BILL ANALYSIS �
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|SENATE RULES COMMITTEE | SB 662|
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THIRD READING
Bill No: SB 662
Author: DeSaulnier (D)
Amended: 5/31/11
Vote: 21
SENATE GOVERNANCE & FINANCE COMMITTEE : 9-0, 5/4/11
AYES: Wolk, Huff, DeSaulnier, Fuller, Hancock, Hernandez,
Kehoe, La Malfa, Liu
SENATE APPROPRIATIONS COMMITTEE : 9-0, 5/26/11
AYES: Kehoe, Walters, Alquist, Emmerson, Lieu, Pavley,
Price, Runner, Steinberg
SUBJECT : Public services
SOURCE : Author
DIGEST : This bill authorizes the Department of Finance
to enter into contracts with counties to operate and
integrate the health and safety programs included in the
Governors realignment proposal. This bill requires
contracts between the state and the counties to be
cost-neutral to both parties and to last 10 years unless
they are extended in the ninth year.
ANALYSIS : The state and local agencies provide a range
of services to meet the health and safety needs of
Californians. Generally, these programs are authorized and
funded under state or federal law, often with additional
authorization and funding from local agencies. While the
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state provides some direct services, such as parole
programs, most health and safety programs are operated by
local agencies, regional entities, or community-based
organizations under agreements with the state. Those
agreements often include cost-sharing ratios that
distribute costs between federal, state, and local
governments.
This bill authorizes the Department of Finance to enter
into contracts with counties to operate and integrate the
health and safety programs included in the Governor's
realignment proposal. Those contracts must do the
following:
Identify statutes or regulations that must be
waived or modified to meet the goals of realignment.
Include benchmarks and outcomes for the programs
covered by the contract.
Reference agreements with other local agencies that
must be adopted to achieve the goals of the contract.
Identify strategies to ensure compliance with
applicable federal requirements.
This bill requires contracts between the state and the
counties to be cost-neutral to both parties and to last 10
years unless they are extended in the ninth year.
The bill requires that contracts be approved by the
Legislature and Governor in the form of a bill and be
ratified by the county Board of Supervisors before they
take effect. The Legislative Analyst's Office must issue a
report on the policy and fiscal effects of each contract.
After five years, this bill requires counties to submit a
report to the Legislature on progress toward the goals
included in the contract. This bill is contingent on
enactment of funding for the Governor's realignment plan as
determined by the Department of Finance.
Comments
This bill creates a path to implement the Governor's
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realignment proposal. This bill authorizes each county to
tailor its approach to service integration through
negotiations with the Department of Finance while ensuring
adequate review by the Legislature, the Governor, and the
county Board of Supervisors. This bill builds upon prior
legislation that authorized county-specific approaches to
service delivery, such as the San Mateo Consolidated Human
Services Agency, the Solano County Integrated Health and
Human Service Program the Placer County Pilot Project and
the County Integrated Health and Human Services Program.
This bill extends the approach of those earlier programs
and provides broad authority for counties to design their
service delivery systems to meet local needs. This bill
requires contracts to include performance and outcome
measures, review by the Legislature Analyst's Office, and
periodic reporting on performance and outcomes.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee analysis:
Fiscal Impact (in thousands)
Major Provisions 2011-13 2013-14
2014-15 Fund
DOF contract negotiationunknown costs, likely exceeding
General
$200 annually, depending on the
number of contract
LAO review/report potentially absorbable staff
General
pressures, depending on the number
of contracts
Contract costs/savingsUnknown costs and savings related
Genera
to realignment of public services
to
counties, attributable to future
legislation
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SUPPORT : (Verified 5/31/11)
California State Association of Counties �support in
concept]
Contra Costa County
AGB:do 5/31/11 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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