BILL NUMBER: SB 84	CHAPTERED
	BILL TEXT

	CHAPTER  177
	FILED WITH SECRETARY OF STATE  AUGUST 24, 2007
	APPROVED BY GOVERNOR  AUGUST 24, 2007
	PASSED THE ASSEMBLY  JULY 20, 2007
	PASSED THE SENATE  AUGUST 21, 2007
	AMENDED IN ASSEMBLY  JULY 19, 2007
	AMENDED IN ASSEMBLY  JULY 16, 2007

INTRODUCED BY   Committee on Budget and Fiscal Review

                        JANUARY 17, 2007

   An act to amend Section 17706 of, and to add Section 17601 to, the
Family Code, to amend Sections 1534, 1569.33, 1597.09, 1597.55a,
11831.2, 11831.5, 11834.03, 11834.15, and 11999.30 of, to amend and
renumber Section 11834 of, and to add Chapter 7.3 (commencing with
Section 11833.01) to Part 2 of Division 10.5 of, the Health and
Safety Code, to amend Sections 366.21, 366.22, 4684, 9102, 9719,
10506, 11320.32, 11367, 11453, 11461, 11462, 11463, 11465, 11466.24,
12201, 12304.4, 14124.93, 16121, 16122, and 16605 of, to add Sections
10534.5, 11466.23, 11466.235, 16121.01, and 18939.5 to, to repeal
Article 4.75 (commencing with Section 11380) of Chapter 2 of Part 3
of Division 9 of, to repeal and amend Sections 11363 and 11364 of,
and to repeal and add Section 11464 of, the Welfare and Institutions
Code, relating to human services, making an appropriation therefor,
and declaring the urgency thereof, to take effect immediately.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 84, Committee on Budget and Fiscal Review. Human Services.
   Existing federal law provides for allocation of federal funds
through the federal Temporary Assistance for Needy Families (TANF)
block grant program to eligible states. Existing law provides for the
California Work Opportunity and Responsibility to Kids (CalWORKs)
program under which, through a combination of state and county funds
and federal funds received through the TANF program, each county
provides cash assistance and other benefits to qualified low-income
families.
   Existing law requires the Department of Child Support Services,
beginning July 1, 1999, to pay to each county a child support
incentive for child support collections. Additionally, effective July
1, 2000, existing law provides that the 10 counties with the best
performance standards shall receive an additional 5% of the state's
share of the counties' collections that are used to reduce or repay
aid that is paid under the CalWORKs program. Existing law requires
the counties to use the additional funds for specified child support
related activities. Existing law suspends the payment of this
additional 5% for fiscal years 2002-03 to 2006-07, inclusive.
   This bill would extend the suspension of the 5% payment through
the 2007-08 fiscal year.
   This bill would require the department to provide to the
Legislature, and post on its Web site, specified data and information
relating to child support collections, and also to require counties
to post a link to that data and information on their Web sites. The
bill also would require the department to update the Legislature
during the annual budget subcommittee hearing process commencing in
2008, on the state and local progress on child support federal
performance measures and collections, as specified.
   Existing law provides for the Medi-Cal program, which is
administered by the State Department of Health Care Services, and
under which qualified low-income persons receive health care
services. Existing law requires the Department of Child Support
Services to provide payments to the local child support agency of $50
per case for obtaining 3rd-party health coverage or insurance of
beneficiaries, to the extent that funds are appropriated in the
Budget Act. Under existing law, these payments are suspended for
fiscal years 2003-04 to 2006-07, inclusive.
   This bill would extend the suspension of payments to local child
support agencies through the 2007-08 fiscal year.
   Under existing law, the State Department of Social Services
regulates the licensure and operation of various community care
facilities, residential care facilities for the elderly, child day
care centers, and family day care homes. Existing law requires the
department to conduct annual unannounced visits to these facilities
under designated circumstances. Existing law further requires the
department to conduct annual unannounced visits to no less than 20%
of the remaining facilities, based on a random sampling methodology
developed by the department. If the total citations issued by the
department exceed the previous year's by 10%, existing law requires
the department to increase the random sample by 10% the following
year, and authorizes the department to request additional resources
for this purpose.
   This bill would require the department to suspend implementation
of the provisions requiring a 10% increase of the random sample for
the 2007-08 fiscal year. The bill would require the department to
submit trailer bill language to the Legislature on or before February
1, 2008, that reflects appropriate indicators to trigger an annual
increase in the number of facilities for which the department
conducts unannounced visits, as specified.
   Under existing law, the State Department of Alcohol and Drug
Programs is responsible for licensing and certifying alcoholism and
drug abuse recovery and treatment programs and facilities, including
both residential and nonresidential programs. Existing law authorizes
the department to charge a reasonable fee for the certification or
renewal of certification of alcohol and drug programs that
voluntarily request that certification, but prohibits the department
from levying a fee for certification of nonprofit organizations or
local governmental entities for these purposes. Existing law also
requires the department to calculate and establish the fee for
licensure of residential alcoholism and drug abuse recovery or
treatment facilities, as defined.
   This bill would revise existing law relating to the establishment
of fees for residential and nonresidential alcoholism and drug abuse
recovery or treatment facilities and programs, by requiring the
department to charge a fee to license or certify all programs,
regardless of the form of organization or ownership of the program.
The bill would require the department to submit the new or revised
fees to the Legislature for approval, prior to implementation. The
bill would establish the Residential and Outpatient Program Licensing
Fund, consisting of specified fees, fines, and penalties. The bill
would require the money in the fund, upon appropriation by the
Legislature, to be used to support the department's licensing and
certification activities. The bill would make various conforming
changes.
   The Substance Abuse and Crime Prevention Act of 2000, enacted by
initiative statute (Proposition 36), established the Substance Abuse
Treatment Trust Fund within the State Treasury to be continuously
appropriated for carrying out the purposes of the act relating to
diverting from incarceration into community-based substance abuse
treatment programs, nonviolent defendants, probationers, and parolees
charged with simple drug possession or drug use offenses.
   Existing law establishes the Substance Abuse Offender Treatment
Program, until July 1, 2009, pursuant to which the State Department
of Alcohol and Drug Programs distributes funds to counties that meet
designated eligibility criteria, for the purpose of improving county
treatment practices with respect to substance abuse offenders. Under
the program, the maximum amount that a county may receive is not
permitted to exceed 30% of the county's allocation from the
department for that fiscal year from the Substance Abuse Treatment
Trust Fund. Existing law authorizes the department to implement the
Substance Abuse Offender Treatment Program by all-county letters or
similar instructions for the 2006-07 fiscal year, pending the
adoption of emergency regulations.
   This bill would revise the requirements of the Substance Abuse
Offender Treatment Program, including deleting the maximum allowable
amount allocated to counties and the July 2009 repeal date, and by
revising county eligibility requirements. The bill also would extend
the department's authority to implement the program by all-county
letters through the 2007-08 fiscal year and to implement these
provisions by emergency regulations commencing with the 2008-09
fiscal year.
   Existing law, the Mello-Granlund Older Californians Act,
establishes the California Department of Aging in the California
Health and Human Services Agency. Under existing law, the department'
s mission is to provide leadership to the area agencies on aging in
developing systems of home- and community-based services that
maintain individuals in their own homes or least restrictive homelike
environments. Existing law sets forth the duties and powers of the
department, including requiring the department to submit specified
information annually to the Legislature and the Legislative Analyst
regarding the number of persons served by programs and services
administered by the department, and expenditures related to these
programs and services.
   This bill would suspend this reporting requirement until the
2010-11 fiscal year, but would, instead, require the department to
annually submit copies of program fact sheets for each state and
federal program administered by the department, as specified.
   Existing law establishes within the California Department of
Aging, the Office of the State Long-Term Care Ombudsman, to promote
the development, coordination, and utilization of resources to meet
the long-term care needs of older individuals. Existing law requires
the office to sponsor a meeting of representatives of approved
organizations at least twice each year, and to provide training to
these representatives as appropriate. Existing law requires that the
department have a criminal record clearance conducted by the State
Department of Social Services prior to certifying an individual as an
ombudsman. Existing law further requires ombudsmen to receive 36
hours of training approved by the office annually, and 12 hours of
additional training annually.
   This bill additionally would require the department to issue a
card identifying an individual as an ombudsman, following the
criminal record clearance and acceptance by the office. The bill
would specify that the 36 hours of training that is required to be
approved by the office is to be classroom training. This bill would
revise the duties of the department and the State Department of
Social Services in conducting the criminal record clearance
procedures, as specified.
   Existing law requires various state departments, including the
Department of Rehabilitation, to submit to the Department of Finance
for approval all assumptions underlying all estimates used to develop
the departments' budgets by September 10 of each year, and to submit
revisions to these assumptions by March 1 of the following year.
   This bill would revise the requirements applicable to the
Department of Rehabilitation of submission of assumptions and
estimates of case services expenditures, and would require the
department to forward this information to specified committees of the
Legislature, if the Department of Finance has not already released
the information.
   Existing law requires each county to develop and, as needed,
update, a plan describing how the county intends to deliver the
activities and services necessary to move CalWORKs recipients from
welfare to work. Existing law requires each county to review that
plan, and prepare and submit to the department a plan addendum
detailing how the county will meet specified performance goals for
the CalWORKs program.
   This bill would require the department to review these county
plans, work with the County Welfare Directors Association and county
welfare directors to address designated issues related to sanctioned
families and time-limited families in the CalWORKs program, and
report this information to the Legislature by September 1, 2008.
   Existing law requires the State Department of Social Services to
administer a voluntary Temporary Assistance Program (TAP), to provide
cash assistance and other benefits, commencing no later than April
1, 2007, to specified current and future CalWORKs recipients who meet
the exemption criteria for participation in welfare-to-work
activities, and are not single parents who have a child under one
year of age. Existing law allows the department to suspend
implementation of the TAP until October 1, 2007, under specified
circumstances.
   This bill would revise these provisions to require, instead, that
the TAP commence on or before April 1, 2009, with no provision for
suspending the program's implementation.
   Existing law, through the Kinship Guardianship Assistance Payment
Program (Kin-GAP), which is a part of the CalWORKs Program, provides
aid on behalf of eligible children who are placed in the home of a
relative caretaker, and limits the application of the program to
children who have been adjudged a dependent child of the juvenile
court and whose dependency has been dismissed on or after January 1,
2000, concurrently or subsequent to the establishment of the kinship
guardianship. The program is funded by state and county funding and
available federal funds.
   Existing law also requires the State Department of Social Services
to establish the Kin-GAP Plus Program, as an optional alternative to
the Kin-GAP Program, with similar eligibility and administrative
provisions, except that the Kin-GAP Plus Program additionally applies
to certain delinquent children who have been declared wards of the
juvenile court and whose wardships have been terminated, and would
include payments for a specialized care increment and clothing
allowance, under certain circumstances.
   This bill would repeal the Kin-GAP Plus Program, and effective
October 1, 2006, would extend benefits under the Kin-GAP Program to
children who would have been covered by the Kin-GAP Plus Program, as
specified. The bill would make various conforming changes.
   Existing law requires each county to provide cash assistance and
other social services to needy families through the CalWORKs program
using federal TANF program, state, and county funds.
   Existing law continuously appropriates moneys from the General
Fund to defray a portion of county aid grant costs under the CalWORKs
program.
   Existing law, with certain exceptions, requires an annual
cost-of-living adjustment to be made in maximum aid payments provided
to needy families under the CalWORKs program.
   This bill would provide that no adjustment shall be made to the
maximum aid payment for the purpose of increasing CalWORKs benefits
for the 2007-08 fiscal year.
   Existing law establishes the Aid to Families with Dependent
Children-Foster Care (AFDC-FC) program, under which counties provide
payments to foster care providers on behalf of qualified children in
foster care, pursuant to a schedule of basic rates. The program is
funded by a combination of federal, state, and county funds, with
moneys from the General Fund being continuously appropriated to pay
for the state's share of AFDC-FC costs. Existing law requires the
schedule of basic rates to be adjusted, as specified. Under existing
law, a county that receives state participation for a basic rate in
excess of the amount set forth in the schedule of basic rates
receives an annual increase of 1/2 of these percentage adjustments;
however, for the 1999-2000 fiscal year, these counties receive an
increase in state participation for the basic rate for the entire
percentage adjustment.
   This bill would require the schedule of basic rates, as adjusted
pursuant to existing law, to be increased by 5%, rounded to the
nearest dollar. The bill would provide that this increased rate would
not be reflected in specified amounts paid to licensed foster family
agencies, or to adoptive parents under the Adoption Assistance
Program, under specified circumstances. The bill would also provide
that those counties that receive state participation in excess of the
basic rates shall receive an increase in state participation for the
basic rate for the entire percentage adjustment for the 2007-08
fiscal year.
   Under existing law, in addition to the basic rate payable for the
care of a foster child under the AFDC-FC program, counties that had a
clothing allowance, as defined, in effect on a specified date, are
authorized to continue to receive state participation at the same
level for the clothing allowance.
   This bill would provide that the maximum amount of the clothing
allowance for children whose foster care payment is the
responsibility of Colusa, Plumas, and Tehama Counties may be up to
$274 per child per year, and would require a county that elects to
receive the clothing allowance to submit a Clothing Allowance Program
Notification to the department, as specified.
   Existing law requires payment of a supplemental clothing allowance
of $100 per year, subject to the availability of funds, without a
county share of cost.
   This bill would require this supplemental clothing allowance to be
paid for children under the Kin-GAP Program without a county share
of cost, in accordance with a specified provision of existing law.
   This bill, commencing January 1, 2008, would increase by specified
percentages and amounts the rate schedules applicable to AFDC-FC
payments for group homes and other designated foster care placements.

