BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                            Senator Kevin de Le�n, Chair


          SB 1147 (DeSaulnier) - CalFresh: customer service standards and  
          performance goals. 
          
          Amended: March 27, 2014         Policy Vote: Human Services 5-0
          Urgency: No                     Mandate: No (see Staff Comments)
          Hearing Date: April 28, 2014                            
          Consultant: Jolie Onodera       
          
          This bill meets the criteria for referral to the Suspense File.
          
          
          Bill Summary: SB 1147 would require the Department of Social  
          Services (DSS), in collaboration with key stakeholders, to  
          establish and periodically revise statewide CalFresh customer  
          service standards and performance goals. Additionally, this bill  
          would require the DSS to develop a data management tool, as  
          specified, to be made publicly available, updated quarterly, and  
          utilized to measure the progress made toward achieving the  
          established standards and goals.

          Fiscal Impact: 
              Unknown, potentially significant one-time and ongoing  
              state-reimbursable costs (General Fund) in the hundreds of  
              thousands to millions of dollars to the extent the  
              established standards and goals, which are unspecified and  
              to be determined, impose additional and extensive workload  
              and processes on county welfare departments. 
              Potentially significant ongoing costs (General Fund) to DSS  
              to monitor and likely report on the progress toward the  
              standards and goals, once established.
              Potentially significant automation costs to update the  
              existing CalFresh data dashboard or potentially develop a  
              new data management tool to accommodate additional data  
              points to measure the established and periodically revised  
              standards and goals.
              To the extent the statewide standards and goals are  
              successfully pursued and met, potential future increase in  
              CalFresh/CFAP benefit (Federal/State) and administrative  
              costs (General Fund), to be offset in part by increased  
              economic activity and state and local sales tax revenues. 

          Background: Approximately 2.1 million households in the state  








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          receive CalFresh, California's name for the national  
          Supplemental Nutrition Assistance Program
          (SNAP), which provides benefits to low-income households to  
          alleviate hunger and to improve nutrition and health by helping  
          individuals meet their nutritional needs. The state also  
          provides benefits through the California Food Assistance Program  
          (CFAP) to about 47,000 eligible legal immigrants who are not  
          eligible for federal nutrition assistance.
          
          Existing law requires each county welfare department to carry  
          out the local administrative responsibilities for the CalFresh  
          Program, subject to the supervision of the DSS and to rules and  
          regulations adopted by the DSS (WIC � 18902).

          The DSS recently released a CalFresh data dashboard in February  
          2014, containing information on enrollment growth, percentage of  
          participants concurrently receiving Medi-Cal benefits,  
          timeliness of approval, and churn rates for 30-day and 90-day  
          reapplications. The data dashboard also provides information on  
          active error rates, timeliness for expedited cases and regular  
          processing and demographic data for each county including the  
          number of elderly participants, children under age 18, and  
          unemployment rate. The data dashboard additionally provides  
          statewide information as well as county-level data that are  
          updated quarterly. 

          Existing federal law requires various standards to be met under  
          the SNAP program and to be reported by states. These federal  
          standards include an annual overall performance measure  
          calculated for each state by the federal government, a 30-day  
          application processing timeline, a seven-day expedited service  
          timeline and an overall participation rate. The DSS data  
          dashboard includes these federal performance standards.

          This bill seeks to improve CalFresh participation and access, to  
          establish statewide CalFresh customer service standards and  
          performance goals, and to periodically monitor progress toward  
          meeting those goals.

          Proposed Law: This bill requires the DSS, in collaboration with  
          key stakeholders, to establish statewide customer service  
          standards and performance goals with regard to CalFresh.  
          Additionally, this bill:
                 Requires DSS to revise the standards and goals to  








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               reflect changes in CalFresh performance over time.
                 Requires DSS to measure the progress made toward the  
               execution of the standards and goals on an annual basis.
                 Provides that when developing the standards and goals,  
               to take into consideration what is achievable under current  
               funding and the cost impact of improved program efficiency  
               and the need for additional resource investment.
                 Requires DSS in collaboration with key stakeholders to  
               develop a data management tool that is dynamic, as  
               specified, and if feasible and appropriate, authorizes DSS  
               to expand upon the existing CalFresh data dashboard.
                 The data management tool is to include, but not be  
               limited to, the following:
                  o         Data regarding multi-program enrollment, which  
                    may include, but is not limited to dual eligibility  
                    and dual participation among CalFresh and Medi-Cal  
                    recipients.
                  o         Data regarding CalFresh applications received  
                    through multiple channels, which may include  
                    in-person, online, and by telephone.
                  o         Data regarding CalFresh application and  
                    recertification outcomes, which may include but is not  
                    limited to disposition and processing times.
                  o         Data regarding CalFresh reapplication, which  
                    may include, but is not limited to, rate of return  
                    within 30, 60, and 90 days.
                 Requires data from the management tool to be made  
               publicly available on an ongoing basis and updated at least  
               quarterly within 60 days following the end of each quarter  
               for the purpose of informing the Legislature and the public  
               about CalFresh enrollment, benefit retention, customer  
               service, and performance.
                 Requires DSS, in collaboration with key stakeholders, to  
               identify necessary revisions to the data management tool as  
               necessary to fulfill the standard and goals established, as  
               specified.

          Related Legislation: SB 1002 (de Le�n) 2014 seeks to reduce  
          churn in the CalFresh program by aligning the Medi-Cal  
          redetermination process with the CalFresh recertification  
          process. This bill is scheduled to be heard today by this  
          Committee.

          Staff Comments: As currently drafted, the fiscal impact of the  








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          provisions of this bill is indeterminable, and will be dependent  
          not only the meaning of "customer service standards and  
          performance goals" which remain undefined in the bill, but also  
          on the level of standards and goals established by the DSS and  
          key stakeholders, and to what degree those established standards  
          and goals exceed the existing workload and resources available  
          to county welfare departments that administer the CalFresh  
          program to meet those requirements.  

          As the bill's intent is to improve CalFresh participation and  
          access, to the extent the standards and goals that are developed  
          assist in moving toward that end will result in increased  
          CalFresh and CFAP benefits and administrative costs. These  
          program costs will be offset to a degree by increased economic  
          activity through additional state and local sales tax revenues. 

          Recommended Amendments: Consistent with the recommendation made  
          previously by the Senate Committee on Human Services, staff  
          recommends a definition of "customer service standards" and  
          "performance goals" be added to the bill for clarity.