ACYF-IM-90-18 6/29/90

ACF Administration for Children and Families	U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES Administration for Children, Youth and Families
	1. Log No.: ACYF-IM-90-18	2. Issuance Date: 6/29/90
	3. Originating Office: Children's Bureau Formula Grants Division
	4. Key Word: Title IV-B; FY 1990 IV-B Funds; Allotments, Reallotments and Transfers

INFORMATION MEMORANDUM

TO: STATE AGENCIES ADMINISTERING OR SUPERVISING THE ADMINISTRATION OF TITLE IV-B OF THE SOCIAL SECURITY ACT.

SUBJECT: FY 1990 ALLOTMENTS FOR TITLE IV-B AND PROCEDURES FOR APPLYING FOR: (1) A STATE'S 1990; (2) REALLOTTED IV-B FUNDS AND (3) FUNDS TO BE TRANSFERRED FROM TITLE IV-E-FOSTER CARE. SHARE OF FUNDS AVAILABLE UNDER TITLE IV-B IN FY

LEGAL AND RELATED: REFERENCES: SECTIONS 421, 422, 423, 427, 474(c) and 475 OF THE SOCIAL SECURITY ACT and 45 CPR 1355.30, 1356.65, 1356.70, 1357.30 and 1357.40.

CONTENT: This transmittal establishes the procedure for States to follow in order to apply for:

Title IV-B funds available to a State from its share of FY 1990 funds;
Title IV-B FY 1990 funds that will become available for reallotment to other States; and
Transfer of funds not needed for foster care under title IV-E to title IV-B.

The procedures that a State must follow in order to receive title IV-B funds for FY 1990 are the same as those that were in effect in FY 1989. They are again detailed below, with updated amounts of funds.

ACTION REQUIRED: Date and Place to send Requests:

To be eligible to receive any funds awarded under title IV-B (funds allotted or reallotted under title IV-B or transferred to title IV-B) during FY 1990, States must send requests to ACYF as detailed under (1), (2) and (3) below. Requests will NOT BE CONSIDERED if they are not received by ACYF on or before August 15 or postmarked registered or certified mail no later than August 11. There will be no exceptions, since all State requests must be taken into account in determining the amount of awards. The original request should be sent to:

Formula Grants Division
ACYF
P.O. Box 1182
Washington, D.C. 20013

A copy should be sent at the same time to the appropriate HDS Regional Administrator.

Funds available to a State from its share of FY 1990 funds.

Under the appropriation for FY 1990, Congress has approved a total of $252,647,751 for title IV-B (Child Welfare Services). The allotments for each State at the levels of $141M and $252,647,751 are listed in Attachment 1. These are the same amounts sent to you on February 23, 1990 in ACYF-IM-90-07.

States are advised that, under section 428 of the Social Security Act (the Act) and 45 CFR 1357.40, direct grants are made to eligible Indian Tribal Organizations (ITOs) that apply, from the allotment of the State(s) in which the ITO or portion of it is located.

To receive its share of $141M, a State must meet the general requirements of the title IV-B Program, including jointly planning its child welfare services with the Administration for Children, Youth and Families (ACYF) and submitting, properly completed, the Form CWS-101, including both the Annual Summary of Child Welfare Services and the Annual Budget Request.

To receive its share of the additional funds up to $252,647,751, a State must, in addition to the requirements stated above:
1. Certify that it is meeting the requirements of section 427 of the Act. (States that have certified previously that they are eligible need not recertify unless they have withdrawn their certification and have not recertified);
2. Be meeting and continue to meet the requirements of section 427 of the Act;
3. Submit to ACYF a revised Annual Budget Request incorporating the additional funds requested up to the State's share of $252,647,751 or whatever portion of its share over $141M a State can obligate during FY 1990;
4. Jointly plan with ACYF Regional staff the use of those funds applied for; and,
5. Submit to ACYF an Annual Summary of Child Welfare Services incorporating those additional services to be provided.
Title IV-B FY 1990 funds that will become available for reallotment to other States.

Some States may not use all title IV-B funds allotted to them for FY 1990, either because they do not meet the requirements of section 427 of the Act or because they cannot obligate all of the funds during FY 1990. (Note: Under 45 CFR 74.71, obligations for salaries must be used for services received during the fiscal year in which we award them, unless State purchasing laws permit otherwise or the services are provided under a contract entered into during the fiscal year.)

