BILL ANALYSIS                                                                                                                                                                                                    Ó

                                                                  AB 717
                                                                  Page  1

          Date of Hearing:   May 1, 2012

                                  Mike Gatto, Chair

                    AB 717 (Chavez) - As Amended:  March 21, 2013 

          Policy Committee:                              Veterans  
          AffairsVote: 10-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:               


          This bill changes the role and composition of the Veterans Board  
          (board). Specifically, this bill:  

          1)Reduces the role of the board from determining "policies for  
            all operations" of the Department of Veterans Affairs, to  
            serving as an advisory body to the Secretary of the department  

          2)Deletes subject matter competency requirements for board  
            membership, specifically that:

             a)   One member of the board have substantial training or  
               professional expertise in mortgage lending and real estate  

             b)   One member of the board have substantial training or  
               professional expertise in geriatrics, gerontology, or  
               long-term care. 

             c)   One member of the board have an accounting or auditing  
               background, preferably a certified public accountant.

             d)   One member of the board have a degree in health care  
               administration or experience in the financial management of  
               health care facilities.

               (The only remaining position requiring competency would be  
               the requirement that one member of the board have  


                                                                  AB 717
                                                                  Page  2

               substantial training, professional knowledge, or experience  
               in issues related to female veterans.)

          3)Requires that every board member be a member in good standing  
            with a congressionally chartered veteran service organization.

           FISCAL EFFECT  

          Negligible state cost. 


           Rationale  . The author's intent is to update statute to conform  
          to current practice. 

          According to the author, "Currently the appointees to the CVB  
          must represent very specific professional areas including a  
          mortgage expert, aging care professional, auditor, and  
          healthcare administrator. These professional requirements were  
          added to infuse expertise into CDVA when the board was used to  
          establish operational policy, a practice which was retired over  
          forty years ago.  Not only are these professions not useful in  
          fulfilling the job of an oversight board, but the application  
          pool is significantly restricted.

          "Secondly, current law states that the CVB sets policy for CDVA.  
          This has not been common practice in forty years as CDVA has  
          grown. AB 717 updates law to reflect current practice of using  
          the CVB as an advisory board to the Secretary of CDVA."

           Analysis Prepared by  :    Geoff Long / APPR. / (916) 319-2081