ANALYSIS OF THE NEW JERSEY BUDGET DEPARTMENT OF CHILDREN AND FAMILIES

Transcription

1 ANALYSIS OF THE NEW JERSEY BUDGET DEPARTMENT OF CHILDREN AND FAMILIES FISCAL YEAR PREPARED BY OFFICE OF LEGISLATIVE SERVICES NEW JERSEY LEGISLATURE APRIL 2012

2 NEW JERSEY STATE LEGISLATURE SENATE BUDGET AND APPROPRIATIONS COMMITTEE Paul A. Sarlo (D), 36th District (Parts of Bergen and Passaic), Chair Brian P. Stack (D), 33rd District (Part of Hudson), Vice-Chair Jennifer Beck (R), 11th District (Part of Monmouth) Anthony R. Bucco (R), 25th District (Parts of Morris and Somerset) Sandra B. Cunningham (D), 31st District (Part of Hudson) Linda R. Greenstein (D), 14th District (Parts of Mercer and Middlesex) Steven Oroho (R), 24th District (All of Sussex, and parts of Morris and Warren) Kevin J. O'Toole (R), 40th District (Parts of Bergen, Essex, Morris and Passaic) Joseph Pennacchio (R), 26th District (Parts of Essex, Morris and Passaic) Nellie Pou (D), 35th District (Parts of Bergen and Passaic) M. Teresa Ruiz (D), 29th District (Part of Essex) Jeff Van Drew (D), 1st District (All of Cape May, and parts of Atlantic and Cumberland) Loretta Weinberg (D), 37th District (Part of Bergen) GENERAL ASSEMBLY BUDGET COMMITTEE Vincent Prieto (D), 32nd District (Parts of Bergen and Hudson), Chairman Gary S. Schaer (D), 36th District (Parts of Bergen and Passaic), Vice Chairman Anthony M. Bucco (R), 25th District (Parts of Morris and Somerset) John J. Burzichelli (D), 3rd District (All of Salem, and parts of Cumberland and Gloucester) Gary R. Chiusano (R), 24th District (All of Sussex, and parts of Morris and Warren) Albert Coutinho (D), 29th District (Part of Essex) Gordon M. Johnson (D), 37th District (Part of Bergen) Declan J. O'Scanlon, Jr. (R), 13th District (Part of Monmouth) Troy Singleton (D), 7th District (Part of Burlington) Bonnie Watson Coleman (D), 15th District (Parts of Hunterdon and Mercer) Jay Webber (R), 26th District (Parts of Essex, Morris and Passaic) Benjie E. Wimberly (D), 35th District (Parts of Bergen and Passaic) OFFICE OF LEGISLATIVE SERVICES David J. Rosen, Legislative Budget and Finance Officer Frank W. Haines III, Assistant Legislative Budget and Finance Officer Marvin W. Jiggetts, Director, Central Staff Maureen McMahon, Acting Section Chief, Human Services Section This report was prepared by the Human Services Section of the Office of Legislative Services under the direction of the Legislative Budget and Finance Officer. The primary author was Nathan E. Myers. Assistance was provided by Jay A. Hershberg. Questions or comments may be directed to the OLS Human Services Section ( ) or the Legislative Budget and Finance Office ( ).

3 DEPARTMENT OF CHILDREN AND FAMILIES Budget Pages... C-4; C-11; C-18; C-28; C-29; D-27 to D-38 The Fiscal Summary and Personnel data (below) for FY 2013 include appropriations and staff from the Division on Women in the Department of Community of Affairs and the Division of Developmental Disabilities in the Department of Human Services (DHS) that will be transferred into the Department of Children and Families (DCF) effective FY The data below, as well as the Governor s FY 2013 Budget, do not reflect funds to be transferred from an anticipated reorganization of adolescent services into DCF from the Division of Mental Health and Addiction Services (DMHAS) in DHS, which is anticipated to occur in FY Fiscal Summary ($000) Expended FY 2011 Adjusted Appropriation FY 2012 Recommended FY 2013 Percent State Budgeted $1,015,511 $1,035,788 $1,055, % Federal Funds 463, , , % Other 51,072 49,493 53, % Grand Total $1,529,812 $1,524,158 $1,560, % Personnel Summary - Positions By Funding Source Actual FY 2011 Revised FY 2012 Funded FY 2013 Percent State 4,893 4,644 4, % Federal 1,504 1,489 1, % Other % Total Positions 6,783 6,486 6, % FY 2011 (as of December) and revised FY 2012 (as of January) personnel data reflect actual payroll counts. FY 2013 data reflect the number of positions funded. Link to Website:

