BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | AB 1606| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: AB 1606 Author: Committee on Budget Amended: 6/13/16 in Senate Vote: 21 SENATE BUDGET AND FISCAL REVIEW COMMITTEE: 14-1, 6/15/16 AYES: Leno, Nielsen, Anderson, Beall, Block, Glazer, Hancock, Mitchell, Monning, Nguyen, Pan, Pavley, Stone, Wolk NOES: Moorlach NO VOTE RECORDED: Allen, Roth ASSEMBLY FLOOR: Not relevant SUBJECT: Developmental services SOURCE: Author DIGEST: This bill is the omnibus developmental services trailer bill, and contains changes to implement the 2016-17 Budget. ANALYSIS: 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 AB 1606 Page 2 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 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. AB 1606 Page 3 8) Reporting on Progress to Develop Residential Capacity and Transition Planning. Requires regular public posting (on the department's Web site) 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 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 ABX2 1 (Thurmond, Chapter 3, Statutes of 2015-16 Second Extraordinary Session) 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. AB 1606 Page 4 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. 14)Supplemental Budget Information. Requires the Department of Developmental Services (DDS) to annually report and post on its Web site 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. AB 1606 Page 5 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: Appropriation: Yes Fiscal Com.:YesLocal: No According to the Senate Budget and Fiscal Review Committee, this bill appropriates federal funds related to developmental services. SUPPORT: (Verified6/14/16) None received OPPOSITION: (Verified6/14/16) None received Prepared by:Michelle Baass / B. & F.R. / (916) 651-4103 AB 1606 Page 6 6/16/16 8:55:19 **** END ****