   This bill would revise existing procedures related to the
collection by counties of overpayments to foster care providers and
adoption assistance recipients, and would impose related duties on
the State Department of Social Services.
   Because moneys from the General Fund are continuously appropriated
to pay for the state's share of the AFDC-FC and Kin-GAP programs, by
increasing state costs under these programs, this bill would make an
appropriation.
   Existing law provides for the State Supplementary Program for the
Aged, Blind and Disabled (SSP), which requires the State Department
of Social Services to contract with the United States Secretary of
Health and Human Services to make payments to SSP recipients to
supplement supplemental security income (SSI) payments made available
pursuant to the federal Social Security Act.
   Under existing law, benefit payments under the SSP program are
calculated by establishing the maximum level of nonexempt income and
federal SSI and state SSP benefits for each category of eligible
recipient. The state SSP payment is the amount, when added to the
nonexempt income and SSI benefits available to the recipient, which
would be required to provide the maximum benefit payment.
   Existing state law provides, except in certain calendar years, for
the annual adjustment of the total level of combined state and
federal benefits as established by statutory schedule to reflect
changes in the cost of living, as defined.
   Existing law provides that, commencing with the 2007 calendar year
and thereafter, in any calendar year in which no cost of living
adjustment is made to the payment schedules, there shall be a pass
along of any cost-of-living increases in federal SSI benefits.
   This bill would provide that commencing with the 2008 calendar
year, the annual adjustment would be effective from June 1 to May 31,
inclusive, of the following calendar year.
   The bill would specify, however, that the pass along of federal
benefits shall continue to be effective on January 1 of each calendar
year.
   Existing law provides for the county-administered In-Home
Supportive Services (IHSS) program, under which qualified aged,
blind, and disabled persons are provided with services in order to
permit them to remain in their own homes and avoid
institutionalization. Existing law permits services to be provided
under the IHSS program either through the employment of individual
providers, a contract between the county and an entity for the
provision of services, the creation by the county of a public
authority, or a contract between the county and a nonprofit
consortium.
   Existing law requires the State Department of Social Services to
establish a program of direct deposit by electronic transfer for
payments to in-home supportive services providers, and requires the
department, the Controller, and the California Health and Human
Services Agency to make all necessary automation changes to allow for
payment by direct deposit.
   This bill would require the department to establish the direct
deposit program, in cooperation with the Controller, on or before
June 30, 2008.
   Existing law provides for the Adoption Assistance Program (AAP),
to be established and administered by the State Department of Social
Services or the county, for the purpose of benefitting children
residing in foster homes by providing the stability and security of
permanent homes. The program provides for the payment by the
department and counties, of cash assistance to eligible families that
adopt eligible children, and bases the amount of the payment on the
needs of the child and the resources of the family to meet those
needs. Under existing law, from funds appropriated for this purpose,
the state compensates licensed private adoption agencies for
otherwise unreimbursed costs of placing certain children. Effective
July 1, 1999, the maximum reimbursement amount was $5,000.
   This bill would increase the maximum reimbursement amount to
$10,000, effective February 1, 2008, for cases for which the adoptive
home study approval occurred on or after July 1, 2007. The bill
would also require the department to review the reimbursement
methodology for the AAP and provide specified information to the
fiscal committees of the Legislature, commencing with the budget
subcommittee hearings for the 2008-09 fiscal year.
   Existing law, the Lanterman Developmental Disabilities Services
Act, requires the State Department of Developmental Services to
allocate funds to private nonprofit regional centers for the
provision of community services and supports for persons with
developmental disabilities and their families.
   Under existing law, the cost of providing 24-hour out-of-home
nonmedical care and supervision in community care facilities for
children who receive both AFDC-FC benefits and regional center
services funded by the AFDC-FC program.
   This bill would revise rates under the AFDC-FC program and AAP for
children who are also regional center consumers. The bill would
require regional centers to separately purchase or secure services
contained in the child's Individualized Family Service Plan (IFSP) or
Individual Program Plan (IPP). The bill would also revise the
AFDC-FC rates for 24-hour out-of-home nonmedical care and supervision
for these children in community care facilities, and would require
the rates to be adjusted annually, as specified.
   This bill would provide that the rates established by the bill
would apply to AFDC-FC eligibility determinations, and adoption
assistance agreements signed, on and after July 1, 2007. The bill,
however, would require rates lower than those in effect as of July 1,
2007, to be raised to the levels established by the bill, and to
remain in effect unless a change in the child's circumstances or
eligibility warrants redetermination of the rate. This bill would
provide for the adoption of emergency regulations to implement these
provisions.
   By increasing the state's level of participation in AFDC-FC and
AAP rates, this bill would make an appropriation.
   Existing law requires the State Department of Social Services to
establish and supervise a county- or county consortia-administered
program to provide cash assistance to aged, blind, and disabled legal
immigrants who are not citizens and who successfully complete an
application process. Existing law requires any person found by the
department to be eligible for federal SSI benefits to be required to
apply for those benefits. Under existing law, an individual who fully
cooperates in the Social Security Administration's application and
appeal process may continue to receive cash assistance benefits, and
remains eligible for those benefits if he or she receives an
unfavorable decision from the Social Security Administration.
   This bill would revise these provisions to authorize recipients
who naturalize while receiving cash assistance benefits to continue
to be eligible for cash assistance benefits until he or she receives
SSI benefits, or has exhausted all appeals for the initial SSI
application.
   Existing law provides for subsidized child care programs for
eligible persons, including recipients of benefits under the CalWORKs
program, which are administered by the State Department of
Education.
   This bill would require the department to conduct a study and
submit a report to the Legislature, by September 2008, to establish
best statewide practices for the prevention, detection,
identification, and investigation of improper payments and fraud in
all subsidized child care programs. The bill would specify the
required components of the study.
   Existing law established the Department of Rehabilitation within
the California Health and Human Services Agency. The duties of the
department include the administration of various programs to
establish employment opportunities for individuals with disabilities,
including the Supported Employment Program (SEP) and the Work
Activity Program (WAP).
   This bill would require the department to count the number of SEP
and WAP consumers served by the department in the 2007-08 fiscal
year, the cost of providing those services, and to identify funding
options if the costs are projected to exceed the amount budgeted for
SEP and WAP consumer activities, under designated circumstances. The
bill would require the department to submit this information to the
budget and fiscal committees of the Legislature, as specified, and
also to submit a proposed methodology for projecting caseload and
funding growth in the SEP and the WAP for the 2008-09 and subsequent
fiscal years.
   This bill would require any funds remaining of the amount
appropriated in a specified item of the 2007 Budget Act for
reimbursement of food banks and Foodlink for certain food storage and
transportation costs associated with the 2006-07 freeze to be
expended to respond to other emergency food needs throughout the
state.
   Existing law requires the Department of Justice to maintain an
index, identified as the Child Abuse Central Index (CACI), of all
reports of child abuse and severe neglect, as specified. Existing law
requires that the CACI be checked under various circumstances,
including before the State Department of Social Services grants a
license or otherwise approves an individual to care for children, or
in other situations involving the out-of-home placement of a child.
   This bill would require the State Department of Social Services,
in consultation with the County Welfare Directors Association, to
track actual county costs in the 2007-08 fiscal year to implement a
specified court case settlement requiring counties to implement a
notification and grievance process for individuals listed on the
CACI.
   Existing law requires certain participants in the CalWORKs program
to participate in specified welfare-to-work activities.
   This bill would require the State Department of Social Services to
provide options for consideration by the administration and the
Legislature for increasing the state's CalWORKs welfare-to-work
participation, and to submit these options to designated legislative
committees on or before October 1, 2007.
   Existing law extends eligibility for certain transitional housing
placement program services that are available to foster youth to a
person less than 24 years of age who has emancipated from the foster
care system in a county that has elected to participate in a
transitional housing placement program for youths between 18 and 24
years of age, provided that the person has not received these
services for more than a total of 24 months.
                                                              This
bill would authorize up to $10,525,000 of the amount appropriated in
a specified item of the 2007 Budget Act for the Transitional Housing
Program Plus to be used for eligible costs incurred in the 2006-07
fiscal year.
   This bill would declare that it is to take effect immediately as
an urgency statute.
   Appropriation: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 17601 is added to the Family Code, to read:
   17601.  The department shall provide to the Legislature actual
performance data on child support collections within 60 days of the
end of each quarter. This data shall include all comparative data for
managing program performance currently provided to local child
support agencies, including national, state, and local performance
data, as available. The department shall prominently post the data on
its Web site, and shall require all local child support agency Web
sites to prominently post a link to the state Web site. The
department shall update the Legislature during the annual budget
subcommittee hearing process, commencing in 2008, on the state and
local progress on child support federal performance measures and
collections.
  SEC. 2.  Section 17706 of the Family Code is amended to read:
   17706.  (a) It is the intent of the Legislature to encourage
counties to elevate the visibility and significance of the child
support enforcement program in the county. To advance this goal,
effective July 1, 2000, the counties with the 10 best performance
standards pursuant to clause (ii) of subparagraph (B) of paragraph
(2) of subdivision (b) of Section 17704 shall receive an additional 5
percent of the state's share of those counties' collections that are
used to reduce or repay aid that is paid pursuant to Article 6
(commencing with Section 11450) of Chapter 2 of Part 3 of Division 9
of the Welfare and Institutions Code. The counties shall use the
increased recoupment for child support-related activities that may
not be eligible for federal child support funding under Part D of
Title IV of the Social Security Act, including, but not limited to,
providing services to parents to help them better support their
children financially, medically, and emotionally.
   (b) The operation of subdivision (a) shall be suspended for the
2002-03, 2003-04, 2004-05, 2005-06, 2006-07, and 2007-08 fiscal
years.
  SEC. 3.  Section 1534 of the Health and Safety Code is amended to
read:
   1534.  (a) (1) Every licensed community care facility shall be
subject to unannounced visits by the department. The department shall
visit these facilities as often as necessary to ensure the quality
of care provided.
   (A) The department shall conduct an annual unannounced visit to a
facility under any of the following circumstances:
   (i) When a license is on probation.
   (ii) When the terms of agreement in a facility compliance plan
require an annual evaluation.
   (iii) When an accusation against a licensee is pending.
   (iv) When a facility requires an annual visit as a condition of
receiving federal financial participation.
   (v) In order to verify that a person who has been ordered out of a
facility by the department is no longer at the facility.
   (B) (i) The department shall conduct annual unannounced visits to
no less than 20 percent of facilities not subject to an evaluation
under subparagraph (A). These unannounced visits shall be conducted
based on a random sampling methodology developed by the department.
   (ii) If the total citations issued by the department exceed the
previous year's total by 10 percent, the following year the
department shall increase the random sample by an additional 10
percent of the facilities not subject to an evaluation under
subparagraph (A). The department may request additional resources to
increase the random sample by 10 percent.
   (C) Under no circumstance shall the department visit a community
care facility less often than once every five years.
   (D) In order to facilitate direct contact with group home clients,
the department may interview children who are clients of group homes
at any public agency or private agency at which the client may be
found, including, but not limited to, a juvenile hall, recreation or
vocational program, or a nonpublic school. The department shall
respect the rights of the child while conducting the interview,
including informing the child that he or she has the right not to be
interviewed and the right to have another adult present during the
interview.
   (2) The department shall notify the community care facility in
writing of all deficiencies in its compliance with the provisions of
this chapter and the rules and regulations adopted pursuant to this
chapter, and shall set a reasonable length of time for compliance by
the facility.
   (3) Reports on the results of each inspection, evaluation, or
consultation shall be kept on file in the department, and all
inspection reports, consultation reports, lists of deficiencies, and
plans of correction shall be open to public inspection in the county
in which the facility is located.
   (b) (1) Nothing in this section shall limit the authority of the
department to inspect or evaluate a licensed foster family agency, a
certified family home, or any aspect of a program where a licensed
community care facility is certifying compliance with licensing
requirements.
   (2) Upon a finding of noncompliance by the department, the
department may require a foster family agency to deny or revoke the
certificate of approval of a certified family home, or take other
action the department may deem necessary for the protection of a
child placed with the family home. The family home shall be afforded
the due process provided pursuant to this chapter.
   (3) If the department requires a foster family agency to deny or
revoke the certificate of approval, the department shall serve an
order of denial or revocation upon the certified or prospective
foster parent and foster family agency that shall notify the
certified or prospective foster parent of the basis of the department'
s action and of the certified or prospective foster parent's right to
a hearing.
   (4) Within 15 days after the department serves an order of denial
or revocation, the certified or prospective foster parent may file a
written appeal of the department's decision with the department. The
department's action shall be final if the certified or prospective
foster parent does not file a written appeal within 15 days after the
department serves the denial or revocation order.
   (5) The department's order of the denial or revocation of the
certificate of approval shall remain in effect until the hearing is
completed and the director has made a final determination on the
merits.
   (6) A certified or prospective foster parent who files a written
appeal of the department's order with the department pursuant to this
section shall, as part of the written request, provide his or her
current mailing address. The certified or prospective foster parent
shall subsequently notify the department in writing of any change in
mailing address, until the hearing process has been completed or
terminated.
   (7) Hearings held pursuant to this section shall be conducted in
accordance with Chapter 5 (commencing with Section 11500) of Division
3 of Title 2 of the Government Code. In all proceedings conducted in
accordance with this section the standard of proof shall be by a
preponderance of the evidence.
   (8) The department may institute or continue a disciplinary
proceeding against a certified or prospective foster parent upon any
ground provided by this section, enter an order denying or revoking
the certificate of approval, or otherwise take disciplinary action
against the certified or prospective foster parent, notwithstanding
any resignation, withdrawal of application, surrender of the
certificate of approval, or denial or revocation of the certificate
of approval by the foster family agency.
   (9) A foster family agency's failure to comply with the department'
s order to deny or revoke the certificate of employment by placing or
retaining children in care shall be grounds for disciplining the
licensee pursuant to Section 1550.
  SEC. 4.  Section 1569.33 of the Health and Safety Code is amended
to read:
   1569.33.  (a) Every licensed residential care facility for the
elderly shall be subject to unannounced visits by the department. The
department shall visit these facilities as often as necessary to
ensure the quality of care provided.
   (b) The department shall conduct an annual unannounced visit of a
facility under any of the following circumstances:
   (1) When a license is on probation.
   (2) When the terms of agreement in a facility compliance plan
require an annual evaluation.
   (3) When an accusation against a licensee is pending.
   (4) When a facility requires an annual visit as a condition of
receiving federal financial participation.
   (5) In order to verify that a person who has been ordered out of
the facility for the elderly by the department is no longer at the
facility.
   (c) (1) The department shall conduct annual unannounced visits to
no less than 20 percent of facilities not subject to an evaluation
under subdivision (b). These unannounced visits shall be conducted
based on a random sampling methodology developed by the department.
   (2) If the total citations issued by the department exceed the
previous year's total by 10 percent, the following year the
department shall increase the random sample by 10 percent of the
facilities not subject to an evaluation under subdivision (b). The
department may request additional resources to increase the random
sample by 10 percent.
   (d) Under no circumstance shall the department visit a residential
care facility for the elderly less often than once every five years.

   (e) The department shall notify the residential care facility for
the elderly in writing of all deficiencies in its compliance with the
provisions of this chapter and the rules and regulations adopted
pursuant to this chapter, and shall set a reasonable length of time
for compliance by the facility.
   (f) Reports on the results of each inspection, evaluation, or
consultation shall be kept on file in the department, and all
inspection reports, consultation reports, lists of deficiencies, and
plans of correction shall be open to public inspection in the county
in which the facility is located.
   (g) As a part of the department's annual evaluation process, the
department shall review the plan of operation, training logs, and
marketing materials of any residential care facility for the elderly
that advertises or promotes special care, special programming, or a
special environment for persons with dementia to monitor compliance
with Sections 1569.626 and 1569.627.
  SEC. 5.  Section 1597.09 of the Health and Safety Code is amended
to read:
   1597.09.  (a) Each licensed child day care center shall be subject
to unannounced visits by the department. The department shall visit
these facilities as often as necessary to ensure the quality of care
provided.
   (b) The department shall conduct an annual unannounced visit to a
licensed child day care center under any of the following
circumstances:
   (1) When a license is on probation.
   (2) When the terms of agreement in a facility compliance plan
require an annual evaluation.
   (3) When an accusation against a licensee is pending.
   (4) In order to verify that a person who has been ordered out of a
child day care center by the department is no longer at the
facility.
   (c) (1) The department shall conduct an annual unannounced visit
to no less than 20 percent of facilities not subject to an evaluation
under subdivision (b). These unannounced visits shall be conducted
based on a random sampling methodology developed by the department.
   (2) If the total citations issued by the department exceed the
previous year's total by 10 percent, the following year the
department shall increase the random sample by 10 percent of
facilities not subject to an evaluation under subdivision (b). The
department may request additional resources to increase the random
sample by 10 percent.
   (d) Under no circumstance shall the department visit a licensed
child day care center less often than once every five years.
  SEC. 6.  Section 1597.55a of the Health and Safety Code is amended
to read:
   1597.55a.  Every family day care home shall be subject to
unannounced visits by the department as provided in this section. The
department shall visit these facilities as often as necessary to
ensure the quality of care provided.
   (a) The department shall conduct an announced site visit prior to
the initial licensing of the applicant.
   (b) The department shall conduct an annual unannounced visit to a
facility under any of the following circumstances:
   (1) When a license is on probation.
   (2) When the terms of agreement in a facility compliance plan
require an annual evaluation.
   (3) When an accusation against a licensee is pending.
   (4) In order to verify that a person who has been ordered out of a
family day care home by the department is no longer at the facility.

   (c) (1) The department shall conduct annual unannounced visits to
no less than 20 percent of facilities not subject to an evaluation
under subdivision (b). These unannounced visits shall be conducted
based on a random sampling methodology developed by the department.
   (2) If the total citations issued by the department exceed the
previous year's total by 10 percent, the following year the
department shall increase the random sample by 10 percent of the
facilities not subject to an evaluation under subdivision (b). The
department may request additional resources to increase the random
sample by 10 percent.
   (d) Under no circumstance shall the department visit a licensed
family day care home less often than once every five years.
   (e) A public agency under contract with the department may make
spot checks if it does not result in any cost to the state. However,
spot checks shall not be required by the department.
   (f) The department or licensing agency shall make an unannounced
site visit on the basis of a complaint and a followup visit as
provided in Section 1596.853.
   (g) An unannounced site visit shall adhere to both of the
following conditions:
   (1) The visit shall take place only during the facility's normal
business hours or at any time family day care services are being
provided.
   (2) The inspection of the facility shall be limited to those parts
of the facility in which family day care services are provided or to
which the children have access.
   (h) The department shall implement this section during periods
that Section 1597.55b is not being implemented in accordance with
Section 18285.5 of the Welfare and Institutions Code.
  SEC. 7.  Section 11831.2 of the Health and Safety Code is amended
to read:
   11831.2.  The department shall charge a fee for the certification
of programs, in accordance with Chapter 7.3 (commencing with Section
11833.01).
  SEC. 8.  Section 11831.5 of the Health and Safety Code is amended
to read:
   11831.5.  (a) Certification shall be granted by the department
pursuant to this section to any qualified alcoholism or drug abuse
recovery or treatment program, regardless of the source of the
program's funding, upon approval of a completed application and
payment of the required fee. The certification shall be valid for a
period of not more than two years. The department may extend the
certification period upon receipt of an application for renewal and
payment of the required certification fee prior to the expiration
date of the certification.
   (b) The purposes of certification under this section shall be all
of the following:
   (1) To identify programs that exceed minimal levels of service
quality, are in substantial compliance with the department's
standards, and merit the confidence of the public, third-party
payers, and county alcohol and drug programs.
   (2) To encourage programs to meet their stated goals and
objectives.
   (3) To encourage programs to strive for increased quality of
service through recognition by the state and by peer programs in the
alcoholism and drug field.
   (4) To assist programs to identify their needs for technical
assistance, training, and program improvements.
   (c) Certification may be granted under this section on the basis
of evidence satisfactory to the department that the requesting
alcoholism or drug abuse recovery or treatment program has an
accreditation by a statewide or national alcohol or drug program
accrediting body. The accrediting body shall provide accreditation
that meets or exceeds the department's standards and is recognized by
the department.
   (d) Certification, or the lack thereof, shall not convey any
approval or disapproval by the department, but shall be for
information purposes only.
   (e) The standards developed pursuant to Section 11830 and the
certification under this section shall satisfy the requirements of
Section 1463.16 of the Penal Code.
   (f) The department and the State Department of Social Services
shall enter into a memorandum of understanding to establish a process
by which the Department of Alcohol and Drug Programs can certify
residential facilities or programs serving primarily adolescents, as
defined in paragraph (1) of subdivision (a) of Section 1502, that
have programs that primarily serve adolescents and provide alcohol
and other drug recovery or treatment services.
   (g) Regulations adopted by the department pursuant to this section
shall be adopted as emergency regulations in accordance with Chapter
3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title
2 of the Government Code, and for the purposes of that chapter,
including Section 11349.6 of the Government Code, the adoption of
these regulations is an emergency and shall be considered by the
Office of Administrative Law as necessary for the immediate
preservation of the public peace, health and safety, and general
welfare. Notwithstanding Chapter 3.5 (commencing with Section 11340)
of Part 1 of Division 3 of Title 2 of the Government Code, including
subdivision (e) of Section 11346.1 of the Government Code, any
emergency regulations adopted pursuant to this section shall be filed
with, but not be repealed by, the Office of Administrative Law and
shall remain in effect until revised by the department. Nothing in
this subdivision shall be interpreted to prohibit the department from
adopting subsequent amendments on a nonemergency basis or as
emergency regulations in accordance with the standards set forth in
Section 11346.1 of the Government Code.
  SEC. 9.  Chapter 7.3 (commencing with Section 11833.01) is added to
Part 2 of Division 10.5 of the Health and Safety Code, to read:
      CHAPTER 7.3.  LICENSING AND CERTIFICATION PROGRAM FUNDING


