Amended in Senate March 25, 2014

Senate Bill No. 1382

Introduced by Senator Block

February 21, 2014

An act to amend Section 1569.185 of the Health and Safety Code, relating to care facilities.

LEGISLATIVE COUNSEL’S DIGEST

SB 1382, as amended, Block. Residential care facilities for the elderly.

Existing law provides for the licensure and regulation of residential care facilities for the elderly by the State Department of Social Services. begin insert A violation of these provisions is a misdemeanor. end insert Existing law sets forth the annual licensure fees to operate a residential care facility for the elderly and various other fees charged by the department. begin insert Existing law requires the department to deposit the fees collected into the Technical Assistance Fund to be used by the department, upon appropriation by the Legislature, to ensure the health and safety of individuals provided care and supervision by licensees and to support activities of the licensing program. end insert

begin delete

This bill would make technical, nonsubstantive changes to those fee provisions.

end delete begin insert

This bill would increase the annual licensure fees by 30% and would make related findings and declarations.

end insert

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

begin insert

begin insert SECTION 1. end insert   

end insert begin insert

The Legislature finds and declares all of the
following:

end insert begin insert

(a) The quality of services provided to residents of a residential
care facility for the elderly is dependent on the State Department
of Social Services’ ability to continue and enhance its licensing,
regulatory, and disciplinary functions.

end insert begin insert

(b) After years of budgetary cut backs, it is now imperative that
the department be revitalized and given adequate resources to
support its mandate to provide consumer protection.

end insert begin insert

(c) Failure to increase the fee amount by 30 percent will result
in continued lack of supervision and regulatory discipline which
will undermine the care and services for residents.

end insert

begin delete SECTION 1. end delete
begin insert SEC. 2. end insert   

Section 1569.185 of the Health and Safety Code is
amended to read:

1569.185.  

(a) An application fee adjusted by facility and
capacity shall be charged by the department for the issuance of a
license to operate a residential care facility for the elderly. After
initial licensure, a fee shall be charged by the department annually
on each anniversary of the effective date of the license.

The fees are for the purpose of financing activities specified in
this chapter. Fees shall be assessed as follows:

 

Fee Schedule
Capacity	Initial Application	Annual
1-3	begin delete $413 end delete     begin insert end insert begin insert $536.90 end insert	begin delete $413 end delete     begin insert end insert begin insert $536.90 end insert
4-6	begin delete $825 end delete     begin insert end insert begin insert $1,072.50 end insert	begin delete $413 end delete     begin insert end insert begin insert $536.90 end insert
7-15	begin delete $1,239 end delete     begin insert end insert begin insert $1,610.70 end insert	begin delete $619 end delete     begin insert end insert begin insert $804.70 end insert
16-30	begin delete $1,650 end delete     begin insert end insert begin insert $2,145.00 end insert	begin delete $825 end delete     begin insert end insert begin insert $1,072.50 end insert
31-49	begin delete $2,064 end delete     begin insert end insert begin insert $2,683.20 end insert	begin delete $1,032 end delete     begin insert end insert begin insert $1,341.60 end insert
50-74	begin delete $2,477 end delete     begin insert end insert begin insert $3,220.10 end insert	begin delete $1,239 end delete     begin insert end insert begin insert $1,610.70 end insert
75-100	begin delete $2,891 end delete     begin insert end insert begin insert $3,758.30 end insert	begin delete $1,445 end delete     begin insert end insert begin insert $1,878.50 end insert
101-150	begin delete $3,304 end delete     begin insert end insert begin insert $4,295.20 end insert	begin delete $1,652 end delete     begin insert end insert begin insert $2,147.60 end insert
151-200	begin delete $3,852 end delete     begin insert end insert begin insert $5,007.60 end insert	begin delete $1,926 end delete     begin insert end insert begin insert $2,503.80 end insert
201-250	begin delete $4,400 end delete     begin insert end insert begin insert $5,720.00 end insert	begin delete $2,200 end delete     begin insert end insert begin insert $2,860.00 end insert
251-300	begin delete $4,950 end delete     begin insert end insert begin insert $6,435.00 end insert	begin delete $2,475 end delete     begin insert end insert begin insert $3,217.50 end insert
301-350	begin delete $5,500 end delete     begin insert end insert begin insert $7,150.00 end insert	begin delete $2,750 end delete     begin insert end insert begin insert $3,575.00 end insert
351-400	begin delete $6,050 end delete     begin insert end insert begin insert $7,865.00 end insert	begin delete $3,025 end delete     begin insert end insert begin insert $3,932.50 end insert
401-500	begin delete $7,150 end delete     begin insert end insert begin insert $9,295.00 end insert	begin delete $3,575 end delete     begin insert end insert begin insert $4,647.50 end insert
501-600	begin delete $8,250 end delete     begin insert end insert begin insert $10,725.00 end insert	begin delete $4,125 end delete     begin insert end insert begin insert $5,362.50 end insert
601-700	begin delete $9,350 end delete     begin insert end insert begin insert $12,155.00 end insert	begin delete $4,675 end delete     begin insert end insert begin insert $6,077.50 end insert
701+	begin delete $11,000 end delete     begin insert end insert begin insert $14,300.00 end insert	begin delete $5,500 end delete     begin insert end insert begin insert $7,150.00 end insert

