BILL ANALYSIS                                                                                                                                                                                                    




          Appropriations Committee Fiscal Summary

                                AB 1039  (Aroner)

Hearing Date:9/8/99             Amended:9/8/99    
Consultant: Anne Maitland           Policy Vote:Health &HS:  
6-1                      
____________________________________________________________ 

BILL SUMMARY: 
AB 1039 allows the Director of Social Services to select up  
to 5 counties which could offer subsidized employment in  
lieu of community service to CalWORKS recipients.  In  
addition, it allows students to count class preparation as  
part of the work requirement and requires county to provide  
notice of  applicants' right to contest the terms of  
welfare-to-work plans

                         Fiscal Impact (in thousands)
  Major Provisions                1999-2000      2000-01        2001-02           Fund  
                                     Unknown costs potentially exceeding        
  General
                                      $1 million
STAFF COMMENTS:  SUSPENSE FILE
AB 1039 authorizes the Director of Social Services (DSS) to  
select  up to 5 counties which could offer subsidized  
employment instead of community service to CalWORKS  
recipients.  The subsidized employment must be for at least  
24 hours a week and could last for up to one year.   
Participants in a subsidized employment program would be  
considered employees for all purposes.  A $90 monthly  
stipend would be paid in addition to any wages. Counties  
would fund the subsidized employment from its block grant  
for employment services, other funds or grant diversion.   
Counties must assist participants in applying for the  
federal earned income tax credit.
In addition, AB 1039 makes the following changes:
 It allows students to include classroom preparation time  
  as part of the 32 hours required for CalWORKS  
  participation.  If attendance and preparation time does  
  not equal at least 32 hours, the county must require  
  participation in work activities to make up the  
  difference.  One hour of prep time for each classroom  
  hour would be allowed up to a maximum of  6 hours per  
  week.  DSS is authorized to increase these hours under  
  certain circumstances.  DSS notes that these hours would  










  not count toward meeting federal work requirements
 It requires counties to notify participants that they may  
  contest the terms of a welfare-to-work plan or request  
  changes; this notice would be included in the program  
  information counties are currently required to provide
 It permits former CalWORKS recipients to claim a "good  
  cause" exemption for noncooperation with child support  
  services as current recipients are entitled to claim.
Staff notes that AB 1039 contains intent language that DSS  
not implement the three provisions described above unless  
funding is provided in the budget.  These provisions create  
mandates which would reimbursable regardless of budget  
action.