BILL ANALYSIS Ó
SENATE COMMITTEE ON VETERANS AFFAIRS
Senator Ben Hueso, Chair
BILL NO: AB 717 HEARING DATE: 6/11/13
AUTHOR: Chávez
VERSION: 3/21/13
FISCAL: Yes
VOTE: Majority
SUBJECT
Veterans: California Veterans Board
DESCRIPTION
Summary : Modifies membership qualifications for the California
Veterans Board, and changes the Board's function in relation to
the Department of Veterans Affairs (CalVet).
Existing law:
Provides that the Board shall determine the policies for
all CalVet departmental operations.
Requires the seven-member Board to be appointed by the
Governor and confirmed by the Senate for four-year terms.
Requires members to meet the definition of "veteran"
contained in GOVT Code §18540.4.
Requires that five of Board positions be uniquely
defined and filled by individuals, who meet specified
categories of education, training, professional expertise,
or personal experiences.
This bill:
Changes the Board's role from determining CalVet
policies to serving as an advisory body to the CalVet
Secretary.
Repeals the categorical requirements for four of the
five Board positions that have eligibility defined by
educational or experience.
Requires that every Board member be a member in good
standing with a congressionally chartered veteran service
organization.
Provides that nothing in the bill shall be construed to
prohibit any currently serving Board members from
completing their terms.
Requires the CalVet secretary and the Board to seek to
confer with the California State Commanders Veterans
Council at least twice per calendar year on issues
affecting California veterans.
BACKGROUND
Existing Board eligibility requirements
Government Code §18540.4. "Veteran" means: Any person who has
served full time in the armed forces in time of national
emergency or state military emergency or during any expedition
of the armed forces and who has been discharged or released
under conditions other than dishonorable.
Requires that all members of the board shall be veterans as
"veteran" is defined in Section 18540.4 of the Government Code.
Requires:
One member to be retired from the active or reserve
forces of the United States military service.
One member to be a resident of a California veterans
home.
Requires:
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One member to have substantial training or professional
expertise in mortgage lending and real estate finance.
One member to have substantial training or professional
expertise in geriatrics, gerontology, or long-term care.
One member to have an accounting or auditing background,
and preferably shall be a certified public accountant.
One member to have a degree in health care
administration or have experience in the financial
management of health care facilities.
One member to have substantial training, professional
knowledge, or experience in the issues faced by female
veterans which may include, but are not limited to, the
following issues:
o Combat-related disorders;
o Sexual trauma;
o Homelessness.
Mandates that the member of the board who is a resident of a
California veterans home shall be appointed for a term expiring
January 15 of an odd-numbered year. Subsequent appointments
shall be made on a rotational basis based on the age of the
home, beginning with the oldest veterans home with independent
living.
Role of the Board
CDVA was established in 1921 to provide the State's veterans
with low-cost home and farm loans, assistance in obtaining
veterans' benefits, and various levels of care at three
residential facilities. To set policy for CDVA and provide
veterans a forum to appeal departmental decisions denying
services, the Legislature established the board in 1946. State
statutes give the Board broad policy-making authority over the
CDVA.
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The State Auditor released an audit in June 2003, which severely
indicted the Board. The audit report (2002-120) stated:
"(T)he Board of seven volunteers has established itself as an
ineffective policy-maker, unable to strengthen weaknesses in the
department's administration of veterans' programs that the
Bureau of State Audits (bureau) has reported over the past three
years. As an example of the board's inability to effect strong
policy, only half of its 32 policies provide direction for
departmental operations. Further, although the bureau and other
oversight agencies have identified a number of problems within
the department, the board has no clearly defined policies to
guide and monitor the department's corrective actions. The board
also has not used the services of the inspector general for
veterans affairs (inspector general) to review the department's
operations in areas where board policy could improve the
department's delivery of services to veterans."
(The California Performance 2004 report on streamlining
government recommended that the board be eliminated and its
functions performed within a newly modified Department of
Veterans Affairs. Obviously, that elimination did not occur.)
The audit report offered several recommendations to the Board.
The list included the following:
1. "Assert its policy-making authority by actively identifying
areas of the department's operations that it feels need guidance
or direction and developing meaningful policies that provide the
department with the guiding principles necessary to complete its
mission.
