LA County Board

6. Foster Family Agency Insurance Crisis County Implementation Plan\nRecommendation as submitted by Supervisors Barger and Horvath: Instruct the\nDirector of Children and Family Services, in collaboration with the Chief\nExecutive Officer and in consultation with County Counsel, to report back to the\nBoard in writing in 30 days on available existing one-time budget resources,\nincluding the potential for available philanthropic funds, to provide temporary\nsupport for contracted Foster Family Agencies (FFAs) impacted by the\npremium rate increases, the report back should include a proposed plan with an\napplication process for FFAs to be considered for the subsidy that at a\nminimum sets forth the FFA’s efforts to obtain insurance, a detailed statement\non the financial impact of the insurance premium to the FFA, details regarding\nthe FFAs loss history, and efforts made by the FFA to secure similar subsidies\nand/or patch rates from other counties with which the FFA contracts; direct the\nChief Executive Officer to review other local County jurisdictions sexual\nmisconduct insurance requirements and determine how to adjust and align our\ncontract insurance coverage requirements to mirror other jurisdictions; and hire\nan insurance broker to provide a risk financing feasibility study, which will\nprovide an independent assessment that examines multiple aspects of securing\nand maintaining insurance for FFAs/foster care homes, including technical,\neconomic, financial, and legal considerations, this will help to identify feasible\nsolutions for the County, this risk financing study could identify potential\nparticipants other than the County for a pooling agreement, determine potential\ncosts of alternative programs, and explore potential solutions to finance the\nCounty’s sexual misconduct exposures; and request the Chief Executive\nOfficer, through the Legislative Affairs and Intergovernmental Relations Branch\nto advocate at the State level, to adjust the rate reform plans at the California\nDepartment of Social Services to include amendments reflecting the FFA\ninsurance premium increases, and create a State insurer of last resort for some\nor all of the required types of liability insurance, possibly through expansion or\nreplication of the Foster Family Home and Small Family Home Insurance Fund,\noffered through the California Department of Social Services. (24-5096)