BILL ANALYSIS                                                                                                                                                                                                    Ó




                                                                  AB 364
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          Date of Hearing:    April 2, 2013

                        ASSEMBLY COMMITTEE ON HUMAN SERVICES
                                  Mark Stone, Chair
                AB 364 (Ian C. Calderon) - As Amended:  April 1, 2013
           
          SUBJECT  :  Community Care Facilities

           SUMMARY  :  Requires the California Department of Social Services  
          (DSS) to visit a community care facility and a residential care  
          facility for the elderly (RCFE) once every two years.   
          Specifically,  this bill  :  

          1)Changes the requirement that DSS visit a licensed community  
            care facility from no less than once every five years to no  
            less than once every two years.  

           EXISTING LAW  

          1)Establishes the California Community Care Facilities Act  
            (CCFA) to provide a comprehensive statewide service system of  
            quality community care for people who have a mental illness, a  
            developmental or physical disability, and children and adults  
            who require care or services by a facility or organization.

          2)Defines a "Community care facility" (CCF) as a facility,  
            place, or building maintained and operated to provide  
            nonmedical residential care, day treatment, adult day care, or  
            foster family agency services for children, adults, or  
            children and adults, including, but not limited to, the  
            physically handicapped, mentally impaired, incompetent  
            persons, and abused or neglected children.

          3)Authorizes DSS to license facilities or organizations that  
            provide services under the jurisdiction of the CCFA,  
            including:

             a)   Residential facilities, as defined;

             b)   Adult day programs;

             c)   Therapeutic day services facilities;

             d)   Foster family agencies and homes.










                                                                  AB 364
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             e)   Social rehabilitation facilities;

             f)   Community treatment facilities;

             g)   Full-service adoption agencies;

             h)   Noncustodial adoption agencies;

             i)   Transitional shelter care facilities; and

             j)   Transitional housing placement providers for foster  
               youth.

          4)Provides for the exemption of certain types of facilities,  
            including:

             a)   Health facilities;

             b)   Juvenile facilities and juvenile halls;

             c)   Child day care facilities as defined by the California  
               Child Day Care Facility Act;

             d)   School and college residential facilities;

             e)   Any facility that provides room and board as long as it  
               does not require an element of care;

             f)   Any drug or alcohol recovery or treatment facility;

             g)   Relative caregiver homes for children as supervised by a  
               county welfare or probation department;

             h)   Any supported living arrangement for individuals with  
               developmental disabilities;

             i)   Any family home agency, family home, or family teaching  
               home, as defined, and vendored with the California  
               Department of Developmental Services;

             j)   Housing where support services are arranged by the  
               resident(s) but not provided for or contracted by the owner  
               of the housing facility; and

             aa)  Other similar facilities as deemed by the Director of  









                                                                  AB 364
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               DSS.

          5)Establishes the California RCFE Act, which requires facilities  
            that provide personal care and supervision, protective  
            supervision or health related services for persons 60 years of  
            age or older who voluntarily choose to reside in that facility  
            to be licensed by DSS.

          6)Prohibits any person, firm, partnership, association,  
            corporation or public agency from establishing, operating,  
            managing, conducting or maintaining a CCF or a RCFE without a  
            valid licensed provided by DSS.

          7)Provides that any person who violates the CCFA or the RCFE Act  
            shall be guilty of a misdemeanor and upon conviction shall be  
            fined no more than $1,000, imprisoned in county jail for up to  
            one year, or both.

           FISCAL EFFECT  :  Unknown



































                                                                  AB 364
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           COMMENTS  :  

           CCFA Background
           Initially administered by the Department of Health upon its  
          establishment in 1973, the CCFA became the jurisdiction of the  
          newly created Health and Welfare Agency, now referred to as the  
          Health and Human Services Agency, under which a number of  
          departments were placed, including the Departments of Social  
          Services and Health Services.  Whereas licensing responsibility  
          for health care facilities remained with the Department of  
          Health Services, the duty to license and oversee community care  
          facility licensing was transferred to DSS.  

          Community care facilities are considered those that provide  
          non-medical care and supervision for children and adults in  
          need, which includes persons with disabilities, seniors in need  
          of residential care, children in foster care and at-risk  
          children needing shelter services, families in need of early  
          childhood education (child care), and adult care services. 

           RCFE Background  
          It is the intent of the Legislature, in creating RCFEs as its  
          own licensing category under the RCFE Act, to help provide a  
          system of residential care to allow older persons to remain as  
          independent as possible while not forcing them to move between  
          medical and nonmedical services. 

          Commonly referred to as assisted living facilities, retirement  
          homes and board and care homes, RCFEs are licensed facilities  
          under the CCFA that provide services to individuals who are 60  
          years of age and older and persons under the age of 60 with  
          compatible needs.  RCFEs provide a wide array of care, which can  
          include varying levels of personal care and protective  
          supervision, based upon the needs of the resident. 

