BILL ANALYSIS Ó
SENATE COMMITTEE ON APPROPRIATIONS
Senator Ricardo Lara, Chair
2015 - 2016 Regular Session
SB 519 (Hancock) - Victims of crime
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|Version: April 6, 2015 |Policy Vote: PUB. S. 7 - 0 |
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|Urgency: No |Mandate: No |
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|Hearing Date: May 11, 2015 |Consultant: Jolie Onodera |
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This bill meets the criteria for referral to the Suspense File.
Bill
Summary: SB 519 would make various changes to the California
Victim Compensation Program (CalVCP), including but not limited
to expanding eligibility for compensation and revising
processing standards. This bill would also provide that a
witness in a hearing to determine restitution after conviction
in a criminal case, including modification of an existing order,
may testify by live audio and video transmission.
Fiscal
Impact:
CalVCP benefits : Major increase in CalVCP payments,
potentially in excess of $13 million (Special Fund*) annually
due to the expanded eligibility criteria and revised payment
provisions of this measure, most significantly due to the
expansion to victims of elder financial abuse and raising the
funeral burial limit amount.
CalVCP administration : One-time costs to the Board for
resource needs potentially in excess of $150,000 (Restitution
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Fund) for programming changes necessary to the automated
claims processing system. Ongoing increased administrative
workload for claims processing of increased applications.
Federal fund impact : Potential future increases in annual
federal Victims of Crime Act (VOCA) grant funds of 60 percent
reimbursement for state funds used to compensate victims to
the extent the annual cap on VOCA fund obligations is
adequately raised or removed. Additionally, VOCA grant awards
are based on state expenditures from prior years, so any
potential increases to the VOCA grant award would not be
received until 2018-19.
Testifying via live audio/video : Unknown, potentially
significant costs (General Fund*) to trial courts to the
extent the bill creates a mandate on the courts to provide
this service at victim request.
*Restitution Fund
**Trial Court Trust Fund
Background: The CalVCP, which is administered by the California Victim
Compensation and Government Claims Board (Board), provides
compensation for victims and derivative victims (including
spouses, domestic partners, children, parents, legal guardians,
siblings, grandparents, and grandchildren) who suffer physical
or emotional injury, or the threat of physical injury, as a
direct result of a violent crime. Crimes covered by the program
include domestic violence, child abuse, sexual and physical
assault, homicide, human trafficking, robbery, and vehicular
manslaughter.
Subject to specified eligibility criteria, CalVCP compensates
eligible victims for various crime-related expenses that are not
covered by other sources. Services covered include medical and
dental care, mental health services, income loss, funeral
expenses, home security, rehabilitation and relocation. Funding
for the program is provided by the Restitution Fund, which
derives its revenue from restitution fines and orders, diversion
fees, and penalty assessments levied on persons convicted of
crimes and traffic offenses. CalVCP also receives federal grant
monies from the Victims of Crime Act (VOCA). VOCA funds come
from penalties paid by offenders convicted of federal crimes.
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Proposed Law:
This bill would make various changes to the California Victim
Compensation Program (CalVCP), including but not limited to
expanding eligibility for compensation and revising processing
standards.
Provides that the board shall not require a claimant to
submit documentation from the IRS, the Franchise Tax Board,
or the State Board of Equalization.
Requires that all correspondence from the board to an
applicant must be in English, Spanish and Chinese.
Provides that an adult who witnesses a crime is eligible
for reimbursement for counseling.
Provides that if the victim is a minor, the board shall
not deny a claim because the minor did not cooperate with
law enforcement.
Provides that a crime victim who has been convicted of a
felony is entitled to compensation for mental health
counseling, regardless of whether he or she has been
released from probation or parole.
Provides that a victim of financial exploitation by a
caretaker or relative of a person 65 years of age or older,
where there is a reasonable fear of continued exploitation
is eligible for counseling.
Provides that an eligible claimant shall be granted
reimbursement for burial expenses in the amount of $7,500,
rather than reimbursement not exceeding $7,500.
Requires the board to approve or deny an application
within 90 days, not within an average of 90 days, but no
later than 180 days.
Requires the board to allow a claimant to be accompanied
and supported by an animal in a hearing to contest a staff
recommendation that a claim be denied.
Provides that good cause for continuance of a criminal
trial where a witness was previously a victim of elder
abuse.
Provides that a witness in a hearing to determine
restitution after conviction in a criminal case, including
modification of an existing order, may testify by live
audio and video transmission.
