BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 1339|
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UNFINISHED BUSINESS
Bill No: SB 1339
Author: Monning (D)
Amended: 8/19/16
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
SENATE FLOOR: 39-0, 6/1/16
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, Stone,
Vidak, Wieckowski, Wolk
NO VOTE RECORDED: Runner
ASSEMBLY FLOOR: 77-1, 8/22/16 - See last page for vote
SUBJECT: Public social services: intercounty transfers
SOURCE: Coalition of Welfare Rights Organizations
United Way of California
Western Center on Law and Poverty
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Page 2
DIGEST: This bill clarifies the process counties must follow
when a recipient of public assistance benefits, including
CalWORKs, CalFresh, and Medi-Cal, moves between counties.
Assembly Amendments refine the ICT process, including, but not
limited to, requiring a county to initiate the ICT within seven
business days of notice of a new residence; providing that
benefits shall be transferred within specified timelines;
permitting the new county of residence to interview CalWORKs
recipients regarding welfare-to-work program participation;
providing procedures for disenrollment of Med-Cal benefits; and
stating that beneficiaries moving from one county to another
shall have continued access to emergency services, as specified,
until the ICT process is complete. The amendments provide
technical and clarifying changes to codify existing practice and
to comply with federal/state requirements for these programs.
They also delay implementation of the bill until June 1, 2017.
ANALYSIS:
Existing law:
1) Establishes in state law the 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 the federal 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,
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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
those documents, as specified, necessary to establish current
eligibility and grant amount. (WIC 11053)
6) Requires the California Department of Social Services (DSS)
to establish and implement a process of Inter-county
Transfers (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 ICT 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))
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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 a recipient of public assistance benefits who is
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 is moving, of the change of
residence.
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 the notified county to initiate an ICT for all
benefits that the recipient is receiving within seven days of
notice of a new residence, and requires benefits be
transferred no later than the first day of the next available
benefit month following 30 days after a county was notified.
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4) Requires, to the greatest extent possible, that the ICT
process to be as simple and client friendly as possible, to
the greatest extent possible, and that it minimize workload
for county eligibility operations. Further requires that the
process ensure the applicant or recipient need not provide
copies of documents previously provided to the prior county
of residence and that there is no interruption in benefits.
5) Requires that case file documents be electronically shared
between the prior county of residence and the new county of
residence, to the extent possible, as specified.
6) 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, as specified, with
the exception of an interview conducted regarding
welfare-to-work program participation for CalWORKs
recipients.
7) Requires the following for beneficiaries required to receive
services through a Medi-Cal managed care health plan:
a) 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, the beneficiary shall have
continued access to emergency services and any other
coverage the managed care health plan authorizes
out-of-network until the time that the ICT process is
complete and the beneficiary is disenrolled from the
managed care health plan.
b) If the beneficiary moves to another county and is
still enrolled in a managed care health plan in the county
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from which he or she moved and needs nonemergent care that
same month in the new county, the Medi-Cal Managed Care
Ombudsman shall, upon request by the beneficiary or either
county, disenroll the beneficiary as an expedited
disenrollment from his or her managed care health plan, as
specified.
c) A beneficiary who is disenrolled from the managed care
health plan in the county from which he or she moved shall
be entitled to the full scope of benefits for which he or
she is entitled to in the new county through the
fee-for-service delivery system until he or she is
enrolled in a managed care health plan in the new county.
d) If the beneficiary moves to a county that provides
Medi-Cal services through a county organized health
system, the beneficiary shall be enrolled in that county
organized health system plan on the first day of the
following month once the new county of residence is
reflected in the Medi-Cal Eligibility Data System. If a
beneficiary moves to a county without a county organized
health system, the usual health plan choice process shall
apply.
8) Prohibits the failure to report a move to a different county
within the state from constituting a basis for an
overpayment.
9) Requires the Department of Health Care Services (DHCS) and
DSS to implement, interpret, or make specific the provisions
of this bill, as specified, and report to the Legislature on
a semiannual basis until regulations have been adopted.
10)Requires DHCS and DSS to adopt regulations, as specified, by
July 1, 2021.
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11)Makes specified provisions of the bill contingent upon the
availability of federal financial participation and the
acquisition of any necessary federal approvals.
12)Makes inoperative as of June 1, 2017, and repeal as of
January 1, 2018, exemptions for caretaker relatives as they
pertain to personal interviews for public assistance, as
specified.
