BILL ANALYSIS �
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|SENATE RULES COMMITTEE | AB 2066|
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CONSENT
Bill No: AB 2066
Author: Monning (D)
Amended: 6/14/12 in Senate
Vote: 21
SENATE HUMAN SERVICES COMMITTEE : 5-0, 6/26/12
AYES: Liu, Emmerson, Berryhill, Wright, Yee
NO VOTE RECORDED: Hancock, Strickland
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
ASSEMBLY FLOOR : 70-0, 5/25/12 (Consent) - See last page
for vote
SUBJECT : Residential care facilities for the elderly:
revocation of
license
SOURCE : Author
DIGEST : This bill revises procedures used by the
Department of Social Services (DSS) when revoking a license
for a Residential Care Facility for the Elderly (RCFE),
specifies notice that must be provided to residents prior
to eviction due to a revocation of license, permits a
licensee who is subject to a license revocation to arrange
for a third part facility manager in order to avoid closure
of the facility, and establishes a refund schedule for
preadmission fees paid by residents of an RCFE that is
subject to closure due to a revocation of license.
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ANALYSIS :
Existing law:
1. Provides for the inspection and licensure of RCFEs by
DSS pursuant to the California Residential Facilities
for the Elderly Act and provides for the certification
of administrators of RCFEs by DSS.
2. Permits DSS to enforce the Act by levying specified
civil penalties, excluding certain individuals from
employment in the facility, temporarily suspending a
license or revoking a license, as specified.
3. Requires proceedings for the suspension, revocation, or
denial of a license to be conducted.
4. Requires a licensed residential care facility for the
elderly to provide written notice to a resident, a
resident's responsible party, and the local long term
care ombudsman within 10 days if DSS commences
proceedings to suspend or revoke the license of the
facility or a criminal action related to the health and
safety of residents is brought forward against a
facility.
5. Requires the licensee, in the event of forfeiture or
revocation of license, to take all reasonable steps to
transfer affected residents safely and to minimize
possible transfer trauma including providing a written
eviction notice at least 60 days in advance of the
eviction date and preparing a relocation evaluation that
includes specified information.
6. Requires DSS, when temporarily suspending a license, to
make every effort to minimize trauma for residents, to
contact any local agency that may have placement or
advocacy responsibility for residents, and to use
medical personnel deemed appropriate to provide onsite
evaluations of the residents and to assist in the
transfer.
This bill:
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1. Requires DSS, when revoking a license, to follow the
procedures that are followed when temporarily suspending
a license.
2. Requires the licensee, upon an order to revoke a
license, to provide a 60 day written notice to the
resident and the resident's responsible person within 24
hours of receipt of the revocation order from DSS.
3. Requires DSS to permit the licensee to secure the
services of a person who is not an immediate family
member or of an entity that is not owned by the licensee
to manage the day to day operations of the RCFE for at
least 60 days, if a proposal is submitted to DSS within
72 hours of the licensee's receipt of a revocation
order.
4. Provides that the person or entity assuming
responsibility must be currently licensed and in
substantial compliance to operate an RCFE that is of
comparable size and has comparable programming capacity,
as defined, and that the proposal includes all of the
following:
A completed application for a facility license,
as specified.
A copy of the executed agreement between the
licensee and the person or entity assuming
responsibility that delineates the roles and
responsibly of each party and specifies that the
person or entity assuming responsibility shall have
the full authority necessary to operate the facility
without interference from the licensee.
5. Provides that the person or entity assuming
responsibility is not subject to the application fee and
that if DSS denies the application, the denial shall not
be deemed a denial of licensure application subject to
an administrative law hearing or other procedural
rights.
6. Provides that, within 15 days of issuing the notice of
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closure, residents who transfer during the 60 day period
are entitled to a refund or partial refund of
preadmission fees in excess of $500, as in accordance
with the following schedule:
A 100% refund if fees were paid within six months
of the notice of closure.
