The Utah House unanimously passed House Bill 302 on Feb. 14 to change how social-security survivor benefits and related funds are handled for children in state custody who have lost both parents. Sponsor Representative Fia Fia said the bill addresses what she called an "injustice" in current practice and would secure funds for children's futures.

Representative Fia Fia told the House that last year 464 children were affected by the current practice and that the state collected roughly $2,200,000 in survivor benefits intended for those children — an average of about $5,000 per child. "This is the reality of what's happening today in Utah for children in foster care who've lost both of their parents," she said.

HB 302 directs the Department of Health and Human Services to apply for a Medicaid waiver so children can receive survivor benefits without losing Medicaid because of asset limits. The bill also requires the state to set aside portions of survivor benefits into secure accounts — such as ABLE accounts or special‑needs trusts — and mandates annual reporting and financial-literacy training for the children.

The bill sponsor said the changes both serve a moral obligation to children and save public resources long-term: studies cited on the floor estimate lifetime taxpayer costs for individuals who age out of foster care without support. The measure also sets a formula that would reserve 50% of certain survivor payments for secure accounts and increased transparency around use of funds.

Floor debate was brief and supportive; Representative Fia Fia closed by calling the measure both "moral" and fiscally responsible. The House approved the bill and will send it to the Senate for consideration.