BILL ANALYSIS Ó AB 2280 Page 1 Date of Hearing: May 16, 2012 ASSEMBLY COMMITTEE ON APPROPRIATIONS Felipe Fuentes, Chair AB 2280 (Lara) - As Amended: May 1, 2012 Policy Committee: HealthVote:19 - 0 Urgency: No State Mandated Local Program: No Reimbursable: SUMMARY This bill requires the Department of Public Health (DPH) notify a California Special Supplemental Food Program for Women's Infants, and Children's (WIC program) vendor, in writing, within 30 days, if DPH determines that the vendor has committed a violation. FISCAL EFFECT Costs associated with this legislation would be minor and absorbable within existing resources. COMMENTS 1)Purpose . According to the author, WIC participants need access to healthy nutritious foods, but do not always have access to state-approved WIC retail food vendors in their own communities. The author maintains that current inconsistencies between state regulations and federal law and regulations have compounded the problem of WIC food access. Specifically, failure to notify a vendor of a first or subsequent violation, before sanctions are imposed, denies the vendor the opportunity to implement corrective action to prevent future violations, such as providing additional training for cashiers and store employees. Additionally, the author maintains, current state regulations put a vendor in danger of disqualification, thereby exacerbating the community's access to eligible retail food vendors and thus necessary food products. 2)WIC Program . WIC is a 100% federally funded nutrition and AB 2280 Page 2 health program that provides education and food to pregnant and lactating women and children up to five years old. The program is designed to provide temporary assistance during those brief periods in life that may be particularly challenging: during pregnancy, the birth of a newborn, or having a young child with nutrition and/or health conditions. Most families participating in WIC, according to DPH, are employed with incomes at or below 185% of the federal poverty level (currently $42,642 for a family of four). DPH administers contracts with 84 local agencies - half local governments and half private, non-profit community organizations - that operate WIC centers in 650 locations statewide. At these centers, approximately 3,000 local WIC staff members assess WIC eligibility based on residency requirements, income, and health or nutritional risk, and issue six million food checks each month. Each check is valid for a 30-day period and is payable for a specific type and quantity of food. On average, WIC checks equate to about $63 per month in food per participant. 3)Support . The California Grocers Association (CGA) writes in support that current California Code of Regulations regarding WIC retail food vendor violation notifications is inconsistent with federal law. CGA maintains that in fact, while federal law provides clear direction requiring state agencies to provide vendors notification of vendor violations, California regulations provide direction to the contrary - putting vendors at risk of losing their contract with the state and their ability to serve WIC participants. CGA asserts that this bill will allow WIC retail food vendors the opportunity to remedy violations and help preserve options for WIC participants by allowing vendors to remain in the WIC program after rectifying the violations. 4)Related Legislation . AB 2322 (Gatto) requires DPH adopt regulations surrounding initiating moratoriums on authorizing new WIC program vendors. That bill is currently pending before this committee. Analysis Prepared by : Julie Salley-Gray / APPR. / (916) 319-2081 AB 2280 Page 3