BILL ANALYSIS �
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Date of Hearing: April 29, 2014
ASSEMBLY COMMITTEE ON VETERANS AFFAIRS
Sharon Quirk-Silva, Chair
AB 2703 (Quirk-Silva) - As Introduced: February 21, 2014
SUBJECT : County veterans service officers.
SUMMARY : [As proposed to be amended in Committee] Appropriates
money to the California Department of Veterans Affairs (CDVA)
for allocation to the County Veterans Service Officers (CVSOs),
requires CDVA to create an allocation formula, as specified,
makes findings and declarations as specified. Specifically,
this bill :
1)Requires CDVA to, no later than January 1, 2015, develop an
allocation formula based upon performance to encourage
innovation and reward outstanding service by CVSOs.
2)Directs that money appropriated for this purpose shall be
allocated each fiscal year in accordance with that formula
among those counties that have established and maintain a
CVSO.
3)Continuously appropriates six million dollars ($6,000,000)
annually from the General Fund to CDVA to be allocated as
follows:
a) Five million six hundred thousand dollars ($5,600,000)
shall be available for disbursement to the counties to fund
the activities of county veterans service officers pursuant
to subdivision (b) of Section 972.1 of the Military and
Veterans Code.
b) Four hundred thousand dollars ($400,000) shall be
available for disbursement to the counties to encourage
innovation and reward outstanding service by county
veterans service officers pursuant to the allocation
formula developed by CDVA to encourage innovation and
reward outstanding service by CVSOs.
4)Makes findings and declarations in support of sustaining the
one-time funding increase.
5)Contains an urgency clause, "?Approximately 50 percent of the
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current General Fund appropriation in support of county
veteran service offices expires on June 30, 2014. In order to
provide for continuity of services critical to successful
reintegration of California's veterans, to increase
California's utilization of veteran benefits, and to ensure
veterans claims for benefits are processed in a timely manner,
it is necessary that this act take immediate effect."
EXISTING LAW :
1)Provides for annual appropriation to the CVSOs as determined
in each year's Budget Act.
2)Requires annual reporting by CDVA to the Department of Finance
The department must annually determine the amount of new or
increased monetary benefits paid to eligible veterans by the
federal government attributable to the assistance of county
veterans service officers.
3)Mandates that CDVA must, on or before October 1 of each year,
prepare and transmit its determination for the preceding
fiscal year to the Department of Finance and the Legislature.
4)Directs the Department of Finance to review CDVA's
determination in time to use the information in the annual
Budget Act for the budget of CDVA for the next fiscal year.
FISCAL EFFECT : Unknown at this time.
COMMENTS :
CVSOs are local agencies established in 1946 to assist veterans
and their families in obtaining benefits and services accrued
through military service. They act as the Department's network
for claim initiation and development and draw down significant
federal dollars annually.
CVSO funding is a combination of local and state resources. The
2009-10 Budget Act provided $2.6 million GF (a level static
since 2004) and $554,000 from the Veterans Service Office Fund
(veteran license plate funding restricted to CVSO's) to counties
toward compensation and expenses of CVSOs.
In 1997, the Legislature passed and the Governor signed Senate
Bill 608, enacted as Chapter 318 of the Statutes of 1997, which
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amended Section 972.1 of the Military and Veterans Code. Chapter
318 requires the Department of Veterans Affairs to annually
determine the amount of new or increased monetary benefits paid
to eligible veterans by the federal government that were
attributable to the assistance of county veterans service
officers and requires the Department of Finance to consider an
increase in the annual budget for county veterans service
officers, in an amount not to exceed five million dollars
($5,000,000), if justified.
From 2007 until 2010, the annual subvention was increased to two
million six hundred thousand dollars ($2,600,000). In 2009, the
Legislature passed and the Governor signed Senate Bill 419,
enacted as Chapter 183 of the Statutes of 2009 that amended
Section 972.1 of the Military and Veterans Code. Chapter 318
found and declared that 50 percent of the amount annually
budgeted for CVSOs is approximately eleven million dollars
($11,000,000). During Fiscal Year 2009-10 federal monetary
benefits obtained by CVSO's totaled $299 million.
In 2013, The Budget Act of 2013 (AB 110, Chapter 20, Statutes of
2013) included a $3 million increase in subvention funding to
County Veterans Service Officers (CVSO) (Item 8955-101-0001 of
Section 2.00).
According to the sponsor:
As compared to Texas, in FY 12, California's percent of
veterans receiving compensation and pension benefits was
approximately 5% less, resulting in $720 million less in
benefits flowing to California veterans.
The proposed $3M is NOT SUFFICIENT to catch up with the
performance levels of Texas and Florida BUT it is a step in
the right direction.
As demonstrated, this funding would put about 18 full
time and 22 part time veteran service representatives
in county offices.
When fully trained, these additional staff would
represent about a $47M increase in new benefits (not
just C&P) obtained annually.
These positions are temporary due to the one-time
nature of the FY2013 funding.
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They will be eliminated if funding is not made
permanent.
