BILL ANALYSIS                                                                                                                                                                                                    Ó



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          Date of Hearing:  August 3, 2016


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                               Lorena Gonzalez, Chair


          SB 1339  
          (Monning) - As Amended August 1, 2016


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          |Policy       |Human Services                 |Vote:|7 - 0        |
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          Urgency:  No  State Mandated Local Program:  YesReimbursable:   
          Yes


          SUMMARY:


          This bill clarifies the intercounty transfer process (ICT) used  
          when a beneficiary of public assistance, including CalWORKs,  
          CalFresh, and Medi-Cal, moves between counties. Specifically,  
          this bill: 


          1)Requires a recipient of public assistance benefits who is  
            changing residence from one county to another to notify either  
            the county from which he or she moves, or the county to which  
            he or she is moving, of the change of residence.









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          2)Grants recipients of CalWORKs, CalFresh, or Medi-Cal benefits  
            the right to report a change of residence in person, in  
            writing, telephonically, or electronically if the technology  
            is available, and requires recipients to be made aware of this  
            right at the time of application or redetermination or  
            recertification. 


          3)Requires a county to initiate an intercounty transfer for all  
            benefits as soon as either county is made aware of a  
            recipient's move from one county to another and requires that  
            benefits for all programs for which the recipient is eligible  
            be transferred within 30 days after either county becomes  
            aware of the recipient's move.


          4)Prohibits the new county of residence, to the extent permitted  
            by federal law and regulation, from interviewing recipients  
            moving to that county from another county to determine  
            continued eligibility for CalWORKs or CalFresh until the next  
            scheduled recertification.


          5)Requires, if a Medi-Cal beneficiary moves to a new 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, a Medi-Cal Managed Care Ombudsman, upon request by the  
            beneficiary or either county, to disenroll the beneficiary as  
            an expedited disenrollment from his or her managed care health  
            plan, and specifies that a disenrolled beneficiary be entitled  
            to the full scope of benefits in the new county through the  
            fee-for-services delivery system until he or she is enrolled  
            in a managed care health plan in the new county.


          FISCAL EFFECT:










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          1)Unknown, potentially reimbursable, state mandated costs for  
            increased county administrative costs (GF).  By expediting the  
            transfer of responsibility for providing CalWORKs benefits  
            between counties, the bill will result in the shifting of  
            administrative costs from one county to another. The net  
            effect is unlikely to be an overall increase in expenditures  
            for CalWORKs benefits. Therefore, it is unlikely that counties  
            would be successful in seeking state reimbursement for the  
            increased costs due to the expedited deadlines for processing  
            transfers.


          2)Unknown potential increased costs for benefits (GF/local  
            funds), likely minor, from the potential increase in  
            eligibility due to the prohibition on redetermining  
            eligibility upon a transfer.


          3)Minor and absorbable costs to revise existing regulations  
            governing the ICT process by the Department of Health Care  
            Services (DHCS) and the Department of Social Services (DSS). 


          COMMENTS:


          1)Purpose.  According to the author's office, "Low-income  
            individuals and families move more frequently and need to be  
            able to keep their safety-net programs when they do.  This  
            bill modernizes and simplifies the inter-county transfer  
            process in state statute to make sure that benefits are not  
            interrupted when a beneficiary of the CalWORKs, CalFresh, or  
            Medi-Cal program relocates.  There is some confusion among  
            counties with regard to the implementation of Inter-County  
            Transfers, and there are instances in which the sending or  
            receiving county does not fully understand the process due to  
            current law being vague.  By making the inter-county transfer  
            process easy to eligible beneficiaries and understanding for  
            counties to implement we will be able to prevent unnecessary  








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            disruptions in benefits that ensure that people are able to  
            work and stay healthy."


          2)Background. When a recipient of public assistance benefits  
            moves between counties, current law provides a benefit  
            transfer process through an Inter-County Transfer (ICT) of  
            their case.  Currently, CalFresh, CalWORKs and Medi-Cal have  
            ICT processes in place. There were a total of 59,016  
            intercounty transfer cases in 2015.


             a)   CalFresh:  In September 2013, DSS issued an All County  
               Letter (ACL) outlining the ICT process for individuals  
               receiving CalFresh assistance.  In acknowledging that  
               households not be subject to a break in benefits is of high  
               priority, the ACL cites the importance of intercounty  
               communication when determining in which county it is most  
               beneficial for recertification to be completed.  The ACL  
               also cites that it is the responsibility of the sending  
               county to confirm that the receiving county is provided  
               with all information necessary to complete the transfer,  
               and that a household may not be terminated for being a  
               resident of the receiving county until the receiving county  
               has assumed responsibility for the case. 


             b)   CalWORKs:  According to the DSS Manual of Policies and  
               Procedures, the ICT process for CalWORKs recipients  
               requires the sending county to notify the receiving county  
               of the initiation of a case transfer and inform the  
               recipient in writing of his or her responsibility to  
               immediately apply for a redetermination of eligibility in  
               the receiving county to avoid a break in benefits.  The  
               sending county is also responsible for ensuring all  
               necessary documents are sent to the receiving county within  
               seven working days from the date that the sending county  
               notified the receiving county of a case transfer.









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             c)   Medi-Cal:  In ACL 03-12, distributed by DHCS in February  
               2003, the ICT process for Medi-Cal cases states that  
               counties may not terminate Medi-Cal benefits when a  
               beneficiary moves from one county to another until an  
               effective date of benefits for the beneficiary in the new  
               county is confirmed.  Counties also may not ask or require  
               a beneficiary to reapply for Med-Cal benefits or apply for  
               a redetermination of eligibility in the new county of  
               residence solely due to the change in county residence.   
               The ICT process for Medi-Cal recipients does not allow for  
               the redetermination of eligibility during the transfer  
               process, nor may counties require a beneficiary to complete  
               a new application for benefits.


          1)Prior Legislation.  AB 1970 (Skinner), 2012, would have made  
            technical changes to existing code sections pertaining to  
            sending and receiving information related to CalFresh and  
            CalWORKs benefits and eligibility.  That bill was held on the  
            Senate Appropriations suspense file.


          


          Analysis Prepared by:Jennifer Swenson / APPR. / (916)  
          319-2081



















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