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SB1602 • 2026

kinship foster care stipend; increase

SB1602 - kinship foster care stipend; increase

Budget Children
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Lela Alston, Hildy Angius, Flavio Bravo, Eva Diaz, Denise “Mitzi” Epstein, Rosanna Gabaldón, Sally Ann Gonzales, Lauren Kuby, Catherine Miranda, Kiana Sears, Janae Shamp, Priya Sundareshan, Janeen Connolly, Mariana Sandoval
Last action
2026-03-18
Official status
House second read
Effective date
Not listed

Plain English Breakdown

The official text uses date ranges (e.g., 'from and after December 31, 2026') which align with January 1 start dates in common usage, but the exact phrasing is based on year-end cutoffs.

SB1602: Increase in Kinship Foster Care Stipend

This law requires the Department of Child Safety to pay higher monthly cash amounts to unlicensed kinship foster care parents for each child placed with them.

What This Bill Does

  • Requires DCS to provide a $400 monthly stipend per child starting January 1, 2027.
  • Increases the monthly payment to $500 per child on January 1, 2028.
  • Raises the monthly payment to at least $600 per child beginning January 1, 2029.
  • Requires unlicensed kinship foster care parents and household members aged 18 or older to submit fingerprints for criminal background checks.

Who It Names or Affects

  • Unlicensed kinship foster care parents who are relatives or have a significant relationship with the child.
  • The Arizona Department of Child Safety (DCS), which must manage these new payment amounts and conduct home visits.
  • Children placed in kinship foster care after being removed from their homes.

Terms To Know

Kinship Foster Care
Care provided by a relative or someone with a significant relationship to the child, rather than an unrelated licensed foster parent.
Stipend
A fixed monthly payment given to unlicensed kinship parents for each child placed in their care.

Limits and Unknowns

  • The bill does not specify how the payments will be funded beyond existing budget estimates.
  • It is unclear if families who already receive other financial aid must choose between those benefits and this new stipend, as parents may also qualify for full foster care benefits or TANF cash assistance.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

Plain English: This amendment requires the state to pay a monthly cash stipend of at least $400, increasing over time, to relatives or close family friends who care for foster children.

  • The department must give kinship foster parents a monthly payment for each child placed with them.
  • Starting after December 31, 2026, the minimum stipend will be $400 per month.
  • After December 31, 2027, the minimum amount increases to $500 per month.
  • The text corrects a date error so that the increase to at least $600 happens after December 31, 2028.
  • The amendment does not explain how families will apply for this specific stipend or if there are income limits.
  • It is unclear what happens if the state budget cannot cover these new costs in future years.

Plain English: This amendment adds a new rule requiring the state to pay kinship foster care parents a monthly cash stipend for each child placed with them, starting in late 2026.

  • The department must give a monthly payment to relatives or other caregivers who take in children removed from their homes.
  • Starting December 31, 2026, the minimum monthly stipend will be $400 per child.
  • From December 31, 2027 through December 31, 2028, the minimum payment increases to $500 per child.
  • Beginning after December 31, 2028, the minimum monthly stipend will be at least $600 per child.
  • The text does not explain how this new stipend interacts with other financial benefits families might already receive.
  • It is unclear if these payments are guaranteed for all kinship placements or only those that meet specific eligibility requirements mentioned in earlier sections of the bill.

Plain English: This amendment requires the state to pay a monthly cash stipend of at least $400, increasing over time, to relatives or close family friends who care for foster children.

  • The department must give kinship foster parents a monthly payment for each child placed with them.
  • Starting after December 31, 2026, the minimum stipend will be $400 per month.
  • After December 31, 2027, the minimum amount increases to $500 per month.
  • The amendment corrects a date error so that the $600 monthly rate begins after December 31, 2028.
  • The text does not explain how families will apply for this specific stipend or if it replaces other existing payments.
  • It is unclear what happens to the payment amount after December 31, 2029, since no future dates are listed.

