BILL ANALYSIS                                                                                                                                                                                                    Ó






                      SENATE COMMITTEE ON VETERANS AFFAIRS
                              LOU CORREA, CHAIRMAN
                                             


          Bill No:        AB 557
          Author:         Perez
          Version:        As amended May 5, 2011
          Hearing Date:   June 28, 2011
          Fiscal:         Yes
          Consultant:     Donald E. Wilson




                                 SUBJECT OF BILL  
          
          Interagency council on veterans' services and programs.  
           
                                   PROPOSED LAW  
           
           1.Makes several legislative findings.

          2.Creates a council of governmental and "stakeholder" 
            organizations to meet and discuss veterans' issues.

          3.Requires the following appointments:

           The secretary or director, as applicable, or his or her 
            designee with decision making authority, from each of the 
            following:
               (A) Service and volunteering.
               (B) The Department of Housing and Community 
               Development.
               (C) The Employment Development Department.
               (D) The State Department of Alcohol and Drug Programs.
               (E) The State Department of Health Care Services.
               (F)  The Employment Training Panel.
               (G) The State Department of Mental Health.
               (H) The Military Department.
               (I)   The Department of General Services.
               (J)  The California Workforce Investment Board.
               (K)  The Department of Corrections and Rehabilitation
           The Secretary of the Department of Veterans Affairs, who 
            shall serve as chairman.
           A representative of the Governor's office.









           Two representatives of county government selected by the 
            Governor who are county veteran services officers.
           The Chairperson of the Senate Committee on Veterans 
            Affairs or a representative appointed by the Senate 
            Committee on Rules
           The Chairperson of the Assembly Committee on Veterans 
            Affairs or a representative appointed by the Speaker of 
            the Assembly.
           Representatives of two stakeholder organizations, with 
            one to be appointed by the Speaker of the Assembly and 
            the other to be appointed by the Senate Committee on 
            Rules. 
           The Governor shall appoint a vice chairperson from among 
            the members of the council.

          1.Allows for the establishment of outside work groups.

          2.Requires the council to establish a plan within in a year 
            for "policy, regulatory, and resource changes needed to 
            accomplish objectives, as well as each agency's and 
            department's responsibilities on the council."
                                         
                          EXISTING LAW AND BACKGROUND  
          
          1.After the Vietnam War many veterans with Post Traumatic 
            Stress Disorder (PTSD) went undiagnosed and were found on 
            skid rows across the United States several years later.

          2.Since the Vietnam experience many in the veterans' 
            community have been committed to not seeing history 
            repeat itself.

          3.In response to the plight of the Vietnam Veterans, 
            community volunteers organized and sought to fill the gap 
            not being met by governmental organizations.

          4.The Federal Veterans' Administration (VA) is presently 
            having problems processing claims.  Since 2005 the 
            backlog has grown from 400,000 cases to over 1 million.

          5.Many soldiers, however, are not in the backlog because 
            soldiers have a tendency when on the verge of discharge 
            to not bring up unresolved issues for fear of a delay in 
            separation from the military.  So soldiers may often 

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            return home undiagnosed with no immediate help.

          6.More and more veterans with unseen ailments such as PTSD 
            and Traumatic Brain Injury (TBI) are being discharged 
            without diagnosis and without notification to the VA.

          7.As a result of unseen and undiagnosed ailments these 
            veterans then fall through the cracks of the VA health 
            system and land on county mental health systems, which 
            according to the funding in that county, may or may not 
            cover that particular ailment.

          8.When these conditions go untreated some veterans turn to 
            drugs and alcohol (now called "self-medicating") and can 
            often lose what few benefits they have.  The loss of 
            these benefits only continues the downward spiral.

          9.The California Department of Veterans' Affairs (CDVA) was 
            established in 1946 without the intent of duplicating the 
            VA.  Neither has CDVA offered VA types of programs nor 
            has the legislature been willing to fund such programs.