   11833.01.  This chapter applies to all programs, facilities, or
services certified pursuant to Chapter 7 (commencing with Section
11830) or licensed pursuant to Chapter 7.5 (commencing with Section
11834.01), or both.
   11833.02.  (a) The department shall charge a fee to all programs
for licensure or certification by the department, regardless of the
form of organization or ownership of the program.
   (b) The department may establish fee scales using different
capacity levels, categories based on measures other than program
capacity, or any other category or classification that the department
deems necessary or convenient to maintain an effective and equitable
fee structure.
   (c) Licensing and certification fees shall be evaluated annually,
taking into consideration the overall cost of the residential and
outpatient licensing and certification activities of the department,
including initial issuance, renewals, complaints, enforcement
activity, related litigation, and any other program activity relating
to licensure and certification, plus a reasonable reserve.
   (d) The department shall submit any proposed new fees or fee
changes to the Legislature for approval no later than April 1 of each
year as part of the spring finance letter process. No new fees or
fee changes shall be implemented without legislative approval.
   (e) Unless funds are specifically appropriated from the General
Fund in the annual Budget Act or other legislation to support the
division, the Licensing and Certification Division, no later than the
beginning of the 2010-11 fiscal year, shall be supported entirely by
federal funds and special funds.
   11833.03.  The Residential and Outpatient Program Licensing Fund
is hereby established in the State Treasury. All fees, fines, and
penalties collected from residential and outpatient programs
collected in accordance with this chapter shall be deposited in this
fund. The money in the fund shall be available upon appropriation by
the Legislature for the purposes of supporting the licensing and
certification activities of the department.
   11833.04.  (a) Notwithstanding the rulemaking provisions of the
Administrative Procedure Act, Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code,
until emergency regulations are filed with the Secretary of State,
the department may implement this chapter through all-county letters
or similar instructions from the director. The department shall adopt
emergency regulations implementing this chapter no later than
September 30, 2008, unless the department provides written
notification of a delay to the Chair of the Joint Legislative Budget
Committee prior to that date. The notification shall include the
reason for the delay, the current status of the emergency
regulations, a date by which the emergency regulations shall be
adopted, and a statement of need to continue use of all-county
letters or similar instructions. Under no circumstances shall the
adoption of emergency regulations be delayed, or the use of
all-county letters or similar instructions be extended, beyond June
30, 2009.
   (b) Notwithstanding any other provision of law, the adoption of
regulations implementing this chapter shall be deemed an emergency
and necessary for the immediate preservation of the public peace,
health, safety, or general welfare.
  SEC. 10.  Section 11834 of the Health and Safety Code is amended
and renumbered to read:
   11832.1.  The department shall encourage the development of
educational courses that provide core knowledge concerning alcohol
and drug abuse problems and programs to personnel working within
alcohol and drug abuse programs.
  SEC. 11.  Section 11834.03 of the Health and Safety Code is amended
to read:
   11834.03.  Any person or entity applying for licensure shall file
with the department, on forms provided by the department, all of the
following:
   (a) A completed written application for licensure.
   (b) A fire clearance approved by the State Fire Marshal or local
fire enforcement officer.
   (c) A licensure fee, established in accordance with Chapter 7.3
(commencing with Section 11833.01).
  SEC. 12.  Section 11834.15 of the Health and Safety Code is amended
to read:
   11834.15.  The department may assess civil penalties in accordance
with Sections 11834.31 and 11834.34.
  SEC. 13.  Section 11999.30 of the Health and Safety Code is amended
to read:
   11999.30.  (a) This division shall be known as the Substance Abuse
Offender Treatment Program. Funds distributed under this division
shall be used to serve offenders who qualify for services under the
Substance Abuse and Crime Prevention Act of 2000, including any
amendments thereto. Implementation of this division is subject to an
appropriation in the annual Budget Act.
   (b) The department shall distribute funds for the Substance Abuse
Offender Treatment Program to counties that demonstrate eligibility
for the program, including a commitment of county general funds or
funds from a source other than the state, which demonstrates
eligibility for the program. The department shall establish a
methodology for allocating funds under the program, based on the
following factors:
   (1) The percentage of offenders ordered to drug treatment that
actually begin treatment.
   (2) The percentage of offenders ordered to treatment that
completed the prescribed course of treatment.
   (3) Any other factor determined by the department.
   (c) The distribution of funds for this program to each eligible
county shall be at a ratio of nine dollars ($9) for every one dollar
($1) of eligible county matching funds.
   (d) County eligibility for funds under this division shall be
determined by the department according to specified criteria,
including, but not limited to, all of the following:
   (1) The establishment and maintenance of dedicated court calendars
with regularly scheduled reviews of treatment progress for persons
ordered to drug treatment.
   (2) The existence or establishment of a drug court, or a similar
approach, and willingness to accept defendants who are likely to be
committed to state prison.
   (3) The establishment and maintenance of protocols for the use of
drug testing to monitor offenders' progress in treatment.
   (4) The establishment and maintenance of protocols for assessing
offenders' treatment needs and the placement of offenders at the
appropriate level of treatment.
   (5) The establishment and maintenance of protocols for effective
supervision of offenders on probation.
   (6) The establishment and maintenance of protocols for enhancing
the overall effectiveness of services to eligible parolees.
   (e) The department, in its discretion, may limit administrative
costs in determining the amount of eligible county match, and may
limit the expenditure of funds provided under this division for
administrative costs. The department may also require a limitation on
the expenditure of funds provided under this division for services
other than direct treatment costs, as a condition of receipt of
program funds.
   (f) To receive funds under this division, a county shall submit an
application to the department documenting all of the following:
   (1) The county's commitment of funds, as required by subdivision
(b).
   (2) The county's eligibility, as determined by the criteria set
forth in subdivision (d).
   (3) The county's plan and commitment to utilize the funds for the
purposes of the program, which may include, but are not limited to,
all of the following:
   (A) Enhancing treatment services for offenders assessed to need
them, including residential treatment and narcotic replacement
therapy.
   (B) Increasing the proportion of sentenced offenders who enter,
remain in, and complete treatment, through activities and approaches
such as colocation of services, enhanced supervision of offenders,
and enhanced services determined necessary through the use of drug
test results.
   (C) Reducing delays in the availability of appropriate treatment
services.
   (D) Use of a drug court or similar model, including dedicated
court calendars with regularly scheduled reviews of treatment
progress, and strong collaboration by the courts,
                       probation, and treatment.
   (E) Developing treatment services that are needed but not
available.
   (F) Other activities, approaches, and services approved by the
department, after consultation with stakeholders.
   (g) The department shall audit county expenditures of funds
distributed pursuant to this division. Expenditures not made in
accordance with this division shall be repaid to the state.
   (h) The department shall consult with stakeholders and report
during annual budget hearings on additional recommendations for
improvement of programs and services, allocation and funding
mechanisms, including, but not limited to, competitive approaches,
performance-based allocations, and sources of data for measurement.
   (i) (1) For the 2006-07 and 2007-08 fiscal years, the department
may implement this division by all-county letters or other similar
instructions, and need not comply with the rulemaking requirements of
Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code. Commencing with the 2008-09 fiscal
year, the department may implement this section by emergency
regulations, adopted pursuant to paragraph (2).
   (2) Regulations adopted by the department pursuant to this
division shall be adopted as emergency regulations in accordance with
Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code, and for the purposes of that
chapter, including Section 11349.6 of the Government Code, the
adoption of these regulations is an emergency and shall be considered
by the Office of Administrative Law as necessary for the immediate
preservation of the public peace, health and safety, and general
welfare. Notwithstanding Chapter 3.5 (commencing with Section 11340)
of Part 1 of Division 3 of Title 2 of the Government Code, including
subdivision (e) of Section 11346.1 of the Government Code, any
emergency regulations adopted pursuant to this division shall be
filed with, but not be repealed by, the Office of Administrative Law
and shall remain in effect until revised by the department. Nothing
in this paragraph shall be interpreted to prohibit the department
from adopting subsequent amendments on a nonemergency basis or as
emergency regulations in accordance with the standards set forth in
Section 11346.1 of the Government Code.
  SEC. 14.  Section 366.21 of the Welfare and Institutions Code is
amended to read:
   366.21.  (a) Every hearing conducted by the juvenile court
reviewing the status of a dependent child shall be placed on the
appearance calendar. The court shall advise all persons present at
the hearing of the date of the future hearing and of their right to
be present and represented by counsel.
   (b) Except as provided in Sections 294 and 295, notice of the
hearing shall be provided pursuant to Section 293.
   (c) At least 10 calendar days prior to the hearing, the social
worker shall file a supplemental report with the court regarding the
services provided or offered to the parent or legal guardian to
enable him or her to assume custody and the efforts made to achieve
legal permanence for the child if efforts to reunify fail, including,
but not limited to, efforts to maintain relationships between a
child who is 10 years of age or older and has been in out-of-home
placement for six months or longer and individuals who are important
to the child, consistent with the child's best interests; the
progress made; and, where relevant, the prognosis for return of the
child to the physical custody of his or her parent or legal guardian;
and shall make his or her recommendation for disposition. If the
child is a member of a sibling group described in paragraph (3) of
subdivision (a) of Section 361.5, the report and recommendation may
also take into account those factors described in subdivision (e)
relating to the child's sibling group. If the recommendation is not
to return the child to a parent or legal guardian, the report shall
specify why the return of the child would be detrimental to the
child. The social worker shall provide the parent or legal guardian,
counsel for the child, and any court-appointed child advocate with a
copy of the report, including his or her recommendation for
disposition, at least 10 calendar days prior to the hearing. In the
case of a child removed from the physical custody of his or her
parent or legal guardian, the social worker shall, at least 10
calendar days prior to the hearing, provide a summary of his or her
recommendation for disposition to any foster parents, relative
caregivers, and certified foster parents who have been approved for
adoption by the State Department of Social Services when it is acting
as an adoption agency in counties that are not served by a county
adoption agency or by a licensed county adoption agency, community
care facility, or foster family agency having the physical custody of
the child. The social worker shall include a copy of the Judicial
Council Caregiver Information Form (JV-290) with the summary of
recommendations to the child's foster parents, relative caregivers,
or foster parents approved for adoption, in the caregiver's primary
language when available, along with information on how to file the
form with the court.
   (d) Prior to any hearing involving a child in the physical custody
of a community care facility or a foster family agency that may
result in the return of the child to the physical custody of his or
her parent or legal guardian, or in adoption or the creation of a
legal guardianship, the facility or agency shall file with the court
a report, or a Judicial Council Caregiver Information Form (JV-290),
containing its recommendation for disposition. Prior to the hearing
involving a child in the physical custody of a foster parent, a
relative caregiver, or a certified foster parent who has been
approved for adoption by the State Department of Social Services when
it is acting as an adoption agency or by a licensed adoption agency,
the foster parent, relative caregiver, or the certified foster
parent who has been approved for adoption by the State Department of
Social Services when it is acting as an adoption agency in counties
that are not served by a county adoption agency or by a licensed
county adoption agency, may file with the court a report containing
his or her recommendation for disposition. The court shall consider
the report and recommendation filed pursuant to this subdivision
prior to determining any disposition.
   (e) At the review hearing held six months after the initial
dispositional hearing, the court shall order the return of the child
to the physical custody of his or her parent or legal guardian unless
the court finds, by a preponderance of the evidence, that the return
of the child to his or her parent or legal guardian would create a
substantial risk of detriment to the safety, protection, or physical
or emotional well-being of the child. The social worker shall have
the burden of establishing that detriment. At the hearing, the court
shall consider the criminal history, obtained pursuant to paragraph
(1) of subdivision (f) of Section 16504.5, of the parent or legal
guardian subsequent to the child's removal, provided that he or she
agreed to submit fingerprint images to obtain criminal history
information as part of the case plan. The failure of the parent or
legal guardian to participate regularly and make substantive progress
in court-ordered treatment programs shall be prima facie evidence
that return would be detrimental. In making its determination, the
court shall review and consider the social worker's report and
recommendations and the report and recommendations of any child
advocate appointed pursuant to Section 356.5; and shall consider the
efforts or progress, or both, demonstrated by the parent or legal
guardian and the extent to which he or she availed himself or herself
to services provided.
   Whether or not the child is returned to a parent or legal
guardian, the court shall specify the factual basis for its
conclusion that the return would be detrimental or would not be
detrimental. The court also shall make appropriate findings pursuant
to subdivision (a) of Section 366; and, where relevant, shall order
any additional services reasonably believed to facilitate the return
of the child to the custody of his or her parent or legal guardian.
The court shall also inform the parent or legal guardian that if the
child cannot be returned home by the 12-month permanency hearing, a
proceeding pursuant to Section 366.26 may be instituted. This section
does not apply in a case where, pursuant to Section 361.5, the court
has ordered that reunification services shall not be provided.
   If the child was under the age of three years on the date of the
initial removal, or is a member of a sibling group described in
paragraph (3) of subdivision (a) of Section 361.5, and the court
finds by clear and convincing evidence that the parent failed to
participate regularly and make substantive progress in a
court-ordered treatment plan, the court may schedule a hearing
pursuant to Section 366.26 within 120 days. If, however, the court
finds there is a substantial probability that the child, who was
under the age of three years on the date of initial removal or is a
member of a sibling group described in paragraph (3) of subdivision
(a) of Section 361.5, may be returned to his or her parent or legal
guardian within six months or that reasonable services have not been
provided, the court shall continue the case to the 12-month
permanency hearing.
   For the purpose of placing and maintaining a sibling group
together in a permanent home, the court, in making its determination
to schedule a hearing pursuant to Section 366.26 for some or all
members of a sibling group, as described in paragraph (3) of
subdivision (a) of Section 361.5, shall review and consider the
social worker's report and recommendations. Factors the report shall
address, and the court shall consider, may include, but need not be
limited to, whether the sibling group was removed from parental care
as a group, the closeness and strength of the sibling bond, the ages
of the siblings, the appropriateness of maintaining the sibling group
together, the detriment to the child if sibling ties are not
maintained, the likelihood of finding a permanent home for the
sibling group, whether the sibling group is currently placed together
in a preadoptive home or has a concurrent plan goal of legal
permanency in the same home, the wishes of each child whose age and
physical and emotional condition permits a meaningful response, and
the best interest of each child in the sibling group. The court shall
specify the factual basis for its finding that it is in the best
interest of each child to schedule a hearing pursuant to Section
366.26 in 120 days for some or all of the members of the sibling
group.
   If the child was removed initially under subdivision (g) of
Section 300 and the court finds by clear and convincing evidence that
the whereabouts of the parent are still unknown, or the parent has
failed to contact and visit the child, the court may schedule a
hearing pursuant to Section 366.26 within 120 days. If the court
finds by clear and convincing evidence that the parent has been
convicted of a felony indicating parental unfitness, the court may
schedule a hearing pursuant to Section 366.26 within 120 days.
   If the child had been placed under court supervision with a
previously noncustodial parent pursuant to Section 361.2, the court
shall determine whether supervision is still necessary. The court may
terminate supervision and transfer permanent custody to that parent,
as provided for by paragraph (1) of subdivision (b) of Section
361.2.
   In all other cases, the court shall direct that any reunification
services previously ordered shall continue to be offered to the
parent or legal guardian pursuant to the time periods set forth in
subdivision (a) of Section 361.5, provided that the court may modify
the terms and conditions of those services.
   If the child is not returned to his or her parent or legal
guardian, the court shall determine whether reasonable services that
were designed to aid the parent or legal guardian in overcoming the
problems that led to the initial removal and the continued custody of
the child have been provided or offered to the parent or legal
guardian. The court shall order that those services be initiated,
continued, or terminated.
   (f) The permanency hearing shall be held no later than 12 months
after the date the child entered foster care, as that date is
determined pursuant to subdivision (a) of Section 361.5. At the
permanency hearing, the court shall determine the permanent plan for
the child, which shall include a determination of whether the child
will be returned to the child's home and, if so, when, within the
time limits of subdivision (a) of Section 361.5. The court shall
order the return of the child to the physical custody of his or her
parent or legal guardian unless the court finds, by a preponderance
of the evidence, that the return of the child to his or her parent or
legal guardian would create a substantial risk of detriment to the
safety, protection, or physical or emotional well-being of the child.
The social worker shall have the burden of establishing that
detriment. At the permanency hearing, the court shall consider the
criminal history, obtained pursuant to paragraph (1) of subdivision
(f) of Section 16504.5, of the parent or legal guardian subsequent to
the child's removal, provided that he or she agreed to submit
fingerprint images to obtain criminal history information as part of
the case plan. The court shall also determine whether reasonable
services that were designed to aid the parent or legal guardian to
overcome the problems that led to the initial removal and continued
custody of the child have been provided or offered to the parent or
legal guardian. For each youth 16 years of age and older, the court
shall also determine whether services have been made available to
assist him or her in making the transition from foster care to
independent living. The failure of the parent or legal guardian to
participate regularly and make substantive progress in court-ordered
treatment programs shall be prima facie evidence that return would be
detrimental. In making its determination, the court shall review and
consider the social worker's report and recommendations and the
report and recommendations of any child advocate appointed pursuant
to Section 356.5, shall consider the efforts or progress, or both,
demonstrated by the parent or legal guardian and the extent to which
he or she availed himself or herself of services provided, and shall
make appropriate findings pursuant to subdivision (a) of Section 366.

   Whether or not the child is returned to his or her parent or legal
guardian, the court shall specify the factual basis for its
decision. If the child is not returned to a parent or legal guardian,
the court shall specify the factual basis for its conclusion that
the return would be detrimental. The court also shall make a finding
pursuant to subdivision (a) of Section 366.
   (g) If the time period in which the court-ordered services were
provided has met or exceeded the time period set forth in paragraph
(1), (2), or (3) of subdivision (a) of Section 361.5, as appropriate,
and a child is not returned to the custody of a parent or legal
guardian at the permanency hearing held pursuant to subdivision (f),
the court shall do one of the following:
   (1) Continue the case for up to six months for a permanency review
hearing, provided that the hearing shall occur within 18 months of
the date the child was originally taken from the physical custody of
his or her parent or legal guardian. The court shall continue the
case only if it finds that there is a substantial probability that
the child will be returned to the physical custody of his or her
parent or legal guardian and safely maintained in the home within the
extended period of time or that reasonable services have not been
provided to the parent or legal guardian. For the purposes of this
section, in order to find a substantial probability that the child
will be returned to the physical custody of his or her parent or
legal guardian and safely maintained in the home within the extended
period of time, the court shall be required to find all of the
following:
   (A) That the parent or legal guardian has consistently and
regularly contacted and visited with the child.
   (B) That the parent or legal guardian has made significant
progress in resolving problems that led to the child's removal from
the home.
   (C) The parent or legal guardian has demonstrated the capacity and
ability both to complete the objectives of his or her treatment plan
and to provide for the child's safety, protection, physical and
emotional well-being, and special needs.
   For purposes of this subdivision, the court's decision to continue
the case based on a finding or substantial probability that the
child will be returned to the physical custody of his or her parent
or legal guardian is a compelling reason for determining that a
hearing held pursuant to Section 366.26 is not in the best interests
of the child.
   The court shall inform the parent or legal guardian that if the
child cannot be returned home by the next permanency review hearing,
a proceeding pursuant to Section 366.26 may be instituted. The court
may not order that a hearing pursuant to Section 366.26 be held
unless there is clear and convincing evidence that reasonable
services have been provided or offered to the parent or legal
guardian.
   (2) Order that a hearing be held within 120 days, pursuant to
Section 366.26, but only if the court does not continue the case to
the permanency planning review hearing and there is clear and
convincing evidence that reasonable services have been provided or
offered to the parents or legal guardians.
   (3) Order that the child remain in long-term foster care, but only
if the court finds by clear and convincing evidence, based upon the
evidence already presented to it, including a recommendation by the
State Department of Social Services when it is acting as an adoption
agency in counties that are not served by a county adoption agency or
by a licensed county adoption agency, that there is a compelling
reason for determining that a hearing held pursuant to Section 366.26
is not in the best interest of the child because the child is not a
proper subject for adoption and has no one willing to accept legal
guardianship. For purposes of this section, a recommendation by the
State Department of Social Services when it is acting as an adoption
agency in counties that are not served by a county adoption agency or
by a licensed county adoption agency that adoption is not in the
best interest of the child shall constitute a compelling reason for
the court's determination. That recommendation shall be based on the
present circumstances of the child and may not preclude a different
recommendation at a later date if the child's circumstances change.
   If the court orders that a child who is 10 years of age or older
remain in long-term foster care, the court shall determine whether
the agency has made reasonable efforts to maintain the child's
relationships with individuals other than the child's siblings who
are important to the child, consistent with the child's best
interests, and may make any appropriate order to ensure that those
relationships are maintained.
   (h) In any case in which the court orders that a hearing pursuant
to Section 366.26 shall be held, it shall also order the termination
of reunification services to the parent or legal guardian. The court
shall continue to permit the parent or legal guardian to visit the
child pending the hearing unless it finds that visitation would be
detrimental to the child. The court shall make any other appropriate
orders to enable the child to maintain relationships with
individuals, other than the child's siblings, who are important to
the child, consistent with the child's best interests.
   (i) Whenever a court orders that a hearing pursuant to Section
366.26 shall be held, it shall direct the agency supervising the
child and the licensed county adoption agency, or the State
Department of Social Services when it is acting as an adoption agency
in counties that are not served by a county adoption agency, to
prepare an assessment that shall include:
   (1) Current search efforts for an absent parent or parents or
legal guardians.
   (2) A review of the amount of and nature of any contact between
the child and his or her parents or legal guardians and other members
of his or her extended family since the time of placement. Although
the extended family of each child shall be reviewed on a case-by-case
basis, "extended family" for the purpose of this paragraph shall
include, but not be limited to, the child's siblings, grandparents,
aunts, and uncles.
   (3) An evaluation of the child's medical, developmental,
scholastic, mental, and emotional status.
   (4) A preliminary assessment of the eligibility and commitment of
any identified prospective adoptive parent or legal guardian,
particularly the caretaker, to include a social history including
screening for criminal records and prior referrals for child abuse or
neglect, the capability to meet the child's needs, and the
understanding of the legal and financial rights and responsibilities
of adoption and guardianship. If a proposed guardian is a relative of
the minor, and the relative was assessed for foster care placement
of the minor prior to January 1, 1998, the assessment shall also
consider, but need not be limited to, all of the factors specified in
subdivision (a) of Section 361.3.
   (5) The relationship of the child to any identified prospective
adoptive parent or legal guardian, the duration and character of the
relationship, the motivation for seeking adoption or guardianship,
and a statement from the child concerning placement and the adoption
or guardianship, unless the child's age or physical, emotional, or
other condition precludes his or her meaningful response, and if so,
a description of the condition.
   (6) A description of efforts to be made to identify a prospective
adoptive parent or legal guardian, including, but not limited to,
child-specific recruitment and listing on an adoption exchange.
   (7) An analysis of the likelihood that the child will be adopted
if parental rights are terminated.
   (j) If, at any hearing held pursuant to Section 366.26, a
guardianship is established for the minor with a relative, and
juvenile court dependency is subsequently dismissed, the relative
shall be eligible for aid under the Kin-GAP Program, as provided for
in Article 4.5 (commencing with Section 11360) of Chapter 2 of Part 3
of Division 9.
   (k) As used in this section, "relative" means an adult who is
related to the minor by blood, adoption, or affinity within the fifth
degree of kinship, including stepparents, stepsiblings, and all
relatives whose status is preceded by the words "great,"
"great-great," or "grand," or the spouse of any of those persons even
if the marriage was terminated by death or dissolution.
   (l) For purposes of this section, evidence of any of the following
circumstances may not, in and of itself, be deemed a failure to
provide or offer reasonable services:
   (1) The child has been placed with a foster family that is
eligible to adopt a child, or has been placed in a preadoptive home.
   (2) The case plan includes services to make and finalize a
permanent placement for the child if efforts to reunify fail.
   (3) Services to make and finalize a permanent placement for the
child, if efforts to reunify fail, are provided concurrently with
services to reunify the family.
   (m) The implementation and operation of the amendments to
subdivisions (c) and (g) enacted at the 2005-06 Regular Session shall
be subject to appropriation through the budget process and by phase,
as provided in Section 366.35.
  SEC. 15.  Section 366.22 of the Welfare and Institutions Code is
amended to read:
   366.22.  (a) When a case has been continued pursuant to paragraph
(1) of subdivision (g) of Section 366.21, the permanency review
hearing shall occur within 18 months after the date the child was
originally removed from the physical custody of his or her parent or
legal guardian. The court shall order the return of the child to the
physical custody of his or her parent or legal guardian unless the
court finds, by a preponderance of the evidence, that the return of
the child to his or her parent or legal guardian would create a
substantial risk of detriment to the safety, protection, or physical
or emotional well-being of the child. The social worker shall have
the burden of establishing that detriment. At the permanency review
hearing, the court shall consider the criminal history, obtained
pursuant to paragraph (1) of subdivision (f) of Section 16504.5, of
the parent or legal guardian subsequent to the child's removal,
provided that he or she agreed to submit fingerprint images to obtain
criminal history information as part of the case plan. The failure
of the parent or legal guardian to participate regularly and make
substantive progress in court-ordered treatment programs shall be
prima facie evidence that return would be detrimental. In making its
determination, the court shall review and consider the social worker'
s report and recommendations and the report and recommendations of
any child advocate appointed pursuant to Section 356.5; shall
consider the efforts or progress, or both, demonstrated by the parent
or legal guardian and the extent to which he or she availed himself
or herself of services provided; and shall make appropriate findings
pursuant to subdivision (a) of Section 366.
   Whether or not the child is returned to his or her parent or legal
guardian, the court shall specify the factual basis for its
decision. If the child is not returned to a parent or legal guardian,
the court shall specify the factual basis for its conclusion that
return would be detrimental.
   If the child is not returned to a parent or legal guardian at the
permanency review hearing, the court shall order that a hearing be
held pursuant to Section 366.26 in order to determine whether
adoption, guardianship, or long-term foster care is the most
appropriate plan for the child. However, if the court finds by clear
and convincing evidence, based on the evidence already presented to
it, including a recommendation by the State Department of Social
Services when it is acting as an adoption agency in counties that are
not served by a county adoption agency or by a licensed county
adoption agency, that
there is a compelling reason, as described in paragraph (2) of
subdivision (g) of Section 366.21, for determining that a hearing
held under Section 366.26 is not in the best interest of the child
because the child is not a proper subject for adoption and has no one
willing to accept legal guardianship, then the court may, only under
these circumstances, order that the child remain in foster care. If
the court orders that a child who is 10 years of age or older remain
in long-term foster care, the court shall determine whether the
agency has made reasonable efforts to maintain the child's
relationships with individuals other than the child's siblings who
are important to the child, consistent with the child's best
interests, and may make any appropriate order to ensure that those
relationships are maintained. The hearing shall be held no later than
120 days from the date of the permanency review hearing. The court
shall also order termination of reunification services to the parent
or legal guardian. The court shall continue to permit the parent or
legal guardian to visit the child unless it finds that visitation
would be detrimental to the child. The court shall determine whether
reasonable services have been offered or provided to the parent or
legal guardian. For purposes of this subdivision, evidence of any of
the following circumstances shall not, in and of themselves, be
deemed a failure to provide or offer reasonable services:
   (1) The child has been placed with a foster family that is
eligible to adopt a child, or has been placed in a preadoptive home.
   (2) The case plan includes services to make and finalize a
permanent placement for the child if efforts to reunify fail.
   (3) Services to make and finalize a permanent placement for the
child, if efforts to reunify fail, are provided concurrently with
services to reunify the family.
   (b) Whenever a court orders that a hearing pursuant to Section
366.26 shall be held, it shall direct the agency supervising the
child and the licensed county adoption agency, or the State
Department of Social Services when it is acting as an adoption agency
in counties that are not served by a county adoption agency, to
prepare an assessment that shall include:
   (1) Current search efforts for an absent parent or parents.
   (2) A review of the amount of and nature of any contact between
the child and his or her parents and other members of his or her
extended family since the time of placement. Although the extended
family of each child shall be reviewed on a case-by-case basis,
"extended family" for the purposes of this paragraph shall include,
but not be limited to, the child's siblings, grandparents, aunts, and
uncles.
   (3) An evaluation of the child's medical, developmental,
scholastic, mental, and emotional status.
   (4) A preliminary assessment of the eligibility and commitment of
any identified prospective adoptive parent or legal guardian,
particularly the caretaker, to include a social history including
screening for criminal records and prior referrals for child abuse or
neglect, the capability to meet the child's needs, and the
understanding of the legal and financial rights and responsibilities
of adoption and guardianship. If a proposed legal guardian is a
relative of the minor, and the relative was assessed for foster care
placement of the minor prior to January 1, 1998, the assessment shall
also consider, but need not be limited to, all of the factors
specified in subdivision (a) of Section 361.3.
   (5) The relationship of the child to any identified prospective
adoptive parent or legal guardian, the duration and character of the
relationship, the motivation for seeking adoption or legal
guardianship, and a statement from the child concerning placement and
the adoption or legal guardianship, unless the child's age or
physical, emotional, or other condition precludes his or her
meaningful response, and if so, a description of the condition.
   (6) An analysis of the likelihood that the child will be adopted
if parental rights are terminated.
   (c) This section shall become operative January 1, 1999. If at any
hearing held pursuant to Section 366.26, a legal guardianship is
established for the minor with a relative, and juvenile court
dependency is subsequently dismissed, the relative shall be eligible
for aid under the Kin-GAP Program, as provided for in Article 4.5
(commencing with Section 11360) of Chapter 2 of Part 3 of Division 9.

