BILL ANALYSIS
------------------------------------------------------------
|SENATE RULES COMMITTEE | SB 1322|
|Office of Senate Floor Analyses | |
|1020 N Street, Suite 524 | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
------------------------------------------------------------
THIRD READING
Bill No: SB 1322
Author: Liu (D)
Amended: 6/1/10
Vote: 21
SENATE HUMAN SERVICES COMMITTEE : 3-1, 4/13/10
AYES: Liu, Romero, Yee
NOES: Runner
NO VOTE RECORDED: Maldonado
SENATE APPROPRIATIONS COMMITTEE : 10-0, 5/27/10
AYES: Kehoe, Alquist, Corbett, Denham, Leno, Price,
Walters, Wolk, Wyland, Yee
NO VOTE RECORDED: Cox
SUBJECT : Food Stamp Employment and Training program
SOURCE : Western Center on Law and Poverty
DIGEST : This bill requires counties, as specified, to
offer self-initiated workfare as a way for food stamp
participants who are able-bodied adults without dependents
to meet federal work participation requirements. This bill
makes changes to the administration of the Food Stamp
Employment and Training (FSET) program, including rules
governing mandatory and voluntary placements into the
program, as well as exemptions, and requires the Department
of Social Services (DSS) to undertake specified
coordination, convening, and county assistance activities.
The bill allows DSS to retain FSET funds to administer
CONTINUED
SB 1322
Page
2
these provisions.
ANALYSIS :
Existing federal law:
1. Establishes the Supplemental Nutrition Assistance
Program (SNAP), formerly the food stamp program,
administered by the U.S. Department of Agriculture
(USDA), which imposes specified rules on specified
program participants and limits benefits based on those
rules. Generally, one group of participants,
able-bodied adults (age 18 to 49) without dependents,
known as ABAWDs, are limited to three months of food
stamp benefits within a 36-month period unless they
comply with work requirements.
2. Establishes the Food Stamp Employment and Training
(FSET) program, administered by the USDA, which requires
state agencies to implement an employment and training
program to assist food stamp recipients who are
able-bodied to gain skills, training, work or experience
to help them obtain employment.
Existing state law:
1. Establishes a statewide program, administered by state
and local agencies, that enables recipients of aid and
other low-income households to receive federal food
assistance benefits.
2. Requires the Department of Social Services (DSS), to the
extent permitted by federal law, to annually seek a
federal waiver of the existing food stamp program
limitation that stipulates that an ABAWD participant is
limited to three months of food stamps in a three-year
period unless that participant has met the work
participation requirement.
3. Requires all eligible counties to be included in and
bound by this waiver unless a county declines to
participate in the waiver request, as specified.
This bill requires counties, as specified, to offer
CONTINUED
SB 1322
Page
3
self-initiated workfare as a way for food stamp
participants who are able-bodied adults without dependents
to meet federal work participation requirements. This bill
makes changes to the administration of the Food Stamp
Employment and Training (FSET) program, including rules
governing mandatory and voluntary placements into the
program, as well as exemptions, and requires the Department
of Social Services (DSS) to undertake specified
coordination, convening, and county assistance activities.
The bill allows DSS to retain FSET funds to administer
these provisions.
Background
In California, more than three million people receive
federal food assistance benefits. According to the USDA,
in 2009, California received $4.3 billion in federal food
assistance benefits; yet, only about half of eligible
persons actually receive food stamps. Some advocates argue
that the state could be receiving billions more in food
assistance benefits and the state should take actions to
improve food stamp participation for the benefit of
low-income individuals and the state's economy.
To qualify for SNAP benefits, households must meet certain
income tests, and some households must meet certain
resource tests and work requirements. SNAP requires all
recipients, unless exempted by law, to register for work at
the appropriate employment office, participate in an
employment and training program if assigned by a state or
local administering agency, and accept an offer of suitable
employment. Food stamp recipients are exempted from
registering for work and engaging in employment and
training activities if they are under age 16 or over age
59; physically or mentally unfit for employment; caring for
a child under the age of 6 (or 12, in some cases); employed
30 hours a week; or subject to and complying with work
requirements for other programs, such as those required by
CalWORKs. Additionally, others are exempted because they
are receiving unemployment insurance compensation,
participating in a drug and alcohol treatment and
rehabilitation program, or are students enrolled at least
half time (these students must meet other work
participation requirements).
CONTINUED
SB 1322
Page
4
As noted above, families receiving CalWORKS must comply
with CalWORKs work requirements in order to be exempt from
meeting the food stamp work requirements. Non-CalWORKs
families (known as non-assistance food stamps population)
must register for work, unless exempt, and participate in
FSET program activities, if they are assigned to the
program. Federal law also requires that ABAWDs are
generally limited to three months of food assistance
benefits in a 36-month period unless they fulfill federal
work requirements or receive an exemption. The American
Recovery and Reinvestment Act of 2009 eliminated this time
limit restriction until September 30, 2010.
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
ABAWD regulation changesLikely minor; possibly reimbursable
General
mandate
FSET regulation changes Cost pressure on county FSET
grants Federal
DSS task force $60
$120 $120 Federal
Cost pressure to
expand programs
General/Local
and service
SUPPORT : (Verified 5/27/10)
Western Center on Law and Poverty (source)
Alameda County Community Food Bank
California Association of Food Banks
California Catholic Conference, Inc.
CONTINUED
SB 1322
Page
5
California Food Policy Advocates
Coalition of California Welfare Rights Organizations
Insight Center for Community Economic Development
Single Stop USA
ARGUMENTS IN SUPPORT : Western Center on Law and Poverty,
the sponsor of this bill writes this bill will address
longstanding barriers to participation in the food stamp
program and encourage vocational education within the FSET
program. The sponsor states that, in 2009, even though the
federal government waived work rules in the food stamp
program throughout the country due to high unemployment,
California continued to require work registrants to
participate in job search and other work programs in order
to continue receiving food stamps. The sponsor believes
that these policies contribute to an average of
15,000-20,000 work registrants losing their food stamp
benefits each month, and notes that, for every $1.00 that a
low-income Californian loses in federal food stamps, the
state loses $1.73 in economic activity.
The California Association of Food Banks writes that the
bill will help food banks by reducing barriers to food
stamps, thus reducing dependence on food banks, and by
encouraging people to meet their food stamp work
requirements by volunteering at nonprofit organizations,
like food banks, which have been seeing declining pools of
volunteers over the past decade. As an example, the group
notes that the Alameda County Community Food Bank has
benefited from volunteers from Alameda County's workfare
program.
CTW:do 6/1/10 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
**** END ****
CONTINUED