 

(b) (1) In addition to fees set forth in subdivision (a), the
department shall charge all of the following fees:

(A) A fee that represents 50 percent of an established application
fee when an existing licensee moves the facility to a new physical
address.

(B) A fee that represents 50 percent of the established
application fee when a corporate licensee changes who has the
authority to select a majority of the board of directors.

(C) A fee of twenty-five dollars ($25) when an existing licensee
seeks to either increase or decrease the licensed capacity of the
facility.

(D) An orientation fee of fifty dollars ($50) for attendance by
an individual at a department-sponsored orientation session.

(E) A probation monitoring fee equal to the annual fee, in
addition to the annual fee for that category and capacity for each
year a license has been placed on probation as a result of a
stipulation or decision and order pursuant to the administrative
adjudication procedures of the Administrative Procedure Act
(Chapter 4.5 (commencing with Section 11400) and Chapter 5
(commencing with Section 11500) of Part 1 of Division 3 of Title
2 of the Government Code).

(F) A late fee that represents an additional 50 percent of the
established annual fee when a licensee fails to pay the annual
licensing fee on or before the due date as indicated by postmark
on the payment.

(G) A fee to cover any costs incurred by the department for
processing payments including, but not limited to, bounced check
charges, charges for credit and debit transactions, and postage due
charges.

(H) A plan of correction fee of two hundred dollars ($200) when
a licensee does not implement a plan of correction on or prior to
the date specified in the plan.

(2) A local jurisdiction shall not impose a business license, fee,
or tax for the privilege of operating a facility licensed under this
chapter that serves six or fewer persons.

(c) (1) The revenues collected from licensing fees pursuant to
this section shall be utilized by the department for the purpose of
ensuring the health and safety of all individuals provided care or
supervision by licensees and to support the activities of the
licensing programs, including, but not limited to, monitoring
facilities for compliance with licensing laws and regulations
pursuant to this chapter, and other administrative activities in
support of the licensing program, when appropriated for these
purposes. The revenues collected shall be used in addition to any
other funds appropriated in the annual Budget Act in support of
the licensing program.

(2) The department shall not utilize any portion of these revenues
sooner than 30 days after notification in writing of the purpose
and use, as approved by the Department of Finance, to the
Chairperson of the Joint Legislative Budget Committee, and the
chairpersons of the committee in each house that considers
appropriations for each fiscal year. The department shall submit
a budget change proposal to justify any positions or any other
related support costs on an ongoing basis.

(d) A residential care facility for the elderly may use a bona
fide business check to pay the license fee required under this
section.

(e) The failure of an applicant for licensure or a licensee to pay
all applicable and accrued fees and civil penalties shall constitute
grounds for denial or forfeiture of a license.