BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1516
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          Date of Hearing:   April 8, 2014

                        ASSEMBLY COMMITTEE ON HUMAN SERVICES
                                  Mark Stone, Chair
                   AB 1516 (Gonzalez) - As Amended:  March 28, 2014
           
          SUBJECT  :  Public social services: diapers.

           SUMMARY  :  Provides a CalWORKs diaper supplement to children  
          under three years of age and establishes a fund to support  
          public-private partnerships to facilitate the distribution of  
          diapers to children in needy communities.

          Specifically,  this bill  :

          1)Declares a number of legislative findings pertaining to the  
            correlation between diapers and healthy and happy babies, as  
            well as the correlation between diapers, access to child care  
            and a parent's ability to go to work.

          2)States the intent of the Legislature to enact legislation that  
            would empower beneficiaries of public assistance programs with  
            young children in diapers to return to the workforce by  
            removing unnecessary obstacles to obtaining diapers, to the  
            extent permitted by federal law, thereby ensuring the health  
            and welfare of diaper-wearing children and their families.

          3)Gives CalWORKs participants the option to request supportive  
            services to help them comply with their welfare-to-work plans  
            through their county's Internet Web site if the county is  
            capable of accepting such requests.  Requires a county not  
            capable of accepting such requests via the Internet to accept  
            the requests in the manner necessary to ensure participants'  
            needs are met.

          4)Provides a young child special needs supplement of $80 per  
            month to any child under three years of age in a CalWORKs  
            recipient family and applies an annual cost of living  
            adjustment to the supplement.

          5)Creates in the State Treasury the Unmet Diaper Need Financing  
            Fund, consisting of money accepted by the Department of Social  
            Services (DSS) from grants and donations from private entities  
            and of public moneys transferred to the fund, and requires DSS  
            to distribute moneys in the fund, upon appropriation by the  








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            Legislature, to entities that serve low-income children and  
            receive matching funds, as specified, for the purpose of  
            meeting the unmet diaper needs in the funding recipient's  
            community.

          6)Establishes a January 1, 2019 sunset date for the Fund, as  
            specified.

           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)Establishes a 48-month lifetime limit of CalWORKs benefits for  
            eligible adults, including 24 months during which a recipient  
            must meet federal work requirements in order to retain  
            eligibility.  (WIC 11454, 11322.85)

          4)Requires necessary supportive services, including child care,  
            transportation, ancillary costs and personal counseling, as  
            specified, to be available to every CalWORKs participant in  
            order to facilitate his or her participation in the CalWORKs  
            program activity to which he or she is assigned or acceptance  
            of employment.  (WIC 11323.2) 

          5)Makes paid child care available as a supportive service to  
            every CalWORKs participant with a dependent child in the  
            assistance unit who needs paid child care and is under 10  
            years of age or requires child care due to a physical, mental,  
            or developmental disability, or is under court supervision.   
            (WIC 11323.2 (a)(1)(A))

          6)Requires payments for supportive services to be advanced to  
            CalWORKs participants, as specified, so that a participant  
            does not need to use his or her funds to pay for the  








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            supportive services.  (WIC 11323.4)

          7)Authorizes a county to continue to provide welfare-to-work  
            services for up to the first 12 months of employment to former  
            CalWORKs participants who are no longer eligible for CalWORKs  
            due to a subsidized employment position, to the extent the  
            services are necessary for the individual to retain the  
            subsidized employment and the services are not available  
            through any other source.  (WIC 11323.25)

          8)Requires counties to provide CalWORKs applicants and  
            recipients a written notice, as specified, of the availability  
            of child care for the purpose of allowing a recipient to be  
            employed or participate in welfare-to-work activities.  (WIC  
            11323.3)

          9)Exempts specified categories of recipients from participation  
            in welfare-to-work activities, including a pregnant woman who  
            has medical verification that her pregnancy impairs her  
            ability to be regularly employed or participate in  
            welfare-to-work activities or a pregnant woman for whom the  
            county has otherwise determined that, at that time,  
            participation in welfare-to-work activities would not lead to  
            employment or a training activity is not appropriate.  (WIC  
            11320.3(b))

           FISCAL EFFECT  :  Unknown.

           COMMENTS  :  This bill seeks to provide a diaper supplement under  
          the CalWORKs program to ensure that a parent's lack of  
          sufficient resources to purchase diapers does not result in a  
          barrier to child care and, subsequently, a barrier to obtaining  
          and retaining employment. 

           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.  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  








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          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.  

          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 and 40% are under age five.
           
          Welfare-to-Work requirements  :  Welfare-to-work activities within  
          the CalWORKs program include public or private sector subsidized  
          or unsubsidized employment; on-the-job training; community  
          service; secondary school, adult basic education and vocational  
          education and training when the education is needed for the  
          recipient to become employed; specific mental health, substance  
          abuse, or domestic violence services if they are necessary to  
          obtain or retain employment; and a number of other activities  
          necessary to assist a recipient in obtaining unsubsidized  
          employment.  If a CalWORKs recipient who is not exempt from  
          participation does not meet his or her welfare-to-work  
          requirements, the recipient is sanctioned for noncompliance, and  
          that recipient's portion of the family's grant is removed.  This  
          can reduce the family's maximum monthly grant by up to $122 per  
          month.

