BILL ANALYSIS                                                                                                                                                                                                    Ó






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          |SENATE RULES COMMITTEE            |                       AB 2568|
          |Office of Senate Floor Analyses   |                              |
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                                   THIRD READING 


          Bill No:  AB 2568
          Author:   Atkins (D) 
          Amended:  8/17/16 in Senate
          Vote:     21 

           SENATE HEALTH COMMITTEE:  7-0, 6/8/16
           AYES:  Hernandez, Nguyen, Mitchell, Monning, Nielsen, Pan, Roth
           NO VOTE RECORDED:  Hall, Wolk

           SENATE HUMAN SERVICES COMMITTEE:  5-0, 6/28/16
           AYES:  McGuire, Berryhill, Hancock, Liu, Nguyen

           SENATE APPROPRIATIONS COMMITTEE:  7-0, 8/11/16
           AYES:  Lara, Bates, Beall, Hill, McGuire, Mendoza, Nielsen

           ASSEMBLY FLOOR:  79-0, 5/5/16 (Consent) - See last page for  
            vote

           SUBJECT:   Integrated health and human services program


          SOURCE:    San Diego County

          DIGEST:  This bill authorizes the San Diego County to operate an  
          integrated and comprehensive health and human services system,  
          upon approval by the county board of supervisors.


          Senate Floor Amendments of 8/17/16 require reallocation on funds  
          under this bill to be in effect for only the fiscal year in  
          which the reallocation is made for all counties with an  
          integrated health and human services system, and require  
          reporting by San Diego County only if it reallocates funds under  








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          its integrated and comprehensive county health and human and  
          services system.


          ANALYSIS: 


          Existing law:


           1) Authorizes the Counties of Humboldt County, Mendocino  
             County, Alameda County, and any additional county or  
             counties, as determined by the Secretary of California Health  
             and Human Services, to implement a program, upon approval of  
             the county board of supervisors for the funding and delivery  
             of services and benefits through an integrated and  
             comprehensive county health and human services system.  
             Requires implementation of a pilot program to occur no later  
             than January 1, 2009 with an evaluation required to be  
             submitted to the Health and Human Services Agency prior to  
             July 1, 2008.


           2) Authorizes an agency established by San Mateo County to  
             apply for a waiver of existing state regulations pertaining  
             to single agency operations and auditing and accounting  
             requirements that hinder the coordination of human services  
             provided by that agency.


           3) Requires Placer County to implement a program, upon county  
             approval, for the funding and delivery of services and  
             benefits through an integrated and comprehensive county  
             health and human services system.


           4) Establishes, under provisions implementing the 2011  
             Realignment, the Support Services Account. Establishes,  
             within the Support Services Account, the Protective Services  
             Subaccount, the Behavioral Health Subaccount, and the County  
             Intervention Support Services Subaccount.


           5) Authorizes, under provisions implementing the 2011  







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             Realignment, each county to reallocate money between  
             subaccounts in the Support Services Account, provided that  
             the reallocation may not exceed 10% of the amount deposited  
             in the immediately preceding fiscal year in the subaccount in  
             the Support Services Account with the lowest balance.


           6) Authorizes, under provisions implementing the 2011  
             Realignment, any county authorized to operate an integrated  
             and comprehensive county health and human services system  
             under the provisions in 1) through 3) above to reallocate  
             money between the Protective Services Subaccount and the  
             Behavioral Health Subaccount within the Support Services  
             Account of the County Local Revenue Fund 2011 without being  
             subject to the existing 10% limit on transfers in existing  
             law.


          This bill:


           1) Authorizes the San Diego County to operate an integrated and  
             comprehensive county health and human services system, upon  
             approval by the county board of supervisors.


           2) Permits San Diego County, in providing services through an  
             integrated system to families and individuals, the system,  
             among other things, do both of the following:


              a)    Maintain and evaluate a system of administration that  
                integrates and coordinates the management and support of  
                client services.
              b)    Maintain a system of reporting and accountability that  
                provides for the combined provision of services without  
                the loss of state or federal funds provided under current  
                law.


           3) Permits the integrated and comprehensive county health and  
             human services system to include, but not be limited to, any  
             or all of the following:








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              a)    Adoption services.
              b)    Child abuse prevention services.
              c)    Child welfare services.
              d)    Delinquency prevention services.
              e)    Drug and alcohol services.
              f)    Mental health services.
              g)    Eligibility determination.
              h)    Employment and training services.
              i)    Foster care services.
              j)    Health services.
              aa)   Public health services.
              bb)   Housing services.
              cc)   Medically indigent program services.
              dd)   Veteran's services.
              ee)   Aging services.
              ff)   Any other related program as designated by the board  
                of supervisors.


