BILL ANALYSIS                                                                                                                                                                                                    Ó




           ----------------------------------------------------------------- 
          |SENATE RULES COMMITTEE            |                        SB 794|
          |Office of Senate Floor Analyses   |                              |
          |(916) 651-1520    Fax: (916)      |                              |
          |327-4478                          |                              |
           ----------------------------------------------------------------- 


                                UNFINISHED BUSINESS 


          Bill No:  SB 794
          Author:   Committee on Human Services  
          Amended:  9/8/15  
          Vote:     21  

           SENATE HUMAN SERVICES COMMITTEE:  5-0, 4/28/15
           AYES:  McGuire, Berryhill, Hancock, Liu, Nguyen

           SENATE APPROPRIATIONS COMMITTEE:  7-0, 5/28/15
           AYES:  Lara, Bates, Beall, Hill, Leyva, Mendoza, Nielsen

           SENATE FLOOR:  40-0, 6/4/15
           AYES:  Allen, Anderson, Bates, Beall, Berryhill, Block,  
            Cannella, De León, Fuller, Gaines, Galgiani, Glazer, Hall,  
            Hancock, Hernandez, Hertzberg, Hill, Hueso, Huff, Jackson,  
            Lara, Leno, Leyva, Liu, McGuire, Mendoza, Mitchell, Monning,  
            Moorlach, Morrell, Nguyen, Nielsen, Pan, Pavley, Roth, Runner,  
            Stone, Vidak, Wieckowski, Wolk

           ASSEMBLY FLOOR:  80-0, 9/10/15 - See last page for vote

           SUBJECT:   Child welfare services


          SOURCE:    Author

          DIGEST:   This bill brings the state into compliance with the  
          federal Preventing Sex Trafficking, and Strengthening Families  
          Act (Public Law 113-183), as required to maintain federal child  
          welfare funding. Specifically, it conforms state with federal  
          law in the areas of sex trafficking prevention and data  
          collection, the state's reasonable and prudent parent standards,  
          re-investment of savings into post-adoption and guardianship  
          services, elimination of the option of long-term group placement  
          (APPLA) for children under age 16; and other specific policies  








                                                                     SB 794  
                                                                    Page  2



          intended to ensure foster children achieve successful outcomes  
          as adults.

          Assembly Amendments add additional language to conform to the  
          Preventing Sex Trafficking and Strengthening Families Act as  
          well as amendments to avoid chaptering conflicts with SB 68  
          (Liu), SB 238 (Mitchell) and AB 403 (Stone). Specifically, the  
          amendments do the following:

          1)Further defines the reasonable and prudent parenting standard,

          2)Further defines commercial sexual exploitation of children  
            (CSEC) and expands the requirement to provide services to  
            victims of CSEC to include children at risk of CSEC  
            involvement,

          3)Requires that a child welfare agency or probation department  
            immediately report to law enforcement if a dependent or ward  
            of the court is the victim of CSEC,

          4)Adds parents of a sibling of a child to the list of relatives  
            that must be contacted for the purpose of placing a child who  
            is removed from home, and

          5)Prohibits children younger than 16 from being assigned to a  
            long-term group placement, requires the court to identify  
            barriers to permanency for older children and nonminor  
            dependents and sets standards for oversight of care in an  
            APPLA.

          ANALYSIS: 
          
          Existing law: 

           1) Establishes the Preventing Sex Trafficking and Strengthening  
             Families Act in federal law, which includes new requirements  
             for states and counties regarding sex trafficking prevention  
             and reporting, data collection, reasonable and prudent parent  
             standards, adoption incentives payments, successor  
             guardianship, and successful adulthood.  (Public Law 113-183)  










                                                                     SB 794  
                                                                    Page  3



           2) Requires, pursuant to federal law, that each state have a  
             state plan approved by the Secretary of Health and Human  
             Services in order to be eligible for payments under Title  
             IV-E, and establishes the requisite features of a state plan.  
              (42 U.S.C.§671)

           3) Provides that a child who is sexually trafficked, as  
             defined, and whose parent or guardian failed to, or was  
             unable to, protect the child, is within the jurisdiction of  
             the juvenile court.  Provides that such children shall be  
             known as commercially sexually exploited children (CSEC).   
             (WIC 300(b)(2))

