BILL ANALYSIS Ó
-----------------------------------------------------------------
|SENATE RULES COMMITTEE | SB 1339|
|Office of Senate Floor Analyses | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
-----------------------------------------------------------------
THIRD READING
Bill No: SB 1339
Author: Monning (D)
Amended: 5/31/16
Vote: 21
SENATE HUMAN SERVICES COMMITTEE: 4-0, 3/29/16
AYES: McGuire, Hancock, Liu, Nguyen
NO VOTE RECORDED: Berryhill
SENATE HEALTH COMMITTEE: 7-0, 4/20/16
AYES: Hernandez, Nguyen, Hall, Mitchell, Monning, Pan, Roth
NO VOTE RECORDED: Nielsen, Wolk
SENATE APPROPRIATIONS COMMITTEE: 7-0, 5/27/16
AYES: Lara, Bates, Beall, Hill, McGuire, Mendoza, Nielsen
SUBJECT: Public social services: intercounty transfers
SOURCE: Coalition of Welfare Rights Organizations
United Way of California
Western Center on Law and Poverty
DIGEST: This bill makes a number of changes to the intercounty
transfer (ICT) process used when a beneficiary of public
assistance programs moves between counties.
ANALYSIS:
Existing law:
SB 1339
Page 2
1) Establishes in state law the California Work Opportunity and
Responsibility to Kids (CalWORKs) program to provide cash
assistance and other social services for low-income families
through the federal Temporary Assistance for Needy Families
(TANF) program. Under CalWORKs, each county provides
assistance through a combination of state, county and federal
TANF funds. (42 USC § 601 et seq., WIC 10530)
2) Establishes under federal law the Supplemental Nutrition
Assistance Program (SNAP) within the U.S. Department of
Agriculture (USDA) to promote the general welfare and to
safeguard the health and wellbeing of the nation's population
by raising the levels of nutrition among low-income
households and in California the CalFresh program. (7 CFR
271.1; 7 CFR 273.9, WIC 18900 et seq.)
3) Establishes the Medi-Cal program, administered by the State
Department of Health Care Services, under which qualified
low-income persons are provided with health care services.
(WIC 14000 et seq.)
4) Establishes the responsibility of a benefit recipient
changing residence from one county to another within the
state to promptly notify the county paying aid to the
recipient of the move and to apply for a redetermination of
eligibility within the new county of residence. The first
county shall notify the second county of the recipient's move
as soon as the recipient's location in the second county is
known. (WIC 11053)
5) Requires that the county to which the recipient has moved
will be responsible for determining the recipient's continued
eligibility for payment of aid and, to the extent possible
eligibility for the Medi-Cal program, as of the first day of
the month following 30 days after the first county has
notified the second county of the recipient's relocation. The
first county shall provide the second county with copies of
SB 1339
Page 3
those documents, as specified, necessary to establish current
eligibility and grant amount. (WIC 11053)
6) Requires the California Department of Social Services (CDSS)
to establish and implement a process of ICT of eligibility
for CalFresh benefits, and to take various regulatory
actions. (WIC 11053.2)
7) Requires that, for CalFresh recipients who are receiving
CalWORKs benefits, the intercounty transfer process utilized
for CalWORKs shall be used. Requires that, for CalFresh
recipients who are receiving Medi-Cal but are not receiving
CalWORKs benefits, the ICT process utilized for the Medi-Cal
program shall be used (WIC 11053.2(b))
8) Requires development of an ICT process, as specified, for
CalFresh recipients. Requires that, to the greatest extent
possible, the process shall be simple, client friendly,
ensure the client does not need to provide copies of
documents that were previously provided to the prior county
of residence, build on existing processes for the programs,
and minimize workload for county eligibility operations. (WIC
11053.2(c))
9) Requires that, to the extent permitted by federal law, the
new county of residence shall not be required to interview
persons in the CalFresh household to determine continued
eligibility until the next scheduled recertification or other
regularly scheduled interview. (WIC 11053.2(d))
This bill:
1) Requires it be the responsibility of a recipient changing
residence from one county to another to promptly notify
either the county from which he or she moves or the county to
which he or she moves of the change of residence. (This
SB 1339
Page 4
requirement currently exists for Medi-Cal.)
2) Requires that recipients of CalWORKs, CalFresh, or Medi-Cal
have the right to report a change of residence in person, in
writing, telephonically, or, if the technology is available,
electronically online, and to be advised of this right at the
time of application and redetermination or recertification.
3) Requires counties, if a recipient moves from one county to
another county, as soon as either county is aware of the
move, that county to initiate an ICT for all benefits that
the recipient is receiving.
4) Requires benefits for all programs for which the recipient
is eligible to be transferred within 30 days after any county
becomes aware of the recipient's move in order to effectuate
the earliest possible start date.
