Michigan's Adoption Subsidy Programs

Information for Prospective Adoptive Parents

DHS-Publication 538 (8-05)

INTRODUCTION

Michigan has three Adoption Subsidy Programs to assist families who adopt eligible special needs children up to age 18. These programs provide financial assistance, including:

  • Nonrecurring Adoption Expense - reimbursement to the adoptive parent(s) of up to $2,000 for specific expenses of adopting an eligible child.
  • Adoption Support Subsidy - a monthly check to assist with costs of care for an eligible child; Medicaid is also available for many eligible children who qualify for Support Subsidy.
  • Adoption Medical Subsidy - a reimbursement of approved expenses related to physical, mental, or emotional conditions that existed, or the cuase of which existed, prior to adoption.

Based on each individual child's circumstances, one or more of these subsidy benefits may be available to support his/her adoption. The adoptive family's income does not affect subsidy program eligibility.

ELIGIBILITY

Adoption Support Subsidy and Nonrecurring Adoption Expenses

In order to quality for Adoption Support Subsidy and Nonrecurring Adoption Expenses, a child must meet the state's eligibility criteria as a child with special needs.

Special needs means:

  • The child is under age 18 years at the time of eligibility determination, and
  • The court has terminated parental rights, and
  • The child is under jurisdiction of the court due to a finding of abuse or neglect or the child is SSI eligible, and
  • The child has a specific factor or condition that makes adoption assistance necessary. These include:
    • Age 3 years or more
    • Documented higher medical or mental health needs
    • SSI eligibility
    • Length of time waiting for a family
    • Adoption by relatives or to unite with siblings
  • A reasonable effort has been made to place the child without adoption assistance.

Adoption Medical Subsidy

In order to qualify for Adoption Medical Subsidy, a child must meet the following eligibility criteria:

  • The child was in Michigan foster care at the time the Petition for Adoption was filed, or the adoption was finalized in a Michigan court prior to June 28, 1992, and
  • The child has a physical, mental or emotional condition that existed, or the cause of which existed, before the adoption petition was filed.

APPLICATION PROCESS

Eligibility for all subsidy programs is determined by the Adoption Subsidy Program Office at the DHS Central Office in Lansing. If a prospective adoptive family requests Adoption Subsidy, their Adoption Worker completes the applications. The following timeframes for applications are set by Michigan law:

  • Adoption Support Subsidy approval must be obtained before the Petition for Adoption is filed.
  • Nonrecurring Adoption Expenses approval must be obtained before the finalization of the adoption.
  • Adoption Medical Subsidy can be applied for and approved either before or after the adoption. This program allows for additional conditions to be added until age 18 years, if the condition, or cause of the condition, existed before the adoption petition was filed.

After a complete application has been submitted, the Adoption Subsidy Program Office makes a determination of elibigility and sends a response to the Adoption Worker. The response will include a legal agreement for all approved programs, or denial information for the prospective adoptive parent(s). Adoption Support Subsidy agreements must be signed by both the prospective adoptive parent(s) and the DHS Adoption Subsidy authorized representative before moving forward with adoption.

SUBSIDY PAYMENTS

Adoption Support Subsidy

By law, Adoption Support Subsidy monthly payments are based on the foster care rate that the child received prior to adoption. When the legislature increases foster care rates, most subsidy rates for adopted children are increased by the same amount. If the child has, or is eligible for, income from other sources (Social Security benefits, Veteran's benefits) the amount of the monthly Adoption Support Subsidy payments may be reduced.

Nonrecurring Adoption Expenses (NRE)

For the child who has an approved NRE agreement, the Adoption Worker and adoptive parent(s) complete the Nonrecurring Adoption Expenses Claim Form (DHS-4815) and submit it to the Adoption Subsidy Program Office. The deadline for submissionof the Claim form is two years from the adoption finalization date. Reimbursement checks are mailed directly to the adoptive parent(s) or their designated third party.

Adoption Medical Subsidy

Adoption Medical Subsidy is a reimbursement program to assist with the costs of medical and mental health care for eligible children. If provides reimbursement for treatment of approved conditions that are specified in the Medical Subsidy Agreement. After the child's Medical Subsidy Agreement is signed and the child placed for adoption, the adoptive parent or health provider may submit bills to the Adoption Subsidy Program Office.

Medical Subsidy:

  • Requires all other private and public sources of payment (private health insurance, Children's Special Health Care Services, Medicaid, etc.) to be used before payment from the Medical Subsidy program.
  • Requires prior approval from the subsidy office for:
    • Assisted care services
    • Medical transportation
    • Therapeutic summer services (i.e., speech therapy, physical therapy, occupational therapy, tutoring, educational equipment and supplies, camp, etc.)
    • Durable medical equipment (i.e., wheelchairs, ramps, van lifts, etc.)
    • Placement outside the family home
  • May not cover 100% of costs.
  • Does not pay for routine medical care.
  • Does not cover services prior to the effective date of teh agreement.

MORE INFORMATION

This brochure contains general information only. For more information, prospective adoptive parents should direct questions first to their adoption worker and/or the adoption supervisor. Specific Adoption Subsidy Policies are available to the public on the internet at

www.Michigan.gov/dhs

The Adoption Subsidy Program Office is located at:

Michigan Department of Human Services
Adoption Subsidy Program Office
P.O. Box 30037
Lansing, MI 48909