BILL ANALYSIS Ó SENATE COMMITTEE ON HUMAN SERVICES Senator McGuire, Chair 2015 - 2016 Regular Bill No: AB 74 ----------------------------------------------------------------- |Author: |Calderon | ----------------------------------------------------------------- |----------+-----------------------+-----------+-----------------| |Version: |April 7, 2015 |Hearing | June 23, 2015 | | | |Date: | | |----------+-----------------------+-----------+-----------------| |Urgency: |No |Fiscal: |Yes | ---------------------------------------------------------------- ----------------------------------------------------------------- |Consultant|Sara Rogers | |: | | ----------------------------------------------------------------- Subject: Care facilities: regulatory visits SUMMARY This bill requires the California Department of Social Services (CDSS) to increase the frequency of random unannounced licensing visits of Community Care Facilities, Residential Care Facilities for the Elderly and child day care centers, except Foster Care Homes, as specified, achieving annual inspections for all facilities by January 1, 2018. ABSTRACT Existing law: 1)Establishes the Community Care Facilities Act, which provides for the licensure and regulation by CDSS of CCFs defined as nonmedical residential and non-residential facilities for mentally ill, developmentally and physically disabled, and children and adults who require care or services. (HSC 1500 et seq.) 2)Establishes the Residential Care Facilities for the Elderly Act, which provides for the licensure and regulation of RCFEs as a separate category within the existing residential care licensing structure of CDSS. (HSC 1569 et seq.) 3)Establishes the California Child Day Care Facilities Act to AB 74 (Calderon) PageB of? provide for the licensure and regulation of child day care and family day care facilities as a separate licensing category within the existing licensing structure of CDSS (HSC 1596.72 et seq.) 4)Provides for the CDSS licensure and regulation of small family day care homes serving between six and eight children, as specified, in a residentially zoned and occupied property. (HSC 1597.30 et seq.) 5)Provides that facilities licensed by CDSS shall be subject to unannounced visits by CDSS and that the department shall visit facilities as often as necessary to ensure the quality of care provided. (HSC 1534, 1569.33, 1597.09 and 1597.55a) 6)Requires annual unannounced inspections when a licensee is on probation, when required by the terms of a facility compliance plan, when an accusation is pending, when required for federal financial participation (CCFs and RCFEs), or to verify that a person who has been ordered out of the facility is no longer present. (HSC 1534, 1569.33, 1597.09, 1597.55(a)) 7)Requires CDSS to perform random inspections each year on no fewer than 20 percent of facilities not subject to annual inspections. Provides that this percentage shall increase by 10 percent if the total citations issued by the department exceeds the previous year by 10 percent. As a result of this trigger, CDSS currently is required to perform random inspections on 30 percent of the facilities not subject to annual inspection. Requires CDSS to visit every facility no less than every 5 years. (HSC 1534, 1569.33, 1597.09, 1597.55 (a)) 1)Requires CDSS to make a determination regarding the completeness of an RCFE license application, and to arrange a time for a prelicensure survey if the license is complete. (HSC 1569.20) This bill: AB 74 (Calderon) PageC of? 1)Requires CDSS to increase the frequency of unannounced licensing visits of CCFs, RCFEs and child day care centers, except Foster Care Homes, as follows: By July 1, 2016, every facility shall be visited at least once every three years and establishes in statute the current practice that 30 percent of all facilities are required to receive a random unannounced visit each year. By July 1, 2017 every facility shall be visited at least once every two years, and 40 percent of all facilities are required to receive a random unannounced visit each year. By July 1, 2018 every facility shall be visited annually. 1)Deletes provisions requiring CDSS to conduct an unannounced visit at least once every five years. 2)Deletes the requirement that CDSS increase by 10 percent the random sampling of community care facilities if there has been a 10 percent increase in the number of citations the previous year. FISCAL IMPACT This bill would increase inspection frequency to annual inspections for all facilities except foster care homes. According to an analysis of the Assembly Appropriations Committee, costs associated with these provisions are estimated to be in the range of $20 million, once the frequency of inspections in all facility types is completed annually. The Senate and Assembly both have approved the Governor's budget proposal and trailer bill language to increase inspection frequency to once every three years for child care facilities; once every two years for children's residential facilities; and AB 74 (Calderon) PageD of? annual inspections for adult and senior care facilities. Ongoing staffing cost for the