed general legibility requirements.
14311.6 Determining Who Is an Applicable Child
CPS September 2026
Federal law provides different eligibility criteria for Title IV-E adoption assistance, depending on whether the child is an applicable child.
A child is an applicable child if he or she meets any of the following criteria:
- Minimum age requirement
- Time in care requirement
- Sibling requirement
Minimum Age Requirement
This requirement relates to the child’s age during the federal fiscal year (FFY) during which DFPS first enters into the adoption assistance agreement with the adoptive parents. Effective October 1, Federal Fiscal Year (FFY) 2018, a child must be at least two years old by the end of the FFY in which the adoption assistance agreement was signed to be an applicable child by meeting the minimum age requirement. This extended applicable child phase-in period ended on June 30, 2024. Therefore, in the case of a child of any age for whom an adoption assistance agreement is entered into on or after July 1, 2024, each Title IV-E agency must determine eligibility of a child according to the “applicable child” eligibility criteria.
Time in Care Requirement
The term applicable child also includes a child who has been in foster care under the responsibility of DFPS for 60 consecutive months, if the child meets the definition of a child with special needs. The 60-consecutive-month period is any 60 consecutive months that occurred before signing the adoption assistance agreement.
Sibling Requirement
The term applicable child also includes a child whose sibling is an applicable child (based on age or time in care), if the siblings are both placed in the same adoptive placement. The sibling who does not qualify as an applicable child, based on age or time in care, must also meet the definition of a child with special needs.
14311.7 Eligibility Requirements for Extended Adoption Assistance
CPS September 2026
Extended adoption assistance benefits are available to eligible youth to allow them to remain eligible for adoption assistance through the month in which they turn 21, if both of the following requirements are met:
- The youth’s adoptive parents initially entered into an adoption assistance agreement with DFPS after the youth’s 16th birthday and before the youth’s 18th birthday.
- The youth or adoptive family submits documentation sufficient to establish that the youth is one of the following:
- Regularly attending high school or enrolled in a program leading toward a high school diploma or high school equivalency certificate.
- Regularly attending an institution of higher education or a postsecondary vocational or technical program.
- Participating in a program or activity that promotes employment or removes barriers to employment.
- Employed for at least 80 hours a month.
- Incapable of doing the activities described above because of a documented medical condition. There is a presumption that a youth is capable of doing the activities, and the burden of proof to demonstrate that the youth is incapable is the adoptive family’s responsibility.
Each year, the adoption assistance eligibility specialist verifies that the youth meets the requirements above. The adoptive family submits documents directly to the adoption assistance eligibility specialist verifying the student’s attendance or the youth’s other qualifying activity. See 40 Texas Administrative Code §700.851: How can my child qualify for extended adoption assistance benefits?
No extended adoption assistance benefits were available before October 1, 2010. Youth who turned 18 before that date are excluded from receiving these benefits or a hearing to appeal the denial of these benefits.
DFPS Rules, 40 TAC §700.880(e)
14311.8 Permanent Managing Conservatorship When Adoption Assistance Is Not Available
CPS September 2026
When the court terminates parental rights, adoption is the first option the DFPS or the single source continuum contractor (SSCC) caseworker considers as a permanent placement for the child. However, if adoption is not an option for the child, DFPS or the SSCC determines whether the transfer of permanent managing conservatorship (PMC) with the support of permanency care assistance (PCA) is an option for the family.
14312 Eligibility Requirements for Adoption Assistance for Children Adopted from the Conservatorship of an LCPA
14312.1 Eligibility Requirements
CPS September 2026
A child who is adopted from the conservatorship of a licensed child-placing agency (LCPA) can only qualify for Title IV-E adoption assistance, not for state-paid adoption assistance. State-paid adoption assistance is authorized only for children living in foster homes at state or county expense.
To qualify for adoption assistance, a child adopted from an LCPA must meet all of the following requirements:
- The general eligibility requirements.
- The requirements for reimbursement of nonrecurring adoption expenses and, if applicable, the additional eligibility requirements for monthly payments and Medicaid.
In most cases, a child adopted from an LCPA’s conservatorship does not meet the general eligibility requirements, especially the definition of special needs, unless the child meets the medical or disability requirements for Supplemental Security Income (SSI). Even if the child meets the general eligibility requirements, the adoptive parents must still establish that the child meets the Title IV-E eligibility requirements, which is very unlikely, unless the child is eligible for SSI or is an applicable child.
14312.2 Case Record for Adoption Assistance
CPS September 2026
The adoption eligibility specialist establishes a separate case record if DFPS determines that a child is eligible for adoption assistance. (The adoption assistance case record is separate from the child’s foster care eligibility record.) The following documents are included in the record and uploaded into the DFPS OneCase/NeuDocs system:
- Legal documents:
- Child’s birth certificate
- Nonrecurring printouts, forms, or IMPACT pages showing nonrecurring expenses
- Payment reimbursement form
- Termination order (if applicable)
- Petition of adoption
- Adoption decree
- Copy of Legal Status page from IMPACT
- Agreements:
- Adoption assistance agreement
- Placement agreement
- Certificate of continued eligibility (if applicable)
- Application materials:
- Form 2250 Adoption Assistance Request
- Form 2251A Adoption Assistance Eligibility Documentation
- Form 2253a Adoption Assistance Worksheet
- Form 2253b Adoptive Family Resources (home study on adoptive parents)
- FBI criminal history checks
- Other background checks on adoptive parents
- Letter stating child’s disability (if applicable)
- Foster care eligibility sheet showing child’s Authorized Service Level or Texas Child-Centered Care (T3C) Recommended Service Package
14312.3 International Adoptions
CPS September 2026
Reimbursement of nonrecurring expenses is the only type of adoption assistance for which a child who was adopted internationally may be eligible.
Non-Applicable Children and Reimbursement of Nonrecurring Adoption Expenses
If a non-applicable child was either adopted outside the U.S. or brought to the U.S. for the purpose of adoption, he or she may qualify for reimbursement of nonrecurring adoption expenses if all of the following requirements are met:
- The child was under age 18 at the time the adoptive placement agreement was signed.
- There is a U.S. court order granting managing conservatorship of the child to DFPS or another authorized entity, such as another public agency or tribe, with whom DFPS has a Title IV-E agreement, allowing the other authorized entity to receive federal funding under Title IV-E of the Social Security Act.
- The child meets the special needs criteria in 40 Texas Administrative Code §700.804: Who is a child with special needs?
- DFPS determined that the child cannot or should not return to the home of his or her birth parent.
- DFPS made reasonable but unsuccessful efforts to find an adoptive placement for the child without reimbursement of nonrecurring adoption expenses, unless doing so was not in the child’s best interest.
Applicable Children and Ineligible Adoption Assistance
By federal law, an applicable child with special needs is ineligible for any adoption assistance benefits if both of the following apply:
- The child was not a U.S. citizen or resident before the adoption.
- The child was adopted outside the U.S. or brought to the U.S. for the purpose of adoption.
DFPS Rules, 40 TAC §700.803(d)
14313 Jurisdiction and Responsibility for Determining Eligibility and Activating Benefits
14313.1 Determining Which Children Are within DFPS Jurisdiction
CPS September 2026
Children within Jurisdiction of DFPS
DFPS is responsible for determining eligibility and negotiating adoption assistance agreements for children who are placed for adoption under the following circumstances:
- Children who are in DFPS managing conservatorship, regardless of the location of the placement.
- Children who are in the legal care of, and placed for adoption by, a licensed child-placing agency, if the child is placed with a family that lives in Texas. The child-placing agency does not need to be licensed in Texas, but if it is not, it must be licensed or certified by another state to provide adoption placement services.
- Children who receive adoption assistance through another state who meet all of the following criteria:
- Previously received Title IV-E adoption assistance, and that adoptive relationship ended because of the deaths of the adoptive parents or termination of their parental rights.
