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2022 Garden Party Earl Johnson Equal Justice Award Tribute

In the past fourteen years, the Equal Justice awards have been presented to a wide array of national, state, and local leaders in the legal aid world — from former U. S. Attorney General Eric Holder to California Supreme Court Justice Cruz Reynoso to local leaders like Judge Terry Hatter and USC Law Professor Claire Pastore. This year, we finally realized we had been overlooking two legal aid stars in the Center’s own backyard. Those stars are the Center’s long-time Litigation Director Dick Rothschild and it’s veteran General Counsel, Robert Newman.

After graduating Magna Cum Laude from Yale University, Dick Rothschild attended USC Law school— graduating in 1975 where he was Order of the Coif, second highest GPA in his class and the Notes and Articles Editor of the Law Review. He then clerked for California Supreme Court Justice Stanley Mosk. With that outstanding resume, Dick was a top prospect for the largest, most prestigious law firms in town. But that was not what he wanted to do as a lawyer and in 1976, he chose instead to sign on as a staff Attorney at the Western Center. By 1984 he was elevated to be the Center’s Director of Litigation, the position he still occupies nearly four decades later. In that role, Dick not only manages the litigation staff and all the Center’s major cases, but frequently is personally involved as lead or co-counsel in those cases.

Meantime, Bob Newman earned both his undergraduate and law degrees at Yale , finishing in 1977 and moving to Los Angeles in 1979. The next few years Bob developed a successful practice representing individuals who had suffered at the hands of government. During that time he won several of multi-million dollar judgments for victims of police misconduct. In 1986, he brought that expertise in major litigation and class actions to the Western Center when he joined the staff as its General Counsel. Over the past three and a half decades, often teaming with other Western Center lawyers, he has successfully litigated scores of major class actions and test cases establishing new legal rights and improving the lives of hundreds of thousands of low income people. In addition, he shares his expertise and wisdom with other staff members when they face knotty problems in cases they are handling. While the rest of Western Center’s legal staff is unusually talented, they are even more productive and successful because the staff includes Bob and Dick with their deep reservoir of experience in complex litigation.

While this may be the first time Dick and Bob are receiving the Western Center’s Equal Justice Award, they have reputations in the legal aid and public interest community that range across the state and even nationally. This is evidenced by the many awards one or both of them have received from other organizations—among them the California Bar’s Loren Miller Award which Dick and Bob won in different years, the Lawyers’ Guild’s Robert Kenny Award which Bob received recently, and the National Legal Aid and Defender Association’s top award— the Kutak-Dodd Prize—which Dick earned a few years ago that goes to the outstanding legal aid lawyer in the country.

I am pleased, indeed honored, to add the Center’s Equal Justice Award to that list. It is especially meaningful for me because this time I have personally observed the contributions these two lawyers have made to the elusive goal of equal justice for all and to improving the lives of the poor and otherwise powerless. So I ask Dick Rothschild and Bob Newman to accept these Equal Justice Awards they have proven several times over that they have long deserved.

Western Center’s 2022 Legislative Wrap-Up

Western Center had an outstanding end to the 2022 legislative session, with 13 of co-sponsored bills signed into law by Governor Gavin Newsom. Among the highlights were (SB 972) modernizing street vending licensing and (SB 923), a first in nation bill on gender affirming health care. We also passed bills to repeal failure to appear (FTA) license suspensions and to repeal the use of license suspension for low-income parents in arrears on child support. Other wins included mandating counties waive work requirements for domestic violence survivors and expanded protections for low-income debtors from wage garnishments. Below is a list that includes WCLP sponsored bills and other bills of note that WCLP played a role in, such as AB 2594 and AB 2746.

HIGHLIGHTS

SB 972 (L Gonzales) – SB 972 WCLP co-sponsored this bill that modernizes vending policies and fully legalizes food street vending, providing pathways for vendors to obtain health permits and build their small businesses. You can learn more about the community organizing history and vendor led process to achieve this historic victory by watching our Meet the Advocates webinar on vendor justice as a food justice issue.

SB 923 (Wiener) – SB 923 WCLP co-sponsored this historic bill that creates a workgroup to establish first-in-the nation quality standards for transgender, gender diverse, and intersex (TGI) patient experience and recommends related training curriculum, mandates health plans to require TGI cultural competency training for their staff, and requires plan provider directories to identify providers who offer gender affirming services.


PASSED BILLS

AB 1355 (Levine)  – WCLP co-sponsored AB 1355, a bill that expands applicant protections related to alternating decisions in state fair hearings including requiring transcripts to be read before directors alternate and allowing additional evidence be entered after an alternated decision was returned to the ALJ.

SB 1008 (Becker) – SB 1008 makes phone calls from prison and juvenile facilities free, keeping families connected. In partnership with co-sponsors and community groups, WCLP amplified the call to support this bill across our social media channels.

AB 2277 (Reyes)  –WCLP co-sponsored AB 2277 requiring counties to provide good cause to CalWORKs program requirements, including work participation, when a recipient identifies themselves as a survivor of domestic violence.

SB 1017 (Eggman) – WCLP co-sponsored SB 1017 which expands the rights and protections of survivors of domestic violence in landlord/tenant proceedings, including clarifying when landlords can evict tenants if the perpetrator returns to the property.

 SB 644 (Leyva) – WCLP co-sponsored SB 644 which requires EDD to share with Covered California contact and income information about those who have recently applied for or lost income-replacing benefits to allow Covered California to reach out and help enroll these individuals in Medi-Cal or Covered California.

AB 2004 (C. Garcia) – WCLP co-sponsored AB 2004 which strengthens the California Dream Loan Program and establishes a loan forgiveness program for program borrowers.

AB 2339 (Bloom) –WCLP co-sponsored AB 2339 which strengthens housing element law to ensure zoning encourages and facilitates the production of emergency shelters and transitional and supportive housing.


SB 1200 (Skinner) – SB 1200 WCLP co-sponsored this bill to reduce the interest rate applied to unpaid government and private debt. The bill will reduce the interest from 10 percent annually to 5 percent. It also limits creditors to one renewal of a judgment against a debtor. There is currently no
limit on how long creditors can try and collect old debt.

SB 1055 (Kamlager) – SB 1055 WCLP co-sponsored this first of its kind in the nation bill to eliminate the use of license suspension when a low-income non-custodial parent is in arrears on making child support payments. The bill repeals license suspension for people with incomes at or below 70 percent of the area median income.

AB 2746 (Friedman) – AB 2745 repeals the ability of traffic courts to suspend a driver’s license for failure to appear. 

SB 1447 (Wieckowski) – WCLP co-sponsored SB 1447 which increases protections to income from wage garnishments to 48 hours times the minimum wage or 20 percent of disposable income.

AB 2147 (Ting) – AB 2147 reduces the use of jaywalking tickets by only allowing tickets when there is an imminent danger.

AB 2594 (Ting) – AB 2594 WCLP supported and negotiated this bill that makes numerous changes to toll agencies’ collection practices. It waives penalties on old violations, eliminates the requirement that a person must deposit all tolls and penalties in order to get an administrative review of a violation, and
requires toll agencies to have payment plans for drivers with incomes below 200 percent of the federal poverty level and caps payments for these plans at $25 a month and caps the maximum civil penalty for a violation at $100.

AB 2300 (Kalra) – AB 2300 – WCLP co-sponsored this bill that allows CalWORKs recipients to have good cause from not meeting work requirements if their employer violates state labor laws including the Crown Act, sexual harassment, and many other labor provisions.

