Senate Bill No. 354

Introduced by Senators Roth and Correa

(Principal coauthor: Senator Wolk)

February 20, 2013

An act to add Section 713 to the Military and Veterans Code, and to amend Section 1095 of the Unemployment Insurance Code, relating to veterans.

LEGISLATIVE COUNSEL’S DIGEST

SB 354, as introduced, Roth. Department of Veterans Affairs: monitoring outcomes for veterans: Director of Employment Development: disclosure of information.

Existing law establishes the Department of Veterans Affairs, which is responsible for administering various programs and services for the benefit of veterans.

This bill would require the Department of Veterans Affairs to develop outcome and related indicators for veterans, for the purpose of assessing the status of veterans in California, for monitoring the quality of programs intended to serve those veterans, and to guide decisionmaking on how to improve those services. This bill would require the department to report to the Senate and Assembly Committees on Veterans Affairs all of the outcome and related indicators developed by the department, recommendations on ways to establish a system for monitoring those indicators on a continual basis, and any regulatory or fiscal barriers that may hinder future progress on the development of a monitoring system, as provided.

Under existing law, the information obtained in the administration of the Unemployment Insurance Law is for the exclusive use and information of the Director of Employment Development in the discharge of his or her duties and is not open to the public. However, existing law requires the director to permit the use of specified information for specified purposes, and allows the director to require reimbursement for direct costs incurred. Existing law provides that a person who knowingly accesses, uses, or discloses this confidential information without authorization is guilty of a misdemeanor.

This bill would require the Director of Employment Development to permit the receipt of specified information to enable the Department of Veterans Affairs to develop outcome and related indicators for veterans. By providing this information to the Department of Veterans Affairs, this bill would expand the crime related to the unauthorized disclosure of this information, and impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

SECTION 1.  

Section 713 is added to the Military and Veterans
Code, to read:

713.  

(a) (1) The department shall develop outcome and related
indicators for veterans for the purpose of assessing the status of
veterans in California, for monitoring the quality of programs
intended to serve those veterans, and to guide decisionmaking on
how to improve those services.

(2) Indicators shall reflect the following issues, including, but
not limited to, employment and employment-related information
such as earnings, incidence of suicide, higher education including
access to higher education, involvement with the child welfare
system, and involvement with the criminal justice system.

(b) The department may receive any data, the access to which
is not restricted by any state or federal law, that is necessary to
develop outcome and related indicators as specified in subdivision
(a), including, but not limited to, data held by other state agencies
or departments.

(c) The department shall prescribe a manner in which to ensure
the confidentiality of information in the possession of the
department received pursuant to this section, that is equal to, or
greater than, the protections in place for data received by other
state agencies or departments.

(d) The department may establish one or more advisory bodies
to guide and inform the selection of outcome and related indicators
and the strategy for developing and reporting those indicators, as
determined by the Secretary of Veterans Affairs. An existing state
entity that involves diverse representation of state and local
veterans, including, but not limited to, the California Interagency
Council on Veterans, may act as an advisory body for purposes of
this section.

(e) (1) The department shall report to the Senate and Assembly
Committees on Veterans Affairs, on or before March 1, 2015, all
of the outcome and related indicators developed by the department
pursuant to subdivision (a). The report shall also include
recommendations on ways to establish a system for monitoring
those indicators on a continual basis, including additional staffing
or technology that might be necessary, as well as any regulatory
or fiscal barriers that may hinder future progress on the
development of a monitoring system.

(2) The report required to be submitted pursuant to this
subdivision shall be submitted in compliance with Section 9795
of the Government Code.

(3) The requirement for submitting a report under paragraph
(1) is inoperative on March 1, 2019, pursuant to Section 10231.5
of the Government Code.

SEC. 2.  

Section 1095 of the Unemployment Insurance Code
is amended to read:

1095.  

The director shall permit the use of any information in
his or her possession to the extent necessary for any of the
following purposes and may require reimbursement for all direct
costs incurred in providing any and all information specified in
this section, except information specified in subdivisions (a) to
(e), inclusive:

(a) To enable the director or his or her representative to carry
out his or her responsibilities under this code.

(b) To properly present a claim for benefits.

(c) To acquaint a worker or his or her authorized agent with his
or her existing or prospective right to benefits.

