BILL ANALYSIS                                                                                                                                                                                                    


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                                    THIRD READING

          Bill No:  SB 68
          Author:   Senate Budget and Fiscal Review Committee
          Amended:  5/7/13
          Vote:     21

           SENATE BUDGET & FISCAL REVIEW COMMITTEE  :  10-2, 5/9/13
          AYES:  Leno, Beall, Block, DeSaulnier, Hancock, Jackson,  
            Monning, Roth, Wolk, Wright
          NOES:  Emmerson, Nielsen
          NO VOTE RECORDED:  Anderson, Berryhill, Price, Wyland

           SUBJECT  :    Budget Act of 2012

           SOURCE  :     Author

           DIGEST  :    This bill appropriates $32.4 million General Fund  
          (GF) to the Department of Developmental Services (DDS) and  
          $505,000 GF to the Department of Social Services (DSS), and  
          makes corresponding adjustments to anticipated federal funding,  
          as appropriate.  This bill also authorizes the reappropriation  
          of funds for use by the Office of Statewide Health Planning and  
          Development (OSHPD) and by the Administrative Office of the  
          Courts (AOC).  

           ANALYSIS  :    

           Developmental services  .  The 2012 Budget assumed that the  
          California Children and Families (First 5) Commission would  
          provide $40 million in funding for Early Start services to young  
          children.  The First 5 Commission recently voted to instead  


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          provide the lesser amount of $15 million in funding for these  
          services.  In addition, four out of 10 of the Intermediate Care  
          Facility units at the Sonoma Developmental Center (SDC) were  
          recently withdrawn from federal certification.  As a result, the  
          state is losing approximately $1.4 million per month in federal  
           Social services  .  In March 2013, the Administration and  
          plaintiffs in three In-Home Supportive Services (IHSS)-related  
          lawsuits (Oster (V.L.) v. Lightbourne, et al. (Oster) I & II,  
          and Dominguez v. Schwarzenegger, et al.) entered into a  
          comprehensive settlement agreement that includes an 8%  
          across-the-board reduction in authorized hours of IHSS services.  
           The Administration indicates that notices to recipients  
          regarding this reduction need to be sent during the 2012-13  
          budget year in order to reach recipients in advance of the  
          expiration of an existing 3.6% across-the-board reduction (which  
          is scheduled to expire June 30, 2012).  

           Mental health workforce, education, and training programs .  The  
          Mental Health Services Act (MHSA) Workforce, Education, and  
          Training (WET) program promotes the distribution, diversity,  
          competency, collaboration, and capacity of California's mental  
          health practitioners.  Prior to 2012-13, the MHSA WET program  
          was administered by the Department of Mental Health and was  
          transferred to the OSHPD in the 2012 Budget.

           Proposed courthouse in Alameda County .  A proposed facility is  
          intended to replace two existing court facilities:  the  
          Gale-Schenone Courthouse, which is currently leased by the AOC  
          for $1.6 million per year, and the Broussard Justice Center,  
          which flooded and is currently a non-functioning site.  The  
          county has donated the land on which the new courthouse and  
          county administrative office are to be constructed.  The county  
          will sell bonds for the project, oversee construction, and  
          retain ownership of the land and buildings until debt service is  
          fully repaid.  Upon full repayment of all issued bonds, the  
          courthouse and all associated land and buildings will be  
          transferred to the state for $1.  A construction contract must  
          be negotiated and finalized prior to the expiration of the  
          construction permit with the City of Dublin, on June 30, 3013.

          This bill:

            1. Developmental services  .  Appropriates $25 million GF to the  



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             DDS for 2012-13, to backfill for the loss of assumed funding  
             of the same amount from First 5.  Additionally, appropriates  
             $7.4 million GF to DDS for 2012-13 to backfill for lost  
             federal funding attendant to the lack of federal  
             certification for four Intermediate Care Facility units at  

            2. Social services  .  Appropriates $505,000 GF for mailing and  
             translation of notices regarding settlement of recent  
             litigation and resulting changes in services to IHSS  

            3. MHSA WET funding  .  Reappropriates unspent funds originally  
             appropriated in fiscal years 2009-10 through 2012-13, and  
             authorizes those funds to be available through June 30, 2018.  
              Requires these funds to be used for the Mental Health Loan  
             Assumption Program and MHSA WET programs.

            4. Court funding  .  Reappropriates $50 million, from the  
             Immediate and Critical Needs Account, to support the  
             acquisition of the new East County Courthouse in the County  
             of Alameda and authorizes the Judicial Branch to enter into a  
             lease-purchase agreement with the County of Alameda for a new  
             Courthouse project upon:  (a) approval by the Director of the  
             Department of Finance; (b) providing a 30-day notification to  
             the committees in each house that consider appropriations;  
             and, (c) providing a 30-day notification, without objection,  
             to the Joint Legislative Budget Committee.

           FISCAL EFFECT  :    Appropriation:  Yes   Fiscal Com.:  Yes    
          Local:  No

          According to the Senate Budget and Fiscal Review Committee,  
          appropriations of $32.4 million GF to the DDS and $505,000 GF to  
          the DSS, and corresponding adjustments to anticipated federal  
          funding, as appropriate.  This bill also authorizes the  
          reappropriation of funds that were already authorized and that  
          remain available for use by the OSHPD and by the AOC.  

          JA:k  5/9/13   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  NONE RECEIVED



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