SB 1083 (Skinner)  –WCLP co-sponsored SB 1083 which makes numerous changes to the CalWORKs Homeless Assistance Program including expanding the definition of homelessness to include an eviction notice and to reduce verification requirements for pregnant persons.

AB 1686 (Bryan) –  AB 1686 establishes a presumption that, when a child is in foster care, requiring the parent or guardian to pay child support for the child is likely to impose a barrier to the family’s efforts to reunify.

AB 207 (Ting) – The Governor signed this budget trailer bill that included language approving full pass through of child support payments to CalWORKs children and mandates that CDSS form a stakeholder work group to evaluate whether there are any possible negative consequences from providing full pass through. The bill also requires CDSS to form a stakeholder work group to look at options for ending the TANF work participation pass-on penalty to counties that WCLP and CWDA have been urging repeal of the past two budgets. Lastly, the bill also mandates a stakeholder work group to come up with a proposal for implementing the child support Final Rule on determining how to establish child support orders. WCLP will be a participant in all three work groups.

OPPOSED BILLS:

SB 1338 (Umberg and Eggman) – WCLP joined the opposition to this legislation, widely known as “Care Court,” sponsored by Governor Newsom. You can learn more about why WCLP opposed this bill by watching our Meet the Advocates webinar on this topic. The passed bill will only funds six counties (SD, SF, Riverside, Orange, Tuolumne and Stanislaus). It delays implementation of a second cohort of unnamed counties until December, 2024. The earliest Care Court can go live in the first six counties would be October 1, 2023. The bill includes language allowing courts to appoint counsel for the respondent from either a willing LSC program or a public defender.

SB 1133 (Archuleta) – WCLP opposed this bill that would remove price gouging protections during states of emergency – including rental caps. The successful defeat of this bill ensured that thousands of vulnerable Californians will continue to be protected against unjust housing price gouging during the declaration of an emergency – including wildfires, pandemics, and natural disasters.


DEFEATED BILLS TO BRING BACK NEXT SESSION:

AB 1685 (Bryan)- AB 1685 would have required local governments using DMV holds to collect parking tickets to forgive up to $1,500 in parking debt if they were homeless. 

AB 2775 (Quirk-Silva) – AB 2775, co-sponsored by WCLP would have allowed an unhoused person to not pay a registration fee on their vehicle.

SB 1140 (Umberg) – SB 1140, co-sponsored by WCLP would have codified the decision in Ortega vs Johnson that CalFresh benefits stolen electronically would have to be restored promptly.

BUDGET RE-CAP:

The governor and legislature reached an agreement on the 2022-23 state budget, which includes a historic $100 billion budget surplus. Amid substantial inflation and continued economic fallout from the pandemic, the reason for the massive surplus must be named. California has 189 billionaires and counting, and substantially more extremely high-income households that do not have the same economic burdens as the 1 in 3 Californians living near or below the poverty line. Only fundamental reforms, including for seemingly untouchable issues like discriminatory tax laws, can address the significant disparities in our state. One-time investments targeting people with low incomes during flush budget years are good, but ongoing, dedicated investments are the only way to make the state better.

Despite concerns that surplus revenue would make it difficult to fund General Fund programs, the budget deal includes substantial General Fund investments. The budget also provides tax rebates to millions of Californians, with the majority going to Californians with incomes below $75,000. Even with that spending and many other investments, the state will have a $37 billion reserve.

ACCESS TO JUSTICE/ FINES & FEES

Civil Assessments – The budget substantially reforms court practices that result in tens of millions of dollars in penalties imposed on people who fail to pay traffic and criminal court fines on time or who fail to appear in court. The current $300 civil assessment is being reduced to $100. The budget agreement also discharges civil assessment debt that accrued prior to the change in law. This means tens of thousands of people will no longer have to make payments on that debt or be harassed by bill collectors. The budget also shifts all future civil assessment revenue to the state General Fund rather than to the courts. The past practice led to lawsuits alleging that judges are incentivized to impose the maximum assessment to increase court revenue. The civil assessment language will be subject to completion in August via budget trailer bill.

Tax Intercepts – The budget includes a change to the longstanding practice by the state of intercepting Earned Income Tax Credits (EITC) and Young Child Tax Credits (YCTC) for unpaid debts. Going forward, the state’s Franchise Tax Board will no longer intercept such payments except in cases of child support or restitution.

FINANCIAL SECURITY/ FOOD ACCESS

CalWORKs – The CalWORKs budget provides a 21 percent increase in CalWORKs grants, the largest since the program began in 1998. It eliminates deep poverty for CalWORKs households of families of four or more. Deep poverty includes households with incomes below 50 percent of the Federal Poverty Level by family size. For smaller families that get tax rebates, their income will also be above the deep poverty threshold. The increase will begin on October 1, 2022 for the next two budgets, but must be renewed in 2024 when an additional grant increase will also be under consideration. Below is an estimated chart of the grants starting in October.

Child Support Pass Through – The budget includes a major change in child support policy by allowing families that receive a child support payment to receive all of it and not have it re-directed to the state and federal government to reimburse the cost for public benefits. This will begin in 2025. Currently, a CalWORKs family only gets child support for the first $100 for one child and $200 for two or more children. The governor proposed to pass through all child support to former CalWORKs households in the January budget proposal, and the legislature succeeded in expanding that into a full pass through of all child support, making California the second state in the country to do so. It is estimated that this will result in $430 million in payments going directly to families.

Food for All – The budget includes an additional $35.2 million, increasing the total to $113.4 million to expand the California Food Assistance Program (CFAP) to all Californians 55 years of age or older, regardless of immigration status. California will become the first state to provide food assistance to ensure all residents 55+ can access food. We will continue to work with our partners, the governor, and the legislature in future budgets to ensure all Californians have access to food.

SSI/SSP – The budget includes another increase for the state SSP grant of approximately $37/month. This will begin in January 2023. When combined with the anticipated 8.6 percent increase in the federal grant, the total grant comes to approximately $1,149, an increase of $107/month. While this grant increase is substantial, the grant is still below the federal poverty level for one person at approximately 98 percent.

Tax Rebates – The budget provides $9.5 billion in tax rebates. For families with incomes below $75,000 and who file taxes, a single person will get $350, a two-person household will get $700, and households of three or more will receive $1,050. People using ITIN tax filer status will be eligible but people receiving SSI will not be eligible. Unlike the proposal by the governor to distribute tax rebates to registered car owners via the DMV, the agreement instead utilizes the Franchise Tax Board to distribute payments. Currently, it is projected payments should arrive by October. These funds will benefit families on CalWORKs, CalFresh, and Medi-Cal if they filed tax returns.

Universal School Meals – Building upon the state’s historic investment in providing school meals for all students in California, this year’s budget provides 700 million in additional dollars to support school meals for all, with a focus on best practices and kitchen infrastructure. This funding will contribute to California students getting access to healthier options for school meals.

HEALTH CARE

Medi-Cal Expansion – The budget agreement includes notable health care investments including expansion of Medi-Cal to all adults regardless of immigration status (Health4All), with an implementation date ‘no later’ than January 1, 2024. It’s estimated that the expansion will result in roughly 700,000+ people becoming newly eligible for full-scope Medi-Cal at ongoing cost of $2.3 billion.

