BILL ANALYSIS Ó
AB 1579
Page 1
Date of Hearing: April 30, 2014
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Mike Gatto, Chair
AB 1579 (Stone) - As Amended: April 1, 2014
Policy Committee: Human
ServicesVote:6 - 0
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill revises CalWORKs benefits to allow otherwise eligible
women, without aided children, to receive CalWORKs in their
first and second trimester of pregnancy. Women in their third
trimester are eligible under current law. Requires payment of a
CalWORKs grant to a pregnant woman in a family without a needy
qualified child upon verification of pregnancy to the county.
FISCAL EFFECT
1)Ongoing CalWORKs grant and administrative costs in the range
of $2 million to $4 million (TANF/GF) in 2014-15 and in the
range of $6 million to $12 million (TANF/GF), beginning in
2015-16. The actual costs will depend on the number of
eligible women who apply for the earlier benefit and the
number of additional months of benefit they receive.
Caseload in 2013 for the CalWORKs benefit under current law
was 3,022. Assuming 232 cases per month would be eligible
sooner, the average monthly caseload increase would be 840
cases in 2014-15 and 1,259 in 2015-16. Assuming six months of
earlier benefit ($416/mo) for all cases and employment
services costs for 90% of the cases ($382.37/mo), the costs
would be $3.9 million in 2014-15. and $11.9 million in 2015-16
and beyond. Assuming only three months of earlier benefit
would reduce those costs by half.
2)Potential savings in out years to the extent affected
recipients remain on CalWorks for the entire amount of time
they are eligible and are merely receiving their benefit
earlier.
AB 1579
Page 2
3)Unknown automation costs to DSS to implement the changes.
COMMENTS
1)Purpose . This bill seeks to ensure that healthier babies are
born to women who are pregnant and in need of assistance by
granting CalWORKs aid to eligible women upon verification of
their pregnancy, rather than waiting until their third
trimester.
According to the Western Center on Law and Poverty, one of the
sponsors of the bill, "Delaying basic needs cash assistance
for very low-income pregnant women not only impacts the health
of children born into deep poverty, but it also endangers the
health and wellbeing of pregnant women."
2)Existing Law . CalWORKs provides assistance to eligible
pregnant women, without other children in the household
qualified to receive aid, who are in their third trimester of
pregnancy and have provided verification of pregnancy to the
county. The CalWORKs monthly cash grant is $369 (for one)
plus a $47 pregnancy special need payment. This benefit and
other services are already available to eligible pregnant
teenagers 18 years of age or younger.
There is a 48-month lifetime limit of CalWORKs benefits for
eligible adults, including 24 months during which a recipient
must meet federal work requirements in order to retain
eligibility with certain exceptions. Pregnancy itself is not
an exemption from the work requirements. However, a medical
condition, pregnancy related or otherwise, may qualify someone
for an exemption if the need is documented by a physician.
This bill does not extend the lifetime limit or change the
welfare-to-work requirements or caps.
3)Other States . California is one of 31 states that provide TANF
benefits to eligible pregnant women with no other aided
children. Of those, 10 provide benefits as early as the first
month of pregnancy.
Analysis Prepared by : Jennifer Swenson / APPR. / (916)
319-2081
AB 1579
Page 3