BILL ANALYSIS
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|SENATE RULES COMMITTEE | AB 324|
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THIRD READING
Bill No: AB 324
Author: Beall (D), et al
Amended: 9/1/09 in Senate
Vote: 21
SENATE HUMAN SERVICES COMMITTEE : 4-1, 6/23/09
AYES: Liu, Maldonado, Alquist, Yee
NOES: Runner
SENATE APPROPRIATIONS COMMITTEE : 8-5, 8/27/09
AYES: Kehoe, Corbett, Hancock, Leno, Oropeza, Price, Wolk,
Yee
NOES: Cox, Denham, Runner, Walters, Wyland
ASSEMBLY FLOOR : 53-21, 6/3/09 - See last page for vote
SUBJECT : Aging: Elder Economic Security Standard Index
SOURCE : California Senior Legislature
Catholic Charities of California
Insight Center for Community Economic
Development
National Association of Social Workers,
California Chapter
The Womens Foundation of California
DIGEST : This bill requires area agencies on aging to
utilize the Elder Index in it four-year plans, and requires
the Department of Aging to include the Elder Index in the
four-year State Plan and review area agencies on aging area
CONTINUED
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plans for inclusion of the Elder Index.
ANALYSIS :
Existing law:
1. Establishes the federal Older Americans Act which
provides a national network of state units on aging and
area agencies on aging to deliver home and
community-based programs for older adults, including
nutrition, transportation, information and assistance,
elder abuse prevention, and caregiver support.
2. Establishes the Older Californians Act which provides
state-funded programs and services for older adults and
people with disabilities.
3. Establishes the Department of Aging (CDA) as the state
unit on aging to administer a broad range of home and
community-based programs and to provide leadership to
the area agencies on aging in developing systems of home
and community-based services that maintain individuals
in their own homes or least restrictive homelike
environments.
4. Requires CDA to develop minimum standards for service
delivery to ensure that programs meet consumer needs,
operate in a cost-effective manner, and preserve the
independence and dignity of aging Californians.
5. Establishes the area agencies on aging as the entities
that provide for and deliver services under the Older
Americans Act, the Older Californians Act, and other
funding sources at the local level.
6. Requires area agencies on aging to conduct regular needs
assessments in their planning and service area to
document the service needs of older adults and adults
with disabilities.
7. Requires each area agency to develop and submit to CDA
an area plan every four years that must include the
available data and population trends, assess the
community's need for services, identify sources of
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funding for those services, and develop and implement a
plan for the delivery of those services based on the
community's needs.
8. Defines "greatest economic need" as need resulting from
an income level at or below the poverty threshold
established by the Bureau of the Census (Section 9014 of
the Welfare and Institutions Code), directs CDA to:
A. Provide an annual update for each service planning
area of changes in population characteristics
including persons over 60 years of age of greatest
economic need.
B. Ensure that new funds provided to service and
planning areas be expended on persons with the
greatest economic need.
C. Ensure that funding decisions to reach parity
among the service and planning areas will be based in
part on targeting services to those of greatest
economic need. (WIC Sections 9111 and 9112)
9. Specifies that in fulfilling their mission, area
agencies shall build upon the resources unique to each
community and be guided by a description of a
community-based system that includes the assurance that
all services are readily accessible to all older adults,
involves a collaborative decision making process, and
offers special help or targeted resources for the most
vulnerable older individuals, those in danger of losing
their independence.
10.Establishes the linkages program to provide
comprehensive case management to help frail elderly and
adults with disabilities remain in their homes: it is
designed to serve individuals who are not eligible for
other care management programs, and there are no income
criteria for clients, but they must have some difficulty
with completing their daily activities to qualify for
the program.
11.Requires CDA to develop a state plan on aging every four
years based upon the local area plans and to submit the
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plan to the federal administration on aging.
12.Establishes the federal poverty guideline, issued each
year in the Federal Register by the Department of Health
and Human Services, for use in determining financial
eligibility for certain federal programs.
This bill:
1. Defines "elder economic security standard index (EESSI)"
as an index developed by the Wider Opportunities for
Women and Gerontology Institute at the University of
Massachusetts, Boston, which uses publicly available
data to quantify the costs in the private market of
basic needs for elders, including, but not limited to,
food, shelter, health care, transportation, utilities,
and essential household items.
2. Requires CDA to report elder index data for each service
area in its state plan.