- Are not in the care of another state’s public child welfare agency.
- Have subsequent adoptive parents who live in Texas at the time of the adoptive placement.
- Children who receive adoption assistance from Texas who meet all the following criteria:
- Previously received Texas state-paid adoption assistance, and that adoptive relationship ended because of the deaths of the adoptive parents or termination of their parental rights.
- Are not in the care of another state’s public child welfare agency.
- Are subsequently to be adopted, regardless of the adoptive parents’ state of residence.
In addition to the above criteria, DFPS is responsible for authorizing Medicaid coverage for children who live in Texas and have an adoption assistance agreement with another state’s child welfare agency.
For information on whether a child will receive benefits if a family moves to or lives in another state, see 40 Texas Administrative Code §700.861.
Children Outside Jurisdiction of DFPS
DFPS is not responsible for determining eligibility or providing adoption assistance to children with special needs under the following circumstances:
- The child previously received Title IV-E adoption assistance in Texas, but a subsequent adoption is taking place in another state.
- The child is in the legal care of, and placed by, a private child-placing agency and is being placed with adoptive parents who live in another state.
14313.2 Determining Which Region Has Responsibility for a Case
CPS September 2026
Processing Requests for Assistance, Determining Eligibility, and Negotiating Benefits
The following guidelines determine which region is responsible for processing requests for adoption assistance, determining eligibility, and negotiating benefits:
- When the child is placed by DFPS, a single source continuum contractor (SSCC), or a licensed Texas child-placing agency, and the family lives in Texas, the region that holds managing conservatorship of the child processes the initial request for assistance.
- If the child is not placed by DFPS, SSCC, or by a licensed Texas child-placing agency, the region where the adoptive parents live processes the request.
- If a DFPS or SSCC employee is seeking to adopt a child from the same region where the employee works, then another region handles the adoption assistance case. This coordination is handled at a program director level.
Maintaining the Case
The following guidelines determine which region is responsible for maintaining the adoption assistance case:
- The region where the adoptive parents live maintains the case once:
- Eligibility is determined.
- The adoption assistance agreement is made and signed.
- Payment for nonrecurring adoption expenses is made.
- The region that determined eligibility and entered into the adoption assistance agreement maintains the case when the child is placed for adoption out of state.
- The region that last managed the case maintains it if the family moves out of state.
- The region where the family lives maintains the case if DFPS is authorizing Medical Assistance Only (MAO) for a child receiving adoption assistance under an agreement with another state.
14314 Program Notification, Application Process, and Responsibility for Cases
14314.1 Informing Families of the Adoption Assistance Program
CPS September 2026
When an adoptive placement of a child meeting the special needs criteria is planned, the agency with legal authority to place the child is responsible for doing all of the following:
- Telling the families considering adoption of a child meeting the special needs criteria about the Adoption Assistance program and the program requirements.
- Making sure that the family receives the following forms:
- Form 2250 Adoption Assistance Request
- Form 2253a Adoption Assistance Worksheet
- Form 2253b Adoptive Family Resources
- Notifying the adoption assistance eligibility unit that the family may or will be requesting adoption assistance.
14314.2 Application Process for Adoption Assistance
CPS September 2026
The DFPS or single source continuum contractor (SSCC) caseworker requests adoption assistance. The request must be made as early in the placement process as possible, so DFPS can make a preliminary determination of eligibility before the adoptive placement agreement is signed.
This allows time for DFPS and the family to discuss and negotiate benefits before the actual adoptive placement.
A preliminary determination of eligibility is one in which all of the eligibility requirements are met, except that the adoptive placement agreement has not yet been signed, because the child has not yet been placed in the home for the purpose of adoption.
The DFPS or SSCC caseworker or agency responsible for placing the child for adoption makes sure that the entire adoption assistance packet is complete and submitted to the adoption assistance eligibility unit at least 30 working days before the adoptive placement.
Step 1: A family requests adoption assistance and completes supporting documentation.
If a family is applying for adoption assistance, the child’s DFPS or SSCC caseworker or the agency working with the family gives the family the following forms:
- Form 2250 Adoption Assistance Request
- Form 2253a Adoption Assistance Worksheet
- Form 2253b Adoptive Family Resources
The DFPS or SSCC caseworker or agency answers questions the family may have and requests the eligibility specialist’s help in answering the questions or completing the documents, as necessary.
Step 2: The child’s DFPS or SSCC caseworker or licensed child-placing agency (LCPA) completes adoption assistance eligibility documentation.
For a child in DFPS conservatorship, the child’s DFPS or SSCC caseworker completes the Adoption Assistance Application in IMPACT.
For a child in the care of a licensed Texas child-placing agency (LCPA), the staff at the LCPA completes a hard copy of Form 2251A Adoption Assistance Eligibility Documentation. In addition, the adoption assistance eligibility specialist completes Form 2251D Adoption Assistance Eligibility Checklist for Non-DFPS Placements to make sure the LCPA is relying on Aid to Families with Dependent Children (AFDC) eligibility as the basis to establish adoption assistance eligibility.
Step 3: The child’s DFPS or SSCC caseworker or LCPA completes the adoption assistance packet.
For a child in DFPS conservatorship, the child’s DFPS or SSCC caseworker submits a complete adoption assistance packet within five days after completing the Adoption Assistance Application in IMPACT.
For a child in the care of an LCPA, the LCPA submits the entire packet as early in the placement process as possible.
Regardless of who is submitting the packet, it must include the following:
- Form 2250
- Form 2251A (if the child is being adopted from an LCPA)
- Form 2251D (if the child is being adopted from an LCPA, and the LCPA is relying on AFDC to establish eligibility)
- Form 2253a
- Form 2253b
- Form 2368
- A copy of the child’s Authorized Level of Care or T3C Recommended Service Package
Note: Children ages zero to two, under Texas Child-Centered Care (T3C), will not routinely have a Child and Adolescent Needs and Strengths (CANS) 3.0 Assessment. Children with CPA Short-term Assessment Support Services or the General Residential Operation (GRO) TIER I Emergency Emotional Support and Assessment Center Services Recommended Service Package cannot be approved for Adoption Assistance (AA) benefits. If AA benefits are pursued for children in either of these groups, the DFPS or SSCC caseworker must obtain a T3C Recommended Service Package through a CANS 3.0.
See 6431 Child and Adolescent Needs and Strengths (CANS) Assessment and its subsections.
The packet must include:
- Proof of the child’s age. For more information on acceptable proof of age, see section B of Appendix 1530-F: Categorical Requirements for AFDC.
- Proof of the child’s U.S. citizenship (or verification of alien status, if the child is not a U.S. citizen). If the child is undocumented, the packet must include documentation of how the DFPS or SSCC caseworker arrived at that conclusion, and a description of the steps taken to resolve questions related to the child’s alien status.
- Proof of the child’s eligibility for Title IV-E or state-paid foster care assistance sufficient to demonstrate that the child meets the requirements for either Title IV-E adoption assistance or state-paid adoption assistance, such as one of the following:
- Social Security Administration (SSA) determination of eligibility for Supplemental Security Income (SSI) benefits or statement that the child meets the medical or disability requirements for SSI.
- Foster care eligibility determination.
- Proof of a prior adoption.
- Documentation related to living with a minor parent in foster care.
- Court order establishing that the child is eligible for adoption based on termination of any parental rights to the child, if applicable. (If the child is eligible for adoption because one or both parents are deceased, proof of death is required.)
- First court order sanctioning the child’s removal from the home, if applicable.
- Signed and dated copy of the first petition resulting in the court ordering removal of the child from the home, if applicable.
- Proof that the child has special needs.
- Documentation of the background checks conducted before the approval of the adoptive home. For homes approved after October 1, 2006, the checks include the FBI fingerprint-based checks and DFPS abuse and neglect checks. If the region conducted out-of-state or local criminal history checks or out-of-state abuse and neglect checks, those are optional to include.
