BILL ANALYSIS                                                                                                                                                                                                    



                                                                       


           ------------------------------------------------------------ 
          |SENATE RULES COMMITTEE            |                  AB 1191|
          |Office of Senate Floor Analyses   |                         |
          |1020 N Street, Suite 524          |                         |
          |(916) 445-6614         Fax: (916) |                         |
          |327-4478                          |                         |
           ------------------------------------------------------------ 
           
                                         
                                 THIRD READING


          Bill No:  AB 1191
          Author:   Longville (D), et al
          Amended:  7/10/01 in Senate
          Vote:     21

           
           SENATE HEALTH & HUMAN SERV. COMMITTEE  :  10-0, 6/27/01
          AYES:  Ortiz, Haynes, Battin, Chesbro, Escutia, Figueroa,  
            Kuehl, Romero, Vasconcellos, Vincent

           SENATE APPROPRIATIONS COMMITTEE  : 9-0, 8/20/01
          AYES: Alpert, Battin, Burton, Escutia, Johannessen,  
            Johnson, Karnette, Poochigian, Speier

           ASSEMBLY FLOOR  :  75-0, 5/24/01 (Passed on Consent) - See  
            last page for vote


           SUBJECT  :    Developmental disabilities

           SOURCE  :     Association of Regional Center Agencies


           DIGEST  :    This bill establishes a process for resolving  
          disputes between regional centers and local public  
          agencies.

           ANALYSIS : Existing law:

          1. Establishes the Lanterman Developmental Disabilities  
             Services Act, under which the Department of  
             Developmental Services (DDS) contracts with 21 private  
             non-profit regional centers to provide case management  
             services and arrange for, or purchase, other services  
                                                           CONTINUED





                                                               AB 1191
                                                                Page  
          2

             that meet the needs of individuals with developmental  
             disabilities.  Some of the services are sought from  
             another publicly-funded agency.

          2. Prohibits regional centers from using funds to supplant  
             the budget of any agency that has a legal responsibility  
             and is funded to provide services to the general public;  
             however, the regional center is the payer of last resort  
             for services the regional center has determined  
             necessary for an individual.

          3. Requires that regional centers develop an individualized  
             program plan (IPP) to be developed for every child over  
             the age of 36 months who is determined by a regional  
             center to be eligible for DDS system services.  Requires  
             the IPP to identify the services and supports to be  
             purchased by the regional center or obtained from other  
             agencies.

          4. Establishes the California Early Intervention Services  
             Act (Early Start Program), in addition to regular  
             development disabilities (DD) system service, funded  
             through Part C of the federal Individuals with  
             Disabilities Education Act (IDEA), to promote a  
             coordinated family service system for children from  
             birth to 36 months who have a developmental delay or are  
             at risk of developing a disability.  Eligibility for  
             Early Start is broader than eligibility for regular DD  
             system services.  

          5. Requires regional centers to share primary  
             responsibility for provision of Early Start early  
             intervention services with local education agencies.   
             Requires that the regional centers develop an  
             individualized family service plan (IFSP) for each child  
             in Early Start, delineating the child's levels of  
             development, desired outcomes, services to be provided,  
             and methods to be used to determine the child's  
             progress.

          This bill:

          1. Establishes a dispute resolution process that applies to  
             disputes regarding which local agency is responsible for  







                                                               AB 1191
                                                                Page  
          3

             delivering or paying for a specific type, duration, or  
             frequency of service contained in either an Early Start  
             IFSP or a regular DD System IPP of a child, aged 0 - 5.

          2. Prohibits the dispute resolution process from being used  
             to determine eligibility for a service, resolve disputes  
             between a consumer and a regional center, or take up  
             issues that have been decided through a state fair  
             hearing process or a proceeding under the California  
             Early Intervention Act, or for which a consumer has  
             requested mediation or a fair hearing.

          3. Specifies that the provisions of the bill do not modify  
             the mandated responsibility of a regional center or  
             local education agency to fund services identified in  
             the Early Start IFSP, and do not modify the  
             responsibilities of a regional center under the  
             Lanterman Developmental Services Act (regular DD  
             system).

          4. Authorizes a regional center to submit to another local  
             agency (e.g., local education agency, county health  
             department, county mental health department) a written  
             notification of the failure to provide a service, and a  
             request for dispute resolution, to the agency that the  
             regional center believes is responsible for providing  
             the service. Requires the regional center also to  
             provide written notification of this request to the  
             consumer's parent, legal guardian, or authorized  
             representative.

          5. Permits the regional center to withdraw its request for  
             dispute resolution at any time during the process.

          6. Upon receipt of the written notification, requires the  
             local agency to meet with the regional center and  
             resolve the dispute within 15 calendar days. If the  
             dispute is resolved, requires the agency to mail a  
             written copy of the resolution to the parent, guardian,  
             or authorized representative within 10 calendar days of  
             the meeting.

          7. If the dispute cannot be resolved within 10 calendar  
             days of the meeting, requires the parties to submit  







                                                               AB 1191
                                                                Page  
          4

             their contentions to the Office of Administrative  
             Hearings (OAH).

          8. Requires OAH to review the dispute and issue a binding  
             written decision within 30 calendar days of receipt of  
             the case, specifying the type, frequency and duration of  
             the disputed service to be provided, as specified in the  
             IFSP or IPP developed by the regional center, and which  
             entity is responsible for the service.

          9. Requires OAH to send a written copy of the resolution to  
             the parent, guardian, or authorized representative, the  
             Director of Developmental Services, the regional center,  
             and the local agency involved in the dispute resolution  
             process.

