BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



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                                    THIRD READING


          Bill No:  SB 579
          Author:   Berryhill (R)
          Amended:  1/27/14
          Vote:     21

           
           SENATE HUMAN SERVICES COMMITTEE  :  4-0, 1/14/14
          AYES:  Yee, Berryhill, Evans, Liu
          NO VOTE RECORDED:  Wright, Vacancy
           
          SENATE APPROPRIATIONS COMMITTEE  :  6-0, 1/23/14
          AYES:  De León, Gaines, Hill, Lara, Padilla, Steinberg
          NO VOTE RECORDED:  Walters


            SUBJECT  :    Developmental services:  Commission on Oversight  
                      Efficiency and Quality Enhancement Models

           SOURCE  :     Association of Regional Center Agencies


           DIGEST  :    This bill creates a 12-member Commission on Oversight  
          Efficiency and Quality Enhancement Models (Commission) to  
          investigate methods of streamlining oversight of programs that  
          are licensed by the Department of Social Services (DSS) and  
          vendorized by the Department of Developmental Services (DDS).   
          Requires the Commission to recommend a strategy for creation of  
          a uniform data collection system, and establishes other  
          requirements, as specified.

           ANALYSIS  :    

          Existing law:
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           1. Establishes the California Community Care Facilities Act and  
             declares legislative intent to assure that all people who  
             require services in the community are provided with the  
             appropriate range of social rehabilitative, habilitative and  
             treatment services, including residential and nonresidential  
             programs tailored to their needs; to protect the legal and  
             human rights of a person in or receiving services from a  
             community care facility; to ensure the quality of community  
             care facilities by evaluating the care and services provided,  
             as specified, and other provisions. 

           2. Defines the types of care and services that may be provided  
             in a licensed community care facility, as well as the  
             staffing requirements necessary to hold a license. 

           3. Defines criteria necessary to become licensed, including  
             requirements for staffing levels and staff background checks,  
             licensure fees, the requirement to share information with  
             other agencies about employees who have been the subject of  
             disciplinary action, and other specified requirements. 

           4. Requires that every DSS-licensed facility be subject to  
             unannounced visits "as often as necessary to ensure the  
             quality of care provided" and no less than once every five  
             years, as specified. 

           5. Provides in the California Code of Regulations (CCR)  
             specific requirements for licensing, oversight and monitoring  
             of community facilities. 

           6. Provides in the CCR specific processes and requirements for  
             becoming a vendor of services for clients of the state's 21  
             nonprofit Regional Centers. 

           7. Establishes a contractual relationship between DDS and the  
             Regional Centers and specifies the requirements for the  
             Regional Centers to be able to continue contracting with the  
             state. 

          This bill:

           1. Makes legislative findings and declarations that: 


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              A.    Evaluation of services by Regional Center providers is  
                a critical component of the service system.

              B.    There is evidence that it is duplicative, confusing,  
                and fails to produce data essential for service  
                improvement to have three state-funded entities - DSS, DDS  
                and the Department of Public Health (DPH) - charged with  
                monitoring and maintaining quality services and supports  
                for people with developmental disabilities. 

              C.    The efficiency and efficacy of the oversight and  
                quality review processes can be significantly enhanced by  
                unifying the current duplicative quality review system,  
                thus conserving limited state fiscal resources and  
                reducing the wasteful use of state staff and service  
                providers' time while simultaneously improving the lives  
                of people with developmental disabilities in California.

           1. Establishes the Commission to investigate methods of  
             implementing a unified and consistent oversight and quality  
             enhancement process.

           2. Requires that the process ensure the welfare, community  
             participation, health and safety of all those with  
             developmental disabilities who are served in programs  
             currently licensed by the Community Care Licensing Division  
             of DSS.

           3. Directs the Commission to give the utmost attention to  
             ensuring that the results of its work do not reduce the  
             quality of oversight and monitoring of the health and safety  
             of persons with developmental disabilities. 

           4. Requires that the process enhance accountability and quality  
             review processes for the services directly provided by  
             Regional Centers. 

           5. Establishes that the Commission be composed of not more than  
             12 members, as specified.  

           6. Requires DSS to provide staff support to the Commission.

           7. Permits the Commission to appoint advisory groups to provide  
             specialized input to assist the Commission in its work.

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           8. Requires the Commission to examine existing regulations and  
             statutes, and recommend changes to the DDS, as specified.

           9. Requires the Commission to recommend, and include in its  
             final report, a strategy for uniform data collection that  
             provides reliable, valid and actionable data from multiple  
             stakeholder perspectives and that may be consistently  
             deployed at Regional Centers.

           10.Requires the Commission to consider, but not be limited to,  
             the experience, outcomes and data provided by the National  
             Core Indicators project, the Agnews Developmental Center and  
             the Bay Area Quality management System, and from current  
             quality reviews of unlicensed Lanterman Developmental  
             Disabilities Services Act support models, including family  
             home agencies and supported living in developing the  
             strategy's structure, standards and data collection  
             methodologies.

           11.Requires the Commission to review current sections in Titles  
             17 and 22 of the CCR and relevant statutes to better focus on  
             reliable data to measure outcomes for individuals served and  
             the impact of services on the lives of individuals and their  
             families. 

           12.Requires that recommendations for the strategy and  
             regulatory change reflect specific characteristics, as  
             defined.

           13.Requires the Commission to determine no later than June 30,  
             2015 the best methods of collecting input on relevant  
             statutes and sections of Titles 17 and 22 of the CCR,  
             including but not limited to:

              A.    Holding at least two public meetings, with one held in  
                southern California and one held in northern California.