           4) Requires San Diego County to comply with all applicable  
             state and federal privacy laws that govern medical and social  
             service information, including, but not limited to, the  
             Confidentiality of Medical Information Act and the federal  
             Health Insurance Portability and Accountability Act.


           5) Requires the programs or services to be included in the  
             system only to the extent that federal funding to either the  
             state or the county will not be reduced as a result of the  
             inclusion of the services in the project.


           6) Prohibits this bill from authorizing a county to discontinue  
             meeting its obligations under current law to provide services  
             or to reduce its accountability for the provision of these  
             services.


           7) Requires the county to utilize any and all state general  
             funds and county funds that it is legally allocated or  
             entitled to receive. Requires the county, through the  
             creation of integrated health and social services structures,  
             to maximize federal matching funds, and prohibits the  







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             integration from resulting in increased expenditures from the  
             General Fund.


           8) Requires the appropriate state departments, as designated by  
             the Secretary of Health and Human Services, that are  
             assisting, participating, and cooperating in the integrated  
             system to have the authority to waive regulations, with the  
             concurrence of the county, regarding the method of providing  
             services and the method of reporting and accountability, as  
             may be required to meet the goals set forth in this bill. 


           9) Prohibits departments from waiving regulations pertaining to  
             privacy and confidentiality of records, civil service merit  
             systems, or collective bargaining, and prohibits departments  
             from waiving regulations if the waiver results in a  
             diminished amount or level of services or benefits to  
             eligible recipients as compared to the benefits and services  
             that would have been provided to recipients absent the  
             waiver.


           10)Requires San Diego County's integrated and comprehensive  
             county health and human services system to be subject to the  
             approval of the California Health and Human Services Agency.  
             Requires the Agency to grant approval if San Diego County  
             furnishes a certified copy of a current ordinance or  
             resolution authorizing an integrated and comprehensive health  
             and human services system in that county.


           11)Requires any reallocation of funds made by a county with an  
             integrated and comprehensive health and human service systems  
             under 2011 Realignment to be in effect only for the fiscal  
             year in which the reallocation is made. This provision  
             applies to counties generally and is not limited to San Diego  
             County.


           12)Prohibits the reallocation under 11) above from being either  
             a permanent allocation or a permanent funding source for any  
             program or service receiving funds from the reallocation.








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           13)Requires counties or cities and counties that reallocate  
             funds to make an annual report to the Department of Finance  
             and the Secretary of the Health and Human Services Agency  
             describing the reallocation made for that fiscal year.


          Comments


          Author's statement.  According to the author, the County of San  
          Diego Health and Human Services Agency has a longstanding local  
          designation as an integrated and comprehensive health and human  
          services system. In 1996, the San Diego County Board of  
          Supervisors merged five local organizations into a super-agency  
          comprised of the former Departments of Health Services, Social  
          Services, Veteran Services, Area Agency on Aging, and the  
          Commission on Children Youth and Family. In 1998 the Public  
          Administrator and Public Guardian was also placed in the Health  
          and Human Services Agency. The Health and Human Services Agency  
          has authority over a broad array of services including aging and  
          independence services, behavioral health, child welfare, public  
          health, and self-sufficiency. Merging the services into one  
          comprehensive system has enabled a more streamlined and  
          effective client-focused delivery of health and social services  
          for almost two decades.  State law authorizes the Counties of  
          Humboldt, Mendocino and Alameda to implement a program for the  
          funding and delivery of services and benefits through an  
          integrated and comprehensive county health and human services  
          system, subject to certain limitations. This bill authorizes San  
          Diego County to operate an integrated and comprehensive health  
          and human services system. 


          Integrated health and human services system and 2011  
          Realignment. Legislation that enacted 2011 Realignment shifts  
          over $6 billion in state revenues and funding responsibilities  
          to local governments. Revenue from realignment comes from state  
          sales tax and state and local vehicle license fee. Realignment  
          establishes various accounts, and subaccounts within those  
          accounts. One of the realignment accounts is the Support  
          Services Account, which includes the County Intervention Support  
          Services Subaccount, the Protective Services Subaccount and the  
          Behavioral Health Subaccount. Under existing law, counties can  







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          annually reallocate money between subaccounts in the Support  
          Services Account, except that the reallocation cannot exceed 10%  
          of the amount deposited in the immediately preceding fiscal year  
          in the subaccount in the Support Services Account with the  
          lowest balance. SB 1020 (Committee on Budget and Fiscal Review,  
          Chapter 40, Statutes of 2012) furthers the implementation of the  
          2011 Realignment. One of the provisions of SB 1020 allowed any  
          county authorized to operate an integrated and comprehensive  
          county health and human services system to reallocate money  
          between the Protective Services Subaccount and the Behavioral  
          Health Subaccount without being subject to the 10% limit in  
          existing law. 


