BILL ANALYSIS                                                                                                                                                                                                    Ó






                                  SENATE HUMAN
                               SERVICES COMMITTEE
                            Senator Carol Liu, Chair


          BILL NO:       SB 999                                       
          S
          AUTHOR:        Liu                                          
          B
          VERSION:       March 24, 2014
          HEARING DATE:  April 22, 2014                               
          9
          FISCAL:        Yes                                          
          9
                                                                      
          9
          CONSULTANT:    Mareva Brown                                  


                                        

                                     SUBJECT
                                         
                         CalFresh: student eligibility

                                     SUMMARY  

          This bill would require the Office of the Chancellor of the  
          California Community Colleges and the Department of Social  
          Services (CDSS) to identify categories of students enrolled  
          in higher education that qualify for federal exemptions  
          that would allow them to receive CalFresh benefits. This  
          bill would require a community college to provide specific  
          documentation to a student who is enrolled in a program  
          that potentially qualifies him or her for an exemption. It  
          also would authorize a county that elects to participate in  
          the CalFresh Employment and Training (E&T) program to enter  
          into an agreement with a community college or a California  
          State University (CSU) to establish subsidized employment  
          opportunities, financed using federal funds, for students  
          who participate in the CalFresh E&T program.

                                     ABSTRACT  

           Existing law:

                                                         Continued---




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          1)  Establishes under federal law the Supplemental  
            Nutrition Assistance Program (SNAP) to promote the  
            general welfare and to safeguard the health and wellbeing  
            of the nation's population by raising the levels of  
            nutrition among low-income households. (7 CFR 271.1) 


          2)  Establishes in California statute the CalFresh program  
            to administer the provision of federal SNAP benefits to  
            families and individuals meeting specified criteria. (WIC  
            18900 et seq.) 


          3)  Establishes, under federal law, eligibility  
            requirements for receipt of SNAP benefits, including  
            income that is at or below 130 percent of the federal  
            poverty level and is determined to be a substantial  
            limiting factor in permitting a recipient to obtain a  
            more nutritious diet, as specified. (7 CFR 273.9)


          4)Prohibits an individual who is enrolled at least  
            half-time in an institution of higher education from  
            eligibility in the federal Food Stamp Program unless the  
            individual qualifies for one of the exemptions, as  
            specified.  (7 CFR 273.5)

          5)Provides in federal code specific exemptions to this  
            prohibition including:

               a.     Be younger than age 17 or older than 50.
               b.     Be physically or mentally unfit.
               c.     Be receiving TANF (or CalWORKs) benefits.
               d.     Be enrolled in school as a result of  
                 participation in the Job Opportunities and Basic  
                 Skills program, as specified.
               e.     Be employed for a minimum of 20 hours per week  
                 and be paid for such employment or, if  
                 self-employed, be employed for a minimum of 20 hours  
                 per week and receiving weekly earnings at least  
                 equal to the Federal minimum wage multiplied by 20  
                 hours.
               f.     Be participating in a State or federally  
                 financed work study program during the regular  





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                 school year, as specified.
               g.     Be participating in an on-the-job training  
                 program, as specified.
               h.     Be responsible for the care of a dependent  
                 household member under the age of 6.
               i.     Be responsible for the care of a dependent  
                 household member who has reached the age of 6 but is  
                 under age 12 when the state agency has determined  
                 that adequate child care is not available to enable  
                 the student to attend class and comply with the work  
                 requirements of items (e) or (f), above.
               j.     Be a single parent enrolled in an institution  
                 of higher education on a full-time basis (as  
                 determined by the institution) and be responsible  
                 for the care of a dependent child under age 12, as  
                 specified.
               aa.    Be assigned to or placed in an institution of  
                 higher education through or in compliance with the  
                 requirements of one of a number of federally  
                 identified programs, as specified.

          6)Provides funding for community colleges that educate  
            students who are enrolled in the CalWORKs program, for  
            the purpose of designing specific curriculum offerings,  
            and creating work experience and internships, among other  
            specifics. (EDC 79202, EDC 79203)

          7)Outlines the methods that a community college may use to  
            extend services to students including through the  
            provision of loans or grants to cover living costs,  
            student fees, transportation and provision of work  
            experience programs and job placement. (EDC 69650)

          8)Establishes the CalFresh Employment and Training program  
            (CalFresh E&T), as authorized by the federal Food and  
            Nutrition Act of 2008 with the purpose of assisting  
            members of CalFresh households in gaining skills,  
            training, work, or experience that will increase their  
            ability to obtain regular employment. (WIC 18926.5. (a))

          9)Requires that a California county that elects to  
            participate in CalFresh E&T shall screen CalFresh work  
            registrants to determine whether they will participate  
            in, or be deferred from, the program. Requires that an  
            individual be deferred from a mandatory placement in the  





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            CalFresh E&T program for a number of specified reasons,  
            including residence in a federally determined work  
            surplus area. (WIC 18926.)

