BILL ANALYSIS Ó SENATE COMMITTEE ON TRANSPORTATION AND HOUSING Senator Jim Beall, Chair 2015 - 2016 Regular Bill No: SB 1380 Hearing Date: 4/19/2016 ----------------------------------------------------------------- |Author: |Mitchell | |----------+------------------------------------------------------| |Version: |4/14/2016 Amended | ----------------------------------------------------------------- ----------------------------------------------------------------- |Urgency: |No |Fiscal: |Yes | ----------------------------------------------------------------- ----------------------------------------------------------------- |Consultant|Alison Dinmore | |: | | ----------------------------------------------------------------- SUBJECT: Homeless Coordinating and Financing Council DIGEST: This bill requires a state agency or department that funds, implements, or administers a state program that provides housing or housing-related services to people experiencing homelessness or at risk of homelessness, except as specified, to adopt guidelines and regulations to include Housing First policies. This bill establishes the Homeless Coordinating and Financing Council (Coordinating Council) to oversee implementation of the Housing First regulations and, among other things, to identify resources, benefits, and services that can be accessed to prevent and end homelessness in California. ANALYSIS: Under existing law, several state agencies, including but not limited to, the Department of Housing and Community Development, California Department of Veterans Affairs, California Housing Finance Agency, and the California Department of Social Services, have prescribed responsibilities relating to homeless persons. This bill: 1) Creates the Homeless Coordinating and Financing Council, which shall have the following goals: a) Oversee the implementation of this bill. b) Identify mainstream resources, benefits, and services that can be assessed to prevent and end homelessness in SB 1380 (Mitchell) Page 2 of ? California. c) Create partnerships among state agencies and departments, local government agencies, participants in the U.S Department of Housing and Urban Development (HUD) Continuum of Care Program, federal agencies, the U.S. Interagency Council on Homelessness (US ICH), nonprofit entities working to end homelessness, and the private sector, for purposes of arriving at specific strategies to end homelessness. d) Promote systems integration to increase efficiency and effectiveness. e) Coordinate existing funding and applications for competitive funding. Any action taken pursuant to this paragraph shall not restructure or change any existing allocations or allocation formula. f) Make policy and procedural recommendations to legislators and other government entities. g) Identify and seek funding opportunities for state entities that have programs to end homelessness and facilitate and coordinate those state entities' efforts to obtain funding. h) Broker agreements between state agencies and departments and between state agencies and departments and local jurisdictions to align and coordinate resources, reduce administrative burdens of accessing existing resources, and foster common applications to services, operating, and capital funding. i) Serve as a statewide homelessness planning and policy development resource. j) Report to the Governor, federal Cabinet members, and the Legislature on homelessness and work to reduce homelessness. aa) Ensure accountability and results in meeting the strategies and goals of the council. 2) Requires the Governor, within 180 days of enacting this bill, to appoint up to 15 members to the Coordinating Council as follows: a) A representative of the Governor's office. b) A representative of the Department of Social Services. c) A representative of the California Housing Finance Agency. d) A representative of the Department of Health Care Services. e) A representative of the Department of Veterans Affairs. SB 1380 (Mitchell) Page 3 of ? f) A representative of the Department of Corrections and Rehabilitation. g) A representative of the Tax Credit Allocation Committee in the State Treasurer's office. h) A person who is, or has been, homeless in California to the extent funding is available to pay for travel costs and stipends. i) Representatives of local agencies or organizations that participate in the United States Department of Housing and Urban Development (HUD) Continuum of Care Program. j) A state advocate or other member of the public or state agencies, according to the Governor's discretion. aa) The council may, at its discretion, invite stakeholders, individuals who have experienced homelessness, members of philanthropic communities, and experts to participate in meetings or provide information to the council. 3) Requires the Assistant Director for Homeless and Housing Policy within the Department of Housing and Community Development to provide staff for the council. 4) Defines "Housing First" as the evidence-based model that uses housing as a tool, rather than a reward, for recovery. It connects homeless people to housing as quickly as possible and does not make housing contingent on participation in services. Housing First includes time-limited rental or services assistance, so long as the housing and service provider assists the recipient in accessing permanent housing and in securing longer-term rental assistance, income assistance, or employment. 