BILL ANALYSIS ------------------------------------------------------------ |SENATE RULES COMMITTEE | AB 433| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ THIRD READING Bill No: AB 433 Author: Beall (D), et al Amended: 6/1/07 in Assembly Vote: 21 SENATE HUMAN SERVICES COMMITTEE : 3-2, 6/26/07 AYES: Alquist, Romero, Yee NOES: Harman, Cogdill ASSEMBLY FLOOR : 47-32, 6/5/07 - See last page for vote SUBJECT : Food Stamp Program: categorical eligibility SOURCE : California Food Policy Advocates DIGEST : This bill requires the Department of Social Services to propose a new name for the food stamp program and to establish categorical eligibility for food stamp benefits for Medi-Cal recipients who are eligible for services funded by the Temporary Assistance for Needy Families block grant. ANALYSIS : Existing federal law: 1. Establishes the food stamp program, administered by state and local agencies to provide federally funded food assistance benefits to eligible households. CONTINUED AB 433 Page 2 2. Establishes the Temporary Assistance for Needy Families (TANF) block grant, to distribute federal funds to states to assist low-income families for specified purposes, including the care of children in their own homes and the end of dependency of needy parents on government benefits through job preparation, work and marriage. 3. Requires states to contribute designated amounts of funds, known as Maintenance of Effort (MOE), as a condition of receiving their full allocation of federal TANF funds. 4. Provides that households receiving or authorized to receive aid or services from a program funded by TANF or state MOE dollars may be determined by states to be categorically eligible for food stamp benefits. Existing state law: 1. Provides for the Medi-Cal program, administered by the Department of Health Services (after July 1, 2007, the Department of Health Care Services), under which comprehensive health benefits are provided to low-income families, pregnant women, elderly, blind or disabled persons, as well as to recipients of public assistance. 2. Requires the Department of Social Services (DSS) to establish a program of categorical eligibility for food stamps for persons receiving county general relief cash aid. This bill: 1. Makes legislative findings about the danger of poor nutrition for children, the underutilization of food programs, the value of food stamps to local economies, the availability of federal mechanisms to improve participation, and the need to create a name for the food stamp program which better promotes its health and nutrition goals. 2. Requires DSS in consultation with a diverse group of stakeholders to propose a new name for the food stamp AB 433 Page 3 program by July 1, 2008, reflecting one or more specified concepts including the fact that food stamps are no longer delivered by stamps. 3. Requires DSS to establish a program of categorical eligibility for food stamp benefits for persons receiving services under the Medi-Cal program when they are receiving or are eligible to receive specified benefits or services funded by the TANF block grant. This bill does not specify these benefits or services and leaves that determination to DSS. 4. Provides that the program shall include only those households eligible for benefits greater than the minimum federal food stamp benefit. 5. Provides that DSS shall implement the categorical eligibility program only with appropriate federal authorization without loss of federal financial participation, shall be established no later than July 1, 2008, and shall be fully implemented as to new applicants as of January 1, 2009. 6. Requires that after January 1, 2009, counties make reasonable efforts to review existing Medi-Cal cases to identify individuals who could benefit from the program of categorical eligibility. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: Yes According to the Senate Appropriations Committee: Fiscal Impact (in thousands) Major Provisions 2007-08 2008-09 2009-10 Fund Food benefits (costs) $0 $7,000 $7,000General $0 $10,000 $10,000 Federal $0 $3,000 $3,000 County Mandate costs undetermined Food benefits (new) $0 AB 433 Page 4 $(200,000)$(200,000) Federal School lunches (new) $0 $(30,000)$(30,000) Federal Sales tax revenue (new) $(5,000) $(5,000) Federal SUPPORT : (Verified 9/10/07) California Food Policy Advocates (source) American Federation of State, County and Municipal Employees California Catholic Conference California Commission on the Status of Women Jericho Western Center on Law and Poverty OPPOSITION : (Verified 9/10/07) Department of Finance ASSEMBLY FLOOR : AYES: Arambula, Bass, Beall, Berg, Brownley, Caballero, Charles Calderon, Carter, Coto, Davis, De La Torre, De Leon, DeSaulnier, Dymally, Eng, Evans, Feuer, Fuentes, Galgiani, Hancock, Hayashi, Hernandez, Huffman, Jones, Karnette, Krekorian, Laird, Leno, Levine, Lieber, Lieu, Ma, Mendoza, Mullin, Nava, Parra, Portantino, Price, Richardson, Ruskin, Salas, Saldana, Solorio, Swanson, Torrico, Wolk, Nunez NOES: Adams, Aghazarian, Anderson, Benoit, Berryhill, Blakeslee, Cook, DeVore, Duvall, Emmerson, Fuller, Gaines, Garcia, Garrick, Horton, Houston, Huff, Jeffries, Keene, La Malfa, Maze, Nakanishi, Niello, Plescia, Sharon Runner, Silva, Smyth, Spitzer, Strickland, Tran, Villines, Walters NO VOTE RECORDED: Soto CTW:mw 9/10/07 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END **** AB 433 Page 5