BILL ANALYSIS �
SB 577
Page 1
Date of Hearing: June 17, 2014
ASSEMBLY COMMITTEE ON HUMAN SERVICES
Mark Stone, Chair
SB 577 (Pavley) - As Amended: May 20, 2014
SENATE VOTE : 32-0
SUBJECT : Autism and other developmental disabilities:
employment.
SUMMARY : Establishes a new community-based vocational
development service to better support and prepare individuals
with developmental disabilities for employment.
Specifically, this bill :
1)Declares legislative findings pertaining to the difficulties
individuals with developmental disabilities experience when
seeking employment and the need to adequately assess the
skills and needs of individuals with developmental
disabilities who are seeking jobs in order to promote
employment success, as specified.
2)States the intent of the Legislature that habilitation
services for individuals with developmental disabilities
include community-based vocational developmental services to
enhance community employment readiness, develop social skills
necessary for successful community employment, and build a
network of community and employment opportunities for
individuals with developmental disabilities.
3)Establishes and defines community-based vocational development
services as all of the following:
a) Services provided to enhance community employment
readiness, which may include the use of discovery and job
exploration opportunities;
b) Social skill development services necessary to obtain
and maintain community employment;
c) Services to use internship, apprenticeship, and
volunteer opportunities to provide community-based
vocational development skills development opportunities;
SB 577
Page 2
d) Services to access and participate in postsecondary
education or career technical education; and
e) Building a network of community and employment
opportunities.
1)Requires the development of a community-based vocational
development services plan, as specified, if such services are
deemed necessary to help a person with a developmental
disability achieve a supported employment outcome.
2)Requires the habilitation service provider and the regional
center to review the plan for community-based vocational
services semiannually, as specified.
3)Authorizes the provision of community-based vocational
development services in conjunction with other community-based
day services for no more than 30 hours of services per week
for up to two years and authorizes such services beyond two
years if the consumer is making significant progress toward
his or her habilitation services objectives, as specified.
4)Establishes a new forty dollar ($40) per hour rate for the
provision of services identified in a consumer's
community-based vocational development services plan for a
maximum of 75 hours per calendar quarter.
5)Requires the Department of Developmental Services (DDS) to
secure federal Medicaid funding prior to the implementation of
community-based vocational development services.
EXISTING LAW
1)Establishes the Lanterman Developmental Disabilities Services
Act (Lanterman Act), under which DDS is authorized to contract
with private non-profit regional centers to provide case
management services and arrange for, or purchase, services
that meet the needs of individuals with developmental
disabilities, as defined. (WIC 4500 et seq.)
2)Grants all individuals with developmental disabilities, among
all other rights and responsibilities established for any
individual by the United States Constitution and laws and the
California Constitution and laws, the right to treatment and
SB 577
Page 3
habilitation services and supports in the least restrictive
environment. (WIC 4502)
3)Requires the development of an Individual Program Plan (IPP)
for each regional center consumer, which specifies services to
be provided to the consumer, based on an individualized needs
determination. (WIC 4512)
4)States the Legislature's intent that habilitation services for
adults with developmental disabilities be planned and provided
in a manner that enables them to approximate the pattern of
everyday living available to nondisabled people of the same
age. (WIC 4850)
5)Defines "habilitation services" as community-based services
purchased or provided for adults with developmental
disabilities, including services provided under the Work
Activity Program and the Supported Employment Program, to
prepare and maintain them at their highest level of vocational
functioning, or to prepare them for referral to vocational
rehabilitation services. (WIC 4851)
6)Requires a work activity program to which a consumer has been
referred for habilitation services to submit a work skills
evaluation report to the regional centers, which includes
information about the skills and productivity of the consumer,
to be used to determine the appropriateness of the work
placement. (WIC 4853)
7)Requires a regional center to authorize appropriate
habilitation services for a consumer while he or she awaits
service authorization from the Department of Rehabilitation if
the regional center has referred that consumer to the
Department of Rehabilitation for vocational rehabilitation