Plain English: This amendment requires the state to pay a monthly cash stipend of at least $400, increasing over time, to relatives or close family friends who care for foster children.

  • The department must give kinship foster parents a monthly payment for each child placed with them.
  • Starting after December 31, 2026, the minimum stipend will be $400 per month.
  • After December 31, 2027, the minimum amount increases to $500 per month.
  • The amendment changes the date for a future increase so that the $600 monthly rate begins after December 31, 2028.
  • It is unclear if this stipend replaces other financial aid or adds to it.
  • The text does not explain how families will apply for these payments or what happens if they do not qualify.

Bill History

  1. 2026-03-18 House

    House second read

  2. 2026-03-17 House

    House Rules: None

  3. 2026-03-17 House

    House Appropriations: W/D

  4. 2026-03-17 House

    House Health & Human Services: DP

  5. 2026-03-17 House

    House first read

  6. 2026-03-11 House

    Transmitted to House

  7. 2026-03-11 Senate

    Senate third read passed

  8. 2026-03-09 Senate

    Senate committee of the whole

  9. 2026-03-03 Senate

    Senate minority caucus

  10. 2026-03-03 Senate

    Senate majority caucus

  11. 2026-02-04 Senate

    Senate second read

  12. 2026-02-03 Senate

    Senate Rules: PFC

  13. 2026-02-03 Senate

    Senate Appropriations, Transportation and Technology: DPA

  14. 2026-02-03 Senate

    Senate Health and Human Services: DPA

  15. 2026-02-03 Senate

    Senate first read

Official Summary Text

SB1602 - 572R - Senate Fact Sheet

Assigned to
�HHS
& ATT���������������������������������������������������������������������������������� AS
PASSED BY COMMITTEE

ARIZONA STATE SENATE

Fifty-Seventh
Legislature, Second Regular Session

AMENDED

FACT SHEET FOR
s.b. 1602

kinship
foster care stipend; increase

Purpose

Requires,
beginning January 1, 2027, the Department of Child Safety (DCS) to provide a
kinship foster care parent with a stipend of $400 per month for each child
placed with the parent, increasing by $100 each year until January 1, 2029.

Background

The placement of
a child who is in DCS custody is determined by the best interests of the child,
and DCS must establish kinship foster care services for a child who has been
removed from the child's home. A kinship foster care parent may be eligible to
receive the following financial services for the child: 1) full foster care
benefits, including payment if the kinship foster care parent becomes a
licensed foster care home; and 2) Temporary Assistance for Needy Families Cash Assistance
payments. DCS provides maintenance payments to licensed foster families for the
care of children in out-of-home care. DCS sets foster care rates and determines
eligibility for special rates (
A.R.S.
� 8-514.03
).

An unlicensed
kinship foster care parent will receive monthly reimbursement from DCS. At the
end of each month, the parent will confirm the number of days the child was in
their home. The reimbursement includes a diaper allowance, if applicable, the
personal and clothing allowances and the kinship stipend (
DCS
).

Laws 2022, Chapter
329
appropriated monies from the state General Fund (state GF) in FY 2023
to DCS to provide a kinship foster care parent with a stipend of $300 per month
for each child placed with the foster care parent. The Legislature intended
that the one-time appropriation be considered ongoing funding in future years.
The stipend increase has since been added to the Baseline budget as an ongoing
expenditure (
JLBC
).

In 2025, the Joint
Legislative Budget Committee (JLBC) published a fiscal note on S.B. 1490, a
near identical measure to S.B. 1602, which estimated that the bill would
generate a state General Fund cost of $2.2 million in the first fiscal year of
implementation, $6.5 million in the second year and $10.8 million in the third
year, before realizing the full phase-in cost of $12.9 million in future fiscal
years (
JLBC
Fiscal Note
).

Provisions

1.

