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House Bill 558 — Children, federal benefits (-2)

House Bill 558 — Children, federal benefits (-2)

by
Rachel Hazelip, M.A.P.P.
February 17, 2026

Bill Description: House Bill 558 adds a new chapter to Idaho Code requiring the Department of Health and Welfare to ensure foster youth retain access to their parents’ federal benefits rather than the funds being absorbed into state funding.

Rating: -2

Does it create, expand, or enlarge any agency, board, program, function, or activity of government? Conversely, does it eliminate or curtail the size or scope of government?

House Bill 558 expands the statutory functions and duties of the Department of Health and Welfare, mandating the Department determine whether a child in its legal custody is receiving or may be eligible for “federal benefits administered by the social security administration or the department of veterans affairs, including survivor benefits or dependent benefits.” It further requires, “If the department determines that the child is eligible for federal benefits, the department shall: (a) Apply for those benefits on behalf of the child; and (b) If no other candidate is available, apply to become the child's representative payee” which grants the Department financial management authority. Additionally, it imposes ongoing review obligations for the Department regarding the eligibility of each child for federal benefits and “whether another qualified person, other than the department, could assume the role of representative payee and could better serve that role.” This expands the scope of the agency’s existing functions. 

(-1) 

Does it increase government redistribution of wealth? Examples include the use of tax policy or other incentives to reward specific interest groups, businesses, politicians, or government employees with special favors or perks; transfer payments; and hiring additional government employees. Conversely, does it decrease government redistribution of wealth?

House Bill 558 addresses how certain federal benefits are handled for foster youth in state custody. Prior to a recent administrative change by the Department of Health and Welfare, those federal dollars were used to help offset state taxpayer dollars for the cost of providing care for that child. This bill would remove the state's ability to apply these federal funds toward reimbursement of care costs, and instead reserve the money for the child. Children in state custody are already fully supported by taxpayers. Put simply, taxpayers are funding the same obligation twice through two different government channels.

(-1)

Does it violate the principles of federalism by increasing federal authority, yielding to federal blandishments, or incorporating changeable federal laws into Idaho statutes or rules? Examples include citing federal code without noting as it is written on a certain date, using state resources to enforce federal law, and refusing to support and uphold the tenth amendment. Conversely, does it restore or uphold the principles of federalism?

H558 references and engages with federal benefits and eligibility determination depends entirely on federal law and federal program rules; thereby expanding administrative alignment with federal entitlement programs.

(0)

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