TITLE: CONCERNING ENHANCED OPPORTUNITIES FOR FAMILIES TO PROVIDE PERMANENT ADOPTIVE HOMES FOR CHILDREN IN THE CUSTODY OF THE COUNTY DEPARTMENTS OF SOCIAL SERVICES.

Fiscal Impact Summary	FY 1999/2000	FY 2000/2001
State Revenues General Fund
State Expenditures General Fund Cash Fund Exempt	$ 60,000	$ 35,000
FTE Position Change	0.0 FTE	0.0 FTE
Other State Impact: None
Effective Date: Upon Signature of the Governor
Appropriation Summary for FY 1999-2000: Department of Human Services — $60,000 Cash Funds Exempt
Local Government Impact: None

The reengrossed bill, as amended by the Senate HEWI Committee, April 8, 1999, includes a number of provisions relative to adoption. The fiscal note is limited to a discussion of those provisions in the bill which create a fiscal impact or relate to fiscal matters.

• The reengrossed bill strikes Section 19-5-207 (5), C.R.S., which requires any person who is the subject of a written report and investigation by a county department of social services or the probation department of the court to pay the cost of such written report and investigation.

• The reengrossed bill strikes Section 19-5-207 (6), C.R.S., which authorizes the county departments of social services to charge a fee not to exceed $500 in the case of a first adoption and $250 for a second and subsequent adoptions for reports, investigations, and criminal records checks.

• Section 19-5-207.5 (2), as amended by the Senate HEWI Committee, requires the Department of Human Services (DHS) to develop an approved vendor list of county departments, individuals, and child placement agencies qualified to prepare home study reports in public adoptions. On or before January 1, 2000, DHS is required to issue a public request for applications from county departments of social services, individuals, and child placement agencies wishing to conduct investigations and prepare written home study reports for prospective public adoptions in specified counties or geographic regions. DHS shall review the applications and determine which meet qualifying criteria to be placed on the approved vendor list of home study report providers.

• Section 19-5-207.5 (4) of the proposed bill requires any person who is the subject of a home study report and investigation by a qualified county department of social services, individual, or a child placement agency to pay, based on an ability to pay, the cost of the report and investigation. In public adoptions, the State Board of Human Services shall promulgate rules establishing the maximum amount that may be charged a prospective adoptive family for the investigation, criminal records check, and home study report. The county department of social services may waive the fee if it poses a barrier to the adoption of a child for whom a county department has financial responsibility. If the county department fails to place a child available for public adoption with a family who is the subject of an investigation and home study report after six months, the county shall refer the family and report to the Adoptive Family Resource Registry. The prospective adoptive family referred to the Registry shall be assessed and shall pay a nonrefundable administrative fee in an amount to be determined by the State Board of Human Services.

• Section 19-5-207.5 (5) of the proposed bill requires that, subject to available funds, DHS shall establish a Statewide Adoptive Family Resource Registry. The department is authorized to accept grants, gifts, or donations from any private or public source to establish the Registry. No General Fund moneys shall be expended for the Registry. The Registry shall be established only upon the receipt of sufficient grants, gifts, and donations.

The bill strikes two sections of current law regarding the establishment and collection of fees assessed for written reports and investigative work on persons involved in public adoption proceedings. Section 19-5-207.5 (4) of the proposed bill authorizes the State Board of Human Services to establish fees to be charged by the county departments of social services in public adoptions and fees to be charged for those families referred to the Adoptive Family Resource Registry. The fiscal note assumes that there will be no increase or decrease in fees to the counties under the bill. Fees will continue to be collected for public adoptions at the county level to offset the expense of written reports and investigative work. Fees charged families referred to or electing to be listed on the Adoptive Family Resource Registry will be collected by the private contractor to offset its administrative costs. Because there will be no state or local involvement with the Registry, there will be no additional state or local revenue.

The Department of Human Services will require $60,000 cash funds exempt in FY 1999-00 to implement the bill's provisions, and $35,000 cash funds exempt in FY 2000-01. As amended, the bill stipulates that the Adoptive Family Resource Registry shall be established only upon the receipt of sufficient grants, gifts, and donations.

Centralized Database — $60,000. Development of the Adoptive Family Resource Registry is anticipated to be an automated stand-alone system containing the names of all families with approved adoption studies who request to be placed on the system. This system will be developed and operated by a contractor obtained through an RFP process. DHS estimates the cost to develop and implement such a system would be $60,000 in year one and $35,000 in subsequent years to maintain. Year one costs are higher due to initial programming requirements and populating the database. The fiscal note assumes that a contract awarded by January 1, 2000, will likely result in an operational system by July 2000 — allowing approximately six months of time for development. The fiscal note assumes that DHS will receive donations or grants to contract for this functions, and that the Registry will be implemented with such funds.

The fiscal note indicates that the Department of Human Services should receive a cash funds exempt appropriation for $60,000 for FY 1999-00.