           This bill:
                
          1)Requires the Office of the Chancellor of the California  
            Community Colleges and CDSS to examine and interpret the  
            exemptions to the prohibition on student eligibility for  
            CalFresh benefits, as specified in federal law, and to  
            establish clear and detailed guidelines identifying the  
            categories of students that may qualify for an exemption  
            and the programs in which enrollment may qualify a  
            student for an exemption.

          2)Requires that a community college provide documentation  
            to each student who is enrolled in a program that has  
            been identified to potentially qualifying him or her for  
            an exemption to the prohibition on student eligibility  
            for CalFresh benefits, as specified in federal code.   
            Requires that this documentation be provided at the time  
            that the student develops an education plan, and at any  
            other time a student requests that documentation.

          3)A county that elects to participate in the CalFresh E&T  
            program may enter into an agreement with a community  
            college or a California State University in order to  
            establish subsidized employment opportunities, financed  
            using federal funds, for students attending those  
            postsecondary institutions who are required to  
            participate in, or who have elected to voluntarily  
            participate in, the CalFresh E&T program.

          4)Makes non substantive technical changes to the bill's  
            language.
                                         
                                 FISCAL IMPACT  

          This bill has not been analyzed by a fiscal committee.

                            BACKGROUND AND DISCUSSION  

           Purpose of the bill:
           
          The author states that it is important to increase the  





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          number of students who are able to benefit from the  
          CalFresh program, and particularly students enrolled at the  
          California Community College system. While federal law  
          specifically prohibits students from enrolling in the  
          program, it also lists a lengthy number of exemptions to  
          this prohibition. This bill seeks to inform students and  
          college aid offices of those exemptions so that students  
          who qualify for benefits, and want them, may apply. 

          Additionally, the author states this bill allows community  
          colleges as well as the CSU system to take advantage of  
          matching funds from the federal Employment and Training  
          program. These funds are underutilized by systems of higher  
          education in California. The funds can be leveraged to  
          create supplemented employment opportunities on campuses  
          for students enrolled in the Workforce Training Program  
          through CDSS. 
            

           CalFresh

           Administered in California as CalFresh, the U.S. Department  
          of Agriculture's (USDA) Supplemental Nutritional Assistance  
          Program funds 100 percent of food benefits to eligible  
          households nationwide. The state, counties and federal  
          government share the cost of administering the program.  
          Specific eligibility requirements are set by the USDA,  
          including gross- and net-income asset tests for most  
          recipients, work requirements and specific documentation  
          requirements. The maximum gross income allowed to be  
          eligible is 130 percent of the federal poverty level, or  
          $23,850 for a family of four in 2014.<1> The average  
          monthly benefit for a CalFresh recipient is $153.13 per  
          month, or $5.10 per day. 

          The overall CalFresh caseload has grown steadily since  
          2001, including an increase of more than 1 million people  
          between 2010 and 2013, at the peak of the Great Recession.  
          Nonetheless, California has been ranked last in the country  
          for years in SNAP participation rates, prompting concerns  
          from the USDA, stories in the state's newspapers and two  
          Legislative hearings in 2014, including a joint Senate and  
          Assembly Human Services committee hearing on March 11. Just  
          57 percent of eligible individuals were enrolled in the  
          -------------------------
          <1> http://aspe.hhs.gov/poverty/14poverty.cfm




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          program in 2011, compared to a national average of 79  
          percent. Just 44 percent of California's eligible working  
          poor families received CalFresh benefits, compared to a  
          national average of 67 percent. CDSS notes every $5 of  
          federal SNAP benefits are calculated to generate $9 of  
          local economic activity.

