BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON APPROPRIATIONS
                             Senator Ricardo Lara, Chair
                            2015 - 2016  Regular  Session

          SB 1013 (Beall) - Mentally ill parolees:  housing
          
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          |Version: April 26, 2016         |Policy Vote: PUB. S. 7 - 0      |
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          |Urgency: No                     |Mandate: No                     |
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          |Hearing Date: May 9, 2016       |Consultant: Jolie Onodera       |
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          This bill meets the criteria for referral to the Suspense File.


          Bill  
          Summary:  SB 1013 would require service providers in the  
          Integrated Services for Mentally Ill Parolees (ISMIP) program to  
          provide participants with appropriate permanent supportive  
          housing and interim housing, as necessary, and specifies that  
          these services shall be provided using funding appropriated by  
          the Legislature for the ISMIP program. This bill states the  
          intent of the Legislature that the Department of Corrections and  
          Rehabilitation (CDCR) incorporate the changes made by this bill  
          into contracts renewed or entered into for the ISMIP program on  
          and after January 1, 2017.


          Fiscal  
          Impact:  
            ISMIP program  :  Major future increase in ISMIP program  
            expenditures, potentially increasing by up to $6.4 million  
            (General Fund) annually assuming the program operates at  
            capacity to provide supportive and interim housing for  
            parolees at fair market rent and to provide support for a  







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            housing specialist position for each existing provider. To the  
            extent the program operates at 50 percent of program capacity,  
            the estimated additional program costs would be covered within  
            existing funds budgeted for the ISMIP program. To the extent  
            utilization rates are significantly higher or lower, total  
            program costs and the impact of this measure would adjust  
            accordingly.


                    ----------------------------------------- 
                   |ISMIP program         |     Funding      |
                   |----------------------+------------------|
                   |2016-17 Budget Act    |  $13.3 million   |
                   |----------------------+------------------|
                   |Projected annual      |   $8.3 million   |
                   |expenditures          |                  |
                   |----------------------+------------------|
                   |Projected unspent     |   $5.0 million   |
                   |funds                 |                  |
                   |----------------------+------------------|
                   |SB 1013 projection    |  $3.6 million -  |
                   |                      |   $6.4 million   |
                   |----------------------+------------------|
                   |Net impact            |  ?$1.4 million   |
                   |                      |                  |
                    ----------------------------------------- 

            To the extent ISMIP program expenditures exceed the annual  
            allocated amount in future years, in the absence of an  
            increase to ISMIP program funding provided for in the annual  
            Budget Act , program costs could potentially be shifted away  
            from the provision of existing treatment and crisis care  
            services to meet the mandated provider requirements. 

            CDCR administration  :  Potentially moderate one-time costs  
            (General Fund) for additional administrative workload related  
            to the revision of provider contracts to reflect the  
            requirements in this bill.


          Background:  Existing law authorizes the CDCR to obtain day treatment, and  
          contract for crisis care for parolees with mental health  
          problems. Existing law provides that day treatment and crisis  
          care services should be designed to reduce parolee recidivism.  








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          Existing law requires CDCR to work with counties to obtain day  
          treatment and crisis care services for parolees with the goal of  
          extending the services upon completion of the offender's period  
          of parole, if needed. (Penal Code (PC) § 3073.)
          Pursuant to the provisions of SB 1021 (Committee on Budget and  
          Fiscal Review) Chapter 41/2012, the public safety trailer bill,  
          CDCR established the Supportive Housing Program for Mentally Ill  
          Parolees to provide wraparound services to mentally ill parolees  
          at risk of homelessness using funding appropriated for that  
          purpose. (PC § 2985 et seq.)

          Under the program, an inmate or parolee is eligible for  
          participation if he or she has a serious mental disorder, as  
          specified, has been assigned a release date from state prison,  
          and is likely to become homeless upon release or is currently a  
          homeless parolee. Existing law requires providers to offer  
          various services, including housing location services and rental  
          subsides. Additionally, existing law requires providers to  
          report specified information to the CDCR, including the number  
          of participants served and the outcomes for participants. CDCR,  
          in turn, is required to prepare an analysis of the information  
          and annually submit a report to the Legislature.


          Proposed Law:  
           This bill would amend existing provisions of the Supportive  
          Housing Program for Mentally Ill Parolees, as follows:
                 Clarifies that CDCR shall provide a supportive housing  
               program that provides wraparound services to mentally ill  
               parolees who are homeless, in addition to those who are at  
               risk of homelessness.
                 Specifies housing supports shall be provided using funds  
               appropriated by the Legislature for the ISMIP program,  
               instead of funding appropriated specifically for the  
               purpose of the supportive housing program. 
                 Requires a service provider in the program for mentally  
               ill parolees to demonstrate an existing relationship with a  
               supportive housing provider.
                 Requires a service provider to exercise due diligence in  
               providing any mental health or other contracted services,  
               as provided, and requires the provider to notify the CDCR  
               of an individual's participation in such services. 
                 Specifies that a parolee participant is not required to  
               receive other ISMIP services as a condition of eligibility  








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               to receive rental assistance through the program. 
                 Requires a service provider to offer rental subsidies  
               that are equal to or greater than fair market rent, as  
               defined. 
                 Prohibits the CDCR or a service provider from limiting  
               the duration that a program participant may receive rental  
               assistance through the program, except by the length of the  
               person's parole. 
                 Requires a service provider to identify and locate  
               supportive housing opportunities no later than nine months  
               after the program participant has agreed to participate in  
               the program. 
                 Requires that the housing located provide the program  
               participant with a lease where he or she has all of the  
               rights and responsibilities of tenancy. 
                 Requires a service provider to use a portion of the  
               ISMIP program payments received from CDCR to provide  
               interim housing, as defined.
                 Authorizes a service provider to use ISMIP program  
               payments to support a housing specialist position to work  
               with lessors, affordable and for-profit housing developers,  
               public housing authorities, and other housing providers to  
               identify and secure affordable rental housing for program  
               participants. 
                 In addition to the information already reported to the  
               CDCR, requires a service provider to report to the CDCR the  
               percentage of program participants currently living in  
               permanent housing and the number who are arrested and  
               residing in county jail.
                 Includes uncodified legislative findings and  
               declarations, including but not limited to, stating  
               legislative intent that the CDCR include the changes made  
               in this act into contracts renewed or entered into for the  
               ISMIP program on and after January 1, 2017. 


          Prior  
          Legislation:  SB 1021 (Committee on Budget and Fiscal Review)  
          Chapter 41/2012, among its numerous provisions, created the  
          Supportive Housing Program for Mentally Ill Parolees, to provide  
          wraparound services to mentally ill parolees at risk of  
          homelessness using funding appropriated for that purpose.










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