5) Defines "Core Components of Housing First" as the following: a) Tenant screening and selection practices that promote accepting applicants regardless of their sobriety or use of substances, completion of treatment, or participation in services. b) Applicants are not rejected on the basis of poor credit or financial history, poor or lack of rental history, criminal convictions unrelated to tenancy, or behaviors that indicate a lack of "housing readiness." c) Acceptance of referrals directly from shelters, street outreach, drop-in centers, and other parts of crisis response systems frequented by vulnerable people experiencing homelessness. SB 1380 (Mitchell) Page 4 of ? d) Supportive services that emphasize engagement and problem-solving over therapeutic goals and service plans that are highly tenant-driven without predetermined goals. e) Participation in services or program compliance is not a condition of permanent housing tenancy. f) Tenants have a lease and all the rights and responsibilities of tenancy, as outlined in California's Civil, Health and Safety, and Government codes. g) The use of alcohol or drugs in and of itself, without other lease violations, is not grounds for eviction. h) In communities with coordinated assessment with entry systems, incentives for funding promote tenant selection plans for supportive housing that prioritize eligible tenants based on criteria other than "first-come-first-serve," including, but not limited to, the duration or frequency of homelessness, vulnerability to early mortality, or high utilization of crisis services. Prioritization may include triage tools, developed through local data, to identify high-cost, high-need homeless residents. i) Case managers and service coordinators who are trained in and actively employ evidence-based practices. j) Services are informed by a harm-reduction philosophy that recognizes drug and alcohol use and addiction as part of tenants' lives, where tenants are engaged in non-judgmental communication regarding drug and alcohol use, and where tenants are offered education regarding how to avoid risky behaviors and engage in safer practices, as well as participating in evidence-based treatment if the tenant so chooses. aa) The project and specific apartment may include special features that accommodate disabilities, reduce harm, and promote health and community and independence among tenants. 6) Requires agencies and departments administering state programs created on or after July 1, 2017, to collaborate with the Coordinating Council to adopt guidelines and regulations to incorporate core components of Housing First. Additionally, agencies and departments administering state programs in existence prior to July 1, 2017, shall collaborate with the Coordinating Council to adopt guidelines and regulations to incorporate core components of Housing First by July 1, 2019, if the existing guidelines and regulations do not already incorporate the core components of Housing First. SB 1380 (Mitchell) Page 5 of ? 7) Defines "state programs" as any programs a California state agency or department funds, implements, or administers for the purpose of providing housing or housing-based services to people experiencing homelessness or at risk of homelessness, with the exception of federally funded programs with requirements inconsistent with this chapter or programs that fund emergency shelters. COMMENTS: 1)Purpose. According to the author, homelessness affects multiple systems in California. A state as large, diverse, and complex as California requires a coordinating body to enable state agencies to maximize federal funding, leverage local dollars, and ensure programs touching homeless Californians are as effective as possible. California has several programs designed to fund housing for our homeless residents, but has no coordinated plan or program to address homelessness systematically. While many other states with large homeless populations have an interagency council on homelessness, California does not have any coordinating body that fosters collaboration among the state agency's homelessness impacts, or with local governments dealing with homelessness on the ground. This bill would require programs funding housing for homeless residents to use evidence-based practices recognized and adopted throughout all federal agencies. 2)Interagency Councils on Homelessness. According to the Corporation for Supportive Housing, over 20 other states have interagency councils on homelessness. The US ICH is comprised of 19 federal agencies that meet four times per year to advance federal collaboration and coordination. In between Council meetings, US ICH convenes interagency working groups focused on key issues and activities. These meetings all focus on identifying high-impact strategies and aligning efforts to achieve the goals of Opening Doors. Opening Doors, released in 2010 and updated in 2015, is the nation's first comprehensive federal strategy to prevent and end homelessness. Interagency Councils in other states have focused on establishing coordination among state and local agencies to further the goal of creating housing opportunities. This bill would establish an interagency council at the California state level, to facilitate and SB 1380 (Mitchell) Page 6 of ? coordinate those state entities' efforts to obtain funding to end homelessness. 