4 Highlights (Cont d) Budget Overview The Governor s FY 2013 Budget for the Department of Children and Families (DCF) proposes to increase total funding by $36.2 million, to $1.560 billion (gross), or 2.4% over the FY 2012 adjusted appropriation of $1.524 billion. Included within this increase is $40.0 million (gross) transferred from the Department of Community Affairs and the Department of Human Services as part of a reorganization of programs into DCF for women and for children with developmental disabilities. If these transfers are excluded, total department funding decreases by $3.8 million to $1.520 billion, or 0.2% below the FY 2012 adjusted appropriation. Total State appropriations for the department are recommended to increase by $19.6 million, to $1.055 billion, or 1.9% over the FY 2012 adjusted appropriation. Included within this increase is $37.6 million transferred from the Department of Community Affairs and the Department of Human Services as part of a reorganization of programs into DCF for women and for children with developmental disabilities. If this transfer is excluded, total State appropriations decrease by $18.0 million to $1.018 billion, or 1.7% below total FY 2012 State adjusted appropriations. The Office of Management and Budget (OMB) indicates that this decrease includes $12.0 million in State savings due to additional federal and other resources, including approximately $3 million from dedicated grant increases in the Foster Care and Out-of- Home Placement programs, and approximately $9 million from increased collection of Title IV-E Federal funds to replace State salary dollars. OMB indicates that this decrease also includes $6.3 million in State savings due to program trends, including an overall $2.8 million decrease in Division of Child Protection and Permanency Services programs and an overall $3.5 million decrease in Division of Child Integrated System of Care Services programs. Anticipated Federal funds are recommended to increase by $12.9 million, to $451.8 million or 2.9% over FY 2012 Federal funds. Increased utilization of federal Title IV-E funds partially accounts for this increase. Also included are $1.7 million in Federal funds transferred from the Department of Community Affairs under the reorganization of programs for women. If this transfer is excluded, anticipated Federal funds would increase by $11.2 million to $450.1 million, or 2.6% over FY 2012 levels. The Governor s Budget reflects an increase in Other funds of $3.7 million to $53.2 million or 7.5% over adjusted FY 2012 levels. Approximately 85% of these funds are for Education Services and represent reimbursements from school districts for educational services provided by the department. 2

5 Highlights (Cont d) Organizational s The Governor s FY 2013 Budget reflects a significant reorganization of programs into the Department of Children and Families (DCF), including the Division on Women from the Department of Community Affairs (DCA) and services for children and youth from the Division of Developmental Disabilities (DDD) in the Department of Human Services (DHS). The FY 2013 Budget transfers $5.4 million (gross) in funding from DCA into DCF as part of the reorganization of the Division on Women. According to the Budget Summary, this reorganization is intended to enhance the State s ability to address the cooccurrence of child abuse and domestic violence and to decrease the fragmentation of services across departments. Under this transfer, $4.3 million in grants for sexual assault prevention and services, displaced homemaker services, and other services are added to DCF s current domestic violence prevention services, with no change in funding for the transferred grants or for DCF s current services. At least nine DCA personnel are expected to be transferred to DCF. The FY 2013 Budget also reorganizes services for children with developmental disabilities from DDD into DCF. According to the Budget Summary, the reorganization is intended to decrease the fragmentation of such services and improve their accessibility and quality. DCF will be designated as the primary State agency serving children with developmental disabilities. Beginning July 1, 2012 (or January 1, 2013 for family support services), children with developmental disabilities will be referred to DCF for services. At age 16, DDD will assess a child for adult services eligibility and provide transitional planning. All direct services (residential, in-home behavioral, family support, etc.) will continue to be provided by DCF until age 21 in order to ensure coordinated transition planning for adult services. All services after age 21 will be provided by DDD. $34.1 million in contract funding will be transferred from DDD to DCF, although this amount may increase or decrease once all contracts are examined. At least eleven DDD personnel are expected to be transferred to DCF. Many administrative and financial details of the reorganization are still to be worked out. Additionally, the total number of children affected by this reorganization is not known. The FY 2013 Budget anticipates a reorganization of adolescent services into DCF from the Division of Mental Health and Addiction Services (DMHAS) in DHS in order to enhance the integration of such services with other programs. The FY 2013 Budget does not include any transfers of DMHAS funds. However, proposed language in the General Provisions section of the Budget (pp. F-3 and F-10) would allow for transfers between DHS and DCF as needed during the fiscal year. According to the Budget Summary, DCF will assume responsibility for providing behavioral health services to all eligible youth in FY Addiction services for adolescents up to age 18 and those ages already under the protective supervision of DCF s Division of Child Protection and Permanency (DCP&P) or receiving behavioral 3

6 Highlights (Cont d) health services through DCF s Division of Child Integrated System of Care Services (DCISCS) will be transferred from DMHAS to DCF. Mental health services for adolescents ages under DCP&P supervision or receiving DCISCS services will also be transitioned from DMHAS to DCF. Some adolescents not under DCP&P supervision or receiving DCISCS services will be served by DMHAS until their services are reconciled after an examination of existing statutes and regulations. Funding by Division In addition to these organizational changes, several DCF divisions are renamed within the FY 2013 Budget. These changes, and significant increases and decreases in recommended funding levels, are described below. Division of Child Protection and Permanency Services (DCP&P) This division includes programs formerly organized under the Division of Youth and Family Services (DYFS). Overall funding for the division is recommended to increase by $4.3 million, to $918.2 million (gross). Direct State Services funding is recommended to increase by $7.3 million, to $438.2 million (gross). Much of this increase is accounted for by a $5.7 million increase in staffing expenditures (salaries and wages). Grants-in-Aid funding is recommended to decrease by $3.0 million, to $480.0 million (gross). Included within this decrease are a $1.7 million reduction for consolidated Outof-Home Placements appropriations, a $0.17 million reduction for Public Awareness for Child Abuse Prevention, a $1.4 million reduction for Independent Living and Shelter Care, and a $1.0 million reduction in Foster Care. Offsetting these reductions are a $0.5 million increase for the Wynona M. Lipman Child Advocacy Center and a $1.0 million increase for consolidated Family Support Services appropriations. It is also noted that County Human Services Advisory Board-Formula Funding is transferred to the Department of Human Services and is not reflected in DCF s FY 2013 Budget. Available information did not indicate whether funding for this program would significantly change in FY Division of Child Integrated System of Care Services (DCISCS) This division includes programs formerly organized under the Division of Child Behavioral Health Services (DCBHS). Overall funding for the division is recommended to increase by $31.3 million, to $436.4 million (gross). Factored into this increase are $34.7 million in funds transferred from DDD. 4

