Los Angeles CA
2-24-2024 12:40am

HOPE Program 58,500 to Start

HOPE initial plan for 58,000 children is "designed for future expansion to ensure all children born into poverty in California can access & participate in the state’s economy."

Access to wealth is what California’s new Hope, Opportunity, Perseverance, and Empowerment (HOPE) for Children Trust Account program seeks to provide to approximately 58,500 of California’s most financially vulnerable children.

  • Established through Assembly Bill 156 (Chapter 569, Statues of 2022) and codified in Chapter 16.1 (commencing with section 18997.5) of the Welfare and Institutions Code (HOPE Act)
  • Aims to close the racial wealth gap and confront the issue of intergenerational poverty
  • Creates a new financial investment program specifically catered to vulnerable children throughout the state (HOPE Program).
  • Children in low-income families who have lost a parent or guardian to COVID-19
  • Children who have been in the state’s foster system for longer than 18 months. 

  The required by February 1, 2024 report has been completed, and includes:

  • the implementation plan
    • Through a one time appropriation of $100 million in fiscal year 2022 & subsequent $15 million appropriated annually, the HOPE Program will generate assets for each of the estimate 58,500 such children in the form of trust accounts that will grow to $4,500 when they reach 18, or more
      if left invested beyond age 18.
    • An implementation timeline indicates account funding as early as July 2025 with assets representing a potential value of $4,500 per participant at age 18.
  • best practices to administer the program, 
  • how to engage community partners for optimal, ongoing program enrollment.   

Through a one-time appropriation of $100 million in fiscal year 2022 & subsequent  $15 million appropriated annually, the HOPE Program will generate assets for each of the estimate 58,500 such children in the form of trust accounts that will grow to $4,500 when they reach 18, or more if left invested beyond age 18.

Only 5% of total appropriations may be used to fund operations of the HOPE Program

The program is designed for future expansion to ensure all children born into poverty in California can access and participate in the state’s economy.

" nearly a third of Californians, including over 1.5 million children, are living in or near poverty"

 "However, it is important to note that California baby bond advocates, led by those who inspired and helped ensure the passage of the HOPE Act, envision a future where all California children born into poverty will have this type of investment."

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