Georgia lawmakers raise alarm over $85 million shortfall in child welfare funding

Jon G. Burns, Georgia State Representative from 159th District
Jon G. Burns, Georgia State Representative from 159th District
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A group of Georgia lawmakers has raised concerns about an $85 million deficit projected for the state’s Department of Human Services (DHS) and the Division of Family and Children Services (DFCS). The shortfall is expected to affect foster care placements, provider operations, child welfare services, and safety for children, families, and frontline workers across the state.

In a joint statement issued after testimony before the Georgia House Appropriations Subcommittee on Human Resources and the House Judiciary Juvenile Committee, lawmakers warned against a system where “funding gaps are discovered only after harm is already underway.” They stated: “Children’s safety cannot depend on delayed federal reimbursements, understaffed caseworkers or accounting assumptions that do not match reality.”

The statement criticized the current funding structure for foster care as being too fragile. It noted that when federal funds are delayed or restricted, immediate impacts are felt in placement capacity and provider stability. Lawmakers called on their colleagues to prioritize this issue during the 2026 legislative session: “Georgia legislators must make this a priority issue in the 2026 legislative session and not provide a band-aid solution to an ongoing systemic problem.”

They added: “You cannot run a child welfare system on vacancies and burnout. Staffing losses directly affect children, families and the state’s ability to draw down federal funds efficiently.”

Testimony indicated that multiple factors contributed to the deficit. These included reliance on delayed federal reimbursements, reductions in DFCS staffing, and no statutory requirement linking child welfare obligations with available funding.

Federal sources provide about 55 percent of DHS’s budget. Title IV-E is cited as the main source for foster care and adoption assistance funding. However, it operates on a reimbursement basis with strict eligibility rules. Not all children qualify for these funds; expenses are reimbursed only after services are delivered. Delays in reimbursement or pending eligibility decisions mean Georgia often covers costs upfront.

According to testimony before lawmakers, DHS and DFCS have responded by reducing or suspending several services:
– Family preservation and reunification programs
– Transportation for parent-child visitation
– Mental health and behavioral health services
– Contracts with nonprofit providers serving foster families

Nonprofit organizations testified that these cuts have led to staff departures, program closures, service delays, instability in placements, and longer stays in foster care.

Committee discussions also highlighted underutilized federal resources such as housing aid for youth aging out of foster care. Testimony attributed this gap not to lack of need but rather limited administrative capacity—occurring at the same time as the projected $85 million shortfall.

Lawmakers said: “This crisis was foreseeable and without reform, it will happen again. Children should never be the shock absorbers of a broken funding system. We must include an audit to truly assess this crisis and develop a corrective action plan.”

“This is not a partisan issue. It is a constitutional and moral obligation. Georgia’s children deserve a system that works when they need it most, not one that collapses under predictable strain,” they added.

The statement concluded with lawmakers reaffirming their commitment to advancing reforms so that “Georgia’s child welfare system is stable, transparent, fully funded and accountable.”

Burns was elected as a Republican representative for Georgia’s 159th House District in 2005 after Ray Holland stepped down.



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