7 Highlights (Cont d) Direct State Services funding is recommended to increase by $0.5 million, to $2.0 million (gross). Nearly all of this increase can be attributed to staff transferred from DDD to DCF as part of the reorganization of services for children with developmental disabilities. Grants-in-Aid funding is recommended to increase by $30.8 million, to $434.5 million (gross). This increase includes $34.1 million in State funds transferred as part of the reorganization of services from DDD to DCF, including $24.1 million transferred to Out-of-Home Treatment Services and $10.0 million transferred to Family Support Services. Other funding changes generally involve shifts from out-of-home (residential) treatment services to home- and community-based services. Mobile Response and Stabilization Services is increased by $6.8 million and Intensive In-Home Behavioral Assistance is increased by $4.8 million. Offsetting these increases are a $10.5 million reduction in funds for Out-of-Home Treatment Services (resulting in a net $13.6 million increase for the account, with the transfers from DDD), a $2.0 million decrease for consolidated Care Management Organizations appropriations, a $2.1 million decrease for the Youth Incentive Program, and a $1.2 million decrease for consolidated Outpatient Services appropriations. Division of Family and Community Partnership Services (DFCP) This division includes programs formerly organized under the Division of Prevention and Community Partnership Services (DPCP). Overall funding for the division increases by $5.2 million, to $78.3 million (gross). Direct State Services funding is recommended to increase by $0.9 million, to $2.1 million (gross), due to staff transferred as part of the reorganization of the Division on Women into DCF. Grants-in-Aid funding is recommended to increase by $4.3 million, to $76.2 million (gross). This increase is accounted for by $4.3 million in funds transferred as part of the reorganization of the Division on Women into DCF. Family Support Services is recommended to remain unchanged at $17.3 million. However, the department reports that the Differential Response initiative is being phased out, which currently accounts for approximately $6.5 million in Family Support Services expenditures. In FY 2013, the department is planning to redirect these funds to Family Success Centers and Other Family Support Services. It is noted that, in February 2012, the department issued a request for proposals for seven new Family Success Centers to be based in the same six counties as the Differential Response initiative, which would bring the total number of centers to 49. 5

8 Highlights (Cont d) Education Services Overall funding for Education Services is recommended to decrease by $2.9 million, to $55.4 million (gross). Direct State Services funding is recommended to decrease by $3.0 million, to $30.5 million (gross), primarily due to a decrease in salaries and wages. Grants-in-Aid funding is recommended to remain essentially unchanged at $24.9 million (gross). Child Welfare Training Academy Services and Operations Direct State Services funding is recommended to decrease by $0.5 million, to $8.2 million (gross). Nearly all of this decrease affects salaries and wages. Safety and Security Services Direct State Services funding is recommended to decrease by $0.7 million, to $3.8 million, due to savings from unspecified institutional security efficiencies. Administration and Support Services Overall funding for this program class is recommended to decrease by $0.3 million, to $60.0 million (gross). Direct State Services funding is recommended to decrease by $0.3 million, to $59.3 million (gross), reflecting offsetting changes in personnel and maintenance costs. Grants-in-Aid funding is recommended to remain essentially unchanged at $0.7 million. Background Paper: December 2011 Federal Monitor s Report...p. 20 6

9 Fiscal and Personnel Summary AGENCY FUNDING BY SOURCE OF FUNDS ($000) General Fund Adj. Expended Approp. Recom. Percent FY 2011 FY 2012 FY Direct State Services $303,515 $296,850 $269,545 ( 11.2%) ( 9.2%) Grants-In-Aid 711, , , % 6.3% State Aid % 0.0% Capital Construction % 0.0% Debt Service % 0.0% Sub-Total $1,015,511 $1,035,788 $1,055, % 1.9% Property Tax Relief Fund Direct State Services $0 $0 $0 0.0% 0.0% Grants-In-Aid % 0.0% State Aid % 0.0% Sub-Total $0 $0 $0 0.0% 0.0% Casino Revenue Fund $0 $0 $0 0.0% 0.0% Casino Control Fund $0 $0 $0 0.0% 0.0% State Total $1,015,511 $1,035,788 $1,055, % 1.9% Federal Funds $463,229 $438,877 $451,821 ( 2.5%) 2.9% Other Funds $51,072 $49,493 $53, % 7.5% Grand Total $1,529,812 $1,524,158 $1,560, % 2.4% PERSONNEL SUMMARY - POSITIONS BY FUNDING SOURCE Actual Revised Funded Percent FY 2011 FY 2012 FY State 4,893 4,644 4,749 ( 2.9%) 2.3% Federal 1,504 1,489 1, % 2.0% All Other ( 2.8%) 6.2% Total Positions 6,783 6,486 6,643 ( 2.1%) 2.4% FY 2011 (as of December) and revised FY 2012 (as of January) personnel data reflect actual payroll counts. FY 2013 data reflect the number of positions funded. AFFIRMATIVE ACTION DATA Total Minority Percent 61.0% 59.4% 58.0%

