Arizona has become the first state to enact a law that prevents child welfare agencies from taking federal benefits meant for foster children. The practice, known as "benefits mining," involved agencies seizing funds like Social Security and Veterans Affairs benefits from foster care children to cover the cost of their care. The Arizona Department of Child Safety had seized around $6.25 million from nearly 700 foster children in 2022. The new law, signed by Gov. Katie Hobbs, requires agencies to determine if foster children are eligible for federal benefits and to apply for those benefits on their behalf. The agencies can no longer use these benefits to reimburse themselves. The move is widely supported and has been praised by child advocacy groups, ending a practice that was considered both legal and immoral. Other cities have already banned benefits mining, but Arizona is the first to do so at a state level.
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