   (d) As used in this section, "relative" means an adult who is
related to the child by blood, adoption, or affinity within the fifth
degree of kinship, including stepparents, stepsiblings, and all
relatives whose status is preceded by the words "great,"
"great-great," or "grand," or the spouse of any of those persons even
if the marriage was terminated by death or dissolution.
   (e) The implementation and operation of the amendments to
subdivision (a) enacted at the 2005-06 Regular Session shall be
subject to appropriation through the budget process and by phase, as
provided in Section 366.35.
  SEC. 15.5.  Section 4684 of the Welfare and Institutions Code is
amended to read:
   4684.  (a) Notwithstanding any other provision of law, the cost of
providing 24-hour out-of-home nonmedical care and supervision in
community care facilities licensed or approved pursuant to Chapter 3
(commencing with Section 1500) of Division 2 of the Health and Safety
Code shall be funded by the Aid to Families with Dependent
Children-Foster Care (AFDC-FC) program pursuant to Section 11464, for
children who are both AFDC-FC recipients and regional center
consumers.
   (b) The cost of providing adoption assistance benefits, shall be
funded by the Adoption Assistance Program (AAP) under Section 16121,
for children who are both AAP recipients and regional center
consumers.
   (c) (1) For regional center consumers who are recipients of
AFDC-FC benefits, regional centers shall purchase or secure the
services that are contained in the child's Individualized Family
Service Plan (IFSP) or Individual Program Plan (IPP), but which are
not allowable under federal or state AFDC-FC provisions.
   (2) For regional center consumers who are recipients of AAP
benefits, regional centers shall purchase or secure the services that
are contained in the child's IFSP or IPP.
   (3) For regional center consumers receiving services under
paragraph (1) or (2), these services shall be separately purchased or
secured by the regional center, pursuant to Sections 4646 to 4648,
inclusive, and Section 4685, and pursuant to Sections 95018 and 95020
of the Government Code. AFDC-FC and AAP benefits shall not be
counted toward the gross income calculated for the purposes of the
Family Cost Participation Program pursuant to Section 4783.
Recipients of AFDC-FC benefits shall not be subject to the Family
Cost Participation Program requirements.
   (4) Regional centers shall accept referrals for evaluations of
AFDC-FC-eligible children and children receiving AAP benefits for the
purpose of determining eligibility for regional center services,
pursuant to Section 4642. Regional centers shall assist county
welfare and probation departments in identifying appropriate
placement resources for children who are recipients of AFDC-FC and
who are eligible for regional center services.
   (d) (1) For purposes of this section, children who are recipients
of AFDC-FC and regional center services who are residing with a
relative or nonrelative extended family member pursuant to paragraph
(2) of subdivision (f) of Section 319 or Section 362.7, or a facility
defined in paragraph (5) or (6) of subdivision (a) of Section 1502
of the Health and Safety Code that is not vendored by the regional
center as a residential facility, shall not be prohibited from
receiving services defined in paragraph (38) of subdivision (a) of
Section 54302 of Title 22 of the California Code of Regulations.
   (2) AFDC-FC and AAP benefits shall be for care and supervision, as
defined in subdivision (b) of Section 11460, and the regional
centers shall separately purchase or secure other services contained
in the child's IFSP or IPP pursuant to Section 4646 to 4648,
inclusive, Section 4685, and Sections 95018 and 95020 of the
Government Code. Notwithstanding any other provision of law or
regulation, the receipt of AFDC-FC or AAP benefits shall not be cause
to deny any other services that a child or family for which the
child or family is otherwise eligible pursuant to this division.
   (e) This section shall apply to all recipients of AFDC-FC and AAP
benefits, including those with rates established prior to the
effective date of the act that adds this subdivision, pursuant to
Sections 11464 and 16121.
   (f) Regulations adopted by the department pursuant to this section
shall be adopted as emergency regulations in accordance with Chapter
3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title
2 of the Government Code, and for the purposes of that chapter,
including Section 11349.6 of the Government Code, the adoption of
these regulations is an emergency and shall be considered by the
Office of Administrative Law as necessary for the immediate
preservation of the public peace, health, safety, and general
welfare.
  SEC. 16.  Section 9102 of the Welfare and Institutions Code is
amended to read:
   9102.  The duties and powers of the department shall be:
   (a) To administer all programs under the Older Americans Act of
1965, as amended, and this division, including providing ongoing
oversight, monitoring, and service quality evaluation to ensure that
service providers are meeting standards of service performance
established by the department. This shall include, but is not limited
to, all of the following:
   (1) Setting program standards and providing standard materials for
training.
   (2) Providing technical assistance to area agencies on aging,
program managers, staff, and volunteers providing services.
   (3) Development of the state plan on aging according to federal
law.
   (4) Maintain a clearinghouse of information related to the
interests and needs of older individuals and provide referral
services, if appropriate.
   (5) Maintain a management information and reporting system;
including a data base on service utilization patterns and demographic
characteristics of the older population to be cross-classified by
age, sex, race, and other information required for the planning
process, and eliminate redundant and unnecessary reporting
requirements.
   (6) Encourage and support the involvement of volunteers in
services to older individuals.
   (7) Seek ways to utilize the private sector to assume greater
responsibility in meeting the needs of older individuals.
   (8) Encourage internships to be coordinated with schools of
gerontology or related disciplines, including internships for older
individuals.
   (b) The department shall have primary responsibility for
information received and dispersed to the area agencies on aging.
   (c) The department shall be responsible for activities that
promote the development, coordination, and utilization of resources
to meet the long-term care needs of older individuals, consistent
with its mission. The responsibilities shall include, but not be
limited to, all of the following:
   (1) Conduct research in the areas of alternative social and health
care systems for older individuals.
   (2) As specified in Section 9002, coordinate with agencies and
departments that administer health, social, and related services for
the purposes of policy development, development of care standards,
consistency in application of policy, evaluation of alternative uses
of available resources toward greater effectiveness in service
delivery, including seeking additional federal and private dollars to
support achievement of program goals, and ensure ongoing response to
the identified special needs of the chronically impaired to provide
support that maximizes their level of functioning.
   (3) Monitor and evaluate programs and services administered by the
department, utilizing standardized methodology.
   (4) Develop and implement training and technical assistance
programs designed to achieve program goals.
   (5) Establish criteria for the designation, sanctioning and
defunding of area agencies on aging.
   (d) In conjunction with the management information and reporting
system required under paragraph (5) of subdivision (a), beginning in
the 2006 calendar year, the department shall annually submit by
January 10 of each year, to the budget, fiscal, and policy committees
of the Legislature, and the Legislative Analyst, all of the
following information:
   (1) The number of persons served statewide in each of the prior
and current fiscal years for each state or federally funded program
or service administered by the department. This information shall
also be provided for each Area Agency on Aging service area.
   (2) To the extent feasible, the number of unduplicated persons
served statewide in the prior and current fiscal years for all state
or federally funded programs and services administered by the
department. To the extent feasible, this information shall also be
provided for each Area Agency on Aging service area.
   (3) Total estimated statewide expenditures in the prior, current,
and budget fiscal years for each state or federally funded program or
service administered by the department. This information shall also
be provided for each Area Agency on Aging service area.
   (e) The report required by subdivision (d) shall be suspended
until the 2010-11 fiscal year. In lieu of that information, the
department shall submit to the budget, fiscal, and policy committees
of the Legislature, and the Legislative Analyst, by March 1 of each
year, copies of the program factsheets for each state and federal
program administered by the department. The department shall update
the information included in the program factsheets annually, before
submitting them as required by this subdivision.
  SEC. 17.  Section 9719 of the Welfare and Institutions Code is
amended to read:
   9719.  (a) (1) The office shall sponsor a meeting of
representatives of approved organizations at least twice each year.
The office shall provide training to these representatives as
appropriate. Prior to the certification of an ombudsman by the
office, individuals shall meet both of the following requirements:
   (A) Have a criminal offender record clearance conducted by the
State Department of Social Services. A clearance pursuant to Section
1569.17 of the Health and Safety Code shall constitute clearances for
the purpose of entry to any long-term care facility.
   (B) Have received a minimum of 36 hours of classroom training
approved by the office.
   (2) Upon receipt of an applicant's criminal record clearance and
acceptance by the office, the California Department of Aging shall
issue a card identifying the bearer as a certified ombudsman. Each
ombudsman shall receive a minimum of 12 hours of additional training
annually.
   (b) (1) Beginning July 1, 2007, the California Department of Aging
shall contract with the State Department of Social Services to
conduct a criminal offender record information search, pursuant to
Section 1569.17 of the Health and Safety Code, for each applicant
seeking certification as an ombudsman. The State Department of Social
Services shall notify the individual and the office of the
individual's clearance or denial.
   (2) Within a reasonable time after July 1, 2007, the office shall
seek the clearance of each ombudsman already certified or designated
as of July 1, 2007.
   (3) An applicant for certification as an ombudsman and any
currently certified or designated ombudsman shall not be responsible
for any costs associated with transmitting the fingerprint images and
related information or conducting criminal record clearances.
   (c) Nothing in this section shall be construed to prohibit the
Department of Justice from assessing a fee pursuant to Section 11105
of the Penal Code to cover the cost of searching for or furnishing
summary criminal offender record information.
  SEC. 18.  Section 10506 of the Welfare and Institutions Code is
amended to read:
   10506.  (a) Except as otherwise required by Sections 10614 and
14100.5, the State Department of Health Services (Genetically
Handicapped Persons, CCS, CHDP, and the caseload programs in the
Genetic Disease Branch), State Department of Alcohol and Drug
Programs (Drug Medi-Cal Program), Managed Risk Medical Insurance
Board, State Department of Developmental Services, State Department
of Mental Health, and Department of Child Support Services shall
submit to the Department of Finance for its approval all assumptions
underlying all estimates used to develop the departments' budgets by
September 10 of each year, and those assumptions, as revised by,
March 1 of the following year.
   (b) The Department of Finance shall approve, modify, or deny the
assumptions underlying all estimates within 15 working days of their
submission. If the Department of Finance does not modify, deny, or
otherwise indicate that the assumptions are open for consideration
pending further information submitted by the department by that date,
the assumptions as presented by the submitting department shall be
deemed to be accepted by the Department of Finance as of that date.
   (c) Each department or board described in subdivision (a) shall
also submit an estimate of expenditures for each of the categorical
aid programs in its budget to the Department of Finance by November 1
of each year and those estimates as revised by April 20 of the
following year. Each estimate shall contain a concise statement
identifying applicable estimate components, such as caseload, unit
cost, implementation date, whether it is a new or continuing premise,
and other assumptions necessary to support the estimate. The
submittal shall include a projection of the fiscal impact of each of
the approved assumptions related to a regulatory, statutory, or
policy change, a detailed explanation of any changes to the base
estimate projections from the previous estimate, and a projection of
the fiscal impact of that change to the base estimate.
   (d) Each department or board shall identify those premises to
which either of the following applies:
   (1) Have been discontinued since the previous estimate was
submitted. The department or board shall provide a chart that tracks
the history of each discontinued premise in the prior year, the
current year, and the budget year.
   (2) Have been placed in the basic cost line of the estimate
package.
   (e) In the event that the methodological steps employed in
arriving at the estimates in May differ from those used in November
of the preceding year, the department or board shall submit a
descriptive narrative of the revised methodology. In addition, the
estimates shall include fiscal charts that track appropriations from
the Budget Act to the current Governor's Budget and May Revision for
all fund sources for the prior year, current year and budget year.
This information shall be provided to the Department of Finance, the
Joint Legislative Budget Committee, the Health and Human Services
Policy Committees, and the fiscal committees, along with other
materials included in the annual May Revision of expenditure
estimates.
   (f) The estimates of average monthly caseloads, average monthly
grants, total estimated expenditures, including administrative
expenditures and savings or costs associated with all regulatory or
statutory changes, as well as all supporting data provided by the
department or developed independently by the Department of Finance,
shall be made available to the Joint Legislative Budget Committee,
the Health and Human Services Policy Committees, and the fiscal
committees.
   (g) On or after January 10, if the Department of Finance discovers
a material error in the information provided pursuant to this
section, the Department of Finance shall inform the consultants to
the fiscal committees of the error in a timely manner.
   (h) The departmental estimates, assumptions, and other supporting
data prepared for purposes of this section shall be forwarded
annually to the Joint Legislative Budget Committee, the Health and
Human Services Policy Committees, and the fiscal committees of the
Legislature, not later than January 10 and May 14 by the department
or board if this information has not been released earlier by the
Department of Finance.
   (i) The requirements of this section do not apply to the State
Department of Social Services estimate or the State Department of
Health Services' Medi-Cal Program estimate, which are governed by
Sections 10614 and 14100.5, respectively.
   (j) The Department of Rehabilitation shall submit assumptions and
an estimate of case services expenditures for the Vocational
Rehabilitation (VR) program specifically detailing the VR supported
employment and work activity elements in accordance with this part,
except that assumptions shall be submitted only annually, on or
before March 1, and an estimate of expenditures shall be submitted
only annually, on or before April 20, to the Department of Finance.
The departmental assumptions and the departmental estimate of
expenditures shall be forwarded annually, on or before May 14, to the
Joint Legislative Budget Committee, and to the health and human
services policy committees and fiscal committees of the Legislature,
if this information has not been released earlier by the Department
of Finance.
  SEC. 19.  Section 10534.5 is added to the Welfare and Institutions
Code, to read:
   10534.5.  (a) The department shall review the county plans
developed pursuant to Section 10534 in order to identify promising
practices in the areas of upfront engagement and reengagement of
sanctioned families, and shall work with the County Welfare Directors
Association (CWDA) and county welfare directors to gather
information on implementation and results of these practices, that
can inform future efforts to increase participation in
welfare-to-work activities.
   (b) The department, in conjunction with the CWDA, shall review the
county plans and work with county welfare directors and the CWDA to
determine what activities and strategies that counties are using to
encourage participation among time-limited families, and gather
information about the characteristics of the time-limited population.

