BILL NUMBER: SB 681	CHAPTERED
	BILL TEXT

	CHAPTER   6
	FILED WITH SECRETARY OF STATE   FEBRUARY 2, 1996
	APPROVED BY GOVERNOR   FEBRUARY 1, 1996
	PASSED THE SENATE   JANUARY 30, 1996
	PASSED THE ASSEMBLY   JANUARY 29, 1996
	AMENDED IN ASSEMBLY   JANUARY 25, 1996
	AMENDED IN ASSEMBLY   SEPTEMBER 15, 1995
	AMENDED IN ASSEMBLY   SEPTEMBER 8, 1995
	AMENDED IN ASSEMBLY   JULY 5, 1995
	AMENDED IN SENATE   MAY 3, 1995

INTRODUCED BY  Senator Hurtt

                        FEBRUARY 22, 1995

   An act to amend Section 4497.38 of the Penal Code, to amend
Section 2105 of, and to repeal Section 2105.1 of, the Streets and
Highways Code, to amend Sections 912, 16990, 17000.5, 17000.6,
17001.5, and 17608.05 of, and to add Sections 912.5 and 17001.51 to,
the Welfare and Institutions Code, relating to local government
assistance, and making an appropriation therefor.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 681, Hurtt.  Local government assistance.
   (1) Existing law provides for the award of moneys to the counties
from the General Fund for juvenile facilities, as specified, only if
county matching funds are provided, as specified.
   This bill would specify exceptions to the requirement.
   (2) Existing law requires each county to pay the state $25 per
month for the time a person from that county is committed to the
Department of the Youth Authority, as specified.
   This bill would revise and recast this provision to require the
county to pay the state $150 per month for the time a person from
that county is committed to the Department of the Youth Authority,
effective January 1, 1997.
   The bill would also require each county to pay the state for each
person committed to the Department of the Youth Authority pursuant to
a scale with regard to the offense on which the commitment is based.

   (3) Existing law continuously appropriates special fund moneys for
apportionments to cities and counties of a portion of the revenues
derived from a per gallon tax on motor vehicle fuels in accordance
with prescribed formulas.  A city's or county's entitlement to the
apportioned funds from the tax imposed at a rate of more than 9
per gallon is conditional upon its expenditure from its general fund
for street and highway purposes of an amount not less than the
annual average of its expenditures during the 1987-88, 1988-89, and
1989-90 fiscal years.  Under existing law, this condition is not
applicable for the 1992-93, 1993-94, 1994-95, 1995-96, and 1996-97
fiscal years.  t   This bill would delete that condition.  Thus, this
bill would make funds available to cities and counties that would
not be eligible otherwise, thereby making an appropriation.
   (4) Existing law requires any county receiving certain state
allocations to maintain specified levels of financial support of
county funds for health services.
   This bill would revise county realignment financial
responsibilities.
   (5) Existing law authorizes the board of supervisors in any county
to adopt a general assistance standard of aid, including the value
of in-kind aid.
   This bill would provide that the value of in-kind aid includes,
but is not limited to, the value of specified amounts of medical aid
and care.
   (6) Existing law authorizes the board of supervisors of any county
to adopt a standard of aid below a specified level if the Commission
on State Mandates makes a finding that the prescribed level would
result in significant financial distress to the county.  The
commission may make a finding of financial distress for a period of
up to 12 months and is required to act on county applications within
specified time periods.
   This bill would authorize the commission to make a finding of
financial distress for a period of up to 36 months and would extend
the application periods.
   (7) Existing law authorizes the board of supervisors of each
county to adopt residency requirements for purposes of determining a
person's eligibility for general assistance.
   This bill would authorize counties to establish a standard of
general assistance for applicants or recipients who share housing
with unrelated persons who are not legally responsible for them, and
would prohibit an employable individual from receiving aid for more
than 3 months in any 12-month period whether or not the months are
consecutive.  The bill would also authorize a county to require adult
applicants and recipients of benefits under the general assistance
program to undergo screening for substance abuse.
   (8) Existing law permits a reduction for the 1994-95 fiscal year
of up to $15,000,000 in the amount a county or a city is required to
deposit into the health account each month.
   This bill would permit a reduction of up to $25,000,000 in that
amount and would delete that fiscal year restriction.
  (9) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state.  Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   Appropriation:  yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 4497.38 of the Penal Code is amended to read:
   4497.38.  (a) Awards shall be made only if county matching funds
of 25 percent are provided except as specified in subdivision (b).
   (b) (1) A county or a consortium of counties may request the
Director of the Department of the Youth Authority for a deferral of
payment of the required matching funds for the construction of a
juvenile detention facility.  This request shall be approved if the
county or consortium of counties meet all of the following criteria:

   (A) The county or consortium of counties has plans for the
construction of the facility approved by the Department of the Youth
Authority.
   (B) The facility to be built is located in Humboldt County.
   (C) The county or consortium of counties submits to and receives
approval by the Department of the Youth Authority, a plan and
schedule for payment of the required match.
   (2) Contribution of the county or consortium of counties matching
requirement shall commence no later than three years from the date of
occupation of any facility financed under this chapter.
   (3) Under no circumstances shall the county match for any county
juvenile project be less than 25 percent.
  SEC. 2.  Section 2105 of the Streets and Highways Code is amended
to read:
   2105.  In addition to the apportionments prescribed by Sections
2104, 2106, and 2107, from the revenues derived from a per gallon tax
imposed pursuant to Section 7351 of the Revenue and Taxation Code,
and a per gallon tax imposed pursuant to Section 8651 of that code,
the following apportionments shall be made:
   (a) A sum equal to the net revenue from a tax of 11.5 percent of
any per gallon tax in excess of nine cents ($0.09) per gallon under
Section 7351 of the Revenue and Taxation Code, and 11.5 percent of
any per gallon tax in excess of nine cents ($0.09) per gallon under
Section 8651 of that code, shall be apportioned among the counties,
including a city and county.
   The amount of apportionment to each county, including a city and
county, during a fiscal year shall be calculated as follows:
   (1) One million dollars ($1,000,000) for apportionment to all
counties, including a city and county, in proportion to each county's
receipts during the prior fiscal year under Sections 2104 and 2106.

   (2) One million dollars ($1,000,000) for apportionment to all
counties, including a city and county, as follows:
   (A) Seventy-five percent in the proportion that the number of
fee-paid and exempt vehicles which are registered in the county bears
to the number of fee-paid and exempt vehicles registered in the
state.
   (B) Twenty-five percent in the proportion that the number of miles
of maintained county roads in the county bears to the miles of
maintained county roads in the state.
   (3) For each county, determine its factor which is the higher
amount calculated pursuant to paragraph (1) or (2) divided by the sum
of the higher amounts for all of the counties.
   (4) The amount to be apportioned to each county is equal to its
factor multiplied by the amount available for apportionment.
   (b) A sum equal to the net revenue from a tax of 11.5 percent of
any per gallon tax in excess of nine cents ($0.09) per gallon under
Section 7351 of the Revenue and Taxation Code, and 11.5 percent of
any per gallon tax in excess of nine cents ($0.09) per gallon under
Section 8651 of that code, shall be apportioned to cities, including
a city and county, in the proportion that the total population of the
city bears to the total population of all the cities in the state.