           Child care as a supportive service  :  Under current law, the  
          support services available to CalWORKs participants include  
          child care, transportation costs, ancillary expenses, and  
          personal counseling, all of which require specified information  
          to be reported to the county in order to verify necessity.  In  
          order to receive child care, for example, a CalWORKs participant  
          must verify employment, child care costs, and hours and dates of  
          employment, educational or training activities.  Title 22 within  
          the California Code of Regulations provides standards to which  
          licensed child care centers must adhere, including that a center  
          shall ensure each infant has sufficient changes of clothing and  
          diapers, and that each infant's clothing and diapers are to be  
          changed as often as necessary to ensure that each infant is kept  
          clean and dry at all times. 

          Whereas ancillary expenses include the cost of books for school,  
          tools, clothing specifically required for a job, fees and other  
          necessary costs related to employment or education, there are no  








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          such ancillary payments provided for children who live in  
          CalWORKs families.  As children sometimes rapidly grow out of  
          clothes, there is no supplement provided to their parents for  
          increased clothing costs, and for infants and toddlers, there is  
          currently no supplement to pay for diapers.  While child care is  
          provided within the CalWORKs program to facilitate a parent's  
          participation in employment or another required welfare-to-work  
          activity, not having enough money to purchase diapers can result  
          in the loss of access to child care, which impedes a parent's  
          ability to go to work or participate in a welfare-to-work  
          activity, resulting in a sanction for non-compliance with the  
          program requirements.  

           Need for this bill  :  By providing a supplement to CalWORKs  
          families for the purpose of purchasing diapers for young  
          children, and through creation of a fund to facilitate local  
          efforts to provide diapers to needy families, this bill seeks to  
          address the lack of resources available to low-income families  
          for diaper purchases, which also mitigates the health and safety  
          risks children face when they don't have clean diapers.

          In expressing the need for this bill, the author states:

            "Every child wears diapers.  Every family raising children has  
            to purchase diapers, ensuring the child's comfort, hygiene and  
            health.  The majority of families with diaper-aged children  
            must also manage a tight budget.  Depending on where a family  
            lives; whether or not they have a car, whether or not they can  
            access a wholesale store, grocery store or are limited to just  
            a corner convenience store, diapers will range from 35 cents  
            to $1 each.  In order to properly diaper a child, a family  
            must be able to supply anywhere from 7 to 14 diapers a day, or  
            more (depending on age and health complications).  That means  
            diapers can range from $73 a month to several hundred dollars  
            a month.  This is an exceptional cost for any family, but for  
            the low-income family, the cost of properly diapering their  
            child is impossible to accommodate.  The only option is to  
            leave a child in a dirty diaper longer, with serious  
            consequences ranging from diaper rash to fever, severe  
            infections, and even developmental delays.  By providing $80  
            per month per child to eligible children on public assistance,  
            [this bill] will ensure families are not deciding between food  
            on the table or paying rent and whether or not they can afford  
            to change their child's dirty diaper."









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          The author goes on to state:

            "While a central priority for [this bill] is removing barriers  
            to employment for low-income parents, it is important to note  
            the broad, negative impact of a parent's inability to properly  
            diaper their child.  Leaving a child in a dirty diaper exposes  
            the child to a number of health complications that can range  
            from mild and temporary to severe and permanent.  If a parent  
            can't change a child's diaper often enough then they will not  
            be able to utilize child education programs, resulting in an  
            oft studied and proven impact on their development.  We must  
            also keep in mind the public health impact because dirty  
            diapers can spread hepatitis A, viral meningitis and bacterial  
            diarrheas.

            "Finally, there is a plethora of charities and private  
            contributors across the State that are attempting to assist  
            our needy families with diapers.  [This bill] creates a  
            public-private partnership fund to help facilitate the  
            distribution of financial donations and diaper contributions  
            to the neediest of families in California."

           PROPOSED AMENDMENT  :  The provisions in this bill that provide a  
          diaper supplement under the CalWORKs program reference  
          applicability to any child under three years of age in an "aided  
          household."  However, a recipient household for purposes of the  
          CalWORKs program is commonly referred to as the "assistance  
          unit," whereas "household" is common terminology for the  
          CalFresh nutrition supplement program, which this bill does not  
          address or change.  For purposes of consistency in the  
          terminology used, and to clarify that these provisions apply to  
          CalWORKs, committee staff recommends the following amendment:

          1)On page 12, line 28, strike out "aided household" and insert:
            assistance unit
          

















                                                                  AB 1516
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           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Coalition of California Welfare Rights Organizations, Inc. -  
          sponsor
          American Federation of State, County and Municipal Employees  
          (AFSCME) 
          National Diaper Bank Network (NDBN)
          Western Center on Law and Poverty

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