   (c) The department shall provide a written update to the
Legislature on March 1, 2008, of the information required by
subdivisions (a) and (b) that is gathered by that date. The
department shall provide the final report of the information required
by subdivisions (a) and (b) to the Legislature and county welfare
directors, on or before September 1, 2008.
  SEC. 20.  Section 11320.32 of the Welfare and Institutions Code is
amended to read:
   11320.32.  (a) The department shall administer a voluntary
Temporary Assistance Program (TAP) for current and future CalWORKs
recipients who meet the exemption criteria for work participation
activities set forth in Section 11320.3, and are not single parents
who have a child under the age of one year. Temporary Assistance
Program recipients shall be entitled to the same assistance payments
and other benefits as recipients under the CalWORKs program. The
purpose of this program is to provide cash assistance and other
benefits to eligible families without any federal restrictions or
requirements and without any adverse impact on recipients. The
Temporary Assistance Program shall commence no later than April 1,
2009.
   (b) CalWORKs recipients who meet the exemption criteria for work
participation activities set forth in subdivision (b) of Section
11320.3, and are not single parents with a child under the age of one
year, shall have the option of receiving grant payments, child care,
and transportation services from the Temporary Assistance Program.
The department shall notify all CalWORKs recipients and applicants
meeting the exemption criteria specified in subdivision (b) of
Section 11320.3, except for single parents with a child under the age
of one year, of their option to receive benefits under the Temporary
Assistance Program. Absent written indication that these recipients
or applicants choose not to receive assistance from the Temporary
Assistance Program, the department shall enroll CalWORKs recipients
and applicants into the program. However, exempt volunteers shall
remain in the CalWORKs program unless they affirmatively indicate, in
writing, their interest in enrolling in the Temporary Assistance
Program. A Temporary Assistance Program recipient who no longer meets
the exemption criteria set forth in Section 11320.3 shall be
enrolled in the CalWORKs program.
   (c) Funding for grant payments, child care, transportation, and
eligibility determination activities for families receiving benefits
under the Temporary Assistance Program shall be funded with General
Fund resources that do not count toward the state's maintenance of
effort requirements under clause (i) of subparagraph (B) of paragraph
(7) of subdivision (a) of Section 609 of Title 42 of the United
States Code, up to the caseload level equivalent to the amount of
funding provided for this purpose in the annual Budget Act.
   (d) It is the intent of the Legislature that recipients shall have
and maintain access to the hardship exemption and the services
necessary to begin and increase participation in welfare-to-work
activities, regardless of their county of origin, and that the number
of recipients exempt under subdivision (b) of Section 11320.3 not
significantly increase due to factors other than changes in caseload
characteristics. All relevant state law applicable to CalWORKs
recipients shall also apply to families funded under this section.
Nothing in this section modifies the criteria for exemption in
Section 11320.3.
   (e) To the extent that this section is inconsistent with federal
regulations regarding implementation of the Deficit Reduction Act of
2005, the department may amend the funding structure for exempt
families to ensure consistency with these regulations, not later than
30 days after providing written notification to the chair of the
Joint Legislative Budget Committee and the chairs of the appropriate
policy and fiscal committees of the Legislature.
  SEC. 21.  Section 11363 of the Welfare and Institutions Code, as
amended by Section 29.31 of Chapter 75 of the Statutes of 2006, is
repealed.
  SEC. 22.  Section 11363 of the Welfare and Institutions Code, as
amended by Section 3 of Chapter 528 of the Statutes of 2006, is
amended to read:
   11363.  (a) Aid in the form of Kin-GAP shall be provided under
this article on behalf of any child under 18 years of age who meets
                                        all of the following
conditions:
   (1) Has been adjudged a dependent child of the juvenile court
pursuant to Section 300, or, effective October 1, 2006, a ward of the
juvenile court pursuant to Section 601 or 602.
   (2) Has been living with a relative for at least 12 consecutive
months.
   (3) Has had a kinship guardianship with that relative established
as the result of the implementation of a permanent plan pursuant to
Section 366.26.
   (4) Has had his or her dependency dismissed after January 1, 2000,
pursuant to Section 366.3, or his or her wardship terminated
pursuant to subdivision (e) of Section 728, concurrently or
subsequently to the establishment of the kinship guardianship.
   (b) Kin-GAP payments shall continue after the child's 18th
birthday if the conditions specified in Section 11403 are met.
   (c) Termination of the guardianship with a kinship guardian shall
terminate eligibility for Kin-GAP; provided, however, that if an
alternate guardian or coguardian is appointed pursuant to Section
366.3 who is also a kinship guardian, the alternate or coguardian
shall be entitled to receive Kin-GAP on behalf of the child pursuant
to this article. A new period of 12 months of placement with the
alternate guardian or coguardian shall not be required if that
alternate guardian or coguardian has been assessed pursuant to
Section 361.3 and the court terminates dependency jurisdiction.
  SEC. 23.  Section 11364 of the Welfare and Institutions Code, as
amended by Section 29.4 of Chapter 75 of the Statutes of 2006, is
repealed.
  SEC. 24.  Section 11364 of the Welfare and Institutions Code, as
added by Section 29.5 of Chapter 75 of the Statutes of 2006, is
amended to read:
   11364.  Notwithstanding subdivision (a) of Section 11450, the rate
paid on behalf of children eligible for a Kin-GAP payment shall
equal 100 percent of the rate for children placed in a licensed or
approved home as specified in subdivisions (a) to (d), inclusive, of
Section 11461. In addition, effective October 1, 2006, the rate paid
for a child eligible for a Kin-GAP payment shall be increased by an
amount equal to the clothing allowances, as set forth in subdivision
(f) of Section 11461, to which the child would have been entitled
while in foster care, including any applicable rate adjustments. In
addition, effective October 1, 2006, if a child, while in foster
care, received a specialized care increment, immediately prior to his
or her enrollment in the Kin-GAP Program, as defined in paragraph
(1) of subdivision (e) of Section 11461, the Kin-GAP rate shall be
adjusted by the specialized care increment amount, including any
applicable rate adjustments.
  SEC. 25.  Section 11367 of the Welfare and Institutions Code is
amended to read:
   11367.  Kin-GAP, in an amount equal to the applicable regional
per-child CalWORKs grant, shall be paid by the state. The
supplemental clothing allowance shall be paid pursuant to paragraph
(5) of subdivision (f) of Section 11461. The balance of Kin-GAP shall
be paid in equal portions by the state and the counties.
Notwithstanding Section 11216, effective July 1, 2006, the state
share of benefits and administration of the Kin-GAP Program shall be
funded with General Fund resources.
  SEC. 26.  Article 4.75 (commencing with Section 11380) of Chapter 2
of Part 3 of Division 9 of the Welfare and Institutions Code is
repealed.
  SEC. 27.  Section 11453 of the Welfare and Institutions Code is
amended to read:
   11453.  (a) Except as provided in subdivision (c), the amounts set
forth in Section 11452 and subdivision (a) of Section 11450 shall be
adjusted annually by the department to reflect any increases or
decreases in the cost of living. These adjustments shall become
effective July 1 of each year, unless otherwise specified by the
Legislature. For the 2000-01 fiscal year to the 2003-04 fiscal year,
inclusive, these adjustments shall become effective October 1 of each
year. The cost-of-living adjustment shall be calculated by the
Department of Finance based on the changes in the California
Necessities Index, which as used in this section means the weighted
average changes for food, clothing, fuel, utilities, rent, and
transportation for low-income consumers. The computation of annual
adjustments in the California Necessities Index shall be made in
accordance with the following steps:
   (1) The base period expenditure amounts for each expenditure
category within the California Necessities Index used to compute the
annual grant adjustment are:
Food...............................       $ 3,027
Clothing (apparel and upkeep)......           406
Fuel and other utilities...........           529
Rent, residential..................         4,883
Transportation.....................         1,757
   Total............................       $10,602


   (2) Based on the appropriate components of the Consumer Price
Index for All Urban Consumers, as published by the United States
Department of Labor, Bureau of Labor Statistics, the percentage
change shall be determined for the 12-month period ending with the
December preceding the year for which the cost-of-living adjustment
will take effect, for each expenditure category specified in
subdivision (a) within the following geographical areas: Los
Angeles-Long Beach-Anaheim, San Francisco-Oakland, San Diego, and, to
the extent statistically valid information is available from the
Bureau of Labor Statistics, additional geographical areas within the
state which include not less than 80 percent of recipients of aid
under this chapter.
   (3) Calculate a weighted percentage change for each of the
expenditure categories specified in subdivision (a) using the
applicable weighting factors for each area used by the State
Department of Industrial Relations to calculate the California
Consumer Price Index (CCPI).
   (4) Calculate a category adjustment factor for each expenditure
category in subdivision (a) by (1) adding 100 to the applicable
weighted percentage change as determined in paragraph (2) and (2)
dividing the sum by 100.
   (5) Determine the expenditure amounts for the current year by
multiplying each expenditure amount determined for the prior year by
the applicable category adjustment factor determined in paragraph
(4).
   (6) Determine the overall adjustment factor by dividing (1) the
sum of the expenditure amounts as determined in paragraph (4) for the
current year by (2) the sum of the expenditure amounts as determined
in subdivision (d) for the prior year.
   (b) The overall adjustment factor determined by the preceding
computation steps shall be multiplied by the schedules established
pursuant to Section 11452 and subdivision (a) of Section 11450 as are
in effect during the month of June preceding the fiscal year in
which the adjustments are to occur and the product rounded to the
nearest dollar. The resultant amounts shall constitute the new
schedules which shall be filed with the Secretary of State.
   (c) (1) No adjustment to the maximum aid payment set forth in
subdivision (a) of Section 11450 shall be made under this section for
the purpose of increasing the benefits under this chapter for the
1990-91, 1991-92, 1992-93, 1993-94, 1994-95, 1995-96, 1996-97, and
1997-98 fiscal years, and through October 31, 1998, to reflect any
change in the cost of living. For the 1998-99 fiscal year, the
cost-of-living adjustment that would have been provided on July 1,
1998, pursuant to subdivision (a) shall be made on November 1, 1998.
No adjustment to the maximum aid payment set forth in subdivision (a)
of Section 11450 shall be made under this section for the purpose of
increasing the benefits under this chapter for the 2005-06 and
2006-07 fiscal years to reflect any change in the cost-of-living.
Elimination of the cost-of-living adjustment pursuant to this
paragraph shall satisfy the requirements of Section 11453.05, and no
further reduction shall be made pursuant to that section.
   (2) No adjustment to the minimum basic standard of adequate care
set forth in Section 11452 shall be made under this section for the
purpose of increasing the benefits under this chapter for the 1990-91
and 1991-92 fiscal years to reflect any change in the cost of
living.
   (3) In any fiscal year commencing with the 2000-01 fiscal year to
the 2003-04 fiscal year, inclusive, when there is any increase in tax
relief pursuant to the applicable paragraph of subdivision (a) of
Section 10754 of the Revenue and Taxation Code, then the increase
pursuant to subdivision (a) of this section shall occur. In any
fiscal year commencing with the 2000-01 fiscal year to the 2003-04
fiscal year, inclusive, when there is no increase in tax relief
pursuant to the applicable paragraph of subdivision (a) of Section
10754 of the Revenue and Taxation Code, then any increase pursuant to
subdivision (a) of this section shall be suspended.
   (4) Notwithstanding paragraph (3), an adjustment to the maximum
aid payments set forth in subdivision (a) of Section 11450 shall be
made under this section for the 2002-03 fiscal year, but the
adjustment shall become effective June 1, 2003.
   (5) No adjustment to the maximum aid payment set forth in
subdivision (a) of Section 11450 shall be made under this section for
the purpose of increasing benefits under this chapter for the
2007-08 fiscal year.
   (d) For the 2004-05 fiscal year, the adjustment to the maximum aid
payment set forth in subdivision (a) shall be suspended for three
months commencing on the first day of the first month following the
effective date of the act adding this subdivision.
   (e) Adjustments for subsequent fiscal years pursuant to this
section shall not include any adjustments for any fiscal year in
which the cost of living was suspended pursuant to subdivision (c).
  SEC. 28.  Section 11461 of the Welfare and Institutions Code is
amended to read:
   11461.  (a) For children placed in a licensed or approved family
home with a capacity of six or less, or in an approved home of a
relative or nonrelated legal guardian, or the approved home of a
nonrelative extended family member as described in Section 362.7, the
per child per month rates in the following schedule shall be in
effect for the period July 1, 1989, through December 31, 1989:
  Age                                   Basic rate
  0-4................................     $ 294
  5-8................................       319
  9-11...............................       340
12-14...............................       378
15-20...............................       412


   (b) (1) Any county that, as of October 1, 1989, has in effect a
basic rate that is at the levels set forth in the schedule in
subdivision (a), shall continue to receive state participation, as
specified in subdivision (c) of Section 15200, at these levels.
   (2) Any county that, as of October 1, 1989, has in effect a basic
rate that exceeds a level set forth in the schedule in subdivision
(a), shall continue to receive the same level of state participation
as it received on October 1, 1989.
   (c) The amounts in the schedule of basic rates in subdivision (a)
shall be adjusted as follows:
   (1) Effective January 1, 1990, the amounts in the schedule of
basic rates in subdivision (a) shall be increased by 12 percent.
   (2) Effective May 1, 1990, any county that did not increase the
basic rate by 12 percent on January 1, 1990, shall do both of the
following:
   (A) Increase the basic rate in effect December 31, 1989, for which
state participation is received by 12 percent.
   (B) Increase the basic rate, as adjusted pursuant to subparagraph
(A) by an additional 5 percent.
   (3) (A) Except as provided in subparagraph (B), effective July 1,
1990, for the 1990-91 fiscal year, the amounts in the schedule of
basic rates in subdivision (a) shall be increased by an additional 5
percent.
   (B) The rate increase required by subparagraph (A) shall not be
applied to rates increased May 1, 1990, pursuant to paragraph (2).
   (4) Effective July 1, 1998, the amounts in the schedule of basic
rates in subdivision (a) shall be increased by 6 percent.
Notwithstanding any other provision of law, the 6-percent increase
provided for in this paragraph shall, retroactive to July 1, 1998,
apply to every county, including any county to which paragraph (2) of
subdivision (b) applies, and shall apply to foster care for every
age group.
   (5) Notwithstanding any other provision of law, any increase that
takes effect after July 1, 1998, shall apply to every county,
including any county to which paragraph (2) of subdivision (b)
applies, and shall apply to foster care for every age group.
   (6) The increase in the basic foster family home rate shall apply
only to children placed in a licensed foster family home receiving
the basic rate or in an approved home of a relative or nonrelative
extended family member, as described in Section 362.7 or nonrelated
legal guardian receiving the basic rate. The increased rate shall not
be used to compute the monthly amount that may be paid to licensed
foster family agencies for the placement of children in certified
foster homes.
   (d) (1) (A) Beginning with the 1991-92 fiscal year, the schedule
of basic rates in subdivision (a) shall be adjusted by the percentage
changes in the California Necessities Index, computed pursuant to
the methodology described in Section 11453, subject to the
availability of funds.
   (B) In addition to the adjustment in subparagraph (A) effective
January 1, 2000, the schedule of basic rates in subdivision (a) shall
be increased by 2.36 percent rounded to the nearest dollar.
   (C) Effective January 1, 2008, the schedule of basic rates in
subdivision (a), as adjusted pursuant to subparagraph (B), shall be
increased by 5 percent, rounded to the nearest dollar. The increased
rate shall not be used to compute the monthly amount that may be paid
to licensed foster family agencies for the placement of children in
certified foster family homes, and shall not be used to recompute the
foster care maintenance payment that would have been paid based on
the age-related, state-approved foster family home care rate and any
applicable specialized care increment, for any adoption assistance
agreement entered into prior to October 1, 1992, or in any subsequent
reassessment for adoption assistance agreements executed before
January 1, 2008.
   (2) (A) Any county that, as of the 1991-92 fiscal year, receives
state participation for a basic rate that exceeds the amount set
forth in the schedule of basic rates in subdivision (a) shall receive
an increase each year in state participation for that basic rate of
one-half of the percentage adjustments specified in paragraph (1)
until the difference between the county's adjusted state
participation level for its basic rate and the adjusted schedule of
basic rates is eliminated.
   (B) Notwithstanding subparagraph (A), all counties for the
1999-2000 fiscal year and the 2007-08 fiscal year shall receive an
increase in state participation for the basic rate of the entire
percentage adjustment described in paragraph (1).
   (3) If a county has, after receiving the adjustments specified in
paragraph (2), a state participation level for a basic rate that is
below the amount set forth in the adjusted schedule of basic rates
for that fiscal year, the state participation level for that rate
shall be further increased to the amount specified in the adjusted
schedule of basic rates.
   (e) (1) As used in this section, "specialized care increment"
means an approved amount paid with state participation on behalf of
an AFDC-FC child requiring specialized care to a home listed in
subdivision (a) in addition to the basic rate. On the effective date
of this section, the department shall continue and maintain the
current ratesetting system for specialized care.
   (2) Any county that, as of the effective date of this section, has
in effect specialized care increments that have been approved by the
department, shall continue to receive state participation for those
payments.
   (3) Any county that, as of the effective date of this section, has
in effect specialized care increments that exceed the amounts that
have been approved by the department, shall continue to receive the
same level of state participation as it received on the effective
date of this section.
   (4) (A) Except for subparagraph (B), beginning January 1, 1990,
specialized care increments shall be adjusted in accordance with the
methodology for the schedule of basic rates described in subdivision
(c) and (d). No county shall receive state participation for any
increases in a specialized care increment which exceeds the
adjustments made in accordance with this methodology.
   (B) Notwithstanding subdivision (e) of Section 11460, for the
1993-94 fiscal year, an amount equal to 5 percent of the State
Treasury appropriation for family homes shall be added to the total
augmentation for the AFDC-FC program in order to provide incentives
and assistance to counties in the area of specialized care. This
appropriation shall be used, but not limited to, encouraging counties
to implement or expand specialized care payment systems, to recruit
and train foster parents for the placement of children with
specialized care needs, and to develop county systems to encourage
the placement of children in family homes. It is the intent of the
Legislature that in the use of these funds, federal financial
participation shall be claimed whenever possible.
   (f) (1) As used in this section, "clothing allowance" means the
amount paid with state participation in addition to the basic rate
for the provision of additional clothing for an AFDC-FC child,
including, but not limited to, an initial supply of clothing and
school or other uniforms.
   (2) Any county that, as of the effective date of this section, has
in effect clothing allowances, shall continue to receive the same
level as it received on the effective date of this section.
   (3) (A) Commencing in the 2007-08 fiscal year, for children whose
foster care payment is the responsibility of Colusa, Plumas, and
Tehama Counties, the amount of the clothing allowance may be up to
two hundred seventy-four dollars ($274) per child per year.
   (B)  Each county listed in subparagraph (A) that elects to receive
the clothing allowance shall submit a Clothing Allowance Program
Notification to the department within 60 days after the effective
date of the act that adds this paragraph.
   (C) The Clothing Allowance Program Notification shall identify the
specific amounts to be paid and the disbursement schedule for these
clothing allowance payments.
   (4) Beginning January 1, 1990, except as provided in paragraph
(5), clothing allowances shall be adjusted annually in accordance
with the methodology for the schedule of basic rates described in
subdivision (c) and (d). No county shall be reimbursed for any
increases in clothing allowances which exceed the adjustments made in
accordance with this methodology.
   (5) For the 2000-01 fiscal year and each fiscal year thereafter,
without a county share of cost, notwithstanding subdivision (c) of
Section 15200, each child shall be entitled to receive a supplemental
clothing allowance of one hundred dollars ($100) per year subject to
the availability of funds. The clothing allowance shall be used to
supplement, and not supplant, the clothing allowance specified in
paragraph (1).
  SEC. 29.  Section 11462 of the Welfare and Institutions Code is
amended to read:
   11462.  (a) (1) Effective July 1, 1990, foster care providers
licensed as group homes, as defined in departmental regulations,
including public child care institutions, as defined in Section
11402.5, shall have rates established by classifying each group home
program and applying the standardized schedule of rates. The
department shall collect information from group providers beginning
January 1, 1990, in order to classify each group home program.
   (2) Notwithstanding paragraph (1), foster care providers licensed
as group homes shall have rates established only if the group home is
organized and operated on a nonprofit basis as required under
subdivision (h) of Section 11400. The department shall terminate the
rate effective January 1, 1993, of any group home not organized and
operated on a nonprofit basis as required under subdivision (h) of
Section 11400.
   (3) (A) The department shall determine, consistent with the
requirements of this chapter and other relevant requirements under
law, the rate classification level (RCL) for each group home program
on a biennial basis. Submission of the biennial rate application
shall be made according to a schedule determined by the department.
   (B) The department shall adopt regulations to implement this
paragraph. The adoption, amendment, repeal, or readoption of a
regulation authorized by this paragraph is deemed to be necessary for
the immediate preservation of the public peace, health and safety,
or general welfare, for purposes of Sections 11346.1 and 11349.6 of
the Government Code, and the department is hereby exempted from the
requirement to describe specific facts showing the need for immediate
action.
   (b) A group home program shall be initially classified, for
purposes of emergency regulations, according to the level of care and
services to be provided using a point system developed by the
department and described in the report, "The Classification of Group
Home Programs under the Standardized Schedule of Rates System,"
prepared by the State Department of Social Services, August 30, 1989.