10 Significant s/new Programs ($000) Budget Item Adj. Approp. FY 2012 Recomm. FY 2013 Dollar Percent Budget Page Note: the FY 2013 Budget Recommendation does not reflect monies to be transferred from an anticipated reorganization of adolescent services into the Department of Children and Families from the Division of Mental Health and Addiction Services (DMHAS) in the Department of Human Services. The amount of funds and personnel expected to be transferred from DMHAS was not available at the time of this report. CHILD PROTECTION AND PERMANENCY SERVICES (CP&PS) Direct State Services: CP&PS TOTAL $430,958 $438,217 $ 7, % General Fund $229,275 $205,233 ($24,042) ( 10.5%) D-33 Federal Funds $201,271 $232,572 $31, % D-33 Other Funds $412 $412 0 D-33 Overall funding for CP&PS Direct State Services is recommended to increase by $7.3 million, to $438.2 million (gross), due to various increases and decreases: Personal Services is recommended to increase by $5.7 million, to $387.9 million overall (gross). State funding for Personal Services is reduced by $25.6 million. Offsetting this reduction are anticipated increases in Federal funding of $19.3 million from Title IV-E Foster Care, $10.6 million from Title IV-E Adoption Assistance, and $1.5 million from Title XIX (Medicaid). According to the Governor s Budget, the number of personnel is recommended to increase from 5,522 filled positions (FY 2012) to 5,612 funded positions (FY 2013). Maintenance and Fixed Charges is recommended to increase by $1.3 million in State and Other funds, to $32.0 million (gross). Services Other Than Personal is recommended to increase by $0.3 million in State and Other funds, to $10.4 million (gross). CP&PS TOTAL $483,008 $480,027 ($2,981) ( 0.6%) General Fund $414,571 $428,573 $14, % D-35 Federal Funds $64,583 $44,600 ($19,983) ( 30.9%) D-35 Other Funds $3,854 $6,854 $ 3, % D-35 8

11 Significant s/new Programs ($000) (Cont d) Budget Item Adj. Approp. FY 2012 Recomm. FY 2013 Dollar Percent Budget Page Overall funding for CP&PS Grants-in-Aid is recommended to decrease by $3.0 million, to $480.0 million (gross). The overall decrease is attributable to a $20.0 million reduction in Federal funds, to $44.6 million. Nearly all of the decrease in Federal funds can be attributed to about $19.4 million in Title IV-E funds shifted to Direct State Services. Offsetting this reduction is an increase of $14.0 million in State appropriations to $428.6 million, and an increase of $3.0 million in Other funds to $6.9 million. Significant changes that contribute to these offsetting shifts within the overall Grants-in-Aid appropriation are discussed in greater detail below. Out-of-Home Placements TOTAL $29,643 $27,961 ($1,682) ( 5.7%) Group Homes $6,322 $0 ($6,322) ( 100.0%) D-35 Treatment Homes $2,976 $0 ($2,976) ( 100.0%) D-35 Out-of-Home Placements $20,345 $27,961 $ 7, % D-35 The FY 2013 Budget consolidates appropriations for Group Homes and Treatment Homes into Out-of-Home Placements ( Residential Placements in the FY 2012 Budget). The overall appropriation for this new account decreases by $1.7 million, to approximately $28.0 million (gross). Notwithstanding this apparent decrease, the FY 2013 appropriation is 7.6% above projected FY 2012 expenditures of $26.0 million, according to the budget evaluation data. The consolidated program funds treatment homes, group homes, and residential placements for youth with intensive needs who cannot be maintained at home. Budget data indicate that the program s average daily population has remained relatively stable over time, increasing slightly from 304 (FY 2010) to 312 (projected for FY 2013). Public Awareness for Child Abuse Prevention Program $172 $0 ($ 172) ( 100.0%) D-35 Funding for the Public Awareness for Child Abuse Prevention Program is recommended to be discontinued. It is noted that in FY 2010 and FY 2011 no funds were expended on this program. Available information does not indicate whether other funds will support these activities in FY

12 Significant s/new Programs ($000) (Cont d) Budget Item Adj. Approp. FY 2012 Recomm. FY 2013 Dollar Percent Budget Page Independent Living and Shelter Care $16,068 $14,656 ($1,412) ( 8.8%) D-35 Independent Living and Shelter Care is recommended to decrease by $1.4 million, to $14.7 million. According to the budget evaluation data, FY 2012 projected expenditures total $13.8 million, or about $2.2 million below the FY 2012 appropriation. The recommended FY 2013 funding would be an increase in program resources. This program funds temporary emergency placements for children in crisis as well as independent living services for adolescents in foster care who are transitioning to independence. Emergency placements have decreased from 1,217 (FY 2010) to 1,032 (projected for FY 2013), and the budget evaluation data indicate that yearly emergency placement expenditures have decreased by about $3.0 million over the same period. The data also indicate that the cost per emergency placement is expected to increase by 6% between FY 2012 and FY Even with this projected increase, the cost per emergency placement will have decreased by 19% overall between FY 2010 and FY 2013, according to the data. Independent living placements have decreased from 150 (FY 2010) to 127 (projected for FY 2013). However, the budget evaluation data indicate that yearly independent living expenditures have increased by $0.2 million over the same period. The cost per independent living placement is expected to increase by 6% between FY 2012 and FY 2013, for an overall increase of 21% between FY 2010 and FY 2013, according to the data. Family Support Services TOTAL $78,597 $79,573 $ % State Match $4,523 $0 ($4,523) ( 100.0%) D-36 Family Support Services $74,074 $79,573 $ 5, % D-35 The FY 2013 Budget consolidates appropriations for State Match into Family Support Services. The overall appropriation for this consolidated account is recommended to increase by $1.0 million, to approximately $79.6 million overall (gross). CP&PS Family Support Services are designed to reduce the need for more intensive family interventions by providing families with psychological/therapeutic services, day treatment, homemaker services, transportation assistance, and other services. 10