13)Delays implementation of the provisions of this bill until
June 1, 2017 and makes technical changes.
Background
CalFresh provides monthly benefits to assist low-income
households in purchasing food or food product intended for human
consumption. CalFresh benefits are 100% federally funded and
national eligibility standards and benefit levels are
established by the federal government. To participate in
CalFresh, households must meet certain income-eligibility
standards. The average monthly benefit for a CalFresh recipient
in federal fiscal year 2015 was $126.83 per month, or $4.23 per
day, according to the USDA. Households who receive or are
eligible to receive cash assistance under CalWORKs or General
Assistance/General Relief programs are categorically eligible
for CalFresh. CalFresh currently serves approximately 4.4
million people, according to USDA data.
The CalWORKs program provides monthly income assistance and
employment-related services aimed at moving children out of
poverty and helping families meet basic needs. Federal funding
for CalWORKs comes from the TANF block grant. The average
2016-17 monthly cash grant for a family of three on CalWORKs
(one parent and two children) is $497.35, and the maximum
monthly grant amount for a family of three, if the family has no
other income and lives in a high-cost county, is $704.
According to recent data from the DSS, around 497,000 families
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rely on CalWORKs, including over one million children. Nearly
60% of cases include children under 6 years old.
Medi-Cal is California's Medicaid program which serves
low-income individuals including families, seniors, persons with
disabilities, and children in foster care, among others.
Administered by DHCS, Medi-Cal services are often implemented at
the local level through California's 58 counties. According to
DHCS, in January 2016 approximately 13,480,000 Californians were
deemed eligible and received benefits through the Medi-Cal
program. Women and those adults between the ages of 21 and 64
constituted a majority of Medi-Cal benefit recipients. In the
Governor's 2016 Budget, DHCS received just over $26 billion for
administration and implementation of services, including
Medi-Cal.
ICT Procedures
DSS and 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.
CalFresh. In September 2013, DSS issued an All County Letter
(ACL) outlining the ICT process for individuals receiving
CalFresh assistance. In acknowledging that ensuring households
are not 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.
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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.
Medi-Cal. In ACL 03-12 distributed by DHCS in February 2003, the
ICT process for Medi-Cal cases is cited and 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.
FISCAL EFFECT: Appropriation: No Fiscal
Com.:YesLocal: Yes
According to the Assembly Appropriations Committee:
1)Unknown, potentially reimbursable, state mandated costs for
increased county administrative costs (General Fund). By
expediting the transfer of responsibility for providing
CalWORKs benefits between counties, this 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
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deadlines for processing transfers.
2)Unknown potential increased costs for benefits (General
Fund/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 DHCS and DSS.
SUPPORT: (Verified 8/22/16)
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 Association of Public Authorities
California Catholic Conference, INC
California Chapter of the American College of Emergency
Physicians
California Food Policy Advocates
Central California Legal Services
Children Now
Children's Defense Fund- California
Community Health Councils
County Welfare Directors Association of California
Courage Campaign
Disability Rights Legal Center
Food Bank of Contra Costa and Solano
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
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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
Three individuals
OPPOSITION: (Verified 8/22/16)
California Department of Finance
ARGUMENTS IN SUPPORT: 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.
ARGUMENTS IN OPPOSITION: The Department of Finance opposes
the August 1, 2016 version of this bill because it does the
following:
Results in costs not included in the current fiscal plan and
creates a state-reimbursable mandate.
Requirements are inconsistent with existing policy for
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Medi-Cal.
Is not consistent with DHCS's current practice of
incorporating changes to the transfer process through the All
County Welfare Director's letter.
Shortens the time allowed for the transfer of benefits, a
timeline that may not be achievable for counties.
ASSEMBLY FLOOR: 77-1, 8/22/16
AYES: Achadjian, Alejo, Arambula, Atkins, Baker, Bigelow,
Bloom, Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos,
Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh,
Dahle, Daly, Dodd, Eggman, Frazier, 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,
Mullin, Nazarian, Obernolte, O'Donnell, Olsen, Patterson,
Quirk, Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth,
Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk,
Williams, Wood, Rendon
NOES: Travis Allen
NO VOTE RECORDED: Beth Gaines, Melendez
Prepared by:Taryn Smith / HUMAN S. / (916) 651-1524
8/22/16 22:49:41
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