BILL ANALYSIS Ó
AB 1754
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Date of Hearing: May 4, 2016
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez, Chair
AB
1754 (Waldron) - As Amended March 16, 2016
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| |Aging and Long-Term Care | |6 - 0 |
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Urgency: No State Mandated Local Program: YesReimbursable:
No
SUMMARY:
This bill creates a pilot program in San Diego County permitting
the Victims of Crime Program (CalVCP) to reimburse victims of
elder and dependent adult financial abuse, subject to an
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appropriation, for costs of financial and mental-health
counseling, and requires the California Victim Compensation and
Government Claims Board to report to the Legislature and the
Governor. Specifically, this bill:
1)Establishes the San Diego County Elder or Dependent Adult
Financial Abuse Crime Victim Compensation Pilot Program within
San Diego County, and authorizes the pilot project to provide
direct victims of elder or dependent adult financial abuse
pecuniary compensation for expenses associated with financial
counseling, mental health counseling or supportive services.
2)Makes compensation limited to $3,000 per client for the total
costs of not more than 10 financial counseling sessions, as
defined, 10 mental health counseling sessions and supportive
services such as emergency shelter, cognitive assessments, and
transportation.
3)Places a limit on total compensation authorized by the pilot
project for all persons compensated at $1 million and permits
the compensation if funds are appropriated by the Legislature
before January 1, 2019.
4)The provisions of the project sunset on January 1, 2020.
5)Requires the CalVCP to report on or before July 1, 2020, both
electronically and in writing to the Legislature and the
Governor, specific statistical information on the clients and
the services provided.
FISCAL EFFECT:
Cost pressure of up to $1 million on the Restitution Fund, over
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three years, or less time if an appropriation is delayed. Since
this bill limits the compensation to up to $3,000 per client, at
least 333 eligible senior citizens could receive services; and
up to 667 if the average compensation were $1,500.
COMMENTS:
1)Purpose. According to the author, "Elder and dependent adult
financial abuse can lead to large costs to victims, families,
and society. The Penal Code specifically cites the increased
vulnerability of the elderly and dependent adult victims as a
justification for higher criminal penalties for perpetrators
of financial crimes. In the Welfare and Institutions Code,
the Elder and Dependent Adult Civil Protection Act cites the
Legislature's responsibility to protect this vulnerable
population from criminal acts."
2)Background. The Victims of Crime and Government Claims Board
administers the State's Government Claims Program, Victim
Compensation Program, and Revenue Recovery Program. The
California Victim Compensation Program (CalVCP) is designed to
help pay bills and expenses that result from being a victim of
certain crimes. Currently, the program is not authorized by
state law to address elder and dependent adult financial
crimes. Financial counseling is not a reimbursable expense.
The San Diego District Attorney estimates approximately 600
elderly and dependent adult victims are served annually,
averaging about 50 clients per month. It is estimated that
elder victims of financial abuse suffer upwards of $2.9
billion annual financial loss. Data from the National Center
on Elder Abuse shows that women are about twice as likely as
men to be abused, and that the older one is, the greater the
risk is for suffering abuse.
3)Support: The California Commission on Aging, a co-sponsor
with the California Elder Justice Coalition, states that
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"studies show that elderly and dependent adult victims of
financial abuse have a decreased lifespan, suffer emotional
trauma, and often face impoverishment," and note that other
states have already moved ahead to extend assistance to
elderly and dependent adult victims of financial abuse,
including Colorado, Florida, Idaho, New York, Oklahoma, and
Wyoming, among others. The Commission notes that despite
having the largest population of residents over 65, California
does not allow Cal-VCP funds to be used to reimburse for
services that older and dependent adult victims of financial
crimes need to recover.
4)Related Legislation:
a) SB 60 (Wright), Chapter 147, Statutes of 2013, as
introduced, would have made elder and dependent adult
victims of financial crimes (P.C. 368 (d) and (e)) eligible
for up to $10,000 in compensation from the Victim
Compensation Fund for mental health counseling and
financial counseling. The elder abuse provision was
amended out in Senate Appropriations and the bill went
forward with provisions making victims of human trafficking
eligible for benefits.
b) AB 1140 (Bonta), Chapter 569, Statutes of 2015,
implemented recommendations made by the "CalVCP Statute
Modernization Project." The measure also made a number of
other improvements to address emerging issues in law.
Analysis Prepared by:Pedro Reyes / APPR. / (916)
319-2081
AB 1754
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