This paper presents an analysis of state implementation of the Adoptio
n Assistance and Child Welfare Act (P.L. 96-272) of 1980. One of the m
ajor outcomes of this law was the establishment of a mechanism through
which federal matching funds could be appropriated to states for subs
idies to support the adoption of children who are eligible for either
Aid to Families with Dependent Children (AFDC) or Supplemental Securit
y Income (SSI). These children fall under the categorization of having
special needs. This study examines state implementation of P.L. 96-27
2 on the following aspects: children's eligibility for adoption subsid
y support; the adequacy of this subsidy in providing a quality of life
for these children; and, the security of this support throughout chil
dhood.