BILL NUMBER: SB 90	ENROLLED
	BILL TEXT

	PASSED THE SENATE  JULY 24, 2009
	PASSED THE ASSEMBLY  JULY 24, 2009
	AMENDED IN ASSEMBLY  JULY 16, 2009

INTRODUCED BY   Senator Ducheny

                        JANUARY 20, 2009

   An act to amend and augment the Budget Act of 2007 (Chapters 171
and 172 of the Statutes of 2007) by amending Items 5225-001-0001 and
5225-002-0001 of, and augmenting Item 9840-001-0001 of, Section 2.00
of that act, and to augment the Budget Act of 2008 (Chapters 268 and
269 of the Statutes of 2008) by augmenting Item 9840-001-0001 of
Section 2.00 of that act, relating to the State Budget, making an
appropriation therefor, and declaring the urgency thereof, to take
effect immediately.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 90, Ducheny. Budget Acts of 2007 and 2008: augmentation.
   The Budget Acts of 2007 and 2008 appropriated specified amounts
from the General Fund for specified programs.
   This bill would appropriate $135,064,000 from the General Fund in
augmentation of appropriations in the Budget Act of 2007 and would
authorize the Director of Finance to transfer specified amounts
between items of appropriation in that Budget Act. The bill also
would appropriate $510,125,000 from the General Fund in augmentation
of appropriations in the Budget Act of 2008. The bill additionally
would require California Prison Health Care Services to report to the
Legislature in 2009 and 2010 on actions to reduce and better manage
medical service contract costs.
   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.  The sum of one hundred thirty-five million sixty-four
thousand dollars ($135,064,000) is hereby appropriated from the
General Fund for expenditure for the 2007-08 fiscal year in
augmentation of Item 9840-001-0001 of Section 2.00 of the Budget Act
of 2007 (Chapters 171 and 172 of the Statutes of 2007).
Notwithstanding Provision 7 of Item 9840-001-0001, these funds shall
be allocated by the Controller in accordance with the following
schedule:
   (a) Six million three hundred fifty-eight thousand dollars
($6,358,000) to Item 5225-001-0001, scheduled as follows:
   (1) Six million one hundred eighty thousand dollars ($6,180,000)
to Schedule (1) 10-Corrections and Rehabilitation Administration.
   (2) One hundred seventy-eight thousand dollars ($178,000) to
Schedule (8) 25-Adult Corrections and Rehabilitation Operations.
   (b) One hundred twenty-eight million seven hundred six thousand
dollars ($128,706,000) to Item 5225-002-0001, scheduled as follows:
   (1) Eighty-two million eight hundred sixty-eight thousand dollars
($82,868,000) to Schedule (1.5) 25-Adult Corrections and
Rehabilitation Operations.
   (2) Forty-five million eight hundred thirty-eight thousand dollars
($45,838,000) to Schedule (4.4) 50.40-Ancillary Health Care
Services--Adult.
  SEC. 2.  Any unencumbered balance, as of June 30, 2008, of the
funds appropriated within any of the items identified in Section 1
shall revert to the General Fund.
  SEC. 3.  Item 5225-001-0001 of Section 2.00 of the Budget Act of
2007 is amended to read:
5225-001-0001--For support of Department
of Corrections and Rehabilitation......... 6,958,609,000
    Schedule:
    (1)  10-Corrections and
         Rehabilitation
         Administration......   369,580,000
    (3)  15-Corrections
         Standards Authority.    11,779,000
    (4)  20-Juvenile
         Operations..........   181,168,300
    (5)  21-Juvenile
         Education,
         Vocations, and
         Offender Programs...   143,930,150
    (6)  22-Juvenile Paroles.    33,940,000
    (7)  23-Juvenile Health
         Care................   115,945,550
    (8)  25-Adult
         Corrections and
         Rehabilitation
         Operations.......... 4,892,480,000
    (9)  30-Parole
         Operations--Adult...   792,883,000
    (10) 35-Board of Parole
         Hearings............   110,782,000
    (11) 40-Community
         Partnerships........    12,297,000
    (12) 45-Education,
         Vocations and
         Offender Programs-
         -Adult..............   463,618,000
    (13) Reimbursements......   -94,598,000
    (14) Amount payable from
         the Corrections
         Training Fund (Item
         5225-001-0170)......    -2,626,000
    (15) Amount     payable
         from the Federal
         Trust Fund (Item
         5225-001-0890)......    -5,883,000
    (16) Amount payable from
         the Inmate Welfare
         Fund (Item 5225-001-
         0917)...............   -66,687,000
    Provisions:
    1.   Any funds recovered as a result
         of audits of locally operated
         return-to-custody centers shall
         revert to the General Fund.