Medi-Cal Reform – The budget also reforms Medi-Cal share-of-cost so elders and people with disabilities can afford necessary Medi-Cal services and provides continuous Medi-Cal coverage for children up to age five. Both reforms have a delayed implementation date of January 1, 2025 and are subject to a budget appropriation at that time. The budget also zeroes out Medi-Cal premiums, expands Medi-Cal coverage of custom crowns for back teeth, and increases the Medi-Cal doula reimbursement.

Additionally, the budget provides navigator funding, Covered CA state premium subsidy funding, and establishes the Office of Health Care Affordability. More details of this budget’s health care investments can be found at Western Center’s updated 2022 Health Budget Scorecard.

HOUSING

As California faces dwindling affordable housing stock, skyrocketing rent increases, and as thousands of Californians wait for promised rent relief via the Emergency Rental Assistance Program (ERAP), state leaders mostly funded existing programs in this budget and failed to make housing investments at the scale needed to tackle the housing crisis.

Eviction Prevention – Billions of dollars in emergency rental assistance have been requested, but the legislature capped assistance previously promised in SB 115 at $1.95 billion, while increasing application denials for unclear reasons. As such, this budget provides $30 million in increased funding for legal aid eviction defense to represent the thousands of tenants who will likely face eviction due to the state’s inability to properly manage ERAP.

Homelessness – This budget will result in more displacement of people experiencing homelessness with increased funding for encampment sweeps: $300 million for 2022-2023 and $400 million for 2023-24. There are no meaningful investments in permanent housing for our unhoused neighbors. This budget also does not include investments for AB 1816 (Bryan) to go toward workforce development and permanent supportive housing for people who were recently incarcerated and experiencing or at risk of homelessness; rather, this budget funds temporary programs that often contribute to a revolving door of recidivism. However, this budget does finally invest in a program created nearly eight years ago for veterans and their families experiencing homelessness by allocating $50 million to Proposition 41 (2014).

Affordable Housing – This budget makes a $2 billion multiyear investment in affordable housing. The budget allocates $150 million over two years to preserve California’s existing highly prized and disappearing affordable housing stock. Since many Californians rely on mobile and manufactured homes for affordable housing, the budget invests $100 million over two years for mobile and manufactured homes. In an attempt to add to California’s affordable housing stock, the budget allocates $250 million for the Housing Accelerator Program to build affordable housing where builders can’t access tax credits, as well as $325 million over two years for the Multifamily Housing Program, two critical programs that deserve a larger investment. The budget allocates $425 million over two years for the Infill infrastructure grant program for capital improvement projects and $410 million over two years for Adaptive Reuse to convert buildings into housing, including a $10 million appropriation of existing funding. There is also an additional investment of $50 million for ADU financing on existing lots. While greatly needed, this funding should come with more requirements for the creation of affordable units for households with low and extremely low incomes.

Homeownership – Since homeownership is nearly impossible for many first-time homebuyers in California, particularly for non-white people whose generational wealth was stripped due to intentionally racist housing policies, this budgets makes a commitment to assist first-time homebuyers by establishing the California Dream for All program, providing $500 million to assist first-time homebuyers with lower down payments, more than 1/3 reduction in monthly mortgage payments, and $350 million over two years for the CalHome program.

Housing for Farmworkers – This budget invests in farmworkers, whose hard labor keeps many of us fed, by appropriating $50 million for the Joe Serna Jr. Farmworker Housing Program. The program is intended to construct and rehabilitate housing for farm workers who often live in hazardous and uninhabitable housing conditions.

_______________________________________________________________

For a PDF of this analysis, click here. For questions contact:

Access to Justice & Financial Security

Health Care

Housing & Homelessness

 

 

Western Center’s Overview of the Final 2022-2023 California State Budget

The governor and legislature have reached an agreement on the 2022-23 state budget, which includes a historic $100 billion budget surplus. Amid substantial inflation and continued economic fallout from the pandemic, the reason for the massive surplus must be named. California has 189 billionaires and counting, and substantially more extremely high-income households that do not have the same economic burdens as the 1 in 3 Californians living near or below the poverty line. Only fundamental reforms, including for seemingly untouchable issues like discriminatory tax laws, can address the significant disparities in our state. One-time investments targeting people with low incomes during flush budget years are good, but ongoing, dedicated investments are the only way to make the state better.

Despite concerns that surplus revenue would make it difficult to fund General Fund programs, the budget deal includes substantial General Fund investments. The budget also provides tax rebates to millions of Californians, with the majority going to Californians with incomes below $75,000. Even with that spending and many other investments, the state will have a $37 billion reserve.

ACCESS TO JUSTICE/ FINES & FEES

Civil Assessments – The budget substantially reforms court practices that result in tens of millions of dollars in penalties imposed on people who fail to pay traffic and criminal court fines on time or who fail to appear in court. The current $300 civil assessment is being reduced to $100. The budget agreement also discharges civil assessment debt that accrued prior to the change in law. This means tens of thousands of people will no longer have to make payments on that debt or be harassed by bill collectors. The budget also shifts all future civil assessment revenue to the state General Fund rather than to the courts. The past practice led to lawsuits alleging that judges are incentivized to impose the maximum assessment to increase court revenue. The civil assessment language will be subject to completion in August via budget trailer bill.

Tax Intercepts – The budget includes a change to the longstanding practice by the state of intercepting Earned Income Tax Credits (EITC) and Young Child Tax Credits (YCTC) for unpaid debts. Going forward, the state’s Franchise Tax Board will no longer intercept such payments except in cases of child support or restitution.

FINANCIAL SECURITY/ FOOD ACCESS

CalWORKs – The CalWORKs budget provides a 21 percent increase in CalWORKs grants, the largest since the program began in 1998. It eliminates deep poverty for CalWORKs households of families of four or more. Deep poverty includes households with incomes below 50 percent of the Federal Poverty Level by family size. For smaller families that get tax rebates, their income will also be above the deep poverty threshold. The increase will begin on October 1, 2022 for the next two budgets, but must be renewed in 2024 when an additional grant increase will also be under consideration. Below is an estimated chart of the grants starting in October.

Child Support Pass Through – The budget includes a major change in child support policy by allowing families that receive a child support payment to receive all of it and not have it re-directed to the state and federal government to reimburse the cost for public benefits. This will begin in 2025. Currently, a CalWORKs family only gets child support for the first $100 for one child and $200 for two or more children. The governor proposed to pass through all child support to former CalWORKs households in the January budget proposal, and the legislature succeeded in expanding that into a full pass through of all child support, making California the second state in the country to do so. It is estimated that this will result in $430 million in payments going directly to families.

Food for All – The budget includes an additional $35.2 million, increasing the total to $113.4 million to expand the California Food Assistance Program (CFAP) to all Californians 55 years of age or older, regardless of immigration status. California will become the first state to provide food assistance to ensure all residents 55+ can access food. We will continue to work with our partners, the governor, and the legislature in future budgets to ensure all Californians have access to food.

SSI/SSP – The budget includes another increase for the state SSP grant of approximately $37/month. This will begin in January 2023. When combined with the anticipated 8.6 percent increase in the federal grant, the total grant comes to approximately $1,149, an increase of $107/month. While this grant increase is substantial, the grant is still below the federal poverty level for one person at approximately 98 percent.

