BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 851
                                                                  Page  1

          Date of Hearing:   August 22, 2007

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mark Leno, Chair

                  SB 851 (Steinberg) - As Amended:  August 20, 2007 

          Policy Committee:                             Public  
          SafetyVote:6-0

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:              Yes

           SUMMARY  

          This bill, the Corrections Mental Health Act of 2007:

          1)Provides state superior courts statutory authority to develop  
            and implement mental health courts (MHCs), as specified, which  
            may operate as a pre-guilty plea program, a deferred entry of  
            judgment program, a post-plea program, and/or a contract  
            program for state parolees.

          2)Requires the Department of Corrections and Rehabilitation  
            (CDCR) to create a pilot program to provide comprehensive  
            mental health services to 100 parolees who have serious mental  
            illness (SMI) in each of three parole regions. The pilot  
            requires specified services for SMI parolees, pursuant to  
            criteria specified in current law, states that funding shall  
            be provided at sufficient levels, and authorizes CDCR to  
            contract with public or private service providers.

          3)Specifies that former parolees and former county jail inmates  
            are the third priority for existing mental health system of  
            care funding (essentially Proposition 63 funding), behind  
            existing programs and counties with a high incidence of  
            homeless SMI persons, as specified.
           
           FISCAL EFFECT

          1)MHCs.
           
             a)   No direct state costs for MHCs, as the bill is  
               permissive and does not require specific actions.  









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             b)   To the extent this bill results in additional MHCs  
               (currently 28 counties operate 39 MHCs), there could be  
               moderate GF costs in the range of one additional  
               personnel-year per court. (The Judicial Council estimates  
               an additional cost of $35,000 to $100,000 per court, while  
               the LAO estimates no additional cost, assuming a MHC will  
               result in marginally lower costs than the traditional court  
               process, as is the case with drug courts.) 

             c)   To the extent MHCs result in fewer SMI offenders  
               sentenced to state prison, there would be significant  
               annual net GF savings, potentially in the low tens of  
               millions of dollars. Potential savings depend on how many  
               offenders participate, program success rates, and  
               recidivism rates. For example, assuming 3,500 SMI offender  
               annual admissions to state prison, if additional MHCs  
               reduced this number by 30%, the annual savings would be  
               about $45 million, partially offset by the cost of mental  
               health services provided to the diverted offenders.  
               Assuming per capita mental health services costs of  
               $15,000, the increased cost of services would be in the  
               range of $16 million. 

                 Presumably Proposition 63 funds and local mental health  
            programs would bear the brunt of these costs.  (Proposition  
            63, 2004, established a one percent tax on taxable personal  
            income above $1 million to fund expanded mental health  
            services.) 
           
           2)CDCR comprehensive mental health system of care pilot program  .  


             a)   Annual GF costs, in the range of $5 million, for  
               enhanced mental health services for SMI parolees, assuming  
               additional costs of $15,000 per parolee. Services could  
               include housing, therapy, substance abuse treatment,  
               medication coordination and vocational rehabilitation. The  
               cost of these services would be fully borne by the state,  
               as state inmates and parolees are not eligible for  
               Proposition 63-funded services.  

             b)   To the extent the systems of care pilot results in fewer  
               parolees returning to state prison, there would be minor  
               annual GF savings. Potential savings depend on program  
               success rates, and recidivism rates. For example, assuming  








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               a current 70% recidivism rate within three years of release  
               from prison, if the pilot program reduces this rate to 35%,  
               the annualized savings would be in the range of $5 million.  

