AB 2477, a bill to prevent homelessness by empowering youth in foster care to save money without risk of losing their benefits, awaits the Governor's signature.
SACRAMENTO, CA — Assemblymember Rick Chavez Zbur (D-Hollywood) announced today that the California Legislature passed AB 2477, a bill aimed at preventing homelessness by empowering youth in foster care to build stronger financial safety nets as they transition into adulthood. AB 2477, sponsored by the Alliance for Children’s Rights and the California Coalition for Youth, clarifies state law to align with recent Department of Social Services guidance, ensuring that youth in foster care can save more than $10,000 without the risk of losing benefits.
Under existing law, youth in foster care are limited to saving $10,000 before risking a redetermination of their eligibility for benefits, which could result in the loss of crucial support. While not all youth in foster care reach this savings threshold, those who do face the potential loss of financial security at a critical time in their lives. AB 2477 addresses this issue by codifying recent policy clarifications that allow youth in foster care to save beyond the $10,000 cap without jeopardizing their benefits. AB 2477 represents a crucial step in supporting these marginalized populations and ensuring that all youth in foster care in California have the opportunity to build a secure financial future.
"California has a responsibility to uplift our youth in foster care and ensure they have the tools they need to succeed as they transition to adulthood," said Assemblymember Rick Chavez Zbur. "AB 2477 is about increasing financial security and equity for all youth in foster care, including those who are LGBTQ+ or children of color, who are overrepresented in the foster care system. This bill allows youth in foster care to build the financial stability they deserve."
"Youth working diligently to achieve their education and career goals should be rewarded for their efforts. We appreciate Assemblymember Zbur's leadership to ensure that financial safety nets are not jeopardized for youth transitioning from foster care to adulthood. AB 2477 ensures policy and practice align to support our youth in foster care," said Kristin Power, Vice President, Policy and Advocacy, Alliance for Children’s Rights.
"Youth aging out or otherwise exiting foster care can face barriers to long-term stability as they take on increasing obligations for day-to-day adult responsibilities, like paying rental deposits or higher education fees. Financial capability and stability are important for all youth transitioning to adulthood but are crucial for youth transitioning out of foster care who have already faced other challenges and are expected to immediately manage their finances. AB 2477 ensures youth are not penalized for their financial safety nets and have available resources to help achieve their goals," said Jevon Wilkes, Executive Director of the California Coalition for Youth.
The Governor has until September 30, 2024 to sign the bill.
Assemblymember Rick Chavez Zbur serves as the Democratic Caucus Chair for the California State Assembly and represents the 51st Assembly District, which includes Universal City, Hollywood, Hancock Park, West Hollywood, Beverly Hills, Westwood, West Los Angeles, Santa Monica, and other portions of Los Angeles.