    2.   When contracting with counties
         for vacant jail beds for any
         inmate under the jurisdiction of
         the Secretary of the Department
         of Corrections and
         Rehabilitation, the department
         shall not reimburse counties more
         than the average amount it costs
         the state to provide the same
         services in comparable state
         institutions. This restriction
         shall not apply to any existing
         contract, but shall apply to the
         extension or renewal of that
         contract. In addition, the total
         operational cost of incarcerating
         state inmates in leased county
         jail beds (which includes state
         costs, but is exclusive of one-
         time and capital outlay costs)
         shall not exceed the department's
         average cost for operating
         comparable institutions.
    3.   Notwithstanding any other
         provision of law, but subject to
         providing 30 days' prior
         notification to the Joint
         Legislative Budget Committee,
         funds appropriated in Schedule
         (8) or (9), or both, may be
         transferred to Item 5225-101-
         0001, Schedule (7), upon order of
         the Director of Finance, to
         provide funds for the
         reimbursement of counties for the
         cost of holding parole violators
         in local jail.
    4.   Not later than 60 days following
         enactment of this act, and
         subsequently on February 10 and
         upon release of the May Revision,
         the Secretary of the Department
         of Corrections and Rehabilitation
         shall submit to the Director of
         Finance the Post Assignment
         Schedule for each adult
         institution, reconciled to
         budgeted authority and
         consistent with approved
         programs, along with allotments
         consistent with the reconciled
         Post Assignment Schedule for each
         adult institution.
    5.   Not later than February 17, 2008,
         the Secretary of the Department
         of Corrections and Rehabilitation
         shall submit to the chairpersons
         and vice chairpersons of the
         committees in both houses of the
         Legislature that consider the
         State Budget and to the
         Legislative Analyst's Office an
         operating budget for each of the
         correctional facilities under the
         control of the department.
         Specifically, the report shall
         include: yearend expenditures by
         program for each institution in
         the 2006-07 fiscal year, (b)
         allotments and projected
         expenditures by program for each
         institution in the 2007-08 fiscal
         year, (c) the number of
         authorized and vacant positions,
         estimated overtime budget,
         estimated benefits budget,
         and operating expense and
         equipment budget for each
         institution, and (d) a list of
         all capital outlay projects
         occurring or projected to occur
         during the 2007-08 fiscal year.
    6.   Funds appropriated to accommodate
         projected adult institutional and
         parolee population levels in
         excess of those that actually
         materialize, if any, shall revert
         to the General Fund.
    7.   Of the amount appropriated in
         this item, $114,058,000 is
         available for the Consolidated
         Information Technology
         Infrastructure Project. Upon
         determination of the project
         costs that can be financed using
         GS $mart, any balance in excess
         of the amounts needed for 2007-08
         payments shall revert to the
         General     Fund upon order of
         the Director of Finance. Up to
         $86,045,000 may be reverted.
    9.   The Department of Corrections and
         Rehabilitation (DCR) shall
         consult with legislative staff
         and the Department of Finance
         (DOF) to define what is and is
         not allowable in the annual
         population budget requests, and
         to reformat the document to make
         it more transparent to ensure
         appropriate legislative
         oversight. The DCR and the DOF
         shall present an example of the
         reformed population document to
         the Legislature prior to the time
         for deliberations on the
         Governor's Budget for the 2008-09
         fiscal year.
    10.  In implementing the Consolidated
         Information Technology
         Infrastructure Project (CITIP),
         the Department of Corrections and
         Rehabilitation shall, when
         possible, give first priority to
         data drops for business services
         and rehabilitative programming.
    12.  The Department of Corrections and
         Rehabilitation shall study the
         programmatic and fiscal
         feasibility of providing for
         rehabilitation information and
         tracking functionality within the
         Strategic Offender Management
         System (SOMS) by either including
         these requirements as optional in
         the SOMS Request for Proposal or
         by including these requirements
         in the design of a separate
         system that will communicate and
         be used in collaboration with
         SOMS once both systems have been
         implemented. Additionally, the
         department shall study the
         programmatic and fiscal
         implications of building SOMS to
         most easily integrate with the
         systems being implemented by the
         receiver in the Plata litigation
         as opposed to building SOMS with
         differing     parameters but much
         higher future system integration
         costs. The department shall, in
         all future cost estimates,
         include a section detailing
         future system integration costs,
         justifying the proposed system
         design with respect to future
         integration costs, and specifying
         why alternate system
         implementation options with lower
         future integration costs are
         unsuitable for system design.
