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​​​What are Adoption & Guardianship Subsidies?

Subsidies are provided to families who need assistance in order to make a permanent commitment to a child who is considered to be a hard-to-place child with special needs. The subsidy can assist adoptive parents and guardians in meeting the special needs of the child which they may otherwise not be able to meet on their own. Most subsidies provide a monthly monetary payment, Medicaid benefits, and one-time reimbursement of expenses related to the finalization of the adoption or guardianship.

Eligibility

Prospective adoptive parents and guardians must be evaluated through a post-placement adoption or guardianship home study. OCS will review the study and the other eligibility criteria to determine eligibility for the adoption or guardianship subsidy. Other eligibility criteria includes:

  • a determination that the child is a hard-to-place child. This is defined by AS 25.23.240 to mean: “A minor who is not likely to be adopted or to obtain a guardian by reason of physical or mental disability, emotional disturbance, recognized high risk of physical or mental disease, age, membership in a sibling group, racial or ethnic factors, or any combination of these conditions.” AND
  • a court determination must be made that the “child cannot or should not be returned to the parental home” AND
  • a reasonable but unsuccessful effort has been made to place the child without a subsidy.

Subsidy Negotiation and Agreements

Subsidy agreements are developed jointly with the prospective adoptive parents or guardians and OCS through a negotiation process, and must be based on the individual special needs of the child and the specific family circumstances. The subsidy must be approved before an adoption or a guardianship is finalized. Once in place, the subsidy is a binding contract that ends when the child turns 18. OCS cannot modify the subsidy agreement unless the family agrees or if the parent or guardian is no longer legally responsible for the child or a determination has been made that the parent or guardian is no longer providing support to the child. 

Monthly Monetary Payment

The monthly payment amount is an individualized amount agreed upon by OCS and the prospective adoptive parents or guardians in advance of the adoption or guardianship finalization. In general, the amount of the subsidy cannot exceed 90% of the foster care rate established in July 2023 and determined starting at $0 then examining allowable anticipated out of pocket costs related to the youth’s special needs that cannot be encumbered by the family or met through other means such as Medicaid or private insurance.

Medicaid Benefits

In most adoptions and some guardianships, the subsidy also includes automatic Medicaid health coverage. If the subsidy does not include Medicaid, the family can still apply for Medicaid on behalf of the child through the Division of Public Assistance, once the guardianship is finalized. If the adoptive parent or guardian leaves the state, they must inform the OCS Adoption Unit at the contact information below to have subsidy Medicaid opened in their new state of residence. 

Nonrecurring Reimbursement Expenses for Finalization

The subsidy includes a reimbursement of up to $2,000 for "nonrecurring" adoption and guardianship related expenses, such as attorney fees after the adoption or guardianship is finalized.

Questions and Contact

To report a change in address or the child’s living situation, to request a change to the subsidy, or for general questions regarding the adoption and guardianship subsidy program, please call the OCS Adoption Unit at 907-465-3209 or email fcs.ocs.adoptionunit@alaska.gov.