  SEC. 3.  Section 2105.1 of the Streets and Highways Code is
repealed.
  SEC. 4.  Section 912 of the Welfare and Institutions Code is
amended to read:
   912.  Effective January 1, 1997, for each person committed to the
Department of the Youth Authority, the county from which he or she is
committed shall pay the state one hundred fifty dollars ($150) per
month for the time that person remains in any institution under the
direct supervision of the Department of the Youth Authority, or in
any institution, boarding home, foster home, or other private or
public institution in which he or she is placed by the Department of
the Youth Authority, on parole or otherwise, and cared for and
supported at the expense of the Department of the Youth Authority.
This section applies to any person committed to the Department of the
Youth Authority by a juvenile court, including persons committed to
the Department of the Youth Authority prior to January 1, 1997, who
on or after January 1, 1997, remain in or return to the facilities
described in this section.
   The Department of the Youth Authority shall present to the county,
not more frequently than monthly, a claim for the amount due the
state under this section, which the county shall process and pay
pursuant to the provisions of Chapter 4 (commencing with Section
29700) of Division 3 of Title 3 of the Government Code.
  SEC. 5.  Section 912.5 is added to the Welfare and Institutions
Code, to read:
   912.5.  (a) For each person committed to the Department of the
Youth Authority by a juvenile court on or after January 1, 1997, the
county from which he or she is committed shall pay the state the
following rate:
   (1) If the offense on which the commitment is based is listed in
Section 4955 of Title 15 of the California Code of Regulations, the
rate is 50 percent of the per capita institutional cost of the
Department of the Youth Authority.
   (2) If the offense on which the commitment is based is listed in
Section 4956 of Title 15 of the California Code of Regulations, the
rate is 75 percent of the per capita institutional cost of the
Department of the Youth Authority.
   (3) If the offense on which the commitment is based is listed in
Section 4957 of Title 15 of the California Code of Regulations, the
rate is 100 percent of the per capita institutional cost of the
Department of the Youth Authority.
   (b) For purposes of this section, "the offense on which the
commitment is based" means any offense that has been sustained by the
juvenile court and that is included in the determination of the
maximum term of imprisonment by the juvenile court pursuant to
Section 731.
   (c) For purposes of this section, the charge against the county
shall not apply to periods of confinement that are solely pursuant to
a revocation of parole by the Youthful Offender Parole Board.
   (d) The charge against the county prescribed by this section shall
be in lieu of the charge prescribed by Section 912 and not in
addition to that charge.
   (e) The Department of the Youth Authority shall present to the
county, not more frequently than monthly, a claim for the amount due
the state under this section, which the county shall process and pay
pursuant to the provisions of Chapter 4 (commencing with Section
29700) of Division 3 of Title 3 of the Government Code.
   (f) The Department of the Youth Authority shall adopt emergency
regulations for implementation of this section.
  SEC. 6.  Section 16990 of the Welfare and Institutions Code is
amended to read:
   16990.  (a) (1) Any county receiving an allocation pursuant to
this chapter and Chapter 4 (commencing with Section 16930) shall, at
a minimum, maintain a level of financial support of county funds for
health services at least equal to the total of the amounts specified
in  this subdivision.  The amounts specified in paragraph (1) shall
be adjusted on July 1 of each year equal to the growth in the sales
tax and vehicle license fees allocated to the trust fund accounts and
the county general fund pursuant to Chapter 6 (commencing with
Section 17600) of Part 5.
   Each of the following counties shall maintain a realignment
financial maintenance of effort according to the following schedule:



Jurisdiction                          Amount
Alameda .........................    $ 62,950,138
Alpine ..........................         150,781
Amador ..........................       1,702,152
Butte ...........................       8,378,036
Calaveras .......................       1,286,374
Colusa ..........................       1,362,787
Contra Costa ....................      31,188,063
Del Norte .......................       1,305,412
El Dorado .......................       5,626,036
Fresno ..........................      32,555,212
Glenn ...........................       1,368,045
Humboldt ........................       8,995,114
Imperial ........................       8,526,220
Inyo ............................       2,320,718
Kern ............................      23,025,845
Kings ...........................       4,310,952
Lake ............................       1,767,837
Lassen ..........................       1,555,628
Los Angeles .....................     510,082,064
Madera ..........................       3,523,697
Marin ...........................      11,349,537
Mariposa ........................         766,751
Mendocino .......................       2,782,024
Merced ..........................       4,711,969
Modoc ...........................         939,453
Mono ............................       1,673,165
Monterey ........................      11,816,218
Napa ............................       4,751,422
Nevada ..........................       2,669,976
Orange ..........................      66,846,735
Placer ..........................       3,009,967
Plumas...........................       1,143,704
Riverside .......................      33,598,282
Sacramento ......................      33,012,993
San Benito ......................       1,601,614
San Bernardino ..................      27,576,793
San Diego .......................      49,373,333
San Francisco ...................     106,622,954
San Joaquin .....................      12,646,288
San Luis Obispo .................       5,888,487
San Mateo .......................      21,788,027
Santa Barbara ...................      12,659,559
Santa Clara .....................      47,316,403
Santa Cruz ......................       8,373,710
Shasta ..........................       6,521,122
Sierra ..........................         327,339
Siskiyou ........................       2,401,825
Solano ..........................       8,942,768
Sonoma ..........................      16,146,306
Stanislaus ......................      13,403,954
Sutter ..........................       4,872,252
Tehama ..........................       3,257,915
Trinity .........................       1,599,409
Tulare ..........................       8,593,714
Tuolumne ........................       2,525,076
Ventura .........................      17,042,243
Yolo ............................       4,396,875
Yuba ............................       3,083,423
                                   ______________
  Total .........................  $1,278,014,696

