BILL ANALYSIS Senate Appropriations Committee Fiscal Summary Senator Christine Kehoe, Chair 295 (Ammiano) Hearing Date: 08/17/2009 Amended: 06/01/2009 Consultant: Jacqueline Wong-HernandezPolicy Vote: Human Services 4-1 _________________________________________________________________ ____ BILL SUMMARY: AB 295 extends the availability of funds for a specified pre-adoption and post-adoption services project until June 30, 2010, and changes the date to May 31, 2011 that information on the results of the project must be provided to the Legislature by the Department of Social Services (DSS). This bill also amends 18250 of the Welfare and Institutions code to remove all references to "pilot project" status of county-authorized wrap-around services, striking "pilot projects" and replacing the phrase with the designation of "wrap-around services program." This bill makes changes in the evaluation required of each county's wrap-around services program. It replaces "academic performance" with "stability in the least restrictive school placement," and includes applicable indicators from the state's child and family service review system, such as safety, permanency, and child well-being in the evaluation. This bill provides that a child who is categorically eligible for Medi-Cal benefits with no share of cost based on the receipt of Aid to Families with Dependent Children-Foster Care (AFDC-FC) or adoption assistance benefits remains eligible for Medi-Cal for the time specified in the child's individualized services plan even if the child has been returned to the parental home. This bill makes a child who reaches 16 years of age while receiving wrap-around services eligible to receive Independent Living Program (ILP) services. _________________________________________________________________ ____ Fiscal Impact (in thousands) Major Provisions 2009-10 2010-11 2011-12 Fund Extends expenditure deadline $1,300 $0 $0 General * Code clean-up $0 $0 $0 General Expands ILP eligibility $14 $27 $27 General ** Expands Medi-Cal eligibility Unknown, likely minor costs General Federal *If the deadline is not extended, $1.3 million will revert back to the General Fund. ** Cost pressure. _________________________________________________________________ ____ STAFF COMMENTS: This bill meets the criteria for referral to the Suspense File. Page 2 AB 295 (Ammiano) As of December 31, 2009, there was approximately $1.3 million of unencumbered and unspent pilot project money allocated to the specified pre-adoption and post-adoption services project. This bill extends the deadline to expend those funds. Without additional authority granted by the legislature, $1.3 million (or whatever sum is remaining) will revert back to the General Fund. This bill also renames a different program, the wrap-around services pilot project, the "Wrap-Around Services Program." This cost-neutral program is authorized in counties, and 39 counties participate in it. It was originally a pilot project, but has since become an ongoing program. This change conforms statute to current practice. This bill increases ILP eligibility. ILP is a county-administered resource for youth in foster care, intended to give them skills for living independently upon aging out of the foster care system. While services vary by county, ILP programs typically teach youth skills ranging from writing checks to applying for jobs and college. They also provide youth with information about education, training, housing, and other services that are available in their community. Eligibility is extended to youth who were or are in foster care at any time from their 16th to their 19th birthday, or youth who were or are between the ages of 16 and 18 years of age and participating in the Kinship Guardianship Assistance Payment Program (Kin-GAP). Youth are eligible for ILP services up to the day before their 21st birthday. This bill expands eligibility to include any youth who reahed his/her 16th birthday while receiving wrap-around services. This includes youths who are living with their parents, relatives, other guardians, or were adopted. Because the ILP's funding is grant-based, rather than per-child based, it is a relatively stable amount (about $35 million for 2008-09 in state and federal funds) that will not increase because of increased eligibility for services. The likely result is diminished service for all eligible youth. The number of newly eligible youth provided in this bill is likely very small, (the calculation on page assumes only 1% of the youth in this program will be both uniquely eligible because of the program and will actually take advantage of services) but increasing eligibility creates an additional cost pressure on ILP services. The approximate cost of ILP services is $900 per recipient, annually. This bill expands Medi-Cal eligibility in statute by continuing automatic eligibility of children receiving Wrap-Around Services, even those who are returned to their family home and whose family income might otherwise make them ineligible for Medi-Cal. In practice, the increase of eligibility would likely be minor because the vast majority of youth receiving Wrap-Around Services are eligible for Medi-Cal because of their out-of-home placements and/or family income.