BILL ANALYSIS Ó AB 1747 Page 1 CONCURRENCE IN SENATE AMENDMENTS AB 1747 (Weber) As Amended August 15, 2016 Majority vote -------------------------------------------------------------------- |ASSEMBLY: |70-7 |(June 2, 2016) |SENATE: |30-7 |(August 17, | | | | | | |2016) | | | | | | | | | | | | | | | -------------------------------------------------------------------- Original Committee Reference: HUM. S. SUMMARY: Requires a public or private postsecondary education institution located in a county that participates in the Restaurant Meals Program to increase access to and provide information about the program, as specified. Requires the Department of Social Services (DSS) to act as the state entity for receipt of federal reimbursement on behalf of an organization, institution, or agency that secures funds for CalFresh outreach activities, as specified. Creates the Public Higher Education Pantry Assistance Program Account in the Emergency Food Assistance Program Fund and allocates account funds, as specified. The Senate amendments: 1)Require an approved food vendor participating in the Restaurant Meals Program and a county in which the program is AB 1747 Page 2 operated to meet the requirements of the Restaurant Meals Program. 2)Make technical changes regarding the inclusion of public postsecondary educational institutions as eligible for federal reimbursement, as specified, when securing funds for CalFresh outreach activities. 3)Make chaptering amendments. EXISTING LAW: 1) Establishes the Electronic Benefits Transfer (EBT) Act, and defines the EBT system as the program designed to provide benefits to those eligible to receive public assistance benefits such as CalWORKs and CalFresh. (Welfare and Institutions Code (WIC 10065) et seq.) 1)Establishes under federal law the Supplemental Nutrition Assistance Program (SNAP) pursuant to the Food Stamp Act of 1964 and establishes, in California statute, the CalFresh program to administer the provision of federal SNAP benefits to families and individuals meeting certain criteria, as specified. (WIC 18900 et seq.) 2)Establishes the Restaurant Meals Program under the SNAP program to allow eligible homeless, disabled or elderly recipients to purchase hot, prepared food from participating restaurants. (7 United States Code Section 2020) 3)Establishes the Emergency Food Assistance Program within the State Treasury and authorizes the Controller to transfer from the Personal Income Tax Fund to the Emergency Food Assistance Program Fund not in excess of the sum of the amounts designated by individuals as specified. (Revenue and Taxation AB 1747 Page 3 Code (RTC) 18852) FISCAL EFFECT: According the Senate Appropriations Committee, this bill was placed on the second reading file pursuant to Senate Rule 28.8. COMMENTS: CalFresh: CalFresh benefits are funded entirely by the federal government through the SNAP, and the United States Department of Agriculture (USDA) sets specific eligibility requirements for SNAP programs across the United States, including a gross and net income test, work requirements, and other documentation requirements. The maximum allowable gross income is 200% of the Federal Poverty Level (FPL). Households with elderly or disabled members are not subject to gross income criteria but must have a net monthly income at or below 100% of the FPL. Other households must meet both gross and net monthly income tests. CalFresh is administered locally by county human services agencies, and the federal, state, and county governments share in the cost of administration of the program. Restaurant Meal Program: Under SNAP rules, recipients are limited to purchasing only non-prepared food items; however people who are homeless, elderly, or who have disabilities are less able to use SNAP food benefits in traditional ways due to the lack of necessary tools, appliances or physical abilities required to prepare their own meals. As a result of this, SNAP allows states to choose whether or not to offer a Restaurant Meal Program option, which allows SNAP recipients to purchase hot prepared food in authorized restaurants. California operates the largest Restaurant Meal Program and has allowed counties to utilize Restaurant Meal Programs as an option since 2003. Food insecurity: Student hunger contributes to lower participation rates among low income students, and as such, AB 1747 Page 4 students who are unable to meet their basic needs are less likely to perform as well in college or may be forced to drop out before graduating. According to a recent Washington Post article, the number of food banks opening on university and college campuses around the country is on the rise. A recent study conducted by the California State University system found that as much as 24% of the student population is food insecure, though exact numbers are unknown. Need for this bill: According to the author, "Students from working class families and impoverished homes are some of best and brightest in the United States. For these young people, going to college may offer their only avenue to exit poverty. However, an increasing number of students face homelessness and food insecurity that, ultimately, hinders their success in college while increasing the likelihood of an incomplete post-secondary education. With everything that California has invested in higher education, students continue to face higher costs to attend California's colleges and universities. [This bill] will help curb additional hardship while increasing a student's ability to complete college. [This bill] is a first step towards alleviating student food insecurity by enacting several proposals that surfaced at the Assembly Select Committee on Campus Climate hearing in November 2015. At this hearing, the select committee heard about many issues related to student food insecurity and student homelessness from colleges and universities in San Diego County. It also became evident that every college and university handles these issues differently. [This bill] was conceived to help colleges and universities address these issues." PRIOR LEGISLATION: AB 832 (Weber) of 2013, would have required all convenience stores and bookstores at the California State University, the University of California, and community colleges to accept the use of EBT cards. It died in the Assembly Human Services Committee. AB 1747 Page 5 AB 756 (Mitchell) of 2011, would have prohibited surcharges on ATM (automated teller machine) withdrawals and POS transactions for CalWORKs recipients when they use their state-issued EBT card. It died in the Assembly Human Services Committee. Analysis Prepared by: Kelsy Castillo / HUM. S. / (916) 319-2089 FN: 0004270