(d) To furnish an employer or his or her authorized agent with
information to enable him or her to fully discharge his or her
obligations or safeguard his or her rights under this division or
Division 3 (commencing with Section 9000).

(e) To enable an employer to receive a reduction in contribution
rate.

(f) To enable federal, state, or local government departments
or agencies, subject to federal law, to verify or determine the
eligibility or entitlement of an applicant for, or a recipient of, public
social services provided pursuant to Division 9 (commencing with
Section 10000) of the Welfare and Institutions Code, or Part A of
Title IV of the Social Security Act, where the verification or
determination is directly connected with, and limited to, the
administration of public social services.

(g) To enable county administrators of general relief or
assistance, or their representatives, to determine entitlement to
locally provided general relief or assistance, where the
determination is directly connected with, and limited to, the
administration of general relief or assistance.

(h) To enable state or local governmental departments or
agencies to seek criminal, civil, or administrative remedies in
connection with the unlawful application for, or receipt of, relief
provided under Division 9 (commencing with Section 10000) of
the Welfare and Institutions Code or to enable the collection of
expenditures for medical assistance services pursuant to Part 5
(commencing with Section 17000) of Division 9 of the Welfare
and Institutions Code.

(i) To provide any law enforcement agency with the name,
address, telephone number, birth date, social security number,
physical description, and names and addresses of present and past
employers, of any victim, suspect, missing person, potential
witness, or person for whom a felony arrest warrant has been
issued, when a request for this information is made by any
investigator or peace officer as defined by Sections 830.1 and
830.2 of the Penal Code, or by any federal law enforcement officer
to whom the Attorney General has delegated authority to enforce
federal search warrants, as defined under Sections 60.2 and 60.3
of Title 28 of the Code of Federal Regulations, as amended, and
when the requesting officer has been designated by the head of
the law enforcement agency and requests this information in the
course of and as a part of an investigation into the commission of
a crime when there is a reasonable suspicion that the crime is a
felony and that the information would lead to relevant evidence.
The information provided pursuant to this subdivision shall be
provided to the extent permitted by federal law and regulations,
and to the extent the information is available and accessible within
the constraints and configurations of existing department records.
Any person who receives any information under this subdivision
shall make a written report of the information to the law
enforcement agency that employs him or her, for filing under the
normal procedures of that agency.

(1) This subdivision shall not be construed to authorize the
release to any law enforcement agency of a general list identifying
individuals applying for or receiving benefits.

(2) The department shall maintain records pursuant to this
subdivision only for periods required under regulations or statutes
enacted for the administration of its programs.

(3) This subdivision shall not be construed as limiting the
information provided to law enforcement agencies to that pertaining
only to applicants for, or recipients of, benefits.

(4) The department shall notify all applicants for benefits that
release of confidential information from their records will not be
protected should there be a felony arrest warrant issued against
the applicant or in the event of an investigation by a law
enforcement agency into the commission of a felony.

(j) To provide public employee retirement systems in California
with information relating to the earnings of any person who has
applied for or is receiving a disability income, disability allowance,
or disability retirement allowance, from a public employee
retirement system. The earnings information shall be released only
upon written request from the governing board specifying that the
person has applied for or is receiving a disability allowance or
disability retirement allowance from its retirement system. The
request may be made by the chief executive officer of the system
or by an employee of the system so authorized and identified by
name and title by the chief executive officer in writing.

(k) To enable the Division of Labor Standards Enforcement in
the Department of Industrial Relations to seek criminal, civil, or
administrative remedies in connection with the failure to pay, or
the unlawful payment of, wages pursuant to Chapter 1
(commencing with Section 200) of Part 1 of Division 2 of, and
Chapter 1 (commencing with Section 1720) of Part 7 of Division
2 of, the Labor Code.

(l) To enable federal, state, or local governmental departments
or agencies to administer child support enforcement programs
under Title IV of the federal Social Security Act (42 U.S.C. Sec.
651 et seq.).

(m) To provide federal, state, or local governmental departments
or agencies with wage and claim information in its possession that
will assist those departments and agencies in the administration
of the Victims of Crime Program or in the location of victims of
crime who, by state mandate or court order, are entitled to
restitution that has been or can be recovered.

