Georgia Lawmakers Probe $85 Million Foster Care Budget Deficit
A joint Georgia legislative committee is investigating escalating child welfare costs following an $85 million budget shortfall that forced cuts to family services.
A bipartisan joint study committee of Georgia lawmakers convened at the Georgia State Capitol on August 13, 2026, to investigate the causes of escalating child welfare and foster care expenses. The probe follows a projected $85 million budget deficit in late 2025, which forced the Georgia Division of Family and Children Services to terminate nonprofit contracts and cut family services, eventually requiring an $80 million state backfill.
Committee co-chairs Senator Kay Kirkpatrick and Representative Beth Camp stated the need for cross-chamber cooperation to resolve financial discrepancies before the next budget cycle. Lawmakers noted that while the number of children in care has remained static, foster service costs are projected to rise 159% since 2022, suggesting an increased demand for complex services.
During the hearings, mental health advocates alleged that private Medicaid contractors, specifically Amerigroup, increase state costs by denying behavioral health claims, which forces the state to pay for care twice. The committee plans to analyze state and national data and gather stakeholder testimony to identify spending patterns. The panel will present its final findings in December ahead of the January legislative session.