   (c) The rate for each RCL has been determined by the department
with data from the AFDC-FC Group Home Rate Classification Pilot
Study. The rates effective July 1, 1990, were developed using 1985
calendar year costs and reflect adjustments to the costs for each
fiscal year, starting with the 1986-87 fiscal year, by the amount of
the California Necessities Index computed pursuant to the methodology
described in Section 11453. The data obtained by the department
using 1985 calendar year costs shall be updated and revised by
January 1, 1993.
   (d) As used in this section, "standardized schedule of rates"
means a listing of the 14 rate classification levels, and the single
rate established for each RCL.
   (e) Except as specified in paragraph (1), the department shall
determine the RCL for each group home program on a prospective basis,
according to the level of care and services that the group home
operator projects will be provided during the period of time for
which the rate is being established.
   (1) (A) For new and existing providers requesting the
establishment of an RCL, and for existing group home programs
requesting an RCL increase, the department shall determine the RCL no
later than 13 months after the effective date of the provisional
rate. The determination of the RCL shall be based on a program audit
of documentation and other information that verifies the level of
care and supervision provided by the group home program during a
period of the two full calendar months or 60 consecutive days,
whichever is longer, preceding the date of the program audit, unless
the group home program requests a lower RCL. The program audit shall
not cover the first six months of operation under the provisional
rate. Pending the department's issuance of the program audit report
that determines the RCL for the group home program, the group home
program shall be eligible to receive a provisional rate that shall be
based on the level of care and service that the group home program
proposes it will provide. The group home program shall be eligible to
receive only the RCL determined by the department during the
pendency of any appeal of the department's RCL determination.
   (B) A group home program may apply for an increase in its RCL no
earlier than two years from the date the department has determined
the group home program's rate, unless the host county, the primary
placing county, or a regional consortium of counties submits to the
department in writing that the program is needed in that county, that
the provider is capable of effectively and efficiently operating the
proposed program, and that the provider is willing and able to
accept AFDC-FC children for placement who are determined by the
placing agency to need the level of care and services that will be
provided by the program.
   (C) To ensure efficient administration of the department's audit
responsibilities, and to avoid the fraudulent creation of records,
group home programs shall make records that are relevant to the RCL
determination available to the department in a timely manner. Except
as provided in this section, the department may refuse to consider,
for purposes of determining the rate, any documents that are relevant
to the determination of the RCL that are not made available by the
group home provider by the date the group home provider requests a
hearing on the department's RCL determination. The department may
refuse to consider, for purposes of determining the rate, the
following records, unless the group home provider makes the records
available to the department during the fieldwork portion of the
department's program audit:
   (i) Records of each employee's full name, home address,
occupation, and social security number.
   (ii) Time records showing when the employee begins and ends each
work period, meal periods, split shift intervals, and total daily
hours worked.
   (iii) Total wages paid each payroll period.
   (iv) Records required to be maintained by licensed group home
providers under Title 22 of the California Code of Regulations that
are relevant to the RCL determination.
   (D) To minimize financial abuse in the startup of group home
programs, when the department's RCL determination is more than three
levels lower than the RCL level proposed by the group home provider,
and the group home provider does not appeal the department's RCL
determination, the department shall terminate the rate of a group
home program 45 days after issuance of its program audit report. When
the group home provider requests a hearing on the department's RCL
determination, and the RCL determined by the director under
subparagraph (E) is more than three levels lower than the RCL level
proposed by the group home provider, the department shall terminate
the rate of a group home program within 30 days of issuance of the
director's decision. Notwithstanding the reapplication provisions in
subparagraph (B), the department shall deny any request for a new or
increased RCL from a group home provider whose RCL is terminated
pursuant to this subparagraph, for a period of no greater than two
years from the effective date of the RCL termination.
                       (E) A group home provider may request a
hearing of the department's RCL determination under subparagraph (A)
no later than 30 days after the date the department issues its RCL
determination. The department's RCL determination shall be final if
the group home provider does not request a hearing within the
prescribed time. Within 60 days of receipt of the request for
hearing, the department shall conduct a hearing on the RCL
determination. The standard of proof shall be the preponderance of
the evidence and the burden of proof shall be on the department. The
hearing officer shall issue the proposed decision within 45 days of
the close of the evidentiary record. The director shall adopt,
reject, or modify the proposed decision, or refer the matter back to
the hearing officer for additional evidence or findings within 100
days of issuance of the proposed decision. If the director takes no
action on the proposed decision within the prescribed time, the
proposed decision shall take effect by operation of law.
   (2) Group home programs that fail to maintain at least the level
of care and services associated with the RCL upon which their rate
was established shall inform the department. The department shall
develop regulations specifying procedures to be applied when a group
home fails to maintain the level of services projected, including,
but not limited to, rate reduction and recovery of overpayments.
   (3) The department shall not reduce the rate, establish an
overpayment, or take other actions pursuant to paragraph (2) for any
period that a group home program maintains the level of care and
services associated with the RCL for children actually residing in
the facility. Determinations of levels of care and services shall be
made in the same way as modifications of overpayments are made
pursuant to paragraph (2) of subdivision (b) of Section 11466.2.
   (4) A group home program that substantially changes its staffing
pattern from that reported in the group home program statement shall
provide notification of this change to all counties that have placed
children currently in care. This notification shall be provided
whether or not the RCL for the program may change as a result of the
change in staffing pattern.
   (f) (1) The standardized schedule of rates for the 2002-03,
2003-04, 2004-05, 2005-06, 2006-07, and 2007-08 fiscal years is:
                               FY 2002-03, 2003-
      Rate       Point Ranges         04,
                                 2004-05, 2005-
                                06, 2006-07, and
Classification                     2007-08
      Level                      Standard Rate
        1            Under 60        $1,454
        2              60- 89         1,835
        3              90-119         2,210
        4             120-149         2,589
        5             150-179         2,966
        6             180-209         3,344
        7             210-239         3,723
        8             240-269         4,102
        9             270-299         4,479
       10             300-329         4,858
       11             330-359         5,234
       12             360-389         5,613
       13             390-419         5,994
       14            420 & Up         6,371


   (2) (A) For group home programs that receive AFDC-FC payments for
services performed during the 2002-03, 2003-04, 2004-05, 2005-06,
2006-07, and 2007-08 fiscal years, the adjusted RCL point ranges
below shall be used for establishing the biennial rates for existing
programs, pursuant to paragraph (3) of subdivision (a) and in
performing program audits and in determining any resulting rate
reduction, overpayment assessment, or other actions pursuant to
paragraph (2) of subdivision (e):
                   Adjusted Point
      Rate             Ranges
                  for the 2002-03,
Classification       2003-04,
                 2004-05, 2005-06,
                 2006-07, and 2007-
      Level       08 Fiscal Years
        1             Under 54
        2              54- 81
        3              82-110
        4             111-138
        5             139-167
        6             168-195
        7             196-224
        8             225-253
        9             254-281
       10             282-310
       11             311-338
       12             339-367
       13             368-395
       14             396 & Up


   (B) Notwithstanding subparagraph (A), foster care providers
operating group homes during the 2002-03, 2003-04, 2004-05, 2005-06,
2006-07, and 2007-08 fiscal years shall remain responsible for
ensuring the health and safety of the children placed in their
programs in accordance with existing applicable provisions of the
Health and Safety Code and community care licensing regulations, as
contained in Title 22 of the Code of California Regulations.
   (C) Subparagraph (A) shall not apply to program audits of group
home programs with provisional rates established pursuant to
paragraph (1) of subdivision (e). For those program audits, the RCL
point ranges in paragraph (1) shall be used.
   (g) (1) (A) For the 1999-2000 fiscal year, the standardized rate
for each RCL shall be adjusted by an amount equal to the California
Necessities Index computed pursuant to the methodology described in
Section 11453. The resultant amounts shall constitute the new
standardized schedule of rates, subject to further adjustment
pursuant to subparagraph (B).
   (B) In addition to the adjustment in subparagraph (A), commencing
January 1, 2000, the standardized rate for each RCL shall be
increased by 2.36 percent, rounded to the nearest dollar. The
resultant amounts shall constitute the new standardized schedule of
rates.
   (2) Beginning with the 2000-01 fiscal year, the standardized
schedule of rates shall be adjusted annually by an amount equal to
the CNI computed pursuant to Section 11453, subject to the
availability of funds. The resultant amounts shall constitute the new
standardized schedule of rates.
   (3) Effective January 1, 2001, the amount included in the standard
rate for each Rate Classification Level (RCL) for the salaries,
wages, and benefits for staff providing child care and supervision or
performing social work activities, or both, shall be increased by 10
percent. This additional funding shall be used by group home
programs solely to supplement staffing, salaries, wages, and benefit
levels of staff specified in this paragraph. The standard rate for
each RCL shall be recomputed using this adjusted amount and the
resultant rates shall constitute the new standardized schedule of
rates. The department may require a group home receiving this
additional funding to certify that the funding was utilized in
accordance with the provisions of this section.
   (4) Effective January 1, 2008, the amount included in the standard
rate for each RCL for the wages for staff providing child care and
supervision or performing social work activities, or both, shall be
increased by 5 percent, and the amount included for the payroll taxes
and other employer-paid benefits for these staff shall be increased
from 20.325 percent to 24 percent. The standard rate for each RCL
shall be recomputed using these adjusted amounts, and the resulting
rates shall constitute the new standardized schedule of rates.
   (h) The standardized schedule of rates pursuant to subdivisions
(f) and (g) shall be implemented as follows:
   (1) Any group home program that received an AFDC-FC rate in the
prior fiscal year at or above the standard rate for the RCL in the
current fiscal year shall continue to receive that rate.
   (2) Any group home program that received an AFDC-FC rate in the
prior fiscal year below the standard rate for the RCL in the current
fiscal year shall receive the RCL rate for the current year.
   (i) (1) The department shall not establish a rate for a new
program of a new or existing provider, or for an existing program at
a new location of an existing provider, unless the provider submits a
letter of recommendation from the host county, the primary placing
county, or a regional consortium of counties that includes all of the
following:
   (A) That the program is needed by that county.
   (B) That the provider is capable of effectively and efficiently
operating the program.
   (C) That the provider is willing and able to accept AFDC-FC
children for placement who are determined by the placing agency to
need the level of care and services that will be provided by the
program.
   (D) That, if the letter of recommendation is not being issued by
the host county, the primary placing county has notified the host
county of its intention to issue the letter and the host county was
given the opportunity 30 days to respond to this notification and to
discuss options with the primary placing county.
   (2) The department shall encourage the establishment of consortia
of county placing agencies on a regional basis for the purpose of
making decisions and recommendations about the need for, and use of,
group home programs and other foster care providers within the
regions.
   (3) The department shall annually conduct a county-by-county
survey to determine the unmet placement needs of children placed
pursuant to Section 300 and Section 601 or 602, and shall publish its
findings by November 1 of each year.
   (j) The department shall develop regulations specifying
ratesetting procedures for program expansions, reductions, or
modifications, including increases or decreases in licensed capacity,
or increases or decreases in level of care or services.
   (k) (1) For the purpose of this subdivision, "program change"
means any alteration to an existing group home program planned by a
provider that will increase the RCL or AFDC-FC rate. An increase in
the licensed capacity or other alteration to an existing group home
program that does not increase the RCL or AFDC-FC rate shall not
constitute a program change.
   (2) For the 1998-99, 1999-2000, and 2000-01 fiscal years, the rate
for a group home program shall not increase, as the result of a
program change, from the rate established for the program effective
July 1, 2000, and as adjusted pursuant to subparagraph (B) of
paragraph (1) of subdivision (g), except as provided in paragraph
(3).
   (3) (A) For the 1998-99, 1999-2000, and 2000-01 fiscal years, the
department shall not establish a rate for a new program of a new or
existing provider or approve a program change for an existing
provider that either increases the program's RCL or AFDC-FC rate, or
increases the licensed capacity of the program as a result of
decreases in another program with a lower RCL or lower AFDC-FC rate
that is operated by that provider, unless both of the following
conditions are met:
   (i) The licensee obtains a letter of recommendation from the host
county, primary placing county, or regional consortium of counties
regarding the proposed program change or new program.
   (ii) The county determines that there is no increased cost to the
General Fund.
   (B) Notwithstanding subparagraph (A), the department may grant a
request for a new program or program change, not to exceed 25 beds,
statewide, if both of the following conditions are met:
   (i) The licensee obtains a letter of recommendation from the host
county, primary placing county, or regional consortium of counties
regarding the proposed program change or new program.
   (ii) The department determines that the new program or program
change will result in a reduction of referrals to state hospitals
during the 1998-99 fiscal year.
   (l) General unrestricted or undesignated private charitable
donations and contributions made to charitable or nonprofit
organizations shall not be deducted from the cost of providing
services pursuant to this section. The donations and contributions
shall not be considered in any determination of maximum expenditures
made by the department.
   (m) The department shall, by October 1 of each year, commencing
October 1, 1992, provide the Joint Legislative Budget Committee with
a list of any new departmental requirements established during the
previous fiscal year concerning the operation of group homes, and of
any unusual, industrywide increase in costs associated with the
provision of group care that may have significant fiscal impact on
providers of group homes care. The committee may, in fiscal year
1993-94 and beyond, use the list to determine whether an
appropriation for rate adjustments is needed in the subsequent fiscal
year.
  SEC. 30.  Section 11463 of the Welfare and Institutions Code is
amended to read:
   11463.  (a) (1) The department, with the advice, assistance, and
cooperation of the counties and foster care providers, shall develop,
implement, and maintain a ratesetting system for foster family
agencies.
   (2) No county shall be reimbursed for any percentage increases in
payments, made on behalf of AFDC-FC funded children who are placed
with foster family agencies, that exceed the percentage
cost-of-living increase provided in any fiscal year beginning on
January 1, 1990, as specified in subdivision (c) of Section 11461.
   (b) The department shall develop regulations specifying the
purposes, types, and services of foster family agencies, including
the use of those agencies for the provision of emergency shelter
care. A distinction, for ratesetting purposes, shall be drawn between
foster family agencies that provide treatment of children in foster
families and those that provide nontreatment services.
   (c) The department shall develop and maintain regulations
specifying the procedure for the appeal of department decisions about
the setting of an agency's rate.
   (d) On and after July 1, 1998, the schedule of rates, and the
components used in the rate calculations specified in the department'
s regulations, for foster family agencies shall be increased by 6
percent, rounded to the nearest dollar. The resultant amounts shall
constitute the new schedule of rates for foster family agencies.
   (e) (1) On and after July 1, 1999, the schedule of rates and the
components used in the rate calculations specified in the department'
s regulations for foster family agencies shall be adjusted by an
amount equal to the California Necessities Index computed pursuant to
Section 11453, rounded to the nearest dollar, subject to the
availability of funds. The resultant amounts shall constitute the new
schedule of rates for foster family agencies, subject to further
adjustment pursuant to paragraph (2).
   (2) In addition to the adjustment specified in paragraph (1),
commencing January 1, 2000, the schedule of rates and the components
used in the rate calculations specified in the department's
regulations for foster family agencies shall be increased by 2.36
percent, rounded to the nearest dollar. The resultant amounts shall
constitute the new schedule of rates for foster family agencies.
   (f) For the 1999-2000 fiscal year, foster family agency rates that
are not determined by the schedule of rates set forth in the
department's regulations, shall be increased by the same percentage
as provided in subdivision (e).
   (g) For the 2000-01 fiscal year and each fiscal year thereafter,
without a county share of cost, notwithstanding subdivision (c) of
Section 15200, the foster family agency rate shall be supplemented by
one hundred dollars ($100) for clothing per year per child in care,
subject to the availability of funds. The supplemental payment shall
be used to supplement, and shall not be used to supplant, any
clothing allowance paid in addition to the foster family agency rate.

   (h) In addition to the adjustment made pursuant to subdivision
(e), the component for social work activities in the rate calculation
specified in the department's regulations for foster family agencies
shall be increased by 10 percent, effective January 1, 2001. This
additional funding shall be used by foster family agencies solely to
supplement staffing, salaries, wages, and benefit levels of staff
performing social work activities. The schedule of rates shall be
recomputed using the adjusted amount for social work activities. The
resultant amounts shall constitute the new schedule of rates for
foster family agencies. The department may require a foster family
agency receiving this additional funding to certify that the funding
was utilized in accordance with the provisions of this section.
   (i) The increased rate provided by subparagraph (C) of paragraph
(1) of subdivision (d) of Section 11461 shall not be used to compute
the monthly amount that may be paid to licensed foster family
agencies for the placement of children in certified foster homes.
   (j) (1) The department shall determine, consistent with the
requirements of this section and other relevant requirements under
law, the rate category for each foster family agency on a biennial
basis. Submission of the biennial rate application shall be according
to a schedule determined by the department.
   (2) The department shall adopt regulations to implement this
subdivision. The adoption, amendment, repeal, or readoption of a
regulation authorized by this subdivision is deemed to be necessary
for the immediate preservation of the public peace, health and
safety, or general welfare, for purposes of Sections 11346.1 and
11349.6 of the Government Code, and the department is hereby exempted
from the requirement to describe specific facts showing the need for
immediate action.
  SEC. 30.5.  Section 11464 of the Welfare and Institutions Code is
repealed.
  SEC. 30.7.  Section 11464 is added to the Welfare and Institutions
Code, to read:
   11464.  (a) The Legislature finds and declares all of the
following:
   (1) Children who are consumers of regional center services and
also receiving Aid to Families with Dependent Children-Foster Care
(AFDC-FC) or Adoption Assistance Program (AAP) benefits have special
needs that can require care and supervision beyond that typically
provided to children in foster care. Clarifying the roles of the
child welfare and developmental disabilities services systems will
ensure that these children receive the services and support they need
in a timely manner and encourage the successful adoption of these
children, where appropriate.
   (2) To address the extraordinary care and supervision needs of
children who are consumers of regional center services and also
receiving AFDC-FC or AAP benefits, it is necessary to provide a rate
for care and supervision of these children that is higher than the
average rate they would otherwise receive through the foster care
system and higher than the rate other children with medical and other
significant special needs receive.
   (3) Despite the enhanced rate provided in this section, some
children who are consumers of regional center services and also
receiving AFDC-FC or AAP benefits may have care and supervision needs
that are so extraordinary that they cannot be addressed within that
rate. In these limited circumstances, a process should be established
whereby a supplement may be provided in addition to the enhanced
rate.
   (4) Children who receive rates pursuant to this section shall be
afforded the same due process rights as all children who apply for
AFDC-FC and AAP benefits pursuant to Section 10950.
   (b) Rates for children who are both regional center consumers and
recipients of AFDC-FC benefits under this chapter shall be determined
as provided in Section 4684 and this section.
   (c) (1) The rate to be paid for 24-hour out-of-home care and
supervision provided to children who are both consumers of regional
center services pursuant to subdivision (d) of Section 4512 and
recipients of AFDC-FC benefits under this chapter shall be two
thousand six dollars ($2,006) per child per month.
   (2) (A) The county, at its sole discretion, may authorize a
supplement of up to one thousand dollars ($1,000) to the rate for
children three years of age and older, if it determines the child has
the need for extraordinary care and supervision that cannot be met
within the rate established pursuant to paragraph (1). The State
Department of Social Services and the State Department of
Developmental Services, in consultation with stakeholders
representing county child welfare agencies, regional centers, and
children who are both consumers of regional center services and
recipients of AFDC-FC or AAP benefits, shall develop objective
criteria to be used by counties in determining eligibility for and
the level of the supplements provided pursuant to this paragraph. The
State Department of Social Services shall issue an all-county letter
to implement these criteria within 120 days of the effective date of
this act. The criteria shall take into account the extent to which
the child has any of the following:
   (i) Severe impairment in physical coordination and mobility.
   (ii) Severe deficits in self-help skills.
   (iii) Severely disruptive or self-injurious behavior.
   (iv) A severe medical condition.
   (B) The caregiver may request the supplement described in
subparagraph (A) directly or upon referral by a regional center.
Referral by a regional center shall not create the presumption of
eligibility for the supplement.
   (C) When assessing a request for the supplement, the county shall
seek information from the consumer's regional center to assist in the
assessment. The county shall issue a determination of eligibility
for the supplement within 90 days of receipt of the request. The
county shall report to the State Department of Social Services the
number and level of rate supplements issued pursuant to this
paragraph.
   (d) (1) The rate to be paid for 24-hour out-of-home care and
supervision provided for children who are receiving services under
the California Early Start Intervention Services Act, are not yet
determined by their regional center to have a developmental
disability, as defined in subdivisions (a) and (l) of Section 4512,
and are receiving AFDC-FC benefits under this chapter, shall be eight
hundred ninety-eight dollars ($898) per child per month. If a
regional center subsequently determines that the child is an
individual with a developmental disability as that term is defined by
subdivisions (a) and (l) of Section 4512, the rate to be paid from
the date of that determination shall be consistent with subdivision
(c).
   (2) The rates to be paid for 24-hour out-of-home nonmedical care
and supervision for children who are recipients of AFDC-FC and
consumers of regional center services from a community care facility
licensed pursuant to Chapter 3 (commencing with Section 1500) of
Division 2 of the Health and Safety Code and vendored by a regional
center pursuant to Section 56004 of Title 17 of the California Code
of Regulations, shall be the facility rate established by the State
Department of Developmental Services.
   (e) Rates paid pursuant to this section are subject to all of the
following requirements:
   (1) The rates paid to the foster care provider under subdivision
(c) and paragraph (1) of subdivision (d) are only for the care and
supervision of the child, as defined in subdivision (b) of Section
11460 and shall not be applicable to facilities described in
paragraph (2) of subdivision (d).
   (2) Regional centers shall separately purchase or secure the
services that are contained in the child's Individualized Family
Service Plan (IFSP) or Individual Program Plan (IPP), pursuant to
Section 4684.
   (3) In the event that the schedule of basic foster care rates, as
specified in Section 11461, is increased on or after July 1, 2008,
the rates in subdivisions (c), (d), and (f) shall be similarly
adjusted. No county shall be reimbursed for any increase in this rate
that exceeds the adjustments made in accordance with this
methodology.
   (f) (1) The AFDC-FC rates paid on behalf of a regional center
consumer who is a recipient of AFDC-FC prior to July 1, 2007, shall
remain in effect unless a change in the placement warrants
redetermination of the rate or if the child is no longer AFDC-FC
eligible. However, AFDC-FC rates paid on behalf of these children
that are lower than the rates specified in paragraph (1) of
subdivision (c) or paragraph (1) of subdivision (d), respectively,
shall be increased as appropriate to the amount set forth in
paragraph (1) of subdivision (c) or paragraph (1) of subdivision (d),
effective July 1, 2007, and shall remain in effect unless a change
in the placement or a change in AFDC-FC eligibility of the child
warrants redetermination of the rate.
   (2) For a child who is receiving AFDC-FC benefits or for whom a
foster care eligibility determination is pending, and for whom an
eligibility determination for regional center services pursuant to
subdivision (a) of Section 4512 is pending or approved, and for whom,
prior to July 1, 2007, a State Department of Developmental Services
facility rate determination request has been made and is pending, the
rate shall be the State Department of Developmental Services
facility rate determined by the regional center through an
individualized assessment, or the rate established in paragraph (1)
of subdivision (c), whichever is greater. The rate shall remain in
effect until the child is no longer eligible to receive AFDC-FC, or,
if still AFDC-FC eligible, is found ineligible for regional center
services as an individual described in subdivision (a) of Section
4512. Other than the circumstances described in this section,
regional centers shall not establish facility rates for AFDC-FC
purposes.
   (g) (1) The department shall adopt emergency regulations in
accordance with Chapter 3.5 (commencing with Section 11340) of Part 1
of Division 3 of Title 2 of the Government Code, and for the
purposes of that chapter, including Section 11349.6 of the Government
Code, on or before July 1, 2009.
   (2)  The adoption of regulations pursuant to paragraph (1) shall
be deemed an emergency and necessary for the immediate preservation
of the public peace, health, safety, and general welfare. The
regulations authorized by this subdivision shall remain in effect for
no more than 180 days, by which time final regulations shall be
adopted.
   (h) (1) The State Department of Social Services and the State
Department of Developmental Services shall provide to the Joint
Legislative Budget Committee, on a semiannual basis, the data set
forth in paragraph (2) to facilitate Legislative review of the
outcomes of the changes made by the addition of this section and the
amendments made to Sections 4684 and 16121 by the act adding this
section. The first report shall be submitted on October 1, 2007, with
subsequent reports submitted on March 1 and October 1 of each year.

