BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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                                 THIRD READING


          Bill No:  SB 418
          Author:   Senate Veterans Affairs Committee
          Amended:  As introduced
          Vote:     21

           
           SENATE VETERANS AFFAIRS COMMITTEE  :  7-0, 4/14/09
          AYES:  Denham, Correa, Wiggins, Negrete McLeod, Cedillo,  
            Wyland, Maldonado


           SUBJECT  :    Department of Veterans Affairs:  contracts:   
          veterans service
                      organizations

           SOURCE  :     Author


           DIGEST :    This bill makes technical and clarifying changes  
          to existing law regarding the use of General Fund monies  
          for contracts with veterans service organizations for  
          services they provide to veterans.

           ANALYSIS  :    

           Existing Law and Background

           County Veteran Services Officers (CVSOs) are a joint  
          venture of different levels of government to help veterans  
          claim their veterans' benefits.

          California has an agreement with counties to pay 50 percent  
          of the cost.  At the time the agreement was made, 50  
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          percent equaled $5 million.  The state has never met its  
          commitment and has never given more than $2.6 million in  
          spite of the fact that 50 percent of the cost now equals  
          $23 million.

          Because of the lack of support and help the state has given  
          veterans in attaining benefits, there have not been enough  
          CVSOs hired to help all the veterans in California file  
          their claims.  Not surprisingly other groups have sought to  
          come forward to help veterans.  Over time these groups have  
          also asked the state for money to fund their efforts.  The  
          end result was that these groups were fighting over the  
          same pot of money.

          Eventually an agreement was reached that when the CVSOs  
          received their full $5 million funding, then a joint effort  
          would be launched to help all groups receive funding to  
          help relieve the backlog of veterans' claims in California.

          The agreement resulted in Section 699.5 of the Military and  
          Veterans Code, which references Section 972.1 of the code.   


          In 2008, SB 1778 (Senate Veterans Affairs Committee) was  
          offered as clean up language for Section 972.1 but ran into  
          problems because cleaning up Section 972.1 would have  
          altered the agreement in Section 699.5.

          This bill revises legislative findings and declarations in  
          existing law with regard to the use of General Fund monies  
          for services provided by veterans service organizations by  
          clarifying that the General Fund monies shall not be  
          allocated until the annual budget for county veteran  
          service officers reaches $5 million.

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

           SUPPORT :   (Verified  4/16/09)

          American Legion, Department of California


          TSM:cm  4/17/09   Senate Floor Analyses 







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                         SUPPORT/OPPOSITION:  SEE ABOVE

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