BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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                                 THIRD READING


          Bill No:  AB 1914
          Author:   Davis (D)
          Amended:  8/18/10 in Senate
          Vote:     21

           
           SENATE HUMAN SERVICES COMMITTEE  :  3-2, 6/22/10
          AYES:  Liu, Romero, Yee
          NOES:  Emmerson, Runner

           SENATE APPROPRIATIONS COMMITTEE  :  7-4, 8/12/10
          AYES:  Kehoe, Alquist, Corbett, Leno, Price, Wolk, Yee
          NOES:  Ashburn, Emmerson, Walters, Wyland

           ASSEMBLY FLOOR  :  45-28, 5/6/10 - See last page for vote


           SUBJECT  :    Food stamps:  income reporting

            SOURCE :     Coalition of California Welfare Rights  
                      Organization
                      Western Center on Law and Poverty 


           DIGEST  :    This bill requires a county to take into  
          consideration unemployment compensation benefits of an  
          applicant or recipient of food stamp benefits for the  
          purposes of determining eligibility and benefit amount,  
          only if the county obtains a report containing information  
          relating to that applicant's unemployment benefits, as  
          specified.  

           ANALYSIS  :    
                                                           CONTINUED





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           Existing law

           1. Defines new sources of "anticipated income" for purposes  
             of food stamp eligibility determination to mean that the  
             household must know the amount and start date of the  
             income.  

          2. Authorizes, under state law, the Department of Social  
             Services (DSS) and county welfare departments access to  
             computer information maintained in the files of the  
             Employment Development Department (EDD) in order to  
             determine if CalWORKs applicants or recipients are  
             eligible for Unemployment Insurance benefits (UI  
             benefits) or disability insurance benefits (SDI); and  
             permits a county, if it thinks a CalWORKS applicant or  
             recipient is eligible, to require them to first apply  
             for UI benefits or SDI benefits.

          This bill:

          1. Requires a county to take into consideration  
             unemployment compensation benefits of an applicant or  
             recipient of food stamp benefits for the purposes of  
             determining eligibility and benefit amount only if the  
             county obtains a report containing information relating  
             to that applicant's unemployment benefits, as specified.

          2. Requires the applicant or recipient to provide this  
             report to the county, if the applicant or recipient  
             already has the report in his or her possession. This  
             bill would require the county to provide a copy of the  
             report, received from a source other than the applicant  
             or recipient, to the applicant or recipient if the  
             county takes any action based on the information in the  
             that report.

          3. Requires DSS to develop regulations and set a public  
             hearing by May 1, 2011, as specified. 

           Background
           
          For most households, California "prospectively budgets"  
          food stamps on a quarterly basis.  This means that the  







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          county decides whether a household is eligible and the  
          amount of food stamps based on the income the household  
          "reasonably anticipates" it will get in the upcoming  
          quarter.

          The county "budgets" (i.e., calculates) the food stamps  
          allotment for the next quarter, based on the income and  
          resources the family lists on an application or quarterly  
          report.  The county uses the reported information to  
          calculate the food stamps budget for the upcoming quarter. 

          There are strict and specific standards for when income can  
          be "reasonably anticipated." Basically, the county can only  
          count income the household and county are almost certain  
          the household will receive.  That is, the income must have  
          been or will be approved or authorized within the upcoming  
          quarter; and the household is otherwise reasonably certain  
          that the income will be received within the quarter; and  
          the amount of the income is known. 

          For new sources of income, such as UI benefits, this means  
          that the household must know the amount and start date of  
          the income.  If the household is not sure when it will  
          receive new income or how much it will get, the food stamp  
          office cannot count it.  For example, a family applies for  
          UI benefits but has not received a letter indicating when  
          the benefits will start and how much the benefit will be.   
          Therefore, this scenario does not meet the definition of  
          anticipated income.

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

          According to the Senate Appropriations Committee analysis:

                          Fiscal Impact (in thousands)

           Major Provisions                2010-11     2011-12     
           2012-13   Fund
           
          Mandate: county     Very minor; unlikely to be reimbursable  
              General    
            welfare agencies








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          DSS regulation                          Minor and  
          absorbable                                     General
            development                                              
          Federal

           SUPPORT  :   (Verified  8/18/10)

          Coalition of California Welfare Rights Organization  
          (co-source)
          Western Center on Law and Poverty (co-source)
          California Catholic Conference
          California Communities United Institute
          California Labor Federation
          National Association of Social Workers, California Chapter


          ARGUMENTS IN SUPPORT  :    The Western Center on Law &  
          Poverty, one of the sponsors of this bill, states that  
          current state food stamp regulation asserts that a new  
          source of income cannot be anticipated until there is  
          certainty about when it will begin and how much it will be.  
           This bill clarifies how this policy should be interpreted  
          for the purposes of anticipating UI benefits in the  
          determination of food stamp eligibility.  Ensuring that  
          applicants have secured UI benefits prior to counting this  
          income during food stamp eligibility determination will  
          prevent many newly unemployed households from being further  
          disadvantaged and from needlessly experiencing hunger.

           ASSEMBLY FLOOR  : 
          AYES:  Ammiano, Arambula, Beall, Blumenfield, Bradford,  
            Brownley, Buchanan, Caballero, Charles Calderon, Carter,  
            Chesbro, Coto, Davis, De Leon, Eng, Evans, Feuer, Fong,  
            Fuentes, Furutani, Galgiani, Hall, Hayashi, Hernandez,  
            Hill, Huber, Huffman, Jones, Lieu, Bonnie Lowenthal, Ma,  
            Monning, Nava, V. Manuel Perez, Portantino, Ruskin,  
            Salas, Saldana, Skinner, Solorio, Swanson, Torres,  
            Torrico, Yamada, John A. Perez
          NOES:  Adams, Anderson, Bill Berryhill, Tom Berryhill,  
            Blakeslee, Conway, Cook, DeVore, Emmerson, Fletcher,  
            Fuller, Gaines, Garrick, Hagman, Harkey, Jeffries,  
            Knight, Logue, Miller, Nestande, Niello, Nielsen, Norby,  
            Silva, Smyth, Audra Strickland, Tran, Villines
          NO VOTE RECORDED:  Bass, Block, De La Torre, Gilmore,  







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            Mendoza, Torlakson, Vacancy


          CTW:do  8/18/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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