3. Requires each plan utilize the EESSI, specify the costs
of meeting basic needs for elders in each planning and
service area, and identify which elders are living at or
below the EESSI. The requirements of this paragraph
shall be implemented only upon receipt by the area
agencies on aging of the updated EESSI.
4. Requests that the University of California (UC) take the
necessary actions to update the EESSI and provide it to
area agencies on aging for purposes of developing the
area plans.
5. Establishes the California EESSI Fund, to be composed of
private donations, which upon appropriation by the
Legislature will be used by the department for its
administrative costs and for allocation to the UC for
purposes of updating the EESSI, as specified.
6. Requires the Director of the Department of Finance (DOF)
to determine, in writing, whether sufficient funds are
available for the costs of updating the EESSI, as
specified. The area agencies on aging would not be
required to develop the specified plan requirements if
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the UC declines to update the EESSI.
7. Repeals the provisions of this bill on the date that the
Director of DOF determines that sufficient moneys from
private donations are not available in the fund for
expenditure for purposes of updating the EESSI.
8. Specifies nothing in the bill shall be construed, based
on the use of the EESSI, to affect means-tested programs
administered through the Mello-Granlund Older
Californians Act.
9. Specifies that this bill shall not be construed to
mandate changes in the current funding allocations to
area agencies.
Background
While programs and services administered by CDA and the
area agencies on aging do not require means-testing for
eligibility, the federal Older Americans Act requires that
preference be given to older adults with the greatest
economic or social needs, with particular attention given
to low-income minority individuals. To meet the federal
requirements, CDA and area agencies track data, including
poverty data, on the number of older adults and people with
disabilities within a given area. One effect of this bill
would be to increase the number of persons whom the
department and area agencies plan for and track and to
increase the number of persons who would be considered a
priority for receiving services.
University of California, Los Angeles (UCLA) has calculated
county-by-county indices for California using 2007 data .
The Center for Health Policy Research at UCLA, has
calculated the elder index for each California county,
using 2007 data, and center staff have put the results on
line:
http://www.healthpolicy.ucla.edu/elder_index08feb.html.
For purposes of comparison, the biggest differences are
within counties when comparing persons who have a mortgage
payment or are renters with those who do not rather than
between and among counties. For example, here are the
elder indices for Los Angeles, San Francisco, San Luis
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Obispo, and Santa Clara counties, counties that members of
the Senate Human Services Committee represent. Again,
according to UCLA, these figures are an estimate of the
"basic income needed to make ends meet for retired persons
ages 65 and older."
Elder index per year by county:
County Single w/o mortgage Single w/
mortgage Single renter
Los Angeles $16,355 $30,591 $22,827
San Francisco $17,586 $37,893 $27,435
San Luis Obispo $17,587 $30,588 $22,380
Santa Clara $17,632 $37,641 $25,391
Note: Los Angeles data excludes City of Los Angeles
Source: UCLA Center for Health Policy Research
For couples in San Francisco, San Luis Obispo, and Santa
Clara counties, add $10,000 to each column; for couples in
Los Angeles County, add $8,000 to each figure.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee:
Fiscal Impact (in thousands)
Major Provisions 2009-10 2010-11
2011-12 Fund
CDA EESSI implementation $30 $60
$60Private
and annual calculation
CDA administration unknown, but potentially in
theGeneral/
hundreds of thousands;
eventuallyPrivate
offset by private donations
Cost pressure on state means unknown, but
potentially in the General/
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tested programs millions of dollars annuallyFederal
SUPPORT : (Verified 9/1/09)
California Senior Legislature (co-source)
Catholic Charities of California (co-source)
Insight Center for Community Economic Development
(co-source)
National Association of Social Workers, California Chapter
(co-source)
The Women's Foundation of California (co-source)
AAA Advisory Council - PSA 19
Aging Services of California
Alameda County Community Food Bank
American Association of Retired Persons
Area 4 Agency on Aging
Asian & Pacific Islander, Older Adults Task Force
Asian Pacific American Legal Center of Southern California
Asian Pacific Health Care Venture, Inc.
