Q: What is the Adoption Promotion Act of 2003?
A: Signed into law in December, the Adoption Promotion Act of 2003 builds upon the progress made in the six years since Congress created new incentives for the states to promote foster care adoptions. In 1997, I steered through Congress legislation aimed at improving the permanent placement of children assigned to the public foster care system. The Adoption and Safe Families Act of 1997 established new bonuses for states which improve the successful reunification of families and increase the adoption and placement of foster children into safe, permanent, loving homes. The states have made remarkable progress in the few years since the legislation went into effect. From 1998 to 2002, the states placed more than 230,000 foster children in adoptive homes. That’s almost the same number of kids adopted in the previous 10 years. The federal adoption incentives are working across the country. Iowa last year received $524,000 from the Federal Treasury for finding permanent homes for foster children. From my leadership position on the Senate Finance Committee, I worked to update the law and add new incentives to encourage the adoption of children with special needs and children age 9 and older who often miss the "window of opportunity" of getting adopted with each passing year. Sadly, too many of these youngsters have left the foster care system as legal orphans when they reach adulthood. Currently, more than 126,000 foster children await adoption. Nearly half of these children are age nine and older.
Q: What other action has Congress taken to promote adoption?
A: As chairman of the Senate Finance Committee, I won an expansion of the federal adoption tax credit in 2001. Designed to help promote adoptions and give prospective parents help with the expenses incurred during the adoption process, Congress doubled the adoption tax credit from $5,000 to $10,000. The expanded adoption tax credit includes domestic foster care, private and overseas adoptions. The credit begins to phase out for families with adjusted gross income over $150,000. Parents who adopted any time after January 1, 2002 may take advantage of this pro-family tax credit over a five-year period. The refundable $10,000 tax credit also includes adoptions for special-needs children. Effective January 1, 2003, the law expanded eligibility beyond adoption fees to include the costs for special services or equipment the adopted child may need and reduced paperwork burdens for adoptive parents. The 2001 tax law also doubled the income tax exclusion to $10,000 allowed for employer-provided adoption benefits. As a senior member of the U.S. Senate, I advocate public policy initiatives that build stronger families and enhance the opportunity for every child in America to be welcomed home by a loving family every day of the week from infancy to adulthood. I encourage Iowans who have room in their hearts and homes to consider adoption. The blessings of adoption have enriched the lives of families across America. I’ll continue to advance policies that make children’s welfare a paramount concern in our society.