Kentucky Begins Implementing 2024 Kinship Care Law After Two-Year Budget Dispute
Kentucky's Cabinet for Health and Family Services has begun implementing SB 151, a 2024 law providing financial support to relatives raising children who would otherwise be in state foster care. The implementation follows a two-year standoff between Governor Beshear and the legislature over funding, resolved when lawmakers allocated $12 million over the 2026-2027 biennium—below the $30 million Beshear requested. The cabinet issued guidance in July establishing procedures for kinship care placements, allowing eligible relative and fictive kin caregivers to receive foster care per diem payments ranging from $27 to $81 depending on the child's age and medical complexity. Advocates express concern about potential barriers in the application process and lack of public input on implementation procedures.
The policy shift affects Medicaid-eligible children in kinship placements and establishes how Kentucky will draw down federal foster care funding—kinship care advocates and Medicaid MCOs managing foster care populations need clarity on eligibility pathways and federal match optimization.
CHIP · Maternal
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