          10.Permits the local agency and the regional center to  
             arrange for the provision of services in the child's  
             IFSP or IPP on an interim basis, until the dispute is  
             resolved.

          11.Once the dispute resolution process is completed,  
             requires the agency determined to be responsible for the  
             service to reimburse the agency that provided the  
             service, if one did.

          12.Specifies that nothing in the inter-agency dispute  
             resolution process shall prevent a consumer from filing  
             for a due process hearing or pursuing a remedy through a  
             civil action.

          13.Requires DDS to pay for the services of the OAH.

          14.Specifies that no resolution reached through this  
             process shall set a precedent for the resolution of any  
             other matter.

          15.Sunsets the program December 31, 2004.

           Comments  :

          DDS and the regional centers administer early intervention  
          services for children who are developmentally delayed or at  
          risk of developmental disability.  However, the regional  







                                                               AB 1191
                                                                Page  
          5

          centers are required to share program responsibility with  
          local school districts and, if the child has health care  
          needs, programs administered by the Department of Health  
          Services, (including Medi-Cal and California Children's  
          Services) and  programs administered by county mental  
          health departments. It is not uncommon for disagreements to  
          occur among these various agencies regarding which agency  
          is responsible for paying for a particular service. When  
          such disagreements arise, the result is that the child may  
          go without the service until the agencies resolve their  
          differences or one of the agencies agrees to provide it.   
          Such disagreements can cause stress on families, interfere  
          with the provision of early intervention services, and,  
          regional centers believe, cause regional centers to absorb  
          more costs.

          This bill, sponsored by the Association of Regional Center  
          Agencies (ARCA), is nearly identical to one introduced last  
          year by the Assembly Human Services Committee, AB 2918.  AB  
          2918 passed out of the Assembly, but failed passage in the  
          Senate Appropriations Committee.  According to ARCA, the  
          bill was re-introduced this year because the need still  
          exists.  Families often face great frustration when a  
          regional center refers it to another local agency for  
          services, but the agency is reluctant to provide them.   
          This bill is intended to assure a timely resolution of  
          inter-agency disputes, and encourage services to be  
          provided while the resolution process is underway.

           FISCAL EFFECT :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

          According to the Senate Appropriations Committee:
                              Fiscal Impact (in thousands)

           Major Provisions        2001-02             2002-03               2003-04   
           Fund
           
          Dispute process                   60                    120           
              120                             General

           Staff Comments  :  

          DDS has estimated that the annual cost of the dispute  







                                                               AB 1191
                                                                Page  
          6

          process would be approximately $120,000 from the General  
          Fund.  These funds would be used to pay the Office of  
          Administrative Hearings (OAH) for its services for the  
          review of, and decisions on, about 70 cases per year.

           SUPPORT  :   (Verified  8/22/01)

          Association of Regional Center Agencies (source)
          Alta California Regional Center
          Developmental Disabilities Area Board 10
          San Gabriel/Pomona Regional Center
          Tri-Counties Association for the Developmentally Disabled,  
          Inc.

           OPPOSITION  :    (Verified  8/22/01)

          Department of Education

           ARGUMENTS IN SUPPORT  :    ARCA states that they are  
          sponsoring this bill because it is a major issue for  
          families when they attempt to access regional center  
          services.  Under law, regional centers are the payor of  
          last resort and must refer consumers and families to other  
          agencies for specific services.  Often agencies are  
          reluctant to provide these services even though they are  
          mandated to do so.  This is a frustrating process for  
          families who are caught between agencies in search of  
          services.  It also frequently results in regional centers  
          providing services for which they are not responsible.

           ARGUMENTS IN OPPOSITION :    The Department of Education  
          states that this legislation does not just cover children  
          under the Early Start program, but applies to all children  
          under the age of 6 who also have individual program plans  
          (IPPs).  The department states that these children most  
          likely also have individualized education plans (IEPs),  
          which take effect when a child reaches the age of 3.  AB  
          1191 establishes, on a piecemeal basis, greater protections  
          through interagency dispute resolution for children with  
          IPPs who may also be receiving services from other  
          noneducational public agencies through their IEPs, which is  
          in violation to the federal Individuals with Disabilities  
          Education Act.  
           







                                                               AB 1191
                                                                Page  
          7

           ASSEMBLY FLOOR  :
          AYES:  Aanestad, Alquist, Aroner, Ashburn, Bates, Bogh,  
            Briggs, Calderon, Bill Campbell, John Campbell,  
            Canciamilla, Cardenas, Cardoza, Cedillo, Chan, Chavez,  
            Chu, Cohn, Correa, Cox, Daucher, Diaz, Dickerson, Dutra,  
            Firebaugh, Frommer, Goldberg, Havice, Hollingsworth,  
            Horton, Jackson, Keeley, Kehoe, Kelley, Koretz, La Suer,  
            Leach, Leslie, Liu, Longville, Lowenthal, Maddox,  
            Maldonado, Matthews, Migden, Mountjoy, Nakano, Nation,  
            Negrete McLeod, Oropeza, Robert Pacheco, Rod Pacheco,  
            Papan, Pavley, Pescetti, Reyes, Richman, Runner, Salinas,  
            Shelley, Simitian, Steinberg, Strickland, Strom-Martin,  
            Thomson, Vargas, Washington, Wayne, Wesson, Wiggins,  
            Wright, Wyland, Wyman, Zettel, Hertzberg


          CP:jk  8/22/01   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

                                ****  END  ****