BILL ANALYSIS                                                                                                                                                                                                    �




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


          SB 1252 (Torres) - Former foster youth: transitional housing  
          program.
          
          Amended: April 7, 2014          Policy Vote: Human Services 4-0
          Urgency: No                     Mandate: No
          Hearing Date: May 23, 2014      Consultant: Jolie Onodera
          
          SUSPENSE FILE. AS AMENDED.
          
          
          Bill Summary: SB 1252 would provide that services under the  
          Transitional Housing  Program-Plus (THP-Plus) to a former foster  
          youth may be extended for an additional year up to age 25 and  
          for a total of 36 months, if the former foster youth is  
          completing secondary education or is enrolled in an institution  
          providing postsecondary vocational education.

          Fiscal Impact (as approved May 23, 2014): Potential major future  
          cost pressure (General Fund) to extend THP-Plus services to  
          former foster youth up to age 25 and for a total of 36 months to  
          the extent the state provides funding for the ongoing cost  
          increase. Annual costs to provide THP-Plus services to 10 to 25  
          percent of the 2,000 youth being served annually would be in the  
          range of $5.4 million to $13.5 million assuming a monthly  
          THP-Plus provider rate of $2,258 (weighted average cost across  
          the three housing models). 

          Pursuant to Government Code � 30026.5, legislation enacted after  
          September 30, 2012, that has an overall effect of increasing the  
          costs already borne by a local agency for programs or levels of  
          service under the 2011 Realignment shall apply to local agencies  
          only to the extent that the state provides annual funding for  
          the cost increase. Local agencies shall not be obligated to  
          provide programs or levels of service required by legislation  
          above the level for which funding has been provided. While the  
          provisions of this bill do not mandate the provision of extended  
          services, to the extent funding is not increased, counties that  
          elect to extend THP-Plus services would potentially serve fewer  
          former foster youth and/or provide a reduced level of services.

          Background: Existing law provides that any former foster youth  
          at least 18 years of age and not more than 24 years of age who  








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          has exited from the foster care system on or after his or her  
          18th birthday is eligible to participate in THP-Plus provided he  
          or she has not received services for more than a total of 24  
          months, whether or not consecutive (WIC � 11403.2(a)(2)).  
          THP-Plus is a county-based program in which county-certified  
          providers offer transitional housing services to specified  
          former foster youth.

          If a former foster youth participating in THP-Plus is not  
          receiving aid under extended foster care, he or she, as a  
          condition of participation, is required to enter into and  
          execute a transitional independent living plan that shall be  
          mutually agreed upon, and annually reviewed, by the former  
          foster youth and the applicable county welfare or probation  
          department or independent living program coordinator.

          THP-Plus program expenditures are not eligible for federal  
          reimbursement under Title IV-E and have been fully realigned to  
          the counties under 2011 Realignment.
          
          Proposed Law: This bill provides that eligibility for THP-Plus  
          may be extended to former foster youth up to age 25 and for a  
          total of 36 months, whether or not consecutive, subject to  
          meeting existing THP-Plus eligibility requirements and either of  
          the following criteria:
                 The former foster youth is completing secondary  
               education or a program leading to an equivalent credential.  
                
                 The former foster youth is enrolled in an institution  
               that provides postsecondary vocational education. 

          Prior Legislation: AB 12 (Beall/Bass) Chapter 559/2010 enacted  
          the California Fostering Connections to Success Act of 2010, and  
          authorized the state to exercise the option of extending  
          benefits in the Foster Care, Kin-GAP, Fed-GAP, and AAP to age 21  
          for youth who meet specified criteria. AB 12 also provided for  
          the alignment of the Kin-GAP program with federal requirements  
          in order to receive federal financial participation.

          Staff Comments: The 2011 Realignment provided for a permanent  
          baseline allocation of $34.9 million to counties for the  
          provision of THP-Plus to fund services for approximately 1,200  
          beds. According to the THP-Plus Annual Report and Policy Brief  
          for 2012-13 by the John Burton Foundation, 50 of 58 counties  








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          continue to provide THP-Plus services to over 2,000 youth  
          annually. THP-Plus offers three different service models (single  
          site, scattered site, and host family) with monthly rates paid  
          to providers that vary by county. The average THP-Plus monthly  
          rate in 2012-13 was $2,570 for the single site model (22% of  
          capacity), $2,235 for the scattered site model (66%), and $1,810  
          for the host family model (12%). 

          It is unknown at this time what percentage of youth would be  
          offered and would utilize the proposed extension in THP-Plus  
          services, but annual costs to provide services to 10 to 25  
          percent of the 2,000 youth being served annually would cost in  
          the range of $5.4 million to $13.5 million assuming a monthly  
          THP-Plus provider rate of $2,258 (weighted average cost across  
          the three housing models). 

          Proposition 30 as passed by the voters in November 2012 provided  
          that legislation enacted after September 30, 2012, that has an  
          overall effect of increasing the costs already borne by a local  
          agency for programs or levels of service mandated by the 2011  
          Realignment Legislation shall apply to local agencies only to  
          the extent that the state provides annual funding for the cost  
          increase. Local agencies are not obligated to provide programs  
          or levels of service required by legislation above the level for  
          which funding has been provided. While the provisions of this  
          bill do not mandate the provision of extended THP-Plus services,  
          to the extent funding is not increased, counties that elect to  
          extend THP-Plus services would potentially serve fewer former  
          foster youth and/or provide a reduced level of services. As  
          such, the provisions of this bill create future cost pressure on  
          the General Fund for the state to provide funding for the  
          ongoing cost increase. 

          Recommended amendments: As currently drafted, the provisions of  
          this bill do not specify at whose discretion the provision of  
          extended THP-Plus services would be provided. For clarity, staff  
          recommends an amendment to specify whether it would be a county,  
          county provider, or other entity that would have discretion to  
          extend services.

          Committee amendments specify the expansion of THP-Plus services  
          are at the option of the county.










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