A 75% refund if fees were paid within 6-12 months
of the notice of closure.
A 50% refund if fees were paid within 12-18
months of the notice of closure.
A 25% refund if fees were paid within 18-25
months of the notice of closure.
No refund if fees were paid 25 months or more
prior to the notice of closure.
7. Requires the licensee to refund a proportional per diem
amount of any prepaid monthly fees to residents who
transfer during the 60 day period.
8. Requires the licensee that had his or her license
revoked, within 10 days after all residents who are
transferring have left the facility, to submit a final
list of names and new locations of all residents to DSS
and the local ombudsman program.
9. Allows DSS to amend the effective date of the order of
revocation and close the facility prior to the 60 day
notice period, or to pursue any other available
remedies, if necessary to protect the health and safety
of the residents in care.
10.Removes "revocation of a license" from statutory notice
requirements that currently apply to forfeiture or
revocation of a license, such that those notice
requirements will only apply to forfeiture of license
and the above provisions will apply to revocation of a
license.
Background
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RCFEs are licensed housing facilities serving residents
aged 60 and older, which provide a non-medical, homelike
environment for residents who have a broad variety of care
needs.
RCFEs with six or fewer beds are frequently referred to as
"board and care homes" or "senior care homes," while RCFEs
with more than six beds and in some instances several
hundred beds are generally referred to as "assisted living
facilities". Regardless of capacity size, all RCFEs are
licensed by DSS in accordance with the California
Residential Facilities for the Elderly Act. DSS reports
that, as of June 2012, there were 7,667 licensed RCFEs in
the state with a total capacity of 171,939 residents,
approximately 80% of which are licensed for six or fewer
residents.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
SUPPORT : (Verified 8/7/12)
Aging Services of California
Association of Regional Center Agencies
California Assisted Living Association
California Commission of Aging
Joseph Rodrigues, State Long Term Care Ombudsman
ARGUMENTS IN SUPPORT : According to the author's office,
this bill addresses an unintended consequence of AB 313
(Monning, Chapter 365, Statutes of 2011), which added
"revocation of a license" to statute that required
licensees to provide a 60-day notice prior to evicting a
resident due to voluntary forfeiture of a license. The
author's office states that, subsequent to passage of AB
313, DSS raised concerns that the law precluded the
department from closing a facility prior to the end of the
60-day notice period even when necessary to protect the
health and safety of the residents in care. This bill
deletes the provision that was added under AB 313 and
inserts a new notice requirement requiring a licensee to
provide a 60-day eviction notice no more than 24 hours
after receipt of a revocation order from DSS, but permits
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DSS to close the facility before the 60-days has elapsed,
when necessary to protect the health and safety of the
residents in care.
ASSEMBLY FLOOR : 70-0, 5/25/12
AYES: Achadjian, Alejo, Allen, Ammiano, Beall, Block,
Blumenfield, Bonilla, Bradford, Brownley, Buchanan,
Butler, Charles Calderon, Campos, Carter, Cedillo,
Chesbro, Conway, Cook, Davis, Dickinson, Donnelly, Eng,
Feuer, Fong, Furutani, Beth Gaines, Galgiani, Garrick,
Gatto, Gordon, Gorell, Hagman, Halderman, Harkey,
Hayashi, Roger Hern�ndez, Hill, Huber, Hueso, Huffman,
Jeffries, Jones, Lara, Logue, Bonnie Lowenthal, Mansoor,
Mendoza, Miller, Mitchell, Monning, Morrell, Nestande,
Nielsen, Norby, Olsen, Pan, V. Manuel P�rez, Portantino,
Skinner, Smyth, Solorio, Swanson, Torres, Valadao,
Wagner, Wieckowski, Williams, Yamada, John A. P�rez
NO VOTE RECORDED: Atkins, Bill Berryhill, Fletcher,
Fuentes, Grove, Hall, Knight, Ma, Perea, Silva
CTW:m 8/7/12 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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