To apply for reallotted FY 1990 title IV-B funds, a State must meet all the same conditions listed under (1)(a) through (e), above.

Failure of a State to apply for its share of funds up to $141M or $252.647M by the required date will be considered equivalent to certification that the funds will not be required by the State during FY 1990, in accordance with 45 CFR 1357.30(g)(2). These funds will then be available for reallotment to other States.
Transfer of funds not needed for foster care under title IV-E to title IV-B.

Under 45 CFR 1356.70, a State may transfer funds not needed for foster care under title IV-E-Foster Care. For purposes of possible transfer, hypothetical allotments have been calculated on the same basis as if they were mandatory (Attachment 2). The Act mandates that a State's allotment limitation be the higher amount under paragraph (A) or (B) of section 474(b)(3). Paragraph (C) does not apply to transfers. Since there is no mandatory allotment limitation, paragraph (C) is irrelevant in FY 1990. Therefore, Attachment 2 shows the amount of the hypothetical foster care allotment limitation and indicates only the paragraph ((A) or (B)) which resulted in the greater amount.

To apply for the transfer, a State must:
1. Have submitted or submit a Form IV-E-2 (Quarterly Report of Expenditures Form) for the quarter ended December 31, 1989 and Form IV-E-12's (Quarterly Report of Expenditures and Estimates) for the quarters ended March 31, 1990 and June 30, 1990, with Column (a) of Parts I and II (Current Quarter Expenditures) and Part IX completed.
2. Meet the requirements of 1(a),(b) and (d), above, regarding section 427 and joint planning, incorporating the additional services to be provided;
3. Submit a revised Annual Summary of Child Welfare Services incorporating the additional services to be provided; and
4. Submit a SEPARATE CWS 101 Annual Budget Request requesting the funds to be transferred.
  
  Transfer funds are further limited in two ways:
  1. Under 45 CFR 1356.70(a)(3), the total funds each State may transfer to title IV-B may not, when added to the funds received under title IV-B directly or by reallotment ((1l) and (2) above), exceed the amount the State would have been allotted under title IV-B if $325M had been appropriated and allotted to States (Attachment 3); and
  2. Funds are limited to the amount made available to the Department by the Congress under the appropriation for FY 1990.

Summary

One section 427 certification is necessary to be eligible to receive any of the three types of funds: (1) those directly allotted under title IV-B, (2) those reallotted from funds not used by other States under title IV-B and (3) those transferred from title IV-E Foster Care. One CWS-101 may be filed for the directly allotted and reallotted funds (1) and (2)). A separate CWS 101 must be filed for transfer funds (3). However, in all cases the amounts requested for the quarter, the year and the total expenditures should be cumulative.

States which have not yet requested the full amount of their allotment and wish to do so are strongly encouraged to send their revised CWS-101 requesting the increased amounts under their allotments as soon as possible. Early receipt of such requests, including receipt by the regional office, would enable all States to receive all funds directly allotted to them at an early date, possibly as a part of their fourth quarter award. States may request a share of reallotted funds on the same CWS-101. Transfer requests must necessarily await the filing of claims for IV-E Foster Care expenditures for the third quarter of this fiscal year, ending June 30, 1990.

To reiterate: in order to apply for any of the additional funds discussed above, a State must send to ACYF, as detailed above, the necessary requests and reports. Requests will NOT BE CONSIDERED if they are not received by ACYF on or before August 15 or postmarked as United States postal service certified mail no later than August 11. There will be no exceptions, since all State requests must be taken into account in determining the amount of awards.

The original request should be sent to:

(Regular Mail Address)

Formula Grants Division
ACYF
P.O. Box 1182
Washington, D.C. 20013

(Overnight Mail Address)

Administration for Children, Youth and Families
Children's Bureau
Formula Grants Division
330 C Street, S.W., Room 2070
Washington, D.C. 20201

A copy should be sent at the same time to the appropriate HDS Regional Administrator.

EFFECTIVE DATE: Effective upon issuance.

INQUIRIES: Regional Administrators
Office of Human Development Services

Wade F. Horn Ph.D.
Commissioner

Attachments:

Attachments 1: FY 1990 Title IV-B Table at $252.647M and $141M
Attachment 2: Hypothetical FY 1990 Foster Care Allotments
Attachment 3: FY 1990 Title IV-B Table at $325M