(n) To provide federal, state, or local governmental departments
or agencies with information concerning any individuals who are
or have been:

(1) Directed by state mandate or court order to pay restitution,
fines, penalties, assessments, or fees as a result of a violation of
law.

(2) Delinquent or in default on guaranteed student loans or who
owe repayment of funds received through other financial assistance
programs administered by those agencies. The information released
by the director for the purposes of this paragraph shall not include
unemployment insurance benefit information.

(o) To provide an authorized governmental agency with any or
all relevant information that relates to any specific workers’
compensation insurance fraud investigation. The information shall
be provided to the extent permitted by federal law and regulations.
For the purposes of this subdivision, “authorized governmental
agency” means the district attorney of any county, the office of
the Attorney General, the Contractors’ State License Board, the
Department of Industrial Relations, and the Department of
Insurance. An authorized governmental agency may disclose this
information to the State Bar begin insert of California end insert , the Medical Board of
California, or any other licensing board or department whose
licensee is the subject of a workers’ compensation insurance fraud
investigation. This subdivision shall not prevent any authorized
governmental agency from reporting to any board or department
the suspected misconduct of any licensee of that body.

(p) To enable the Director of the Bureau for Private
Postsecondary Education, or his or her representatives, to access
unemployment insurance quarterly wage data on a case-by-case
basis to verify information on school administrators, school staff,
and students provided by those schools who are being investigated
for possible violations of Chapter 8 (commencing with Section
94800) of Part 59 of Division 10 of Title 3 of the Education Code.

(q) To provide employment tax information to the tax officials
of Mexico, if a reciprocal agreement exists. For purposes of this
subdivision, “reciprocal agreement” means a formal agreement to
exchange information between national taxing officials of Mexico
and taxing authorities of the State Board of Equalization, the
Franchise Tax Board, and the Employment Development
Department. Furthermore, the reciprocal agreement shall be limited
to the exchange of information that is essential for tax
administration purposes only. Taxing authorities of the State of
California shall be granted tax information only on California
residents. Taxing authorities of Mexico shall be granted tax
information only on Mexican nationals.

(r) To enable city and county planning agencies to develop
economic forecasts for planning purposes. The information shall
be limited to businesses within the jurisdiction of the city or county
whose planning agency is requesting the information, and shall
not include information regarding individual employees.

(s) To provide the State Department of Developmental Services
with wage and employer information that will assist in the
collection of moneys owed by the recipient, parent, or any other
legally liable individual for services and supports provided pursuant
to Chapter 9 (commencing with Section 4775) of Division 4.5 of,
and Chapter 2 (commencing with Section 7200) and Chapter 3
(commencing with Section 7500) of Division 7 of, the Welfare
and Institutions Code.

(t) To provide the State Board of Equalization with employment
tax information that will assist in the administration of tax
programs. The information shall be limited to the exchange of
employment tax information essential for tax administration
purposes to the extent permitted by federal law and regulations.

(u) Nothing in this section shall be construed to authorize or
permit the use of information obtained in the administration of this
code by any private collection agency.

(v) The disclosure of the name and address of an individual or
business entity that was issued an assessment that included
penalties under Section 1128 or 1128.1 shall not be in violation
of Section 1094 if the assessment is final. The disclosure may also
include any of the following:

(1) The total amount of the assessment.

(2) The amount of the penalty imposed under Section 1128 or
1128.1 that is included in the assessment.

(3) The facts that resulted in the charging of the penalty under
Section 1128 or 1128.1.

(w) To enable the Contractors’ State License Board to verify
the employment history of an individual applying for licensure
pursuant to Section 7068 of the Business and Professions Code.

(x) To provide any peace officer with the Division of
Investigation in the Department of Consumer Affairs information
pursuant to subdivision (i) when the requesting peace officer has
been designated by the Chief of the Division of Investigation and
requests this information in the course of and as part of an
investigation into the commission of a crime or other unlawful act
when there is reasonable suspicion to believe that the crime or act
may be connected to the information requested and would lead to
relevant information regarding the crime or unlawful act.

(y) To enable the Labor Commissioner of the Division of Labor
Standards Enforcement in the Department of Industrial Relations
to identify, pursuant to Section 90.3 of the Labor Code, unlawfully
uninsured employers. The information shall be provided to the
extent permitted by federal law and regulations.