(2) The following data shall be provided pursuant to this
subdivision:
   (A) The number of, and services provided to, children who are
consumers of regional center services and who are receiving AAP or
AFDC-FC, broken out by children receiving the amount pursuant to
paragraph (1) of subdivision (c), the amount pursuant to paragraph
(1) of subdivision (d), and the level of supplement pursuant to
subparagraph (A) of paragraph (2) of subdivision (c).
   (B) A comparison of services provided to these children and
similar children who are regional center consumers who do not receive
AFDC-FC or AAP benefits, broken out by children receiving the amount
pursuant to paragraph (1) of subdivision (c), the amount pursuant to
paragraph (1) of subdivision (d), and the level of supplement
pursuant to subparagraph (A) of paragraph (2) of subdivision (c).
   (C) The number and nature of appeals filed regarding services
provided or secured by regional centers for these children,
consistent with Section 4714, broken out by children receiving the
amount pursuant to paragraph (1) of subdivision (c), the amount
pursuant to paragraph (1) of subdivision (d), and the level of
supplement pursuant to subparagraph (A) of paragraph (2) of
subdivision (c).
   (D) The number of these children who are adopted before and after
the act adding this section, broken out by children receiving the
amount pursuant to paragraph (1) of subdivision (c), the amount
pursuant to paragraph (1) of subdivision (d), and the level of
supplement pursuant to subparagraph (A) of paragraph (2) of
subdivision (c).
   (E) The number and levels of supplements requested pursuant to
subparagraph (B) of paragraph (2) of subdivision (c).
   (F) The number of appeals requested of the decision by counties to
deny the request for the supplement pursuant to subparagraph (A) of
paragraph (2) of subdivision (c).
   (G) The total number and levels of supplements authorized pursuant
to subparagraph (A) of paragraph (2) of subdivision (c) and the
number of these supplements authorized upon appeal.
  SEC. 31.  Section 11465 of the Welfare and Institutions Code is
amended to read:
   11465.  (a) When a child is living with a parent who receives
AFDC-FC or Kin-GAP benefits, the rate paid to the provider on behalf
of the parent shall include an amount for care and supervision of the
child.
   (b) For each category of eligible licensed community care
facility, as defined in Section 1502 of the Health and Safety Code,
the department shall adopt regulations setting forth a uniform rate
to cover the cost of care and supervision of the child in each
category of eligible licensed community care facility.
   (c) (1) On and after July 1, 1998, the uniform rate to cover the
cost of care and supervision of a child pursuant to this section
shall be increased by 6 percent, rounded to the nearest dollar. The
resultant amounts shall constitute the new uniform rate.
   (2) (A) On and after July 1, 1999, the uniform rate to cover the
cost of care and supervision of a child pursuant to this section
shall be adjusted by an amount equal to the California Necessities
Index computed pursuant to Section 11453, rounded to the nearest
dollar. The resultant amounts shall constitute the new uniform rate,
subject to further adjustment pursuant to subparagraph (B).
   (B) In addition to the adjustment specified in subparagraph (A),
on and after January 1, 2000, the uniform rate to cover the cost of
care and supervision of a child pursuant to this section shall be
increased by 2.36 percent, rounded to the nearest dollar. The
resultant amounts shall constitute the new uniform rate.
   (3) Subject to the availability of funds, for the 2000-01 fiscal
year and annually thereafter, these rates shall be adjusted for cost
of living pursuant to procedures in Section 11453.
   (4) On and after January 1, 2008, the uniform rate to cover the
cost of care and supervision of a child pursuant to this section
shall be increased by 5 percent, rounded to the nearest dollar. The
resulting amount shall constitute the new uniform rate.
   (d) (1) Notwithstanding subdivisions (a) to (c), inclusive, the
payment made pursuant to this section for care and supervision of a
child who is living with a teen parent in a whole family foster home,
as defined in subdivision (u) of Section 11400, shall equal the
basic rate for children placed in a licensed or approved home as
specified in subdivisions (a) to (d), inclusive, of Section 11461.
   (2) The caregiver shall provide the county child welfare agency or
probation department with a copy of the shared responsibility plan
developed pursuant to Section 16501.25 and shall advise the county
child welfare agency or probation department of any subsequent
changes to the plan. Once the plan has been completed and provided to
the appropriate agencies, the payment made pursuant to this section
shall be increased by an additional two hundred dollars ($200) per
month to reflect the increased care and supervision while he or she
is placed in the whole family foster home.
   (3) In any year in which the payment provided pursuant to this
section is adjusted for the cost of living as provided in paragraph
(1) of subdivision (c), the payments provided for in this subdivision
shall also be increased by the same procedures.
  SEC. 32.  Section 11466.23 is added to the Welfare and Institutions
Code, to read:
   11466.23.  (a) It is the intent of the Legislature to comply with
the federal requirements of the Improper Payments Act of 2002 with
respect to the remittance of the federal share of foster care
overpayments.
   (b) For the purposes of this section, a federal foster care or
adoption assistance overpayment is defined as any amount of aid paid
to which a foster care provider or adoption assistance recipient was
not entitled, including any overpayment identified by a foster care
provider as described in Section 11400, or federal Adoption
Assistance Program recipient as described in Chapter 2.1 (commencing
with Section 16115) of Part 4.
   (c) Counties shall be required to remit the appropriate amount of
federal funds upon identification of the overpayment, following the
completion of due process.
   (1) Counties shall not be required to repay the overpayment when
any of the following occurs:
   (A) The amount is legally uncollectible, including any amount
legally uncollectible pursuant to Section 11466.24.
   (B) The cost of collection exceeds the overpayment.
   (C) The foster family agency or group home is no longer in
business or licensed by the department.
   (2) Remittance of overpayments of federal AFDC-FC funds and
federal AAP funds not excluded by paragraph (1) shall be shared by
the state and the counties based on a 40 percent state, 60 percent
county sharing ratio. Upon actual collection of any overpayments from
providers or recipients, the county shall ensure that the total
amount reimbursed to the state reflects the federal and state share
of the overpayment costs, as specified. All overpayments of federal
AFDC-FC funds and federal AAP funds included in paragraph (1) shall
be repaid completely with state funds.
   (3) Nothing in this section shall inhibit existing county
authority to collect overpayments.
   (4) Nothing in this section shall inhibit existing county
responsibility to remit voluntary overpayments upon collection.
   (d) (1) The department shall adopt regulations to implement this
section by December 31, 2008. Notwithstanding Chapter 3.5 (commencing
with Section 11340) of Part 1 of Division 3 of Title 2 of the
Government Code, the department, in consultation and coordination
with the County Welfare Directors Association, may adopt emergency
regulations to implement this section.
   (2) The adoption of emergency regulations pursuant to subdivision
(a) shall be deemed to be an emergency and necessary for the
immediate preservation of the public peace, health, safety, or
general welfare. The emergency regulations authorized by this section
shall be submitted to the Office of Administrative Law for filing
with the Secretary of State and shall remain in effect for no more
than 180 days, by which time final regulations shall be adopted.
   (e) The department may only require counties to remit payment of
the federal share for overpayments upon identification that occur on
or after the effective date of regulations adopted pursuant to this
section.
  SEC. 33.  Section 11466.235 is added to the Welfare and
Institutions Code, to read:
   11466.235.  (a) The department, in consultation and coordination
with the County Welfare Directors Association (CWDA), shall update
existing regulations and establish new regulations where lacking for
the identification, determination, tracking, notification, and
collection of foster care and adoption assistance overpayments by
county agencies to foster care providers or adoption assistance
recipients, and shall specify the required actions of county
agencies, as appropriate, to recoup overpayments. In addition, the
department, in consultation with the CWDA, shall develop specific
processes to implement collection and repayment of overpaid federal
AFDC-FC funds, including the development of a Notice of Action (NOA),
due process procedures, voluntary repayment procedures, involuntary
repayment procedures, and the accrual of interest. It is the intent
of the Legislature that the recovery of unauthorized funds is done in
a manner that does not jeopardize overall availability of placements
for foster or adoptive children or the best interests of the foster
or adoptive child.
   (b) (1) No later than October 1, 2007, the department shall
implement a process to obtain all necessary state approvals of
advanced planning documents for counties to implement automated
solutions designed to minimize overpayments, and to submit the
documents to the appropriate federal authority within 30 days of
original submission by the county to the state. The process shall
include a template to be used by counties for expedited state and
federal approval of advanced planning documents designed to minimize
overpayments.
   (2) No later than December 31, 2007, the department shall
implement a process for counties to obtain, at no charge, all
necessary data from the Child Welfare Services Case Management System
(CWS/CMS) to implement automated solutions designed to minimize
overpayments, such as the system used by Alameda County, or a similar
solution. The department shall notify the budget committees of the
Legislature and the CWDA by October 1, 2007, if the department
believes that the extract of this data could jeopardize the
structural and data integrity of the information within the CWS/CMS.
The department shall work with CWDA to mitigate these risks, if
found.
   (c) (1) The department shall modify existing regulations and adopt
new regulations to implement this section by December 31, 2008.
Notwithstanding Chapter 3.5 (commencing with Section 11340) of Part 1
of Division 3 of Title 2 of the Government Code, the department, in
consultation with the CWDA, may adopt emergency regulations to
implement this section.
   (2) The adoption of emergency regulations pursuant to paragraph
(1) shall be deemed to be an emergency and necessary for the
immediate preservation of the public peace, health, safety, or
general welfare. The emergency regulations authorized by this section
shall be submitted to the Office of Administrative Law for filing
with the Secretary of State and shall remain in effect for no more
than 180 days, by which time final regulations shall be adopted.
  SEC. 34.  Section 11466.24 of the Welfare and Institutions Code is
amended to read:
   11466.24.  (a) In accordance with this section, a county shall
collect an overpayment, discovered on or after January 1, 1999, made
to a foster family home, an approved home of a relative, an approved
home of a nonrelative extended family member, or an approved home of
a nonrelative legal guardian, for any period of time in which the
foster child was not cared for in that home, unless any of the
following conditions exist, in which case a county shall not collect
the overpayment:
   (1) The cost of the collection exceeds that amount of the
overpayment that is likely to be recovered by the county. The cost of
collecting the overpayment and the likelihood of collection shall be
documented by the county. Costs that the county shall consider when
determining the cost-effectiveness to collect are total
administrative, personnel, legal filing fee, and investigative costs,
and any other applicable costs.
   (2) The child was temporarily removed from the home and payment
was owed to the provider to maintain the child's placement, or the
child was temporarily absent from the provider's home, or on runaway
status and subsequently returned, and payment was made to the
provider to meet the child's needs.
   (3) The overpayment was exclusively the result of a county
administrative error or both the county welfare department and the
provider were unaware of the information that would establish that
the foster child was not eligible for foster care benefits.
   (4) The provider did not have knowledge of, and did not contribute
to, the cause of the overpayment.
   (b) (1) After notification by a county of an overpayment to a
foster family home, an approved home of a relative or a nonrelative
extended family member, or an approved home of a nonrelative legal
guardian, and a demand letter for repayment, the foster parent,
approved relative, or approved nonrelative legal guardian may request
the county welfare department to review the overpayment
determination in an informal hearing, or may file with the department
a request for a hearing to appeal the overpayment determination.
Requesting an informal hearing shall not preclude a payee from
seeking a formal hearing at a later date. The county welfare
department shall dismiss the overpayment repayment request if it
determines the action to be incorrect through an initial review prior
to a state hearing, or through a review in an informal hearing held
at the request of the foster parent, relative, or nonrelative legal
guardian.
   (2) If an informal hearing does not result in the dismissal of the
overpayment, or a formal appeal hearing is not requested, or on the
30th day following a formal appeal hearing decision, whichever is
later, the foster family provider overpayment shall be sustained for
collection purposes.
   (3) The department shall adopt regulations that ensure that the
best interests of the child shall be the primary concern of the
county welfare director in any repayment agreement.
   (c) (1) The department shall develop regulations for recovery of
overpayments made to any foster family home, approved home of a
relative, or approved home of a nonrelative legal guardian. The
regulations shall prioritize collection methods, that shall include
voluntary repayment agreement procedures and involuntary overpayment
collection procedures. These procedures shall take into account the
amount of the overpayment and a minimum required payment amount.
   (2) A county shall not collect an overpayment through the use of
an involuntary payment agreement unless a foster family home, an
approved home of a relative, or an approved home of a nonrelative
legal guardian has rejected the offer of a voluntary overpayment
agreement, or has failed to comply with the terms of the voluntary
overpayment agreement.
   (3) A county shall not be permitted to collect an overpayment
through the offset of payments due to a foster family home, an
approved home of a relative, or an approved home of a nonrelative
legal guardian unless this method of repayment is requested by the
provider in a voluntary repayment agreement, or other circumstances
defined by the department by regulation.
   (d)  If a provider is successful in its appeal of a collected
overpayment, it shall be repaid the collected overpayment plus simple
interest based on the Surplus Money Investment Fund.
   (e)  A county may not collect interest on the repayment of an
overpayment.
   (f)  There shall be a one-year statute of limitations from the
date upon which the county determined that there was an overpayment.
  SEC. 34.5.  Section 12201 of the Welfare and Institutions Code is
amended to read:
   12201.  (a) Except as provided in subdivision (d), the payment
schedules set forth in Section 12200 shall be adjusted annually to
reflect any increases or decreases in the cost of living. Except as
provided in subdivision (e), these adjustments shall become effective
January 1 of each year. The cost-of-living adjustment shall be based
on the changes in the California Necessities Index, which as used in
this section shall be the weighted average of changes for food,
clothing, fuel, utilities, rent, and transportation for low-income
consumers. The computation of annual adjustments in the California
Necessities Index shall be made in accordance with the following
steps:
   (1) The base period expenditure amounts for each expenditure
category within the California Necessities Index used to compute the
annual grant adjustment are:
Food...............................       $ 3,027
Clothing (apparel and upkeep)......           406
Fuel and other utilities...........           529
Rent, residential..................         4,883
Transportation.....................         1,757
                                       -----------
   Total............................       $10,602


   (2) Based on the appropriate components of the Consumer Price
Index for All Urban Consumers, as published by the United States
Department of Labor, Bureau of Labor Statistics, the percentage
change shall be determined for the 12-month period which ends 12
months prior to the January in which the cost-of-living adjustment
will take effect, for each expenditure category specified in
paragraph (1) within the following geographical areas: Los
Angeles-Long Beach-Anaheim, San Francisco-Oakland, San Diego, and, to
the extent statistically valid information is available from the
Bureau of Labor Statistics, additional geographical areas within the
state which include not less than 80 percent of recipients of aid
under this chapter.
   (3) Calculate a weighted percentage change for each of the
expenditure categories specified in subdivision (a) using the
applicable weighting factors for each area used by the State
Department of Industrial Relations to calculate the California
Consumer Price Index (CCPI).
   (4) Calculate a category adjustment factor for each expenditure
category in paragraph (1) by (1) adding 100 to the applicable
weighted percentage change as determined in paragraph (2) and (2)
dividing the sum by 100.
   (5) Determine the expenditure amounts for the current year by
multiplying each expenditure amount determined for the prior year by
the applicable category adjustment factor determined in paragraph
(4).
   (6) Determine the overall adjustment factor by dividing (1) the
sum of the expenditure amounts as determined in paragraph (4) for the
current year by (2) the sum of the expenditure amounts as determined
in paragraph (4) for the prior year.
   (b) The overall adjustment factor determined by the preceding
computational steps shall be multiplied by the payment schedules
established pursuant to Section 12200 as are in effect during the
month of December preceding the calendar year in which the
adjustments are to occur, and the product rounded to the nearest
dollar. The resultant amounts shall constitute the new schedules for
the categories given under subdivisions (a), (b), (c), (d), (e), (f),
and (g) of Section 12200, and shall be filed with the Secretary of
State. The amount as set forth in subdivision (h) of Section 12200
shall be adjusted annually pursuant to this section in the event that
the secretary agrees to administer payment under that subdivision.
The payment schedule for subdivision (i) of Section 12200 shall be
computed as specified, based on the new payment schedules for
subdivisions (a), (b), (c), and (d) of Section 12200.
   (c) The department shall adjust any amounts of aid under this
chapter to insure that the minimum level required by the Social
Security Act in order to maintain eligibility for funds under Title
XIX of that act is met.
   (d) (1) No adjustment shall be made under this section for the
1991, 1992, 1993, 1994, 1995, 1996, 1997, 1998, 2004, 2006 and 2007
calendar years to reflect any change in the cost of living.
Elimination of the cost-of-living adjustment pursuant to this
paragraph shall satisfy the requirements of Section 12201.05, and no
further reduction shall be made pursuant to that section.
   (2) Any cost-of-living adjustment granted under this section for
any calendar year shall not include adjustments for any calendar year
in which the cost of living was suspended pursuant to paragraph (1).

