BILL ANALYSIS Ó
AB 564
Page 1
Date of Hearing: May 27, 2015
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Jimmy Gomez, Chair
AB
564 (Eggman) - As Amended May 6, 2015
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Urgency: No State Mandated Local Program: NoReimbursable: No
SUMMARY:
This bill eliminates inconsistency in Parental Fee Program
determinations and appeals processes for families with children
receiving 24-hour out-of-home care through a regional center.
Specifically, this bill:
AB 564
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1)Adds major unusual expenses to the factors that must be taken
into account in establishing the parental fee amount.
2)Requires the parental fee schedule to be adjusted for the
level of annual gross income and the number of persons living
in the family home.
3)Codifies the ability for a parent to appeal the Department of
Developmental Services' (DDS) determination of the amount of
the parental fee pursuant to department regulations.
4)Requires DDS to consider the same information regarding a
parent's gross income and the factors required to be taken
into account when determining a parental fee, and when
considering an appeal of a parental fee determination.
5)Requires a parental fee amount that is adjusted as the result
of an appeal to be determined in accordance with the parental
fee schedule.
FISCAL EFFECT:
No significant fiscal impact to DDS.
COMMENTS:
1)Purpose. This bill seeks to provide greater consistency in the
implementation of the Parental Fee Program for families with
children in out-of-home care. Based on the recommendations in
AB 564
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a January 2015 State Auditor's Report, this bill clarifies the
factors to be considered when determining the amount of a
parental fee, codifies a parent's right to an appeal of a
parental fee determination, and requires the same type of
information to be used when making parental fee determinations
and when considering appeals.
2)Parental Fee Program. Established in the early years of the
Lanterman Act, the Parental Fee Program requires parents of
children who are under 18 years of age and receive 24-hour
out-of-home care, paid for by a regional center, to pay a
share of cost based on their ability to pay. The money the
Department of Developmental Services (DDS) receives from the
Parental Fee Program is required by law to be deposited into
the Program Development Fund, which is used to initiate new
programs consistent with the California Developmental
Disabilities State Plan.
Parental fees are established for families with income at or
above 100% of the Federal Poverty Level, and they range from
$59 to $1,877 per month, based on family size and income.
Currently, there are 559 children in the Parental Fee Program.
If parents disagree with the determination that they are
required to pay a parental fee, or if they wish to dispute the
actual monthly amount, they must submit a written request to
appeal the determination or the amount within 30 days of
receiving notification from DDS stating that they are to pay a
parental fee. Within 30 days of receiving the appeal and all
pertinent financial information, DDS is required to review the
AB 564
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appeal and provide written notice of the decision to the
appellant and the appropriate regional center.
3)State Auditor's Report. A January 2015, California State
Auditor's report called into question whether implementation
of the Parental Fee Program was effective and equitable.
Among the Auditor's findings was that DDS was using different
sets of income data for first determining a parent's ability
to pay than in the appeals process. The Auditor recommended
that DDS eliminate inconsistencies between the information
used for initial fee determinations and the information used
when an appeal is filed.
Analysis Prepared by:Jennifer Swenson / APPR. / (916)
319-2081