budget proposal is estimated at $14 million. BACKGROUND AND DISCUSSION Purpose of the bill: According to the author, California's licensing program performs the essential function of protecting the basic health and safety of children and adults in care. The author states that, due to budget cuts, the frequency of facility visits declined from annually for most facility types (and tri-annually for family child care) to the current standard of every five years. The author writes that recent news reports have highlighted the lack of frequent inspections in facilities across California and the dangers faced by children and the elderly, stating that seniors have suffered broken bones, deadly bed sores, sexual assaults and other injuries in assisted living facilities while children have been victims of neglect, endangerment, unkempt conditions, and injuries. The author states that this bill will work to address these problems by requiring annual unannounced visits for all community care facilities licensed by CDSS, which are fundamental in protecting the health and safety of children and adults receiving care through facility or home-based care. Budget Proposal Both the Senate and Assembly have approved the Governor's budget proposal and trailer bill language to incrementally increase inspection frequency such that by January 1, 2019 child care facilities will be visited once every three years; children's residential facilities will be visited once every two years; and adult and senior care facilities will be inspected annually. In contrast, over the same period of time, AB 74 would achieve annual inspections for all three facility types. Inspection Frequency: Budget proposal compared to AB 74 ----------------------------------------------------------------- AB 74 (Calderon) PageE of? | Facility | Current | January 1, | January 1, | January 1, | | Type | Law | 2016 | 2018 | 2019 | ----------------------------------------------------------------- |------------+------------+------------+------------+------------+------------+------------+------------| | | | Budget | AB 74 | Budget | AB 74 | Budget | AB 74 | |------------+------------+------------+------------+------------+------------+------------+------------| | Childcare | 5 years | 3 years | 3 years | 3 years | 2 years | 3 years | Annual | | facilities | | | | | | | | |------------+------------+------------+------------+------------+------------+------------+------------| | Children's | 5 years | 3 years | 3 years | 2 years | 2 years | 2 years | Annual | |residential | | | | | | | | | care | | | | | | | | | facilities | | | | | | | | |------------+------------+------------+------------+------------+------------+------------+------------| | Adult and | 5 years | 3 years | 3 years | 2 years | 2 years | Annual | Annual | |senior care | | | | | | | | | facilities | | | | | | | | |------------+------------+------------+------------+------------+------------+------------+------------| | Percentage | 30% | 30 % | 30 % | 30% | 40% | 30% (for | 100% | | of | | | | | | those not | | | facilities | | | | | | annually | | | randomly | | | | | | inspected) | | | inspected | | | | | | | | | annually | | | | | | | | ------------------------------------------------------------------------------------------------------- Regulatory Oversight The Community Care Licensing Division (CCLD) of CDSS provides the primary regulatory oversight over the quality and care in 70,907 licensed community care facilities. Counties are contracted with the department to license an additional 6,222 facilities. These facilities fall under 23 separate licensure categories including adoption agencies, foster family homes, RCFEs, group homes, adult residential facilities, adult day care, child day care facilities and others which provide primarily non-medical care and supervision to 1.4 million children and adults in California.<1> --------------------------- <1> http://ccld.ca.gov/res/pdf/countylist.pdf AB 74 (Calderon) PageF of? Prior to January 2004, CCLD was required to conduct at least annual visits for all licensed community care facilities within its jurisdiction. However, in 2003 under a budget trailer bill enacting substantial budget cuts due to the ongoing deficit, this statute was changed to require that only those facilities which warrant close monitoring because of a poor history of compliance or are federally required to be inspected annually are subject to annual visits (about 10 percent of facilities). The trailer bill required that 10 percent of the remaining facilities not subject to annual inspection would be randomly inspected each year and that no facility shall be visited less than once every five years.