BILL ANALYSIS Ó
SENATE HUMAN
SERVICES COMMITTEE
Senator Leland Y. Yee, Chair
BILL NO: SB 134
S
AUTHOR: Hueso
B
VERSION: April 8, 2013
HEARING DATE: April 23, 2013
1
FISCAL: Yes
3
4
CONSULTANT: Mareva Brown
SUBJECT
CalFresh eligibility
SUMMARY
This bill requires the state Department of Social Services
(DSS) to submit a waiver to exclude military housing
benefits when calculating income to determine CalFresh
eligibility. Requires counties that participate in the
CalFresh Employment and Training program to exempt veterans
from the program and instead refer them to a local
veteran's job assistance and training program, as
specified.
ABSTRACT
Existing law
1) Establishes under federal law the Supplemental
Nutrition Assistance Program (SNAP) pursuant to the
Food Stamp Act of 1964.
2) Establishes in California statute the Cal Fresh
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STAFF ANALYSIS OF SENATE BILL 134 (Hueso)
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program to administer the provision of federal SNAP
benefits to families and individuals meeting specified
criteria. (WIC 18900 et seq.)
3) Establishes in federal law income eligibility
standards that define participants as those whose
incomes are determined to be a substantial limiting
factor in permitting them to obtain a more nutritious
diet, as specified. Permits some forms of assistance
to be excluded from the calculation of income for the
purposes of eligibility for SNAP. (7 CFR 273.9)
4) Prohibits the exclusion of third-party payments to
a household for the purpose of income calculation. (7
CFR 273.9(c)(1)(vii))
5) Requires the state Department of Social Services
(DSS) to apply for federal waivers to implement
various exemptions to federal SNAP requirements, as
specified. (WIC 18923 et seq.)
6) Establishes in California law the CalFresh
Employment and Training (CalFresh E&T) program,
pursuant to federal law, which requires participating
counties to screen CalFresh applicants to determine
whether they will participate in a work training
program which may include: (WIC 18926.5)
a. Self-initiated workfare.
b. Work experience or training.
c. Education.
d. Job search.
1) Permits counties to defer from placing participants
in the CalFresh E&T program who reside in a federally
determined work surplus area. (WIC 18926.5(b)(1))
This bill
STAFF ANALYSIS OF SENATE BILL 134 (Hueso)
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1) Establishes legislative intent to limit barriers to
food assistance for low-income veterans and their
families and to increase referrals to veteran-oriented
job training programs.
2) Requires DSS to submit to the USDA no later than
December 31, 2014 a request to waive federal
regulations that exclude the basic housing allowance
for a member of a uniformed service from countable
income in the calculation of eligibility and benefit
level for purposes of CalFresh.
3) Requires the waiver be implemented within six
months of approval of the waiver.
4) Adds to the exemptions for CalFresh E&T the
criteria that a participant be currently serving in
the United States Armed Forces or is a veteran who has
been honorably discharged from the United States Armed
Forces.
5) Requires a county that exempts a current or veteran
member of the U.S. military from the CalFresh E&T
program to provide the applicant with a referral to a
local veterans' assistant and job training agency.
6) Requires a county that exempts a current or veteran
member of the U.S. military from the CalFresh E&T
program to permit the applicant to participate as a
volunteer in the E&T program, if the county
administers it.
7) Permits a local agency or school district to be
reimbursed for costs should the Commission on State
Mandates determine the bill contains state-mandated
costs to counties.
FISCAL IMPACT
This bill has not been analyzed by a fiscal committee.
BACKGROUND AND DISCUSSION
Purpose of the bill
STAFF ANALYSIS OF SENATE BILL 134 (Hueso)
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The author, whose district includes many military families
stationed in San Diego, states that this bill addresses two
problems that prevent veterans and military families that
need assistance with food from being able to participate in
the CalFresh program:
It would exclude a military family's basic housing
allowance from consideration when calculating CalFresh
income eligibility. This housing allotment puts most
military families above the threshold for nutrition
assistance.
It ensures that those counties that require
Employment and Training activities for adults in order
to receive CalFresh benefits refer military veterans
into specific programs for veterans.
Low income military families and veterans in California
confront hunger on a daily basis, according to an author's
statement. Several factors contribute to this, including
frequent moves that make it difficult for military spouses
to find and keep employment and struggles that veterans
face in adjusting to civilian life, the author states.
SNAP and CalFresh
Approximately 1.8 million households, or nearly 4 million
low-income Californians, receive CalFresh benefits intended
to improve their health and well-being by helping meet the
nutritional needs of children and adults. CalFresh benefits
are 100 percent funded by the federal SNAP program,
although administrative costs are shared by the federal
government, state and counties. In 2011, the average
benefit amount received per household was about $315 per
month per family, and the average recipient family size was
2.3 people. More than one in five recipients received
income from job earnings.<1>
A November 2010 federal survey indicated that nearly 15
percent of U.S. households experienced food insecurity in
2008 and 2009, the highest number since food security
surveys were begun in 1995. Food-insecure households had
difficulty at some time during the year with providing
enough food for all household members due to a lack of
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<1> http://www.calfresh.ca.gov/PG844.htm
STAFF ANALYSIS OF SENATE BILL 134 (Hueso)
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resources. Nearly 7 million Americans, or 6 percent of the
country, experienced a severe level of food insecurity in
which the food intake of some household members was reduced
and normal eating patterns were disrupted due to limited
resources. Ten percent of the country's families with
children experienced food insecurity at least once annually
during each of those years.
