BILL ANALYSIS                                                                                                                                                                                                    �



                                                                      



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          |SENATE RULES COMMITTEE            |                  AB 2280|
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                                 THIRD READING


          Bill No:  AB 2280
          Author:   Lara (D)
          Amended:  5/1/12 in Assembly
          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 - See last page for vote


           SUBJECT  :    California Special Supplemental Food Program 
          for Women,
                      Infants and Children

           SOURCE  :     Author


           DIGEST  :    This bill requires the Department of Public 
          Health (DPH) to provide written notice to a vendor who has 
          been found to overcharge a nutrition coupon upon 
          determination of an initial violation, when the violation 
          could be used later to establish a pattern to impose a 
          sanction, and permits the department to decide, on a 
          case-by-case basis, not to provide notice if doing so would 
          compromise an investigation.

           ANALYSIS  :    Existing law:

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          1.Establishes in federal law the Special Supplemental Food 
            Program for Women, Infants and Children (WIC) for 
            low-income mothers and their children in recognition of 
            the demonstrated relationship between food and good 
            nutrition and the capacity of children to develop and 
            learn.

          2.Creates the California WIC program to provide nutritional 
            food supplements through the issuance of nutrition 
            coupons to low-income pregnant, post-partum and lactating 
            women and low-income infants and children aged five and 
            younger.

          3.Establishes protocols for vendors to accept nutrition 
            coupons from recipients, including a requirement that 
            coupon redemption be used only for specified foods and 
            that vendors redeem nutrition coupons at an amount that 
            is the same as, or lesser than, that charged other 
            customers for identical foods.

          4.Establishes that the state may levy sanctions, as 
            specified, against a vendor who knowingly redeems food 
            coupons in excess of prices charged other customers or 
            commits fraud, and authorizes the state to enter a 
            vendor's business to verify food prices, conduct and 
            investigation or otherwise determine compliance.

          5.Defines in federal law specified violations and 
            sanctions.

          This bill:

          1.Requires DPH within 30 days to provide written notice to 
            a retail food vendor if the department determines that 
            the vendor has committed an initial violation for which a 
            pattern of the violation must be established to impose a 
            sanction. 

          2.Requires that the written notice be delivered to the 
            vendor's most recent business ownership address on file 
            with department before the department conducts a second 
            investigation for purposes of establishing a pattern of 
            the violation.








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          3.Requires that the written notice include a description of 
            the initial violation sufficient to allow the vendor to 
            take correction action. The description must include:

                 A description of the sales transaction constituting 
               the violation
                 The date and approximate time of the transaction
                 The location of the vendor store

          1.Permits the department not to provide the written notice 
            if DPH determines on a case-by-case basis that notifying 
            the vendor would compromise an investigation.

          2.Defines a "violation," as specified.

           Background
           
          The WIC program in California provides nutritional food 
          supplements to woman, infants and children who have been 
          determined to be at nutritional risk by a health 
          professional, based on criteria established DPH.

          WIC is a 100% federally funded nutrition and health 
          program, providing funds for buying healthy supplemental 
          foods from WIC-authorized vendors.  It also provides as 
          nutrition education, help finding healthcare and other 
          community services.  The program aids low-income pregnant, 
          breastfeeding and post-partum women, as well as a 
          low-income parent who is the sole provider of a child under 
          age five.  Participants must be at nutritional risk, as 
          determined by a health professional, and at or below 185 
          percent of the federal poverty level ($42,642 for a family 
          of four).  Many WIC recipients are working parents. 

          In California, DPH administers contracts with 84 local WIC 
          agencies - half local governments and half private, 
          non-profit community organizations - to provide services at 
          more than 650 sites statewide to nearly 1.5 million 
          participants each month.  Additionally, WIC checks can be 
          redeemed at any of the more than 5,500 participating 
          grocery stores.  According to DPH, six million food checks 
          are issued each month.  Each check is valid for a 30-day 
          period and is payable for a specific type and quantity of 
          food.  DPH states that WIC is a direct infusion into the 







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          California economy of about $1.1 billion per year, with the 
          retail value of WIC checks about $63 per month, per 
          participant.

          Unlike some other public services, WIC is not an 
          entitlement program.  The number of participants served 
          depends upon the amount of the discretionary grant 
          appropriated annually by Congress plus subsequent 
          reallocations of prior-year unspent funds.  California's 
          share of the federal grant has remained approximately 17 
          percent of the national appropriation over the last five 
          years. 

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

           SUPPORT  :   (Verified  8/7/12)

          California Chamber of Commerce
          California Growers Association
          California Retailers Association

           ARGUMENTS IN SUPPORT :    According to the author's office, 
          this bill would reconcile current inconsistencies between 
          state regulations and federal law pertaining to vendor 
          notifications of WIC program violations.


           ASSEMBLY FLOOR  :  70-0, 05/25/12
          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








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          CTW:nd  8/17/12   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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