U.S. Sen. Rob Portman (R-OH) on May 23 cosponsored a bipartisan bill that would incentivize employers around the nation to hire youth transitioning from the foster care system.
Sen. Portman introduced the Improved Employment Outcomes for Foster Youth Act, S. 1651, with bill sponsor U.S. Sen. Bob Casey (D-PA) to amend the Internal Revenue Code of 1986 to include foster care transition youth as members of targeted groups for purposes of the work opportunity credit, according to the congressional record.
If enacted, S. 1651 specifically would expand eligibility for the Work Opportunity Tax Credit (WOTC) to include qualified foster care transition youth who have been in foster care past the age of 14 and who are hired by an employer between the ages of 16 and 27, according to a summary provided by Sen. Portman’s office.
S. 1651 would make these individuals eligible for the baseline credit amount of $2,400, or 40 percent of the first $6,000 in wages paid, according to the summary.
“The Work Opportunity Tax Credit is designed to encourage employers to hire those who have the most trouble finding work, and sadly that is too often the case for our foster youth as they transition out of the foster care system,” Sen. Portman said.
The lawmaker cited data from the advocacy group iFoster, which reports that by age 24, more than 50 percent of former foster youth are not employed at all, while the majority of them will experience homelessness or require government assistance.
“Expanding WOTC to include our foster youth is an important reform and I hope it will strengthen our efforts to make the credit permanent before the end of this year,” said Sen. Portman.
The bill has been referred for consideration to the U.S. Senate Finance Committee.