services, and the consumer is put on a waiting list. (WIC
4855)
8)Establishes the following rates and fees to be paid to interim
providers of vocational rehabilitation services that are
authorized by the regional center for the period during which
a consumer is on a waiting list for vocational services from
the Department of Rehabilitation:
a) A rate of thirty dollars and eighty-two cents ($30.82)
per hour for supported employment services provided to
SB 577
Page 4
consumers receiving individualized or group services;
b) A three-hundred-sixty-dollar ($360) fee to be paid to a
program provider upon intake of a consumer into a supported
employment program;
c) A seven-hundred-twenty-dollar ($720) fee to be paid upon
placement of a consumer in an integrated job, as specified;
and
d) A seven-hundred-twenty-dollar ($720) fee to be paid
after a 90-day retention period of a consumer in a job, as
specified. (WIC 4860)
1)Establishes an Employment First Policy in California to
prioritize opportunities for integrated, competitive
employment for individuals with developmental disabilities,
regardless of the severity of their disabilities, as
specified. (WIC 4869)
FISCAL EFFECT : This bill is keyed non-fiscal by the Office of
Legislative Counsel.
COMMENTS : This bill establishes a community-based vocational
development service to ensure individuals with developmental
disabilities who desire to work and need additional basic skills
training and education are better prepared for employment and
experience better employment outcomes.
Background : The Lanterman Act (WIC � 4500 et seq.) guides the
provision of services and supports for Californians with
developmental disabilities. Each individual under the Act,
typically referred to as a "consumer," is legally entitled to
treatment and habilitation services and supports in the least
restrictive environment. Lanterman Act services are designed to
enable all consumers to live more independent and productive
lives in the community.
The term "developmental disability" means a disability that
originates before an individual attains 18 years of age, is
expected to continue indefinitely, and constitutes a substantial
disability for that individual. It includes intellectual
disabilities, cerebral palsy, epilepsy, and autism spectrum
disorders (ASD). Other developmental disabilities are those
SB 577
Page 5
disabling conditions similar to an intellectual disability that
require treatment (i.e., care and management) similar to that
required by individuals with an intellectual disability.
Direct responsibility for implementation of the Lanterman Act
service system is shared by DDS and 21 regional centers, which
are private nonprofit entities, established pursuant to the
Lanterman Act, that contract with DDS to carry out many of the
state's responsibilities under the Act. The principal roles of
regional centers include intake and assessment, individualized
program plan development, case management, and securing services
through generic agencies or purchasing services provided by
vendors. Regional centers also share primary responsibility
with local education agencies for provision of early
intervention services under the California Early Intervention
Services Act.
The 21 regional centers throughout the state serve 270,000
consumers who receive services such as residential placements,
supported living services, respite care, transportation, day
treatment programs, work support programs, and various social
and therapeutic activities. Approximately 1,300 consumers
reside at one of California's four Developmental Centers-and one
state-operated, specialized community facility-which provide
24-hour habilitation and medical and social treatment services.
Over 130,000 regional center consumers are of working age.
Services provided to people with developmental disabilities are
determined through an individual planning process. Under this
process, planning teams-which include, among others, the
consumer, his or her legally authorized representative, and one
or more regional center representatives-jointly prepare an
Individual Program Plan (IPP) based on the consumer's needs and
choices. The Lanterman Act requires that the IPP promote
community integration and maximize opportunities for each
consumer to develop relationships, be part of community life,
increase control over his or her life, and acquire increasingly
positive roles in the community. The IPP must give the highest
preference to those services and supports that allow minors to
live with their families and adults to live as independently as
possible in the community.
Employment Services : Regional centers contract with employment
services programs and providers to address the employment needs
of individuals with developmental disabilities. Consumers are
SB 577
Page 6
placed in jobs according to their individual skills, needs and
choices, and they are provided support services on an individual
or group basis. In addition to meeting the employment needs of
the consumer, work programs can also greatly increase
opportunities for community integration for consumers.
