This bill introduces regulations and a new structure for managing the Supplemental Security Income (SSI) benefits designated for foster children in Minnesota. Here are the key components simplified:

1. Financial Management for Foster Children: When a child in foster care is eligible for SSI benefits, the agency responsible for the child can apply to manage these benefits. They must also let various parties (such as parents, guardians, or the child if they are 13 or older) know about this arrangement.

2. Use of Funds: The benefits received cannot be used for any other purposes besides the care of that specific child. These funds must not be mixed with other funds or used to fill a general fund.

3. Reporting Requirements: Agencies must keep detailed records about the SSI benefits received and managed for foster children and must report this data annually to a state commissioner. The agencies are expected to be transparent about the amount received, the children for whom they manage benefits, and comply with regular reporting.

4. Establishment of a Trust: The bill establishes a "Foster Children Assistance Trust" where the funds for foster children’s SSI benefits are deposited. This trust will operate under strict rules to ensure that the money benefits the children directly and is protected from other claims.

5. Beneficiary Rights and Information: Children who are beneficiaries of these funds must be informed about their rights regarding the trust and how they can access information and funds once they reach the age of 18.

6. Oversight and Accountability: The Commissioner of Children, Youth, and Families is tasked with managing the trust, including tracking all transactions and ensuring that assets are correctly apportioned to each child's account. They are also required to provide detailed annual reports to legislative committees about the operations and impact of the trust, along with any needed adjustments to minimize tax burdens or reductions in other benefits due to the trust's existence.

7. Funds Disbursement: When foster children reach 18, they can start receiving disbursements ($10,000 per year) from the trust until their account is depleted, along with information about potential tax and benefit implications.

8. Additional Provisions: Courts can intervene on behalf of minors (14 years and older) to make decisions about the premature release of funds from the trust.

The bill also includes appropriations from the general fund for the fiscal years 2026 and 2027 to support these activities, ensuring that the agencies have the necessary resources to comply with these new requirements and manage the benefits effectively for the welfare of foster children.