BILL ANALYSIS Ó SENATE COMMITTEE ON SENATE BUDGET AND FISCAL REVIEW Senator Mark Leno, Chair 2015 - 2016 Regular Bill No: AB 1622 Hearing Date: June 27, 2016 ----------------------------------------------------------------- |Author: |Committee on Budget | |----------+------------------------------------------------------| |Version: |June 23, 2016 Amended | ----------------------------------------------------------------- ---------------------------------------------------------------- |Urgency: |Yes |Fiscal: |Yes | ---------------------------------------------------------------- ----------------------------------------------------------------- |Consultant|Farra Bracht | |: | | ----------------------------------------------------------------- Subject: Budget Act of 2016 Summary: The Legislature passed the 2016 Budget Act on June 15, 2016. This bill makes adjustments to two budget items that provide new resources for homeless programs. Background: As part of the 2016-17 budget package, Assembly Bill 1622 makes changes necessary to implement the budget act. Proposed Law: This bill: 1.Provides the Department of Health Care Services $500,000 Mental Health Services Act (MHSA) funds from the state administrative cap for additional oversight staff to conduct county program reviews, pursuant to MHSA performance contracts, and work with counties on findings from these reviews and corrective action plans. 2.Carves out $10 million of the budget appropriation previously made for the California Emergency Solutions Grants Program and, instead, directs it for the expansion of the existing Homeless Youth and Exploitation Program at the Office of Emergency Services. Specifies that the expansion shall include, over five years, new pilot projects in four additional counties: Orange, Fresno, San Bernardino, and El Dorado. AB 1622 (Committee on Budget) Page 2 of ? 3.Carves out $10 million from the current Proposition 41 program and, instead, directs it for loans to counties and/or nonprofit organizations for the construction or rehabilitation of transitional housing or shelter facilities that provide services for homeless veterans. Priority will be given for applicants that demonstrate need and focus on long-term solutions, including mental health and addiction treatment services, as well as having proven long-term effectiveness. Fiscal Effect: The funding related to these changes is contained in the 2016-17 budget. Support: None on file. Opposed: None on file. -- END --