BILL ANALYSIS Ó Senate Appropriations Committee Fiscal Summary Senator Kevin de León, Chair SB 466 (DeSaulnier) - California Institute for Criminal Justice Policy. Amended: As Introduced Policy Vote: Public Safety 6-1 Urgency: No Mandate: No Hearing Date: May 23, 2013 Consultant: Jolie Onodera SUSPENSE FILE. AS PROPOSED TO BE AMENDED. Bill Summary: SB 466 would create the California Institute for Criminal Justice Policy, as specified. Fiscal Impact: Potentially significant one-time start-up costs to the University of California (UC) to establish the institute. Ongoing costs potentially in excess of $2 million (non-Proposition 98 General Fund) for staffing, actuarial services, faculty contributors and reviewers, and overhead costs. The annual costs assume the UC is able to provide facility space for institute staff as an in-kind contribution. Background: In September 2011, the Little Hoover Commission addressed the imminent implementation of criminal justice realignment in California in a letter to the Governor and Legislature. The Commission expressed the importance of the state's leadership role to set policy goals and create conditions for success at the local level. "The state must provide oversight by developing performance measures - with input from the locals - rooted in evidence-based practices. The state must then collect data on outcomes and use it to drive policy. It should inventory best practices and develop structural and fiscal incentives for counties to improve performance. Without this kind of oversight, California's realignment could produce 58 independent systems of justice, creating the potential for counties to repeat the mistakes made by the state that led to overcrowding and court injunctions." In light of the significant reforms to the state's criminal justice system and the continuing overcrowding issues persistent in the state prisons, research-based models for effective, both from a public safety and fiscal perspective, criminal justice systems are needed. SB 466 (DeSaulnier) Page 1 The Washington State Institute for Public Policy (WSIPP), created in 1983, suggests a model for the provisions of this bill. On its website, the WSIPP states its mission is to, "carry out practical, non-partisan research - at legislative direction - on issues of importance to Washington State. The Institute conducts research using its own policy analysts and economists, specialists from universities, and consultants. Institute staff work closely with legislators, legislative, and state agency staff, and experts in the field to ensure the studies answer relevant policy questions." The WSIPP website notes that its "current areas of staff expertise include: education, criminal justice, welfare, children and adult services, health, utilities, and general government. The Institute also collaborates with faculty in public and private universities and contracts with other experts to extend our capacity for studies on diverse topics. For several projects, we have successfully merged administrative data from two or more agencies, significantly reducing the cost of outcome research." Proposed Law: This bill would establish the California Institute for Criminal Justice Policy (CICJP) in state government. Specifically, this bill: States the request of the Legislature that the UC house the CICJP to facilitate independent and nonpartisan research on issues related to criminal justice and public safety by experts in the UC system and beyond. Provides that the purposes of the institute shall include the facilitation of a comprehensive and coordinated approach to delineate effective public safety and justice systems through the use of evidence-based practices, the promulgation of cost benefit analyses of criminal justice legislation to promulgate a statewide plan for public safety, and the development of strategies based on data and science that reduce recidivism and hold offenders accountable. Requires the CICJP to conduct a cost-benefit analysis for each pending legislative measure relating to criminal justice to be provided to the appropriate legislative policy and fiscal committees not later than 60 days after receiving the request. SB 466 (DeSaulnier) Page 2 Requires the CICJP to include in an analysis a determination of the potential effectiveness of the policy based on evidence in the field of criminal justice. Includes codified legislative findings and declarations concerning California's ongoing problems relating to its criminal justice system and the need for an independent data-driven institution to promulgate best practices. Staff Comments: To the extent the UC houses the institute, the UC would incur likely significant one-time start-up costs that are as yet undetermined and substantial ongoing costs to operate the institute. Assuming costs and the framework of the CICJP are similar to those incurred for the California Health Benefits Review Program (CHBRP), annual ongoing costs are estimated in the range of $2 million (General Fund) for staff salaries and benefits, faculty contributors and reviewers, actuarial services, advisory council activities, and overhead costs. This estimate assumes the UC is able to provide facility space for institute staff as an in-kind contribution. Established pursuant to AB 1996 (Thomson) Chapter 795/2002 (reauthorized with a current sunset date of June 2015), the CHBRP responds to requests from the Legislature to provide independent analysis of the medical, financial, and public health impacts of proposed health insurance benefit mandates and repeals. A small analytic UC staff works with a task force of faculty from several campuses of the UC and other universities, as well as actuarial consultants to complete each analysis during a 60-day period, usually before the Legislature begins formal consideration of a mandate bill. Each report summarizes scientific evidence relevant to the proposed mandate but does not make recommendations, deferring policy decision-making to the Legislature. The state funds this work through a small annual assessment of health plans and insurers in California. It is unknown at this time how the CICJP might complement or overlap with the responsibilities of the recently established Board of State and Community Corrections (BSCC). To the extent the UC could coordinate or enter into an interagency agreement with the BSCC to secure potential federal grant funding sources available through the BSCC could serve to support the goals of the institute and potentially reduce ongoing General Fund costs. SB 466 (DeSaulnier) Page 3 To the extent the institute is successfully able to provide the Legislature with informed, research-driven cost benefit analyses of criminal justice legislation, substantial future cost savings in the criminal justice system and overall improvements to public safety could result. Author amendments require the provisions of the bill to be contingent upon an appropriation in the annual Budget Act.