BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   AB 543|
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                                 THIRD READING


          Bill No:  AB 543
          Author:   Ma (D)
          Amended:  8/24/09 in Senate
          Vote:     27 - Urgency

           
           SENATE HEALTH COMMITTEE  :  10-1, 7/8/09
          AYES:  Alquist, Strickland, Cedillo, Cox, DeSaulnier, Leno,  
            Maldonado, Negrete McLeod, Pavley, Wolk
          NOES:  Aanestad

           SENATE APPROPRIATIONS COMMITTEE  :  12-0, 8/17/09
          AYES:  Kehoe, Cox, Corbett, Denham, Hancock, Leno, Oropeza,  
            Price, Runner, Walters, Wolk, Yee
          NO VOTE RECORDED:  Wyland

           ASSEMBLY FLOOR  :  78-0, 6/2/09 - See last page for vote


           SUBJECT  :    Perinatal care:  The Nurse-Family Partnership

           SOURCE  :     Author


          DIGEST  :    This bill authorizes the use of Nurse-Family  
          Partnership (NFP) Program grant moneys as a match for other  
          grants administered by the Department of Public Health  
          (DPH).  This bill extends, from January 1, 2009 to January  
          1, 2014, the date on which the California Families and  
          Children Account ceases to exist, if it has insufficient  
          funds to implement the NFP Program.

           ANALYSIS  :    Existing law establishes the NFP program to  
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          provide grants for voluntary nurse home visiting programs  
          for expectant first-time mothers, their children, and their  
          families, as specified.  Existing law prohibits the use of  
          grant moneys to match other grants administered by the  
          State Department of Public Health.

          This bill allows the use of Nurse-Family Partnership  
          program grant moneys as a match for other grants  
          administered by the department.

          Existing law establishes the California Families and  
          Children Account in the State Treasury to accept private  
          donations to pay for the program.  The account is  
          continuously appropriated to the department for this  
          purpose.  Existing law only allows grants to be distributed  
          if the Director of Finance determines that there are  
          sufficient funds from private donations available in the  
          account.  Additionally, under existing law, if there are  
          not sufficient funds on deposit in the account by January  
          1, 2009, the account shall cease to exist.

          This bill permits the department to accept federal grants  
          for purposes of the program.  This bill revises existing  
          law to require the program to be implemented if the  
          Director of the Department of Finance determines that at  
          least $500,000 is available in the account.  If this  
          determination is not made by January 1, 2014, it would  
          require that the account cease to exist and funds in the  
          account immediately be distributed to each contributor and  
          the account must cease to exist.

           Background
           
          In a 2005 study of early childhood programs, the RAND  
          Institute reported that by the time a child in the NFP  
          Program had reached 15 years of age, the NFP Program cost  
          over $9,000, but provided societal benefits of about  
          $26,300 for a benefit-to-cost ratio of 2.88 to one.  

          A 1997 RAND Institute study also examined the benefits for  
          children and their families enrolled in the original NFP  
          Program in Elmira and found that the NFP Program:

          1.Generated increased tax revenues from increased  







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            employment and earnings;

          2.Decreased welfare enrollment; 

          3.Reduced expenditures for education, health, and other  
            services; and,  

          4.Lowered criminal justice system costs from arrest,  
            adjudication, and incarceration.

          The analysis indicated a net savings to government programs  
          of $18,611 per family in 1996 dollars, which was over four  
          times the cost of the program. 

           FISCAL EFFECT  :    Appropriation:  Yes   Fiscal Com.:  Yes    
          Local:  No

          According to the Senate Appropriations Committee:

                          Fiscal Impact (in thousands)

           Major Provisions                2009-10     2010-11     
           2011-12   Fund 
          NFP administration in                        at least $500  
          up to millions                                    Private/
          9 counties                                   in grants  
          annually, if funding                              Special/
                              permits                       Federal*

          *California Families and Children Account

           SUPPORT  :   (Verified  8/24/09)

          American Federation of State, County and Municipal  
          Employees, AFL-CIO
          California Commission on the Status of Women
          Child Abuse Prevention Center
          County of San Diego
          Fight Crime:  Invest in Kids California 
          Junior Leagues of California State Public Affairs Committee

           OPPOSITION  :    (Verified  8/24/09)

          Great Kids, Inc.







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           ARGUMENTS IN SUPPORT  :    Fight Crime:  Invest in Kids  
          California and the Child Abuse Prevention Center state that  
          programs like the NFP Program are proven to prevent child  
          abuse and neglect.  Fight Crime: Invest in Kids California  
          adds that in light of the Obama Administration making  
          federal investments in the NFP Program a high budget  
          priority, extending the program and allowing the use of  
          federal funds is justified in order to create more  
          opportunities to provide the NFP Program to families in  
          need.  The County of San Diego states that its NFP Program  
          is funded primarily by sales tax and vehicle license fees,  
          which are decreasing due to the current economic crisis and  
          contends that this bill would provide an opportunity for  
          the county to apply for new grant funding available for the  
          NFP Program from the federal government.  

           ARGUMENTS IN OPPOSITION  :    Great Kids, Inc. states that a  
          variety of evidence-based, effective home visitation  
          programs reduce child abuse and neglect, and all  
          evidence-based evaluated home visiting models should be  
          included.  Great Kids, Inc. contends that a variety of  
          professionals can effectively provide home visiting  
          services to prevent child abuse and neglect, serve more  
          families with less money, help address nurse workforce  
          shortages, and ensure community fit.  
           

           ASSEMBLY FLOOR  : 
          AYES:  Adams, Ammiano, Anderson, Arambula, Beall, Tom  
            Berryhill, Blakeslee, Blumenfield, Brownley, Buchanan,  
            Caballero, Charles Calderon, Carter, Chesbro, Conway,  
            Cook, Coto, Davis, De La Torre, De Leon, DeVore, Duvall,  
            Emmerson, Eng, Evans, Feuer, Fletcher, Fong, Fuentes,  
            Fuller, Furutani, Gaines, Galgiani, Garrick, Gilmore,  
            Hagman, Hall, Harkey, Hayashi, Hernandez, Hill, Huber,  
            Huffman, Jeffries, Jones, Knight, Krekorian, Lieu, Logue,  
            Bonnie Lowenthal, Ma, Mendoza, Miller, Monning, Nava,  
            Nestande, Niello, Nielsen, John A. Perez, V. Manuel  
            Perez, Portantino, Price, Ruskin, Salas, Saldana, Silva,  
            Skinner, Smyth, Solorio, Audra Strickland, Swanson,  
            Torlakson, Torres, Torrico, Tran, Villines, Yamada, Bass
          NO VOTE RECORDED:  Bill Berryhill, Block








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          CTW:RJG:nl  8/24/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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