Tax Rebates – The budget provides $9.5 billion in tax rebates. For families with incomes below $75,000 and who file taxes, a single person will get $350, a two-person household will get $700, and households of three or more will receive $1,050. People using ITIN tax filer status will be eligible but people receiving SSI will not be eligible. Unlike the proposal by the governor to distribute tax rebates to registered car owners via the DMV, the agreement instead utilizes the Franchise Tax Board to distribute payments. Currently, it is projected payments should arrive by October. These funds will benefit families on CalWORKs, CalFresh, and Medi-Cal if they filed tax returns.

Universal School Meals – Building upon the state’s historic investment in providing school meals for all students in California, this year’s budget provides 700 million in additional dollars to support school meals for all, with a focus on best practices and kitchen infrastructure. This funding will contribute to California students getting access to healthier options for school meals.

HEALTH CARE

Medi-Cal Expansion – The budget agreement includes notable health care investments including expansion of Medi-Cal to all adults regardless of immigration status (Health4All), with an implementation date ‘no later’ than January 1, 2024. It’s estimated that the expansion will result in roughly 700,000+ people becoming newly eligible for full-scope Medi-Cal at ongoing cost of $2.3 billion.

Medi-Cal Reform – The budget also reforms Medi-Cal share-of-cost so elders and people with disabilities can afford necessary Medi-Cal services and provides continuous Medi-Cal coverage for children up to age five. Both reforms have a delayed implementation date of January 1, 2025 and are subject to a budget appropriation at that time. The budget also zeroes out Medi-Cal premiums, expands Medi-Cal coverage of custom crowns for back teeth, and increases the Medi-Cal doula reimbursement.

Additionally, the budget provides navigator funding, Covered CA state premium subsidy funding, and establishes the Office of Health Care Affordability. More details of this budget’s health care investments can be found at Western Center’s updated 2022 Health Budget Scorecard.

HOUSING

As California faces dwindling affordable housing stock, skyrocketing rent increases, and as thousands of Californians wait for promised rent relief via the Emergency Rental Assistance Program (ERAP), state leaders mostly funded existing programs in this budget and failed to make housing investments at the scale needed to tackle the housing crisis.

Eviction Prevention – Billions of dollars in emergency rental assistance have been requested, but the legislature capped assistance previously promised in SB 115 at $1.95 billion, while increasing application denials for unclear reasons. As such, this budget provides $30 million in increased funding for legal aid eviction defense to represent the thousands of tenants who will likely face eviction due to the state’s inability to properly manage ERAP.

Homelessness – This budget will result in more displacement of people experiencing homelessness with increased funding for encampment sweeps: $300 million for 2022-2023 and $400 million for 2023-24. There are no meaningful investments in permanent housing for our unhoused neighbors. This budget also does not include investments for AB 1816 (Bryan) to go toward workforce development and permanent supportive housing for people who were recently incarcerated and experiencing or at risk of homelessness; rather, this budget funds temporary programs that often contribute to a revolving door of recidivism. However, this budget does finally invest in a program created nearly eight years ago for veterans and their families experiencing homelessness by allocating $50 million to Proposition 41 (2014).

Affordable Housing – This budget makes a $2 billion multiyear investment in affordable housing. The budget allocates $150 million over two years to preserve California’s existing highly prized and disappearing affordable housing stock. Since many Californians rely on mobile and manufactured homes for affordable housing, the budget invests $100 million over two years for mobile and manufactured homes. In an attempt to add to California’s affordable housing stock, the budget allocates $250 million for the Housing Accelerator Program to build affordable housing where builders can’t access tax credits, as well as $325 million over two years for the Multifamily Housing Program, two critical programs that deserve a larger investment. The budget allocates $425 million over two years for the Infill infrastructure grant program for capital improvement projects and $410 million over two years for Adaptive Reuse to convert buildings into housing, including a $10 million appropriation of existing funding. There is also an additional investment of $50 million for ADU financing on existing lots. While greatly needed, this funding should come with more requirements for the creation of affordable units for households with low and extremely low incomes.

Homeownership – Since homeownership is nearly impossible for many first-time homebuyers in California, particularly for non-white people whose generational wealth was stripped due to intentionally racist housing policies, this budgets makes a commitment to assist first-time homebuyers by establishing the California Dream for All program, providing $500 million to assist first-time homebuyers with lower down payments, more than 1/3 reduction in monthly mortgage payments, and $350 million over two years for the CalHome program.

Housing for Farmworkers – This budget invests in farmworkers, whose hard labor keeps many of us fed, by appropriating $50 million for the Joe Serna Jr. Farmworker Housing Program. The program is intended to construct and rehabilitate housing for farm workers who often live in hazardous and uninhabitable housing conditions.

_______________________________________________________________

For a PDF of this analysis, click here. For questions contact:

Access to Justice & Financial Security

Health Care

Housing & Homelessness

 

 

Western Center’s 2022 Legislative Agenda  

Western Center’s policy advocates are hard at work in Sacramento to pass this year’s slate of bills to make California better for everyone. Here is our full 2022 Legislative Agenda.

HOMELESSNESS

AB 1816 (Bryan): Reentry Housing and Workforce Development Program

(co-sponsored with Housing California, Corporation for Supportive Housing, Californians for Safety and Justice, People Assisting the Homeless (PATH), and Los Angeles Regional Reentry Partnership)

This bill will establish a funding source for permanent affordable housing and workforce development for formerly incarcerated people at risk of or currently experiencing homelessness. The bill is necessary to support people reentering society after incarceration to reduce recidivism and homelessness – 70 percent of Californians experiencing homelessness have a history of incarceration.

AB 2230 (Gipson) – CalWORKs: Temporary Shelter and Permanent Housing Benefits

(co-sponsored with Coalition of California Welfare Rights Organizations)

This bill will make significant improvements in the CalWORKs Homeless Assistance Program (HAP) to minimize homelessness that CalWORKs families experience by repealing the limitations for receiving assistance through HAP. HAP is meant to assist families who have become unhoused and need immediate assistance. It is Western Center’s firm belief that families should not be burdened with additional program requirements to receive critical assistance for the health and safety of their family.

AB 2339 (Bloom): Emergency Shelters

(co-sponsored with California Rural Legal Assistance Foundation and the Public Interest Law Project)

There are upwards of 160,000 people experiencing homelessness in California, and 72% are completely unsheltered. While some California localities provide enough shelter beds, in others, there are either no shelter beds or only a small number. AB 2339 strengthens housing element law to ensure that zones identified for shelters and other interim housing are suitable and available. The bill also requires jurisdictions to demonstrate sufficient capacity on the sites to meet the identified need for interim housing for those experiencing homelessness.

SB 1017 (Eggman): Keeping Survivors Housed

(co-sponsored with California Partnership to End Domestic Violence, Crime Survivors for Safety and Justice, Dr. Beatriz Maria Solis Policy Institute – Women’s Foundation of California, Family Violence Appellate Project)

This bill allows domestic violence survivors who are tenants to maintain their current housing and avoid eviction by expanding allowable documentation for lease termination policies, allowing survivors to use eviction protections when the abusive person is on the lease but no longer residing in the residence, and by allowing survivors who live with an abusive person to remain in the unit on the same lease terms while removing the abusive person.

California Emergency Rental Assistance Program

While not a bill, Western Center and California Rural Legal Assistance Foundation are working to obtain an extension of the current eviction protections implemented in response to the pandemic. To prevent mass evictions, displacement, and economic instability, the state must extend these protections as hundreds of thousands of tenants wait for rental assistance from the state’s Emergency Rental Assistance Program.

