BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair


          SB 1476 (Leno) - Family law: parentage.
          
          Amended: As Introduced          Policy Vote: Judiciary 3-2
          Urgency: No                     Mandate: No 
          Hearing Date: May 24, 2012      Consultant: Jolie Onodera
          
          SUSPENSE FILE. AS PROPOSED TO BE AMENDED.


          Bill Summary: SB 1476 would authorize a court to find that a 
          child has two presumed parents if the court finds that it is in 
          the best interest of the child, as specified. This bill would 
          provide that a child may have a parent-child relationship, as 
          defined by the Uniform Parentage Act, with more than two 
          parents. In the case of a child with more than two legal 
          parents, this bill would require the court to divide child 
          support obligations among the parents based on the statewide 
          uniform guideline, adjusted to permit recognition of more than 
          two parents.

          Fiscal Impact: 
                 Potential future cost pressure of approximately $6.4 
               million (General Fund) to the Department of Child Support 
               Services (DCSS) to the extent the DCSS could be required to 
               re-program the child support guideline calculator and Child 
               Support Enforcement (CSE) automation system to reflect an 
               adjusted statewide uniform guideline in the future due to 
               the provisions of this bill.
                 Near-term costs to the courts likely less than $25,000 
               (General Fund) per year to determine child support 
               obligations by deviating from the statewide uniform 
               guideline and adjusting the child support payment formula 
               as specified, to the extent allowable under the provisions 
               of this bill.
                 Potential cost pressure on the Judicial Council to 
               review the statewide uniform guideline and recommend 
               potential revisions to the Legislature in advance of the 
               four-year interval specified under existing law.
          
          Background: Under existing law, the parents of a minor child are 
          responsible for supporting the child. Existing state law 
          establishes a statewide uniform guideline for calculation of 








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          court-ordered child support and sets forth the intent of the 
          Legislature to ensure that this state remains in compliance with 
          federal regulations for child support guidelines in adopting the 
          statewide uniform guideline.

          The courts are required to adhere to the statewide uniform 
          guideline but may depart from the guideline under special 
          circumstances, as specified. In order to comply with federal 
          law, the court is required to state in writing or on the record 
          the following information whenever the court is ordering an 
          amount for support that differs from the statewide uniform 
          guideline formula amount: 1) The amount of support that would 
          have been ordered under the guideline formula; 2) The reasons 
          the amount of support ordered differs from the guideline formula 
          amount; and, 3) The reasons the amount of support ordered is 
          consistent with the best interests of the children.

          The Judicial Council is required to periodically review the 
          statewide uniform guideline to recommend to the Legislature 
          appropriate revisions in consideration of changes required by 
          federal laws and regulations. The review is to occur at least 
          every four years unless federal law requires a different 
          interval. In developing its recommendations, the Judicial 
          Council is required to consult with a broad cross-section of 
          groups involved in child support issues and subsequently seek 
          public comment.

          At the federal level, the Office of Child Support Enforcement 
          (OCSE) is part of the Administration for Children and Families 
          (ACF) within the Department of Health and Human Services (HHS). 
          During FFY 2009 child support payments of nearly $26.4 billion 
          were collected and distributed nationwide. Expenditures totaled 
          about $5.8 billion, with the total caseload of custodial parents 
          seeking support of15.8 million. Further, over 1.8 million 
          paternities were established or acknowledged, and 1.3 million 
          support orders were established. 

          OCSE works closely with state and tribal child support agencies 
          in support of their automation efforts. Federal and state child 
          support automated systems are interdependent. Statewide child 
          support enforcement systems receive valuable locate and 
          enforcement information from the Federal Parent Locator Service 
          (FPLS), but the effective use of this information depends upon 
          the level of automation in the statewide systems. 








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          Proposed Law: This bill would provide that where there are more 
          than two people who have established claims or presumptions of 
          parentage under existing California law, the court may recognize 
          more than two parents if doing so would serve the best interests 
          of the child. This bill would provide that in any case in which 
          a child has more than two legal parents, the court must allocate 
          custody and visitation among the parents based on the best 
          interest of the child, including the stability of the child.

          Further, this bill would provide that in any case in which a 
          child has more than two legal parents, the court shall divide 
          child support obligations among the parents based on income and 
          amount of time spent with the child by each parent, according to 
          the principles set forth in existing statute and the formula set 
          forth in the statewide uniform guideline, adjusted to permit 
          recognition of more than two parents.


          Staff Comments: The provisions of this bill may create 
          substantial future costs to the Department of Child Support 
          Services (DCSS). The DCSS's internal procedures and its 
          interaction with the federal government, which provides 
          significant program funding to DCSS, rely on a two-parent model 
          for the determination of child support obligations, and there is 
          no precedent for the changes proposed by the bill. The DCSS 
          computer system does not have the functionality at this time to 
          accommodate more than two parents and would need to be updated.

          To the extent the child support guidelines are modified, the 
          DCSS may be required to re-program the child support guideline 
          calculator as well as re-program the CSE computer system to 
          allow for the new case construct possibilities. CSE 
          re-programming would include costs for re-designing CSE, 
          designing and implementing revised CSE generated forms, training 
          materials, child support regulations, data reports, policies, 
          and procedures. Estimated workload would also be substantial. 
          Costs associated with workload and reprogramming are estimated 
          at $6.4 million (General Fund). DCSS estimates approximately 
          $5.5 million of the cost would be attributable to CSE staff 
          re-programming costs, with the remaining $0.9 million for 
          increased workload to review and revise regulations, policies, 
          procedures, develop training materials, and conduct statewide 
          training, and also review and document form changes needed and 








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          verify that form changes are accurate. Although federal funding 
          of 66 percent of total costs would be sought, it is unknown at 
          this time if federal approval would be granted as the provisions 
          are not currently part of the federally certified CSE system. 

          In order to receive federal funding, DCSS is required to have a 
          federally approved state plan. The DCSS has indicated the 
          federal government is budgeted to provide $686 million for 
          2012-13 in the proposed Governor's Budget released in January. 
          It is unknown at this time of the potential impact the proposed 
          changes may have on the level of future federal funding 
          currently provided to the DCSS.

          The Judicial Council has indicated there would likely be minimal 
          impact to the courts' workload related to a finding of more than 
          two legal parents, as all hearings related to parent-child 
          relationships require an analysis of the child's best interests. 
          The additional workload on courts to determine child support 
          payment amounts separate from the established statewide uniform 
          guideline, assuming the statewide uniform guideline would not 
          need to be revised, would be dependent upon the number of cases 
          involved but is not anticipated to be significant at this time.  



          There could be potential cost pressure on the Judicial Council 
          to review the statewide uniform guideline and recommend 
          appropriate revisions to the legislature in advance of four-year 
          interval specified under existing law should this measure be 
          enacted.


          Recommended Amendments: To clarify that the provisions of this 
          bill do not necessitate a change to the statewide uniform 
          guideline, staff recommends an amendment clarifying the new 
          section should not be construed to require a change to the 
          established statewide uniform guideline or CSE system.  


          Author's amendments would clarify that no change to the 
          statewide uniform guideline or reprogramming of the Child 
          Support automation system shall be required, nor revisions to 
          the DCSS regulations, policies, procedures, forms, or training 
          materials.








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