13 Significant s/new Programs ($000) (Cont d) Budget Item Adj. Approp. FY 2012 Recomm. FY 2013 Dollar Percent Budget Page Wynona M. Lipman Child Advocacy Center, Essex County $0 $537 $ 537 D-35 The FY 2013 Budget restores $0.54 million (gross) for the Wynona M. Lipman Child Advocacy Center, to offset Federal funds that had supported the Center in FY 2012 and are no longer available. Funding for the center had been included in S-4000, the FY 2012 appropriations bill, but was removed by the Governor s Line Item Veto. Subsequently, the Executive reallocated Federal funds to the Center to continue the program in the current fiscal year. The Center coordinates investigative, legal, treatment, and prevention services for children and families. CHILD INTEGRATED SYSTEM OF CARE SERVICES (CISCS) Direct State Services: CISCS TOTAL $1,473 $1,964 $ % General Fund $1,265 $1,756 $ % D-34 Federal Funds $208 $208 0 D-34 Overall funding for CISCS Direct State Services is recommended to increase by $0.49 million, to nearly $2.0 million (gross). The increase can be attributed to the salaries of staff who will be reassigned to the Division of Child Integrated System of Care Services (DCISCS) under the reorganization of services for children and youth from the Division of Developmental Disabilities (DDD) in DHS. According to Budget data, the number of personnel is recommended to increase from 14 filled positions (FY 2012) to 27 funded positions (FY 2013). Available information indicates that at least eleven of these new positions represent DDD staff transferring into DCISCS. CISCS TOTAL $403,711 $434,471 $30, % General Fund $265,426 $296,186 $30, % D-35 Federal Funds $138,285 $138,285 0 D-35 Overall funding for CISCS Grants-in-Aid is recommended to increase by $30.8 million, to $434.5 million (gross). All of this increase can be attributed to higher State appropriations and organizational transfers. Significant changes that contribute to the overall Grants-in-Aid appropriation are discussed in greater detail below. 11

14 Significant s/new Programs ($000) (Cont d) Budget Item Adj. Approp. FY 2012 Recomm. FY 2013 Dollar Percent Budget Page Care Management Organizations TOTAL $67,861 $65,867 ($1,994) ( 2.9%) Youth Case Managers $14,985 $0 ($14,985) ( 100.0%) D-36 Care Management Organizations $52,876 $65,867 $12, % D-36 The FY 2013 Budget consolidates appropriations for Youth Case Managers into Care Management Organizations. Overall appropriations are recommended to decrease by $2.0 million, to $65.9 million (gross). The consolidated program provides behavioral health case management services to youth across a continuum of moderate-to-high levels of need. Budget data anticipate that the program s average daily population will increase from 16,125 (FY 2011) to 18,000 (FY 2012 and FY 2013). The recommended FY 2013 appropriations represent an effective increase of 3.7% above projected FY 2012 expenditures of $63.5 million, according to the budget evaluation data. Out-of-Home Treatment Services $237,448 $251,096 $13, % D-36 Out-of-Home Treatment Services is recommended to increase by $13.6 million, to $251.1 million (gross). Contributing to this increase is $24.1 million in State funds transferred from Group Homes and Emergency Residential Placements accounts in DDD. This transfer will occur as part of the reorganization of services for children and youth into DCF from DHS. Offsetting this increase from fund transfers is a $10.1 million reduction in State funds for Out-of- Home Treatment Services due to program trends, according to the Office of Management and Budget, and a $0.4 million decrease in Federal funds. This program funds various residential treatment services. Information is not available as to the number of children the appropriation will serve or the per capita cost. Family Support Services $5,404 $15,944 $10, % D-36 Family Support Services is recommended to increase by $10.5 million, to $15.9 million (gross). This increase results from a $10.0 million transfer of funds from the Home Assistance program in DDD as part of the reorganization of services for children and youth into DCF from DHS, and a further increase of $0.5 million. CISCS Family Support Services funds Family Support Organizations (FSOs), which are familyrun, county-based organizations that provide direct peer support, education, advocacy and 12

15 Significant s/new Programs ($000) (Cont d) Budget Item Adj. Approp. FY 2012 Recomm. FY 2013 Dollar Percent Budget Page other services to family members of children with emotional and behavioral problems. Information is not available as to the number of children the program will serve, the per capita cost of such services, or other potential trends implicit in the level of funding recommended. Mobile Response $16,706 $23,517 $ 6, % D-36 Mobile Response is recommended to increase by $6.8 million, to $23.5 million (gross). This program provides 24-hour mobile response and stabilization services to children and youth who are experiencing emotional or behavioral crises. The number of clients served by the program has been increasing, from 10,531 in FY 2010 to 15,100 anticipated in both FY 2012 and FY Similarly, according to budget evaluation data, projected FY 2012 program expenditures of $20.1 million are estimated to be $3.4 million above the adjusted FY 2012 appropriation. The FY 2013 increase may align appropriations with these service provision and expenditure trends. Intensive In-Home Behavioral Assistance $45,282 $50,070 $ 4, % D-36 Intensive In-Home Behavioral Assistance is recommended to increase by $4.8 million, to $50.1 million (gross). This program delivers behavioral health services in a child s home or community and is designed to reduce the need for out-of-home treatment services. Total service hours would increase from 488,795 in FY 2010 to 600,000 anticipated in both FY 2012 and FY Similarly, according to budget evaluation data, FY 2012 projected expenditures of $48.0 million are $2.7 million above FY 2012 adjusted appropriations. The FY 2013 increase may align appropriations with these service provision and expenditure trends. Youth Incentive Program $7,908 $5,849 ($2,059) ( 26.0%) D-36 Youth Incentive Program is recommended to decrease by $2.1 million, to $5.8 million. No information is available regarding this reduction or whether other funds would support these services. The program is a Statewide initiative to improve county-level, cross-agency service planning and case assessments, expand community services, and reduce out-of-home placements for children with emotional and behavioral challenges. 13