5) Requires, to the greatest extent possible, the ICT process
to be simple and client friendly and minimize workload for
county eligibility operations. Requires the ICT to ensure the
applicant or recipient does not need to provide copies of
documents that were previously provided to the prior county
of residence, and there is no interruption in benefits.
6) Requires case file documents to be electronically shared
between the prior county of residence and the new county of
residence, to the extent possible, as specified by the
relevant state departments.
7) Prohibits the new county of residence from interviewing
recipients moving to that county from another county to
determine continued eligibility for CalWORKs or CalFresh
until the next scheduled recertification or redetermination.
SB 1339
Page 5
8) Requires that, if the beneficiary moves to another county
and is still enrolled in a managed care health plan in the
county from which he or she moved and needs services in the
new county, the Medi-Cal Managed Care Ombudsman shall, upon
request by either county, disenroll the beneficiary as an
expedited disenrollment from his or her managed care health
plan effective the next business day after the request is
made.
9) Requires a beneficiary who is disenrolled from the Medi-Cal
managed care health plan in the county from which he or she
moved to be entitled to the full scope of benefits for which
he or she is entitled to in the new county through the
fee-for-services delivery system until he or she is enrolled
in a Medi-Cal managed care health plan in the new county.
10)Requires, if the Medi-Cal beneficiary moves to a county that
provides Medi-Cal services through a county organized health
system (COHS), the beneficiary to be enrolled in that COHS
plan on the first day of the month the new county of
residence assumes responsibility for that beneficiary.
11)Requires, if a Medi-Cal beneficiary moves to a county
without a COHS, the usual health plan choice process to
apply.
12)Prohibits failure to report a move to a different county
within the state in itself from constituting a basis for an
overpayment.
13)Requires responsibility for payment of aid to a person
qualifying for and receiving aid from a county who moves to
another county in this state to make his or her home, to be
transferred to the second county as soon as administratively
possible and within 30 days after either party becomes aware
of the aid recipient's move.
SB 1339
Page 6
14)Repeals Welfare and Institutions Code Sections 11053 and
11053.2 and recasts the provisions into a new code.
Background
The process of transferring cases for eligibility and case
management purposes is known as an ICT. The three major
programs (CalFresh, CalWORKs and Medi-Cal) all have ICT
procedures.
According to the author, there have been a number of instances
where the current ICT process does not go smoothly, or
beneficiaries have been told that in order to be eligible for
benefits in the counties to which they are moving they need to
be interviewed again and the eligibility needs to be reassessed.
The author also states that there is some confusion among
counties with regard to the implementation of ICTs and there are
instances in which the sending or receiving county does not
fully understand the intercounty transfer process due to current
law being vague. The author says SB 1339 seeks to clarify and
update state law for counties to have a better understanding of
the ICT process and prevent disruption in benefits.
Streamlining the codes. ICTs of health and human services
benefits are outlined in two separate code sections. Both CDSS
and the Department of Health Care Services (DHCS) have issued
All County Letters and regulations providing instructions for
the counties on the ICT process. CalWORKs, CalFresh and
Medi-Cal each have their own ICT protocols. Additionally, there
are protocols for transferring recipients participating in more
than one program.
SB 1339 repeals the two sections of current law and creates one
new overarching section that applies to all three health and
human services programs.
SB 1339
Page 7
Simplifying the ICT process. Existing law requires the recipient
of CalWORKs benefits to apply for redetermination of eligibility
within the new county of residence. While not mandated by law or
regulation, some counties require interviews as part of the
redetermination process, which may delay completion of the
transfer. On the other hand, CalFresh ICTs do not require
submission of a new application and the counties are not
permitted to require interviews for redetermination of
eligibility.
SB 1339 brings conformity to the transfer process by deleting
the current requirement for CalWORKs recipients to apply for
redetermination. It would also prohibit the new county of
residence from interviewing recipients to determine continued
eligibility for CalWORKs or CalFresh until the next scheduled
recertification or redetermination.
Currently, the receiving county's responsibility starts at the
end of the month following the 30-day transfer period. By
mutual agreement of the counties, the transfer may occur at an
earlier date. SB 1339 shortens the transfer period by requiring
that the transfer be completed within 30 days after the
receiving county becomes aware of the recipient's move.
DHCS guidance instructs counties to ensure all Medi-Cal cases
remain active throughout the ICT period with no interruption in
benefits. Counties are instructed not to terminate benefits when
a Medi-Cal beneficiary moves to another county until an
effective date of benefits for the beneficiary in the new county
is confirmed. In addition, counties are prohibited from
requiring a beneficiary to reapply for Medi-Cal benefits or
apply for a redetermination of eligibility in the new county
solely due to the change in county residence.
Change to expedited disenrollment. Under existing regulation,
expedited disenrollment from Medi-Cal managed care is subject to
specified criteria. One of the criteria is that the beneficiary
SB 1339
Page 8
has not used services for which the Medi-Cal managed plan is
contractually obligation to pay during the month for which
disenrollment is requested. Under current regulation, expedited
disenrollment requests are be effective on the first day of the
month in which the request is processed.
