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MD HB881

MD HB881
Family Investment Program - Child Support


summary

Introduced
01/30/2025
In Committee
04/05/2025
Crossed Over
03/14/2025
Passed
04/07/2025
Dead
Signed/Enacted/Adopted
05/06/2025

Introduced Session

2025 Regular Session

Bill Summary

Phasing in a requirement that all child support received in a month pass through to a family seeking assistance under the Family Investment Program and prohibiting the consideration of child support in computing the amount of assistance received.

AI Summary

This bill modifies Maryland's Family Investment Program (FIP) to gradually increase the amount of child support that passes through to families receiving assistance, without reducing their overall benefits. Currently, only the first $100 of child support collected for one child or $200 for two or more children is disregarded when calculating assistance. The bill establishes a phased approach where the child support pass-through increases over several fiscal years: in fiscal year 2028, 25% of child support will pass through; in fiscal year 2029, 50% will pass through; in fiscal year 2030, 75% will pass through; and by fiscal year 2031 and beyond, all child support collected in a month will pass through to the family and be disregarded when calculating assistance. This means families receiving FIP will be able to keep more of the child support they receive, effectively increasing their total household income. The bill also removes a provision that previously prohibited local departments from considering child support when computing supplemental benefits. The changes are designed to provide more financial support to families with children and take effect on October 1, 2025.

Committee Categories

Budget and Finance

Sponsors (9)

Last Action

Approved by the Governor - Chapter 373 (on 05/06/2025)

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