AB 1754, as amended, Waldron. Crime victim compensation: elder or dependent adult financial abuse.
Existing law provides for the compensation of victims and derivative victims of specified types of crimes by the California Victim Compensation and Government Claims Board from the Restitution Fund, a continuously appropriated fund, for specified losses suffered as a result of those crimes. Existing law sets forth eligibility requirements and specified limits on the amount of compensation the board may award, and requires applications for compensation to be verified under penalty of perjury.
This bill would create the San Diego County Elder or Dependent Adult Financial Abuse Crime Victim Compensation Pilot Program and would authorize the board, upon appropriation by thebegin delete Legislature,end deletebegin insert
Legislature before January 1, 2019,end insert to provide victims of elder or dependent adult financial abuse compensation to reimburse costs for financial counseling, mental health counseling, or supportive services, as specified, if the crime occurred in the County of San Diego. The bill would limit compensation pursuant to this authorization to $5,000 per person and an aggregate total of $1,000,000. The bill would exclude a derivative victim from eligibility for compensation if the only crime the victim suffered was elder or dependent adult financial abuse.begin insert The bill would authorize the pilot program to operate until January 1, 2020. The bill would require the board to report specified information related to the pilot program to the Legislature and Governor on or before July 1, 2020.end insert By expanding the scope of the crime of perjury, this bill would impose a state-mandated local
program. The bill would repeal these provisions on January 1,begin delete 2019.end deletebegin insert 2021.end insert
This bill would make related legislative findings and declarations, including findings and declarations as to the necessity of a special statute enacting a pilot program in the County of San Diego.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.
The people of the State of California do enact as follows:
The Legislature finds and declares all of the
2following:
3(a) California has the highest number of older adults compared
4to any other state in the nation, with 4.2 million individuals over
565 years of age counted in the 2010 census.
6(b) Elderly and dependent adults are seen as easy targets by
7financial predators who take advantage of their victims’ loneliness,
8isolation, and vulnerability. This population often falls victim to
9scams such as foreign lotteries, the sale of costly and ineffective
10annuities, identity theft, reverse mortgage scams, and fraudulent
11home repairs. Financial
abuse is also committed by family members
12or caregivers who take advantage of an elder’s isolation and
13dependence.
14(c) A 1998 study reported in the Journal of the American
15Medical Association found that an elder victimized by financial
16abuse has a decreased projected lifespan when compared to elders
17who have not suffered that exploitation.
P3 1(d) The State Department of Social Services reports that as many
2as 1,600 reports of elder and dependent adult financial abuse are
3under investigation per month by Adult Protective Services offices
4statewide.
5(e) The California Victims of Crime Program does not serve
6this population even though federal law allows Victims of Crime
7Act funds to be used to do so. Federal
guidelines identify elders
8and dependent adults as being underserved in this area.
9(f) Many states already provide assistance to victims of financial
10crimes, including Colorado, Florida, Idaho, New Jersey, New
11York, Oklahoma, Pennsylvania, Vermont, and Wyoming.
12(g) There is currently a lack of data on the demand for victim
13services, including mental health and financial counseling, by
14elderly and dependent adult victims of financial crimes. This
15information is needed to develop policies and resources for this
16underserved population.
17(g) Elderly and dependent adult victims who lack the means to
18recover or replace misappropriated assets or property often suffer
19severe consequences including failing health; severe anxiety,
20depression, and hopelessness; and dependence on public
21assistance. Research has shown the benefits of mental health and
22financial counseling in helping these victims remain independent
23and regain the confidence to take perpetrators to court.
24(h) A pilot program is needed to provide the Legislature with
25data on the demand for victim services, including mental health
26and financial counseling, by this population and the costs and
27outcomes of these services. The collection of this data could further
28help the state track the types and frequency of financial crimes
29against elder and dependent adults, identify services that are most
30needed
by victims and the rates at which these services are utilized,
31and establish best practice protocols for serving these victims.
32(i) The County of San Diego has one of the largest retiree
33populations in the state. Population projections show that between
34the years 2000 and 2030, the population of those who are 60 years
35of age or older will increase by 130 percent. Furthermore, the
36County of San Diego has a high number of reported elder and
37dependent adult financial abuse cases, and this number will only
38increase as our population ages.
39(j) The district attorney of the County of San Diego and aging
40services providers report high numbers of financial abuse cases,
P4 1often involving many thousands of dollars and hundreds of victims.
2Many financial crimes and scams are not prosecuted because the
3perpetrators are operating from other countries or because law
4enforcement fails to accept and investigate reports out of a mistaken
5belief that these are civil matters.
6(k) Elderly and dependent adult victims who lack the means to
7recover or replace misappropriated assets or property often suffer
8severe consequences including failing health; severe anxiety,
9depression, and hopelessness; and dependence on public assistance.
10Research has shown the benefits of mental health and financial
11counseling in helping these victims remain independent and regain
12the confidence to take perpetrators to court.
