BILL ANALYSIS Ó
SENATE COMMITTEE ON APPROPRIATIONS
Senator Ricardo Lara, Chair
2015 - 2016 Regular Session
AB 1029 (Frazier) - Veterans: service providers
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|Version: June 21, 2016 |Policy Vote: V.A. 5 - 0 |
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|Urgency: No |Mandate: No |
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|Hearing Date: August 1, 2016 |Consultant: Debra Cooper |
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This bill meets the criteria for referral to the Suspense File.
Bill
Summary: AB 1029 would create a program to certify California
veteran service providers, as specified, and require the
Department of Veterans Affairs (CalVet) to maintain a list of
certified veterans service providers on it Internet Web site.
Fiscal
Impact:
Estimated costs to CalVet of $219,000 in fiscal year 2016-17
to draft the regulations and procedures before certification
can begin. (GF)
Significant costs of approximately $900,000 in fiscal year
2017-18 and ongoing costs of $866,000 per year for processes
to certify and decertify providers, to audit providers, and to
maintain the website. (GF)
AB 1029 (Frazier) Page 1 of
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Unknown costs for travel expenses for auditors to meet with
agencies to ensure they are meeting the certification
requirements. (GF)
Potential revenue of up to $112,500 from collecting fees for
the certification process (assuming 150 agencies apply and the
full authorized fee of $750 is charged per application).
Background: Many veterans face homelessness, mental health, and general
health issues at a higher rate than the general population as
well as have difficulty with employment and college
preparedness. A 2015 report from the United States Department of
Veterans Affairs (USDVA) and the Department of Housing and Urban
Development (HUD) estimated that 24% of the nation's homeless
veterans were located in California (the largest population of
any state) and that 62% of California's homeless veterans were
living in unsheltered locations.
According to the author, grant funding targeted to serving
veterans often go to organizations that "have no background or
experience to address the unique needs of veterans; often times,
they have no actual base of clients to serve. As a result,
qualified veteran service organizations (with long and proven
histories of effectively serving veterans) receive reduced
funding and are forced to cut services to veterans and lay off
qualified staff."
Though there is nothing that statutorily certifies a "Veteran
Service Providers," there are governmental certified programs
that provide services for veterans. For example:
Veteran Service Officers (VSO) - USDVA certifies and accredits
VSOs who can legally represent veterans in the federal benefits
claims process and can connect veterans with state and locally
provided benefits.
California State Approving Agency for Veterans Education
(CSAAVE) - certifies private educational institutions that seek
to receive federal GI Bill payments in return for providing
veterans' education and training programs.
AB 1029 (Frazier) Page 2 of
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Disable Veteran Business Enterprise (DVBE) - the Department of
General Services certifies disabled veteran business enterprise
contractors, subcontractors, and suppliers for participating in
the state contracting program.
According to the bill's sponsor, the California Association of
Veteran Service Agencies, there are currently approximately
100-150 eligible providers in California that may apply for
certification under this bill.
Proposed Law:
This bill would:
Define a "certified California veteran service provider" as an
entity that is certified by CalVet as having an established
history of providing supportive services and that meets all of
the following requirements:
- Provides at least two of the following supportive
services: housing assistance, health services, mental
health services, small business assistance, employment
services, and job training services to veterans and their
families;
- Demonstrates, through the submission of appropriate
supporting data, that the veteran service provider has the
knowledge, experience, and cultural competency to provide
supportive services to veterans and their families;
- Demonstrates through audits and employment history the
fiscal and management capacity to capably perform
supportive services to veterans and their families;
- Is a nonprofit organization that is exempt from federal
income taxation as an organization described in Section
501(c)(3) or Section 501(c)(19) of the Internal Revenue
Code;
- Demonstrates through the submission of appropriate
supporting data that the entity has effectively served the
needs of veterans and their families;
- Demonstrates that all required filings with the
Secretary of State, the office of the Attorney General, and
the Franchise Tax Board are current
AB 1029 (Frazier) Page 3 of
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Require that a certified veteran service provider provide to
CalVet up-to-date documents, as specified.
Require CalVet to begin processing and approving or rejecting
applications on January 1, 2018, and maintain a list of
certified California veteran service providers, as specified
on its Internet Web site.
Require CalVet to report on the status of the regulations to
the Committee on Veterans Affairs in both houses of the
Legislature by April 1, 2017.
Require an approved certification to be valid for three years
from the date CalVet accepts credentials for certification, as
specified.
Require CalVet, no later than July 1, 2017, to adopt rules,
procedures, and regulations as necessary to certify a veteran
service provider, and to decertify a certified California
veteran service provider.
Authorizes CalVet to adopt a fee of up to $750 to defray the
department's reasonable cost of certification.
Related Legislation:
SB 689 (Huff, 2015) would have, regarding the Veterans Housing
and Homeless Prevention Bond Act of 2014, required
prioritization given to applications for proposed housing
projects that would maintain a qualified mental health
professional, as defined, on staff or on contract for services.
This bill was held in the Senate Committee on Transportation and
Housing.
AB 639 (J. Pérez, Chapter 727, Statutes of 2013) establishes the
Veterans Housing and Homeless Prevention Bond Act of 2014, which
authorizes issuance of $600 million in general obligation bonds
to fund the acquisition, construction, rehabilitation, and
preservation of multifamily supportive housing, affordable
transitional housing, affordable rental housing, and related
facilities for veterans and their families, if approved by the
voters at the June, 2014, statewide election. (As Proposition
41, the measure was approved by the voters.)
AB 1029 (Frazier) Page 4 of
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