Currently, the child welfare system nationally is characterized by a
shortage of sufficient funding and clients with increasingly complex
problems. Due to the increasing burdens being placed on the child welfare
system, states across the country are experimenting with innovative methods
of child welfare service delivery. It is hoped that these programs will
result in increased efficiency, improved outcomes for children and
families, and better allocation of funding.
The Texas initiative is called Project PACE, and it seeks to combine the privatization of child welfare services and managed care principles to improve services to children and families. As PACE was implemented slightly over a year ago, this report is a preliminary evaluation of the program. It incorporates lessons learned by other states, strengths and weaknesses of PACE as it is currently structured, and issues and recommendations for policy-makers and program administrators to consider when expanding privatization and managed care efforts in the Texas child welfare system.