Bill > SB283

This bill, known as the "Federal Benefits for Children in State Custody Act," establishes comprehensive guidelines for the Children, Youth and Families Department (CYFD) regarding federal benefits for children in state custody. The bill requires CYFD to determine federal benefits eligibility for children within 60 days of entering state custody and annually thereafter, and to either identify an appropriate representative payee (a person appointed to manage federal benefits) or apply to become the representative payee themselves. When acting as a representative payee, CYFD must establish an appropriate account to use and conserve the child's benefits in their best interest, annually assess whether another payee could better serve the child, and provide notifications and annual accountings to the child and relevant parties. The bill explicitly prohibits CYFD from using a child's federal benefits to pay for the child's care and mandates that the department provide financial literacy and planning tools before the child leaves state custody. Upon termination of legal custody, CYFD must release any remaining benefit funds to the child (if 18 or emancipated) or to the child's parent or guardian. Starting in September 2026, CYFD will be required to submit annual reports detailing the number of children receiving federal benefits, the types of benefits, and how those benefits are managed and conserved.

Health and Social Services

https://www.nmlegis.gov/Legislation/Legislation?chamber=S&legtype=B&legno=283&year=25