<2> The bill included a trigger increasing the percentage of random inspections by 10 percent if total citations increased over the prior year by 10 percent or more. Later statute was changed to impose a 20 percent random inspection standard. Today, as a result of the trigger, 30 percent of facilities are randomly selected for inspection each year. Currently, CDSS reports there are approximately 500 licensing analysts monitoring the care of more than 66,000 licensed facilities. In California, 40 counties contract to provide licensing oversight to foster family homes and a handful of counties contract to license family child care homes. The department reports it makes more than 24,000 annual inspections and investigates more than 14,000 complaints involving licensed care. Due to extremely antiquated technology, the department is unable to provide detailed information on the nature of those complaints or how they were resolved. Impact of reduced visit frequency A 2008 study published by the California Health Care Foundation investigated the impact on the truncated frequency of visits on RCFEs, and found that "routine visits were replaced with significant increases in the number of complaint and --------------------------- <2> AB 1752 (Committee on Budget) Chapter 225, Statutes of 2003 AB 74 (Calderon) PageG of? problem-driven visits" and that "the monitoring of quality of care in RCFEs has become a complaint and problem driven process." <3> CCL has repeatedly sought to restore the cuts made to licensing, arguing that the cuts to staff and resulting changed protocols "have put client health and safety at risk. By not consistently inspecting facilities, or inspecting a facility only as the result of a complaint, CCL (analysts) have lost rapport with licensees, which in turn has not been conducive to helping clients in those facilities."<4> Related legislation: AB 1454 (Calderon, 2014) was substantially similar to this bill. It would have phased in annual licensing inspection visits by July 1, 2017 and deleted language requiring inspection visits at least once every 5 years. It died on the Senate Appropriations Suspense File. SB 895 (Corbett, Chapter 704, Statutes of 2014) initially included provisions pertaining only to RCFEs that would have required three-year inspections by July 1, 2016, two-year inspections by July 1, 2017, and annual inspections by July 1, 2018 and removed the provisions requiring a certain percentage of facilities be inspected each year. Those provisions were removed from the bill in the Assembly Appropriations Committee. AB 364 (Calderon, 2013) required CCL to conduct licensing inspections in most community care facilities at least once every two years. It died on the Assembly Appropriations Suspense File. --------------------------- <3> Inspection Visits in Residential Care Facilities for the Elderly. C. Flores, A. Bostrom, and R. Newcomer. California Health Care Foundation, 2008. <4> Department of Social Services spring finance letter CCLD-1, 2011-12 AB 74 (Calderon) PageH of? AB 419 (Mitchell, 2011) would have required CDSS to conduct an unannounced inspection of a care facility, using prescribed inspection protocols, at least once each year and as often as necessary to ensure the quality of care provided, except for family day care centers, which the department would have been required to inspect at least once every 2 years. It died on the Assembly Appropriations Committee Suspense File. COMMENTS Staff recommends a technical amendment to strike provisions in current law calling for a 10 percent increase in the random sample of inspections the following year, if total citations increase by 10 percent, since the provisions of this bill would implement a 10 percent increase in random inspections the following year and achieve 100% random inspections the year following, regardless of this provision. Specifically, staff recommends the following amendments: Page 6, lines 5-10, strike inclusive. Page 7, lines 30-35, strike inclusive. Page 8, lines 31-36, strike inclusive. PRIOR VOTES ----------------------------------------------------------------- |Assembly Floor: |80 - | | |0 | |-----------------------------------------------------------+-----| |Assembly Appropriations Committee: |17 - | | |0 | |-----------------------------------------------------------+-----| |Assembly Human Services Committee: |7 - | | |0 | ----------------------------------------------------------------- POSITIONS AB 74 (Calderon) PageI of? Support: Advancement Project AFSCME Alliance California Advocates for Nursing Home Reform California Alternative Payment Program Association California Assisted Living Association California Childcare Resource & Referral Network California Commission on Aging California Communities United Institute California Continuing Care Residents Association California Long-Term Care Ombudsman Association. California Retired Teachers Association California State PTA California State Retirees Childcare Alliance of Los Angeles Children Now City of Burbank City of Fountain Valley Community Action Partnership of Madera County Community Resources for Children Consumer Federation of California County of San Bernardino County of San Diego Del Norte Child Care Council Early Edge California First 5 California First 5 LA LAUP Leading Age California League of California Cities National Association of Social Workers Office of the State long-Term Care Ombudsman Solano Family and Children Services State Council on Developmental Disabilities United States Department of Defense Oppose: None received. -- END -- AB 74 (Calderon) PageJ of?