Provides that if a person has been granted dismissal of
a conviction, or has been allowed to withdraw a guilty
plea, the person is not relieved of the duty to pay a
direct restitution order or a restitution fine.
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Related
Legislation: SB 556 (de Leon) 2015 would require VCGCB to
annually post on its website its progress and current average
time of processing applications, as defined. This bill was
ordered to Second Reading on the Senate Floor pursuant to Senate
Rule 28.8.
AB 1140 (Bonta) 2015 would revise various rules governing the
CalVCP. This bill is pending hearing in the Assembly Committee
on Appropriations.
Prior Legislation: SB 847 would have expanded eligibility for
compensation from the CalVCP to victims who have suffered
emotional injury resulting from the crime of financial abuse of
an elder or dependent adult. This bill would have provided for
reimbursement for financial counseling for victims of financial
crimes against elderly or dependent adults, as specified. This
bill was held on the Suspense File of this Committee.
Staff
Comments: The VCGCB has indicated the following potential
fiscal impacts associated with the provisions of this measure:
Translation of Correspondence with Victims : The Board indicates
the requirement to have all correspondence to an applicant
written in English, Spanish, and Chinese will not incur
additional workload, as the Board is currently in the process of
completing this activity.
Elder Financial Abuse : Adult Protective Services estimated that
approximately 13,000 cases of elder financial abuse were
reported in Fiscal Year 2013-14. Assuming approximately 4,000 of
the individuals in these cases would benefit from victim
compensation services, at an average payment of $2,250 per
claim, adding elder financial abuse as an eligible crime could
result in $9 million in additional program payments.
Funeral-Burial Limit : Requiring the Board, when it pays a claim
to compensate funeral and burial expenses, to pay a flat amount
of $7,500, would increase payments. Approximately 1,600 claims
for reimbursement were paid in FY 2013-14, which are currently
capped by Board action at $5,000. If the payment was raised to
$7,500, the annual payment increase would be approximately $4
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million.
Mental Health Counseling for Felons : The program has denied
reimbursement of expenses to approximately 90 applicants per
year due to their felon status. As this provision only
authorizes reimbursement of mental health counseling, the total
payment increase would likely be no more than $100,000 per year.
Adult Witnesses of Crime : Approximately 40 minor were eligible
for benefits as witnesses of crime in 2014. It is unknown how
many adults might qualify under a similar provision. As this
bill only authorizes reimbursement of mental health counseling,
the Board estimates total payment increases would likely be no
more than $100,000 per year. Staff notes, however, that the
number of adults that could apply under the expanded eligibility
requirements of this provision are unknown, and future costs
could be significantly greater.
Lack of Cooperation by Minors : No data was available at the
time of this analysis for minors that have been denied for lack
of cooperation with law enforcement. Many minors that receive
benefits are derivative victims through their relation to an
adult victim, and minor status is currently considered as a
mitigating factor for lack of cooperation. However, entirely
removing the requirement that a minor direct victim cooperate
with law enforcement would likely result in an increase in
payments.
Application Processing : According to the Board, applications
must be processed in an average of under 90 days and the actual
average last year was 59 days. The Board indicates that revising
the requirement to a maximum of 90 days for every individual
application could result in additional delays to approve
payments. As an example, should an application contain
insufficient information to make a determination, should the
Board be required to make a decision at that point, an increase
in denied applications could result. To the extent more
information becomes available post-denial, the applicant would
be required to use the appeals process, possibly delaying the
application much longer than if it had remained in pending
status.
The expanded eligibility and benefit classifications will
increase administrative costs. The Board estimates limited-term
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staffing will be required to complete significant programming
changes to the automated claims processing system. Additionally,
claims processing resources may be required to accommodate the
increased number of applications. Program applications and
outreach material would also need to be revised and reprinted.
The CalVCP has statutorily been specific to compensation for
violent crimes. As the provisions of this measure would extend
compensation to victims of non-violent crime, staff notes that
expanding compensation for expenses related to non-violent
financial crimes could create future cost pressure on the
Restitution Fund to compensate non-elderly/dependent adults who
have similarly suffered as victims of financial crimes.
In FY 2013-14, of the $83.3 million in claims paid out to
victims, $65.0 million was paid through direct payments to
victims and $13.4 million was paid through compacts with local
agencies. The Governor's Budget projects a Restitution Fund
balance of $80.4 million for FY 2014-15 and $67.5 million for FY
2015-16. Staff notes that while the Fund is projected to have a
considerable balance, the Fund continues to operate at a deficit
due to declining penalty assessment revenues.
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