Foster youth: savings accounts.

Existing law generally provides for the placement of foster youth in various placement settings, and governs the provision of child welfare services, which is defined to mean public social services that are directed toward the accomplishment of specified purposes, including protecting and promoting the welfare of all children, preventing the unnecessary separation of children from their families, and restoring to their families children who have been removed. Existing law places various requirements on the State Department of Social Services in the provision of those public social services. This bill would require the department to develop a program to give children in the foster care system who are 12 years of age or older access to a savings account at a financial institution. The bill would require the department to ensure that a financial institution contracted with meets various requirements, including that the financial institution provides a debit card that is accepted at any place that takes electronic benefits transfer (EBT) payments. The bill would require the department to ensure that the child meets various requirements, including taking a financial literacy class to be developed by the department. The bill would authorize a contracting financial institution to hold a child with a savings account opened pursuant to those provisions responsible for overdraft costs up to $100. The bill would limit access to the savings account to the child who established the account, as specified. The bill would make related findings and declarations.