HOUSING

AB 1911 (Gabriel): Affordable Housing Preservation Tax Credit

(co-sponsored with California Housing Partnership, California Coalition for Rural Housing, Non-Profit Housing Association of Northern California and San Diego Housing Federation)

AB 1911 creates an Affordable Housing Preservation Tax Credit to support the preservation of tens of thousands of affordable housing units at risk of converting to market rate housing or displacing low-income tenants. California cannot afford to lose tens of thousands of affordable housing units in the midst of our current housing crisis. A targeted tax credit that encourages property owners to sell to affordable housing developers committed to long-term affordability would allow thousands of lower-income households to stay in their homes.

AB 2597 (Bloom, E. Garcia): Cool and Healthy Homes

(co-sponsored with California Rural Legal Assistance Foundation, Inner City Law Center, Leadership Council, Regional Asthma Management and Prevention (RAMP)

AB 2597 will address a long-standing issue that is rapidly exacerbated by human-induced climate change: the safety of renters in their homes when outdoor temperatures rise. Excessive heat has a negative impact on health and quality of life and leads to an increasing number of deaths. State law has long required that rental units be able to maintain a safe indoor air temperature when it’s cold outside, but there is no analogous requirement that applies when the weather is hot. This gap leaves many renters living in homes that reach unhealthy and often dangerous temperatures indoors and disproportionately impacts low-income households and people of color. AB 2597 will update the state’s habitability standards to ensure that all rental units have a means of maintaining a safe indoor air temperature regardless of the temperature outside.

AB 2713 (Wicks): Tenant Protections: Just Cause Termination: Rent Caps

(co-sponsored with California Rural Legal Assistance Foundation)

This bill cleans up loopholes in AB 1482, California’s first statewide just cause eviction protection and anti-rent gouging law. Since AB 1482 was enacted in 2019, several key loopholes (owner move-in, substantial renovation, and intent to remove the unit from the rental market) have been exploited by landlords attempting to evict vulnerable tenants. This law will require owners attempting to evict tenants for owner move-in to move into the unit within 90 days and stay at the unit for a minimum of three years. For owners attempting to evict based on substantial renovation, it will require owners to obtain the necessary permits for the renovations and justify why the improvements cannot be completed with the tenants in place. For evictions based on withdrawal from the rental market, the owner will be required to clearly explain in the notice to the tenant what the alternative use of the property will be and the necessary permits to convert the unit to the intended use. If the landlord does not meet those conditions post eviction, the tenant has the right to rent the unit under the previous terms of the agreement.

SCA 2 (Allen, Wiener): Public Housing Projects Two-year bill

(co-sponsored with California Rural Legal Assistance Foundation, California Coalition for Rural Housing, California Housing Consortium, California Housing Partnership, California Association of Realtors, California YIMBY, Housing California, Nonprofit Housing Association of Northern California, and Southern California Association of Nonprofit Housing)

SCA 2 will place the repeal of Article 34 of the California Constitution on the ballot. Passed by voters in 1950, Article 34 requires a majority approval by the voters of a city or county for the development, construction, or acquisition of publicly subsidized housing. For decades the requirement has stifled the development of subsidized housing creating and perpetuating racially and economically segregated communities. The passage of SCA 2 would give voters an opportunity to eliminate an obstacle, enshrined in our Constitution, which currently undermines the ability to address California’s acute housing and homelessness challenges.

HEALTH CARE

AB 470 (Carrillo): Eliminating the Non-MAGI Assets LimitTwo-year bill

(co-sponsored with Justice in Aging)

This bill will clean up code for when the Medi-Cal assets test is eliminated on January 1, 2024, following the 2021 budget agreement that also raises the asset limits effective July 1, 2022.

AB 1355 (Levine): Expanding Independent Medical ReviewTwo-year bill

This bill will ensure more fairness in the Medi-Cal appeals process by expanding Independent Medical Reviews to all Medi-Cal members and services, and by standardizing the process state departments must follow when alternating judges’ decisions in fair hearings. Independent Medical Reviews use medical professionals with expertise in the medical service at issue, resulting in more favorable and clinically sound outcomes for patients than plan appeals and state fair hearings.

AB 1900 (Arambula): Share of Cost Reform

(co-sponsored with Bet Tzedek, California Advocates for Nursing Home Reform, Disability Rights California, Justice in Aging, and Senior and Disability Action)

This bill will make the Medi-Cal Share of Cost program more affordable by updating the maintenance need levels to 138% of the federal poverty level. Today, older adults and people with disabilities who are just $1 over the free Medi-Cal limit are forced to pay over $800 of their monthly income on health care and are expected to survive on just $600—the maintenance need level—to pay for rent, food, utilities, and all other expenses.

AB 1995 (Arambula): Eliminating Med-Cal Premiums

(co-sponsored with Children Now)

Medi-Cal premium requirements place an undue economic burden on families already living on very limited incomes and create barriers in access to care and unnecessary breaks in coverage for eligible individuals. This bill will ensure pregnant people, children, and people with disabilities can access the health care services they need to stay healthy by eliminating their monthly Medi-Cal premiums.

SB 644 (Leyva): Connecting Unemployed Individuals to Covered California & Medi-Cal

(co-sponsored with Health Access and California Pan-Ethnic Health Network)

This bill will require the Employment Development Department (EDD) to share with Covered California contact and income information about people who have recently applied for or lost unemployment, state disability insurance, paid family leave, and other EDD programs. This will allow Covered California to reach out and help enroll individuals in Medi-Cal or Covered California.

SB 923 (Wiener): Access to Gender Affirming Care

(co-sponsored with Break The Binary LLC, California LGBTQ Health and Human Services Network, California TRANScends, Equality California, Gender Justice LA, National Health Law Program, Orange County TransLatinas, Queer Works, Rainbow Pride Youth Alliance, San Francisco Office of Transgender Initiatives, The TransPower Project, TransCanWork, Trans Community Project, Transgender Health and Wellness Center, Tranz of Anarchii INC, Unique Woman’s Coalition (UWC), and Unity Hope)

This bill will improve access to gender affirming care for transgender, gender non-conforming, and intersex (TGI) people by mandating health plans require TGI cultural competency training for contracted providers, their staff, and the staff of health plans. It would also require plan provider directories to identify providers who offer gender affirming services.

FINANCIAL SECURITY

AB 1820 (Arambula): Labor Trafficking

(co-sponsored with Loyola Law School, SJI Anti-Trafficking Policy Initiative)

California has one of the highest rates of human trafficking in the nation, yet only two state agencies, the Department of Justice and the Department of Fair Employment and Housing, are responsible for prosecuting human trafficking cases. This bill will provide the Department of Industrial Relations with statutory authority to investigate and prosecute claims of human labor trafficking. This a priority for Western Center because many workers who are victims of labor trafficking are exploited because of poverty.

AB 2052 (Quirk-Silva): CalWORKs Child Education Act of 2022

(co-sponsored with Coalition of California Welfare Rights Organizations)

The pandemic has impacted the timeliness with which some children can complete high school. This bill will allow children receiving CalWORKs to obtain aid until age 20 if they are attending their last year of high school.

AB 2300 (Kalra): CalWORKs and CalFresh: Work Requirements

(co-sponsored with Legal Aid at Work, Women’s Foundation of California, and WorkSafe)

This bill will expand good cause exemptions for the CalWORKs welfare to work program to allow parents with children under two years old not to participate in welfare to work for up to 12 months. This bill incorporates many legal protections created by the legislature, like the Crown Act and domestic worker protections, into CalWORKs.

