BILL ANALYSIS Ó SENATE HUMAN SERVICES COMMITTEE Senator Leland Y. Yee, Chair BILL NO: AB 1112 A AUTHOR: Ammiano B VERSION: April 18, 2013 HEARING DATE: June 11, 2103 1 FISCAL: Yes 1 1 CONSULTANT: Mareva Brown 2 SUBJECT Developmental services: habilitation SUMMARY The bill would require that a program provider, under specified circumstances, be paid a one-time fee of $700 for employment preparation services provided to a consumer prior to placement in an integrated job. This bill also would require that providers of individualized and group-supported employment services be paid the rates provided in existing law or rates established by the Department of Rehabilitation (DOR), whichever is greater. ABSTRACT Existing law : 1) Establishes the Lanterman Developmental Disabilities Services Act, which states that California is responsible for providing an array of services and supports sufficiently complete to meet the needs and choices of each person with developmental disabilities, regardless of age or Continued--- STAFF ANALYSIS OF ASSEMBLY BILL 1112 (Ammiano) Page 2 degree of disability, and at each stage of life and to support their integration into the mainstream life of the community (WIC 4500, et seq.) 2) Establishes a system of nonprofit regional centers to provide fixed points of contact in the community for all persons with developmental disabilities and their families, to coordinate services and supports best suited to them throughout their lifetime. (WIC 4620) 3) Defines "habilitation services" to mean community-based services purchased or provided for adults with developmental disabilities, including services provided under the Work Activity Program and the Supported Employment Program, to prepare and maintain them at their highest level of vocational functioning, or to prepare them for referral to vocational rehabilitation services. (WIC 4851 (a)) 4) Defines a Work Activity Program to include sheltered workshops or work activity centers, certified community-based work activity programs or similar programs accredited by the Rehabilitation Accreditation Commission. (WIC 4851 (e)) 5) Defines the Supported Employment Program to include placement of an adult with a developmental disability in a fully integrated job in the community in which the consumer interacts with individuals without developmental disabilities in the course of their work. The individual is provided ongoing services necessary for the individual to retain employment including job development, on-the-job training and support including advocacy or intervention on behalf of the consumer as needed, and other one-to-one or group services, as needed to maintain employment. These services are intended to decrease over time as the individual maintains job stability. (WIC 4851 (n) et seq.) 6) Requires a regional center to authorize appropriate habilitation services for a consumer while he or she awaits service authorization from the DOR if the regional center has referred that consumer to the DOR STAFF ANALYSIS OF ASSEMBLY BILL 1112 (Ammiano) Page 3 for vocational rehabilitation services, and the consumer is put on a waiting list. (WIC 4855) 7) Establishes the following rates and fees to be paid to interim providers of rehabilitation services that are authorized by the regional center for the period during which a consumer is on a waiting list for vocational services from DOR: a) A rate of thirty dollars and eighty-two cents ($30.82) per hour for supported employment services provided to consumers receiving individualized or group services; b) A three-hundred-sixty-dollar ($360) fee to be paid to a program provider upon intake of a consumer into a supported employment program; c) A seven-hundred-twenty-dollar ($720) fee to be paid upon placement of a consumer in an integrated job, as specified; and d) A seven-hundred-twenty-dollar ($720) fee to be paid after a 90-day retention of a consumer in a job, as specified. (WIC 4860. (a) (1)) This bill : 1) Adds to the established fees for services paid to interim providers of habilitation services a $700 fee to be paid to the program provider for employment preparation services provided to a consumer prior to placement in an integrated job. 2) Stipulates that the $700 fee shall not be paid if that consumer completed an employment preparation process with the same supported employment program within the previous 12 months. 3) Requires that the regional center pay the rates established in statute, or rates established by the Department of Rehabilitation (DOR), whichever are greater, as specified. FISCAL IMPACT STAFF ANALYSIS OF ASSEMBLY BILL 1112 (Ammiano) Page 4 An Assembly Appropriations Committee analysis concluded that this legislation will likely have no fiscal impact on DDS and DOR. DDS only pays the fees contained in this bill when DOR is under an Order of Selection and has to place DDS consumers on waiting lists. DOR has only done this once in the last 25 years. BACKGROUND AND DISCUSSION Purpose of the bill The author states that while services within the Department of Rehabilitation include a work preparation category for clients who are not referred by the regional centers, the same work preparation component is not available to clients who have developmental disabilities. This bill provides parity with others receiving work preparation services. The author states that this bill is necessary to equalize the systems to ensure that all persons who provide employment services