3) Council membership and staffing. The Coordinating Council is comprised of 15 members representing state entities that work on homelessness issues. Noticeably absent from this list, however, is the Department of Housing and Community Development. This department oversees many existing state housing programs that serve homeless individuals and arguably is the agency with the most expertise in Housing First principles. Additionally, this bill requires the Assistant Director for Homeless and Housing Policy within the Department of Housing and Community Development to provide staff for the Council. This position is not a statutorily defined position and there is a possibility that this position may not always be filled. Further, the Assistant Director for Homeless and Housing Policy does not have any staff. The committee may wish to consider adding a representative of the Housing and Community Development Department to the council and require this department to provide staff to the council, in place of the Assistant Director for Homeless and Housing Policy. 4) Too many cooks in the kitchen. The idea of the Coordinating Council is to create more efficiency and facilitate discussion among relevant agencies and therefore remove layers of bureaucracy. Too many participants, however, could potentially undermine the goal of this council. To that end, the committee may wish to consider reducing the number of Coordinating Council participants to 11. This can be accomplished by removing the representative from the Governor's office (since arguably the administration is represented by the relevant departments), reducing the number of homeless persons to one, and providing two representatives from local agencies. When necessary, the bill provides that the council may at its discretion invite stakeholders, individuals who have experienced homelessness, members of philanthropic communities, and experts to participate in meetings or provide information to the council. The Governor also retains discretion to appoint a state advocate or other member of the public or state agencies. 5) Housing First. Housing First is an evidence-based housing model that centers on providing people experiencing SB 1380 (Mitchell) Page 7 of ? homelessness with housing as quickly as possible - and then providing services as needed. A core component of Housing First includes a tenant screening process that promotes accepting applicants regardless of their sobriety or use of substances, completion of treatment, or participation in services. This model recognizes that an individual experiencing homelessness should be provided shelter and stability before underlying issues can be successfully tackled. The Housing First model is contrasted with a model known as "housing readiness," which is exhibited in some transitional housing models. This model requires homeless people to earn their way into transitional housing and make progress on certain goals; when they are deemed well enough; they earn their spot in permanent housing. 6) What programs would be affected? In recent years, the federal government has shifted its focus towards funding Housing First programs. In fact, federal McKinney-Vento Homeless Assistance Grants must be used for Housing First programs. As a result, housing programs under the Department of Housing and Community Development, such as the Veterans Housing and Homeless Prevention Program, already integrate core components of Housing First. Existing programs under other state agencies, however, such as the Transitional Housing Program Plus (THP-Plus) administered by the Department of Social Services, and other housing programs at the state level that fund other housing models, would likely have to adopt core Housing First principles. Under this bill, new programs created on or after July 1, 2017, would be required to adopt guidelines and regulations to incorporate the core components of Housing First. Existing programs that do not already incorporate the core components of Housing First would be required to revise or adopt guidelines and regulations that incorporate the core components of Housing First. 7) Double-referral. This bill was heard in the Senate Human Services Committee on April 12 and passed on a 3-0 vote. Related Legislation: SB 1380 (Mitchell) Page 8 of ? AB 998 (Fong, 2013) - would have created the California Interagency Council on Homelessness and required various state agencies to meet quarterly to coordinate efforts on homelessness. This bill died on suspense in the Assembly Appropriations Committee. AB 1167 (Fong, 2011) - would have created a state Interagency Council on Homelessness, with specified membership and duties. This bill died in the Senate Appropriations Committee. AB 1875 (Fong, 2009) - would have created a state Interagency Council on Homelessness, with specified membership and duties. This bill died in the Assembly Business, Professions and Consumer Protections Committee. FISCAL EFFECT: Appropriation: Yes Fiscal Com.: Yes Local: No POSITIONS: (Communicated to the committee before noon on Wednesday, April 13, 2016.) SUPPORT: Poverty Matters (sponsor) Corporation for Supportive Housing Destination: Home OPPOSITION: None received -- END --