Work Activity Programs (WAPs) are employment services programs
in a sheltered work environment for consumers who have acquired
basic vocational and independent living skills. All WAP work is
paid at a daily per capita rate based on productivity.
Alternatively, Supported Employment Programs (SEPs) are
community-based rehabilitation programs that focus on helping
consumers obtain, retain or maintain employment in integrated
settings. SEPs often involve job coaches that provide
on-the-job services and training, and wages paid directly to the
consumer by the employer.
If it is determined that some form of supported employment would
best meet the employment needs of a consumer, a regional center
will refer the consumer to the Department of Rehabilitation
(DOR), which is responsible for increasing employment
opportunities in the community and providing time-limited
employment services to individuals with disabilities. If a
regional center consumer needs long-term support to continue in
their place of employment, the responsibility for providing a
job coach and maintaining supported employment services shifts
back to DDS.
DOR provides and pays for three tiers of employment-related
services with set corresponding rates for individuals with
developmental disabilities. These include: intake to determine
employment needs and develop a plan of action; placement in a
particular job; and retention for 90-days in a particular job.
Need for this bill : While DOR is charged with helping people
with disabilities obtain and maintain employment, supporters of
this bill claim that people with developmental disabilities need
additional vocational development to ensure success in the
workplace. Current statute outlines a process for evaluating a
consumer's readiness for the workplace and the appropriateness
of the chosen workplace. However, there is no explicit language
in statute that requires attention to work-related "soft skills"
needs and the provision of these services prior to employment if
it is determined that the consumer may not yet be prepared for
employment in an integrated work environment. Furthermore,
SB 577
Page 7
supporters of the bill state that many individuals with
developmental disabilities are placed in inappropriate job
placements, and the current process facilitates more traditional
settings (e.g., warehouses and grocery stores), and does not
promote non-traditional placements (e.g., jobs in a medical or
technical field), which might better meet the consumer's
interests and goals and could lead to long-term employment.
Expressing the need for this bill, the author states:
"In California, the employment rates for people with autism and
other developmental disabilities are appalling. According to
the 2010-2011 Department of Developmental Services report on
employment and day services, as the number of individuals in
regional centers has risen from 2007-2011, the percentage of
working age regional center clients that are employed has
steadily decreased to 12.5%. The 2011-12 National Core
Indicators survey of 5,532 regional center clients indicated
that less than 5% of those surveyed had a job in an integrated
competitive employment setting.
"[This bill] will help increase opportunities for individuals
with autism and other developmental disabilities to gain
integrated, competitive, community employment and career
advancement by helping individuals develop general,
non-job-task-specific strengths and skills."
RECOMMENDED AMENDMENTS :
1)Because this bill creates a new provider rate for a service
for which there is currently no evidence to prove its
efficacy, the author may wish to consider establishing a pilot
project to test community-based vocational development
services before rolling out the services statewide. Committee
staff recommends the following amendments to Section 4850,
beginning on page 3 of the bill, to establish a pilot program,
consistent with current language in the bill that makes
implementation contingent on the receipt of federal funds for
this purpose:
4850.
(a) The Legislature reaffirms its intent that habilitation
services for adults with developmental disabilities should be
planned and provided as a part of a continuum and that
habilitation services should be available to enable persons with
SB 577
Page 8
developmental disabilities to approximate the pattern of
everyday living available to nondisabled people of the same age.
(b) The Legislature further intends that habilitation services
shall be provided to adults with developmental disabilities as
specified in this chapter in order to guarantee the rights
stated in Section 4502.
(c) The Legislature further intends that, in order to increase
effectiveness and opportunity to gain meaningful integrated
employment opportunities, habilitation services shall also
provide community-based vocational development services to
enhance community employment readiness, develop social skills
necessary for successful community employment, and build a
network of community and employment opportunities for
individuals with developmental disabilities.