to the disabled are adequately reimbursed for those services and provide job seekers with developmental disabilities greater access to employment opportunities. With an over 80 percent unemployment rate for people with Intellectual/Developmental Disabilities it is important that they have equal access to the full array of employment support services, the author states. This bill also would align the hourly rate structure with that of services provided by the Department of Rehabilitation, if applicable. Developmental Services A developmental disability is defined as one that originates before the age of 18, is expected to continue indefinitely, and constitutes a substantial disability for that individual. It includes intellectual disabilities, cerebral palsy, epilepsy, and autism spectrum disorders (ASD), but not conditions that are solely psychiatric or physical in nature. Services for individuals with developmental disabilities in California are established in the Lanterman Developmental STAFF ANALYSIS OF ASSEMBLY BILL 1112 (Ammiano) Page 5 Disabilities Services Act and administered by the state Department of Developmental Services (DDS). The Lanterman Act, as it is commonly called, confers an entitlement to services and supports as laid out in a consumer's individual program plan (IPP). These services are designed to enable a consumer to live independently and in the least restrictive environment possible. Direct responsibility for providing supports to consumers within the DDS system lies within 21 nonprofit regional centers which contract with DDS to provide intake and assessment, case management, development of the IPP and provision of services either directly or through vendors. More than 260,000 DDS consumers live in community placements, including their own homes, or residential placements. Another approximately 1,600 consumers live in state-operated Developmental Centers or a smaller, state-run community facility. The Lanterman Act requires that the services and supports provided to consumers enable them to approximate the pattern of everyday living available to people without disabilities of the same age (WIC 4500 et seq). It requires that the IPP maximize opportunities for each consumer to develop relationships, be part of community life, increase control over his or her life, and acquire increasingly positive roles in the community. The IPP must give the highest preference to those services and supports that allow minors to live with their families and adults to live as independently as possible in the community. Employment Employment of individuals with developmental disabilities is a state and national priority. Historically in California, DDS consumers have worked in a range of settings. Those requiring supported employment settings may participate in the Work Activity Program, where services are provided in a sheltered work environment and reimbursed at a daily per capita rate. Consumers also may participate in supported employment work in the community with support services provided on the job by community rehabilitation programs. However, people with developmental disabilities remain significantly under-represented in the workforce. According to the State Council on Developmental Disabilities, data STAFF ANALYSIS OF ASSEMBLY BILL 1112 (Ammiano) Page 6 indicates that just 13% of working age individuals with developmental and intellectual disabilities are in competitive or supported employment. This equates to an unemployment rate of 87% for people with developmental and intellectual disabilities in California, ranking California 41st in the nation for the employment of this portion of our population. (Policy 2010-02, SCDD) In recent years, efforts have been made to move more consumers into competitive or supported employment. AB 287 (Beall) 2009, would have required that the state establish an Employment First committee in the State Council on Developmental Disabilities to identify strategies to increase the number of people with developmental disabilities who are employed and earning at least minimum wage. Related Legislation AB 954 (Maienschein 2013), restores the regional center hourly job coach rate and employment service fees to 2006 levels, which were decreased by 10% in 2008-09. AB 954 was held in the Assembly Appropriations committee. AB 1041 (Chesbro 2013), establishes the Employment First Policy for individuals with developmental disabilities and establishes integrated employment as a goal for a regional center consumer's individual program plan (IPP). That bill is currently pending in the Senate. SB 577 (Pavley 2013), requires DDS to establish a pilot program for young adults with Autism Spectrum Disorder to help them find pathways to financial independence through work. This bill was held in the Senate Appropriations Committee. AB 287 (Beall) Chapter 231, Statutes of 2009, establishes the Employment First Committee as a standing committee of SCDD to identify strategies and best practices for significantly increasing the numbers of people with developmental disabilities in competitive integrated employment and the number who earn wages at or above STAFF ANALYSIS OF ASSEMBLY BILL 1112 (Ammiano) Page 7 minimum wage. PRIOR VOTES Assembly Floor: 70 - 0 Assembly Appropriations: 17 - 0 Assembly Human Services: 7 - 0 POSITIONS Support: Association of Regional Center Agencies The Arc and united Cerebral Palsy California Collaboration Oppose: None received -- END --