           4) Provides an option for states to receive federal financial  
             participation for federally-eligible nonminor dependents or  
             former dependents of the juvenile court who are between the  
             ages of 18-21, as specified.  (WIC 11403)

           5) Provides that every dependent child shall be entitled to  
             participate in age-appropriate extracurricular, enrichment,  
             and social activities, as specified.  Requires group homes  
             and specified caregivers to use the" reasonable and prudent  
             parent standard," as defined, in making these determinations.  
              (WIC 362.04, WIC 362.05)

           6) Defines a planned permanent living arrangement as any  
             permanent living arrangement such as placement in a specific,  
             identified foster family home, program, or facility on a  
             permanent basis, or placement in a transitional housing  
             placement facility, as specified.  Requires the court, when  
             placing a minor in a planned permanent living arrangement, to  
             specify the goal of the placement, which may include return  
             home, emancipation, guardianship, or permanent placement with  
             a relative.  (WIC 727.3)

           7) Requires a county welfare or probation department, upon a  
             dependent child's 16th birthday, to request a free annual  
             credit check available under the Fair Credit Reporting Act,  
             from each of the three major credit reporting agencies and  
             for specified documentation to be included in the youth's  
             case plan, as specified.  (WIC 10618.6(a) and 16501.1)









                                                                     SB 794  
                                                                    Page  4



          This bill: 

           1) Redefines reasonable and prudent parent standard to mean the  
             standard characterized by careful and sensible parental  
             decisions that maintain the health, safety, and best  
             interests of a child while at the same time encouraging  
             emotional and developmental growth, that a caregiver shall  
             use when determining whether to allow a child in foster care  
             to participate in age- or developmentally-appropriate  
             extracurricular, cultural, and social activities.

           2) Requires licensed community care facilities that provide  
             care and supervision to children to designate at least one  
             onsite staff member to apply the reasonable and prudent  
             parent standards, as specified, and requires training on the  
             standard for foster parents, facility staff and resource  
             families, as specified.

           3) Defines "another planned permanent living arrangement"  
             (APPLA) as a permanent plan ordered by the court for a child  
             16 years of age or older or a nonminor dependent, when there  
             is a compelling reason to determine that it is not in the  
             best interest of the child or nonminor dependent to return  
             home, be placed for adoption, be place for tribal customary  
             adoption, or be placed with a fit and willing relative.   
             Prohibits placement in a group home or in a short-term  
             residential treatment facility as the identified permanent  
             plan.

           4) Eliminates APPLA as a permanency option for a dependent  
             child younger than 16 years of age.

           5) Requires permanency review hearing documents for children 16  
             years of age or older and in a planned permanent living  
             arrangement to include:

              a)    A description of the intensive and ongoing efforts of  
                the child welfare agency to return the child to the home  
                of the parent, place the child for adoption, or establish  
                a legal guardianship, as appropriate; 

              b)    Steps taken to ensure the child's care provider is  








                                                                     SB 794  
                                                                    Page  5



                following the reasonable and prudent parent standard; and  
                to ascertain whether the child has regular, ongoing  
                opportunities to engage in age or developmentally  
                appropriate activities, as specified; and

              c)    Any barriers to achieving the permanent plan and the  
                efforts made by the child welfare agency to address those  
                barriers.

           6) Expands the definition of sexual exploitation to include a  
             person who sexually traffics a child or commercially sexually  
             exploits a child, as specified, and requires a county  
             probation department or child welfare agency to immediately,  
             and within no more than 24 hours, report to the appropriate  
             law enforcement authority upon receiving information that a  
             child or youth who is receiving child welfare services: 

              a)    Is identified as the victim of commercial sexual  
                exploitation, as defined, or

              b)    Is known or suspected to be the victim of sexual  
                exploitation is missing or has been abducted, so that the  
                incident can be entered into FBI's National Crime  
                Information Center database and reported to the National  
                Center for Missing and Exploited Children. 

           7) Requires California Department of Social Services (CDSS) to  
             inquire about a dependent child's credit history at the age  
             of 14 instead of 16 and for specified documentation to be  
             included in a case plan of a youth 14 years of age or older.