           CalFresh Employment and Training
           
          Federal law establishes an Employment and Training (E&T)  
          requirement in the SNAP program for recipients between ages  
          15 and 60, unless they are otherwise exempt. The CalFresh  
          E&T Program is generally applied to families who receive  
          CalFresh benefits but do not receive a monthly cash grant  
          under the California Work Opportunity and Responsibility to  
          Kids (CalWORKs) program. Counties have the option to  
          participate, and 26 California counties opted to  
          participate in E&T in 2013, according to CDSS. Counties  
          provide E&T services to specific target populations. Most  
          frequently targeted for E&T services are CalFresh  
          recipients who also receive county General Assistance.

          Participants can be assigned to various activities  
          including job search, self-initiated work, vocational  
          training, basic education, job club and others. Some  
          counties provide additional reimbursements for other  
          related, federally-approved costs including text books,  
          tools, work clothing, dependent care, or short-term housing  
          stabilization services. CalFresh beneficiaries may be  
          exempted from E&T if they can demonstrate physical or  
          mental unfitness, they care for a child under age six, or  
          attend school half-time. A county additionally may grant a  
          temporary deferral for a severe family crisis, lack of  
          transportation, a temporary illness, or living in a Labor  
          Surplus Area, among others.

           Food Insecurity
           
          Nationally, the USDA reported an estimated 14.5 percent of  
          American households were food insecure at least some time  
          during the year in 2012, meaning they lacked access to  
          enough food for an active, healthy life for all household  
          members.  During the last decade, and especially during the  
          Great Recession, the number of families experiencing food  
          insecurity has increased. According to data from the  





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          California Health Interview Survey (CHIS), at least 4  
          million low-income Californians struggled with food  
          insecurity during 2011-12.  A research brief published in  
          2012 by UCLA's Center for Health Policy Research and the  
          California Food Policy Advocates noted that in 2009, at the  
          height the Recession, more than 4 in 10 Californian adults,  
          roughly 3.8 million people, who were at or below 200  
          percent of the Federal Poverty Level suffered from food  
          insecurity. Of those, more than one third - 1.4 million  
          people - reported very low food security. This is defined  
          as having to cut back on food. Nationally, about 5.7  
          percent of Americans suffered from very low food security.
           
          Hunger on campus

           A number of recent studies have highlighted the problem of  
          hunger on campus, including a January 2014 study which  
          found 6 in 10 students on one Oregon university campus were  
          food insecure at least once in the prior year. The study,  
          "Prevalence and Correlates of Food Insecurity Among  
          Students Attending a Midsize Rural University in Oregon,"  
          concluded that food insecurity among college students was a  
          significant issue, affecting student health and academic  
          performance, and urged further study. The researchers from  
          Oregon State University, Western Oregon University and  
          Benton County Health Department studied students at Western  
          Oregon University and published their findings in the  
          Journal of Nutrition Education and Behavior.

          An April 9, 2014, Washington Post article described several  
          students at various four-year universities who quit their  
          college meal plans in order to save money for tuition and  
          then found themselves barely able to afford food. Students  
          on one campus created a voucher program to help others who  
          are at risk of going hungry. The article noted that in  
          2007, Michigan State University started a food bank on  
          campus to help alleviate hunger among students there. Since  
          then, another 120 campuses have created food banks on  
          campuses. 
           
          Public services and higher education

           Community colleges play a role in educating and  
          coordinating with social services agencies for students who  
          are both attending school and receiving assistance through  





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          a variety of programs: 

                 CalWORKs students on community college campuses  
               receive coordination between the colleges and the  
               counties, academic, career, and personal counseling to  
               focus goals and develop student education plans, work  
               study employment, job development and placement  
               services and other benefits. 

                 The EOPS program provides academic and financial  
               support to community college students whose  
               educational and socioeconomic backgrounds may deter  
               them from successfully attending college and  
               completing their educational goals. Services are  
               specifically designed to offer educational support  
               services to address the specific needs of at-risk  
               students, including tutoring and academic progress  
               monitoring, assistance transferring to a CSU or UC  
               campus, textbook and computer loans and other  
               supports.
                 The CARE program offers educational support  
               services to welfare-dependent single heads of  
               household who are transitioning to employment. 

          The income threshold for the Board of Governor's Fee Waiver  
          is slightly higher (roughly 150 percent of the Federal  
          Poverty Line) than the income threshold for CalFresh  
          (roughly 130 percent of FPL). However,  as an indicator of  
          possible need, there were $1.1 million students in  
          California Community Colleges that qualified for a fee  
          waiver in the 2012-2013 academic year, according to data  
          provided by the author.

