Breaking News: Turning Points for Children Ends Its CUA Programs

In a recent interview with Renaldo McKenzie of The NeoLiberal Round Podcast, David Fair, Deputy Chief at Turning Points for Children announced the termination of its Community Umbrella Agency (CUA) CYS programs. This decision comes in the wake of mounting challenges faced by the child welfare agency, including legal and insurance obstacles.

The Interview with David Fair, Deputy Chief at TP4C on Terminating their CUA program due to impasse with DHS over Insurance claims and lack of DHS type immunity from Legal suit Against discrepancies

According to David Fair, “we’re giving up the CUAs as of August 2023…We can’t afford the insurance…. The insurance costs are in the seven figures and DHS won’t reimburse. It’s a complicated story. They [DHS] have immunity because they are government, so we’re the ones who get sued even when they made the error. The insurance costs are in the seven figures and DHS won’t reimburse. It’s a complicated story.

During the interview, Mr. Fair discussed the complicated factors leading to this pivotal decision. Fair revealed that the CUA CYS program had been grappling with an escalating number of lawsuits and insurance claims, making it increasingly untenable to continue operations effectively. The organization’s ability to fulfill its mission of supporting vulnerable children and families was severely hindered by the surging risks associated with legal and insurance matters.

Historically, child welfare agencies have faced relatively low financial incentives to pursue legal action. Lawsuits often resulted in limited settlements and protracted waiting periods, offering little compensation for the families involved and insufficient remuneration for the legal representatives. However, Fair highlighted that Turning Points operated under a different system, which inadvertently exposed the agency to greater liability. Turning Points had a significantly higher maximum liability of $10 million, a substantial contrast to the more common cap of $500,000 found in the legal sector. While this higher liability threshold allowed for more substantial settlements, it also magnified the financial risks for the agency. The potential legal and insurance expenses became a looming threat, jeopardizing Turning Points’ financial stability and ultimately leading to the decision to discontinue the CUA CYS program.

Furthermore, Fair shed light on the intricate decision-making dynamics within the child welfare system. He clarified that no child was sent home without the approval of the Department of Human Services (DHS) or the agency’s workers. Although Turning Points could recommend a child’s return to their family, DHS possessed the final authority in making such determinations. Disputes between Turning Points and DHS occasionally emerged, resulting in conflicting decisions. Regrettably, in situations that include erroneous decisions leading to legal consequences and insurance claims, Turning Points bore the brunt of the lawsuits ad claims, rather than the DHS who ultimately makes the final determination about child placements.

In response to the termination of the CUA CYS program, Turning Points is taking proactive steps to ensure the continuity of care for the children involved. Fair confirmed that the agency would be transferring its CUA services to other community agencies. By August 1st, three of the agencies will have completed the transition, with the fourth following suit by labor day. Fair reassured the public that this transition would not disrupt the provision of crucial services.

The cessation of Turning Points’ CUA CYS program serves as a sobering reminder of the challenges encountered by child welfare agencies. Fair acknowledged that the architects of the community umbrella agencies did not foresee the magnitude of legal issues that would arise. While the intention was to safeguard agencies from lawsuits, unscrupulous lawyers exploited the system, specifically targeting child welfare organizations in pursuit of significant settlements. Attempts to secure legislative immunity, similar to that granted to DHS, were met with resistance from trial lawyers concerned about the potential financial implications.

As the child welfare system grapples with these complex legal and insurance challenges, it becomes increasingly crucial to strike a balance that ensures accountability while safeguarding the vital work performed by organizations like Turning Points for Children. The protection of vulnerable children and families remains paramount, demanding collaborative efforts to address these issues effectively.

See the interview with David Fair of Turning Points on The NeoLiberal Round Podcast with Renaldo McKenzie via our YouTube Channel.

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Renaldo is also the author of Neoliberalism, Globalization, Income Inequality, Poverty and resistance, Adjunct Professor and a Doctoral Student at Georgetown University. Renaldo has worked previously as a CUA Case Manager and A CYS Agency Director at It Takes a Village FGDM program. Contact Renaldo McKenzie on Twitter, Facebook or LinkedIn. Email Renaldo at The NeoLiberal Post.