BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                     AB 702


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          Date of Hearing:   April 14, 2015


                        ASSEMBLY COMMITTEE ON HUMAN SERVICES


                                  Kansen Chu, Chair


          AB 702  
          (Maienschein) - As Introduced February 25, 2015


          SUBJECT:  CalWORKs:  temporary shelter assistance


          SUMMARY:  Deletes the requirement that the 16 days of temporary  
          shelter assistance provided to homeless families through the  
          California Work Opportunity and Responsibility to Kids  
          (CalWORKs) program be used consecutively.  





          Specifically, this bill: 


          1)Allows an eligible CalWORKs recipient to receive temporary  
            shelter assistance for 16 days, which can be used at any time  
            while the recipient is receiving CalWORKs aid and is homeless.


          2)Deletes the requirement that a break in the consecutive use of  
            the temporary shelter assistance benefit constitute a  
            permanent exhaustion of the temporary benefit.


          3)Replaces the maximum of two periods of 16 consecutive calendar  








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            days of temporary shelter assistance for victims of domestic  
            violence, as specified, with a lifetime maximum of 32 calendar  
            days of temporary assistance.


          EXISTING LAW:


          1)Establishes under federal law the Temporary Assistance for  
            Needy Families (TANF) program to provide aid and  
            welfare-to-work services to eligible families and, in  
            California, provides that TANF funds for welfare-to-work  
            services are administered through the CalWORKs program.  (42  
            U.S.C. 601 et seq., WIC 11200 et seq.) 



          2)Establishes income, asset and real property limits used to  
            determine eligibility for the program, including net income  
            below the Maximum Aid Payment (MAP), based on family size and  
            county of residence, which is around 40% of the Federal  
            Poverty Level.  (WIC 11450, 11150 et seq.)

          3)Provides temporary shelter assistance to homeless families  
            receiving CalWORKs for one period of 16 consecutive days,  
            except as specified, and counts a break in the consecutive use  
            of the assistance as permanent exhaustion of the benefit.   
            (WIC 11450(f)(2))

          FISCAL EFFECT:  Unknown





          COMMENTS:


          CalWORKs:  The California Work Opportunity and Responsibility to  








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          Kids (CalWORKs) program provides monthly income assistance and  
          employment-related services aimed at moving children out of  
          poverty and helping families meet basic needs.  Federal funding  
          for CalWORKs comes from the Temporary Assistance for Needy  
          Families (TANF) block grant.  The average 2015-16 monthly cash  
          grant for a family of three on CalWORKs (one parent and two  
          children) is $506.55.  According to recent data from the  
          California Department of Social Services, over 540,000 families  
          rely on CalWORKs, including over one million children.  Nearly  
          80% of the children are under age twelve and 40% are under age  
          five.


          Average grant amounts of $506.55 per month for a family of three  
          means $16.88 per day, per family, or $5.62 per family member,  
          per day to meet basic needs, including rent, clothing, utility  
          bills, food, and anything else a family needs to ensure children  
          can be cared for at home and safely remain with their families.   
          This grant amount puts the annual household income at $6,078 per  
          year.  Federal Poverty Guidelines for 2015 show that 100% of  
          poverty for a family of three is over three times that at  
          $20,090 per year.


          Homelessness in California:  Point in time data from the Annual  
          Homeless Assessment Report (AHAR) produced by the US Department  
          of Housing and Urban Development (HUD) reveals that on a single  
          night in January 2014, there were 578,424 homeless people  
          counted in the United States, 216,261 of which were people who  
          were part of homeless families.  That same report reveals that  
          113,952 (nearly 20%) of those homeless people were counted in  
          California, 71,437 of which were unsheltered.  It is important  
          to note that this number is for a single night and is neither  
          exhaustive of the number of Californians experiencing  
          homelessness on a daily basis nor the number of Californians who  
          experience homelessness each year.


          Homelessness has particularly damaging effects on children.   








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          According to the National Center on Family Homelessness, nearly  
          2.5 million children in the US will experience homelessness over  
          the course of a year.  The AHAR revealed that on that same night  
          in January 2014, 135,701 homeless individuals were children  
          under age 18.  The effects of homelessness on children span from  
          hunger and related physical, cognitive and developmental issues  
          to lowered academic achievement and increases in stress,  
          depression, emotional instability and overall poor mental  
          health.


          CalWORKs homeless assistance:  For purposes of identifying  
          families eligible for CalWORKs homeless assistance, a family is  
          considered homeless if the family lacks a fixed and regular  
          nighttime residence, if the family's primary nighttime residence  
          is a shelter, or if the family is residing in a public or  
          private place that is not an appropriate sleeping place for  
          human beings.  Additionally, a family can be considered homeless  
          for CalWORKs purposes if the family has received an eviction  
          notice and the cause of eviction is the result of a verified  
          financial hardship.


