State Initiatives in Child Welfare Act of 1992

State Initiatives in Child Welfare Act of 1992 - Title I: Child Welfare Entitlement Program - Amends title IV of the Social Security Act to create a capped entitlement program under a new part C, Child Welfare Entitlement.

States that the purpose of this new part is to grant States the flexibility and resources necessary to provide appropriate services and activities to: (1) preserve and strengthen families with children at risk of needing placement outside their home; (2) reunite children with their families if an out-of-home placement is found to be necessary; (3) place children in adoptive homes or other permanent arrangements in a timely fashion if reunification with their families is not in the best interest of the child; and (4) ensure the well-being of children referred to public officials because of suspected or actual abuse or neglect.

Sets forth criteria which States must meet in order to qualify for payments under such entitlement program.

Provides for allotments and payments to qualified States, and supplemental payments under certain conditions. Provides that, except with respect to certain restrictions, States may use payments under this part in any manner that the State child welfare agency deems appropriate to accomplish the purpose of the part. Establishes a penalty for misuse of funds. Sets forth administrative provisions.

Terminates such new entitlement program after FY 1997.

Title II: Federal Oversight And Technical Assistance - Amends part B (Child-Welfare Services) of title IV of the Social Security Act to require State plans under such part to: (1) afford certain protections to foster children; (2) contain certifications respecting proper use of part B program payments and State audits of program expenditures; and (3) contain assurances respecting State compliance with Federal guidelines for protecting foster children.

Amends part E (Foster Care and Adoption Assistance) of title IV of the Social Security Act to require State plans under such part to contain similar certifications.

Directs the Secretary of Health and Human Services (HHS) to provide for broker technical assistance to States with respect to child welfare. Provides funding for such assistance.

Places a two-year moratorium on child protection compliance reviews and on disallowances and deferrals of expenditures under the Child-Welfare Services program.

Establishes the Commission on Child Welfare Accountability (the Commission) to recommend to the Congress and the Secretary methods by which the Federal Government can better ensure the protection of children referred to State child protective services programs and the accountability of such programs. Authorizes appropriations.

Requires each State to transmit to the Secretary and the Commission on Improvement of Child Protective Services Programs a report outlining the efforts that the State has made to ensure the uninterrupted provision of child protections under the Child-Welfare Services program.

Requires HHS recommendations on a new accountability system for the protection of children to be transmitted to the Commission.

Title III: Creating Reliable Information On Child Welfare - Amends part E to set June 1, 1992, as the deadline for final regulations providing for the implementation of a system currently authorized for the collection of data on adoption and foster care. Requires such regulations to provide for full implementation of such system by FY 1993.

Provides for demonstration projects on foster care prevention, family reunification, and adoption assistance services.

Requires HHS studies on State administration of Foster Care and Adoption Assistance programs. Authorizes appropriations.

Amends part E to provide for a 90 percent match for data collection and information retrieval systems.