   (2) A county may, upon notifying the department of the transfers
authorized by this paragraph, reduce the level of financial
maintenance of effort required of the county by paragraph (1) by the
amount of the funds transferred from the Health Account pursuant to
Section 17600.20.
   (b) For purposes of this section, if a county desires to use any
of its allocation pursuant to this chapter or Chapter 4 (commencing
with Section 16930) for programs and costs not reported as part of
the plan and budget required by Section 16800, the county, as a
condition of using its allocation for these purposes, must maintain
an amount of county funding for those programs and costs at least
equal to the 1988-89 fiscal year levels.
   (c) Moneys received by a county under this chapter shall be
accounted for as revenue in the plan and budget which is required
pursuant to Section 16800 and shall not be used as county matching
funds for any other program requiring a county match.
   (d) If a county fails to maintain financial maintenance of effort
at least equal to the total of the amounts specified in paragraph (1)
of subdivision (a), the department shall recover funds allocated to
the county under this part sufficient to bring the county into
compliance with the financial maintenance of effort provisions.
Funds shall be recovered proportionately from the Hospital Services
Account, the Physician Services Account, and the Unallocated Account.

   (e) The participation fee specified in Section 16809.3 shall not
be included in determining a county's compliance with the maintenance
of effort provisions of this section.
   (f) For the purposes of determining the level of financial support
required for the 1991-92 fiscal year, the amounts specified in
paragraph (1) of subdivision (a) shall be reduced to reflect
shortfalls in revenue to local health and welfare trust fund health
accounts due to shortfalls in receipts of sales tax revenue and
county deposits required pursuant to subdivision (b) of Section
17608.10, compared to the amounts of these funds originally
anticipated, as determined by the Director of Health Services.
   (g) For the purposes of determining the level of financial support
required in the 1992-93 fiscal year, the amounts specified in
paragraph (1) of subdivision (a) shall be reduced by 7 percent.
   (h) For the purposes of determining the level of financial support
required in the 1993-94 fiscal year and subsequent fiscal years, the
amounts specified in paragraph (1) of subdivision (a) shall be
reduced to reflect shortfalls in revenue to local health and welfare
trust fund health accounts due to shortfalls in receipts of sales tax
revenue and county deposits required pursuant to subdivision (b) of
Section 17608.10, compared to the amounts of these funds originally
anticipated for the 1991-92 fiscal year, as determined by the
Director of Health Services.
  SEC. 7.  Section 17000.5 of the Welfare and Institutions Code is
amended to read:
   17000.5.  (a) The board of supervisors in any county may adopt a
general assistance standard of aid, including the value of in-kind
aid which includes, but is not limited to, the monthly actuarial
value of up to forty dollars ($40) per month of medical care, that is
62 percent of a guideline that is equal to the 1991 federal official
poverty line and may annually adjust that guideline in an amount
equal to any adjustment provided under Chapter 2 (commencing with
Section 11200) of Part 3 for establishing a maximum aid level in the
county.  This subdivision is not intended to either limit or expand
the extent of the duty of counties to provide health care.
   (b) The adoption of a standard of aid pursuant to this section
shall constitute a sufficient standard of aid.
   (c) For purposes of this section, "federal official poverty line"
means the same as it is defined in subsection (2) of Section 9902 of
Title 42 of the United States Code.
   (d) For purposes of this section, "any adjustment" includes, and,
prior to the addition of this subdivision, included statutory
increases, decreases, or reductions in the maximum aid level in the
county under the Aid to Families with Dependent Children program
contained in Chapter 2 (commencing with Section 11200) of Part 3.
   (e) In the event that adjustments pursuant to Section 11450.02 are
not made, the amounts established pursuant to subdivision (a) may be
adjusted to reflect the relative cost of housing in various counties
as follows:
   (1) Reduced by 1.5 percent in the Counties of Alameda, Contra
Costa, Los Angeles, San Diego, Santa Barbara, Sonoma, and Ventura.
   (2) Reduced by 3 percent in the Counties of San Luis Obispo,
Nevada, Sierra, Monterey, Napa, Solano, Riverside, San Bernardino,
Alpine, Amador, Calaveras, Inyo, Kern, Mariposa, Mono, and Tuolumne.

