BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1452
                                                                  Page  1

          Date of Hearing:   March 25, 2014

                        ASSEMBLY COMMITTEE ON HUMAN SERVICES
                                  Mark Stone, Chair
                  AB 1452 (Stone) - As Introduced:  January 8, 2014
           
          SUBJECT  :  CalWORKs: temporary homeless assistance

           SUMMARY  :  Provides additional temporary assistance to homeless  
          families receiving CalWORKs benefits.  Specifically,  this bill  :   
          Increases the daily temporary shelter assistance amount from $65  
          to $75 and attaches an annual cost of living adjustment to that  
          amount to address future increases in temporary housing costs.

           EXISTING LAW  

          1)Establishes under federal law the Temporary Assistance for  
            Needy Families (TANF) program to provide aid and  
            welfare-to-work services to eligible families and, in  
            California, provides that TANF funds for welfare-to-work  
            services are administered through the CalWORKs program.  (42  
            U.S.C. 601 et seq., WIC 11200 et seq.) 

          2)Establishes income, asset and real property limits used to  
            determine eligibility for the program, including net income  
            below the Maximum Aid Payment (MAP), based on family size and  
            county of residence, which is approximately 40% of the Federal  
            Poverty Level.  (WIC 11450, 11150 et seq.)

          3)Provides a $65 per day temporary shelter assistance benefit to  
            homeless CalWORKs families of up to four people for one period  
            of 16 consecutive days, except as specified, and counts a  
            break in the consecutive use of this assistance as permanent  
            exhaustion of the benefit.  (WIC 11450(f)) 

           FISCAL EFFECT  :  Unknown.

           COMMENTS  :  The current CalWORKs temporary homeless assistance  
          benefit amount of $65 was set in 2006 and has not been adjusted  
          for inflation since then.  According to the 2009 Hotel Price  
          Index, the average cost per night in a California hotel at that  
          time was $118, approaching twice the amount of the temporary  
          shelter assistance benefit.  This bill seeks to modestly  
          increase the temporary shelter assistance amount in order to  
          assist homeless families in making temporary housing  








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          arrangements while they look for more permanent housing. 

           Background  :  The California Work Opportunity and Responsibility  
          to Kids (CalWORKs) program provides monthly income assistance  
          and employment-related services aimed at moving children out of  
          poverty and helping families meet basic needs.  Federal funding  
          for CalWORKs comes from the Temporary Assistance for Needy  
          Families (TANF) block grant.  The average monthly cash grant for  
          a family of three on CalWORKs (one parent and two children) is  
          $463.  According to recent data from the California Department  
          of Social Services, 554,292 families rely on CalWORKs, including  
          over one million children.  Nearly 80% of the children are under  
          age twelve.

          Average grants of $463 per month for a family of three means  
          $15.43 per day, per family, or $5.14 per family member, per day  
          to meet basic needs, including rent, clothing, utility bills,  
          food, and anything else a family needs to ensure children can be  
          cared for at home and safely remain with their families.  This  
          grant amount puts the annual household income at $5,556 per  
          year.  Federal Poverty Guidelines show that 100% of poverty for  
          a family of three is over three and a half times that at $19,790  
          per year.  
          
           Homelessness in California  :  Point in time data from the 2012  
          Annual Homeless Assessment Report produced by the US Department  
          of Housing and Urban Development (HUD) reveals that on a single  
          night in 2012 there were 633,782 homeless people in the United  
          States, 239,403 of which were people who were part of homeless  
          families.  That same report reveals that 20.7%, or 131,193 of  
          those homeless people were counted in California.  It is  
          important to note that this number is for a single night and is  
          neither exhaustive of the number of Californians experiencing  
          homelessness on a daily basis nor the number of Californians who  
          experience homelessness each year.

          Homelessness has particularly damaging effects on children.   
          According to the National Center on Family Homelessness,  
          approximately 1.6 million children will experience homelessness  
          over the course of a year, and more than 200,000 children have  
          no place to live on any given day.  The effects of homelessness  
          on children stem from hunger and related physical, cognitive and  
          developmental issues to lowered academic achievement and  
          increases in stress, depression, emotional instability and  
          overall poor mental health.








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           CalWORKs homeless assistance  :  For purposes of identifying  
          families eligible for CalWORKs homeless assistance, a family is  
          considered homeless if the family lacks a fixed and regular  
          nighttime residence, if the family's primary nighttime residence  
          is a shelter, or if the family is residing in a public or  
          private place that is not an appropriate sleeping place for  
          human beings.  Additionally, a family can be considered homeless  
          for CalWORKs purposes if the family has received an eviction  
          notice and the cause of eviction is the result of a verified  
          financial hardship.
          
