In light of rising cost developments, the legislator fundamentally restructured the process of service delivery in child and youth welfare as of January 1, 1999. Similar to the care rate agreements in the healthcare and social services sector, this aims to increase the transparency of service delivery, improve the quality of educational measures, and curb the current rise in costs. As a result, a broad range of services in child and youth welfare is undergoing a complex transformation process that presents fundamentally new challenges for social pedagogical practice. Against the backdrop of these developments, this study takes an empirical and analytical look at the consequences of the legal reforms for the first time. In addition to a detailed presentation and discussion of the findings, causal relationships are also examined.