Firm says DCS misled parents on foster adoption subsidies

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The Indiana Department of Child Services misled parents adopting foster children by falsely claiming the agency lacked resources to provide subsidies while it returned hundreds of millions of dollars to the state, according to the Indianapolis law firm pursuing a class-action suit against DCS.

The agency “admitted they had returned nearly $240 million to the state” while representing to parents no funding was available for subsidies to adopt special-needs foster children, said Cohen & Malad LLP attorney Lynn Toops. She said DCS also admitted adoptions in the state have declined dramatically since 2009, when the state ceased providing the subsidies.

Rich Allen, assistant communications director for DCS, said in an email, “because this is pending litigation, I’m not able to comment.”

Typical subsidies are $19 a day or less per child, negotiated between DCS and parents based on income and other factors.

Toops said the firm estimates DCS owes parents denied subsidies more than $50 million. The suit was filed in June on behalf of 1,400 Hoosier families, and lead plaintiff Debra Moss of LaPorte likened DCS to deadbeat parents.

The situation is creating a hardship for parents, Toops said, and making Indiana a notable outlier in state support for children most in need.

“Indiana has in recent years been very concerned about having a good fiscal picture, having a good surplus,” she said. “By trying to save a buck and not paying these adoption subsidies, it’s actually costing money in the long run.”

The firm cites research by Notre Dame University economist Kasey Buckles showing a sharp reduction in adoptions – from roughly 30 per 100,000 children in 2008 when subsidies were being paid to about 5 per 100,000 children in 2011. Toops said the adoption rate has since declined even further.

Buckles’ research concludes that each adoption of a child from foster care saves the state $200,000 in public benefits.

Josh Kroll, adoption subsidy resource center coordinator for the North American Council on Adoptable Children, said Indiana has a dubious distinction. “It’s the only state that is saying they have insufficient funds for kids that they find eligible and is putting them on a waiting list.”

Gov. Mike Pence last month announced Indiana ended fiscal year 2014 with an operating surplus of $106 million and reserves of $2 billion.


  • Still waiting
    We have been on the waiting list since 2009, i was notified almost 4 months ago that we were going to start receiving payments and we still have received nothing. Every time I call I'm told I just have to wait it's in the lawyers hands. Is everyone else still waiting?

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  1. I have an open CHINS case I failed a urine screen I have since got clean completed IOP classes now in after care passed home inspection my x sister in law has my children I still don't even have unsupervised when I have been clean for over 4 months my x sister wants to keep the lids for good n has my case working with her I just discovered n have proof that at one of my hearing dcs case worker stated in court to the judge that a screen was dirty which caused me not to have unsupervised this was at the beginning two weeks after my initial screen I thought the weed could have still been in my system was upset because they were suppose to check levels n see if it was going down since this was only a few weeks after initial instead they said dirty I recently requested all of my screens from redwood because I take prescriptions that will show up n I was having my doctor look at levels to verify that matched what I was prescripted because dcs case worker accused me of abuseing when I got my screens I found out that screen I took that dcs case worker stated in court to judge that caused me to not get granted unsupervised was actually negative what can I do about this this is a serious issue saying a parent failed a screen in court to judge when they didn't please advise

  2. I have a degree at law, recent MS in regulatory studies. Licensed in KS, admitted b4 S& 7th circuit, but not to Indiana bar due to political correctness. Blacklisted, nearly unemployable due to hostile state action. Big Idea: Headwinds can overcome, esp for those not within the contours of the bell curve, the Lego Movie happiness set forth above. That said, even without the blacklisting for holding ideas unacceptable to the Glorious State, I think the idea presented above that a law degree open many vistas other than being a galley slave to elitist lawyers is pretty much laughable. (Did the law professors of Indiana pay for this to be published?)

  3. Paul Hartman of Burbank, Oh who is helping Sister Fuller with this Con Artist Kevin Bart McCarthy scares Sister Joseph Therese, Patricia Ann Fuller very much that McCarthy will try and hurt Patricia Ann Fuller and Paul Hartman of Burbank, Oh or any member of his family. Sister is very, very scared, (YES, I AM) This McCarthy guy is a real, real CON MAN and crook. I try to totall flatter Kevin Bart McCARTHY to keep him from hurting my best friends in this world which are Carolyn Rose and Paul Hartman. I Live in total fear of this man Kevin Bart McCarthy and try to praise him as a good man to keep us ALL from his bad deeds. This man could easy have some one cause us a very bad disability. You have to PRAISAE in order TO PROTECT yourself. He lies and makes up stories about people and then tries to steal if THEY OWN THRU THE COURTS A SPECIAL DEVOTION TO PROTECT, EX> Our Lady of America DEVOTION. EVERYONE who reads this, PLEASE BE CAREFUL of Kevin Bart McCarthy of Indianapolis, IN My Phone No. IS 419-435-3838.

  4. Joe, you might want to do some reading on the fate of Hoosier whistleblowers before you get your expectations raised up.

  5. I had a hospital and dcs caseworker falsify reports that my child was born with drugs in her system. I filed a complaint with the Indiana department of health....and they found that the hospital falsified drug screens in their investigation. Then I filed a complaint with human health services in Washington DC...dcs drug Testing is unregulated and is indicating false positives...they are currently being investigated by human health services. Then I located an attorney and signed contracts one month ago to sue dcs and Anderson community hospital. Once the suit is filed I am taking out a loan against the suit and paying a law firm to file a writ of mandamus challenging the courts jurisdiction to invoke chins case against me. I also forwarded evidence to a u.s. senator who contacted hhs to push an investigation faster. Once the lawsuit is filed local news stations will be running coverage on the situation. Easy day....people will be losing their jobs soon...and judge pancol...who has attempted to cover up what has happened will also be in trouble. The drug testing is a kids for cash and federal funding situation.