16121.3. (Added by Stats. 2026, Ch. 26, Sec. 28.)

(a) (1) Adoption Assistance Program (AAP) payments may be made on behalf of an otherwise eligible child for wraparound services in lieu of an out-of-home placement if the responsible public agency has confirmed that the wraparound services are necessary for the temporary resolution of the mental health, behavioral health, or emotional health needs of the child.

(2) AAP benefits may be authorized to pay for an eligible child’s wraparound services if the services are justified by a specific condition and authorization does not exceed a 12-month cumulative period of time. After a 12-month cumulative period of payment for wraparound services, additional authorizations for payment for wraparound services for an eligible child may be based on the continued need to resolve a condition described in paragraph (1). Consecutive authorizations shall be assessed after each 12-month cumulative period of time. The AAP payment may only be made if the wraparound services and the provider meet the California wraparound standards and provider certification requirements, or similar requirements specific to wraparound service providers in the child’s state of residence if the child and family reside in another state.

(b) The AAP rate paid on behalf of a child receiving wraparound services in lieu of an out-of-home placement shall be consistent with either of the following:

(1) The rate shall not exceed the rate paid for a foster care placement in a short-term residential therapeutic program, as defined in Section 1502 of the Health and Safety Code.

(2) On the date that the department notifies the Legislature that the California Statewide Automated Welfare System and the statewide child welfare information system (known as the California Automated Response and Engagement System or CWS-CARES) can perform the necessary automation to implement the Tiered Rate Structure and the Legislature makes an appropriation as described in subdivision (h) of Section 11461, the AAP rate paid on behalf of a child receiving wraparound services in lieu of an out-of-home placement shall not exceed the sum of all of the following:

(A) The Tier 3+ Care and Supervision rate established under paragraph (3) of subdivision (h) of Section 11461.

(B) The Tier 3+ administrative and other activities rate established under paragraph (2) of subdivision (e) of Section 11462.

(C) The Tier 3+ Immediate Needs Funding established under subparagraph (B) of paragraph (1) of subdivision (d) of Section 16562.

(c) For purposes of this section, the following terms have the following meanings:

(1) “California wraparound standards” means the use of a California high-fidelity wraparound model, approved by the department and consistent with the requirements of Chapter 4 (commencing with Section 18250) of Part 6.

(2) “Responsible public agency” means the department or county adoption agency responsible for determining a child’s AAP eligibility and initial and subsequent payment amount.

(3) “Wraparound services” has the same meaning as in Section 18251.

(d) The designation of a wraparound services provider shall be made by the family, after consultation with the responsible public agency. When adoptive parents decide to utilize wraparound services for an AAP-eligible child, they are private pay consumers. Wraparound service contracts shall be between the adoptive parents and the wraparound services provider. Alternatively, the family may authorize the county to contract for wraparound services on their behalf.

(e) Prior to the authorization of AAP benefits for wraparound services, the wraparound services provider shall provide verification to the adoptive parents documenting that the wraparound services meet the California wraparound standards and provider certification requirements, or similar requirements specific to wraparound service providers in the child’s state of residence if the child and family reside in another state. The adoptive parents shall provide the verification to the responsible public agency, or the county may verify the provider meets the standards of paragraph (1) of subdivision (c) if the information is posted on the department’s internet website.

(f) If the child and family reside in another state, a wraparound services provider in the child’s state of residence may be utilized, and paid for with AAP benefits, if the requirements of this section are met, in whole or in part, subject to departmental approval.

(g) Notwithstanding the rulemaking provisions of the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code), the department may implement, interpret, or make specific this section by means of all-county letters or similar written instructions, which shall be exempt from submission to or review by the Office of Administrative Law. These all-county letters or similar instructions shall have the same force and effect as regulations.

(h) This section shall become operative on January 1, 2028.