           
           SUMMARY CONTINUED  

           1)Re MHCs:

              a)   Specifies that MHC goals include creation of a dedicated  
               calendar or a locally developed collaborative  
               court-supervised mental health program to place as many  
               mentally ill offenders in community treatment as possible  
               and reduce recidivism. 

             b)   Requires consent of the prosecutor and judge before an  
               offender may participate in a MHC. 

             c)   Requires the MHC plan developed by the presiding judge  
               and specified local stakeholders to address: a) the method  
               by which the MHC will ensure the target population of  
               defendants will be identified and referred to MHC; b) the  
               method for assessing SMI defendants; c) eligibility  
               criteria; d) treatment and supervision program components;  
               e) program standards for participation and completion; f)  
               staff training;  g) individualized treatment plans, based  
               on mental health and substance abuse assessment; h) the  
               right of a defendant to withdraw from a MHC.

             d)   Authorizes a MHC to operate a pre-guilty plea program,  
               wherein criminal proceedings are suspended without a guilty  
               plea. If the court finds a defendant is not performing  
               satisfactorily, is not benefiting from the program, or has  
               engaged in criminal conduct rendering him or her unsuitable  
               for the pre-guilty plea program, the court shall reinstate  
               the criminal charge or charges. If the defendant has  
               performed satisfactorily during the period of the  
               pre-guilty plea program, at the end of that period, the  
               criminal charge or charges shall be dismissed and relevant  
               provisions of the diversion statutes shall apply. 

             e)   Allows a MHC to operate as a deferred entry of judgment  
               program. If the defendant is found eligible, the prosecutor  
               must file a declaration in writing or state for the record  
               the grounds upon which the determination is based and make  








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               this information available to the defendant. In lieu of  
               trail, the court may grant deferred entry of judgment  
               provided the defendant pleads guilty to each charge. Upon  
               the defendant's successful completion of a program, with  
               the positive recommendation of the program authority and  
               the motion of the prosecuting attorney, the court, or the  
               probation department, the court shall dismiss charges and  
               provisions of the diversion statutes shall apply. If the  
               defendant fails the program, the prosecuting attorney, the  
               probation department, or the court on its own may make a  
               motion to the court for entry of judgment and the court  
               shall render a finding of guilty to the charge or charges  
               and schedule a sentencing hearing. 

             f)   Allows a MHC to operate as a post-guilty plea program  
               when the defendant has entered a guilty plea or has been  
               sentenced and is on probation. If the defendant programs  
               successfully, criminal charges shall be dismissed and  
               existing diversion statute applied. 

             g)   Authorizes CDCR to contract with a superior court and  
               county to use MHCs as an alternative to custody for SMI  
               parolees who violate parole or receive new terms. The Board  
               of Parole Hearings may suspend parole revocation  
               proceedings pending a parolee's successful completion of a  
               MHC program. If a parolee fails the program, parole may be  
               revoked. Parolees who participate in a MHC remain under the  
               jurisdiction of CDCR. 

           2)Re a system of care pilot project for 300 SMI parolees  :

             a)   States that a comprehensive system of care for SMI  
               parolees results in the highest benefit to the client and  
               society, while ensuring the public sector meets its legal  
               responsibility and fiscal liability at the lowest possible  
               cost. 

             b)   States that by using the guidelines and principles of  
               the existing adult mental health system of care model, it  
               is the intent of the Legislature to encourage CDCR to  
               implement a similar system for delivery of mental health  
               services to SMI parolees. 

             c)   Requires CDCR, in consultation with the Department of  
               Mental Health (DMH), to establish prescriptive standards to  








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               ensure SMI inmates are identified, and provided services,  
               as specified.

             d)   Requires specified services for SMI parolees who meet  
               the eligibility criteria specified in existing law, and  
               states that sufficient funding shall be provided.

             e)   Requires CDCR to establish an advisory committee, as  
               specified, regarding the development of program performance  
               measures and evaluation. Requires CDCR to report to the  
               Legislature every year in which additional funding is  
               provided, regarding the effectiveness of the systems of  
               care in reducing homelessness, recidivism, involvement with  
               local law enforcement, and other measures as specified. 