16 Significant s/new Programs ($000) (Cont d) Budget Item Adj. Approp. FY 2012 Recomm. FY 2013 Dollar Percent Budget Page Outpatient TOTAL $13,003 $11,842 ($1,161) ( 8.9%) Partial Care/ Partial Hospitalization $7,096 $0 ($7,096) ( 100.0%) D-36 Outpatient $5,907 $11,842 $ 5, % D-36 The FY 2013 Budget consolidates appropriations for Partial Care/Partial Hospitalization into Outpatient Services, and recommends a reduction in total appropriations of $1.2 million, to $11.8 million. The consolidated program funds nonresidential, therapeutic treatment services. Budget data indicate that, after the number of youth served decreased from 19,317 (FY 2010) to 17,336 (FY 2011), the number of youth is expected to increase slightly to 17,350 (FY 2012 and FY 2013). According to the budget evaluation data, the FY 2013 appropriation is an effective increase of 4.5% above projected FY 2012 expenditures of $11.3 million. FAMILY AND COMMUNITY PARTNERSHIP SERVICES (FCPS) Direct State Services: FCPS TOTAL $1,183 $2,095 $ % General Fund $1,183 $1,889 $ % D-34 Federal Funds $0 $131 $ 131 D-34 Other Funds $0 $75 $ 75 D-34 Overall funding for FCPS Direct State Services is recommended to increase by $0.9 million, to $2.1 million (gross). The increase is attributed to increases in Personal Services, representing salaries of staff reassigned to the Division of Family and Community Partnership Services (DFCP) under the reorganization of the Division on Women from the Department of Community Affairs (DCA). According to Budget data, the number of personnel is expected to increase from 14 filled positions (FY 2012) to 25 funded positions (FY 2013). Available information indicates that at least nine of these new positions represent Division on Women staff transferring into DFCP. FCPS TOTAL $71,931 $76,182 $ 4, % General Fund $58,941 $61,077 $ 2, % D-35 Federal Funds $12,780 $14,282 $ 1, % D-35 Other Funds $210 $823 $ % D-35 14

17 Significant s/new Programs ($000) (Cont d) Budget Item Adj. Approp. FY 2012 Recomm. FY 2013 Dollar Percent Budget Page Overall funding for FCPS Grants-in-Aid is recommended to increase by $4.3 million, to $76.2 million (gross). Nearly all of this increase can be attributed to the transfer of funds from the Department of Community Affairs, discussed below. Women s Services $14,373 $18,700 $ 4, % D-36 As part of the reorganization of the Division on Women from DCA into DCF, the FY 2013 Budget consolidates appropriations transferred with the Division on Women and DCF s Domestic Violence Prevention Services under a new line-item: Women s Services. The FY 2013 appropriation for this new account represents flat funding for the programs being consolidated. Of the $4.3 million (gross) transferred from DCA, $2.1 million represents State funds and $2.2 million represents Federal and Other funds. The transferred DCA Grants-in-Aid accounts include sexual assault prevention and services ($2.5 million), displaced homemaker services ($1.7 million), and other services ($0.1 million). According to recent testimony by the Commissioner before the Assembly Budget committee, the consolidated FY 2013 grant appropriation is expected to maintain currently provided women s services and programming. EDUCATION SERVICES Direct State Services: Education Services TOTAL $33,476 $30,514 ($2,962) ( 8.8%) General Fund $11,149 $8,237 ($2,912) ( 26.1%) D-34 Federal Funds $1,233 $1,233 0 D-34 Other Funds $21,094 $21,044 ($ 50) ( 0.2%) D-34 Direct State Services funding for Education Services is recommended to decrease by $3.0 million, to $30.5 million (gross). Nearly all of this decrease is attributed to a $2.9 million decrease in State funding for Personal Services. However, the number of personnel is recommended to increase from 437 filled positions (FY 2012) to 459 funded positions (FY 2013). Available information does not explain these contrasting trends. This funding supports the department s Office of Education, DCF Regional Schools, and other State-operated programs, which administer and deliver educational services to children with cognitive, emotional, or behavioral disabilities, and other at-risk youth. 15

18 Significant s/new Programs ($000) (Cont d) Budget Item Adj. Approp. FY 2012 Recomm. FY 2013 Dollar Percent Budget Page CHILD WELFARE TRAINING ACADEMY SERVICES AND OPERATIONS Direct State Services: Child Welfare Training Academy TOTAL $8,762 $8,240 ($ 522) ( 6.0%) General Fund $6,703 $6,181 ($ 522) ( 7.8%) D-34 Federal Funds $2,059 $2,059 0 D-34 Child Welfare Training Academy Services and Operations is recommended to decrease by $0.5 million, to $8.2 million (gross). Nearly all of this decrease is attributed to a $0.46 million reduction in State funding for Personal Services. However, the number of personnel is recommended to increase from 33 filled positions (FY 2012) to 36 funded positions (FY 2013). Available information does not explain these contrasting trends. The Child Welfare Training Academy provides pre-service and in-service training for DCF caseworkers, supervisors, and other staff. SAFETY AND SECURITY SERVICES Direct State Services: Safety and Security Services TOTAL (General Fund) $4,475 $3,775 ($ 700) ( 15.6%) D-34 Safety and Security Services is recommended to decrease by $0.7 million, to $3.8 million. These Special Purpose account funds reimburse the Department of Human Services (DHS) Police for escort and intervention services provided to DCF caseworkers and clients in the field. Available information indicates that this reduction is attributable to savings from Department of Human Services Institutional Security Efficiency. Available information does not indicate the specific security efficiencies anticipated. 16