AB 2277 (Reyes): CalWORKs for Survivors of Domestic Violence

(co-sponsored with Coalition of California Welfare Rights Organizations)

This bill will remove barriers for accessing the CalWORKs program a critical social service that assists families in financial need, by waiving program requirements for survivors of domestic violence. Currently, counties have the authority to waive CalWORKs program requirements for survivors of domestic violence. However, despite their ability to do so, many counties do not. This bill will require counties to waive the requirements.

SB 996 (Kamlager): CalWORKs Asset Test and Work Limit

(co-sponsored with Coalition of California Welfare Rights Organization)

This bill will eliminate the eligibility requirement for CalWORKs families to prove that they have less than $10,211 in their possession, and the 100-hour rule which requires parents to work no more than 100 hours to qualify for the program. Removing these archaic requirements will ensure that all eligible CalWORKs families can access the social service.

SB 972 (Gonzalez): Street Vendors

(co-sponsored with Coalition for Humane Immigrant Rights (CHIRLA), Community Power Collective, Inclusive Action for the City, Insurance Commissioner Ricardo Lara, Public Counsel)

Street vendors are a part of California’s culture and have been for decades. In recent years, street vendors became part of the formal economy with the decriminalization of street vending in 2018. However, many street vendors who sell food are unable to obtain health permits from their local county health departments, so this bill will modernize the California Retail Food Code to reduce barriers for street vendors to obtain local health permits. Creating this pathway will allow street vendors to further enter the formal economy and put an end to fines issued to these entrepreneurs with limited incomes.

SB 1200 (Skinner): Enforcement of Judgments: Renewal and Interest

This bill will reduce the interest rate on unpaid debt from 10 percent annually to 3 percent annually. New York became the first state to reduce the interest rate on debt and California should follow the example.

ACCESS TO JUSTICE

AB 1792 (Ward): Diversification of Grand Juries

Grand Juries play a critical role in the lives of Californians involved in the legal system — particularly people of color and those living in poverty who are over-policed. Currently, juries are disproportionately made up of retirees who can afford to take time off to serve. AB 1972 will diversify grand juries in California so they are representative of their populations and will ensure people are fairly compensated when they serve so jury duty is more accessible for Californians with low incomes.

 

 

 

 

OP-ED: Market capitalism is not the answer to close the justice gap

Western Center senior attorney Lorraine López wrote an op-ed to explain why the California State Bar’s current recommendations for closing the state’s justice gap is off target, and points to the solutions legal service providers have spent years advocating for.

Read Here

Bill Introduced to Improve Diversity of California Grand Juries

“Cynthia Castillo, a policy advocate with Western Center on Law and Poverty, said juries “play a critical role in the lives of Californians involved in the legal system — particularly people of color and those living in poverty who are over-policed. “We need to address bias and lack of diversity in all parts of the legal system, but right now juries are disproportionately made up of white retirees who can afford to take time off to serve. AB 1792 will ensure people are fairly compensated when they serve so jury duty is more accessible for Californians with low incomes,” she added.”

Bill Introduced to Improve Diversity of California’s Grand Juries

Analysis of Governor Newsom’s 2022-2023 California Budget Proposal

Governor Newsom released his January proposal for the 2022-23 California state budget. In total, the administration projects a $45 billion surplus — a combination of higher revenue collections for the past two budgets and higher than anticipated revenue for the 2022-23 budget. As the governor noted in his press conference, if current economic trends continue, the surplus could grow even more by the time the proposed budget is revised in May. The budget includes a record $36 billion reserve.

SUMMARY

The governor’s proposed budget includes a historic investment in health care by expanding Medi-Cal eligibility for those currently excluded from the program due to immigration status, and by eliminating Medi-Cal premiums for children, pregnant people, and people with disabilities. It does not eliminate the burdensome “share of cost” that many people on Medi-Cal still pay as a monthly deductible.

The budget also includes expanded funding to house people experiencing homelessness, a large investment in health care related workforce development, and an expansion of proposals intended to reduce poverty such as increasing CalWORKs grants, passing on all child support to families formerly on public assistance, and expanding the state child tax credit to households with no reported income. The budget also proposes to fund 36,000 new childcare slots for working families, but this means approximately 150,000 families will remain on the waiting list.

Unfortunately, this proposal misses an opportunity to build on significant progress made through existing poverty-reduction initiatives. Despite the expiration of the very effective federal child tax credit increase, the governor’s proposed budget does not backfill that lost income for California families. It also fails to fund more stimulus payments for Californians with low incomes. Additionally, it does not provide a cost-of-living increase for the SSI/SSP grant as required by state law, and it does not accelerate the SSI/SSP grant restoration scheduled for January 2024.

The need for rental and utility assistance in California has greatly outpaced federal funds allocated to the state. While California was recently allocated an additional $62 million in federal funds to address the growing need, the state needs about $2 billion. The governor missed an opportunity to supplement the federal dollars with surplus from the General Fund. However, California will continue to advocate for additional funding from the federal government.

Despite the large surplus and number of proposed initiatives, the governor’s proposal uses just $20 billion for the needs of Californians. More than half of the surplus is being used to fund reserves and to pay off long term debt. Of the $20 billion being spent, the governor proposes to use 86 percent for one-time expenditures. The reluctance to invest in ongoing needs means proposals that could make a major impact, like funding a broadly available rental assistance program, are not part of the discussion. The legislature should review the governor’s budget with an eye toward meeting more of the short- and long-term needs of all Californians.

HEALTH CARE

The governor’s proposal expands Medi-Cal to all adults regardless of immigration status. This would make California the first state in the nation to cover all adults, and together with the recent increase in the income level for seniors and people with disabilities, as well as the scheduled elimination of the Medi-Cal assets test by January 1, 2024, all adults under 138 percent of the poverty level will be eligible for free, full-scope Medi-Cal. The governor’s proposal also eliminates premiums for children, pregnant people, and the Working Disabled Program, and expands Medi-Cal coverage of custom crowns for back teeth. In addition, there are affordability, provider payment, and workforce investments.

