Title IV-E
Federal Government Funding Overview

For children who meet IV-E eligibility and reimbursability requirements, the federal government shares in the cost of:

Maintenance:  Maintenance costs include room and board, applicable child care costs, and other supervision costs for licensed foster care, treatment foster care, shelter care, group home care and residential care centers. The federal share of maintenance costs is based on the federal rate for Title XIX Medical Assistance program benefits, which is approximately 58%.

Administrative Services:  Administrative costs are incurred when working with the child, the child's family, and the care provider. The IV-E program reimburses costs for case managing children who have been removed from their homes. The amount of reimbursable administrative costs is determined using a random moment time study or other methods. The federal share of administrative costs is 50%, with the administrative reimbursement rate pro-rated by the percentage of children in out-of-home care who are IV-E eligible.

The percentage of children in out-of-home care who are IV-E eligible is determined based on the ratio of IV-E eligible children to the total number of children in out-of-home care. Frequently, the percentage of IV-E eligible children is referred to as the state’s IV-E "penetration rate." Fluctuations in the penetration rate affect the net rate of federal IV-E reimbursement for administrative costs.

Training:   Training costs for public child welfare activities qualify for an enhanced IV-E reimbursement rate. Allowable training costs include training for case workers and for foster parents and facility staff who work with children. The Child Welfare Training Partnerships provide most IV-E training in the state. The federal share of eligible training costs is 75%, with the training reimbursement rate also pro-rated by the IV-E penetration rate.

Contact Information 

Last Revised: June 16, 2008