Asian Resources
Ben Eden Housing
Berkeley City Council District 7
Blackbaud
California Advocates For Nursing Home Reform
California Alliance for Retired Americans
California Association of Area Agencies on Aging
California Association of Public Authorities for In-Home
Supportive Services
California Church Impact
California Commission on Aging
California Commission on the Status of Women
California Senior Leaders' Alliance, University of
California Berkeley
Cambrian Center
Central California Asian Pacific Women
Chinatown Service Center
Christian Church Homes
Citizens for Choice
City and County of San Francisco
City of Carson
Community Living Campaign
Congress of California Seniors
Consumer Action
Contra Costa County Advisory Council on Aging
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County Welfare Directors' Association
Davis Street Family Resource Center
East Bay Asian Local Development Corporation
East Bay Asian Local Development Corporation
East San Diego County Action Network
Ecumenical Peace Institute
Experience Corps
Family Bridges
Family Caregiver Alliance
Filipinos for Affirmative Action
Gray Panthers
Health Trust
J.L. Richard Terrace and Irene Cooper Terrace Senior
Housing
Japanese American Citizens League
Japanese American Community Senior Service
Jewish Community Relations Council
Jewish Family Service of Los Angeles
Keller Plaza Apartments
Korean Churches of Community Development
Lavender Seniors of the East Bay
LifeLong Medical Care
Little Tokyo Service Center, CDC
Live Oak Adult Day Services
Madera Coalition for Community Justice
Member San Francisco Mental Health Board (for
identification purposes only)
Monterey County Department of Social and Employment
Services
Old Lesbians Organizing for Change
Older Women's League of California
ONEgeneration
Organization of Farmworker Women Leaders in California
Partners in Care Foundation
Passages
Planned Parenthood of San Diego and Riverside Counties
Professional Fiduciary Association of California
Rebuilding Together Oakland
Retired Public Employees' Association
Richmond Commission on Aging
Sacramento County Mental Health Services Act Community
Services and Supports Older Adult Workgroup
Salud Para La Gente
San Diego East County Action Network
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San Francisco Advisory Council to Aging and Adult Services
Commission
San Francisco Black Leadership Forum
San Francisco Department on the Status of Women
San Francisco Mayor Gavin Newsom
San Francisco Mental Board
Satellite Housing, Inc.
Senior Community Centers
Senior Housing Solutions
Senior Peer Counseling
Senior Services Coalition
Senior Services Foundation
Seniors Council
St. Anthony Foundation
St. Mary's Center
St. Paul's Senior Homes and Services
The Berkeley Daily Planet
The Utility Reform Network
Time For Change Foundation
UCLA Center for Health Policy Research
United Methodist Women
United Way of the Bay Area
Visiting Angels, East Bay
Westlake Christian Terrace
Wider Opportunities for Women
WIN/California Women's Agenda
OPPOSITION : (Verified 9/1/09)
Department of Aging (prior version)
Department of Finance (prior version)
ARGUMENTS IN SUPPORT : Supporters believe that the elder
economic security standard provides a framework to help
guide public, private, and elders' decisions. Cost data
can be inserted into the model for specific geographic
areas to determine the minimum standard for that area. In
this way, the tool may be adapted for individual planning
purposes and used as a targeted tool for state and local
policy makers, community agencies, and advocates. In
addition, supporters believe that using the index in
preparing area agency plans will enable the state and
federal governments to have a more complete and accurate
picture of the numbers of elderly people who lack the basic
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income needed to make ends meet, and the extent of those
income shortfalls.
ARGUMENTS IN OPPOSITION : CDA opposes the bill because it
states that it cannot absorb the cost of implementation.
CDA also points out that the bill could create unrealistic
service expectations at a time when there is little ability
to increase service levels.
ASSEMBLY FLOOR :
AYES: Adams, Ammiano, Arambula, Beall, Blumenfield,
Brownley, Buchanan, Caballero, Charles Calderon, Carter,
Chesbro, Coto, Davis, De La Torre, De Leon, Eng, Evans,
Feuer, Fong, Fuentes, Furutani, Galgiani, Gilmore, Hall,
Hayashi, Hernandez, Hill, Huber, Huffman, Jones,
Krekorian, Lieu, Bonnie Lowenthal, Ma, Mendoza, Monning,
Nava, Nestande, John A. Perez, V. Manuel Perez,
Portantino, Price, Ruskin, Salas, Saldana, Skinner,
Solorio, Swanson, Torlakson, Torres, Torrico, Tran, Bass
NOES: Anderson, Bill Berryhill, Tom Berryhill, Blakeslee,
DeVore, Duvall, Fletcher, Fuller, Gaines, Garrick,
Hagman, Harkey, Jeffries, Knight, Logue, Miller, Niello,
Nielsen, Smyth, Audra Strickland, Villines
NO VOTE RECORDED: Block, Conway, Cook, Emmerson, Silva,
Yamada
CTW/JJA:mw 9/2/09 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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