    13.  Of the funds appropriated in this
         item, $600,000 is allocated to
         the State Commission on Juvenile
         Justice, pursuant to Section
         1798.5 of the Welfare and
         Institutions Code, to develop a
         Juvenile Justice Operational
         Master Plan. The commission shall
         use a portion of these moneys to
         contract with a national expert
         or national experts from the
         Farrell expert panel to develop
         this plan in conjunction with
         local government. This plan shall
         also address facility and
         infrastructure issues throughout
         the juvenile justice continuum.
    16.  Of the funds appropriated in this
         item, $673,865,000 is available
         for expenditure only for the
         purposes identified below. Any
         unexpended funds shall revert to
         the General Fund.
         (a)    Facility Maintenance
                Funding: $36,000,000
         (b)    Coleman v. Schwarzenegger,
                Administrative Segregation
                Unit Mental Health Cells
                Modification: $3,550,000
         (c)    Coleman v. Schwarzenegger,
                Administrative Segregation
                Intake Cells: $13,203,000
         (d)    Coleman v. Schwarzenegger,
                Salary Enhancements:
                $13,108,000
         (e)    Plata v. Schwarzenegger,
                Salary Enhancements:
                $1,521,000
         (f)    Coleman v. Schwarzenegger,
                CMF Acute Cells
                Modification: $1,075,000
         (g)    Coleman v. Schwarzenegger,
                Reception Center Enhanced
                Outpatient Program:
                $2,916,000
         (h)    Perez v. Tilton,
                Comprehensive Inmate
                Dental Services Program:
                $8,477,000
         (i)    Farrell v. Tilton, Safety
                and Welfare Remedial Plan:
                $66,747,000
         (j)    Farrell v. Tilton, Mental
                Health Remedial Plan:
                $25,090,000
         (k)    Implementation of Revised
                Program Guide for Mental
                Health Services Delivery
                System (Ch. 511, Stats.
                2006): $8,706,000
         (l)    Sex Offender Management
                Funding: $113,327,000
         (m)    Reducing Recidivism
                Strategies: $90,136,000
                (1)   The Department of
                      Corrections and
                      Rehabilitation is
                      authorized to make
                      changes to the
                      Reducing Recidivism
                      Strategies supported
                      by this subdivision
                      not sooner than 15
                      days after notifying
                      the fiscal
                      committees of both
                      houses of the
                      Legislature of any
                      proposed changes.
         (n)    Basic Correctional Officer
                Academy: $61,105,000
         (o)    Records Staffing and
                Automation: $4,326,000
         (p)    Garrison Johnson v.
                California, Racial
                Integration: $1,214,000
         (q)    Coleman v. Schwarzenegger,
                Court Order Compliance:
                $2,267,000
         (r)    Comprehensive Health Care
                Recruitment: $3,631,000
         (s)    Life Prisoner Parole
                Hearing Staffing:
                $5,523,000
         (t)    Farrell v. Tilton
                Healthcare Remedial Plan:
                $8,221,000
         (u)    Farrell v. Tilton, Consent
                Decree: $1,327,000
         (v)    Strategic Offender
                Management System:
                $3,611,000
         (w)    Consolidated Information
                Technology Infrastructure
                Project: $114,058,000
         (x)    Teacher Pay Parity:
                $13,868,000
         (z)    Mandatory Aftercare/Drug
                Treatment Furlough:
                $65,615,000
         (aa)   Valdivia Case Records:
                $3,344,000
         (bb)   Perez v. Tilton, Salary
                Enhancements: $1,999,000
    17.  Of the amount appropriated in
         Schedule (8), $2,389,000 is for
         administrative support related to
         projects authorized by Chapter 7
         of the Statutes of 2007. Any
         funds not expended for this
         purpose by June 30,     2008,
         shall revert to the General Fund.
         To the extent that workload
         performed is directly related to
         the projects, the Department of
         Corrections and Rehabilitation
         shall maximize available project
         funds by billing those activities
         to the projects themselves in
         lieu of the General Fund.
    18.  The Department of Corrections and
         Rehabilitation shall reestablish
         the Program Support Unit under
         the Chief Deputy Secretary for
         Adult Operations to review
         custody staffing proposals.
    20.  Notwithstanding any other
         provision of law, the Director of
         Finance may transfer up to
         $126,555,000 from this item to
         Item 5225-002-0001 if
         expenditures within Item 5225-002-
         0001 exceed the amount
         appropriated in this     Budget
         Act and there are unspent funds
         within this item available for
         transfer.
    21.  Notwithstanding Provision 16,
         unspent funds are available for
         transfer pursuant to Provision 20.