- The home study approving the home for adoption.
Step 4: The DFPS or SSCC supervisor approves the complete packet.
The DFPS or SSCC supervisor approves the packet after making sure the required documentation is included.
For a child being adopted from the care of an LCPA, the DFPS or SSCC supervisor also ensures that Form 2189 Referral to FAD or SSCC for Non-DFPS Home is sent to the regional Foster and Adoptive Home Development (FAD) unit at the time the packet is approved. The referral form notifies the FAD unit to create a FAD home in IMPACT for adoption assistance application purposes.
Step 5: The DFPS or SSCC caseworker or LCPA sends the packet to the adoption assistance eligibility unit.
For children in DFPS conservatorship, this step must be completed no later than five calendar days after the DFPS or SSCC caseworker enters the application in IMPACT.
For children in DFPS or LCPA conservatorship, the packet should be sent as early in the placement process as possible, ideally at least 30 days beforethe date of the adoptive placement.
Step 6: If the eligibility specialist determines that the child is eligible and an adoptive placement agreement is executed, the DFPS or SSCC caseworker sends a copy of the adoptive placement agreement to the eligibility specialist once it is signed.
Once the adoptive placement is made, the adoption assistance eligibility specialist switches the child’s eligibility to adoption assistance in the month following the date the adoptive placement began. The eligibility specialist enters the adoption assistance segment no more than 10 days after receiving the adoptive placement and adoption assistance agreements.
14314.3 Determination of Eligibility
CPS September 2026
Designated adoption assistance eligibility units in the DFPS regions determine children’s eligibility for adoption assistance. This determination is based on the following:
- The information that the placing DFPS or single source continuum contractor (SSCC) caseworker provided to the eligibility specialist.
- Data in the automated systems.
- The adoptive family.
- The eligibility requirements.
The eligibility specialist uses Form 2251D Adoption Assistance Eligibility Checklist for Non-DFPS Placements and the regional eligibility checklists to evaluate whether all of the eligibility requirements are met. The eligibility specialist places a copy of the appropriate checklist in the adoption assistance case record.
14314.4 Responsibilities of the Eligibility Specialist in Entering into the Adoption Assistance Agreement
CPS September 2026
Step 1: The eligibility specialist reviews the adoption assistance packet and evaluates the packet for completeness.
The eligibility specialist reviews the adoption assistance application packet from the child’s DFPS or single source continuum contractor (SSCC) caseworker or the placing licensed child-placing agency (LCPA) as soon as it is received in the regional adoption assistance shared drive. No more than three working days after the date the packet is received, the specialist does the following:
- Reviews the packet to make sure it is complete.
- Requests any missing or insufficient documentation from the child’s DFPS or SSCC caseworker.
Step 2: The eligibility specialist makes a preliminary determination of eligibility.
The eligibility specialist makes a preliminary determination of eligibility within three working days after receiving a complete adoption assistance packet.
A preliminary determination of eligibility is one in which all of the eligibility requirements are met, except that the adoptive placement agreement has not yet been signed, because the child has not yet been placed in the home for the purpose of adoption. However, even in a situation where the family applies for adoption assistance after an adoptive placement, the eligibility specialist is still required to make a preliminary determination of eligibility to determine whether an adoption assistance agreement can be negotiated.
Adoption assistance benefits cannot begin until after negotiation and execution of an adoption assistance agreement and an adoptive placement agreement.
The eligibility specialist determines the child’s eligibility. Based on that determination, the specialist takes the corresponding actions described below.
Step 2a: The eligibility specialist determined that the child is eligible for reimbursement of nonrecurring adoption expenses only.
If the child is eligible only for the reimbursement of nonrecurring adoption expenses, the eligibility specialist prepares an adoption assistance agreement for this benefit only and executes it with the family.
Upon receiving proof of qualifying expenses, the eligibility specialist reimburses the family.
The eligibility specialist does not proceed with any additional steps in this section (Step 2b through Step 4).
Step 2b: The eligibility specialist determined that the child is eligible for monthly payments and Medicaid coverage, in addition to reimbursement of nonrecurring adoption expenses.
Upon determining that a child is eligible for adoption assistance, or that the child will be eligible once the adoptive placement is made, the eligibility specialist notifies the following people of the eligibility determination within two working days after making the determination:
- The child’s DFPS or SSCC caseworker and DFPS or SSCC supervisor, or the appropriate staff at the LCPA.
- The adoptive family.
- DFPS staff responsible for negotiating adoption assistance benefits.
After this notification, the eligibility specialist proceeds to Step 3.
Step 2c: The eligibility specialist determined that the child is not eligible for adoption assistance benefits.
If the child is not eligible for adoption assistance, within two working days after the determination, the eligibility specialist mails the prospective adoptive family a written and dated notice of denial (Form 2253e Adoption Assistance Denial), which does the following:
- Cites each reason for the determination.
- Informs the family of their right to appeal.
The eligibility specialist also sends copies of the notice to the following:
- The child’s DFPS or SSCC caseworker.
- The LCPA, if the placing agency is not DFPS.
The case file must contain documentation of the date the denial notice was mailed to the prospective adoptive parents.
The eligibility specialist finishes the adoption assistance application by adding the adoption assistance segment and denying benefits.
If necessary, the eligibility specialist also prepares a fair hearing packet.
The eligibility specialist does not proceed to any of the additional steps in this section (Steps 3 and 4).
Step 3: The eligibility specialist activates benefits.
The eligibility specialist activates benefits in IMPACT once the specialist has received both of the following:
- The adoptive placement agreement from the child’s DFPS or SSCC caseworker.
- The adoption assistance agreement from the negotiator.
Step 4: The eligibility specialist issues the Activation of Adoption Assistance Notice.
The eligibility specialist sends Form 2253d Activation of Adoption Assistance Notice to the following people:
- The adoptive family, so they are aware of the change in benefits.
- The child’s DFPS or SSCC caseworker, so he or she may close out the file.
14314.5 Commencement of Benefits
CPS September 2026
The following requirements apply when determining the earliest date that adoption assistance benefits can begin:
- All eligibility requirements must be met during the month that benefits begin.
- The effective date of the adoption assistance agreement is always the first day of the month.
- The child cannot receive foster care assistance benefits and adoption assistance benefits for the same month.
- When the child is receiving Supplemental Security Income (SSI) benefits, adoption assistance benefits can begin in the month following the filing of the petition to adopt.
- When the outcome of a fair hearing will determine eligibility, benefits begin as directed in the fair hearing officer’s order.
- Benefit eligibility cannot be retroacted earlier than 12 months before DFPS’s receipt of a completed adoption assistance application.
14314.6 Ongoing Responsibilities of Adoption Assistance Eligibility Units
CPS September 2026
In addition to the responsibilities of the eligibility specialists in initially entering into an adoption assistance agreement, the specialists have the following ongoing duties:
- Distributing Form 2250 Adoption Assistance Request and supporting documents, when requested by one of the following:
- DFPS or a single source continuum contractor (SSCC) caseworker
- A licensed child-placing agency (LCPA)
- The adoptive family
- Maintaining information in IMPACT when there is a change that affects adoption assistance, such as a change in the amount, address, or payee.
- Getting certifications of continued eligibility every five years, or more often as needed.
- Notifying and requesting other states or U.S. territories to provide Medicaid coverage to recipients of Texas adoption assistance who live outside Texas.
- Authorizing Medicaid coverage for children from other states who live in Texas but receive adoption assistance from the other state’s public child welfare agency.
- Verifying adoption assistance eligibility, if there is a subsequent adoption of the same child.
- Starting recoupment efforts when overpayments are made.
- Authorizing supplemental payments when underpayments are made.
- Preparing fair hearing packets.