          Temporary shelter assistance and permanent housing assistance  
          are two types of housing assistance provided to homeless  
          families under the CalWORKs program.  Whereas permanent housing  
          assistance can be provided to help secure or maintain permanent  
          housing and help prevent eviction for a family, temporary  
          shelter assistance is provided to homeless families for up to 16  
          consecutive days.  Temporary shelter assistance for a family of  
          up to four people is $65 per day, and $15 is provided for each  
          additional family member.  The maximum amount of temporary  
          shelter assistance any family can receive is $125 per day, and  
          the assistance can only be used to pay for housing provided in a  
          commercial establishment, a shelter, or an established rental  
          property.  Additionally, CalWORKs recipients must provide proof  
          to the county that they are searching for permanent housing  
          while they are receiving this benefit and proof that the shelter  
          assistance was used to pay for allowable housing.  Any break in  








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          the use of the assistance, including one night spent with a  
          friend or relative, automatically terminates a family's ability  
          to receive shelter assistance for any days remaining within the  
          16 consecutive day limit.  


          The 16 consecutive day limit is a lifetime limit for temporary  
          shelter assistance, provided that a family doesn't meet criteria  
          for an exception.  A family may receive temporary shelter  
          assistance more than once in a lifetime if the family's  
          homelessness is the direct result of domestic violence, a  
          medically verified physical or mental illness, excluding  
          diagnoses that include substance abuse, or a fire or other  
          natural catastrophe beyond the family's control.  Still, a  
          family cannot receive the 16 consecutive days of homeless  
          assistance more than once in a 12-month period, and families can  
          only receive shelter assistance for domestic violence twice in a  
          lifetime. 


          Housing Support Program:  Established through the Budget Act of  
          2014, the CalWORKs Housing Support Program (HSP) is an  
          evidence-based program that allows counties to provide housing  
          and related supports to CalWORKs families that are experiencing  
          homelessness or housing instability that is a barrier to  
          self-sufficiency or child well-being.  The HSP was established  
          as a means of expanding the minimal housing assistance that was  
          previously available to homeless families in the CalWORKs  
          program with the understanding that safe, affordable and stable  
          housing is a key element in facilitating family stability and  
          self-sufficiency.  Forty-two counties expressed an interest in  
          implementing or expanding an existing housing support program,  
          requesting over $52 million in funding.  However, only 20  
          counties were awarded funds from the $20 million dollar budget  
          amount available for the HSP to be spent by June 30, 2015.   
          Budget conversations are ongoing with respect to whether the  
          state will augment and continue the HSP.










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          Need for this bill:  Despite the positive outcomes reported for  
          families served through the Housing Support Program in 20  
          counties, 38 counties have had to continue to work within the  
          constraints of the temporary shelter assistance and permanent  
          housing assistance programs.  Without additional resources to  
          house and provide wraparound supports to homeless CalWORKs  
          families, and with no indication yet as to whether those  
          counties will be able to access HSP funding in the future,  
          restructuring of the temporary shelter assistance program will  
          remain essential for many families in need.  In January 2015,  
          counties throughout California received 2,918 requests for  
          temporary shelter assistance, 259 of which accompanied requests  
          for permanent housing assistance.  Of the 3,402 total requests  
          received in January for temporary and/or permanent shelter  
          assistance, 614 were received from new shelter assistance  
          applicants. Six counties received over 80 requests for temporary  
          shelter assistance in January, including 245 in San Bernardino  
          County, 82 in Alameda, and 160 in Sacramento.


          According to the author, "Because the temporary housing  
          assistance is only available for 16 consecutive days, a break in  
          assistance inadvertently punishes families who, for one reason  
          or another, have to vacate their temporary lodgings for even one  
          day.  Out-of-area travel for job opportunities, childcare  
          obligations or medical related travel can interrupt a 16-day  
          consecutive hotel stay. Sometimes the interruptions in the  
          16-day consecutive stay come when a family vacates a hotel or  
          motel because it is unsuited for children or they have a  
          temporary offer to stay with a family or friend.  Whether or not  
          the family has a choice to stop aid before the 16th day, the  
          rule itself establishes a disincentive to find alternative  
          arrangements, seek prospective opportunities for employment or  
          to tend to pressing health or family obligations during this  
          time period.  This bill increases options for our state's  
          poorest families with children while improving program  
          administration.  The purpose of the CalWORKs temporary housing  
          assistance is to enable homeless families with children to stay  








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          off of the street and more quickly secure permanent housing.   
          This bill strengthens the ability of the program to achieve that  
          goal."





          REGISTERED SUPPORT / OPPOSITION:





          Support





          Western Center on Law and Poverty (sponsor) 


          Alameda County Community Food Bank 


          California Alternative Payment Program Association (CAPPA)


          California Association of Food Banks 


          California Catholic Conference of Bishops 


          California Communities United Institute 


          California State Association of Counties (CSAC) 








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          Community Food and Justice Coalition


          Courage Campaign 


          Housing California 


          National Association of Social Workers, CA Chapter (NASW-CA) 


          San Diego Hunger Coalition 





          Opposition





          None on file.





          Analysis Prepared by:Myesha Jackson / HUM. S. / (916) 319-2089














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