  SEC. 4.  Item 5225-002-0001 of Section 2.00 of the Budget Act of
2007 is amended to read:
5225-002-0001--For support of Department
of Corrections and Rehabilitation......... 2,124,612,000
    Schedule:
    (1)   10-Corrections and
          Rehabilitation
          Administration........  7,185,000
    (1.5) 25-Adult Corrections
          and Rehabilitation
          Operations............ 65,506,000
    (4)   50-Correctional
          Health Care Services..      1,000
    (4.1) 50.10-Medical          1,303,801,
          Services--Adult.......        000
    (4.2) 50.20-Dental Services- 103,129,00
          -Adult................          0
    (4.3) 50.30-Mental Health    302,930,00
          Services--Adult.......          0
    (4.4) 50.40-Ancillary
          Health Care Services-  161,120,00
          -Adult................          0
    (4.5) 50.50-Dental and
          Mental Health
          Services
          Administration--Adult. 58,089,000
    (5)   97-Unallocated........ 125,000,00
                                          0
    (6)   Reimbursements........ -2,149,000
    Provisions:
    1.    On February 14, 2006, the United
          States District Court in the
          case of Plata v. Schwarzenegger
          (No. C01-1351 THE) suspended the
          exercise by the Secretary of the
          Department of Corrections and
          Rehabilitation of all powers
          related to the administration,
          control, management, operation,
          and financing of the California
          prison medical health care
          system. The court ordered that
          all such powers vested in the
          Secretary     of the Department
          of Corrections and
          Rehabilitation were to be
          performed by a receiver
          appointed by the court
          commencing April 17, 2006, until
          further order of the court. The
          Director of the Division of
          Correctional Health Care
          Services of the Department of
          Corrections and Rehabilitation
          is to administer this item to
          the extent directed by the
          receiver.
    2.    Notwithstanding any other
          provision of law, the amount
          available for expenditure in
          Schedule (5) is for the purpose
          of funding costs for the
          Department of Corrections and
          Rehabilitation, including the
          operations of the Office of the
          California Prison Receivership,
          and any other state agency or
          department that is involved in
          the provision of health care to
          California inmates, including
          the costs of capital projects,
          resulting either from actions by
          the receiver or the court in
          Plata     v. Schwarzenegger or
          cross-jurisdictional issues
          where the Plata v.
          Schwarzenegger, Coleman v.
          Schwarzenegger, and Perez v.
          Tilton courts agree that a
          coordinated approach is the most
          appropriate solution to the
          programmatic issues that the
          three courts are facing. The
          Secretary of the Department of
          Corrections and Rehabilitation
          shall be consulted on any
          project that helps the state
          comply with both the Coleman and
          Perez lawsuits. Up to
          $25,000,000 of the amount
          appropriated in Schedule (5) may
          be used for cross-jurisdictional
          issues facing the Plata,
          Coleman, and Perez courts. From
          any amount available in Schedule
          (5), the Director of Finance may
          authorize the transfer of funds
          from Schedule (5) for the
          purpose of augmenting the amount
          available for expenditure in any
          other schedule in this item, or
          any other appropriation in this
          section to a department or
          agency that is involved in the
          provision of health care to
          California inmates. The Director
          of Finance shall notify the
          Chairperson of the Joint
          Legislative Budget Committee and
          the chairpersons of the fiscal
          committees in each house of the
          Legislature no later than 10
          days after the effective date of
          the transfer. The notification
          to the Legislature shall include
          information regarding the
          purpose of the expenditures and
          the expected outcome of those
          expenditures.
    3.    Notwithstanding any other
          provision of law, the Department
          of Corrections and
          Rehabilitation is not required
          to competitively bid for health
          services contracts in cases
          where contracting experience or
          history indicates that only one
          qualified bid will be received.
    4.    Notwithstanding Section 13324 of
          the Government Code or Section
          32.00 of     this act, no state
          employee shall be held
          personally liable for any
          expenditure or the creation of
          any indebtedness in excess of
          the amounts appropriated
          therefor as a result of
          complying with the directions of
          the receiver or orders of the
          United States District Court in
          Plata v. Schwarzenegger.
    5.    The Department of Finance shall
          immediately notify the Joint
          Legislative Budget Committee and
          the fiscal committees in each
          house of the Legislature when
          expenditures pursuant to
          Provision 2 are occurring at a
          rate that would exhaust the
          level of funding in Schedule (5)
          prior to the end of the fiscal
          year.
    6.    Any funds in Schedule (5) that
          are not expended by June     30,
          2008, shall revert to the
          General Fund.
