[Congressional Record Volume 153, Number 175 (Tuesday, November 13, 2007)]
[Senate]
[Page S14298]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. REID (for Mrs. Clinton (for herself, Mr. Rockefeller, and 
        Ms. Landrieu)):
  S. 2341. A bill to provide Individual Development Accounts to support 
foster youths who are transitioning from the foster care system; to the 
Committee on Health, Education, Labor, and Pensions.
  Mrs. CLINTON. Mr. President, youth aging out of foster care 
constitute one of our Nation's most vulnerable populations. Not only do 
these young people carry wih them histories of child abuse and neglect, 
but they are also often unsupported in their transition from foster 
care to independent living. Today, I am pleased to introduce the 
Focusing Investments and Resources for a Safe Transition Act or FIRST 
Act, a piece of legislation that will offer much needed financial 
assistance to young adults as they exit the child welfare system.
  Research shows that youth aging out of foster care fare worse than 
their counterparts in the general population on a variety of social, 
educational, and health indicators. These youth report significantly 
lower levels of education and are more likely to be unemployed or 
homeless. Research also shows that, as they prepare to exit foster 
care, these young adults do not receive the independent living services 
necessary to support them through their transition. When it comes to 
guidance on educational opportunities and employment, money management 
and housing, resources for foster youth are simply inadequate.
  These young people need our help, and they need it now. According to 
the most recent Federal data, over 20,000 youth age out of the foster 
care system each year. We must intervene in order to prevent them from 
experiencing the unfavorable outcomes described in the research. The 
FIRST Act meets this task head on by addressing the financial status of 
youth exiting foster care. Specifically, the legislation supports 
states in setting up Individual Development Accounts, or IDAs, for 
those preparing to age out of the child welfare system. The accounts 
will contain a Federal deposit on behalf of foster youth matched by 
public and private community partners.
  Upon transitioning from foster care, and after completing money 
management training, the legislation permits youths to withdraw their 
savings to pay for necessities such as educational opportunities, 
vocational training, and housing--elements critical to achieving self-
sufficiency. In short, with these funds, youth aging out of the child 
welfare system will have a financial base on which they can build self-
sustaining, goal-oriented, independent lives.
  A similar program is currently being piloted in my State of New York. 
This summer, Mayor Mike Bloomberg announced that 450 New York City 
foster youths will be provided IDAs through a program called Youth 
Financial Empowerment. Similarly, the Jim Casey Youth Opportunities 
Passport program has experienced success in offering IDAs to foster 
youth in several cities.
  For years I have been encouraging Congress to take action regarding 
the needs of foster youth. In 2002 I introduced the Opportunity 
Passport Act, which, among other provisions, called for the 
establishment of IDAs for those aging out of the child welfare system. 
Since that time we have failed to make progress on this issue while 
youth continue to exit foster care without the resources they need. It 
is under these circumstances that I come forward again today to present 
the needs of this vulnerable group of young people. It is my hope that 
you will join me in putting foster youth FIRST and support this 
important legislation.
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