BILL ANALYSIS ------------------------------------------------------------ |SENATE RULES COMMITTEE | SB 5X| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ UNFINISHED BUSINESS Bill No: SB 5X Author: Ducheny (D) Amended: 12/18/08 Vote: 21 SENATE VOTES NOT RELEVANT ASSEMBLY FLOOR : Not available SUBJECT : Budget Act of 2008: human services SOURCE : Author DIGEST : This bill states that it addresses the fiscal emergency declared by the Governor by proclamation issued on December 1, 2008, pursuant to the California Constitution. Assembly Amendments add necessary statutory changes to amend appropriations for the Department of Developmental Services and the Department of Social Services contained in the Budget Act of 2008. ANALYSIS : This bill: 1.Reduces Reimbursement of Providers Participating in the Regional Center System: Reduces certain payments for services delivered from February 1, 2009 to June 30, CONTINUED SB 5X Page 2 2010, inclusive, by three percent, except as specified. This reduction, as requested by the Governor, would reduce the Regional Center systems' Purchase of Services line item by $40.4 million ($24.1 million General Fund (GF)) for 2008-09 and $100.8 million ($60.2 million GF) in 2009-2010. Exempts from this reduction are Supported Employment, the SSP supplement for independent living, and services with "usual and customary" rates as established in regulation. In addition, other services may be exempt from this reduction if a Regional Center demonstrates that a non-reduced payment is necessary to protect the health and safety of a consumer and the Department of Developmental Services (DDS) has granted written approval of this specific exemption. Directs DDS to implement Regional Center contract amendments to make adjustments for 2008-09 due to these changes. 2.Reduces Regional Center Operations: Suspends several administrative and case management requirements in existing law from February 1, 2009 to June 30, 2010, inclusive, in order to provide flexibility to each Regional Center for the purpose of reducing their Operations expenditures. This reduction, as requested by the Governor, would reduce the Regional Center Operations line item by $6.6 million ($4.6 million GF) in 2008-09 and $17.4 million ($12.2 million GF) in 2009-2010. Requirements which are to be suspended include: A. The average service coordinator-to-consumer ratio for certain consumers currently established at 1:66; B. The overall average service coordinator-to-consumer ratio for all consumers, who have not moved from a Developmental Center to the community, at an Regional Center currently established at 1:62; C. The requirement that Regional Centers shall either have in-house, or contract for, the CONTINUED SB 5X Page 3 following expertise: i) criminal justice expertise; ii) special education; iii) family support; housing; iv) community integration; and, v) quality assurance; and, D. The reporting to the DDS regarding prior year fiscal expenditures for administrative services, including salary schedule, legal services, and consultant contracts. 3.SSI/SSP: Suspends the pass-through of the January 2009 federal SSI cost-of-living adjustment, effective as of April 1, 2009. This reduction to December 2008 grant levels would reduce assistance by $117 million in 2008-09 and $471.8 million in 2009-2010. 4.In addition, it suspends the June 1, 2010 cost-of-living adjustment for SSI/SSP. This reduction would reduce assistance by $26 million. 5.CalWORKs COLA: Suspends the July 1, 2009 CalWORKs cost-of-living adjustment for the 2009-10 fiscal year. This reduction would reduce grants by $99 million (GF) in 2009-2010. Contingency Clause Contains a contingency clause which states that the contents of this bill are not enacted unless AB2 or SB 2 X1 and AB 9 or SB 9 X1 are enacted. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: No RJG:nl 12/18/08 Senate Floor Analyses SUPPORT/OPPOSITION: NONE RECEIVED **** END **** CONTINUED