Bill Text: TX HB2645 | 2023-2024 | 88th Legislature | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to a pilot program to increase the financial independence of foster youth who are transitioning to independent living.
Spectrum: Bipartisan Bill
Status: (Engrossed - Dead) 2023-05-16 - Referred to Health & Human Services [HB2645 Detail]
Download: Texas-2023-HB2645-Comm_Sub.html
Bill Title: Relating to a pilot program to increase the financial independence of foster youth who are transitioning to independent living.
Spectrum: Bipartisan Bill
Status: (Engrossed - Dead) 2023-05-16 - Referred to Health & Human Services [HB2645 Detail]
Download: Texas-2023-HB2645-Comm_Sub.html
88R23964 BDP-F | |||
By: Lujan, Klick, Garcia, Noble | H.B. No. 2645 | ||
Substitute the following for H.B. No. 2645: | |||
By: Shaheen | C.S.H.B. No. 2645 |
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relating to a pilot program to increase the financial independence | ||
of foster youth who are transitioning to independent living. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subchapter B, Chapter 264, Family Code, is | ||
amended by adding Section 264.1215 to read as follows: | ||
Sec. 264.1215. PILOT PROGRAM FOR FINANCIAL TRANSITIONAL | ||
LIVING SERVICES. (a) The department shall establish a pilot | ||
program to assist foster youth to achieve financial security and | ||
independence as the youth transition to independent living. | ||
(b) The department shall enter into an agreement with one or | ||
more banks, credit unions, or other financial institutions to | ||
establish savings and checking accounts for foster youth who are at | ||
least 14 but not more than 21 years of age and participate in the | ||
pilot program. The agreement must include the following terms: | ||
(1) notwithstanding Section 34.305(c), Finance Code, | ||
a requirement that foster youth participating in the program are | ||
the sole owner of the savings and checking accounts and may | ||
establish savings and checking accounts without a co-signor; | ||
(2) a requirement that the department and the bank, | ||
credit union, or other financial institution together encourage the | ||
foster youth participating in the program to open or continue | ||
private savings and checking accounts once the participants are no | ||
longer eligible for the program; | ||
(3) procedures to ensure the participants maintain | ||
ownership and control of the account at the time the participants | ||
exit the program; | ||
(4) a requirement that the bank, credit union, or | ||
other financial institution provide to participants in the program | ||
a checking and savings account that does not require maintenance | ||
fees and cannot incur overdraft fees, nonsufficient funds fees, | ||
inactivity fees, or any other penalty fees; and | ||
(5) options to make financial coaching or mentoring | ||
available to foster youth participating in the pilot program. | ||
(c) The department may seek to partner with persons, | ||
including nonprofit organizations or foundations, to match the | ||
amounts of money deposited into the foster youth savings accounts | ||
under the pilot program. The matching funds must be deposited | ||
directly into a youth's savings account. | ||
(d) The department and a person selected as a partner under | ||
Subsection (c) may jointly establish incentives to provide | ||
financial rewards to foster youth for actions performed by the | ||
youth. | ||
(e) The department shall survey each foster youth who enters | ||
and exits the pilot program. The survey must be designed to assess | ||
any changes in the youth's attitudes, perceptions, and knowledge | ||
about financial matters from the time the youth entered the program | ||
until the youth exited the program. | ||
(f) The department shall complete an evaluation of the pilot | ||
program and submit a report on the evaluation of the pilot program | ||
conducted under this section to the governor, lieutenant governor, | ||
and speaker of the house of representatives as soon as the | ||
evaluation is complete but not later than December 31, 2027. | ||
(g) A foster youth may not be denied the rights granted | ||
under Section 264.0111 to control money earned by the youth that is | ||
deposited into a savings or checking account under the pilot | ||
program. | ||
(h) If the department is unable to enter into an agreement | ||
with a bank, credit union, or other financial institution, the | ||
department shall include in the report required under Subsection | ||
(f) a description of any legal or practical barriers that must be | ||
addressed to ensure foster youth are able to participate in the | ||
pilot program and establish savings and checking accounts before | ||
the foster youth are no longer eligible for foster care services. | ||
(i) This section expires January 1, 2028. | ||
SECTION 2. As soon as practicable after the effective date | ||
of this Act, the Department of Family and Protective Services shall | ||
establish the pilot program as required by Section 264.1215, Family | ||
Code, as added by this Act. | ||
SECTION 3. This Act takes effect September 1, 2023. |