P4 1 13(l)
end delete
14begin insert(i)end insert The County of San Diego is well-situated to provide victims
15of elder and dependent adult financial abuse with access to services,
16including mental health and financial counseling.begin delete The county’s The county’s
17prosecution unit is among the most aggressive in the state in
18pursuing financial crimes and works closely with Adult Protective
19Services and the Long Term Care Ombudsman.end delete
20Financial Abuse Specialist Team (FAST), which provides expertise
21to law enforcement, adult protective services, and others in
22investigating cases of elder and dependent adult financial abuse,
23would provide another avenue to identify victims in need of
24immediate support services following
victimization.
Article 7 (commencing with Section 13967) is added
26to Chapter 5 of Part 4 of Division 3 of Title 2 of the Government
27Code, to read:
28
(a) The San Diego County Elder or Dependent Adult
33Financial Abuse Crime Victim Compensation Pilot Program is
34hereby established.
35(b) Notwithstanding Section 13955, and except as otherwise
36provided in subdivision (c), a person who meets the requirements
37listed in subdivision (a) of Section 13955, shall be eligible for
38compensation under subdivision (d) if he or she was a victim of a
39violation of subdivision (d) or (e) of Section 368 of the Penal Code,
40and the crime occurred in the County of San Diego.
P5 1(c) A person shall not be eligible for compensation pursuant to
2subdivision (b) if he or she is a
derivative victim and the only crime
3the victim suffered is elder or dependent adult abuse described in
4subdivision (d) or (e) of Section 368 of the Penal Code.
5(d) Notwithstanding Section 13957, the board may grant for
6pecuniary loss, upon appropriation by thebegin delete Legislature,end deletebegin insert Legislature
7before January 1, 2019,end insert if the board determines it will best aid the
8person seeking compensation to reimburse the expense of financial
9counseling, mental health counseling, or supportive services for a
10victim of a crime described in subdivision (d) or (e) of Section
11368 of the Penal Code or financial abuse as defined by Section
1215610.30 of the Welfare and Institutions Code, that occurred in
13the
County of San Diego, as follows, up to a total of not more than
14five thousand dollars ($5,000) per person:
15(1) The cost of not more than 10 sessions of financial counseling
16provided by a financial counselor, as described in the Victims of
17Crime Act Victim Compensation Grant Program (66 F.R.
1827158-01), or an adviser providing services such as analysis of a
19victim’s financial situation, including income-producing capacity
20and crime-related financial obligations, assistance with
21restructuring budget and debt, assistance in accessing insurance,
22public assistance, and other benefits, and assistance in completing
23the financial aspects of victim impact statements.
24(2) The cost of not more than 10 sessions of mental health
25counseling.
26(3) The cost of supportive services, including, but not limited
27to, all of the following:
28(A) Cognitive assessment for the purpose of determining
29additional service needs.
30(B) Emergency shelter or rehousing.
31(C) Transportation to appointments.
32(e) Compensation pursuant to subdivision (d) shall not exceed
33an aggregate total of one million dollars ($1,000,000) for all
34persons compensated pursuant to the San Diego County Elder or
35Dependent Adult Financial Abuse Crime Victim Compensation
36Pilot Program.
37(f) This section shall become inoperative on January 1, 2020.
end insert(a) On or before July 1, 2020, the California Victim
39Compensation and Government Claims Board shall report to the
40Legislature and Governor all of the following:
P6 1(1) The number of victims who received payments pursuant to
2this article.
3(2) The number of victims who received mental health
4counseling.
5(3) The average payment for mental health counseling per
6recipient.
7(4) The number of victims who received financial counseling.
8(5) The average payment for financial counseling per recipient.
9(6) Any other data on the pilot program that the board wishes
10to include.
11(b) A report to be submitted pursuant to subdivision (a) shall
12be submitted in compliance with Section 9795 of the Government
13Code.
This article shall remain in effect only until January
151,begin delete 2019,end deletebegin insert 2021,end insert and as of that date is repealed.
The Legislature finds and declares that a special law
17is necessary and that a general law cannot be made applicable
18within the meaning of Section 16 of Article IV of the California
19Constitution because of the unique circumstances in the County
20of San Diego where a high number of reported elder and dependent
21adult financial abuse crimes occur. The County of San Diego is
22well-suited for a pilot program that would allow the Legislature
23to gather data on the demand for victim services, including mental
24health and financial counseling, by elderly and dependent adult
25victims of financial crimes so as to effectively develop policies
26and resources for this underserved population. Furthermore, the
27County
of San Diego is well-situated to provide victims of elder
28and dependent adult financial abuse with access to the mental
29health and financial counseling services due in part to the existence
30of its Financial Abuse Specialist Team (FAST), which investigates
31cases of elder and dependent adult financial abuse.
No reimbursement is required by this act pursuant to
33Section 6 of Article XIII B of the California Constitution because
34the only costs that may be incurred by a local agency or school
35district will be incurred because this act creates a new crime or
36infraction, eliminates a crime or infraction, or changes the penalty
37for a crime or infraction, within the meaning of Section 17556 of
38the Government Code, or changes the definition of a crime within
P7 1the meaning of Section 6 of Article XIII B of the California
2Constitution.
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