Medi-Cal

  • Health4All: The governor’s proposal expands full-scope Medi-Cal coverage to an estimated 700,000+ undocumented adults ages 26 through 49, effective no sooner than January 1, 2024, with estimated costs of $819 million total funds ($614 million General Fund) in FY 2023-24 and $2.3 billion total funds ($1.8 billion General Fund) at full implementation.
  • Zero out premiums: The proposed budget includes $53 million total funds ($19 million General Fund) in FY 2022-23 and $89 million total funds ($31 million General Fund) ongoing and trailer bill language to reduce premiums to zero for Medi-Cal and other Children’s Health Insurance Program (CHIP) programs. This includes Medi-Cal premiums for children above 160 percent of the poverty level, the 250 percent Working Disabled Program premiums, as well as the premiums for pregnant women and infants under the Medi-Cal Access Program (MCAP) and County Children’s Health Insurance Programs (C-CHIP).
  • Justice-related initiatives: The proposal includes $50 million total funds ($16 million General Fund) in FY 2022-23 to implement the CalAIM justice-related initiatives with implementation beginning January 2023. This includes pre-release applications, pre-release “in-reach” services, and coordinated re-entry. There will also be trailer bill language to extend the duration of suspension of Medi-Cal benefits when an individual is incarcerated to increase the likelihood that coverage is maintained.
  • Dental Lab Processed Crown (AKA Custom Crown) Coverage: The budget includes $37 million total funds ($13 million General Fund) in FY 2022-23 and trailer bill language to update adult coverage requirements to include lab processed crowns for posterior teeth, in place of stainless-steel crowns. Also related to dental, the administration proposes to extend dental managed care contracts and procure new contracts no sooner than January 1, 2024.
  • The governor’s proposal includes the following provider payment investments:
    • Proposition 56 Supplemental Provider Payment Backfill: To address declining tobacco revenue, the proposal includes an increase of $29 million from the General Fund to fully fund remaining Proposition 56 payments at their current level in FY 2022-23.
    • Equity and Practice Transformation Payments: To close health equity gaps in preventive, maternity, and behavioral health care measures and address gaps in care arising out of the pandemic, the proposal includes $400 million total funds ($200 million General Fund) in one-time funds, aligning with the goals of the Medi-Cal Comprehensive Quality and Equity Strategy.
    • Elimination of Certain AB 97 Provider Payment Reductions: The budget includes $20 million total funds ($9 million General Fund) in FY 2022-23 and $24 million total funds ($11 million General Fund) ongoing to eliminate AB 97 payment reductions for nurses, alternative birthing centers, audiologists/hearing aid dispensers, respiratory care providers, durable medical equipment, oxygen and respiratory services, chronic dialysis clinics, non-emergency medical transportation, and emergency air medical transportation.
  • Discontinue Child Health and Disability Program (CHDP) and Expand Children’s Presumptive Eligibility (PE): The Department is proposing to sunset CHDP by July 1, 2023 via trailer bill language and replace with the Children’s Presumptive Eligibility Program, which will include all Medi-Cal providers.
  • Mobile Crisis Services: The proposal includes $108 million total funds ($16 million General Fund) and trailer bill language to add qualifying 24/7 community-based mobile crisis intervention services as a Medi-Cal benefit as soon as January 1, 2023. The benefit will be implemented through county behavioral health delivery systems by multidisciplinary mobile crisis teams in the community.

Other Health Proposals 

  • Office of Health Care Affordability: The proposal reappropriates funding for the Office that was originally included in the 2021 Budget Act (originally $11.2 million in 2020-21 and $24.5 million in 2022-23) and proposes statutory changes for its establishment. The Office is charged with increasing cost and quality transparency, developing cost targets for the health care industry, enforcing compliance, and filing gaps in market oversight.
  • Covered California: The proposal continues to deposit into a reserve fund to be used for future Covered California affordability programs the $333.4 million General Fund that would have been used for Covered California state premium subsidies (not currently needed due to American Rescue Plan Funds).  The administration intends to work with the Legislature to determine the best use of these funds based on the recent AB 133 affordability report produced by Covered California, after determining what ongoing federal support will be available. In addition, the proposal continues to include $20 million General Fund in 2022-23 to support the One-Dollar Premium Subsidy program, which zeros the cost of Covered California consumers for health plans due to federal policy concerning abortion coverage.
  • Behavioral Health Bridge Housing: The proposed budget includes $1.5 billion General Fund ($1 billion in FY 2022-23 and $500 million in FY 2023-24) for behavioral health bridge housing to address the immediate housing and treatment needs of people experiencing unsheltered homelessness with serious behavioral health conditions by purchasing and installing tiny homes and providing time-limited operational supports in various bridge housing settings.
  • Workforce Development: The proposal includes $1.7 billion in Care Economy Workforce investments, including $350 million General Fund to recruit and train 25,000 new community health workers as well as additional health care providers.

HOUSING & HOMELESSNESS

In total, the governor’s 2022-2023 budget dedicates $9 billion for housing and $8 billion for homelessness. Largely building on last year’s efforts, this budget proposal attempts to chip away at the housing and homelessness crisis by streamlining production, increasing housing accountability, and funding homelessness solutions through a climate focused lens.

This “Housing as a Climate Strategy’’ focuses on preservation and production of affordable housing near schools, jobs, transit, density, and community hubs to fight climate change. Despite the well-placed investments in climate resilient housing, the budget falls short in supporting struggling Californians from eviction with the notable lack of state funding for eviction protection. The budget also proposes to battle the state homelessness crisis with an eye toward housing and behavioral health. While on the surface this plan addresses the long-standing need for better mental health for the unhoused community, it plays on the trope that all people experiencing homelessness have mental health conditions, rather than recognizing the very tangible fact that most Californians simply cannot afford the high cost of living, which has steepened since the start of the pandemic.

The governor is also increasing funding for “beautification” and “hazardous material removal” in encampments, which translates to increased sweeps, harassment, and further ostracization of people experiencing homelessness. With another budget surplus, we hope the budget’s May revision will use the additional funding to preserve and increase affordable housing, prevent needless evictions with increased funding for California’s Emergency Rental Assistance Program, and provide tangle solutions to get people off the streets and into safe, stable, affordable, and permanent housing.

Affordable Housing and Climate 

  • $300 million one-time General Fund for the Affordable Housing and Sustainable Communities program to support land-use, housing, transportation, and land preservation projects for infill and compact development that reduce greenhouse gas emissions.
  • $100 million one-time General Fund to expand affordable housing development and adaptive reuse opportunities on state excess land sites.
  • $100 million one-time General Fund for adaptive reuse incentive grants to remove cost impediments to adaptive reuse (e.g., structural improvements, plumbing/electrical design, exiting) and help accelerate residential conversions, with a priority on projects located in downtown-oriented areas.
  • $500 million in Low-Income Housing Tax Credits.
    • $4.6 million in farmworker Housing Assistance Tax Credits.
  • $200 million one-time General Fund for the California Housing Finance Agency (CalHFA) to provide loans to developers for mixed-income rental housing, specifically for households with incomes between 30 percent and 120 percent of the Area Median Income.
  • $200 million one-time General Fund for the Portfolio Reinvestment Program to further preserve targeted units in downtown-oriented areas and continue increasing the state’s affordable housing stock.

Mobile Home Rehab

  • $100 million one-time General Fund for HCD’s Mobile Home Park Rehabilitation and Resident Ownership Program. These funds will finance the preservation and development of affordable mobile home parks.

Infill Housing

  • Infill Infrastructure Grant Program—$500 million one-time General Fund ($225 million in 2022-23, and $275 million in 2023-24).

Emergency Rental Assistance Program

  • California requested an additional $1.9 billion in federal funding to address the growing need for rental assistance and utility assistance for Californians. California was allocated an additional $62 million from the U.S. Department of Treasury. While grateful that California was allocated 30 percent of the total federal reallocation, this amount is woefully short of the need.  Currently, California needs almost $2 billion more than what we were originally allocated, and the need is growing. California will continue to advocate with the federal government to obtain additional rental and utility assistance.

Formerly Incarcerated Housing

  • $10.6 million one-time General Fund over three years to the Returning Home Well program that will provide transitional housing to parolees at risk of housing insecurity or homelessness.

Legal Services for Renters

  • $40 million investment in legal assistance for renters and homeowners.

Homelessness

  • $2 billion one-time General Fund, multi-year grant to cities, large counties and Continuums of Care working with the California Interagency Council on Homelessness (Cal-ICH). Cal-ICH will work with grantees on their homelessness accountability plans.
  • $500 million one-time general fund dollars in housing encampment resolution efforts that will expand program jurisdictions investment in short- and long-term rehousing strategies for people experiencing homelessness.
  • $25 million in Clean California and $20.6 million for hazardous material removal at encampments.
  • $1 million investment in homeless youth programs.
  • $1.5 billion in General Funds over two years dedicated to resources to address the immediate housing and treatment needs of people experiencing homelessness who have behavioral health conditions. This funding will be administered through DHCS’ Behavioral Health Continuum Infrastructure program to purchase tiny homes and facilitate bridge/transitional housing. Such funding can also be used for bridge housing including an expansion of Project Homekey Acquisition.
  • $5 million for Housing Opportunities for Persons with AIDS (HOPWA).

