BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair


          SB 1432 (Steinberg) - Child and family welfare.
          
          Amended: April 26, 2012         Policy Vote: Human Services 7-0
          Urgency: No                     Mandate: No
          Hearing Date: May 14, 2012      Consultant: Jolie Onodera
          
          This bill meets the criteria for referral to the Suspense File.


          Bill Summary: SB 1432 would require the California Child and 
          Family Services Review (CFSR) System workgroup to reconvene by 
          January 15, 2013. Additionally, this bill:
                 By April 1, 2013, requires the CFSR workgroup to 
               determine whether additional outcome indicators and/or 
               further analysis of existing indicators are necessary to 
               determine the impact of the realignment of child welfare 
               programs and services on child safety and well being, as 
               specified.
                 Requires the Department of Social Services (DSS) to 
               provide information annually to the Legislative budget and 
               policy committees regarding the impact of the realignment 
               of child welfare programs and services on child safety and 
               well being, including outcome indicators determined by the 
               CFSR workgroup.
                 Requires DSS to initiate one or more of the compliance 
               actions authorized by Section 10605, as specified, if any 
               county child welfare system, after receiving technical 
               assistance, as specified for a period of at least six 
               months, but not more than one year, does not meet the 
               established compliance threshold for one or more outcome 
               measures.

          Fiscal Impact:
                 Minor costs to the Health and Human Services Agency 
               (CHHS) to reconvene the CFSR workgroup. 
                 Minor to significant costs (General Fund) to specific 
               state agencies participating in the workgroup to redirect 
               existing resources to meet the timelines specified under 
               the provisions of this bill.
                 Minor to significant costs (General Fund) to DSS to 
               report information on the impact of child welfare 
               realignment to Legislative committees. The extent of the 








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               workload impact would be dependent on the breadth and scope 
               of outcome indicators developed by the CFSR workgroup. 
                 Potentially significant costs (General Fund) for DSS to 
               initiate specified compliance actions. The degree of 
               workload and associated costs would be dependent upon the 
               number of counties requiring action and the specific 
               actions taken. 

          Background: Existing federal law pursuant to Title IV-B of the 
          Social Security Act and state law pursuant to Chapter 678/2001 
          require the DSS to enact the CFSR System which establishes an 
          outcomes-based review process in order to review all county 
          child welfare systems and maximize compliance with federal 
          regulations and state plan requirements. 

          Under existing law, the California Health and Human Services 
          Agency was required to convene a workgroup by October 2002 
          comprised of representatives of various state agencies, county 
          organizations, and stakeholders to create a framework for 
          accountability in the child welfare system and to develop a 
          workplan by which CFSRs would be conducted, including a process 
          for qualitative peer reviews of case information.

          The 2011-12 Budget Act and accompanying budget trailer bills 
          (Chapter 15/2011 and Chapter 35/2011)  transferred various state 
          fiscal and programmatic responsibilities to the counties in the 
          areas of public safety and health and human services which 
          included the child welfare functions of child welfare services, 
          foster care, adoptions, and child abuse prevention. It also 
          shifted $1.6 billion in tax revenues to counties in lieu of 
          General Fund support. 

          Proposed Law: This bill seeks to ensure that the state can 
          adequately review and assess the impact of the realignment of 
          child welfare services programs to the counties, as follows:
           Requires the CFSR System workgroup be reconvened by January 
            15, 2013.
           By April 1, 2013, requires the workgroup to determine whether 
            additional outcome indicators or additional analysis of 
            existing indicators is necessary.
           Requires the workgroup to develop and analyze those indicators 
            for inclusion in the CFSR System workplan, if necessary, and 
            to specifically consider outcome indicators related to the 
            incidence of child abuse and neglect, the effectiveness of 








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            community based child abuse prevention, early intervention 
            efforts, and any changes to outcomes that may be the result of 
            realignment of child welfare programs and services.
           Removes representatives from the Department of Mental Health 
            and the Department of Child Support Services from 
            participation on the workgroup.
           Requires DSS to provide information annually to the 
            Legislative budget and policy committees regarding the impact 
            of the realignment of child welfare programs and services on 
            child safety and well being, including outcome indicators 
            determined by the CFSR workgroup.
           Requires DSS to initiate one or more of the compliance actions 
            authorized by Section 10605 if any county child welfare 
            system, after receiving technical assistance, as specified for 
            a period of at least six months, but not more than one year, 
            does not meet the established compliance threshold for one or 
            more outcome measures.

          Related Legislation: AB 1611 (Beall) 2012 would require the CFSR 
          workgroup to examine outcome indicators for each racial and 
          ethnic population served within a county and additionally 
          requires counties to include specified information in a system 
          improvement plan regarding efforts to eliminate disparities in 
          services and outcomes for children of color in its child welfare 
          system. This bill has been referred to the Assembly Committee on 
          Appropriations.

          AB 118 (Committee on Budget) Chapter 15/2011 implemented the 
          2011 Public Safety Realignment, transferring the equivalent of 
          $5.6 billion of annual state fiscal responsibilities for public 
          safety programs to counties. This bill also created the account 
          structure and allocations for some of this funding, and 
          dedicates 1.0625 percent of state sales tax revenue to fund 
          these local costs in 2011-12. 

          AB 636 (Steinberg) Chapter 678/2001 required the DSS to enact 
          the Children and Family Services Review System which established 
          an outcomes-based review process administered by the Outcomes 
          and Accountability Bureau.
           
          Staff Comments: This bill will result in additional costs in the 
          form of redirected staff time to reconvene the CFSR workgroup. 
          The workgroup consists of representatives of the Judicial 
          Council, DSS, the Department of Health Care Services, the 








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          Department of Education, the Department of Justice, any other 
          departments or agencies the CHHS deems necessary, the County 
          Welfare Directors Association, the California State Association 
          of Counties, the Chief Probation Officers of California, the 
          California Youth Connection, representatives of California 
          tribes, child advocacy organizations, researchers and foster 
          parent organizations. 

          The CHHS has indicated minor costs to reconvene the workgroup. 
          For individual state agencies participating in the workgroup, 
          there could be potentially minor to significant costs in 
          redirected staff time incurred to meet the requirements of the 
          bill. Given the relatively short timeframe (2 months) in which 
          the workgroup will be required to develop additional outcome 
          indicators in the context of the recent realignment of child 
          welfare services, staff dedicated to this project could 
          potentially incur overtime costs as well. 

          The DSS would incur minor to significant workload to report 
          information on the impact of child welfare realignment to the 
          Legislative committees. The extent of the workload impact would 
          be dependent on the breadth and scope of outcome indicators 
          developed by the CFSR workgroup.

          The potential workload to DSS to initiate compliance actions 
          would be dependent on various factors, but could be significant 
          to the extent several counties do not meet the established 
          compliance threshold for one or more outcome measures. Existing 
          law authorizes DSS to bring an action for injunctive relief or 
          order the county to appear at a hearing before the director with 
          the DSS Advisory Board Committee on Welfare and Social Services 
          if a county does not comply or provide reasonable assurances in 
          writing that it will comply within a certain time period. If 
          administrative sanctions are necessary to secure compliance, the 
          director may withhold all or part of state and federal funds 
          from a county or assume, temporarily, the direct responsibility 
          for the administration of all or part of any or all programs 
          administered by the department in the county until the time as 
          the county provides reasonable assurances to the director of its 
          intention and ability to comply. 












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