           COMMENTS  

           1)Rationale  . The author's intent is to provide statutory  
            structure and encouragement for the formation of additional  
            MHCs (currently 39 MHCs operate in 28 counties) and to apply  
            the adult mental health systems of care model to SMI state  
            parolees, (who are not eligible for services funded via  
            Proposition 63), via a 300-parolee pilot project. 

            According to the author, "The missing element of corrections  
            reform is mental health care. This bill looks at the continuum  
            of an offender's experience from pre-booking to post-parole  
            and provides for mental health needs when appropriate. The  
            proposed remedies are based on importing the Systems of Care  
            approach, which has been proven effective by objective  
            evaluation and solid performance measures. The solution in  
            this bill is in routing mentally ill offenders into services  
            as early as possible, thereby treating their needs,  
            stabilizing their illness, increasing their ability to fully  
            incorporate into the living situation around them, and  
            reducing the likelihood that they will re-offend." 

           2)Concerns.

             a)   The value of providing statutory authority for MHCs is  
               not readily apparent  . As superior courts can, and do,  
               operate MHCs, it is not clear that adding permissive  
               statutory language will encourage the formation of  
               additional courts or enhance the operation of those in  
               existence now. 








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                                                                  Page  6


              b)   Contracting with a court to use the court as something  
               other than a court creates a quandary  . Authorizing CDCR to  
               contract with MHCs to deal with parolees who may have  
               committed administrative parole violations, but not new  
               crimes, puts the court in the strange position of serving  
               as a sort of administrative law judge to the Board of  
               Prison Hearings, who would retain ultimate authority over  
               the parolees before the court. 

               Preliminary discussions with judicial representatives  
               indicate that while many judges clearly support mental  
               health courts and the rationale behind SB 851, there are  
               considerable jurisdictional concerns that have yet to be  
               adequately resolved. 

               Under SB 851, the Board of Parole Hearings (BPH) retains  
               sole jurisdiction over the parolee. This results in the  
               trial judge serving as a parole agent, or an administrative  
               hearing officer, performing duties subservient to another  
               branch of government. This appears to be an inappropriate  
               role for a judge, leaving the judge without the tools  
               necessary for a successful collaborative court model. The  
               reason trial court judges are an effective part of  
               collaborative justice treatment programs is their ability  
               to use the coercive power of the criminal justice system to  
               encourage compliance with treatment regimens. Without  
               statutory jurisdiction, that coercive power cannot be  
               exercised. A trial court judge should not oversee treatment  
               progress under these circumstances.

               Though SB 851 provides no transfer of jurisdiction or  
          authority from the BPH to a MHC, any effort to do so may prove  
          unconstitutional, as long as the BPH retains jurisdiction. Such  
          a role appears inconsistent with Article VI of the California  
          Constitution, the doctrine of separation of powers, and the  
          principle of the independence of the judiciary.  

                 Given the jurisdictional complexities regarding SMI  
            parole violators who have not                                
            committed a new crime, it may be preferable to deal with these  
            individuals through                                          
            alternative sanctions that can be developed and administered  
            by CDCR. SMI parolees                                        
            accused of a new crime could be diverted to a MHC under  








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            current law and/or this bill.    

              c)   The duration and scope of the proposed pilot project  
               should be clarified  . A four-year sunset may be appropriate,  
               in addition to clarifying whether the intent is a program  
               total of 300 parolees, including those who may be revoked,  
               or a rolling 300. 

              d)   Why classify former parolees and former jail inmates as  
               tier-three mental health priorities  ? Specifying that SMI  
               individuals who are no longer on parole or have been  
               discharged from county jails are the third priority for  
               existing mental health systems of care funding (essentially  
               Proposition 63 funding), behind existing programs and  
               counties with a high incidence of homeless SMI persons, as  
               specified, raises the issue of why former parolees or  
               former jail inmates need to be prioritized in this manner.  
               Presumably they are also part of the existing priority  
               tiers.   



           Analysis Prepared by  :    Geoff Long / APPR. / (916) 319-2081