The State of Foster Care in 2026

Shortages of foster homes, funding, and mental health resources are causing pain points

In a world of increasing budget cuts and bureaucratic red tape, members of our most vulnerable populations are being left behind. With about 20 counties and hundreds of families and community members under their purview, Traverse City-based nonprofit Child and Family Services of Northwestern Michigan (CFS) is seeing kids fall through the cracks in the system in real time.

Northern Express sat down with the folks at CFS for a deep-dive into the state of foster care in northern Michigan.

Too Few Foster Homes

Per CFS child welfare director Aprille Sutton, licensed and available foster homes are in critically short supply across northern Michigan. CFS alone served 116 children in 2025 (a similar figure to the previous year), along with an additional nine in its Next Level Independent Living Plus facility, an on-site program for foster youth ages 16-19.

“We’re getting daily referrals, not only from northern Michigan, but also from across the state,” Sutton says. “There’s still a huge need for foster parents and foster homes in our community.”

And that need is only set to increase.

Data from the national Adoption and Foster Care Analysis and Reporting System (AFCARS) reports a consistent decline in youth exiting foster care, including adoptions, throughout the state since 2020. Couple that with fewer foster homes (CFS licensed just 10 in 2025) and the planned closures of more than one state agency, including key player Holy Cross Services, and the organization is bracing to field even more urgent and widespread foster care needs.

CFS had just 54 homes in its multi-county scope in 2025, only some of which are licensed for high-need groups, like teens and sibling sets. The organization also regularly closes more homes, most due to adoption, than it opens.

“We need homes everywhere,” lead licensing supervisor Amber Wiggins notes. “There’s just such a need, because we have so many different kinds of children, so we need all different kinds of families.”

Fostering Roadblocks

Though the factors contributing to this foster shortage are undoubtedly situation-specific, the organization points to the cost-of-living crisis, lack of locally affordable housing, and myths surrounding care qualifications as major contributors.

“When I’m out in the community and talking to folks about becoming foster parents, one thing I hear a lot is ‘I can’t do it,’” Sutton says. Unbeknownst to many, however, the licensure process is free and circumstances like renting (as opposed to owning) a home and single parenthood don’t disqualify interested parents.

That being said, securing a home in a notoriously tough economic market is a potential barrier for CFS, as is the financial security to cover the costs of housing a child, not to mention extracurriculars (summer camps, after school activities, childcare, etc.), all of which are increasingly expensive.

Though CFS offers dozens of programs and services to make fostering more attainable—including trauma-informed training, respite services, behavioral health supports, and beyond—alongside limited financial services through MDHHS, it often isn’t enough.

“There’s a gap that has to be covered by the parents,” says foster care supervisor Amelia Mayhew. “That’s really something that stops people from being able to do this.”

Lack of Community Resources

Per the team at CFS, this is where an ongoing need for community resources comes into play.

Critical mental health supports, especially for kids, are a biggie. Though Mayhew and Sutton note that CFS is equipped with its own team of in-house therapists, recent budget cuts to Medicaid and Community Mental Health (CMH) have dramatically reduced the organization’s access to available mental health providers, especially those with the expertise to prescribe psychotropic medication for children.

Inpatient beds for mental health emergencies and lengthy wait-times for treatment are another issue, though folks at CFS are optimistic that the new Grand Traverse Mental Health Crisis and Access Center, which is projected to have youth beds up and running by fall 2026, might help bridge this gap.

Then there’s the recent system-wide swing towards preventative-over-proactive involvement, which, though smart on paper, often means youth entering foster care are arriving with more severe levels of trauma.

“Everything’s interconnected,” Mayhew says. “Because of the lack of mental health supports [and other] services in our area, kids sometimes aren’t getting the full spectrum of services they need to succeed.”

Consequently, if and when they’re removed from their homes, which is always the result of an untenable situation—abuse, neglect, and substance abuse, the latter of which is a factor in about 90 percent of CFS cases, Sutton estimates—they’ve already exhausted all other options like safety plans, kinship searches, in-home coaching, etc., thereby putting even more stress on that child.

Working Together

How do we start to strengthen foster care organizations like CFS in Michigan?

Per Sutton, casting an even larger community net is a good place to start. CFS, for example, is pursuing partnerships with 217 Recovery and Addiction Treatment Services, both in Traverse City, to better support parents as they work towards reunification. Meanwhile, new initiatives like the Next Level ILP program, which helps foster teens develop vital life skills, often arise in response to targeted needs.

For nonprofits like CFS, funding is another challenge, made even more precarious recently through increased demand for popular grants. To address this, the team highlights a new focus on connecting with the community through events and outreach.

Other ways to get involved include the lower-stakes world of youth service donations or volunteering as an ILP mentor, as well as deeper commitments, like providing respite care or becoming a licensed foster home. And if your plate’s already overflowing, pass the word to someone else!

Per Sutton, however, the real work surrounds collectively accepting and taking responsibility for the foster children in our communities.

“When our most vulnerable population isn’t getting what they need, it affects every one of us,” she concludes. “We’ll find the right fit for you. These kids are in our backyards and in our communities, and they need extra support from all of us.”

Find Child and Family Services of Northwestern Michigan at 3785 Veterans Dr. in Traverse City. cfsnwmi.org. (231) 946-8975

Changing of the Guard

CFS’s longtime executive director Gina Aranki is planning her retirement in 2026.

The initial process to find the right individual, which ended in March, she notes, was ultimately unsuccessful. Consequently, CFS is now assessing next steps, with plans to re-approach the endeavor as thoughtfully as possible to ensure a smooth transition.

“The board and I are committed to that,” Aranki says, “and I’ve assured [them] and our employees that I will stay for as long as it takes to find the right person to take on the role.”

In the meantime, Aranki remains energized by several new community resources, including the Mental Health Crisis and Access Center and CFS’s newest program, Family Time Coaching, and highlights the continued importance of prioritizing children and families throughout northern Michigan.

“Communities thrive when families thrive, and this has always been true,” she adds. “I’m so proud of the incredible people doing this work of walking alongside families. I know that will continue well into the future, long after I have left this job.”

Brown Bag Campaign Begins for Summer 2026

For 37 years, CFS has hosted their Brown Bag Campaign. According to their press release on the fundraiser, “Most children enter foster care with everything they own in a single bag. It’s a moment no child should have to face—leaving behind everything familiar and stepping into the unknown with only a few belongings.”

The Brown Bag Campaign works by putting small, mail-able paper bags in community areas like Oleson’s, Oryana, Leland Mercantile Co., Hansen’s in Suttons Bay, and Tom’s Food Markets in Northport. The idea is that supporters will snag a bag and mail in a donation, though you can also do so online.

“The Brown Bag Campaign represents the fact that children often come into foster care very quickly and suddenly, with their personal items stuffed into brown paper or plastic bags,” Aranki says. “It’s also a reminder that we need people who have the room in their hearts and homes to become foster and adoptive parents. We are grateful to everyone who has helped make this effort so successful.”

To date, the campaign has raised more than $685,000 for children in foster care.

Donate or learn more at cfsnwmi.org/brownbag.

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