BILL ANALYSIS
AB 16
Page 1
Date of Hearing: April 21, 1999
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Carole Migden, Chairwoman
AB 16 (Honda) - As Amended: 4/6/99
Policy Committee: Human
ServicesVote:6 - 2
Urgency: No State Mandated Local
Program:NoReimbursable:
SUMMARY :
This bill increases the state's share of cost for the In-Home
Supportive Services (IHSS) program in any county that
establishes a public authority or non-profit consortium to
provide IHSS services and that increases wages and benefits for
IHSS workers. The bill requires the state to pay the full cost
of any wage and benefit increases. To qualify for the
additional state funds, the bill effectively requires counties
to continue expenditure levels that were in place prior to a
change in the 1998-99 Budget Act that generated additional
federal funds for the IHSS program.
FISCAL EFFECT :
The Department of Social Services estimates this bill would
result in annual GF costs of up to $94 million. Actual costs
could be substantially less than this amount, to the extent not
all counties implement the option provided by the bill, and
depending on the extent of wage and benefit increases granted by
counties.
COMMENTS :
1)The In-Home Supportive Services Program . The IHSS program
provides personal care services and domestic assistance to
eligible aged, blind, and disabled individuals who would
otherwise be unable to remain safely in their homes. Services
are provided at no cost to SSI/SSP recipients, and with a
share of cost paid by the recipient for individuals with
incomes.
AB 16
Page 2
Service Delivery "Modes." IHSS services generally are
provided by individual providers ("IP mode"), where the
provider is hired by the recipient, or through private
agencies under contract with the county (contract mode). In
counties that use the IP mode to provide services, the county
can elect to establish a public authority or nonprofit
consortium to administer the program. If the county
establishes a public authority, the authority is required to
operate a registry of providers, screen potential providers,
and provide training. In addition, the public authority is
established as the employer of record for collective
bargaining purposes by individual providers.
Funding. Under current law, the state covers 65 percent of
the program's cost (after available federal Medi-Cal funds are
applied), and counties cover 35 percent. Under current law
any program cost increases due to increased provider wages and
benefits would be paid by the county unless the state elected
to defray those costs through an additional Budget Act
appropriation.
2)Purpose of the Bill . This bill is sponsored by IHSS Agenda
'99, a coalition of 38 organizations representing seniors,
disabled persons, and labor organizations. The Coalition has
met annually for the last three years to identify common goals
for improving the IHSS program. The bill is intended to
support long-overdue wage increases, according to its
supporters, and thereby to assure the availability of care for
IHSS recipients.
Public authorities have been established in San Mateo,
Alameda, San Francisco, Contra Costa, and Los Angeles
counties. The Service Employees International Union
represents IHSS individual providers in the public authority
counties.
Analysis Prepared by : Bill Wehrle / APPR. / (916) 319-2081