Use of ILP Funds

Spending Money 

Independent Living Program (ILP) Funds are those made available to County Offices at the local level through SDHR by means of a funds transfer. ILP funds are received from a federal grant that places some restrictions on programmatic use. Since ILP Funds are part of "Local Funds," the following policies will be followed in addition to the other general policies regarding "Local Funds."

Purpose: The purpose of ILP funds are to support services to youth 14 and older who are in foster care. A portion may also be used to serve eligible youth 18 to 21 who left foster care because they have reached age 18. The supports, services and /or activities should increase the youth's ability to become self-sufficient through improved self esteem, confidence, skill development, education and employment.

The approved services include, but are not limited to:
  • assistance in obtaining a high school diploma
  • career exploration
  • vocational training
  • job placement and retention
  • training in daily living skills
  • budgeting and financial management
  • substance abuse prevention
  • preventive health activities
  • activities that improve communication, leadership and social skills
  • education
  • training and employment services
  • preparation for post secondary training and education

Approved Allowable Costs
Allowances: These may paid be directly to the teen up to $500 per fiscal year. They may not be paid in one lump sum or be considered an entitlement. The ISP team should determine the frequency and amount of the allowance.

Incentives: Paid incentives made be provided for the following:
  • Grade Incentives - the amount should not exceed $50 per reporting period.
  • College Stipend - monthly payment to students enrolled in college to be used for incidentals not covered by the Educational Training Voucher. Cannot exceed $75 per month.
  • Training Incentives -  provided to youth who assist in trainings. Cannot exceed $25 per session.
  • Attendance Incentives - provided to youth to attend group trainings. Cannot exceed $10 per session.
  • Special Incentives - incentives not addressed in policy can be approved by the ISP team and the SDHR ILP Coordinator prior to commitment of funds.
Youth Advisory Council Meetings: Expenses including food, supplies, and transportation expenses.

Training Aids: Items such as workbooks and media. Training equipment may be purchased if it is used only for ILP and enhances the provision of direct services to youth.

Tutoring: Payments cannot exceed $35 per hour and should be limited to 3 hours per week.

Extracurricular Activities: Rental or purchase of sports uniforms, equipment, school sponsored field trips, special interest club dues or supplies, or any other activity that positively impact youth as identified through the ISP are allowable.

Money Management Activities: Appropriate expense for ILP youth 16 and older. Cannot exceed $200 per fiscal year.

Graduation Expenses: Expenses may include invitations, envelopes, name cards, thank you cards, cap & gown, yearbook, senior portraits, senior fees, etc. May not exceed $400. Cost to participate in Junior or Senior Prom may not exceed $250. Expenses may include event tickets, tux rental, dress, etc. Class ring costs may not exceed $300.

Aftercare Payment: Up to $1000 may be made to qualified youth just prior to aging out of the system. The prupose of these funds is to assist youth on a one-time basis for start up costs to set up their own housing.

Prohibited Expenses
  • Payments directly to youth for scholarships or educational support. 
  • Room or board assistance to youth who exited the system prior to their 18th birthday.
  • Salary for youth to work for business or agency.
  • Activities that are duplication of items covered in foster care maintenance payment such as room, board, clothing, food, medical, etc.
  • General office equipment, building construction, repairs, or maintenance.
  • Birth control.
  • Automobiles or auto insurance.
 For more details about Use of ILP Funds, download the current DHR policy. (PDF)

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