           DSS Community Care Licensing Division  
          DSS' Community Care Licensing Division (CCLD) is responsible for  
          carrying out the duties established by the CCFA and the RCFE  
          Act, in addition to other licensing categories, which include:

                 Processing license applications;

                 Providing monitoring, oversight and technical  
               assistance;










                                                                  AB 364
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                 Conducting facility visits;

                 Pursuing investigations of complaints; and

                 Enforcement through the levying of penalties, fines and  
               administrative legal action

          According to DSS, as of February 6, 2013 there were 77,243  
          licensed facilities in California under the jurisdiction of CCLD  
          with a capacity to serve 1,395,577 residents. 

          Prior to 2003, CCLD was required to visit most licensed  
          facilities once per year and family child care homes once every  
          three years.  However, due to the state's ongoing budget  
          deficit, the state eliminated these requirements in the 2003-04  
          budget and limited visits to ten percent of facilities based  
          upon their poor performance history. 

          For those residential facilities not subject to annual  
          inspections, CCLD is currently required to conduct comprehensive  
          compliance inspections of a 30% random sample of facilities each  
          year, with each facility required to be visited as least once  
          every 5 years.  There are additional inspection requirements for  
          new facilities or when changes occur to the license, which  
          includes pre-licensing and post-licensing inspections help to  
          ensure that a new licensee starts off correctly. 

          The 2012-13 budget included the elimination of the California  
          Department of Mental Health (DMH) and transferred its  
          programmatic and administrative responsibilities to other state  
          agencies and departments as deemed appropriate.  As a result,  
          CCLD is also now responsible for the licensing of mental health  
          rehabilitation centers and psychiatric health facilities, as  
          well as the responsibility for overseeing the system that  
          authorizes 72-hour holds of individuals with several mental  
          health needs. 

           Importance of unannounced licensing visits  
          Unannounced licensing visits are of fundamental importance in  
          protecting the health and safety of children and adults  
          receiving care through facility or home-based care.  They ensure  
          that basic health and safety requirements are being met and also  
          provide opportunities for increased technical assistance to  
          programs, enhanced information sharing, the development of best  
          practices, and ultimately lead to an improvement in the quality  









                                                                  AB 364
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          of life for clients under care. 

          Numerous studies have also been conducted, which document a  
          connection between increased licensing visits with a decrease in  
          accidents requiring medical attention<1> and greater provider  
          compliance with health and safety standards.<2>  

          Additionally, regular and frequent unannounced inspection visits  
          allow for state and local agencies to provide relevant and  
          up-to-date information to the public on the quality of care  
          being provided to consumers.  According to Child Care Aware of  
          America (CCAA), formerly the National Association of Child Care  
          Resource and Referral Agencies (NACCRRA), a study conducted by  
          the National Bureau of Economic Research in Florida found that  
          frequent inspections, which were made available to the public,  
          "increased the quality of the inspections and the productivity  
          of the inspectors" and resulted in increased inspections that  
          were carried out more consistently.  Further, DSS also stated,  
          in a 2010-11 Spring Finance Letter, that "regular and frequent  
          inspections of facilities improve client health and safety as  
          evidenced by reductions in the percentage of the more serious  
          imminent risk to total citations."  Specifically, "more annual  
          inspections equates to better quality of care" and "more annual  
          inspections equates to a smaller risk to the health and safety  
          of clients."

          It is clear that the state's ongoing budget deficit has  
          significantly hampered its ability to provide for the health and  
          safety of clients in community care facilities.  Over the past  
          ten years, DSS, like many other agencies throughout the state,  
          has experienced the elimination of vacant staff positions,  
          on-again off-again hiring freezes, and rolling staff furloughs.   
          Although this does not clear the state of its responsibility to  
          ensure community care facilities' compliance with the CCFA, it  
          raises significant challenges to ensure that children, adults  
          ---------------------------
          <1> Fiene, R. (2002). 13 indicators of quality child care:  
          Research update. U.S. Department of Health and Human Services,  
          Office of Assistant Secretary for Planning and Evaluation, at  
           http://aspe.hhs.gov/hsp/ccquality-ind02/  
          <2> Koch Consulting. (2005). Report on effective legal  
          proceedings to ensure provider compliance: Prepared for the  
          State of Washington Department of Social and Health Services.  
           http://www.naralicensing.drivehq.com/publications/archives/nara/E 
          ffective_Legal_Proceedings.pdf  









                                                                  AB 364
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          and seniors in need of care and supervision are not put at risk.  


           Need for the bill  
          In order to begin to bridge the gap of licensing visits created  
          by the state's budget deficit, steps towards re-establishing  
          regular and frequent facility visits are essential.  

          According to the author:

               Increasing the frequency of licensing visits will  
               demonstrate that California is serious about addressing the  
               deficiency in our inspection process for Community Care  
               Facilities and will put California on par with the  
               inspection procedures of other states.  Our facilities are  
               in need of frequent inspections because of the  
               vulnerability of the clients those facilities serve.

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          California Police Chiefs Association
          California Food Policy Advocates (CFPA)
          County Welfare Directors Association of CA (CWDA)
          LeadingAge California

           Opposition 
           
          None on file
           
          Analysis Prepared by  :    Chris Reefe / HUM. S. / (916) 319-2089