BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   AB 627|
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                                 THIRD READING


          Bill No:  AB 627
          Author:   Brownley (D), et al
          Amended:  9/1/09 in Senate
          Vote:     21

           
           SENATE EDUCATION COMMITTEE  :  7-2, 7/8/09
          AYES:  Romero, Alquist, Hancock, Liu, Maldonado, Padilla,  
            Simitian
          NOES:  Huff, Wyland

           SENATE HEALTH COMMITTEE  :  7-3, 7/15/09
          AYES: Alquist, Cedillo, DeSaulnier, Leno, Negrete McLeod,  
            Pavley, Wolk
          NOES: Strickland, Aanestad, Cox
          NO VOTE RECORDED: Maldonado

           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  :  49-28, 6/3/09 - See last page for vote


          SUBJECT  :    Child care:  nutritional requirements

           SOURCE  :     California Food Policy Advocates


           DIGEST  :    This bill requires the Superintendent of Public  
          Instruction to establish a 12 month pilot program in child  
          care centers and day care homes to implement enhanced  
                                                           CONTINUED





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          nutrition and physical activity standards in exchange for a  
          higher state meal reimbursement.  The California Department  
          of Education (CDE) would be authorized to convene a  
          stakeholder group to advise the design, implementation, and  
          evaluation of the program.  The pilot would be implemented  
          only to the extent that non-General Fund funding sources  
          are available.  The CDE would contract with an independent  
          agency to evaluate the implementation and outcomes of the  
          pilot and submit a report to the Legislature.  The  
          evaluation would consider the health outcomes, changes in  
          food and beverages provided, and the fiscal impact of  
          implementation.  This bill sunsets January 1, 2015.

           ANALYSIS  :    Existing law states that the State Department  
          of Education administers the federal the Child and Adult  
          Care Food Program to provide subsidized meals and snacks  
          for these populations with the purpose of ensuring adequate  
          nutrition while in care.  Existing law states, under the  
          California Child Day Care Facilities Act, that the state  
          Department of Social Services licenses and regulates child  
          day care facilities, and that persons or organizations  
          offering child day care must comply with specified  
          licensure requirements.  Existing law also defines a child  
          day care facility as a facility that provides non-medical,  
          supervisory care to children under 18 years of age.  These  
          facilities include: day care centers, employer-sponsored  
          child care centers, and family day care homes. 

          The federal government provides a maximum of $1.17 for  
          breakfast, $2.18 for lunch, and $0.65 for snacks.   
          California provides $0.16 for breakfast and $0.16 for lunch  
          to licensed child care centers, and $0.16 for 75 percent of  
          the breakfast and lunches served to children enrolled in  
          licensed child care homes. 

          There are currently fifteen, 150 licensed center-based  
          sites and 38,867 licensed child care homes in California,  
          with capacity for 1.2 million children from birth to 12  
          years of age.  The federal Child and Adult Care Food  
          Program serves over 350,000 children in California.

          In August 2007, the CDE and the Health and Human Services  
          Agency convened a stakeholder group to make key  
          recommendations for reducing childhood overweight/obesity  







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          in child care settings.  One recommendation was to  
          establish nutrition standards for licensed child care  
          providers.  In August 2008, the CDE, in coordination with  
          the Department of Public Health, convened an advisory  
          committee to develop nutrition standards in child care.   
          The nutrition standards established by this bill are  
          consistent with the recommendations of this group.

           Pilot program

           This bill:

          1.Requires the Superintendent of Public Instruction (SPI)  
            to establish a pilot program of at least 12 months in  
            duration, in which licensed child care providers selected  
            by the SPI implement specified nutrition and physical  
            activity standards in exchange for a higher state meal  
            reimbursement rate.

          2.Requires the CDE to design and implement the pilot  
            program, and authorizes the CDE to convene a stakeholder  
            group for advice on the design, implementation and  
            evaluation.

