Payments and Rates

AAP basic rates have different payment requirements and amounts based on when the initial AD 4320 is signed and/or when the adoption was FINALIZED. All tiers are eligible for the California Neccesities Index (CNI which is the annual COLA approved by the state on July 1 of each year. The CNI began on July 1, 2011.

  • Tier I - For initial AD 4320 signed on or after 10/1/92 through 12/31/07 and adoption was finalized before 5/27/11. The cases in this category are entitled to the payment rates established on 1/1/2001 and are eligible for all age-related increases.
  • Tier II - For initial AD 4320 signed on or after 1/1/2008 through 5/27/11 and adoption was finalized on or before 5/27/11. The cases in this category are entitled to the payment rate established on 1/1/2008 and are eligible for all age-related increases.
  • Tier III - For initial AD 4320 signed and adoption finalized from 5/27/11 through 12/31/16. The cases in this category are entitled to the payment rate established on 1/1/2008 but are not entitled to any age increases.
  • Tier IV - For initial AD 4320 signed and adoption finalized on or after January 1, 2017, these cases will no longer receive age-based rates.
  • The LOCP was implemented in 2021. Refer to AAP LOC rates in Chapter 27.

Note: A new AD 4320 along with a new AAP 2 is required for any AD 4320s signed on or after May 27, 2011 where the rates were based on the licensed FFH rates established before May 1, 2011.

Reminder: Tier I and Tier 2 are eligible for age related increases but must be requested by the adoptive parent/s and are only approved by the adoption SW with a new AAP 2.

 

The initial AD 4320 is kept in the adoption SW service case file. FC EWs may contact the Post Adoption Social Worker if the date is questionable. The initial agreement date should coincide with the CalSAWS case application date. All tiers are eligible for an additional Special Care Increment (SCI based on the negotiation with the family and post-adoption DFCS administrative approval.

All AAP rates are entitled to the annual CNI and do not require a new AD 4320 or AAP 2. 

Designated Payee

When the AAP parent(s) are approved for AAP benefits, they must sign the AD 4320. The AAP 2 is completed by the Social Worker (SW) for the approval of payments. When there is more than one adoptive parent, both will be listed on the AAP 2. During the adoption finalization process, the Adoption SW will offer the parent(s) direct deposit and provide form SCD 1948 AAP. 

For cases finalized before May 1, 2025, the existing Payee Designation Form (SCD 2422) will remain in effect. 
For cases finalized on or after May 1, 2025, if there are two adoptive parents, both names must appear on the AAP check or direct deposit form. 
CalSAWS functionality supports both names to appear on the AAP payment, and the RDB should reflect this. 
In cases of divorce or death, the Post Aid (PA)SW will provide instructions and include a court order naming the new payee.  
When a change of payee is initiated, the FC EW must verify that the new payee is listed on the AAP 2 and SCD 2422. If the new payee is not known to the case, the FC EW must contact the Post-Adoption unit to validate the change of payee. It must be noted in a CalSAWS Journal that the new payee has been validated.

Deferred Agreements

When a child/youth who is otherwise eligible for AAP does not require current benefits but could request benefits at a later time, the AD 4320 must be signed under Section ll, Deferred Agreement. The deferred agreement will allow the adoptive parents to request payments at a later date. A new AD 4320 is required to initiate payments or Medi-Cal only benefits when the adoptive parents have signed a deferred agreement.

When the adoptive parents sign the initial AD 4320 as a deferred agreement the FC EW will not receive AAP instructions to open a CalSAWS case. Adoptive parents can request payments or Medi-Cal at a later time after the deferred agreement was signed, however, a new AD 4320 must be completed by the post-adoption SW and payment instructions (AAP 2) are sent to FCE.

Deferred agreements may be requested at any time during the AAP eligibility period. Benefits are terminated and the CalSAWS case is closed. Benefits may be reinstated during the benefits eligibility period. The same CalSAWS case must be reopened with a new application.

Failed Adoptions

Once a child is adopted and the adoption later fails or is terminated, the child may be adopted by another family and benefits will be issued to the new family. When an adoption has failed and the person(s) who intend on adopting the child are the biological parent(s), AAP benefits cannot be paid to the a biological parent(s) attempting to adopt their child.

Out of State Rates

The AAP rate for out of state adoptions is the highest available rate for the AAP parent based on a comparison between the placement state’s rate and California’s rate. The AAP parent is entitled to receive the higher of the two rates. The rate is ultimately determined by the Post Adoption Social Worker and included on the AAP 2.

Related Topics

Adoption Assistance Program [EAS 35325 - 35352.2]