This bill no longer limits the expedited disenrollment of
Medi-Cal managed care beneficiaries to individuals who have not
received services in a month in their original county Medi-Cal
managed care plan. Instead, this bill requires that an expedited
disenrollment be effective the next business day after the
request is made. In addition, the beneficiary would be entitled
to the full scope of services for which he or she is entitled in
the new county for FFS Medi-Cal.
FISCAL EFFECT: Appropriation: No Fiscal
Com.:YesLocal: Yes
According to the Senate Appropriations Committee:
Potential one-time costs up to $300,000 to revise existing
regulations governing the ICT process by the DHCS and CDSS
(General Fund and federal funds).
Unknown state reimbursable mandate costs, to the extent that
this bill results in significantly higher administrative costs
to the counties (General Fund). There are some elements of
this bill that may increase county costs. For example this
bill requires counties to transfer responsibility for benefits
within 30 days of either county becoming aware of a
recipient's move, whereas current law requires the transfer of
responsibility to occur on the first day of the month
following 30 days of notification to the receiving county.
Whether shortening the timeline for transferring
responsibility will have a significant administrative cost to
the counties is unknown.
SB 1339
Page 9
Unknown additional expenditures for CalFresh and CalWorks
benefits due to additional beneficiaries retaining eligibility
after a move between counties (General Fund and local funds).
Under current law, the receiving county is required to
determine a beneficiary's continuing eligibility for aid. This
bill prohibits the receiving county from interviewing
recipients to determine continuing eligibility. By removing
this requirement, it is likely that this bill will result in
some beneficiaries retaining benefits until the next
redetermination period who would have lost benefits after a
move. The extent of this impact is unknown.
Unknown additional costs for Medi-Cal benefits (General Fund
and federal funds). Most Medi-Cal beneficiaries are enrolled
in managed care. Medi-Cal does not allow an enrollee to be
covered by more than one managed care plan in any given month.
Under current practice, when a Medi-Cal enrollee moves between
counties, the enrollee would normally only be eligible for
emergency services in the new county until his or her
disenrollment from the original managed care plan was
processed. Under this bill, a beneficiary would be able to
request an expedited disenrollment that would be effective the
next business day. The beneficiary would then be entitled to
full-scope fee-for-service benefits for the remainder of the
month. Making this change will allow some number of
beneficiaries to access additional, non-emergency health care
services for the remainder of the month of the move. The
extent of those costs is unknown.
SUPPORT: (Verified 5/31/16)
Coalition of Welfare Rights Organizations (co-source)
United Way of California (co-source)
Western Center on Law and Poverty (co-source)
Asian Law Alliance
Bay Area Legal Aid
California Association of Food Banks
California Catholic Conference, INC
California Food Policy Advocates
Central California Legal Services
SB 1339
Page 10
Children Now
Community Health Councils
County Welfare Directors Association of California
Courage Campaign
Disability Rights Legal Center
Health Access California
Hunger Action Los Angeles
Inland Empire United Way
Law Foundation of Silicon Valley
Legal Aid Society of Orange County
LIUNA Locals 777 & 792
Maternal and Child Health Access
National Association of Social Workers
National Health Law Program
North Coast Opportunities, Inc.
Nurse-Family Partnership
Orange County United Way
Project Inform
San Francisco AIDS Foundation
The Children's Partnership
United Way Monterey County
United Way of Fresno and Madera Counties and The United way of
Stanislaus County
United Way of Santa Cruz County
United Way of the Bay Area
3 Individuals
OPPOSITION: (Verified5/31/16)
None received
ARGUMENTS IN SUPPORT: This bill is jointly sponsored by the
Coalition of California Welfare Rights, United Ways of
California and Western Center on Law and Poverty (WCLP). WCLP
writes this bill modernizes the process for transferring records
for people who are receiving CalWORKs, CalFresh or Medi-Cal when
they move from one county to another within California to ensure
no break in benefits.
SB 1339
Page 11
According to WCLP, retaining safety net benefits when moving to
a new county is not only critical to the health and stability of
the family in their new community, but also a right to which
recipients are entitled. WCLP states it has heard from community
partners assisting consumers who have had trouble transferring
their benefits to a new county. In these cases, people haven't
been able to access medical care or CalWORKs supportive services
including cash aid, transportation and child care services. WCLP
states delays in processing ICTs results in individuals and
families who are already struggling to get by on very limited
means being unable to participate in job training or see the
doctor, because their benefits have not been moved to their new
county. Current ICT rules require people to report the move to
the county human services agency in the county from which they
moved, which has proven not to work well sometimes, and the
process itself is outdated in a number of other respects. This
bill streamlines and modernizes the ICT process.
Prepared by:Taryn Smith / HUMAN S. / (916) 651-1524
5/31/16 20:58:30
**** END ****