Assembly Bill 279 – Developmental Disabilities: Regional Centers

Assemblymember Chris R. Holden

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SUMMARY

Assembly Bill 279 extends authority to the Department of Developmental Services (DDS) and regional centers to adjust the rates of providers to comply with legally binding local mandates and minimum wage levels across the state.

BACKGROUND

The Lanterman Developmental Disabilities Act of California has established a community based system providing individuals with developmental disabilities with a range of services including supports for employment, independent and residential living services and a wide array of individualized therapies, services and supports determined through Individualized Program Plans. Direct services are provided by local individuals and organizations that enter in to “vendorization” agreements with the Department of Developmental Services and or local regional centers.

Current law prevents DDS or regional centers from adjusting service provider rates of reimbursement without specific statutory authority to do so. Statutory authority to adjust rates to meet increases in mandated minimum wage levels has always been granted. This was done most recently in 2016 when DDS and regional centers were granted authority to adjust provider rates in concert with Senate Bill 3 that raised State minimum wage levels.

The statutes enacted in 2016 did not recognize that a number of municipalities and counties have enacted minimum wage ordinances mandating all employers within their jurisdictions to increase wages to levels above State law. This bill extends authority to DDS and regional centers to adjust the rates of providers to comply with legally binding minimum wage levels enacted in the jurisdiction in which they employ workers to meet service needs under the Lanterman Developmental Disabilities Act. Without an increase to reimbursement rates to meet local mandates many services providers may have to shut their doors. This

would lead to a shortage of services available to people with disabilities throughout our state.

EXISTING LAW

Welfare and Institutions Code §4681.6 & §4691.9:

Authorizes the Department of Developmental Services and regional centers to adjust provider rates in response to State minimum wage increase.

THE SOLUTION

AB 279 amends Sections 4681.6 and 4691.9 of the Welfare and Institutions Code to authorize the Department of Developmental Services and regional centers to adjust providers rates in response to any local legally binding minimum wage statute ordinance.

The simple fact is that when the state raised the minimum wage, it recognized a responsibility to provide a mechanism and funding to adjust rates that are impacted. This bill simply extends that recognition to local ordinances raising minimum wage at a different pace than the state.

Support

Support:

The Los Angeles Coalition of Service Providers (Sponsor)

Ability First

Advanced Behavioral Pathways

Arroyo Insurance Services

Association of Regional Center Agencies

Behavioral Concepts

California Association of Health Services at Home

California Consortium for Behavioral Analysis

California Disabilities Services Association

California Respite Association

Cal-TASH

Child Development Institute

CHOICESS

County of Los Angeles

County of Los Angeles Board of Supervisors

East Bay Developmental Disabilities Legislative Coalition

Easter Seals Southern California

Education Spectrum

Danny’s Farm

ETTA

Elective Support Services

Exceptional Children’s Foundation

Frank D. Lanterman Regional Center

Home of Guiding Hands

Hope House for the Multiple Handicapped Inc.

Institute for the Redesign of Learning

Jay Nolan

Libertana Home Health care of Sherman Oakes

Lincoln Training Center

Lutheran Social Services of Southern California

Maxim Healthcare Services

New Horizons

North Los Angeles Regional Center

Partners for Potential, Inc.

Partnerships With Industry

Path Point

Premier Healthcare Services

San Diego Regional Center

Specialized Health Services

Star of CA Behavioral and Psychological Services

State Council on Developmental Disabilities

Strategies To Empower People

TERI, Inc.

The Adult Skills Center

The Arc and United Cerebral Palsy Collaboration

The Arc of Ventura County

The Association of Regional Centers (ARCA)

The California State Council on Developmental Disabilities

The Lanterman Coalition

The Los Angeles Coalition of Service Providers

The Valley Industry and Commerce Association

Therapeutic Living Centers for the Blind

Tierra Del Sol

Tierra del Sol Foundation

Tri- Counties Regional Center

United Cerebral Palsy

United Cerebral Palsy of Los Angeles, Ventura & Santa Barbara Counties

United Cerebral Palsy of Sacramento and Northern California

United Cerebral Palsy of the Golden Gate

United Cerebral Palsy San Diego County

United Cerebral Palsy Work, Inc.

Valley Industry and Commerce Association

Valley Village

Villa Esperanza Services

VIP, Inc.

West End SELPA San Bernardino

Westside Regional Center

903 individuals

Contact: Elle Hoxworth, Senior Legislative Aide

Office of Assembly Member Chris R. Holden

916-319-2041 || 916-319-2141 (fax)

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