           8) Permits a successor kinship guardian to be appointed by the  
             juvenile court when death or incapacity of a child's or  
             youth's kinship guardian has resulted in the termination of  
             the kinship guardianship, as specified.  

           9) Requires reinvestment of federal savings, as defined, be  
             spent on services and supports to support and sustain  
             positive permanent outcomes for children who otherwise might  
             enter into foster care.  

           10)Replaces the term "independent living" with "successful  








                                                                     SB 794  
                                                                    Page  6



             adulthood" in describing requirements related to a nonminor  
             dependent's case plan.  

           11)Requires county child welfare agencies and probation  
             departments, to implement policies and procedures that  
             require social workers and probation officers to do identify,  
             document and track victims and individuals at risk of  
             commercial sexual exploitation, as specified, as well as to  
             expeditiously locate any child missing from foster care, as  
             specified.

           12)Requires CDSS to ensure the Child Welfare Services/Case  
             Management System is capable of collecting specific  
             information  about dependents or wards or to ensure  
             compliance with federal reporting about commercial sexual  
             exploitation, as defined.

           13)Makes a number of other conforming changes.

          Background
          
          The Preventing Sex Trafficking and Strengthening Families Act  
          (Public Law 113-183).  The 2014 federal Act makes numerous  
          changes to the title IV-E foster care program and enacts new  
          requirements regarding sex trafficking prevention and reporting,  
          data collection, reasonable and prudent parent standards,  
          adoption incentives payments, successor guardianship, and  
          successful adulthood. 

          Commercially sexually exploited children. The commercial sexual  
          exploitation of children is defined as the sexual exploitation  
          of children at least primarily for financial or other economic  
          reasons.  Under this definition, the economic exchanges may be  
          either monetary or non-monetary, such as in exchange for food,  
          shelter or drugs.  Sex trafficking of minors is defined as the  
          "recruitment, harboring, transportation, provision, or obtaining  
          of a person for the purpose of a commercial sex act" where the  
          person is a United States citizen or lawful permanent resident  
          under the age of 18.  While human sex trafficking was once  
          considered a predominantly international issue, FBI and other  
          local law enforcement agency initiatives have become  
          increasingly focused on the rapid-growing epidemic of the sexual  








                                                                     SB 794  
                                                                    Page  7



          exploitation of minors in the U.S.  

          According to the National Center for Missing and Exploited  
          Children, one in six child runaways in 2014 were likely sex  
          trafficking victims. Nearly 7 in 10 of those children were  
          believed to have been receiving child welfare services when they  
          ran.  A March 2013 report released by the California Child  
          Welfare Council noted that 50 to 80 percent of CSEC are or were  
          involved in the child welfare system and that most of these  
          children fall victim to commercial sexual exploitation in early  
          adolescence (ages 11 to 13 for boys and ages 12 to 14 for  
          girls). The report also found that CSEC victims were made  
          especially vulnerable to exploitation because of the underlying  
          abuse and neglect they experienced that led to their involvement  
          with child welfare services, as well as frequently unstable  
          placements once in the child welfare system. The report also  
          reveals that children who are commercially sexually exploited  
          have a life expectancy of seven years after they are first  
          exploited, and that the leading causes of death among exploited  
          children are HIV/AIDS and homicide. 

          The Preventing Sex Trafficking and Strengthening Families Act  
          requires child welfare agencies to develop policies and  
          procedures to strengthen child sexual exploitation prevention  
          and intervention efforts, including: 

           Implementation of policies and procedures to identify,  
            document, and determine appropriate services for a child or  
            nonminor dependent who is or who is at risk of becoming a sex  
            trafficking victim, has run away from home, or is receiving  
            services under the Chafee Foster Care Independence Program; 

           Develop and implement protocols to locate children and  
            nonminor dependents missing from foster care, determine the  
            factors that lead to the youth's absence from foster care and,  
            to the extent possible, address those factors in subsequent  
            placements, determine the youth's experiences while absent  
            from care, including whether the youth is a sex trafficking  
            victim, and report related information as required by the U.S.  
            Department of Health and Human Services; and

           Report immediately, and within no more than 24 hours, to law  








                                                                     SB 794  
                                                                    Page  8



            enforcement when a child or nonminor dependent is identified  
            to be a victim of sex trafficking.  Agencies must also develop  
            and implement protocols to report immediately to law  
            enforcement, and within no more than 24 hours, information on  
            missing or abducted youth receiving child welfare services who  
            are identified as being, or are at risk of being, a victim of  
            sex trafficking, for entry into the National Crime Information  
            Center (NCIC) database, and to the National Center for Missing  
            and Exploited Children.

