BILL ANALYSIS Ó AB 959 Page 1 Date of Hearing: April 5, 2011 ASSEMBLY COMMITTEE ON HUMAN SERVICES Jim Beall Jr., Chair AB 959 (Jones) - As Introduced: February 18, 2011 SUBJECT : CalWORKs and CalFresh: reporting alignment SUMMARY : Improves the administration of a discontinuance notice of benefits for recipients of the California Work Opportunity and Responsibility to Kids program (CalWORKs). Specifically this bill: 1)Extends, by a month, the time period for counties to rescind a discontinuance notice of benefits for non-submission of quarterly report for CalWORKs recipients. 2)Deletes the "good cause" explanation for non-submission of a quarterly report. EXISTING LAW : 1)States that a notice of discontinuance of CalWORKs benefits to a family will be rescinded if the completed quarterly report is submitted by the first working day of the first month following the quarterly reporting period. 2)States that CalWORKs benefits are re-determined for eligibility and cash grant amounts on a quarterly basis and sets forth a schedule of dates for recipients to submit their quarterly report in a timely manner. FISCAL EFFECT : Unknown COMMENTS : According to the sponsor of this bill, the County of San Diego (County), "This proposal can significantly reduce the number of applications processed: saving County staff workload and allowing staff to spend more time on case maintenance and other program issues." The author believes that this bill is necessary because the current rules governing the administration of a discontinuance notice of benefits negatively affects the county's efficiency and improve services to CalWORKs families. Existing law: A discontinuance notice is a form used by county welfare departments to communicate with recipients that benefits AB 959 Page 2 may be terminated for any number of reasons, including for failure to submit a completed quarterly report, a household composition change, and lack of verifications such as a pay stub. This bill is specific to a discontinuance notice of benefits for failure to submit a quarterly report. CalWORKs recipients are required to report their income, address change, and other personal circumstances to the county through what is known as a quarterly report. The purpose of the report is to ensure that the recipient is still meeting eligibility guidelines to continue to receive assistance. Under existing law, rules governing the timely submission of the report are outlined in the following five steps: 1)Recipients should receive a quarterly report form from the county at the end of the second month of the quarterly reporting period. 2)Recipients must then return the completed quarterly report form by the 11th day of the following or third month of the quarterly reporting period. 3)If the form is not returned by the 11th day of the third month, the recipient receives a notice from the county stating that benefits will be terminated at the end of the third month. 4)Statute also mentions that prior to terminating benefits, the county must attempt contact again, this time to make personal contact to remind the recipient that the report is due. 5)If a completed report is received then the discontinuance notice is rescinded and benefits are not terminated. This bill extends, by one month, the amount of time a recipient has to correct any quarterly report problems. During this extra month aid is terminated; however, once the needed corrections are made to the report, aid may be restored without having to reapply or to interview. This is important for two main reasons: 1) the family does not have to go through the lengthy and cumbersome process of re-application and interrupting their workday to interview at the county welfare office, and 2) the county does not have to go to the time or expense of re-processing the application, conduct an interview, and fingerprint the recipient all over again. In fact, the County AB 959 Page 3 states that processing just a re-application can average three hours and take up to 45 days. The sponsor reports that the one month extension provided under this bill is a grace period and benefits during this time are not distributed. As soon as the recipient submits a completed report, the benefits may resume and will be prorated to the day that the report was received. Amendments 1. The author also would like to require, instead of merely allowing, counties to restore benefits if a completed report is submitted by the last day of the last month following the discontinuance of benefits. On page 4, line 11, delete the word "may" and insert the word "shall." 2. The author requested that language in regards to the "good cause" explanation be restored as it was not intended to be deleted. On page 4, after the period, insert the following language: "Good cause exists only when the recipient cannot reasonably be expected to fulfill his or her reporting responsibilities due to factors outside of the recipient's control." 3. The author has agreed to a clarifying amendment. On page 3, delete the amended italicized language on lines 37 and 38, and instead, after the word "received" on line 36, insert, "?prior to the last calendar day of the first month of the following quarterly reporting period." REGISTERED SUPPORT / OPPOSITION : Support County of San Diego (sponsor) San Diego County Child Care and Development Planning Council Western Center on Law and Poverty (support if amended) Opposition Coalition of California Welfare Rights Organizations (CCWRO) Ýoppose unless amended] AB 959 Page 4 Analysis Prepared by : Frances Chacon / HUM. S. / (916) 319-2089