- Processing reimbursement of nonrecurring adoption expenses
- Terminating adoption assistance agreements, as appropriate.
14314.7 Reimbursement of Nonrecurring Adoption Expenses
CPS September 2026
A family adopting a child with special needs may be reimbursed for nonrecurring (one-time) adoption expenses if both of the following apply:
- The child is placed for adoption by DFPS or placed in Texas by a licensed child-placing agency (LCPA).
- An adoption assistance agreement is signed before consummation of the adoption.
The adoptive family may seek up to $1,200 per child in reimbursement of expenses for reasonable and necessary adoption fees, which may include the following:
- Fees paid to child-placing agencies.
- Court costs.
- Attorney’s fees.
- Other fees directly related to legal completion of the adoption.
DFPS reimburses the adoptive family after the adoption is consummated, and the family has provided DFPS with proof of payment. The family must also show that reimbursement for the expenses is not available from another source.
If DFPS receives a request for reimbursement more than 18 months after the adoption’s consummation, DFPS may refer the request to the Comptroller of Public Accounts for processing as a miscellaneous claim.
Exception: A stepparent who adopts his or her stepchild does not qualify for reimbursement of nonrecurring adoption expenses.
14315 Negotiation of Adoption Assistance Agreements and Deferred Adoption Assistance Agreements
CPS September 2026
Adoption assistance agreements are negotiated based on the child’s special needs. The goal of negotiation is to work with the family to identify how the child’s special needs (age, sibling status, or disability) translate into the family’s need for ongoing assistance, which may be medical, financial, or both.
Eligibility for adoption assistance is based on the needs of the child, not the income of the family. The family’s resources (including income, community resources, and support services) can be considered when determining the type and amount of assistance, but DFPS does not use a means test or impose an income eligibility requirement for this determination.
40 Texas Administrative Code §700.844
The circumstances of the adopting parents are considered together with the needs of the child when negotiating the adoption assistance agreement. The Administration for Children and Families has interpreted consideration of the circumstances of the adopting parents as being related to the following characteristics of the adopting family:
- Capacity to incorporate the child into their household, in relation to their lifestyle.
- Standard of living and future plans.
- Capacity to meet the child’s immediate and future needs, including the child’s educational needs.
This means DFPS considers the overall ability of the family to incorporate an individual child into their household. Families with the same incomes or in similar circumstances do not necessarily require identical types or amounts of assistance. Each unique situation may require different amounts of payment.
The negotiation process begins when a child with special needs is considered for adoptive placement with a family, and DFPS has made a preliminary or actual determination of eligibility. This allows both the family and DFPS to decide whether the placement is feasible and in the child’s best interest. It is best to do negotiation before adoptive placement, but it can be done any time during the placement before consummation of the adoption.
Adoption assistance benefits cannot begin until all eligibility requirements are met, including the requirement of an approved adoptive placement agreement and a signed adoption assistance agreement.
14315.1 Responsibilities of Negotiators for Adoption Assistance Agreement
CPS September 2026
When a family has been determined to be eligible but does not yet have an agreement, the negotiators are responsible for doing the following:
- Contacting the family within two days after receiving notice that the family is preliminarily or actually eligible for assistance, in order to make an appointment to discuss adoption assistance benefits and to negotiate the adoption assistance agreement. Negotiators meet face-to-face with the family when possible; otherwise, contact may be made by phone. If the meeting is face-to-face, it may occur in the adoptive home or the DFPS office, whichever is suitable to both parties.
- Reviewing the following before meeting with the adoptive family:
- The child’s records, to help identify the child’s needs.
- Information in the adoptive family’s records, including information about their circumstances, the adoption home study, and adoption assistance worksheets.
- Giving the prospective adoptive family information about the Medicaid program and how to access benefits in Texas and other states.
- Giving the prospective adoptive family information about possible adoption tax credit.
- Giving the prospective adoptive family information about the educational requirements.
- Negotiating an adoption assistance agreement for a new adoptive placement before or shortly after the adoptive placement agreement is signed.
- Determining the appropriate payment ceiling (maximum) for monthly payments and communicating it to the family.
- Informing the family that they will lose eligibility for adoption assistance if the adoption assistance agreement is not negotiated and signed before consummation of the adoption, with very limited exceptions as explained in 40 Texas Administrative Code §700.881.
- Completing and executing Form 2253C Adoption Assistance Agreement. The family keeps a copy of the agreement, and the negotiator sends the original agreement to the adoption assistance eligibility specialist, in addition to providing the notice of any changes to the monthly payment. The adoptive parents have the following options for how to sign the agreement:
- Sign electronically (for example, using DocuSign) and email the signed agreement to the negotiator.
- Sign a paper copy and mail it to the negotiator via the USPS.
- Sign a paper copy, scan it, and email it to the negotiator.
- Notifying the child’s DFPS or single source continuum contractor (SSCC) caseworker and the eligibility specialist, by email, that the agreement has been executed, so that the DFPS or SSCC caseworker can proceed with making an adoptive placement if one has not yet been made.
14315.2 Ongoing Responsibilities of Negotiators
CPS September 2026
Adoption assistance negotiators have the following ongoing responsibilities in the Adoption Assistance program:
- Renegotiating existing agreements, including deferred agreements, at the adoptive parents’ request because of changed circumstances, and notifying the adoption assistance eligibility specialist of any changes to the monthly payment amount.
- Explaining to families the process for accessing Medicaid coverage in Texas and other states.
- Providing training on adoption assistance benefits and application requirements to:
- Other DFPS child placement staff
- Staff of private child-placing agencies
- Prospective foster and adoptive parents
- Negotiating adoption assistance agreements according to the orders of the fair hearing officer.
- Providing information for, and testifying in, any fair hearings, as necessary.
14315.3 Considerations during Negotiations
CPS September 2026
The negotiator for adoption assistance benefits and the adoptive parents consider the following factors and guidelines when discussing and negotiating adoption assistance benefits:
- The child’s present and future need for services are considered in relation to the adoptive family’s income, other resources, expenses, circumstances, and plans for the future. Benefits are intended only to assist in meeting the child’s needs and the adoptive parents’ responsibilities.
- Any and all sources of income and support that are specifically designated for the child—such as Retirement, Survivors, and Disability Insurance (RSDI) or Veterans Administration benefits—must be applied toward meeting the child’s needs. There is not a dollar-for-dollar reduction from the adoption assistance monthly payment based on the amount of the other sources of income or support. Such income or support is simply one factor in evaluating the resources available for meeting the child’s needs.
- The costs associated with meeting the child’s needs through private sources are considered only when those needs cannot be met through publicly funded sources. If the child needs special services not covered by the adoptive parents’ insurance or Medicaid, the adoptive parents must provide information or documentation of actual costs, if available. If no information about actual costs is available, the negotiator makes a reasonable estimate.
See Appendix 1715.3: Negotiation of Adoption Assistance Discussion Guide.
14315.4 Supplemental Security Income (SSI) Payments and Adoption Assistance Payments
CPS September 2026
When a child receiving Supplemental Security Income (SSI) benefits is placed into an adoptive placement, DFPS remains the representative payee for the child’s benefits until the adoption is consummated. If the child receives SSI benefits and qualifies for an adoption assistance benefit, the adoptive parents enter into an adoption assistance agreement with DFPS that defers adoption assistance payments from DFPS. DFPS forwards the SSI monthly benefit to the adoptive parents in the month after DFPS receives the benefit from the Social Security Administration (SSA).
Once the adoption is consummated, DFPS contacts SSA to resign as the representative payee, which stops issuance of the child’s benefits to DFPS. If the adoptive parents entered into an adoption assistance agreement deferring payments, the adoptive parents contact the adoption assistance eligibility specialist to begin issuance of the adoption assistance payments.
