BILL ANALYSIS Ó
AB 2565
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Date of Hearing: May 18, 2016
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez, Chair
AB
2565 (Salas) - As Introduced February 19, 2016
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|Policy |Human Services |Vote:|7 - 0 |
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Urgency: No State Mandated Local Program: NoReimbursable: No
SUMMARY:
This bill includes independent living centers (ILCs) that were
previously excluded, due to receipt of funding under Title
VII(c) of the federal Rehabilitation Act of 1973, among ILCs
that are required to receive at least $235,000 in base grant
funds, as specified.
FISCAL EFFECT:
Ongoing costs of $705,000 (Federal funds/GF) annually to provide
three ILCs with $235,000 in base grant funding.
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Staff notes: In addition to an annual base state funding level
of $235,000 (with the exception of the 3 ILCs), all 28 ILCs
receive federal funding directly from the Administration for
Community Living in the form of Title 7C grants. The total
amount of federal funding California ILCs receive is
approximately $7.7 million annually. However, there is a
difference in the amount of federal funding that each ILC
receives. The 28 ILCs share a total of $20.2 million dollars
through state and federal funding annually, which is about $900
per individual receiving direct services.
COMMENTS:
1)Purpose. According to the author's office, "By no fault of
their own, these three centers have been excluded from
receiving state funding. This bill corrects this inequity and
creates parity between all centers improving their ability to
operate and make long lasting positive impacts on the lives of
those they serve."
2)Background. The Department of Rehabilitation (DOR), which
operates under the California Health and Human Services Agency
and in accordance with the federal Rehabilitation Act of 1973,
as amended by Title IV of the Workforce Innovation and
Opportunity Act of 2014, administers programs funded with
federal and matching state dollars. Vocational rehabilitation
services are funded with 78.7% federal dollars and 21.3%
matching funds, part of which are provided by the state
General Fund and part by public agencies through DOR's
cooperative program agreements. For every $1 in funds the
state contributes, DOR receives $4 in federal funds. The
DOR's overall budget for FY 2015-2016 is $436 million; of
that, $59 million is from the General Fund.
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3)Independent Living Centers: Title VII of the Rehabilitation
Act established a framework for the creation and funding of
ILCs across the nation. ILCs serve people who have physical,
sensory, cognitive, and mental health disabilities. The
state's twenty-eight centers, serving approximately 100,000
California residents, help promote the social and economic
achievements of individuals with disabilities by providing
employment, housing, technology, and advocacy services.
Existing law provides that each independent living service is
required to receive at least $235,000 in the base grant funds
allocated by the department, except those centers which have
been both established and maintained using specified federal
funding as base funding. Three ILCs were established with
federal funding and have therefore been excluded from
receiving the annual $235,000 in state funding received by all
other ILCs throughout the state. The affected ILCs include:
a) Independent Living Center of Kern County (ILCKC), which
serves Kern County and receives $481,750 in federal funds;
b) Disability Resource Agency for Independent Living
(DRAIL), which serves Amador, Calaveras, Tuolumne,
Mariposa, Stanislaus, and San Joaquin Counties and receives
$726,730 in federal funds; and
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c) Placer Independent Living Resources, which serves
Placer, El Dorado, and Alpine Counties and receives
$441,001 in federal funds.
Although these three centers receive larger federal grants
than any of the other ILCs, over time funding inequities have
arisen because the three funded solely with federal funds have
received fewer cost of living adjustments (COLAs). Today, they
are among the lowest funded ILCs in the state.
1)Prior Legislation. AB 204 (Bates), Chapter 191, Statutes of
1979, authorized the Department of Rehabilitation to provide
each ILC with $235,000 annually, with the exception of the
three ILCs which were both established and maintained using
specific federal funding as base funding.
Analysis Prepared by:Jennifer Swenson / APPR. / (916)
319-2081
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