BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON BUDGET AND FISCAL REVIEW 
                              Senator Mark Leno, Chair
                                2015 - 2016 Regular 

          Bill No:            AB 1606         Hearing Date:    June 15,  
          2016
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          |Author:   |Committee on Budget                                   |
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          |Version:  |June 13, 2016    Amended                              |
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          |Urgency:  |Yes                    |Fiscal:    |Yes              |
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          |Consultant|Michelle Baass                                        |
          |:         |                                                      |
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                          Subject:  Developmental services


          Summary: This bill is the omnibus developmental services trailer bill,  
          and contains changes to implement the 2016-17 Budget.

          Proposed  
          Law:  The bill makes technical and clarifying statutory revisions  
          necessary to implement the Budget Act of 2016. Specifically,  
          this bill:
          
           1.Exemption from Public Contract Code to Become a Regional  
            Center Vendor.  Allows developmental center employees working  
            at facilities slated for closure to become service providers  
            prior to termination of their state employment.  Currently,  
            state employment must be terminated prior to becoming a  
            vendor, resulting in a loss of income during the start-up  
            period, which can take up to one year.  

           2.Four-bed Alternative Residential Model Homes.  Establishes a  
            rate schedule for residential community care facilities  
            vendored to provide services to a maximum of four persons with  
            developmental disabilities. Prohibits regional centers from  
            authorizing any residential service-level changes, if the  
            change would increase state costs.

           3.Prevention Resources and Referral Services Program.  Repeals  
            obsolete authority for the Prevention Resources and Referral  
            Services program as eligibility for the Early Start program  







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            was restored, effective January 1, 2015.

           4.Special Managed Care Provisions for Developmental Center  
            Closures.  Extends managed care provisions for Medi-Cal  
            eligible individuals at the developmental centers that  
            transition to the community and need coordinated medical and  
            specialty care as documented in their individual program plan.  
             These specified managed care provisions include access to  
            specialized medical care, enhanced case management, and  
            expedited enrollment services. Requires that the plan  
            outlining these special provisions be shared with stakeholders  
            prior to being finalized and be submitted to the Legislature  
            by December 31, 2016. 

           5.Plan for Crisis Services Post Developmental Center Closure.   
            Requires the department to provide an update to the  
            Legislature at the time of the 2017-18 May budget revision  
            regarding how the department will ensure access to crisis  
            services post developmental closure and how the state will  
            maintain its role in providing residential services to those  
            whom private sector vendors cannot or will not serve.

           6.Reports of Incidents at Community Facilities to Advocacy  
            Agency.  Requires that reports of injuries, death, restraint  
            usage, and incidents of seclusion, for example, at community  
            facilities be reported to the federally-mandated protection  
            and advocacy agency.
            
            7.Use of Seclusion and Restraints in Community Facilities.   
            Limits the use of seclusion and restraints in enhanced  
            behavioral support homes licensed by the Department of Social  
            Services.

           8.Reporting on Progress to Develop Residential Capacity and  
            Transition Planning.  Requires regular public posting (on the  
            department's website) of progress being made to develop  
            residential capacity by regional center, including information  
            on monthly targets for movers based on transition activities  
            and community resource development activities) by regional  
            center. This monthly reporting would also include information  
            on why targets are not met.

           9.Disparities.  Requires regional centers to consult with  
            stakeholders regarding activities that may be effective in  








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            addressing disparities. Requires the department to review  
            requests for funding for activities related to addressing  
            disparities within 30 days from the receipt of the last  
            proposal. Requires each regional center to report to the  
            department how the funding allocations for activities related  
            to addressing disparities were used.
             
            10.Self-Determination Program.  Requires regional centers to  
            consult with the local volunteer advisory committee when  
            conducting outreach to provide information about the  
            Self-Determination Program and in the planning for trainings  
            regarding this program.

           11.Special Session Clean-up.   Clarifies that the rate increase  
            provided by AB 1 X2 (Thurmond), Chapter 3, Statutes of 2016,  
            applies to out-of-home respite services. Clarifies the  
            provisions of competitive integrated employment (CIE) to  
            expand participation in the workforce by providing an  
            incentive payment separate from supported employment services  
            for regional center providers that place individuals in CIE  
            and that, in order for a provider to receive the first  
            incentive payment, the individual must be employed after 30  
            consecutive days.

           12.Minimum Wage.  Implements provider rate adjustments to address  
            the state minimum wage increase. SB 3 (Leno), Chapter 4,  
            Statutes of 2016, provides for a series of scheduled increases  
            to the state's minimum wage such that, depending on economic  
            and budgetary conditions, the minimum wage would reach $15.00  
            per hour by January 1, 2022, after which it would be indexed  
            to inflation.  

           13.Performance Dashboard for Community Services.  Establishes a  
            performance dashboard, requires DDS to work with stakeholders  
            on the development of this dashboard, and requires this  
            dashboard to be published annually. Metrics included in this  
            dashboard would include, but not be limited to:
               a.     Recognized quality and access measures.
               b.     Measures to indicate compliance with new federal  
                 Home and Community Based Services waiver rules.
               c.     Measures to evaluate the changes in the number of  
                 consumers who work in competitive integrated employment.
               d.     Consumer complaints.
               e.     Number of administrative hearings.








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            14.Supplemental Budget Information.  Requires DDS to annually  
            report and post on its website supplemental budget  
            information. This information would be reported by February 1  
            and includes:
               a.     Budget estimates for each developmental center,  
                 including a break out of staffing costs for Porterville  
                 Development Center's general treatment area and secured  
                 treatment area.
               b.     For each regional center: current year estimates for  
                 operations funding, purchase of service (POS) funding,  
                 caseload, per capita for operations, per capita for POS.
               c.     By regional center, information on staff.
               d.     For Community Placement Program (CPP) funding: for  
                 each regional center, past year and current year  
                 information by component of CPP.

           15.Fiscal Reporting Unit.  Specifies analysis and deliverables  
            for the new fiscal and research unit established in the  
            budget. These would include an: 
               a.     Assessment of disparities data reported by regional  
                 centers.
               b.     Assessment of caseload ratio requirements by  
                 regional center.
               c.     Assessment of performance dashboard data as it  
                 becomes available.

           16.Reporting on General Fund Backfill Due to Federal  
            Decertification.  Requires DDS to report quarterly on the  
            estimated General Fund backfill costs as a result of the loss  
            of federal funds due to the decertification of intermediate  
            care facility units at the Sonoma Developmental Center.  
            Requires similar reporting if these units at the Fairview and  
            Porterville Developmental Centers are decertified by the  
            federal government in the budget year.

          Fiscal  
          Effect:  This bill appropriates federal funds related to developmental  
          services.
          
          Support:   None on file.
          
          Opposed:  None on file.
          








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