DCYF/financial stability

AN ACT Relating to strengthening the financial stability of 1
persons in the care of the department of children, youth, and 2
families; amending RCW 74.13.060; and adding a new section to chapter 3
43.216 RCW. 4
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:5
NEW SECTION. Sec. 1. A new section is added to chapter 43.216 6
RCW to read as follows: 7
(1) Beginning January 1, 2027, the department may not apply any 8
benefits, payments, funds, or accrual paid to, or on behalf of, a 9
person ages 18 through 21 in the care of the department subject to 10
chapter 13.34 RCW as reimbursement for the cost of care.11
(2) When a person turns 18, or is between the ages of 18 and 21, 12
is in the care of the department subject to chapter 13.34 RCW, and is 13
not already receiving supplemental security income and retirement, 14
survivors, and disability insurance benefits, the department shall 15
assess whether the person is eligible for such benefits. When a 16
person is assessed to be eligible for social security benefits, the 17
department shall: 18
(a) Assist the person to become the payee for social security 19
benefits and maintain eligibility for those benefits when the 20
department is the representative payee; and 21
S-3597.1
SENATE BILL 5911
State of Washington 69th Legislature 2026 Regular Session
By Senators Alvarado, Warnick, Boehnke, Frame, Nobles, Orwall,
Riccelli, Trudeau, and C. Wilson
Prefiled 12/17/25. Read first time 01/12/26. Referred to Committee
on Human Services.
p. 1 SB 5911
(b) Assist individuals who are designated as payees for their 1
benefits establish a financial account appropriate for receiving 2
those benefits such as a Washington achieving a better life 3
experience account, a checking or savings account, or another form of 4
electronic banking. The department may provide support to determine 5
if the payee can manage the account on their own or if they need an 6
authorized representative to manage their account. 7
(3) If a person between the ages of 18 and 21 who is in the care 8
of the department is determined to need additional support in 9
managing their benefits, the department shall make reasonable efforts 10
to identify a suitable individual to serve as the person's authorized 11
representative. If neither the individual nor the department is able 12
to identify a suitable authorized representative, the department may 13
serve in that role until the individual or the department can 14
identify a suitable individual to serve in place of the department. 15
The department may contract with an external entity to administer and 16
manage the accounts governed by this section on the department's 17
behalf. 18
(4) When an individual between the ages of 18 and 21 serves as 19
the representative payee, or when any person or entity other than the 20
department is designated as the authorized representative for a youth 21
in the department's care, the department does not owe a fiduciary 22
duty to that individual, person, or entity with respect to those 23
benefits. 24
Sec. 2. RCW 74.13.060 and 2009 c 520 s 59 are each amended to 25
read as follows: 26
(1) The secretary or his or her designees or delegatees shall be 27
the custodian without compensation of such moneys and other funds of 28
any person which may come into the possession of the secretary during 29
the period such person is placed with the department or an entity 30
with which it has entered into a performance-based contract pursuant 31
to chapter 74.13 RCW. As such custodian, the secretary shall have 32
authority to disburse moneys from the person's funds for the 33
following purposes only and subject to the following limitations:34
(a) For such personal needs of such person as the secretary may 35
deem proper and necessary((.));36
(b)(i) Against the amount of public assistance otherwise payable 37
to such person((. This));38
p. 2 SB 5911
(ii) For the purposes of this subsection (1)(b), the amount of 1
public assistance otherwise payable to such person includes applying, 2
as reimbursement, any benefits, payments, funds, or accrual paid to 3
or on behalf of said person from any source against the amount of 4
public assistance expended on behalf of said person during the period 5
for which the benefits, payments, funds or accruals were paid; and6
(c) Effective January 1, 2027, for persons between the ages of 18 7
and 21, to conserve funds in a savings or investment account subject 8
to section 1 of this act. 9
(2) All funds held by the secretary as custodian may be deposited 10
in a single fund, the receipts and expenditures therefrom to be 11
accurately accounted for by him or her on an individual basis. 12
Whenever, the funds belonging to any one person exceed the sum of 13
((five hundred dollars)) $2,000, the secretary may deposit said funds 14
in a savings and loan association account , or other savings or 15
investment account subject to section 1 of this act, on behalf of 16
that particular person. 17
(3) When the conditions of placement no longer exist and public 18
assistance is no longer being provided for such person, upon a 19
showing of legal competency and proper authority, the secretary shall 20
deliver to such person, or the parent, person, or agency legally 21
responsible for such person, all funds belonging to the person 22
remaining in his or her possession as custodian, together with a full 23
and final accounting of all receipts and expenditures made therefrom.24
(4) The appointment of a guardian for the estate of such person 25
shall terminate the secretary's authority as custodian of said funds 26
upon receipt by the secretary of a certified copy of letters of 27
guardianship. Upon the guardian's request, the secretary shall 28
immediately forward to such guardian any funds of such person 29
remaining in the secretary's possession together with full and final 30
accounting of all receipts and expenditures made therefrom.31
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