(z) To enable the Chancellor of the California Community
Colleges, in accordance with the requirements of Section 84754.5
of the Education Code, to obtain quarterly wage data, commencing
January 1, 1993, on students who have attended one or more
community colleges, to assess the impact of education on the
employment and earnings of students, to conduct the annual
evaluation of begin delete district-level end delete begin insert district level end insert and individual college
performance in achieving priority educational outcomes, and to
submit the required reports to the Legislature and the Governor.
The information shall be provided to the extent permitted by federal
statutes and regulations.

(aa) To enable the Public Employees’ Retirement System to
seek criminal, civil, or administrative remedies in connection with
the unlawful application for, or receipt of, benefits provided under
Part 3 (commencing with Section 20000) of Division 5 of Title 2
of the Government Code.

(ab) To enable the State Department of Education, the University
of California, the California State University, and the Chancellor
of the California Community Colleges, pursuant to the
requirements prescribed by the federal American Recovery and
Reinvestment Act of 2009 (Public Law 111-5), to obtain quarterly
wage data, commencing July 1, 2010, on students who have
attended their respective systems to assess the impact of education
on the employment and earnings of those students, to conduct the
annual analysis of begin delete district-level end delete begin insert district level end insert and individual district
or postsecondary education system performance in achieving
priority educational outcomes, and to submit the required reports
to the Legislature and the Governor. The information shall be
provided to the extent permitted by federal statutes and regulations.

(ac) To provide the Agricultural Labor Relations Board with
employee, wage, and employer information, for use in the
investigation or enforcement of the
Alatorre-Zenovich-Dunlap-Berman Agricultural Labor Relations
Act of 1975 (Part 3.5 (commencing with Section 1140) of Division
2 of the Labor Code). The information shall be provided to the
extent permitted by federal statutes and regulations.

(ad) (1) To enable the State Department of Health Care
Services, the California Health Benefit Exchange, the Managed
Risk Medical Insurance Board, and county departments and
agencies to obtain information regarding employee wages,
California employer names and account numbers, employer reports
of wages and number of employees, and disability insurance and
unemployment insurance claim information, for the purpose of:

(A) Verifying or determining the eligibility of an applicant for,
or a recipient of, state health subsidy programs, limited to the
Medi-Cal begin delete Program end delete begin insert program end insert , provided pursuant to Chapter 7
(commencing with Section 14000) of Part 3 of Division 9 of the
Welfare and Institutions Code, the Healthy Families Program,
provided pursuant to Part 6.2 (commencing with Section 12693)
of Division 2 of the Insurance Code, and the Access for Infants
and Mothers Program, provided pursuant to Part 6.3 (commencing
with Section 12695) of Division 2 of the Insurance Code, where
the verification or determination is directly connected with, and
limited to, the administration of the state health subsidy programs
referenced in this subparagraph.

(B) Verifying or determining the eligibility of an applicant for,
or a recipient of, federal subsidies offered through the California
Health Benefit Exchange, provided pursuant to Title 22
(commencing with Section 100500) of the Government Code,
including federal tax credits and cost-sharing assistance pursuant
to the federal Patient Protection and Affordable Care Act (Public
Law 111-148), as amended by the federal Health Care and
Education Reconciliation Act of 2010 (Public Law 111-152), where
the verification or determination is directly connected with, and
limited to, the administration of the California Health Benefit
Exchange.

(C) Verifying or determining the eligibility of employees and
employers for health coverage through the Small Business Health
Options Program, provided pursuant to Section 100502 of the
Government Code, where the verification or determination is
directly connected with, and limited to, the administration of the
Small Business Health Options Program.

(2) The information provided under this subdivision shall be
subject to the requirements of, and provided to the extent permitted
by, federal law and regulations, including Part 603 of Title 20 of
the Code of Federal Regulations.

begin insert

(ae) To enable the Department of Veterans Affairs to receive
quarterly wage data pursuant to the requirements of Section 713
of the Military and Veterans Code. The information shall be
provided to the extent permitted by federal law.

end insert

SEC. 3.  

No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of
the Government Code, or changes the definition of a crime within
the meaning of Section 6 of Article XIII B of the California
Constitution.