The adoptive parents contact SSA if they want to apply to be the new representative payee for the child’s SSA benefits. SSI is a federal benefit based on need and eligibility, and it requires consideration of the adoptive parents’ income and resources. If the adoptive parents want the child to continue receiving SSI, they must report the receipt of the adoption assistance payments from DFPS, because it could affect the child’s eligibility for SSI benefits.
14315.5 Determining the Payment Ceiling for Adoption Assistance
CPS September 2026
The maximum payment ceiling for monthly payments for a child served under the Texas Service Level system is based on the child’s Authorized Service Level at the beginning of the adoptive placement, as follows:
- $400 per month for Basic care
- $545 per month for Moderate, Specialized, or Intense care
The maximum payment ceiling for monthly payments for a child served under the Texas Child-Centered Care (T3C) system is based on the child’s Recommended Service Package at the beginning of the adoptive placement as follows:
- $400 per month for T3C Basic Foster Family Home Support Services or General Residential Operations (GRO) Tier I Basic Child Care Operation packages
- $545 per month for other T3C Service packages through a Child and Adolescent Needs and Strength Assessment (CANS) 3.0 Assessment
See 40 Texas Administrative Code §700.844: How are monthly payment amounts determined?
14315.6 Education Requirements
CPS September 2026
The negotiator explains to the prospective adoptive parents that DFPS may periodically require proof that a child who has attained the minimum age for compulsory school attendance is a full-time elementary or secondary student.
The term full-time elementary or secondary student means a child who is one of the following:
- Enrolled (or in the process of enrolling) in an institution that provides elementary or secondary education, in accordance with Texas law or the law of the state where the child lives.
- Instructed in elementary or secondary education at home, in accordance with Texas law or the law of the state where the child lives.
- In an independent study program of elementary or secondary education administered by a school or school district, in accordance with Texas law or the law of the state where the child lives.
- Incapable of attending school on a full-time basis because of the medical condition of the child. In this situation, supporting information is required and must be updated regularly.
See 40 Texas Administrative Code §700.860(c): What if my child’s or family’s circumstances change?
14316 Deferred Adoption Assistance Agreements
CPS September 2026
A deferred agreement for adoption assistance is a written agreement between the adoptive parents and DFPS to negotiate adoption assistance benefits at a future date if the need arises. A deferred agreement for adoption assistance is used when the family can currently provide for the child but may require future assistance because of the child’s special needs. A deferred agreement is used when all of the following apply:
- The child meets the eligibility requirements for adoption assistance at the time of adoptive placement and filing of the petition to adopt.
- The child is eligible for Supplemental Security Income (SSI) benefits at the time of adoptive placement.
- The family is able to meet the child’s current needs, or there are no current unmet special needs.
- DFPS, a single source continuum contractor (SSCC), or the family anticipates that the child will have other needs in the future, and the family is likely to need help meeting those needs.
Under the terms of a deferred agreement, the child’s eligibility for adoption assistance is already established, and if the family and child need assistance in the future, the family and DFPS will negotiate specific agreements for benefits (including Medicaid or monthly payments) at that time. The existence of a deferred agreement eliminates the need for a fair hearing if a need for adoption assistance arises in the future.
40 Texas Administrative Code §700.801(10)
40 Texas Administrative Code §700.842(c)
14317 Changes in Circumstances and Periodic Certification of Continued Eligibility
CPS September 2026
The adoptive family is responsible for immediately reporting to the eligibility specialist changes in their circumstances that may affect adoption assistance, including changes in the following:
- Name
- Address
- Marital status
- Where the child is living
- The child’s legal status
- Health insurance coverage for the child
- Anything else that may affect eligibility
The adoptive family may request a change in the amount of the monthly payment when there is a change in circumstances affecting the adopted child’s current needs or the family’s ability to meet those needs. All such requests must be made in writing to the adoption assistance eligibility specialist.
The negotiator for adoption assistance contacts the adoptive parents within five working days after receiving a request to negotiate a new payment amount. A negotiated increase becomes effective no earlier than the first day of the following month after a new agreement is signed.
After the negotiations, the negotiator notifies the eligibility specialist of any changes. The eligibility specialist updates information reported as a change within five days after receipt of the changed information.
See 40 Texas Administrative Code §700.860: What if my child’s or family’s circumstances change?
14317.1 Recertification of Eligibility
CPS September 2026
Adoption Assistance
Certification of continued eligibility is required at least every five years for children under the age of 18. The eligibility specialist mails the following forms to the adoptive family at least 90 days before the five-year deadline:
- Form 2254a Adoption Assistance Certification of Continued Eligibility
- Form 2254b Certification of Continued Eligibility
The eligibility specialist makes three attempts, if necessary, to get the required documentation from the adoptive parent, with the third attempt being a letter sent by certified mail.
Extended Adoption Assistance
For youth who are eligible for extended adoption assistance, certification of continued eligibility is required a month before the youth’s 18th birthday, and then annually until age 20. The determination of eligibility at age 20 covers the period until the youth’s 21st birthday.
Each year, around the youth’s 18th, 19th and 20th birthdays, as applicable, the eligibility specialist makes three attempts, if necessary, to get the recertification documentation. The three attempts are as follows:
- First attempt: 60 days before the youth’s birthday
- Second attempt: 30 days before the youth’s birthday
- Third attempt: on the youth’s birthday by certified mail
The eligibility specialist sends the following forms at each attempt:
- Form 2254a Adoption Assistance Certification of Continued Eligibility
- Form 2254b Certification of Continued Eligibility
If DFPS does not receive the necessary documentation within 30 days after the youth’s birthday, the youth’s eligibility for extended adoption assistance ends, until the family provides the required documentation. If the youth is age 21 or older, the benefits cannot be restored.
When recertifying, the adoptive family must provide sufficient documentation to demonstrate that the youth continues to meet the educational or work-related requirements to be eligible for extended adoption assistance. The adoptive family submits documents directly to the adoption assistance eligibility specialist.
14317.2 Adoptive Parents Die or Their Parental Rights Are Terminated
CPS September 2026
Adoption assistance can resume in a subsequent adoption if the adoptive parents die, or their parental rights are terminated by the court, if both of the following conditions are met before consummation of the subsequent adoption:
- The child is determined to have special needs.
- A new adoption assistance agreement is signed.
The subsequent adoption must occur in accordance with state law. It is not necessary for the child to be placed for adoption by a licensed child-placing agency.
If the child was eligible for Title IV-E adoption assistance in the prior adoption, the new adoptive parents must be residents of Texas; otherwise, DFPS refers them to their state’s Title IV-E agency for assistance. If the child was eligible for state-paid adoption assistance in the prior adoption, it does not matter where the new adoptive parents live, because DFPS resumes the assistance if the above conditions are met.
14318 Termination of Adoption Assistance and Recoupment of Overpayments
14318.1 Termination of Adoption Assistance Benefits
CPS September 2026
How Long the Agreement Is Effective
The adoption assistance agreement is effective through the end of the month during which the child turns 18, unless either of the following applies:
- The agreement is terminated based on circumstances listed below.
- The child qualifies for extended adoption assistance.
40 Texas Administrative Code §700.847
40 Texas Administrative Code §700.848
Termination of the Agreement
The adoption assistance agreement and benefits are terminated when any of the following occurs:
- The adoptive placement ends before the adoption is consummated.
- The child is under age 18, and the adoptive parents are no longer legally responsible for the child’s support, such as when parental rights are terminated.
- The adoptive parents are no longer providing any support to the child.
- The child dies.
- The child was mistakenly determined eligible for benefits.
- The adoptive parents request an earlier termination date.
- The child is age 18 or older and is receiving extended adoption assistance but no longer meets (or the parents fail to provide documentation sufficient to demonstrate that the child meets) the educational and work-related requirements for extended adoption assistance.
Continued Support of the Child
When the child moves out of or leaves the adoptive parents’ home, the adoptive parents must report the change and provide evidence of their continued, routine, and ongoing financial support of the child in writing to the adoption assistance eligibility specialist.