          10.             Counties fund County Veteran Service 
            Officers (CVSO) to help veterans file VA claims.  In 1997 
            the legislature agreed to fund fifty percent of the cost 
            of CVSOs when it passed SB 608 of 1997 (Johannessen), but 
            the state has never followed through on this commitment.

          11.             The 1997 agreement was modified by AB 2269 
            of 2004 (Samuelian) to include the help of veteran 
            service organizations (VSO) if funding ever came 
            available.

          12.             Assemblywoman Mary Salas requested an audit 
            of CDVA by the Bureau of State Audits (BSA), which was 
            completed in October of 2009.

          13.             The state audit found several short comings 
            with CDVA's ability to reach veterans. 


                                         
                                    COMMENT  
          

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          1.This bill is a response to the findings of the BSA audit.

          2.According to the author's office, the purpose of this 
            bill is "establishing a framework within which some of 
            the horizontal Ýstate agencies] and vertical Ýfederal 
            agencies] government disconnects can be surmounted."

          3.The findings in the BSA audit were what were expected.  
            CDVA provided most of the information to the auditors 
            from its own findings.  CVSOs testified before the audit 
            that the auditors would find what they found.

          4.This bill is a do-nothing bill if the executive branch 
            continues its pattern of not funding veterans' 
            priorities.  Without a commitment from the executive 
            branch this council will simply be holding meetings for 
            the sake of holding meetings.  In the words of General 
            Curtis LeMay this council could spend "a lot of time 
            sitting around, talking about what we should be doing."*  


          5.Does this bill allow persons and entities that could have 
            a potential financial interest in the outcome of the 
            body's decisions to be appointed to the council?  
            Depending on the definition of "stakeholder" it may.

          6.Several legislative findings are made at the beginning of 
            the bill including that the Cal-Vet Home Loan program 
            "unfortunately" only serves veterans seeking to buy 
            homes.  The Cal-Vet Home Loan Program is the most 
            successful program ever offered by CDVA and was set up to 
            assist veterans in attaining ownership primarily of 
            single-family homes.  This is not unfortunate.  If the 
            legislature and the governor want to completely change 
            the focus of the Cal-Vet program, then that is a policy 
            debate they should have.  However it should be questioned 
            as to whether or not the legislature wants to immediately 
            bias this commission with the idea that our most 
            successful program is an unfortunate one.

          7.Another legislative finding in this bill is that CDVA has 
            limited interaction and few formal agreements with other 
            agencies.  However it is CDVA that has attempted to get 
            agreements with both the Employment Development 

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            Department (EDD) and the Department of Motor Vehicles 
            (DMV) and its efforts have been met with resistance.  The 
            legislature addressed this issue as well in AB 716 of 
            2009 (Huber), which passed the Assembly Floor, the Senate 
            Floor, and concurrence on the Assembly Floor 74-0, 33-0, 
            and 75-1, respectively.  Resistance to this idea came 
            from the previous governor's office.  It remains to be 
            seen if the present governor will continue the policy of 
            stopping cooperation among state departments.

          8.Given the executive branch's reluctance in the past to 
            fully engage the issues facing veterans, the legislature 
            may wish to exercise more influence on this process than 
            in the present version of the bill.

          9.The commission at the end of the first year is tasked 
            with setting a plan.  This plan should double as a report 
            to the legislature on the intended goals of the 
            commission.

          10.             RECOMMENDED AMENDMENTS-
               a)     Have the commission's plan reported to the 
                 legislature.
               b)     Set a sunset date for this council of December 
                 31, 2017.
               c)     Have the CVSO positions appointed by the 
                 Speaker and Senate Rules rather than the governor.


                                     SUPPORT  
          
          None received

                                      OPPOSE  
          
          None received


          FOOTNOTE
          *Pg. 269, LEMAY, The Life and Wars of General Curtis LeMay.





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