          Programs in the Protective Services Subaccount and the  
          Behavioral Health Subaccounts are as follows:



                 -------------------------------------------------- 
                |  Protective Services   |    Behavioral Health    |
                |       Subaccount       |       Subaccount        |
                |------------------------+-------------------------|
                |    Adult protective    |  Residential perinatal  |
                |        services        |    drug services and    |
                |                        |        treatment        |
                |------------------------+-------------------------|
                | Foster care grants and |  Drug court operations  |
                |        services        |      and services       |
                |------------------------+-------------------------|
                |Administrative costs of |    Nondrug Medi-Cal     |
                |  foster care services  |     substance abuse     |
                |                        |   treatment programs    |
                |------------------------+-------------------------|
                | Child welfare services |  Drug Medi-Cal program  |
                |------------------------+-------------------------|
                |   Adoptive services    |   Medi-Cal specialty    |
                |                        | mental health services, |
                |                        | including the Early and |
                |                        |   Periodic Screening,   |
                |                        |Diagnosis, and Treatment |
                |                        |   Program and mental    |
                |                        |   health managed care   |
                |------------------------+-------------------------|







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                |Child abuse prevention, |  Women and Children's   |
                |    intervention and    |  Residential Treatment  |
                |       treatment        |    Services program*    |
                |------------------------+-------------------------|
                |Administrative costs of |                         |
                |    family adopting     |                         |
                | children with special  |                         |
                |         needs          |                         |
                |------------------------+-------------------------|
                |                        | * From funds in the     |
                |                        |Women and Children's     |
                |                        |Residential Treatment    |
                |                        |Services Special         |
                |                        |Account, which is a      |
                |                        |subaccount of the        |
                |                        |Behavioral Health        |
                |                        |Account.                 |
                |                        |                         |
                 -------------------------------------------------- 


          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:YesLocal:   No


          According to the Senate Appropriations Committee:

          1)No significant fiscal impact to any state department is  
            anticipated. This bill authorizes state agencies that interact  
            with the integrated program authorized in this bill to waive  
            state regulations as needed to allow the San Diego to operate  
            an integrated system. Any costs to do so by impacted state  
            agencies are anticipated to be minor.

          2)No state fiscal impact is anticipated due to potential changes  
            to realignment funding within San Diego County. Under current  
            law, counties have the authority to move up to 10% of funds in  
            their Support Services Account between the various  
            subaccounts. Current law allows counties that operate a joint  
            health and human services system to move unlimited amounts of  
            funding between the subaccounts. Because the overall amount of  
            realignment funding to San Diego County would not change under  
            this bill, there is no state fiscal impact from this change.








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          SUPPORT:   (Verified8/11/16)


          San Diego County (source)
          California State Association of Counties
          Urban Counties of California


          OPPOSITION:   (Verified8/11/16)


          None received


          ARGUMENTS IN SUPPORT:     This bill is sponsored by San Diego  
          County, which argues it has a long-standing designation as an  
          integrated and comprehensive health and human services system.  
          San Diego County writes that it approved the merger of multiple  
          organizations into a single Health and Human Services Agency,  
          which has authority over a broad array of services, including  
          aging and independence services, behavioral health services,  
          child welfare services, public health services and  
          self-sufficiency services. San Diego County writes that this  
          bill allows San Diego County to utilize the benefit of being  
          recognized as an integrated and comprehensive county health and  
          human services system as the counties of Humboldt, Mendocino and  
          Alameda already are.


          ASSEMBLY FLOOR:  79-0, 5/5/16
          AYES:  Achadjian, Alejo, Travis Allen, Arambula, Atkins, Baker,  
            Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke,  
            Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley,  
            Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier,  
            Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson,  
            Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger  
            Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey,  
            Levine, Linder, Lopez, Low, Maienschein, Mathis, Mayes,  
            McCarty, Medina, Melendez, Mullin, Nazarian, Obernolte,  
            O'Donnell, Olsen, Patterson, Quirk, Ridley-Thomas, Rodriguez,  
            Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting,  
            Wagner, Waldron, Weber, Wilk, Williams, Wood, Rendon
          NO VOTE RECORDED:  Beth Gaines







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          Prepared by:Scott Bain / HEALTH / (916) 651-4111
          8/18/16 16:57:28


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