19 Significant Language s Elimination of Language Concerning Differential Response Programs Deletion 2012 Handbook: p. B Budget: n.a. The amounts hereinabove appropriated for Family Support Services for county-based Differential Response programs, funded by the Department of Children and Families to prevent child abuse and neglect, shall be used to provide services to families and follow intervention strategies that are defined with the participation of local community-based organizations and shall assure cultural competency to serve families within their respective counties. Explanation This language establishes certain requirements for the department s Differential Response programs, which are community-based, case management initiatives designed to divert cases that need services but which do not rise to the level of an investigation of child abuse or neglect. The language is deleted as the Differential Response initiative is being phased out. No funds will be directed to the program in FY The department is planning to redirect funds to Family Success Centers and Other Family Support Services within the same division. Accordingly, the FY 2013 Budget consolidates expenditure data for Differential Response programs into Family Success Centers and Other Family Support Services Programs (footnote, p. D-33). It is also noted that, in February 2012, the department issued a request for proposals for seven new Family Success Centers to be based in the same six counties as the Differential Response initiative (Camden, Cumberland, Gloucester, Middlesex, Salem and Union). Marriage and Civil Union License Fee Revenues Revision 2012 Handbook: p. B Budget: p. D-37 Of the amount hereinabove appropriated for the Domestic Violence Prevention Services, $1,260,000 $1,100,000 is payable out of the Marriage and Civil Union License Fee Fund. If receipts to that fund are less than anticipated, the appropriation shall be reduced by the amount of the shortfall. Explanation The Governor s recommended budget anticipates lower revenues of $1.1 million from the Marriage and Civil Union License Fee Fund in FY Accordingly, the budget language reduces the recommended appropriation from $1,260,000 to $1,100,000. The OLS notes that the appropriation for Domestic Violence Prevention Services has been consolidated with other items under a new Women s Services appropriation, with no change in funding. EXPLANATION: FY 2012 language not recommended for FY 2013 denoted by strikethrough. Recommended FY 2013 language that did not appear in FY 2012 denoted by underlining. 17

20 Significant Language s (Cont d) Transfers of Monies within Child Integrated System of Care Services Addition 2012 Handbook: n.a Budget: p. D-38 In order to permit flexibility in the handling of appropriations and ensure the timely payment of claims to providers of medical services, amounts may be transferred among accounts in the Child Integrated System of Care Services program classification. Amounts may also be transferred to and from various items of appropriation within the General Medical Services program classification of the Division of Medical Assistance and Health Services in the Department of Human Services and the Child Integrated System of Care Services program classification in the Department of Children and Families. All such transfers are subject to the approval of the Director of the Division of Budget and Accounting. Notice thereof shall be provided to the Legislative Budget and Finance Officer on the effective date of the approved transfer. Explanation This new language would allow the transfer of funds across accounts within the Division of Child Integrated System of Care Services (DCISCS) and between DCISCS and the Division of Medical Assistance and Health Services (DMAHS) in the Department of Human Services. DCISCS and DMAHS, the State s Medicaid agency, provide certain Medicaid-reimbursable services that may require flexible transfer of funds across programs. The language would permit transfers of funds to occur without further legislative action but with notice provided to the Legislative Budget and Finance Officer. Transfers of Monies among Child Protection and Permanency Placement Services Addition 2012 Handbook: n.a Budget: p. D-38 Of the amounts hereinabove appropriated for Out-of-Home Placements and Shelter and Independent Living, such amounts as determined by the Department may be transferred between such accounts to properly align expenditures based upon changes in client placements, subject to the approval of the Director of the Division of Budget and Accounting. EXPLANATION: FY 2012 language not recommended for FY 2013 denoted by strikethrough. Recommended FY 2013 language that did not appear in FY 2012 denoted by underlining. 18

21 Significant Language s (Cont d) Explanation This new language would allow the Division of Child Protection and Permanency Services (DCP&P) to transfer funding between certain Grants-in-Aid accounts as needed and without further legislative action to adjust for changes in client placements. Based on individual circumstances, children served by DCP&P may transition between Shelter (emergency) placements and various Out-of-Home Placements or Independent Living placements throughout the fiscal year. Transfers of Monies between Foster Care and Subsidized Adoption Addition 2012 Handbook: n.a Budget: p. D-38 Of the amounts hereinabove appropriated for Foster Care and Subsidized Adoption, such amounts as determined by the Department may be transferred between such accounts to address the movement of children from foster care to a permanent adoption setting, subject to the approval of the Director of the Division of Budget and Accounting. Explanation This new language would allow Division of Child Protection and Permanency Services (DCP&P) to adjust funding between certain Grants-in-Aid accounts as needed and without further legislative action to account for transfers of child placements from the division s foster care program to subsidized adoption settings. Based on individual circumstances, children served by DCP&P may transition from foster care placements to permanent adoptions during the fiscal year. EXPLANATION: FY 2012 language not recommended for FY 2013 denoted by strikethrough. Recommended FY 2013 language that did not appear in FY 2012 denoted by underlining. 19