California has had historically low participation rates in
the program. In 2010, the state ranked last in use of
benefits by eligible residents, and last in use of benefits
among eligible working poor families, according to the
USDA. In December 2012, the USDA's Food and Nutrition
Service (FNS) released its 2010 state participation rate,
ranking California among those states with the lowest
program participation rates. While the national
participation rate is 75 percent, just 55 percent of
eligible California residents participated in CalFresh.
This reflects a slight improvement from FFY 2009, when
California's participation rate was 53 percent.<2>
Income eligibility
To qualify for CalFresh benefits, a recipient must meet
both gross and net income eligibility. Gross income
includes all income from any source including earned income
and all unearned income, as defined in federal code (with
specified exemptions discussed below). The maximum gross
income that is allowed is 130% of the federal poverty level
or 165% of the federal poverty level if the household has
an elderly or disabled person.
If the household passes the gross income test, then the net
income test is computed. Net income is determined by
deducting a percent of household expenses for shelter,
utilities, dependent care, medical care, earned income and
other moneys from a family's gross income. The resultant
amount cannot exceed 100% of the FPL.<3>
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<2>
http://www.cdsscounties.ca.gov/foodstamps/res/pdf/StateEffor
tsToIncreaseParticipation.pdf
<3> http://www.calfresh.ca.gov/PG841.htm#inc
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Federal law permits a number of exclusions from the income
calculation, including in-kind payments such as meals,
clothing, housing, or produce from a garden, or housing
assistance payments made through a state or local housing
authority.<4> However, the same federal code specifically
prohibits excluding other third-party payments that are
legally obligated and otherwise payable to the household
which are diverted by the provider of the payment to a
third party. These household expenses must be counted as
income and not excluded.<5>
As a practical matter, this means that housing provided for
military families on base is not included as calculated
income, but military personnel that receive military
stipends to find housing off-base must include that stipend
as income for determining CalFresh eligibility.
Military Housing Allowances and Basic Sustenance
California had 117,806 active duty service members in 2009,
according to US Census Data information. Active service
members can either receive housing and food on base, or, if
housing is not available, they can receive a stipend from
the U.S. military to pay for off-base housing. This is more
common among active military members with families. The
Basic Allowance for Housing (BAH) is calculated either for
single military members, or for those with dependents,
regardless of the number of dependents. Housing allowance
is determined by ZIP code.
In the Sacramento region, for example, an active duty
service member with the entry level pay grade of E-1 with
dependents would receive a $1,680 housing allowance. In the
San Diego area, the allocation would be $1,986 per month
for a service member with dependents. It is unclear how
many active military members in California live in military
housing and how many receive the military's BAH stipend. A
table outlining the monthly pay for enlisted service
members for all branches of the military follows.
--------------------------------
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<4> US 7 CFR 273.9 (c ) (1)
<5> US 7 CFR 273.9 (c ) (1) (vii)
STAFF ANALYSIS OF SENATE BILL 134 (Hueso)
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| Service category |Monthly pay |
|-------------------+------------|
|Enlisted 1 |$1,402.02 |
|Less than 4 months | |
|service | |
|-------------------+------------|
|Enlisted 1 |$1,516.20 |
|4 months - 2 years | |
|-------------------+------------|
|Enlisted 2 |$1,699.80 |
|All service times | |
|-------------------+------------|
|Enlisted 3 |$1,787.40 |
|Up to 2 years | |
|-------------------+------------|
|Enlisted 4 |$1,979.70 |
|Up to 2 years | |
--------------------------------
For reference, in 2011, the official poverty threshold for
a family of two adults and two children was $22,811
annually, or $1,900.92 per month. The federal supplemental
poverty measure for that same family living in rental
housing in California was $25,222, or $2,101 per month. The
U.S. Census bureau and other federal agencies have created
the supplemental poverty measure as a more accurate index
of poverty in the United States. It is broken down by
state.
CalFresh E&T
To qualify for CalFresh benefits, households must meet
income tests, and some households must meet specified work
requirements. SNAP requires all recipients, unless exempted
by law, to register for work at the appropriate employment
office, participate in an employment and training program
if assigned by a state or local administering agency, and
accept an offer of suitable employment. CalFresh E&T is a
voluntary program for counties, but should a county choose
to implement the program, those participants who are deemed
eligible must participate in order to receive CalFresh
benefits.
SNAP beneficiaries are exempted from registering for work
and engaging in employment and training activities if they
STAFF ANALYSIS OF SENATE BILL 134 (Hueso)
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are under age 16 or over age 59; physically or mentally
unfit for employment; caring for a child under the age of
six (or 12, in some cases); employed 30 hours a week; or,
subject to and complying with work requirements for other
programs, such as those required by CalWORKs. Other
participants may be exempted because they are receiving
unemployment insurance compensation, participating in a
drug and alcohol treatment and rehabilitation program, or
are students enrolled at least half time.
Comments
The author may want to consider how military families would
be identified and tracked since the current CalFresh
application does not include a category to determine if
someone in the household is a current member or veteran of
the U.S. military.
Related legislation
AB 276 (Hueso, 2013) was introduced by this author before
he was elected to the Senate mid-session. The language in
SB 134 replaces that language.
SB 43 (Liu 507, Sec. 2. Statutes of 2011) Requires counties
that elect to participate in the CalFresh E&T program to
screen participants for participation or deferral.
POSITIONS
Support: MAZON: A Jewish Response to Hunger (sponsor)
American Red Cross WIC Program
California Association of Food Banks
Jacobs & Cushman San Diego Food Bank
Service Employees International Union (SEIU)
California
Western Center on Law and Poverty
Oppose: None received
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