BILL ANALYSIS
AB 2114
Page 1
ASSEMBLY THIRD READING
AB 2114 (Beall)
As Amended April 22, 2010
Majority vote
AGING 4-1 APPROPRIATIONS 12-5
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|Ayes:|Yamada, Bonnie Lowenthal, |Ayes:|Fuentes, Ammiano, |
| |Nestande, Torres | |Bradford, |
| | | |Charles Calderon, Coto, |
| | | |Davis, Nava, Hall, |
| | | |Skinner, Solorio, |
| | | |Torlakson, Torrico |
| | | | |
|-----+--------------------------+-----+--------------------------|
|Nays:|Norby |Nays:|Conway, Harkey, Miller, |
| | | |Nielsen, Norby |
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SUMMARY : Requires the California Department of Aging (CDA) and
Area Agencies on Aging (AAAs) to utilize the Elder Economic
Security Standard Index (Elder Index) in their service planning.
Specifically, this bill :
1)Defines the Elder Index as an index, available on the
Internet, that quantifies the costs that elders face in
meeting their basic needs, including, but not limited to,
food, shelter, health care, transportation, utilities, and
essential household items, in the private market.
2)Specifies that the Elder Index is updated by the University of
California, Los Angeles (UCLA) Center for Health Policy
Research using publicly available data sources on the cost to
live in each county of the state.
3)Requires CDA to report the Elder Index data for each service
area in its State Plan if the Elder Index is updated and made
available to the department.
4)Requires each Area Plan developed by an AAA to use the Elder
Index and specify the costs of meeting basic needs for elders
in each planning and service area (PSA) and identify which
elders are living at or below the Elder Index if the Elder
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Index is updated and made available to the AAA.
5)Requires AAAs to use the Elder Index to track the progress of
participants in the state-administered Senior and Community
Service Employment Program (SCSEP) if the Elder Index is
updated and made available to the AAA.
6)Specifies that nothing in this bill shall be construed to
mandate changes in the current funding allocations to AAAs or,
based on the use of the Elder Index, affect means-tested
programs administered through the Mello-Granlund Older
Californians Act.
FISCAL EFFECT : According to the Assembly Appropriations
Committee:
1)No direct fiscal impact to CDA to administer the Index if the
data and analysis is provided by the UCLA Center for Health
Policy Research. According to the author and sponsors, the
Center for Health Policy Research maintains and publishes
county-specific data related to the Index online. The author
may wish to amend this bill to reflect that California
specificity and the availability of the data to relieve any
cost pressure.
2)Unknown, likely minor administrative savings to AAA to the
extent use of the Index reduces duplicative planning efforts
and increases the reliability of quantitative analyses of
local information.
COMMENTS : Policymakers typically measure poverty and determine
benefits eligibility by using the federal poverty guidelines
(FPG), a 1963 measure based solely on the cost of a basic food
diet. Although the FPG is updated annually using the Consumer
Price Index, the current FPG is the same dollar amount ($10,830
for an individual living alone) whether one lives in a high cost
market like urban Los Angeles, or a low cost region like rural
Arkansas.
In contrast to the FPG, the Elder Index measures income adequacy
for older adults using national and state data sources,
including the U.S. Census Bureau and the U.S. Department of
Housing and Urban Development, and reveals that in California,
the FPG covers less than half of the basic costs experienced by
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older adults.
California has 33 AAAs that provide a wide range of services
designed to keep older adults and adults with disabilities
independent and in their own homes and communities for as long
as possible. To ensure that programs and services funded by the
AAA adequately serve the older adults within each community,
AAAs are required to conduct a needs assessment every four years
to document the service needs of community residents and any
gaps in the service network. The information received through
the needs assessment process guides the AAA in identifying the
service priorities for the Area Plan. In addition, CDA is
required by federal law to submit a State Plan on Aging to the
federal Administration on Aging every four years.
The SCSEP provides part-time work-based training opportunities
at local community service agencies for older workers who have
poor employment prospects and assists with the transition of
individuals to private or other employment opportunities in the
community. Individuals who participate in the program must be
residents of California, be at least 55 years of age, and have
an income that does not exceed 125% of the federal poverty
level. The SCSEP is available through 17 of the 33 AAAs and
eight national organizations. While this bill requires AAAs to
use the Elder Index to track participant progress and outcomes,
it does not apply to those programs operated by the national
organizations.
In general, programs and services administered by CDA and the
AAAs do not require means-testing for eligibility. However, the
OAA 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 AAAs track data, including poverty data,
on the number of older adults and people with disabilities
within a given PSA, but enrollment in programs is not restricted
to those who fall below a certain threshold, with the exception
of programs that use Medi-Cal funds. This bill will not change
eligibility for any of the programs administered by CDA or the
AAAs.
Analysis Prepared by : Allison Ruff / AGING & L.T.C. / (916)
319-3990
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FN: 0004014