22 Background Paper: December 2011 Federal Monitor's Report In July 2006, the State reached a Modified Settlement Agreement (MSA) in a class action lawsuit regarding improvements to the State s child welfare system. Under the terms of the MSA, the Center for the Study of Social Policy (CSSP) was appointed by the U.S. District Court of New Jersey as the independent Federal Monitor to assess the Department of Children and Families compliance in meeting the terms and conditions of the MSA. The MSA required implementation and evaluation of certain child welfare reforms, as follows: Phase I (through December 2008) required fundamental and systematic reforms to improve the child welfare system, including: the development of a new case practice model; improved delivery of critical services (e.g., health care) to children and families; reduced out-of-state placements for behavioral health services; reduced caseloads for child protective caseworkers; improved caseworker training; improved permanency and adoption practices; improved recruitment and licensing of foster/kinship care resource families; improvements within the Institutional Abuse Investigations Unit; and improved collection and publication of performance data. Phase II (beginning January 2009) requires the measurement of certain performance indicators in order to evaluate the Phase I reforms and assess the State s overall compliance with the MSA. Required performance targets were established either in the MSA or by the Federal Monitor in consultation with the State and other parties involved in the lawsuit. The MSA provides that the lawsuit may be dismissed at any time after 2010, once the State achieves and maintains the established performance targets. To date, CSSP has issued ten monitoring reports assessing the State s compliance with the MSA. The December 2011 Monitoring Report (for the January June 2011 period) states that the Department of Children and Families continued to make progress in meeting many of the MSA requirements during this monitoring period. Overall, 24 of 55 Phase II performance targets have been met and three targets have partially been met. Twenty-five performance targets were not met, though eight performance indicators showed improvement over prior monitoring reports. Three performance indicators could not be assessed. The department met or surpassed expectations in meeting its performance targets in the following areas: Training of workforce, particularly in the Case Practice Model. Timely transmission of abuse and neglect referrals to local offices. Timely completion of congregate care investigations. Children placed in family-like settings. Access to health care for children. Maintaining Resource Family Homes within capacity limits. Recruiting and licensing Resource Family Homes. Reducing the number of children placed out-of-state for treatment. Reducing the number of children in out-of-home placements. Implementing a Statewide Qualitative Review process. 20

23 Background Paper: December 2011 Federal Monitor's Report (Cont d) However, the Monitoring Report noted that the department continues to fall short in meeting some of the performance benchmarks and outcomes in fundamental areas and highlighted several areas requiring particular attention, including: 1 Case planning. Caseworkers must routinely develop, document, review, and adjust case plans to meet the needs of children and families. Family Team Meetings. Caseworkers must hold meetings bringing together families, providers, and other partners at key points, such as when a child has a change of placement, to facilitate exchanging information, coordinating services, and solving problems. 2 Caseworker visits. Caseworkers are required to periodically visit children and families under supervision, to help ensure children s safety, strengthen family connections, and increase opportunities for permanency. Completing safety and risk assessments. These assessments are to be completed prior to case closure and help determine whether a child is at imminent danger of harm or at future risk of harm. Meeting the caseload standard for intake caseworkers. The department is required to maintain certain acceptable caseloads for intake caseworkers who perform initial investigations of child abuse and neglect. Improving quality of investigations. Abuse and neglect investigations must meet certain standards regarding interviewing children and caretakers, assessing safety and risk, analyzing family strengths and needs, seeking appropriate medical and mental health evaluations, making decisions, and reviewing family histories. Improving service delivery to older youth, particularly 18 to 21 year olds who have not achieved permanency. Specifically, the Monitoring Report highlighted concerns related to the requirement that youth ages under the department s supervision must complete online Independent Living Assessments (evaluating financial decision making, work and study skills, and other life skills) in order to identify areas where assistance is needed prior to independence. The Monitoring Report also highlighted specific Phase II performance measures linked to the above areas of concern. Table 1 presents, for each of these performance measures, the final performance target established by the MSA, the date by which the department was supposed to achieve each target, and the department s recent performance level relative to the target. 1 The Monitoring Report also indicated that the department initiated a number of systemic reforms at the State Central Registry regarding quality assurance, staffing, and training following a departmental review of a child death. However, the Monitoring Report did not associate these activities with failure to achieve specific performance targets. 2 Performance related to family team meetings was measured in the 31 (out of 47) local offices having completed case practice immersion training by the end of the monitoring period. 21

24 Background Paper: December 2011 Federal Monitor's Report (Cont d) Table 1. December 2011 Monitoring Report: Performance Targets Not Met and Requiring Attention. PERFORMANCE MEASURE Case Planning MSA Final Target MSA Final Target Date DCF Level Dec DCF Level June 2011 Percentage of case plans developed within 30 days of children entering care. Percentage of case plans reviewed and modified at least every six months. 95% June % 61% 95% June % 71% Family Team Meetings Percentage of children newly entering placement who have a Family Team Meeting within 30 days. Percentage of children in placement who have a Family Team Meeting at least once per quarter. 90% June % 50% 90% June % 37% Caseworker Visits Percentage of children receiving at least twice per month caseworker visits during first two months of an initial or subsequent placement. Percentage of legally responsible family members receiving at least twice per month caseworker visits when goal is family reunification. 95% Dec % 58% 95% Dec % 51% Completing Safety and Risk Assessments Percentage of closed cases where a safety assessment is completed prior to closure. Percentage of closed cases where a risk of harm assessment is completed prior to closure. 98% Dec % 25% 98% Dec % 35% Meeting the Caseload Standard for Intake Caseworkers Percentage of intake workers meeting the caseload standard of no more than 12 open cases and no more than eight new case assignments per month. 95% Ongoing 87% 84% Improving Quality of Investigations Percentage of investigations meeting measures of investigative practice quality % Dec Not assessed 72%