Amended in Senate April 19, 2016

Amended in Senate March 28, 2016

Senate BillNo. 1232


Introduced by Senator Leno

February 18, 2016


An act to add Section 11023 to the Welfare and Institutions Code, relating to public social services.

LEGISLATIVE COUNSEL’S DIGEST

SB 1232, as amended, Leno. CalWORKs and CalFresh: eligibility determinations.

Existing federal law provides for the allocation of federal funds through the federal Temporary Assistance for Needy Families (TANF) block grant program to eligible states. Existing law provides for the California Work Opportunity and Responsibility to Kids (CalWORKs) program under which, through a combination of state and county funds and federal funds received through the TANF program, each county provides cash assistance and other benefits to qualified low-income families.

Existing federal law provides for the federal Supplemental Nutrition Assistance Program, under which nutrition assistance benefits are allocated to each state by the federal government. Under existing state law, the CalFresh program, California’s federal allocation is distributed to eligible individuals by each county. Existing law requires that the eligibility of households be determined to the extent permitted by federal law, and requires the State Department of Social Services to establish a program of categorical eligibility for CalFresh in accordance with federal law. Existing law requires each county human services agency to carry out the local administrative responsibilities of this program, subject to the supervision of the department and to rules and regulations adopted by the department.

This bill would require a county human services agency that elects to use information contained in a consumer credit report for the determination of CalWORKs or CalFresh eligibility or benefit level to obtain written authorization from the applicant or recipient prior to obtaining the credit report and to provide the applicant or recipient of benefits with a specified notice indicating that the verification or eligibility determination was based, in whole or in part, upon the information contained in the consumer credit report.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

It is the intent of the Legislature to support an
2increase in CalFresh benefits for low-income working families by
3simplifying and adding transparency to the verification of wages.
4It is also the intent of the Legislature to educate applicants and
5recipients of aid of their federal rights to receive a free report and
6to correct errors in a report issued by federally regulated consumer
7reporting agencies when the services of those agencies are used
8by the state or county to determine CalFresh or CalWORKs
9eligibility or benefit level.

10

SEC. 2.  

Section 11023 is added to the Welfare and Institutions
11Code
, to read:

12

11023.  

(a) If a county human services agency elects to use
13information contained in a consumer credit report for the
14determination of CalFresh or CalWORKs eligibility or benefit
15level, the county shall do all of the following:

16(1) Obtain written authorization from an applicant or recipient
17prior to obtaining the credit report.

18(2) Provide the applicant or recipient with the notice required
19by Section 615 of the federal Fair Credit Reporting Act (15 U.S.C.
20Sec. 1681m), indicating that the verification or eligibility
21 determination was based, in whole or in part, upon the information
22contained in the consumer credit report.

23(3) Issue the notice required by paragraph (2) in writing and in
24accordance with the standards established in federal law.

P3    1(4) Issue the notice required by paragraph (2) before taking any
2adversebegin delete actionend deletebegin insert action, including a denial of CalFresh eligibility
3or CalWORKs benefits or services,end insert
against the applicant or
4recipient.

5(5) Make the information available to an applicant or recipient
6who requests a copy of his or her case file or appeals a negative
7action based in whole or in part on information the county obtained
8from the consumer credit report.

9(b) The written authorization and notice required by this section
10may be provided by electronic means.

11(c) If the county human services agency elects to use information
12contained in a consumer credit report for the determination of
13benefit level, the county shall not require the applicant or recipient
14to submit hard-copy documentation that is duplicative of the
15information it will verify using the credit report.

16(d) Nothing in this section precludes the use of other forms of
17verification or prohibits the county from requesting additional
18documentation when the county establishes, in writing, that the
19information it has already received is questionable.



O

    97