1. Short title This Act may be cited as the Foster Care Stabilization Act of 2023 . 2. Grants to improve pre-placement services for foster youth Section 426 of the Social Security Act ( 42 U.S.C. 626 ) is amended by adding at the end the following: (d) Grants To improve pre-Placement services for foster youth (1) Establishment The Secretary shall award 3 demonstration grants of not more than $1,000,000 to foster care stabilization agencies for the purpose of providing emergency relief to foster youth and improving pre-placement services for foster youth waiting for placement. (2) Duration A foster care stabilization agency that receives a grant under this subsection shall have 3 years to spend funds awarded by the grant and return any unused grant funds to the Secretary. (3) Application A foster care stabilization agency that desires to receive a grant under this subsection shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require, that shall include the following: (A) A description of how grant funds will be used to provide emergency relief to foster youth by the foster care stabilization agency. (B) A description of how grant funds will be used to improve pre-placement services offered by the foster care stabilization agency. (4) Application dissemination The Secretary shall ensure that the solicitation of applications for a grant under this subsection is posted publically on the website of the Administration for Children and Families and shall make special dissemination efforts to rural areas and among Indian Tribes, Tribal organizations, and Native Hawaiian organizations. (5) Use of funds A grant awarded under this subsection may be used to carry out any of the following activities: (A) Hiring of personnel necessary to provide emergency relief to foster youth and ensure that services, resources, and assistance reach such youth. (B) Provision of clothing and other personal necessities to a foster youth for a total not to exceed $250