As reported by the Bureau of State Audits (2009-108):
"Expressed as a ratio of CVSO staff to veterans in the
respective states, Texas had one CVSO staff member for
every 5,684 veterans, Florida had one CVSO staff member for
every 8,407 veterans, and California had one CVSO staff
member for every 9,577 veterans."
Using current demographics that equates to a need for 307
professional veteran service representatives statewide.
A recent survey of counties and state offices showed
approximately 209 veteran service representatives as
opposed to a need for 307.
Related Legislation :
The Budget Act of 2013 (AB 110, Chapter 20, Statutes of 2013)
included a $3 million increase in subvention funding to County
Veterans Service Officers (CVSO) (Item 8955-101-0001 of Section
2.00).
SB 296- Correa (2013) DIED IN APPROPS. Provided that the sum of
nine dollars ($9,000,000) would be appropriated from the General
Fund to the Department of Veterans Affairs to provide for
veterans' services, including increased funding for CVSOs.
AB 1209- Cook (2011) DIED IN APPROPS. Provided that the sum of
seven million three hundred thousand dollars ($7,300,000) would
be appropriated from the General Fund to the Department of
Veterans Affairs to provide for veterans' services, including
increased funding for CVSOs.
SB 419 (Senate Veterans Affairs Comm, Ch. 48, Stats. 2009)
Revises findings and declarations in existing law by declaring
that 50 percent of the amount annually budgeted for CVSOs is
(should be) approximately $11 million (rather than the existing
$5 million). Sunsets after January 1, 2016. Only becomes
operative if SB 418 (Senate Veterans Affairs, 2009) is
chaptered. This majority-vote bill contained no appropriation,
and was not keyed fiscal. Senate 36-0; Assembly 76-0.
SB 418 (Senate Veterans Affairs Comm, Ch. 48, Stats. 2009)
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Revises legislative findings and declarations in existing law
with regard to the use of General Fund monies for services
provided by veterans service organizations by clarifying that
the General Fund monies shall not be allocated until the annual
budget for CVSOs reaches $5 million. This majority-vote bill
contained no appropriation, and was not keyed fiscal. Senate
37-0; Assembly 74-0.
SB 1778 (Senate Veterans Affairs Comm, vetoed, 2008)
Changes findings and declarations by increasing the amount
budgeted for CVSOs from $5 million to $11 million. This bill was
not an appropriation. Senate 37-0; Assembly 75-0. Governor's
veto message: "The historic delay in passing the 2008-2009 State
Budget has forced me to prioritize the bills sent to my desk at
the end of the year's legislative session. Given the delay, I am
only signing bills that are the highest priority for California.
This bill does not meet that standard and I cannot sign it at
this time."
SB 1222 (Cedillo, held Senate Approps, 2008)
This bill would have (1) Increased funding for veterans outreach
by appropriating three dollars for every California veteran. (2)
Required that each three-dollar appropriation be disbursed as
follows: CVSOs - $2.35; veteran service organizations - $0.50;
and the Veteran Services Division/CalVet - $0.15. Senate
Veterans Affairs 5-0.
AB 1814 (DeVore, held Senate Veterans Affairs, 2008)
The Veterans Benefit Recovery Augmentation Plan facilitates
CalVet in contracting with VSOs in order to augment the veterans
outreach services provided by the Department's Veterans Service
Division. Assembly 75-0.
AB 2577 (Salas, 2008, held Assembly Rules, 2008)
Supports reinstating funding cut by the Governor for the CVSOs
as well as the State Veteran Service Officers. No votes taken.
AB 389 (Salas, held Assembly Approps, 2007)
Would have appropriated $5,000,000 from the General Fund to
CalVet for disbursement to the counties. Assembly Veterans
Affairs 9-0.
AB 2268 (Samuelian, Ch. 804, Stats. 2004)
Authorized CalVet to contract out services to VSOs and, with the
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approval from the Department of Finance, to reimburse those
organizations for services rendered on a formula/performance
basis starting in fiscal year 2006-07. Senate 31-1; Assembly
76-0.
SB 608 (Johannessen, Ch. 318, Stats. 1997)
Approved a CVSO funding level of up to $5,000,000 of which only
approximately $2,500,000 has traditionally been funded. Senate
38-0; Assembly 77-0.
REGISTERED SUPPORT / OPPOSITION :
Support
California Association of County Veteran Service Officers
(Sponsor)
Amador County
American Legion Department of California
AMVETS Department of California
California State Commanders Veterans Council
Veterans of Foreign Wars, Department of California
California Labor Federation
California-Nevada Conference of Operating Engineers
Contra Costa County
Del Norte County
El Dorado County
Imperial County
Kern County
Kings County
Lake County
Los Angeles County
Military Officers Association of America, California Council of
Chapters
Monterey County
Napa County
Placer County
Platinum Advisors
Rural County Representatives of California
Sacramento County
Santa Barbara County
San Bernardino County
San Luis Obispo County
Santa Clara County
Stanislaus County
Solano County
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Sonoma County
Trinity County
Tulare County
Tuolumne County
Ventura County
Vietnam Veterans of America, California State Council
Vietnam Veterans of Diablo County
Opposition
None.
Analysis Prepared by : John Spangler / V. A. / (916) 319-3550