   (e) For the 2003 calendar year, the adjustment required by this
section shall become effective June 1, 2003.
   (f) For the 2005 calendar year, the adjustment required by this
section shall become effective April 1, 2005.
   (g) (1) Commencing with the 2008 calendar year and in each
calendar year thereafter, the annual adjustment required by this
section shall be effective June 1 through May 31 of the following
calendar year.
   (2) Notwithstanding paragraph (1), the pass along of federal
benefits provided for in Section 12201.05 shall be effective on
January 1 of each calendar year.
  SEC. 35.  Section 12304.4 of the Welfare and Institutions Code is
amended to read:
   12304.4.  (a) The department shall establish a program of direct
deposit by electronic transfer for payments to in-home supportive
services providers. A provider may choose to receive payments via
direct deposit at his or her option. The department, the Controller,
and the California Health and Human Services Agency shall make all
necessary automation changes to allow for payment by direct deposit.
   (b) On or before March 31, 2008, the department shall complete
those items pertaining to the implementation of direct deposit over
which they have independent control, or those items that do not
depend on ongoing coordination with the office of the Controller in
order to be completed. Examples of these items include, but are not
limited to, rulemaking Case Management Information and Payroll
Systems (CMIPS) modifications, provider notifications, and all-county
letters. The department and the office of the Controller shall
cooperate fully on coordination, implementation, and testing, on a
timeframe that shall not delay implementation of the project.
Notwithstanding any other provision of law, direct deposit for
in-home supportive services providers shall be implemented on or
before June 30, 2008.
   (c) Notwithstanding any other provision of law, a person entitled
to the receipt of direct payment as an individual provider pursuant
to Section 12302.2 for providing in-home supportive services may
authorize payment to be directly deposited by electronic fund
transfer into the person's account at the financial institution of
his or her choice under a program for direct deposit by electronic
transfer established by the department.
  SEC. 36.  Section 14124.93 of the Welfare and Institutions Code is
amended to read:
   14124.93.  (a) The Department of Child Support Services shall
provide payments to the local child support agency of fifty dollars
($50) per case for obtaining third-party health coverage or insurance
of beneficiaries, to the extent that funds are appropriated in the
annual Budget Act.
   (b) A county shall be eligible for a payment if the county obtains
third-party health coverage or insurance for applicants or
recipients of Title IV-D services not previously covered, or for whom
coverage has lapsed, and the county provides all required
information on a form approved by both the Department of Child
Support Services and the State Department of Health Care Services.
   (c) Payments to the local child support agency under this section
shall be suspended for the 2003-04, 2004-05, 2005-06, 2006-07, and
2007-08 fiscal years.
  SEC. 36.5.  Section 16121 of the Welfare and Institutions Code is
amended to read:
   16121.  (a) In accordance with the adoption assistance agreement,
the adoptive family shall be paid an amount of aid based on the child'
s needs otherwise covered in AFDC-FC payments and the circumstance of
the adopting parents but that shall not exceed the foster care
maintenance payment that would have been paid based on the age
related state-approved foster family home care rate, and any
applicable specialized care increment, for a child placed in a
licensed or approved family home pursuant to subdivisions (a) to (d),
inclusive, of Section 11461.
   (b) Payment may be made on behalf of an otherwise eligible child
in a state-approved group home or residential care treatment facility
if the department or county responsible for determining payment has
confirmed that the placement is necessary for the temporary
resolution of mental or emotional problems related to a condition
that existed prior to the adoptive placement. Out-of-home placements
shall be in accordance with the applicable provisions of Chapter 3
(commencing with Section 1500) of Division 2 of the Health and Safety
Code and other applicable statutes and regulations governing
eligibility for AFDC-FC payments for placements in in-state and
out-of-state facilities. The designation of the placement facility
shall be made after consultation with the family by the department or
county welfare agency responsible for determining the Adoption
Assistance Program (AAP) eligibility and authorizing financial aid.
Group home or residential placement shall only be made as part of a
plan for return of the child to the adoptive family, that shall
actively participate in the plan. Adoption Assistance Program
benefits shall not be authorized for payment of an eligible child's
group home or residential treatment facility placement that exceeds
an 18-month cumulative period of time for a specific episode or
condition justifying that placement.
   (c) (1) Payments on behalf of a child who is a recipient of AAP
benefits who is also a consumer of regional center services shall be
based on the rates established by the State Department of Social
Services pursuant to Section 11464 and subject to the process
described in paragraph (1) of subdivision (d) of Section 16119.
   (2) (A) Except as provided for in subparagraph (B), this
subdivision shall apply to adoption assistance agreements signed on
or after July 1, 2007.
   (B) Rates paid on behalf of regional center consumers who are
recipients of AAP benefits and for whom an adoption assistance
agreement was executed before July 1, 2007, shall remain in effect,
and may                                           only be changed in
accordance with Section 16119.
   (i) If the rates paid pursuant to adoption assistance agreements
executed before July 1, 2007, are lower than the rates specified in
paragraph (1) of subdivision (c) or paragraph (1) of subdivision (d)
of Section 11464, respectively, those rates shall be increased, as
appropriate and in accordance Section 16119, to the amount set forth
in paragraph (1) of subdivision (c) or paragraph (1) of subdivision
(d) of Section 11464, effective July 1, 2007. Once set, the rates
shall remain in effect and may only be changed in accordance with
Section 16119.
   (ii) For purposes of this clause, for a child who is a recipient
of AAP benefits or for whom the execution of an AAP agreement is
pending, and who has been deemed eligible for or has sought an
eligibility determination for regional center services pursuant to
subdivision (a) of Section 4512, and for whom a determination of
eligibility for those regional center services has been made, and for
whom, prior to July 1, 2007, a maximum rate determination has been
requested and is pending, the rate shall be determined through an
individualized assessment and pursuant to subparagraph (C) of
paragraph (1) of subdivision (c) of Section 35333 of Title 22 of the
California Code of Regulations as in effect on January 1, 2007, or
the rate established in subdivision (b) of Section 11464, whichever
is greater. Once the rate has been set, it shall remain in effect and
may only be changed in accordance with Section 16119. Other than the
circumstances described in this clause, regional centers shall not
make maximum rate benefit determinations for the AAP.
   (3) Regional centers shall separately purchase or secure the
services contained in the child's IFSP or IPP, pursuant to Section
4684.
   (4) Regulations adopted by the department pursuant to this
subdivision shall be adopted as emergency regulations in accordance
with Chapter 3.5 (commencing with Section 11340) of Part 1 of
Division 3 of Title 2 or the Government Code, and for the purposes of
that chapter, including Section 11349.6 of the Government Code, the
adoption of these regulations is an emergency and shall be considered
by the Office of Administrative Law as necessary for the immediate
preservation of the public peace, health, safety, and general
welfare. The regulations authorized by this paragraph shall remain in
effect for no more than 180 days, by which time final regulations
shall be adopted.
   (d) (1) In the event that a family signs an adoption assistance
agreement where a cash benefit is not awarded, the adopting family
shall be otherwise eligible to receive Medi-Cal benefits for the
child if it is determined that the benefits are needed pursuant to
this chapter.
   (2) Regional centers shall separately purchase or secure the
services that are contained in the child's Individualized Family
Service Plan (IFSP) or Individual Program Plan (IPP) pursuant to
Section 4684.
   (e) Subdivisions (a), (b), and (d) shall apply only to adoption
assistance agreements signed on or after October 1, 1992.
   (f) This section shall supersede the requirements of subparagraph
(C) of paragraph (1) of Section 35333 of Title 22 of the California
Code of Regulations.
  SEC. 37.  Section 16121.01 is added to the Welfare and Institutions
Code, to read:
   16121.01.  Notwithstanding any other provision of law, the amount
of aid to be paid to an adoptive family for any adoption assistance
agreement executed prior to October 1, 1992, or the foster care
maintenance payment based on the age-related, state-approved foster
family home care rate and any applicable specialized care increment
that would have been paid to an adoptive family for an adoption
assistance agreement executed prior to January 1, 2008, shall not be
adjusted pursuant to the rate increase specified in subparagraph (C)
of paragraph (1) of subdivision (d) of Section 11461 in any
subsequent reassessment on or after January 1, 2008.
  SEC. 38.  Section 16122 of the Welfare and Institutions Code is
amended to read:
   16122.  (a) It is the intent of the Legislature in enacting this
chapter to provide children who would otherwise remain in long-term
foster care with permanent adoptive homes. It is also the intent of
this Legislature to encourage private adoption agencies to continue
placing these children, and in so doing, to achieve a substantial
savings to the state in foster care costs.
   (b) From any funds appropriated for this purpose, the state shall
compensate private adoption agencies licensed pursuant to Chapter 3
(commencing with Section 1500) of Division 2 of the Health and Safety
Code for costs of placing for adoption children eligible for
Adoption Assistance Program benefits pursuant to Section 16120.
   These agencies shall be compensated for otherwise unreimbursed
costs for the placement of these children in an amount not to exceed
a total of three thousand five hundred dollars ($3,500) per child
adopted. Half of the compensation shall be paid at the time the
adoptive placement agreement is signed. The remainder shall be paid
at the time the adoption petition is granted by the court. Requests
for compensation shall conform to claims procedures established by
the department. This section shall not be construed to authorize
reimbursement to private agencies for intercountry adoption services.

   (c) Effective July 1, 1999, the maximum amount of reimbursement
pursuant to subdivision (b) shall be five thousand dollars ($5,000).
   (d) Effective February 1, 2008, the maximum amount of
reimbursement pursuant to subdivision (b) shall be ten thousand
dollars ($10,000). This rate increase shall apply only to those cases
for which the adoptive home study approval occurred on or after July
1, 2007.
   (e) Commencing with the budget subcommittee hearings for the
2008-09 fiscal year, the State Department of Social Services shall
review the reimbursement methodology for the program and annually
provide information to the fiscal committees of the Legislature on
all of the following:
   (1) The costs and savings, to the extent that these can be
assessed, associated with increasing the reimbursement rate.
   (2) Outcome data, including the increased number of adoptive
placements and finalized adoptions, and how these outcomes compare to
prior years.
   (3) The progress toward earning federal adoption incentives.
   (4) The number of new agencies participating in the placement of
children pursuant to this section.
  SEC. 39.  Section 16605 of the Welfare and Institutions Code is
amended to read:
   16605.  (a) The department shall, subject to the availability of
funds appropriated therefor, conduct a Kinship Support Services
Program that is a grants-in-aid program providing startup and
expansion funds for local kinship support services programs that
provide community-based family support services to relative
caregivers and the children placed in their homes by the juvenile
court or who are at risk of dependency or delinquency. Relatives with
children in voluntary placements may access services, at the
discretion of the county.
   (b) The Kinship Support Services Program shall create a
public-private partnership. A combination of federal, state, county,
and private sector resources shall finance the establishment and
ongoing operation of the program.
   (c) The counties that elect to participate in the program shall
meet the following conditions and requirements:
   (1) Have a demonstrated capacity for collaboration and interagency
coordination.
   (2) Have a viable plan for ongoing financial support of the local
kinship support services program.
   (3) Utilize relative caregivers as employees of the program.
   (4) Have strong and viable public or private agencies to operate
the program.
   (5) Provide to the department the number of relative caretakers
residing in the county, and the projected number of relative
caretakers to be served.
   (6) Describe how the county will develop and maintain the
necessary community supports.
   (7) Outline the county's outcome improvement goals for the
program. These goals shall include, but shall not be limited to,
moving children out of foster care and into the Kinship Guardian
Assistance Payment Program (Kin-GAP), or adoption, placement
stability, and preventing children from entering foster care. The
county shall also agree to measure and report data regarding the
Kinship Support Services Program, as required by the department.
   (d) The Kinship Support Services Program shall demonstrate the use
of supportive services provided to relative caregivers and children
placed in their homes using a community-based kinship support
services model. This model shall provide services to relative
caregivers that are aimed at helping to ensure permanent family
kinship placements for children who have been placed with them by the
juvenile court, and to provide family support services that will
eliminate the need for juvenile court jurisdiction and the provision
of services by the county welfare department.
   (e) The program shall provide family support services appropriate
for the target populations. These services may include, but are not
limited to, the following:
   (1) Assessment and case management.
   (2) Social services referral and intervention aimed at maintaining
the kinship family unit, for example, housing, homemaker services,
respite care, legal services, and day care.
   (3) Transportation for medical care and educational and
recreational activities.
   (4) Information and referral services.
   (5) Individual and group counseling in the area of parent-child
relationships and group conflict.
   (6) Counseling and referral services aimed at promoting
permanency, including kinship adoption and guardianship.
   (7) Tutoring and mentoring.
   (f) The Edgewood Center for Children and Families in San Francisco
or any other appropriate agency or individual approved by the
department in consultation with the Statewide Kinship Advisory
Committee shall provide technical assistance to the Kinship Support
Services Program and shall facilitate the sharing of information and
resources among the local programs.
  SEC. 40.  Section 18939.5 is added to the Welfare and Institutions
Code, to read:
   18939.5.  Notwithstanding any other provision of law, an
individual who naturalizes while receiving benefits under this
article, who remains otherwise eligible for benefits under this
article, and who applies for federally funded Supplemental Security
Income (SSI) and fully cooperates in the application and
administrative appeal process of the Social Security Administration,
shall continue to receive benefits under this article until the
individual receives SSI benefits or has exhausted all appeals for
their initial federal SSI application. A recipient shall not be
entitled to receive duplicate payments for any month.
  SEC. 41.  The amendments made by this act contained in clause (ii)
of subparagraph (B) of paragraph (1) of subdivision (a) of Section
1534, paragraph (2) of subdivision (c) of Section 1569.33, paragraph
(2) of subdivision (c) of Section 1597.09, and paragraph (2) of
subdivision (c) of Section 1597.55a of the Health and Safety Code
shall be suspended for the 2007-08 fiscal year. The State Department
of Social Services shall submit trailer bill language to the
Legislature on or before February 1, 2008, that reflects appropriate
indicators to trigger an annual increase in the number of facilities
for which the department conducts unannounced visits. The department
shall work with legislative staff, the Legislative Analyst's Office,
and interested stakeholders to develop the indicators.
  SEC. 42.  The State Department of Education shall conduct a study
and submit a report to the Legislature by September 2008 that will
establish best statewide practices for the prevention, detection,
identification, and investigation of improper payments and fraud in
all subsidized child care programs. The report shall provide specific
recommendations that will shape discussion towards establishing
consistent policies across the state with regard to improper payments
and suspected fraud in subsidized child care.
   (a) The study shall incorporate elements utilized in national
studies conducted by the federal Administration for Children and
Families and information previously developed by the department and
other state agencies.
   (b) The study shall include a thorough analysis and
recommendations on the role and responsibilities of the department.
   (c) The study shall include an expansive review of the practices
of local jurisdictions in their efforts to mitigate improper payments
and suspected fraud in child care programs, particularly prevention
efforts, and should assess those practices, determining which are
"best practices" and indicating the bases for those determinations.
   (d) The study shall establish a working definition of fraud that
clearly distinguishes fraud from improper payments, and provide
recommendations as to how the department could provide guidance to
child care contractors regarding fraud detection and prevention.
   (e) The study shall address requirements for ensuring that
effective due process protections are in place for subsidy recipients
and child care providers when an improper payment or suspicion of
fraud is at issue.
   (f) The study shall gather any available information regarding the
potential cost-effectiveness of fraud prevention, detection,
investigation, and prosecution efforts.
   (g) The study shall address internal control components for the
department's child care contractor agencies, including written
policies addressing standards for quality assurance, separation of
duties, prohibition of conflicts of interest, and independent audit
and oversight procedures.
  SEC. 43.  The Department of Rehabilitation shall count the exact
number of Supported Employment Program (SEP) and Work Activity
Program (WAP) consumers served by the department in the 2007-08
fiscal year and how much it cost the department to provide services
to those consumers. If the costs are projected to exceed the amounts
budgeted for SEP and WAP consumer services, the department shall
identify funding options to meet those needs. The department shall
submit this information to the budget and fiscal committees of the
Legislature on January 10, 2008, and on May 14, 2008. The department
shall also submit to the budget and fiscal committees of the
Legislature by April 1, 2008, a proposed methodology for projecting
case load and funding growth in the SEP and WAP for the 2008-09 and
subsequent fiscal years.
  SEC. 44.  Any funds remaining of the four million four hundred
forty-five thousand dollars ($4,445,000) appropriated in Item
5180-101-0001 of Section 2.00 of the Budget Act of 2007 to reimburse
food banks and Foodlink for the storage and transportation costs of
federally provided food incurred in the 2006-07 fiscal year in
response to the freeze, shall be expended to respond to other
emergency food needs throughout the state.
  SEC. 45.  The State Department of Social Services, in consultation
with the County Welfare Directors Association, shall track the actual
county costs to implement the requirements of the settlement
agreement in Gomez, et al. v. Saenz for the 2007-08 fiscal year. To
the extent that the actual costs differ from the amount estimated in
the budget, the actual costs shall be used to update the premise
commencing with the 2008-09 budget.
  SEC. 46.  The State Department of Social Services shall provide
options for consideration by the administration and the Legislature
for increasing the state's CalWORKs welfare-to-work participation.
These options should address ways to structure the CalWORKs grant in
order to maximize full-time work and promote family stability, as
well as ideas for training and technical assistance the department
could provide counties targeted at increasing the work participation
rate. The department shall submit these options to the Joint
Legislative Budget Committee, and to the Legislature's budget,
fiscal, and human services committees, on or before October 1, 2007.
  SEC. 47.  (a) Notwithstanding Chapter 3.5 (commencing with Section
11340) of Part 1 of Division 3 of Title 2 of the Government Code,
until emergency regulations are filed with the Secretary of State,
the State Department of Social Services may implement the changes
made by Sections 14, 15, 21 to 26, inclusive, and Sections 35, 39,
and 40 of this act through all-county letters or similar instructions
from the director. The department shall adopt emergency regulations,
as necessary to implement those changes no later than July 1, 2009.
   (b) The adoption of regulations pursuant to subdivision (a) shall
be deemed to be an emergency and necessary for the immediate
preservation of the public peace, health, safety, or general welfare.
The emergency regulations authorized by this section shall be exempt
from review by the Office of Administrative Law. The emergency
regulations authorized by this section shall be submitted to the
Office of Administrative Law for filing with the Secretary of State
and shall remain in effect for no more than 180 days, by which time
final regulations shall be adopted.
  SEC. 48.  Of the thirty-five million six hundred eighty-four
thousand dollars ($35,684,000) appropriated in Item 5180-151-0001 of
Section 2.00 of the Budget Act of 2007 for the Transitional Housing
Program Plus, up to ten million five hundred twenty-five thousand
dollars ($10,525,000) may be used for eligible costs incurred in the
2006-07 fiscal year.
  SEC. 49.  This act is an urgency statute necessary for the
immediate preservation of the public peace, health, or safety within
the meaning of Article IV of the Constitution and shall go into
immediate effect. The facts constituting the necessity are:
   In order to make necessary statutory changes to implement the
Budget Act of 2007 at the earliest possible time, it is necessary
that this act take effect immediately.