If the Child Returns to Substitute Care
If the child returns to substitute care, and the family is receiving adoption assistance benefits, DFPS continues the adoption assistance payments as a manual payment if both of the following apply:
- The adoptive family is still providing support for the child.
- The parental rights of at least one adoptive parent have not been terminated.
The adoption assistance eligibility specialist contacts the adoption assistance program specialist in the DFPS Federal and State Support Unit for help when a child returns to substitute care. The adoption assistance program specialist provides guidance on how to proceed with the adoption assistance payments when the adoptive family is continuing to provide support for the child.
14318.2 Recoupment of Overpayments of Adoption Assistance
CPS September 2026
When an adoptive parent receives an overpayment of an adoption assistance benefit, DFPS must get the overpaid funds back.
Overpayment may occur because of the following:
- The adoptive placement ends before the adoption is consummated.
- The child is under age 18, and the adoptive parents are no longer legally responsible for the child’s support.
- The adoptive parents no longer provide support to the child.
- The child dies.
- The child was mistakenly determined eligible for benefits.
14318.21 Standard Cases—Recouping an Adoption Assistance Payment in 30 Days
CPS September 2026
When an adoption assistance payment has been overpaid, the adoption assistance eligibility specialist discusses the case with his or her supervisor.
If the eligibility specialist and supervisor identify a situation where recoupment is needed, the eligibility specialist consults by email with the adoption assistance program specialist in DFPS State Office. This email includes the following information:
- Child’s name
- Child’s person identification number
- Dates that the child did not live in the adoptive home
Required Consultation
The eligibility specialist and supervisor consult with the program specialist before processing a recoupment when any of the following applies:
- The overpayment exceeds six months.
- The overpayment exceeds $50,000.
- Fraud is suspected.
Standard Recoupment Process
The standard process for recoupment of an overpayment of adoption assistance is as follows:
The adoption assistance program specialist sends Form 8102-AA Request for Payment to DFPS (Adoption Subsidy Overpayment) to the regional eligibility specialist. The form provides details about the recoupment, such as:
- Invoice number
- Date of service
- Original warrant (check) date
- Original warrant amount
Total Amount of the overpayment
- The regional eligibility specialist sends the form to the regional operation support administrator (ROSA), who then completes and signs Form 8103a-AA Overpayment Letter. The letter explains to the adoptive parent:
- When and how the overpayment occurred.
- When the payment is due to DFPS (30 days after the date on the letter).
- Where to send the payment.
- The ROSA mails the following to the adoptive parent:
- Form 8103a-AA Overpayment Letter, explaining that the payment must be repaid.
- Form 8102-AA Request for Payment to DFPS, providing the details of the overpayment and recoupment.
- The adoptive parent does the following:
- Completes Form 8102-AA Request for Payment to DFPS.
- Sends a copy of the completed Form 8102-AA with each payment to the DFPS address provided in the letter.
- The ROSA sends a copy of Form 8103a-AA Overpayment Letter and Form 8102-AA Request for Payment to DFPS to both of the following:
- The FORM8102@dfps.texas.gov mailbox.
- The adoption assistance program specialist.
Handling Late Payments
On the 30th day after the date on Form 8103a-AA Overpayment Letter, the DFPS Accounting Office does the following (if DFPS has not yet received the repayment from the adoptive parent):
- Sends a second letter to the adoptive parent, this time by certified mail.
- Notifies the ROSA by email.
If the adoptive parent contacts the ROSA on or after the 30th day after the date on Form 8103a-AA Overpayment Letter, the ROSA does one of the following:
- Refers the adoptive parent to the DFPS Accounting Office to discuss a repayment plan.
- Notifies the DFPS Accounting Office, if the adoptive parent has proposed a repayment plan.
If the adoptive parent fails to respond to the second letter within 30 days after it is sent, the DFPS Accounting Office refers the case to the Office of the Attorney General of Texas.
14318.22 Hardship Cases—Recouping an Adoption Assistance Payment in More Than 30 Days (Up to 12 Months)
CPS September 2026
If an adoptive parent contacts the regional operation support administrator (ROSA) within 30 days after the date on Form 8103a AA Overpayment Letter to explain that he or she cannot repay the overpayment in full by the due date, the ROSA offers the parent a repayment plan.
The amount of the overpayment determines which DFPS staff members must approve the repayment plan.
To begin the process, the ROSA asks the adoptive parent to do the following:
- Explain in writing (by mail or email) why the parent cannot repay the entire dollar amount by the due date.
- Send the letter or email to the ROSA by the tenth working day after the date that the parent first contacted the ROSA about repayment.
When the ROSA receives the letter or email explaining the adoptive parent’s inability to pay by the due date, the ROSA does the following:
- Discusses a repayment plan with the parent.
- Completes and signs Form 8103g AA Overpayment Approval Letter, which explains the details of the repayment plan as discussed with the adoptive parent.
The ROSA then sends the following to the adoptive parent by certified mail:
- The original Form 8103g-AA Overpayment Approval Letter.
- Form 8103h-AA Provider Repayment Plan
- A copy of Form 8102-AA Request for Payment to DFPS.
The adoptive parent does the following:
- Signs Form 8103h-AA Provider Repayment Plan.
- Returns the form to the ROSA.
When the ROSA receives Form 8103h-AA Provider Repayment Plan signed by the adoptive parent, the ROSA does the following:
- Postal mails the original and a copy of Form 8102-AA Request for Payment to DFPS to the DFPS Accounting Office.
- Emails a copy of Form 8102-AA to the adoption assistance program specialist.
14318.23 Extreme Hardship Cases—Recouping an Adoption Assistance Payment in More Than 12 Months (Requires State Office Approval)
CPS September 2026
If an adoptive parent explains to the regional operation support administrator (ROSA) in writing why he or she cannot repay an overpayment of adoption assistance within 12 months, the ROSA informs the parent of the following:
- The maximum repayment plan is 24 months.
- A plan that exceeds 12 months must be approved by DFPS State Office.
- There is no guarantee that the plan will be approved.
If the adoptive parent agrees to a repayment plan that exceeds 12 months but does not exceed 24 months, the ROSA does the following:
- Forwards the details of the repayment plan (the total amount to be recouped and the time frame for payment) to the division administrator of the DFPS Federal and State Support Unit.
- Notifies the adoptive parent that the plan has been forwarded to the DFPS Federal and State Support Unit for approval.
The division administrator does the following:
- Processes the request for a repayment plan.
- Requests the required approval.
Plan Is Approved
If the repayment plan is approved, staff members at DFPS State Office do the following:
- Get Form 8103h-AA Provider Repayment Plan Documentation and Approval from the division administrator (the sole source of this form).
- Send either electronically or by US mail to the parent to get the parent’s signature indicating agreement.
Plan Is Not Approved
If the repayment plan is not approved, the division administrator notifies the parent.
14319 Fair Hearings about Adoption Assistance Determinations
14319.1 Appealing Determinations about Adoption Assistance
CPS September 2026
An adoptive parent has a right to request a fair hearing whenever adoption assistance benefits are:
- Denied
- Delayed
- Suspended
- Reduced
- Terminated (unless the child turned 18 before October 1, 2010)
The request must be filed in writing within 90 days after the determination that is being appealed. An adoptive parent may also request a fair hearing when the processing of a request for adoption assistance is unreasonably delayed.
14319.2 Adoption Assistance Agreement Was Not Signed before the Adoption’s Consummation
CPS September 2026
When circumstances exist that excuse the adoptive parent’s failure to request adoption assistance or to sign an adoption assistance agreement before the adoption, an agreement can still be signed after consummation, if ordered in writing by a fair hearing officer.
