BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1756
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          ASSEMBLY THIRD READING
          AB 1756 (Swanson)
          As Amended  April 5, 2010
          Majority vote 

           HUMAN SERVICES      4-1         APPROPRIATIONS      10-5        
           
           ----------------------------------------------------------------- 
          |Ayes:|Beall, Ammiano, Hall,     |Ayes:|Fuentes, Ammiano, Coto,   |
          |     |Swanson                   |     |Davis, Bonnie Lowenthal,  |
          |     |                          |     |Hall, Skinner, Solorio,   |
          |     |                          |     |Torlakson, Hill           |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Tom Berryhill             |Nays:|Conway, Harkey, Miller,   |
          |     |                          |     |Nielsen, Norby            |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Restores federal food stamp eligibility to all  
          Californians with drug felony convictions; and eliminates the  
          eligibility conditions for drug users and possessors.

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee:

          1)Up to $1 million in food stamps benefits to the extent  
            additional individuals receive food stamps.  For every 900  
            beneficiaries, about $1 million in food stamps are received  
            annually.  These benefits are 100% federal funds. 

          2)Minor absorbable workload to local welfare departments to  
            process additional food stamps applications or adjust existing  
            family food stamps benefits. 

          3)Unknown General Fund and local tax revenues to the extent that  
            new food stamp recipients spend funds on taxable goods. 

          4)Unknown savings, to the extent federal food assistance reduces  
            the need for other kinds of public benefits. 

           COMMENTS  :  The lifetime ban on food stamps and temporary  
          assistance for needy families-funded benefits for persons with  
          felony drug convictions was included in the 1996 federal Welfare  
          Reform Act (Section 115 of the Personal Responsibility and Work  








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          Opportunity Reconciliation Act).  However, this new law also  
          gave states the ability to opt out of the ban for either of  
          these programs or based on particular drug felonies.  California  
          declined to include any opt-out provision when it implemented  
          welfare reform in 1997, but several years later, with AB 1796  
          (Leno), Chapter 932, Statutes of 2004, opted out of the ban for  
          drug users applying to the food stamp program.  These  
          individuals were deemed eligible for these benefits based on the  
          condition that they offer the following proof: completion of,  
          participation or enrollment in, placement on a waiting list to a  
          government-recognized drug treatment program, or other proof of  
          having ceased using illegal drugs.  

          The author of this bill seeks to opt out of the ban for drug  
          distributors and eliminate the above-references conditions.   
          This bill is similar to the one that the author introduced last  
          year (it was ultimately held in the Senate Appropriations  
          Committee), but as already mentioned, no longer contains the  
          conditions that were placed upon drug users.

          Under a prior version of this bill, the Governor's veto message  
          clarified that he supports drug treatment programs for drug  
          users, but pointed out that the bill's expansion of food stamp  
          eligibility to drug distributors based on the incentive of drug  
          treatment was not an appropriate solution because treatment does  
          not stop the distribution.  

           Small estimated increase in caseload  :  Currently close to 2  
          million low-income families receive food stamps. According to  
          previous Department of Social Services' assumptions about the  
          affected caseload, this bill will increase the number of food  
          stamps recipients by about 840, significantly less than a 1%  
          increase in caseload, and most of these newly eligible  
          participants will be part of families already receiving food  
          assistance. 

           Other state actions  :  According to a 2005 report by the General  
          Accounting Office (GAO), 15 states fully implemented the federal  
          ban on food stamp benefits to convicted drug felons, and 35  
          states had laws modifying the federal ban on food stamps.  Of  
          the 35 states with exemptions, 14 states exempted all convicted  
          drug felons from the food stamp ban, and 21 have laws that  
          exempt some convicted drug felons from the food stamp ban  
          provided they meet certain conditions.








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           Who is affected by this bill?   The GAO report also notes that  
          proportionally more female drug felons than males are affected  
          by the ban.  The GAO calculates that about 27% of female and 15%  
          of all drug offenders released from prison in 2001 in states  
          that had not modified the ban would have met the eligibility  
          requirements and therefore, be affected by the ban.

           Nutrition and drug felons  :  The drug felon rule has been the  
          subject of much criticism by drug treatment providers, advocates  
          for the poor, and law enforcement organizations because it  
          permanently disqualifies otherwise needy persons from receiving  
          food assistance and may interfere with their current or  
          continued recovery.  
            
          The premise of the original rule was that substance abusers  
          should be prevented from misusing public benefits to fuel their  
          addiction.  However, the lifetime ban denies aid to persons who  
          have served their sentence without a showing that they are drug  
          dependent and would use the benefits to further their habit.   
          Additionally, the food stamp program has converted to an EBT  
          system in which benefits are received through a debit card  
          subject to electronic tracking, and there is very little ability  
          for recipients to convert food assistance into drugs.
           
          Supporters also contend that passage of Proposition 36 in 2000  
          demonstrated the voters' intention to take a remedial,  
          non-punitive approach to substance abuse.  They also contend  
          that the lifetime ban imposes a special penalty only upon  
          persons poor enough to need public assistance; those convicted  
          of such crimes who do not need food stamps or cash aid face no  
          added financial penalty beyond the criminal consequences.

          The Western Center on Law & Poverty supports this bill and  
          states that, "The lifetime ban on Food Stamps for people with  
          past drug felony convictions creates barriers to successful  
          integration back into society.  Access to Food Stamps would help  
          with the recovery process, prevent recidivism and support  
          parents in rebuilding their relationships with their children.   
          The ban undermines California's efforts to reduce recidivism of  
          parolees and probationers while reducing state correction  
          costs."

           








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          Analysis Prepared by  :    Frances Chacon / HUM. S. / (916)  
          319-2089                                               FN:  
          0004102