           Related Legislation:
           
          AB 1930 (Skinner), 2014, would require county welfare  
          departments, in determining the eligibility and benefit  
          level of a student subject to the student work requirement  
          described above, to screen for all potential exemptions to  
          that rule. Makes other changes.

          SB 43 (Liu) Chapter 507, Statutes of 2011 permitted  
          counties to defer able-bodied working adults from required  
          employment and training participation in high unemployment  
          areas, as specified.





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           Comments  :

             1.   It is likely that some students in the California  
               State University (CSU) and University of California  
               (UC) systems would benefit from the exemption  
               information provided to community college students. 

               Staff recommends amending the bill as follows:

               79220. The Office of the Chancellor of the California  
               Community Colleges and the Department of Social  
               Services shall examine and interpret the exemptions to  
               the prohibition on student eligibility for CalFresh  
               benefits, identified in Section 2015(e) of Title 7 of  
               the United States Code and Section 273.5(b) of Title 7  
               of the Code of Federal Regulations, and shall  
               establish clear and detailed guidelines identifying  
               the categories of students that may qualify for an  
               exemption and the programs in which enrollment may  
               qualify a student for an exemption.  It is recommended  
               that the California State University Chancellor's  
               office and Office of the President of the University  
               of California system also examine and interpret the  
               exemptions identified in this section and establish  
               clear and detailed guidelines identifying categories  
               of students that may qualify for exemptions and the  
               programs in those systems in which enrollment may  
               qualify a student for an exemption.

              2.   This bill requires the Community College  
               Chancellor's Office to work with CDSS to identify  
               potential exemptions for students and to create a  
               document that informs counselors and students of those  
               exemptions. It then requires every community college  
               to provide students with appropriate documentation to  
               seek an exemption in order to apply for CalFresh  
               benefits through the county welfare office. Community  
               colleges have expressed concern that the documentation  
               requirements could be significant if they require the  
               generation of additional paperwork for every  
               potentially qualified student. The CCCCO suggests that  
               required school documentation be from an existing  
               document already provided to students, for example a  
               class schedule. The author suggests, and staff  





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               recommends, the following amendments:

               79230.  A community college shall provide  
               documentation to each student  who is enrolled in a  
               program that has been  identified pursuant to Section  
               79220 as  a program potentially  qualifying him or her   
               for an exemption to the prohibition on student  
               Eligibility for CalFresh benefits, identified in  
               Section 2015(e) of Title 7 of the United States Code  
               and Section 273.5(b) of Title 7 of the Code of Federal  
               Regulations, at the time that the student develops an  
               education plan, as required by Section 78215, and at  
               any other time a student requests that  
               documentation.  To the degree possible, waiver  
               eligibility verification will be satisfied by  
               documentation already provided to students enrolled in  
               school.

           
             3.   Current federal regulations do not permit  
               participants of the E&T program to participate in  
               subsidized employment. Specifically, 7CFR 273.7 (d)  
               (ii) (A) states that E&T grants may also not be used  
               to subsidize the wages of participants, as specified.  
               The following language reflects opportunities that the  
               state may have to leverage funding through the Board  
               of Governor's to increase the scope of its E&T  
               programs without using subsidized employment.
            
               The author suggests, and staff recommends, amending  
               the bill as follows:
            
               18926.5.   
               (f)  (1)  A county that elects to participate in the  
               CalFresh E&T program may enter into an agreement with  
               a community college or a California State University  
               in order to establish  subsidized   an  employment  and  
               training program   opportunities  , financed using federal  
               funds,  or federally matched funds,  for students  
               attending those postsecondary institutions  who are  
               required to participate in, or who have elected to  
               voluntarily participate in, the   if the agreement is  
               approved by the United States Department of  
               Agriculture, Food and Nutrition Services in the  
               state's  CalFresh E&T program  plan  .





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                (2) If the Board of Governors of the California  
               Community Colleges and the Department of Social  
               Services elect, they may enter into an inter-agency  
               agreement authorizing the Board of Governors to enter  
               into an agreement with one or more community colleges  
               to establish an employment and training program  
               financed, in part, with federally matched funds to  
               support increased education and employment  
               opportunities for low-income students who are CalFresh  
               recipients volunteering to participate, provided the  
               agreements are approved by the United States  
               Department of Agriculture, Food and Nutrition Services  
               in the state's  annual CalFresh Employment & Training  
               program plan.  







                                    POSITIONS  

          Support:       Western Center on Law and Poverty (sponsor)
                                                                                    California Catholic Conference

          Oppose:   None received.

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