PUBLIC BENEFITS & ACCESS TO JUSTICE

CalWORKs Grants

The governor is proposing a 7.1 percent grant increase to CalWORKs grants starting October 1, 2022. The funding for the increase comes from Child Poverty Subaccount, a stream of revenue dedicated to CalWORKs grant increases. As a result of the 7.1 percent increase, maximum CalWORKs grants will equal 54 percent of the federal poverty level. For families not subject to sanctions, timed off aid or with an ineligible adult, the grant levels exceed the deep poverty level, which means a reduction in the well-documented, long-term negative impacts of deep poverty on children. Despite the increase in the grant level, the administration’s budget does not fulfill the commitment to increase CalWORKs grants so that no child is living in deep poverty. The so-called AU+1 approach requires significantly more investment than this budget provides. Below is a chart which shows current grant amounts, grant amounts with the 7.1 percent increase, the percent of the federal poverty level, what the grant would need to be to ensure an end to deep poverty, and lastly, the gap between the current grant and an end to deep poverty.

Workforce Development

The administration is proposing two major investments in workforce development. One is a $1.5 billion Proposition 98 General Fund effort to support the development of college and career pathways focused on education, health care, technology, and climate-related fields. Promoting pathways that allow students to move seamlessly from high school to college and career will improve the number of students who pursue and achieve post-secondary education and training.

The governor is also proposing to invest $1.7 billion over three years in care economy workforce development—across both the Labor Agency and California Health and Human Services Agency—that will create more innovative and accessible opportunities to recruit, train, and hire, and will advance an ethnically and culturally inclusive health and human services workforce, with improved diversity and higher wages. These programs will target students such as those in CalWORKs welfare to work.

Safety Net Reserve

The budget provides no increase in the safety net reserve, maintaining a $900 million level. While this amount represents an important safeguard against Medi-Cal and CalWORKs program reductions in lean budget years, the continuing growth in spending in both programs might require additional funds to preserve the effectiveness of the reserve.

Child Support Pass Through

The governor is proposing a major change to child support rules by allowing all child support paid by non-custodial parents to go to families formerly receiving CalWORKs or Medi-Cal. For decades it has been state policy for the state to retain any child support for the state to pay off the cost of providing welfare and medical benefits. In short, the state has reimbursed itself and made the families live with less income. When fully implemented, these families are estimated to receive an additional $187 million. While the idea of passing through all child support is certainly welcome, it is notable that the administration is proposing to do this only for families no longer receiving government assistance. The governor chose not to allow a 100 percent pass through to families currently on aid. The legislature may wish to consider expanding this proposal to pass through all child support to all families.

SSI/SSP Grants

The administration did not propose an increase in the SSI/SSP grants for 2022-23 budget, citing last year’s agreement to a two-step increase in SSP funding to restore grant cuts made by the state in the 2010 and 2011 budgets. The first of these grant increases went into effect on January 1, 2022, and in conjunction with a federal cost of living increase for the SSI portion of the grant, SSI/SSP grant levels went from $954 a month up to $1,040 a month for a single individual. The second step of grant increases is set to go into effect in January 2024.

In 2018, the legislature and then Governor Brown agreed to provide a state cost of living adjustment on the SSP portion of the grant beginning in January 2023. While that agreement is subject to funding in the budget, the administration chose not to include it in the January budget. As it currently stands, SSI recipients would not see any increased state funding for two years. The legislature may wish to consider whether to accelerate the second SSP increase to 2023 or to provide a cost-of-living adjustment.

Home Visiting

The administration proposes to increase funding for Home Visiting by $50 million ongoing for the Department of Public Health (CDPH) to expand the California Home Visiting Program and the California Black Infant Health Program, serving approximately 6,000 additional families over five years on top of 3,700 currently served by the Home Visiting Program and 1,650 served by the Black Infant Health Program. The administration does not propose increased funding for the CalWORKs Home Visiting program, which was cut in 2020 during the early days of the pandemic. The budget proposes greater flexibility for home visiting models offered to meet the diverse needs of families across the state, expands home visiting services to additional counties, and makes them accessible to families with the highest need. Additionally, this proposal will support early literacy by including books and early literacy programming provided by home visitors, and will be further supported by a $350 million General Fund investment to recruit, train, and certify new community health workers.

Earned Income Tax Credit

The administration is proposing to allow families with zero reported income to be eligible for the $1,000 state child tax credit so long as the family would otherwise be eligible. The concept of a zero-earnings tax credit potentially opens the door for allowing people receiving SSI, SSDI, and Social Security to get the same state assistance that families receive from the state EITC and Child Tax Credit.

Civil Assessments

The administration is proposing to reduce the impact of fines and fees on low-income Californians by reducing civil assessments from a maximum of $300 to a cap of $150. Civil assessments are imposed on people in criminal and traffic courts when they fail to appear for a hearing, or they fail to pay a fine in a timely fashion. Legal service advocates tell us that many clients receive multiple civil assessments that increase the amount they owe and make it even harder to pay court ordered fines and fees. While this proposal goes part way in meeting the goals of legislators and advocates, as proposed, civil assessments would still impact Californians with the lowest incomes most, and leaves open the question of whether retroactive civil assessment debts would continue to be subject to collection.

California Food Assistance Program

The administration proposes phasing in the expansion the California Food Assistance Program to all Californians ages 55 and older, regardless of immigration status. This year’s budget proposal includes $35.2 million for initial planning phases of the expansion and allocates $113.4 million annually starting in the 2025-26 budget year for the full expansion.

Golden State Stimulus/Grants

The administration chose not to provide another round of pandemic stimulus payments. These payments, which went out to low- and moderate-income households, were instrumental in allowing families and individuals to absorb some of the costs of the pandemic and to give breathing room in household budgets. The grants were also a method for the state to reduce state expenditures below the Gann Limit, which caps the amount the state budget can increase from year to year. The governor noted in his press conference that the door is not closed on this and it may be under consideration for the May Revise.

For questions, contact:

  • Public Benefits/ Access to Justice: Michael Herald, Director of Policy Advocacy – mherald[at]wclp.org
  • Food Access: Christopher Sanchez, Policy Advocate – csanchez[at]wclp.org
  • Health Care: Jen Flory, Policy Advocate – jflory[at]wclp.org; Linda Nguy, Policy Advocate – lnguy[at]wclp.org
  • Housing: Cynthia Castillo, Policy Advocate – ccastillo[at]wclp.org; Tina Rosales, Policy Advocate – trosales[at]wclp.org

California voters rejected ‘zero bail.’ Now lawmakers weigh new overhaul of system

“Even with the changes this week, the legislation is supported by groups including the Western Center on Law and Poverty, the Anti-Recidivism Coalition and Californians for Safety and Justice.

“We strongly support SB 262 because it moves us closer to a pre-trial system that prioritizes public safety and not the size of a person’s bank account,” the three groups said in a statement. “We continue to champion the bill with its changes because it takes California further from its habit of perpetuating cycles of debt and poverty via incarceration — particularly in over-policed Black and brown communities.”

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