(1) The Department of Developmental Services shall conduct a
four-year demonstration project to test whether community-based
vocational development services will increase integrated
competitive employment outcomes and reduce purchase of service
costs for working age adults.
(2) The Department of Developmental Services shall select up to
five volunteer regional centers, reflecting the State's
geographic diversity, to participate in the demonstration
project, which will be implemented when the department has
secured federal Medicaid funding for community-based vocational
development services.
(A) If, based on outcomes of the demonstration project, the
department determines that community-based vocational
development services improve employment outcomes and result in
cost savings, the department may, in its sole discretion, expand
the availability of community-based vocational development
services statewide.
(B) If the department, based on its assessment of employment
outcomes and cost savings, does not determine that
community-based vocational development services should be
expanded statewide, the demonstration project shall end four
years from the date of implementation.
2)It is the intent of the author that community-based vocational
development services, or the combination of such services
SB 577
Page 9
along with other community-based day services, be provided
consistent with a consumer's IPP, not to exceed the maximum
number of authorized hours of day services. However, current
language in the bill could be interpreted to grant 30 hours
per week of community-based vocational development services in
addition to the authorized amount of other day services.
Additionally, because the services created in the bill are to
occur as an intermediate step toward more appropriate and
successful employment opportunities, they should be
time-limited to ensure they do not take the place of actual
employment. In order to clarify the language, consistent with
the author's intent, committee staff recommends the following
amendments to Section 4854(d) on page 7 of the bill:
(d) Community-based vocational development services may be
provided in lieu of hours of participation in conjunction with
other community-based day services, and shall not increase the
total weekly hours of community-based day services, as
determined by the consumer's planning team, for no more than 30
hours of service a week for up to two years. Community-based
vocational development services may be authorized beyond the
initial two years, if the consumer, his or her habilitation
service provider, and the regional center determine and document
at each semiannual review that the consumer is making
significant progress toward the habilitation services
objectives, for no more than an additional two years.
RELATED LEGISLATION :
AB 1041 (Chesbro) Chapter 677, Statutes of 2013, established the
"Employment First Policy" for Californians with developmental
disabilities, which includes a requirement that regional centers
provide consumers 16 years of age or older information about the
Employment First Policy, options for integrated competitive
employment, and services and supports, including postsecondary
education, that are available to enable the consumer to
transition from school to work, and to achieve the outcomes of
obtaining and maintaining integrated competitive employment.
AB 1626 (Maienschein) 2014, increases the rates and fees paid to
supported employment services providers for regional center
consumers.
SB 1160 (Beall) 2014, reduces the minimum job coach-to-consumer
ratio for supported employment services and ensures that support
SB 577
Page 10
for consumers who receive individualized job coaching services
only decreases over time with the goal of achieving
stabilization if such a goal is appropriate and consistent with
a consumer's IPP.
REGISTERED SUPPORT / OPPOSITION :
Support
Alameda County Board of Supervisors
Alameda County Developmental Disabilities Council
Association of Regional Center Agencies
Autism Society of Los Angeles
Autism Society San Diego
CA Disability Services Association (CDSA)
California Federation of Teachers
California State Council on Developmental Disabilities
Center for Autism and related Disorders (CARD)
Developmental Disabilities Area Board 10
Disability Rights California
Disability Rights Education & Defense Fund (DREDF)
East Bay Developmental Disabilities Legislative Coalition
Easter Seal California
Friends of Children with Special Needs FCSN)
Futures Explored
Jay Nolan Community Services
National Association of Social Workers, California Chapter
(NASW-CA)
SEIU CA
The Alliance
The ARC and United Cerebral Palsy California Collaboration
Opposition
None on file.
Analysis Prepared by : Myesha Jackson / HUM. S. / (916)
319-2089