BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | AB 74| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: AB 74 Author: Calderon (D) Amended: 8/31/15 in Senate Vote: 21 SENATE HUMAN SERVICES COMMITTEE: 5-0, 6/23/15 AYES: McGuire, Berryhill, Hancock, Liu, Nguyen SENATE APPROPRIATIONS COMMITTEE: 7-0, 8/27/15 AYES: Lara, Bates, Beall, Hill, Leyva, Mendoza, Nielsen ASSEMBLY FLOOR: 80-0, 6/1/15 - See last page for vote SUBJECT: Care facilities: regulatory visits SOURCE: Author DIGEST: This bill requires annual unannounced inspections of all licensed child day care centers and family child care homes on and after January 1, 2019. ANALYSIS: Existing law: 1)Establishes the California Child Day Care Facilities Act to 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 California Department of Social Services (CDSS). (HSC 1596.72 et seq.) 2)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. AB 74 Page 2 (HSC 1597.30 et seq.) 3)Provides that facilities licensed by CDSS shall be subject to unannounced visits by CDSS and that the CDSS shall visit facilities as often as necessary to ensure the quality of care provided. (HSC 1534, 1569.33, 1597.09 and 1597.55a) 4)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 CDSS 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)) 5)Increases incrementally, pursuant to SB 79 (Committee on Budget and Fiscal Review, Chapter 20, Statutes of 2015), the inspection frequency for licensed community care facilities as follows: a) Adult residential facilities and adult day programs: i) Beginning January 1, 2017 facilities shall be inspected no less than every 3 years; ii) Beginning January 1, 2018, facilities shall be inspected no less than every 2 years; iii) Beginning January 1, 2019, facilities shall be inspected annually. b) Children's residential facilities and foster family homes: i) Beginning January 1, 2017 facilities shall be inspected no less than every 3 years; ii) Beginning January 1, 2018, facilities shall be inspected no less than every 2 years. c) Child care centers and family day care homes: i) Beginning January 1, 2017 day care centers shall be AB 74 Page 3 inspected at least every three years. This bill provides that, beginning January 1, 2019, child care centers and family day care homes shall be inspected annually. Background Regulatory Oversight: The Community Care Licensing Division (CCLD) of CDSS provides the primary regulatory oversight over the quality and care in nearly 65,000 licensed community care facilities. Counties are contracted with the department to license an additional 6,100 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. 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. 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 it makes more than 24,000 annual inspections and investigates more than 14,000 complaints involving licensed care. Due to extremely antiquated technology, AB 74 Page 4 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 problem-driven visits" and that "the monitoring of quality of care in RCFEs has become a complaint and problem driven process." 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." Recent Budget Actions: SB 855 (Committee on Budget and Fiscal Review, Chapter 27, Statutes of 2014) among other provisions, included legislative intent language stating, "It is the intent of the Legislature to, over a period of time, increase the frequency of facility inspections resulting in annual inspections for some or all facility types. This year, SB 79 (Committee on Budget and Fiscal Review, Chapter 20, Statutes of 2015) statutorily increased the frequency of inspections for all facilities as described in the table below. However, SB 79 does not achieve annual inspections for children's residential care facilities or child care facilities. This bill would expand on the budget action to additionally implement annual inspections for child care facilities, while children's residential facilities would remain subject to inspections every two years. Inspection Frequency Summary: SB 79 compared to AB 74 ----------------------------------------------------------------- | Facility | Current | January 1, | January 1, | January 1, | | Type | Law | 2017 | 2018 | 2019 | ----------------------------------------------------------------- |-------------+-----------+------------+------------+------+------| | | | | Budget |Budget|AB 74 | | | | Budget | | | | AB 74 Page 5 | | | | | | | |-------------+-----------+------------+------------+------+------| | Childcare | 5 years | 3 years | 3 years |3 |Annual| | facilities | | | | years| ly | |-------------+-----------+------------+------------+------+------| | Children's | 5 years | 3 years | 2 years |2 | N/A | | residential | | | | years| | | care | | | | | | | facilities | | | | | | |-------------+-----------+------------+------------+------+------| | Adult and | 5 years | 3 years | 2 years |Annual| N/A | | senior care | | | | | | | facilities | | | | | | |-------------+-----------+------------+------------+------+------| | Percentage | 30% | 30 % | 20% | 30% | N/A | | of | | | | (for | | | facilities | | | |those | | | randomly | | | | not | | | inspected | | | |annual| | | annually | | | | ly | | | | | | |inspec| | | | | | | ted) | | ----------------------------------------------------------------- FISCAL EFFECT: Appropriation: No Fiscal Com.:YesLocal: No According to the Senate Appropriations Committee, this bill would incur first-year licensing costs to the Department of Social Services of $13.5 million and $10.5 million (General Fund) annually thereafter. SUPPORT: (Verified8/28/15) Advancement Project AFSCME Alliance California Advocates for Nursing Home Reform California Alternative Payment Program Association California Assisted Living Association AB 74 Page 6 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 Childcare Development Resources of Ventura County 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 Special Needs Network State Council on Developmental Disabilities United States Department of Defense State Liaison OPPOSITION: (Verified8/28/15) None received ASSEMBLY FLOOR: 80-0, 6/1/15 AYES: Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, AB 74 Page 7 Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen, Patterson, Perea, Quirk, Rendon, Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk, Williams, Wood, Atkins Prepared by:Sara Rogers / HUMAN S. / (916) 651-1524 8/30/15 19:07:11 **** END ****