Requires
DCS to provide a kinship foster care parent with a monthly stipend for each
child placed with the parent in at least the following amounts:

a)

$400, effective January 1, 2027;

b)

$500, effective January 1, 2028; and

c)

$600,
effective January 1, 2029.

2.

Makes technical changes.

3.

Becomes effective on the general effective date.

Amendments
Adopted by the Appropriations, Transportation & Technology Committee

�

Advances the date the stipend reaches $600 per month from January
1, 2030, to January 1, 2029.

Senate Action

HHS������� 2/19/26������� DP������ 7-0-0

ATT ������� 2/25/26 ����� DP ����� 10-0-0

Prepared by Senate Research

February 25, 2026

MM/SDR/hk

Current Bill Text

Read the full stored bill text
SB1602 - 572R - S Ver

Senate Engrossed

kinship foster care
stipend; increase

State of Arizona

Senate

Fifty-seventh Legislature

Second Regular Session

2026

SENATE BILL 1602

AN
ACT

amending section 8-514.03, Arizona
Revised Statutes; relating to kinship foster care.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it
enacted by the Legislature of the State of Arizona:

Section
1.
1. Section
8-514.03, Arizona Revised Statutes, is amended to read:

START_STATUTE
8-514.03.

Kinship foster care; requirements; investigation

A. The department shall establish kinship foster
care services for a child who has been removed from the child's home and who is
in the custody of the department. The program shall promote the
placement of the child with the child's relative or a person with a significant
relationship with the child for kinship foster care.

B. A kinship foster care parent applicant who is not
a licensed foster care parent shall be at least eighteen years of
age. The applicant and each member of the applicant's household who
is at least eighteen years of age shall submit a full set of fingerprints to
the department of child safety for the purpose of obtaining a state and federal
criminal records check pursuant to section 41-1750 and Public Law 92-544. The
department of public safety may exchange this fingerprint data with the federal
bureau of investigation. The department of child safety shall
determine if the applicant is able to meet the child's health and safety needs
by conducting one or more home visits and interviewing the
applicant. The department of child safety may interview other
household members, review the applicant's personal and professional references
and conduct department of child safety central registry checks.

C. If the department determines that a kinship
foster care placement is not in the best interest of the child, the department
shall provide written notification to the applicant within fifteen business
days. The notice shall include the specific reason for denial, the
applicant's right to appeal and the process for reviewing the decision.

D. A kinship foster care parent may be eligible to
receive the following financial services for the child:

1. Full foster care benefits, including payment if
the kinship foster care parent becomes a licensed foster care home or if the
kinship foster care parent obtains a restricted license pursuant to section 8-509,
subsection C.

2. Temporary assistance for needy families cash
assistance payments for a child only case and supplemental financial support.

E. The department shall establish procedures for
child welfare workers to inform kinship foster care families about available
financial and nonfinancial services and eligibility requirements and shall
assist the families in completing the necessary application.

F. If a family declines to apply for financial
services, the family shall sign a statement indicating that the family declined
services. The statement does not prevent the family from
making application

applying for financial
services
in the future. The worker shall provide a copy of
the statement to the family.

G. The department shall provide nonfinancial
services for a kinship foster care parent through existing means or
referral. Nonfinancial services may include:

1. Family assessment.

2. Case management.

3. Child day care.

4. Housing search and relocation.

5. Parenting skills training.

6. Supportive intervention and guidance counseling.

7. Transportation.

8. Emergency services.

9. Parent aid services.

10. Respite services.

11. Additional services that the department
determines are necessary to meet the needs of the child and family.

H. The department shall provide a
kinship foster care parent with a monthly stipend for each child who is placed
with the kinship foster care parent.� The stipend shall be at least:

1. $400 from and after December 31,
2026 through December 31, 2027.

2. $500 from and after December 31,
2027 through December 31, 2028.

3. $600 from and after December 31,
2028.
END_STATUTE