          3.Requires the CDE to contract with an independent agency  
            to evaluate the implementation and outcomes of the pilot  
            program.  The evaluation must be completed and submitted  
            to both the Senate and Assembly Education Committees  
            within one year of the conclusion of the pilot program  
            (it is unknown when the pilot program will conclude  
            because this bill is contingent upon a determination by  
            the SPI that non-General Fund moneys are available for  
            the purposes of this bill).  This bill specifies  
            information that must be included in the evaluation.

          4.Requires the pilot program to be established only if the  
            SPI determines that non-General Fund funding sources,  
            including but not limited to, federal funding or grant  
            sources, are available to implement the pilot program.   
            The SPI is required to post a declaration of the  
            availability of such funds on the California Department  
            of Education's website.

          5.Sunsets the pilot program on January 1, 2015.







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

          According to information provided by CDE, total costs for  
          the pilot would be approximately $2.9 million.  CDE's  
          assumptions include an increase in the meal reimbursement  
          rate of $0.12 for 13,500 preschoolers over an 18 month  
          period, and additional costs related to training,  
          administration, and the evaluation.  The bill specifies  
          this pilot will only be implemented when the SPI determines  
          there are sufficient non-General Fund sources available.   
          Discussions with CDE indicate that several funding sources  
          have already been identified.  

          Currently, the state reimbursement rate per meal is $0.16.   
          To the extent new requirements are added as a result of  
          this bill (particularly due to the results of the pilot  
          evaluation), there would be cost pressures, likely in the  
          millions, to increase the reimbursement rate.  

           SUPPORT  :   (Verified  9/1/09)

          California Food Policy Advocates (source) 
          American Academy of Pediatrics
          American Heart Association
          California Association for the Education of Young Children
          California Center for Public Health Advocacy
          California Hunger Action Coalition
          California State PTA
          California Teachers Association
          California WIC Coalition
          Child Care Food Program Roundtable
          Child Nutrition Program of Southern California
          City and County of San Francisco 
          Food Bank of Contra Costa and Solano
          FRAMAX
          Fresno Metro Ministry
          Latino Coalition for a Healthy California
          Public Health Foundation Enterprise WIC Program
          Public Health Institute
          Santa Clara County Board of Supervisors
          Urban and Environmental Policy Institute, Center for Food  
          and Justice







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           OPPOSITION  :    (Verified  9/1/09)

          Department of Finance
          Grocery Manufacturers Association (unless amended)

           ARGUMENTS IN SUPPORT  :    According to the author's office,  
          by establishing a pilot project to determine how higher  
          nutritional standards can best be implemented in child care  
          settings, and this bill is the first step toward putting  
          good eating habits into practice that will decrease the  
          likelihood of childhood obesity and prevent adverse health  
          conditions.

           ARGUMENTS IN OPPOSITION  :    According to the Department of  
          Finance, "Although this bill would not result in new costs  
          to the state, it is likely to create cost pressure for the  
          state to add Proposition 98 General Fund resources to the  
          Child and Adult Care Food Program (CACFP).  Currently, the  
          state provides approximately $0.16 per meal, which  
          supplements various per-meal rates provided by the federal  
          CACFP. Because the bill is likely to result in higher  
          commodity costs for centers and providers, it is logical to  
          assume that centers and providers would expect to see a  
          corresponding increase in funding from the state."

           ASSEMBLY FLOOR  : 
          AYES: 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, Hall, Hayashi,  
            Hernandez, Hill, Huber, Huffman, Jones, Krekorian, Lieu,  
            Bonnie Lowenthal, Ma, Mendoza, Monning, Nava, John A.  
            Perez, V. Manuel Perez, Portantino, Price, Ruskin, Salas,  
            Saldana, Skinner, Solorio, Swanson, Torlakson, Torres,  
            Torrico, Bass
          NOES: Adams, Anderson, Tom Berryhill, Blakeslee, Conway,  
            Cook, DeVore, Duvall, Emmerson, Fletcher, Fuller, Gaines,  
            Garrick, Gilmore, Hagman, Harkey, Jeffries, Knight,  
            Logue, Miller, Nestande, Niello, Nielsen, Silva, Smyth,  
            Audra Strickland, Tran, Villines
          NO VOTE RECORDED: Bill Berryhill, Block, Yamada









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          DLW:nl  9/1/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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