2. "To enable board members to perform their policy-making and
oversight functions effectively, the board should provide
training to its members on the laws and regulations controlling
veterans' affairs; board policies, duties, and authority,
including how to conduct appeals; departmental operations; state
laws regarding open meetings; and state laws regarding the
privacy of medical information."
California State Commanders Veterans Council
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Fifty-plus years old, the Council is a group of 22 veterans
service organizations and other military-related entities. Its
mission is to evaluate pending state legislation affecting
California's veterans, whether active, reserve, National Guard,
or retired.
Congressionally chartered veterans organizations
VSOs are non-profit organizations dedicated to supporting
veterans and their families. Some VSOs are congressionally
chartered and have legal federal recognition or approval for the
purposes of preparing, presenting, and prosecuting claims under
laws administered by the United States Department of Veterans
Affairs, as provided in Title 38 of the U.S. Code and the Code
of Federal Regulations.
Among the better known congressionally chartered CSOs are the
American Legion, Disabled American Veterans, Veterans of Foreign
Wars, AMVETS, Marine Corps League, Order of the Purple Heart,
and Vietnam Veterans of America.
COMMENT
Committee staff comments:
1.Regarding requirements for board membership, the author
states:
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.
In 2012, Board Chairman Thomas Moran testified before the
Senate Veterans Affairs Committee in opposition to AB 2548,
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which provides that one member of the Board shall have
substantial training, professional knowledge, or experience in
the issues faced by female veterans which may include, but are
not limited to, combat related disorders, sexual trauma, and
homelessness. Chairman Moran said that he was sympathetic with
the unique needs of women veterans, but that this legislation
eliminates the last general purpose position on the Board. He
said that the stringent qualifications required for the
various expertise positions severely limit the universe of
qualified candidates for Board service.
In 2010, Governor Schwarzenegger vetoed a similar bill, AB
2784. He said:
This measure would inappropriately interfere with existing
executive branch authority and usurp the deliberative
process. Furthermore, the additional requirements for
appointments to the California Veterans Board remove
administrative flexibility and prevent the most qualified
individuals from serving.
2.With regard to the Board's role with CalVet, the author says:
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.
Related Legislation
AB 2548 (Mitchell, Ch. 205, Stats. 2012)
This bill provides that one Board member to have substantial
training, professional knowledge, or experience in the issues
faced by female veterans who may include, but are not limited
to, combat related disorders, sexual trauma, and homelessness.
AB 2784 (Comm on Veterans Affairs, vetoed, 2010)
This bill would have: (1) Expanded the Board to nine members.
(2) Required that two members of the board be appointed from
Operation Iraqi Freedom or Operation Enduring Freedom
(OIF/OEF). (3) Added mental health counseling to an aspect of
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qualifications that can be considered for appointing a member
of the board. (4) Prohibited the CalVet secretary from making
policy recommendations without first briefing the board. (6)
Encouraged the Governor to appoint a member with expertise in
women's mental and physical health issues.
SB 1387 (Comm on Veterans Affairs, Ch. 183, Stats. 2010)
This bill: (1) Requires one board member to have a degree in
health care administration or experience in the financial
management of health care facilities. (2) Requires the board
member who is a resident of a veterans home to be appointed for
a term expiring January 15 of odd-numbered years.
SB 164 (Johannessen, Ch. 220, Stats. 2001)
This bill makes several reforms to streamline Board operations,
including changing the reporting requirements and separating
out the annual budget. CalVet provides support to the Board;
this measure ensures that adequate office space and meeting
space are also provided, and that there is easy access for
disabled veterans.
SB 1411 (Johannessen, vetoed, 2000)
Nearly identical to SB 164 (Johannessen, 2001), this bill
contained an additional provision that triggered the Governor's
veto. That provision (not in SB 164) would have allowed the
Board to obtain the services of a part-time attorney, and would
have appropriated $25,000 to pay for the attorney's services.
POSITIONS
Sponsor: Author.
Support: California State Commanders Veterans Council
Oppose: None on file.
Analysis by: Wade Cooper Teasdale
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