14319.3 Responsibilities of the Adoption Assistance Eligibility Specialist and Negotiator
CPS September 2026
Eligibility Specialist
The adoption assistance eligibility specialist informs adoptive parents of their right to a fair hearing. The adoptive parents are responsible for providing supporting documentation and proving their child’s eligibility, but the eligibility specialist explains to the parents what information or documentation is needed for the hearing.
The adoption assistance eligibility specialist prepares a fair hearing packet for the adoptive parents to submit to the DFPS Office of General Counsel. The submitted packet must include Form 4800 Petition for Adoption Assistance Fair Hearing Checklist and all required attachments.
Negotiator
If the adoptive parents request a fair hearing during the negotiation of benefits, the negotiator for adoption assistance does the following:
- Prepares a written report summarizing the dispute over the amount or types of assistance, and the efforts taken to resolve it.
- Provides documentation of the process and results of the discussion and negotiation with the adoptive parents, including any relevant notes or recordings.
In such circumstances, the benefits negotiator must be prepared to participate and testify in the fair hearing.
Right to Appeal
There is no right to appeal a DFPS determination that provides adoptive parents with the maximum allowable monthly payment.
See 40 Texas Administrative Code §700.880: What are my rights to appeal a DFPS decision regarding adoption assistance benefits?
14320 Enhanced Adoption Assistance
14321 Proceeding with Adoptive Placements in a Timely Manner
CPS September 2026
There may be cases in which a prospective adoptive parent informs the DFPS or single source continuum contractor (SSCC) caseworker that he or she wishes to delay the adoptive placement, until the child meets the eligibility criteria for adoption assistance or enhanced adoption assistance. Staff must not delay adoptive placement for the purpose of qualifying a child for adoption assistance or enhanced adoption assistance. The staff must make every effort to achieve permanency in a timely manner.
When parental rights to a child are terminated, and a prospective adoptive parent informs DFPS or the SSCC of his or her intent to adopt the child, staff members must make efforts to complete the adoptive placement and consummation within a reasonable time frame.
If staff members believe that the prospective adoptive parent is trying to delay adoptive placement until the child is eligible for adoption assistance or enhanced adoption assistance, the DFPS or SSCC caseworker discusses this issue with the supervisor and program director. These staff members work together to make a plan to move forward with permanency. If the prospective adoptive parents are seeking enhanced adoption assistance, the plan should include a staff member discussing the issue with the prospective adoptive parent and trying to proceed with making the adoptive placement using adoption assistance.
If the prospective adoptive parent continues to delay and does not make efforts to move forward with the adoption, staff must pursue a different adoptive placement through extensive recruitment efforts.
14322 Approval Process for Enhanced Adoption Assistance
CPS September 2026
DFPS and single source continuum contractor (SSCC) staff members use the same approval process for enhanced adoption assistance as they do for adoption assistance.
Exception
When regional DFPS or SSCC staff members handling an adoption believe that a child meets the eligibility criteria for enhanced adoption assistance, they must get approval from DFPS State Office before any negotiations with the family. Without first getting this approval, DFPS or SSCC staff members may not do either of the following:
- Suggest to or assure the family that a child will receive enhanced adoption assistance.
- Begin negotiations for enhanced adoption assistance.
14322.1 Regional Approval Process
CPS September 2026
The prospective adoptive family is responsible for completing and sending the following forms to the adoption assistance eligibility unit:
- Form 2250 Adoption Assistance Request
- Form 2421 Enhanced Adoption Assistance Request
The child’s DFPS or single source continuum contractor (SSCC) caseworker completes and submits the adoption assistance application. The child’s DFPS or SSCC caseworker or the agency responsible for placing the child then completes the adoption assistance packet.
The adoption assistance eligibility specialist reviews the packet, within three days of receipt, to determine whether it is complete and contains all required documentation. If the packet is incomplete, the eligibility specialist immediately notifies, in writing, the child’s DFPS or SSCC caseworker and prospective adoptive family of the additional required information or documentation.
The eligibility specialist has five working days to make a preliminary determination of eligibility after receipt of a complete adoption assistance packet.
After the eligibility specialist reviews the packet and makes a preliminary determination of eligibility, the regional approvers decide whether to recommend the child for enhanced adoption assistance.
State Office approval is necessary before negotiations begin.
14322.2 State Office Approval Process
CPS September 2026
To request approval from State Office, the regional requester submits the following:
- Form 2422 Enhanced Adoption Assistance Cover Memo
- Form 2425 Documentation for Enhanced Adoption Assistance
- Related documents
Form 2422 requires the signatures and approval of each of the following people:
- Requester (eligibility specialist or negotiator)
- Child’s DFPS or single source continuum contractor (SSCC) caseworker
- DFPS or SSCC caseworker’s supervisor
- DFPS program director or SSCC director
DFPS State Office processes requests for enhanced adoption assistance within 10 working days. If the submitted packet is incomplete, then additional time may be required.
Upon completion of the review, DFPS State Office emails a memo of approval or denial to the regional director and the approvers who signed Form 2422.
14322.3 Approvals and Notification to Family
CPS September 2026
If DFPS State Office approves the request, the child’s DFPS or single source continuum contractor (SSCC) caseworker sends a letter to the prospective adoptive parents confirming that they are the appropriate, prospective adoptive placement for the child, and negotiation for enhanced adoption assistance may begin.
14322.4 Summary of Forms
CPS September 2026
The table below lists forms related to enhanced adoption assistance and summarizes how each form is used.
| Form |
How the Form Is Used |
|---|---|
Form 2421 Enhanced Adoption Assistance Request |
Given to prospective adoptive parents to apply for enhanced adoption assistance. |
Form 2422 Enhanced Adoption Assistance Cover Memo |
Used by the regional staff when requesting State Office approval for enhanced adoption assistance. |
Form 2425 Documentation for Enhanced Adoption Assistance |
Completed by the DFPS or single source continuum contractor (SSCC) caseworker when recommending enhanced adoption assistance. |
Form 2423 Enhanced Adoption Assistance Denial Letter |
Dated and issued by the regional staff when State Office denies a request for enhanced adoption assistance. |
14323 Timing of Negotiation for Enhanced Adoption Assistance and Placement
CPS September 2026
Negotiation for enhanced adoption assistance may begin only after approval from DFPS State Office. State Office indicates in the approval memo the maximum amount that can be negotiated.
Negotiation for enhanced adoption assistance must occur before adoptive placement and in accordance with requirements noted earlier in this section. If the adoptive placement begins before DFPS State Office approval or before negotiation of enhanced adoption assistance, the child becomes ineligible for enhanced adoption assistance.
Within five working days after the end of the negotiations, the negotiator informs the adoption program specialist at DFPS State Office of the negotiated amount.
14324 Authorization of Payments for Enhanced Adoption Assistance
CPS September 2026
As with adoption assistance, upon receipt of the signed enhanced adoption assistance agreement, the adoption assistance eligibility specialist records and authorizes all adoption assistance payments in IMPACT.
The eligibility specialist only enters an enhanced rate if the specialist has received a copy of the approval memorandum from DFPS State Office approving enhanced adoption assistance.
14325 Denials of Enhanced Adoption Assistance
CPS September 2026
If DFPS State Office denies a request for enhanced adoption assistance, then the regional eligibility specialist sends the prospective adoptive parents Form 2423 Enhanced Adoption Assistance Denial Letter, stating the reason for the determination and informing the parents of their right to appeal. The regional eligibility specialist sends copies of this letter to the following:
- The child’s DFPS or single source continuum contractor (SSCC) caseworker.
- The placing agency, if the placing agency is not DFPS.
The child’s case file must contain a copy of completed Form 2423.
14326 Deferred Agreements for Enhanced Adoption Assistance
CPS September 2026
The regional negotiator confers with DFPS State Office before completing any deferred agreements for enhanced adoption assistance.
14327 Appeals and Fair Hearings for Enhanced Adoption Assistance
CPS September 2026
The rules for appealing a DFPS determination on enhanced adoption assistance are the same as those for adoption assistance, except as described below.
