BILL ANALYSIS �
AB 2703
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ASSEMBLY THIRD READING
AB 2703 (Quirk-Silva)
As Amended May 23, 2014
2/3 vote. Urgency
VETERANS AFFAIRS 8-0 APPROPRIATIONS 17-0
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|Ayes:|Quirk-Silva, Dababneh, |Ayes:|Gatto, Bigelow, |
| |Brown, Eggman, Fox, | |Bocanegra, Bradford, Ian |
| |Melendez, Muratsuchi, | |Calderon, Campos, |
| |Salas | |Donnelly, Eggman, Gomez, |
| | | |Holden, Jones, Linder, |
| | | |Pan, Quirk, |
| | | |Ridley-Thomas, Wagner, |
| | | |Weber |
|-----+--------------------------+-----+--------------------------|
| | | | |
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SUMMARY : States the intention of the Legislature to fund the
activities of the County Veterans Service Officers (CVSOs), as
specified. Requires the California Department of Veterans
Affairs (CDVA) to create an allocation formula, 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)States the intent of the Legislature to fund the activities of
the CVSOs at the amount provided in the 2013-14 Budget Act and
to provide an additional $400,000 for disbursement to the
counties to encourage innovation and reward outstanding
service by CVSOs pursuant to the allocation formula developed
pursuant to Military and Veterans Code (MVC) Section 972.3.
3)Contains an urgency clause, "?Approximately 50 percent of the
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."
AB 2703
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FISCAL EFFECT : According to the Assembly Appropriations
Committee, this bill expresses legislative intent to fund the
county veterans service officers at the amount provided in the
2013-14 budget, plus $400,000 for disbursement to counties, as
specified.
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 CDVA'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 SB 608
(Johannessen), Chapter 318, which amended MVC Section 972.1.
MVC Section 972.1 (later amended) required CDVA 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 $5 million, if justified.
From 2007 until 2010, the annual subvention was increased to
$2.6 million. In 2009, the Legislature passed and the Governor
signed SB 419 (Veterans Affairs Committee), Chapter 183, which
amended MVC Section 972.1. The bill found and declared that 50%
of the amount annually budgeted for CVSOs is approximately $11
million. During Fiscal Year 2009-10 federal monetary benefits
obtained by CVSO's totaled $299 million.
In 2013, The Budget Act of 2013, AB 110 (Budget Committee),
Chapter 20, Statutes of 2013, included a $3 million increase in
subvention funding to CVSO (Item 8955-101-0001 of Section 2.00).
According to the sponsor:
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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.
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.
Analysis Prepared by : John J. Spangler / V.A. / (916)
319-3550
FN: 0003595
AB 2703
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