    8.    The amounts appropriated in
          Schedules (4.1) and (4.4) are
          available for expenditure by the
          receiver appointed by the Plata
          v. Schwarzenegger court to carry
          out its mission to deliver
          constitutionally adequate
          medical care to inmates.
    9.    The amounts appropriated in
          Schedules (4.2), (4.3) and (4.5)
          are available for expenditure by
          the Department of Corrections
          and Rehabilitation to provide
          mental health and dental
          services only.
    10.   Notwithstanding any other
          provision of law, the Director
          of Finance     may transfer up
          to $126,555,000 from Item 5225-
          001-0001 to this item if
          expenditures within this item
          exceed the amount appropriated
          in this Budget Act and there are
          unspent funds within Item 5225-
          001-0001 available for transfer.
    11.   Notwithstanding Provision 22,
          unspent funds are available for
          transfer pursuant to Provision
          10.
    22.   Of the funds appropriated in
          this item, $177,344,000 is
          available for expenditure only
          for the purposes identified
          below. Any unexpended funds
          shall revert to the General Fund.
          (a)    Coleman v.
                 Schwarzenegger,
                 Salary
                 Enhancements... 37,461,000
          (b)    Perez v.
                 Tilton,
                 Comprehensive
                 Inmate Dental
                 Services
                 Program........ 14,040,000
          (c)    Perez v.
                 Tilton, Salary
                 Enhancements... 54,742,000
          (d)    Plata v.
                 Schwarzenegger,
                 Pay
                 Enhancements... 29,630,000
          (e)    Coleman v.
                 Schwarzenegger,
                 Reception
                 Center
                 Enhanced
                 Outpatient
                 Program........  2,211,000
          (f)    Implementation
                 of Revised
                 Program Guide
                 for Mental
                 Health
                 Services
                 Delivery
                 System (Ch.
                 511, Stats.
                 2006).......... 31,540,000
          (h)    California
                 Medical
                 Facility
                 Mental Health
                 Crisis Bed
                 Unit Staffing..  7,720,000


  SEC. 5.  The sum of five hundred ten million one hundred
twenty-five thousand dollars ($510,125,000) is hereby appropriated
from the General Fund for expenditure for the 2008-09 fiscal year in
augmentation of Item 9840-001-0001 of Section 2.00 of the Budget Act
of 2008 (Chapters 268 and 269 of the Statutes of 2008).
Notwithstanding Provision 7 of Item 9840-001-0001, these funds shall
be allocated by the Controller in accordance with the following
schedule:
   (a) Thirteen million eight hundred sixty-seven thousand dollars
($13,867,000) to Item 5225-001-0001, scheduled as follows:
   (1) Nine million seven thousand dollars ($9,007,000) to Schedule
(4) 20-Juvenile Operations.
   (2) Four million eight hundred sixty thousand dollars ($4,860,000)
to Schedule (8) 25-Adult Corrections and Rehabilitation Operations.
   (b) Four hundred ninety-six million two hundred fifty-eight
thousand dollars ($496,258,000) to Item 5225-002-0001, scheduled as
follows:
   (1) Four hundred ninety-six million seventy-three thousand dollars
($496,073,000) to Schedule (3) 50.10-Medical Services--Adult.
   (2) One hundred eighty-five thousand dollars ($185,000) to
Schedule (4) 50.20-Dental Services--Adult.
   Of the amount appropriated in this section to Schedule (3)
50.10-Medical Services--Adult of Item 5225-002-0001, four hundred
eighty-six million eight hundred thousand dollars ($486,800,000) is
available for expenditure only for contract medical services.
  SEC. 6.  Any unencumbered balance, as of June 30, 2009, of the
funds appropriated within any of the items identified in Section 5
shall revert to the General Fund.
  SEC. 7.  California Prison Health Care Services shall provide to
the Joint Legislative Budget Committee and the fiscal committees of
both houses of the Legislature detailed written reports on actions
taken and planned to reduce and better manage medical service
contract costs in the 2009-10 fiscal year and future fiscal years.
The reports shall describe the cost containment measures to be
implemented, provide a schedule for implementing the measures across
the prison health care system, identify the projected cost
containment to be achieved as a result of the measures, and provide
any available data on the effectiveness of the measures in reducing
cost of medical services contracts. The first report shall be
submitted no later than November 1, 2009. An updated report shall be
submitted no later than April 1, 2010.
  SEC. 8.  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:
   This act makes appropriations for the support of the government of
the State of California for the 2007-08 and 2008-09 fiscal years. It
is therefore necessary that this act take effect immediately.