In recent years, policymakers and community leaders have expressed concern about the growing problem of overspending on child welfare services. While most agree that the issue deserves attention, consensus dissolves around how to spend money received from government contracts. This study examines how a community based care organization spends the money received from government contracts on placement versus diversion services. The paper compares utilization of services against client factors of age, race, maltreatment types, and length of time of service. This examination of child welfare through the operations of a nonprofit organization points out limitations of the child welfare system and suggests the need for a comprehensive solution that combines community, political and social approaches to these complex problems.
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