DFPS rules provide that a prospective adoptive parent may appeal a denial of enhanced adoption assistance only if both of the following apply:
- The child qualifies as a child with special needs.
- The child meets all eligibility criteria in DFPS Rules, 40 TAC §700.807 (1)-(3), described below.
Criteria the Child Must Meet
The child must be in the managing conservatorship of DFPS. All parental rights to the child must have been terminated for at least 24 months.
The child must have an authorized service level of Specialized or Intense. (The child also meets this requirement if the child had such an authorized service level immediately before being placed in a facility or home operated or regulated by another state agency.)
The child must be living in one of the following:
- A foster care home or other residential child care operation that is regulated by Child Care Licensing and is approved under Licensing minimum standards to provide treatment services.
- A facility or home operated or regulated by another state agency in Texas or in another state that provides comparable treatment services.
DFPS or the single source continuum contractor (SSCC) must have determined that the person is the appropriate, prospective adoptive parent for the child.
DFPS Rules, 40 TAC §700.880 (a-d)
14330 Medicaid Coverage, the Interstate Compact on Adoption and Medical Assistance, and Adoption Assistance
CPS September 2026
Adoption Assistance and Medicaid Coverage
When adoption assistance includes medical assistance, medical assistance is provided through the Medicaid program. Medicaid assists with the following for the child:
- Medical and dental care
- Eye care
- Durable medical equipment and supplies
- Psychiatric and behavioral health care
- Medical transportation
Medicaid coverage is provided as an adoption assistance benefit when the child is eligible for either Title IV-E or state-paid adoption assistance. Coverage is not provided when the child is only eligible for reimbursement of non-recurring adoption expenses.
The coverage for children receiving adoption assistance benefits transitions to the State of Texas Access Reform (STAR) Medicaid program.
Medicaid Coverage for Children Placed or Moved Out of State
Under federal law, children receiving Title IV-E adoption assistance are entitled to receive Medicaid coverage from their state or territory of residence, no matter which state negotiated the adoption assistance agreement. Many states, including Texas, also provide medical assistance to children from other states and U.S. territories who receive state-paid adoption assistance.
DFPS uses procedures developed under the Interstate Compact on Adoption and Medical Assistance (ICAMA) to notify another state or territory that a Texas child is moving or living there and to request activation of Medicaid coverage.
If the other state or territory does not provide coverage to recipients of state-paid adoption assistance, Texas continues to provide Medicaid coverage. However, this coverage can be used only with providers enrolled in the Texas Medicaid program.
14331 The Interstate Compact on Adoption and Medical Assistance and Its Effect on Adoption Assistance
CPS September 2026
The Interstate Compact on Adoption and Medical Assistance (ICAMA) is a binding agreement involving member states and U.S. territories to facilitate provision of Medicaid coverage to each other’s recipients of Title IV-E adoption assistance, when the child lives in a state or territory other than the one that negotiated the adoption assistance agreement.
ICAMA also contains provisions for member states and territories to provide Medicaid coverage to other members’ adoption assistance recipients who are eligible for non-Title IV-E Medicaid coverage under a Medicaid option for adoption assistance.
Not all member states provide coverage. By state law, Texas is a member of ICAMA and provides coverage regardless of the sending state’s policy.
Communication between Members
States and territories that are members of ICAMA use standardized forms and procedures to communicate between and among states and territories to facilitate provision of medical assistance to adoption assistance recipients.
The ICAMA system is the electronic system that member states and territories use to record and transfer information related to ICAMA.
Each state has a compact administrator and deputy compact administrators. Administrators are responsible for receiving and coordinating requests for ICAMA services and giving access to the ICAMA system. In Texas, CPS State Office staff members in the Federal and State Support Unit perform these ICAMA functions.
Requests
DFPS staff members who receive requests from other states for ICAMA services normally direct them to the DFPS deputy compact administrator by using the ICAMA system. The administrator routes the requests to the appropriate regional compact coordinator, who then sends them to an adoption assistance eligibility specialist.
When the child is placed by a public child welfare agency, the state that placed the child is responsible for determining the child’s eligibility for adoption assistance and providing documentation of eligibility to Texas DFPS.
14332 Procedures of the Interstate Compact on Adoption and Medical Assistance
CPS September 2026
The following procedures apply when the adoption assistance eligibility specialist receives a request for Interstate Compact on Adoption and Medical Assistance (ICAMA) services for a child from another state who is placed in or being moved to Texas, and who is eligible for Title IV-E or state-paid adoption assistance.
The eligibility specialist does the following:
- Contacts the adoptive family to get the information needed to create an adoption assistance case as Medical Assistance Only (MAO) in IMPACT. This task includes:
- Creating a foster and adoptive home development (FAD) home.
- Making a case-related special request (CRSR).
- Entering necessary information to record the placement. (The eligibility specialist contacts the family within ten working days after receipt of the request.)
- Determines when the child last had Medicaid coverage from another state to make sure that Medicaid coverage from Texas does not overlap or lapse. This information is usually on the ICAMA 700 form, which the sending state completes in the ICAMA system and emails to the regional adoption assistance eligibility specialist. Texas Medicaid coverage can begin the day after coverage ends in the other state. The other state’s coverage ends as stated in the adoption assistance agreement, or when the family moves out of that state. The eligibility specialist may contact the sending state directly if more information or clarification is needed.
- Authorizes the appropriate Medicaid Assistance Only (MAO) coverage in IMPACT to begin on the first day the child was eligible and was not covered by another state’s Medicaid. If the child receives Title IV-E adoption assistance, Title IV-E Medicaid Only (ICAMA) is authorized in IMPACT. If the child is not eligible for Title IV-E, State Adoption Assistance Medicaid Only (ICAMA) is entered. The eligibility specialist certifies the child for MAO coverage no later than five business days from obtaining sufficient documentation for certification.
- Enters the child’s Texas Medicaid number in the ICAMA system to notify the sending state of the effective date of Texas Medicaid coverage.
14333 Procedures for Children Eligible for Adoption Assistance Who Are Placed or Moved Out of Texas
CPS September 2026
When a recipient of Texas Title IV-E adoption assistance is placed in or moves to another state, the adoption assistance eligibility specialist does the following:
- Informs the child’s family that Texas will end any active Medicaid coverage so that the other state can begin coverage, and that it is the family’s responsibility to keep both Texas and the other state informed of their current residence address.
- Closes out the child’s Texas Medicaid coverage, if any, and enters Title IV-E Financial Assistance Only in IMPACT or, if the child does not receive a monthly adoption assistance payment, closes out the Title IV-E adoption assistance. However, if reimbursement of non-recurring adoption expenses was agreed on, but not yet paid, that assistance is kept open in IMPACT until paid.
- Requests ICAMA and Medicaid services by completing and signing ICAMA Form 700 Notice of Medicaid Eligibility/Case Activation in the ICAMA system, and attaching a copy of the current adoption assistance agreement. The ICAMA system then sends completed Form 700 and the adoption assistance agreement attachment to the child’s new state of residence, in care of the designated state agency contact person. The Texas eligibility specialist sends a copy of Form 700 to the adoptive parents and files a copy in the case record.
- Completes Interstate Compact on Adoption and Medical Assistance (ICAMA) and informs the adoptive family and uploads a copy to the case record in OneCase/NeuDocs.
- Immediately reports any changes in the child’s eligibility status, family status, placement, or residence to the resident state by updating the Report of Change in Child/Family Status in the ICAMA system. The Texas eligibility specialist sends a copy of the report to the adoptive parents and files a copy in the case record.
- Immediately reports the move to the previous resident state, if the child later moves to another state. To get access to the ICAMA system, the regional adoption assistance eligibility specialist emails the adoption assistance program specialist in the DFPS Federal and State Support Unit.
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