   (3) Reduced by 4.5 percent in the Counties of Stanislaus,
Imperial, El Dorado, Placer, Sacramento, Yolo, Humboldt, San Benito,
Del Norte, Fresno, Lake, Mendocino, Shasta, Trinity, Butte, Merced,
Tulare, San Joaquin, Lassen, Modoc, Plumas, Siskiyou, Tehama, Kings,
Madera, Colusa, Glenn, Sutter, and Yuba.
  SEC. 8.  Section 17000.6 of the Welfare and Institutions Code is
amended to read:
   17000.6.  (a) The board of supervisors of any county may adopt a
standard of aid below the level established in Section 17000.5 if the
Commission on State Mandates makes a finding that meeting the
standards in Section 17000.5 would result in a significant financial
distress to the county.  When the commission makes a finding of
significant financial distress concerning a county, the board of
supervisors may establish a level of aid which is not less than 40
percent of the 1991 federal official poverty level, which may be
further reduced pursuant to Section 17001.5 for shared housing.  The
commission shall not make a finding of significant financial distress
unless the county has made a compelling case that, absent the
finding, basic county services, including public safety, cannot be
maintained.
   (b) Upon receipt of a written application from a county board of
supervisors, the commission may make a finding of financial distress
for a period of up to 36 months pursuant to regulations that the
commission shall adopt, that are necessary to implement this section.
  The period of reduction may be renewed annually by the commission
upon reapplication by the county.  Any county that filed an
application prior to July 1, 1995, that was approved by the
commission on or before August 31, 1995, shall be deemed to have had
that application approved for a period of 36 months.
   (c) As part of the decisionmaking process, the commission shall
notice and hold a public hearing on the county's application or
reapplication in the county of application.  The commission shall
provide a 30-day notice of the hearing in the county of application
or reapplication.  The commission shall notify the applicant county
of its preliminary decision within 60 days after receiving the
application and final decision within 90 days after receiving the
application.  If a county files an application while another county's
application is pending, the commission may extend both the
preliminary decision period up to 120 days and the final decision
period up to 150 days from the date of the application.
   (d) This section shall not be construed to eliminate the
requirement that a county provide aid pursuant to Section 17000.
   (e) Any standard of aid adopted pursuant to this section shall
constitute a sufficient standard of aid.
   (f) The commission may adopt emergency regulations for the
implementation of this section.
  SEC. 9.  Section 17001.5 of the Welfare and Institutions Code is
amended to read:
   17001.5.  (a) Notwithstanding any other provision of law,
including, but not limited to, Section 17000.5, the board of
supervisors of each county, or the agency authorized by the county
charter, may do any of the following:
   (1) (A) Adopt residency requirements for purposes of determining a
persons' eligibility for general assistance.  Any residence
requirement under this paragraph shall not exceed 15 days.
   (B) Nothing in this paragraph shall be construed to authorize the
adoption of a requirement that an applicant or recipient have an
address or to require a homeless person to acquire an address.
   (2) (A) Establish a standard of general assistance for applicants
and recipients who share housing with one or more unrelated persons
or with one or more persons who are not legally responsible for the
applicant or recipient.  The standard of general assistance aid
established pursuant to Section 17000.5 for a single adult applicant
or recipient may be reduced pursuant to this paragraph by not more
than the following percentages, as appropriate:
   (i) Fifteen percent if the applicant or recipient shares housing
with one other person described in this subparagraph.
   (ii) Twenty percent if the applicant or recipient shares housing
with two other persons described in this subparagraph.
   (iii) Twenty-five percent if the applicant or recipient shares
housing with three or more other persons described in this paragraph.

   (B) Any standard of aid adopted pursuant to this paragraph shall
constitute a sufficient standard of aid for any recipient who shares
housing.
   (C) Counties with shared housing reductions larger than the
amounts specified in subparagraph (A) as of August 19, 1992, may
continue to apply those adjustments.
   (3) Discontinue aid under this part for a period of not more than
180 days with respect to any recipient who is employable and has
received aid under this part for three months if the recipient
engages in any of the following conduct:
   (A) Fails, or refuses, without good cause, to participate in a
qualified job training program, participation of which is a condition
of receipt of assistance.
   (B) After completion of a job training program, fails, or refuses,
without good cause, to accept an offer of appropriate employment.
   (C) Persistently fails, or refuses, without good cause, to
cooperate with the county in its efforts to do any of the following:

   (i) Enroll the recipient in a job training program.
   (ii) After completion of a job training program, locate and secure
appropriate employment for the recipient.
   (D) For purposes of this paragraph, lack of good cause may be
demonstrated by a showing of any of the following:
   (i) The willful failure, or refusal, of the recipient to
participate in a job training program, accept appropriate employment,
or cooperate in enrolling in a training program or locating
employment.
   (ii) Not less than three separate acts of negligent failure of the
recipient to engage in any of the activities described in clause
(i).
   (4) Prohibit an employable individual from receiving aid under
this part for more than three months in any 12-month period, whether
or not the months are consecutive.  This paragraph shall apply to aid
received on or after the effective date of this paragraph.  This
paragraph shall apply only to those individuals who have been offered
an opportunity to attend job skills or job training sessions.
   (5) Notwithstanding paragraph (3), discontinue aid to, or
sanction, recipients for failure or refusal without good cause to
follow program requirements.  For purposes of this subdivision, lack
of good cause may be demonstrated by a showing of either (A) willful
failure or refusal of the recipient to follow program requirements,
or (B) not less than three separate acts of negligent failure of the
recipient to follow program requirements.
   (b) (1) The Legislative Analyst shall conduct an evaluation of the
impact of this section on general assistance recipients and
applicants.
   (2) The evaluation required by paragraph (1) shall include, but
need not be limited to, all of the following:
   (A) The impact on the extent of homelessness among applicants and
recipients of general assistance.
   (B) The rate at which recipients of general assistance are
sanctioned by county welfare departments.
   (C) The impact of the 15-day residency requirement on applicants
or recipients of general assistance, including how often the
requirement is invoked.
   (3) The Legislative Analyst shall, in the conduct of the study
required by this section, consult with the State Department of Social
Services, the County Welfare Directors Association, and
organizations that advocate on behalf of recipients of general
assistance.
   (c) A county may provide aid pursuant to Section 17000.5 either by
cash assistance, in-kind aid, a two-party payment, voucher payment,
or check drawn to the order of a third-party provider of services to
the recipient.  Nothing shall restrict a county from providing more
than one method of aid to an individual recipient.
   (d) Paragraphs (1), (3), and (5) of subdivision (a) and all of
subdivision (b) of this section shall remain operative until January
1, 1997, and as of that date  are inoperative, unless a later enacted
statute, which is enacted on or before January 1, 1997, deletes or
extends that date.
  SEC. 10.  Section 17001.51 is added to the Welfare and Institutions
Code, to read:
   17001.51.  (a) A county may require adult applicants and
recipients of benefits under the general assistance program to
undergo screening for substance abuse when it is determined by the
county that there is reasonable suspicion to believe that an
individual is dependent upon illegal drugs or alcohol.  The county
shall maintain documentation of this finding.
   (b) A county may require as a condition of aid reasonable
participation in substance abuse or alcohol treatment programs for
persons screened pursuant to subdivision (a) and professionally
evaluated to be in need of treatment, if the services are actually
available at no charge to the applicant or recipient.
  SEC. 11.  Section 17608.05 of the Welfare and Institutions Code is
amended to read:
   17608.05.  (a) As a condition of deposit of funds from the Sales
Tax Account of the Local Revenue Fund into a county's local health
and welfare trust fund mental health account, the county or city
shall deposit each month local matching funds in accordance with a
schedule developed by the State Department of Mental Health based on
county or city standard matching obligations for the 1990-91 fiscal
year for mental health programs.
   (b) A county, city, or city and county may limit its deposit of
matching funds to the amount necessary to meet minimum federal
maintenance of effort requirements, as calculated by the State
Department of Mental Health, subject to the approval of the
Department of Finance.  However, the amount of the reduction
permitted by the limitation provided for by this subdivision shall
not exceed twenty-five million dollars ($25,000,000) per fiscal year
on a statewide basis.
   (c) Any county, city, or city and county that elects not to apply
maintenance of effort funds for community mental health programs
shall not use the loss of these expenditures from local mental health
programs for realignment purposes, including any calculation for
poverty-population shortfall for clause (iv) of subparagraph (B) of
paragraph (2) of subdivision (c) of Section 17606.05.
  SEC. 12.  No reimbursement is required by this act pursuant to
Section 6 of Article XIIIB of the California Constitution because the
only costs that may be incurred by a local agency or school district
are the result of a program for which legislative authority was
requested by that local agency or school district, within the meaning
of Section 17556 of the Government Code and Section 6 of Article
XIIIB of the California Constitution.
             Notwithstanding Section 17580 of the Government Code,
unless otherwise specified, the provisions of this act shall become
operative on the same date that the act takes effect pursuant to the
California Constitution.