          Temporary shelter assistance and permanent housing assistance  
          are two types of housing assistance provided to homeless  
          families under the CalWORKs program.  Whereas permanent housing  
          assistance can be provided to help secure or maintain permanent  
          housing and help prevent eviction for a family, temporary  
          shelter assistance is provided to homeless families for up to 16  
          consecutive days.  Temporary shelter assistance for a family of  
          up to four people is $65 per day, and $15 is provided for each  
          additional family member.  The maximum amount of temporary  
          shelter assistance any family can receive is $125 per day, and  
          the assistance can only be used to pay for housing provided in a  
          commercial establishment, a shelter, or an established rental  
          property.  Additionally, CalWORKs recipients must provide proof  
          to the county that they are searching for permanent housing  
          while they are receiving this benefit and proof that the shelter  
          assistance was used to pay for allowable housing.  Any break in  
          the use of the assistance, including one night spent with a  
          friend or relative, automatically terminates a family's ability  
          to receive shelter assistance for any days remaining within the  
          16 consecutive day limit.


          The 16 consecutive day limit is a lifetime limit for temporary  
          shelter assistance, provided that a family doesn't meet criteria  
          for an exception.  A family may receive temporary shelter  
          assistance more than once in a lifetime if the family's  
          homelessness is the direct result of domestic violence, a  
          medically verified physical or mental illness-excluding  
          diagnoses that include substance abuse-or a fire or other  
          natural catastrophe beyond the family's control.  Still, a  
          family cannot receive the 16 consecutive days of homeless  
          assistance more than once in a 12-month period, and families can  
          only receive shelter assistance for domestic violence twice in a  








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          lifetime. 

           
          Temporary shelter assistance requests  :  In December 2013,  
          counties throughout California received 3,984 requests for  
          temporary shelter assistance, 306 of which accompanied requests  
          for permanent housing assistance and 720 of which were requests  
          from new shelter assistance applicants.  Of those 3,984  
          requests, 138 were submitted in Sacramento County, 63 in Kern  
          County, and 98 in San Diego County.  20 counties received fewer  
          than five requests for temporary shelter assistance, and four  
          counties received over 100 requests throughout the month.

           Need for the bill  :  According to the author, "Long-term and  
          temporary homelessness have detrimental effects on the physical  
          and mental health and well-being of children and families?Less  
          than one quarter of homeless students in elementary school are  
          proficient in math and reading.  Families who have experienced  
          homelessness have higher rates of family separation in which  
          children live apart from a parent or guardian.  According to the  
          National Center on Family Homelessness, homeless children are at  
          high risk for being placed in foster care, with 12% of homeless  
          children having been placed in foster care compared to just 1%  
          of other children.  Providing eligible CalWORKs families with  
          temporary homeless assistance to prevent them from sleeping on  
          the streets or in unsafe environments helps protect children and  
          their families from the negative effects of homelessness.   
          Assisting families experiencing homelessness helps prevent  
          higher state costs on health care, education and foster care  
          caused by the trauma of homelessness on families."

           RECOMMENDED AMENDMENT  :

          Current law provides for $65 to be provided to a family of up to  
          four people for temporary shelter assistance.  An additional $15  
          is provided for each additional family member, up to a maximum  
          of $125 per day (all within the 16-day limit).  The current $125  
          cap accommodates an allotment for a family of eight; $65 + ($15  
          x 4), but the new base amount included in this bill would cause  
          the current maximum to max out with seven family members.   
          Because the base amount is being increased to $75, the committee  
          recommends also adjusting the maximum amount to $135.

           RELATED LEGISLATION  :









                                                                  AB 1452
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          AB 264 (Maienschein) deletes the requirement that CalWORKs  
          temporary shelter assistance only be provided for a lifetime  
          limit of 16 consecutive days, and instead allows a family to  
          receive temporary shelter assistance for a lifetime limit of 16  
          calendar days, with certain exceptions. 

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Coalition of California Welfare Rights Organizations - Sponsor
          American Federation of State, County and Municipal Employees  
          (AFSCME)
          California Alternative Payment Program (CAPPA)
          California Association of Food Banks
          California Catholic Conference
          California Communities United Institute
          California Partnership
          California Police Chiefs
          California State Association of Counties (CSAC)
          Community Food and Justice Coalition
          County of Santa Clara
          County Welfare Directors Association of CA (CWDA)
          Housing California
          Legal Services for Prisoners with Children (LSPC)
          National Association of Social Workers, CA Chapter (NASW-CA)
          Paratransit, Inc.
          River City Food Bank
          Sacramento Regional Coalition to End Homelessness
          St. Anthony Foundation
          Western Center on Law and Poverty
          1 individual

           Opposition 
           
          None on file.
           
          Analysis Prepared by  :    Myesha Jackson / HUM. S. / (916)  
          319-2089