BILL ANALYSIS                                                                                                                                                                                                    






                        SENATE HEALTH AND HUMAN SERVICES
                               COMMITTEE ANALYSIS
                        Senator Deborah V. Ortiz, Chair


          BILL NO:       AB 379                                       
          A
          AUTHOR:        Mullin                                       
          B
          AMENDED:       May 27, 2004
          HEARING DATE:  June 23, 2004                                
          3
          FISCAL:        Appropriations                               
          7
                                                                      
          9
          CONSULTANT:                                              
          Hailey/sl
          

                                     SUBJECT
                                         
                   Family child care home education networks

                                     SUMMARY  

          Establishes family child care home education networks,  
          within the Child Care and Development Services Act, to  
          support educational objectives for children in licensed  
          family child care homes.

                                     ABSTRACT  
          
          Existing law:
          1.Establishes a classification of community care facility  
            called family day care home, licensed for up to six  
            children or, with a second adult present, up to 12  
            children.  (Health and Safety Code Sections 1597.30 et  
            seq.)  This bill refers to family day care homes as  
            family child care homes.

          2.Defines "child care and development programs" as programs  
            that offer a full range of services for children from  
            infancy to 14 years of age for any part of the day, in  
            centers or family child care homes.  (Education Code  
            Section 8208)
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          3.Requires the Superintendent of Public Instruction (SPI)  
            to fund and to develop standards of quality for these  
            programs.  (Education Code Sections 8202 and 8203)

          4.Allows the State Department of Education (SDE) to  
            contract with networks of family child care homes.   
            (Education Code Sections 8240 through 8244)
          
          This bill:
          1.Expresses the intent of the Legislature to clarify and  
            codify state law governing current contracts with  
            networks of family child care homes.

          2.Establishes a new program, within the Child Care and  
            Development Services Act, called family child care home  
            education networks.
          3.Defines a network as an entity that contracts with SDE to  
            make payments to licensed family child care home  
            providers, and to provide educational and support  
            services to those providers and to children and families  
            eligible for state-subsidized child care and development  
            services.  

          4.Requires the SPI to contract with networks that support  
            educational objectives for children in licensed family  
            day care homes that serve families eligible for  
            subsidized child care, when funds are appropriated for  
            this purpose.

          5.Requires network programs to include at least the  
            following:
                     Age and developmentally appropriate activities  
                 for children.
                     Care and supervision of children.
                     Parenting education and parental involvement.
                     Social services, including the identification  
                 of child and family needs and referral to  
                 appropriate agencies.
                     Health services including referrals.
                     Nutrition.
                     Training and support for network providers and  
                 staff.
                     Assessment of each provider to ensure that  
                 services are of high quality and educationally and  
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                 developmentally appropriate.
                     Developmental profiles of children.

          6.Requires network contractors to:
                     Recruit, enroll, and certify eligible families.
                     Recruit, train, support, and reimburse licensed  
                 family home providers.
                     Collect family fees.
                     Assess the educational quality of each  
                 participating home, pursuant to requirements to be  
                 established by the SDE.
                     Monitor requirements and conduct periodic  
                 assessments.
                     Ensure that basic health and nutrition  
                 requirements are met.
                     Provide data and reporting in accordance with  
                 contract requirements.
                     Establish a written policy that describes the  
                 relationship between the Network and each provider  
                 including the establishment of rates and the  
                 conditions that determine whether the provider is an  
                 independent contractor or is an employee of the  
                 Network.

          1.States that the act does not impose any new requirement  
            on a network that entered into an agreement with the SDE  
            on or before January 1, 2005, and does not require any  
            increases in reimbursement rates under that contract.   
            Also states that the act does not require the SDE to  
            modify its contracting procedure that was in effect prior  
            to January 1, 2005.

                                  FISCAL IMPACT  

          According to the Assembly Floor analysis, SDE maintains  
          that costs are absorbable.  The Assembly Appropriations  
          Committee confirms that there is no cost.

                            BACKGROUND AND DISCUSSION  

          Family child care home education networks are not currently  
          defined in state law.  SDE has contracted with networks for  
          over 30 years to recruit licensed family home providers to  
          provide care, place children with providers, ensure  
          children receive an appropriate education program, provide  
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          training for both parents and providers, collect family  
          fees, and collect invoices from providers, among other  
          responsibilities.  In 2001-02 more than 5,000 children were  
          served by 32 network contracts.

          The author's purpose
          During the past 30 years, SDE has contracted with family  
          child care networks under the general rubric of child care  
          and development programs.  The author believes that  
          codifying existing practice and defining the purpose,  
          responsibilities, and outcome measures for family child  
          care networks is in order.

          Family child care networks
          Under current provisions of the Education Code, SDE  
          contracts with family child care networks - including  
          requiring appropriate activities for children, parenting  
          education and involvement, social and health services,  
          nutrition, and training and career ladder opportunities.   
          The contract includes a maximum amount of funds and a daily  
          per-child rate for child care and development services.   
          The network provides administration of the contract -  
          recruiting licensed family child care providers, certifying  
          the eligibility of children, enrolling children, and  
          ensuring that all required services are provided to the  
          children and families who are enrolled in subsidized care.   
          These contracts are authorized through Article 8, General  
          Child Care, of the Child Care and Development Services Act.  


          Potential conflict
          Legislative counsel advises the author and the committee  
          that AB 379 appears to be in conflict with SB 1657.  












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                              COMMENTS AND QUESTIONS  

          1.Need for the bill.  Family child care networks, like  
            child care centers, have received direct contracts from  
            SDE for 30 years.  The Education Code provisions for  
            General Child Care, specifically Section 8240, apply to  
            centers and to family child care networks.  The Code has  
            served family child care networks well.  Is there a need  
            to add an article to the Education Code?
          
          2.Reduced flexibility?  Currently, centers and family child  
            care networks operate under the "general child care"  
            rubric.  This bill establishes a new program type for  
            family child care networks.  Is establishing a separate  
            program type in the long-term interest of having a  
            flexible and responsive child care and development  
            system?






                                  PRIOR ACTIONS

           Senate Education:        11 - 0    Do Pass
          Assembly Floor:          65 - 13  Pass
          Assembly Appropriations: 23 - 0    Do Pass
          Assembly Human Services:   6 - 1    Do Pass as Amended

                                    POSITIONS 

          Support:       California Child Care Resource and Referral  
          Network
                         California Child Development Administrators  
          Associates
                         California State PTA
                         Consumers Union
                         Health Access California

          Oppose:   None on file



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