              B.    The electronic submission of comments.

           1. Requires the Commission to request public input concerning  
             the revision, retention or removal of relevant statutes and  
             sections of Titles 17 and 22 of the CCR affecting only  
             programs meeting both of the following:

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              A.    Are under the partial or exclusive oversight of the  
                Community Care Licensing Division of DSS, and 

              B.    Provide services and supports exclusively or primarily  
                to persons with developmental disabilities.

           1. Requires the Commission to solicit comment on issue areas  
             including, but not limited to the following:

              A.    Certification and vendorization processes

              B.    Complaints

              C.    Quality oversight and monitoring requirements

              D.    Decertification and de-vendorization processes

              E.    Conflict and duplication in statutes and regulations

           1. Requires the Commission to review and compile the input  
             received based on its relevance to the criteria described  
             above in #11 by Sept. 30, 2016.

           2. Requires the Commission to submit a report to the  
             Legislature and DDS by December 31, 2016, with recommended  
             changes to Titles 17 and 22 of the CCR and any recommended  
             statutory changes, as specified.  

           3. Establishes a sunset date of January 1, 2018.

           Comments
           
           Community Care Licensing, Department of Social Services  .   
          According to data from DSS, in 2013 there were more than 77,000  
          licensed community care facilities with a capacity to serve 1.4  
          million residents.  Prior to 2003, DSS was required to visit  
          most licensed facilities once per year and family child care  
          homes once every three years.  However, due to the state's  
          ongoing budget deficit, the state eliminated these requirements  
          in the 2003-04 Budget and limited visits to 10% of facilities  
          per year based upon poor performance history. 

          Concerns about the lack of oversight by DSS led the department  

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          to explore a Key Indicators Tool, which resulted in more  
          frequent visits but of shorter duration.  This allows licensing  
          staff to view more facilities each year, and perform the  
          traditional longer inspections only if inspectors find  
          indications that facilities have problems that warranted a more  
          thorough look.  In 2012-13, DSS reported that it had conducted  
          30% more random visits, 15% more total inspections and issued  
          13% more citations than the prior year. 

           Licensing and Certification Division, DPH  .  Consumers who live  
          in facilities whose needs necessitate a certain level of medical  
          care are subject to licensure and certification oversight by  
          DPH.  These facilities include intermediate care facilities for  
          the developmentally disabled, specialized nursing homes, and  
          approximately 30 other types of health care facilities.  DPH  
          conducts approximately 27,000 complaint investigations annually.  
           

          The Licensing and Certification program is housed within DPH's  
          Center for Health Care Quality, which includes about 1,200 staff  
          located in 14 District offices.  It is the largest division  
          within DPH.  Among its duties is to act as the "state survey  
          agency" for the federal Centers for Medicare and Medicaid (CMS).  
           In that role, DPH is responsible for certifying to the federal  
          government that the health care facilities are eligible for  
          payments under CMS programs.  DPH makes a certification  
          recommendation after surveying the health care facilities and  
          establishing that they are in compliance with all federal  
          Conditions of Participation.

           DDS  .  DDS is responsible for coordinating care and providing  
          services for nearly 260,000 people with developmental  
          disabilities who receive services and supports to live in their  
          communities, as well as approximately 1,350 people who resided  
          in developmental centers as of January 1, 2014. 

          The Lanterman Act and certain federal provisions require DDS to  
          oversee the state's 21 nonprofit Regional Centers through its  
          monitoring of each Regional Center's contractual performance.   
          To ensure that the Regional Centers comply with requirements of  
          the federal Medicaid Home and Community Based Services Waiver,  
          DDS conducts on site program reviews and fiscal audits of the  
          Regional Centers.  However, under a 1985 California Supreme  
          Court decision, there are limitations to the types of directives  

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          Developmental Services can issue to the Regional Centers. 

           Consolidating oversight  .  There have been many discussions over  
          the past decade about consolidating the licensing and  
          certification responsibilities of DSS and DPH into a single  
          agency.  A proposal in Governor Schwarzenegger's 2005 California  
          Performance Review suggested that licensing and certification  
          functions within California's Health and Human Services agencies  
          be consolidated with the Department of Consumer Affairs, which  
          houses 16 boards that oversee licensure or certification of 35  
          categories of health care professionals.

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

          According to the Senate Appropriations Committee, likely costs  
          of about $500,000 over two years to support the Commission  
          (General Fund).  This estimate includes state staff to provide  
          administrative support to the Commission as well as travel and  
          other costs associated with the Commission.

           SUPPORT  :   (Verified  1/23/14)

          Association of Regional Center Agencies (source)
          Autistry Studios
          California Disability Services Association
          Center for Autism and Related Disorders
          Community Gatepath
          Dominican University of California
          Golden Gate Regional Center
          Lifehouse
          Opportunity for Independence 
          Premier Healthcare Services
          San Diego Regional Center
          The Alliance
          The Arc/United Cerebral Palsy California Collaboration
          The Cedars of Marin
          United Cerebral Palsy/WORK, Inc.

           ARGUMENTS IN SUPPORT  :    The author states that it is very  
          important to examine the redundant and duplicative structure for  
          the evaluation of services and supports that individuals with  
          developmental disabilities receive from the Regional Centers.   
          He states that this redundancy is a wasteful use of limited  

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          state resources and not effective at improving the quality of  
          services.


          JL:k  1/27/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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