          Another planned permanent living arrangement.  The Preventing  
          Sex Trafficking and Strengthening Families Act requires the  
          elimination of another planned permanent living arrangement, or  
          APPLA, as a permanency option for a child under 16 years of age.  
           APPLA is a long-term, out-of-home foster care placement type  
          that a child or youth is expected to remain in until adulthood  
          when other options such as reunification, relative placement,  
          adoption, or legal guardianship have been ruled out.  

          While APPLA is intended to be identified as a last-resort option  
          for permanency, current state statute is not restrictive enough  
          to ensure certain steps are taken to avoid use of APPLA for  
          dependent children, under the new federal law.  In addition to  
          restricting the use of APPLA to youth 16 and older, this bill  
          requires child welfare agencies to document, at each permanency  
          hearing, the efforts to place a child permanently with a parent,  
          relative, or in a guardianship or adoptive home.  It also  
          requires the court, during each permanency hearing, to ask the  
          child about his or her desired permanency outcome, make a  
          judicial determination that APPLA is the best permanency plan  
          for the child, and to identify compelling reasons why it is not  
          in the best interest of the child to return home, be placed for  
          adoption, be placed with a legal guardian, or be placed with a  
          fit and willing relative.

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


          According to the Assembly Appropriations Committee, this bill  
          will result in annual costs of $4.2 million ($1.7 million  
          General Fund (GF)) for new workload to child welfare services  








                                                                     SB 794  
                                                                    Page  9



          and probation departments to comply with several provisions of  
          federal law including the development of case plans,  
          documentation related to the reasonable and prudent parent  
          standards, and notification of relatives.  Under Proposition 30,  
          these costs are not reimbursable, but this bill will apply only  
          to the extent the state provides annual funding for the cost  
          increase.  These costs are funded in the 2015-16 Budget.


          Additionally, this bill will result in annual costs to local  
          agencies in the millions of dollars (GF/Local /Federal Funds) to  
          develop and implement policies and procedures that identify,  
          document, and determine appropriate services for youth  
          identified as runaways/missing or CSEC. Under Proposition 30,  
          these costs are not reimbursable, but this bill will apply only  
          to the extent the state provides annual funding for the cost  
          increase.  The 2015-16 Budget includes $20.2 million ($14  
          million GF) in 2015-16 to support both federally required and  
          elective county program activities for CSEC. It is estimated  
          $3.6 million GF will be utilized for federal compliance  
          activities. This bill also will incur non-reimbursable local  
          costs for reporting to law enforcement within 24 hours, as  
          required by federal law and unknown, potentially significant  
          automation costs (GF) to enable the Child Welfare Services Case  
          Management System to collect specified information on youth  
          identified as missing/runaways or CSEC. 


          SUPPORT:  (Verified 9/10/15)


          Advokids
          AFSCME
          California Department of Social Services
          Junior League of San Diego


          OPPOSITION:   (Verified 9/10/15)


          None received









                                                                     SB 794  
                                                                    Page  10




          ARGUMENTS IN SUPPORT:     The California Department of Social  
          Services writes that this bill will bring California into  
          compliance with various provisions of the Preventing Sex  
          Trafficking and Strengthening Families Act, signed by President  
          Obama in September 2014. "California must comply with these  
          federal requirements to ensure that the state's allocation of  
          federal Title IV-B and Title IV-E funding for foster care and  
          adoption services, which is over $1 billion annually, is not  
          interrupted."
           

           ASSEMBLY FLOOR:  80-0, 9/10/15
           AYES: Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom,  
            Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang,  
            Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle,  
            Daly, Dodd, Eggman, Frazier, Beth Gaines, 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, Perea, Quirk, Rendon, Ridley-Thomas, Rodriguez,  
            Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting,  
            Wagner, Waldron, Weber, Wilk, Williams, Wood, Atkins


          Prepared by:Mareva Brown / HUMAN S. / (916) 651-1524
          9/10/15 23:28:22


                                   ****  END  ****