BILL ANALYSIS                                                                                                                                                                                                    



SENATE RULES COMMITTEE
Office of Senate Floor Analyses
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                    UNFINISHED BUSINESS
                                                              
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Bill No:  SB 969
Author:   Watson (D)
Amended:  9/14/95
Vote:     21
                                                              
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 SENATE HEALTH & HUMAN SERV. COMMITTEE:  6-0, 4/19/95
AYES:  Watson, Haynes, Hughes, Mello, Polanco, Solis
NOT VOTING:  Leslie, Maddy, Thompson

 SENATE APPROPRIATIONS COMMITTEE:   8-2, 5/15/95
AYES:  Johnston, Alquist, Greene, Killea, Leslie, Mello,  
  Mountjoy, Polanco
NOES:  Kelley, Leonard
NOT VOTING:  Calderon, Dills, Lewis

 SENATE FLOOR:   35-1, 5/25/95
AYES:  Alquist, Beverly, Boatwright, Calderon, Campbell,  
  Costa, Craven, Dills, Greene, Haynes, Hughes, Hurtt,  
  Johannessen, Johnston, Kelley, Killea, Kopp, Leslie,  
  Lewis, Lockyer, Marks, Mello, Monteith, Mountjoy,  
  O'Connell, Peace, Petris, Polanco, Rogers, Rosenthal,  
  Russell, Solis, Thompson, Watson, Wright
NOES:  Leonard
NOT VOTING:  Ayala, Hayden, Johnson, Maddy

 ASSEMBLY FLOOR:   77-0, 9/15/95
                                                              
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SUBJECT:    Intensive treatment foster care program

 SOURCE:     California Association of Childrenos Homes
            California Association of Services for Children
                                                              
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DIGEST:    This bill makes intensive treatment foster care  
services available statewide to allow emotionally disturbed  
foster children to be treated in family-based settings.

 Assembly Amendments:

1.  Permit the foster family agency to have a contract or  
  memorandum of understanding with the county.

2.  Revise the intensive treatment foster care rates.

3.  Specify the activities that an applicant county would  
  have to undertake as part of the application process.

 ANALYSIS:    Current law authorizes the California  
Department of Social Services (CDSS) to implement an  
intensive treatment foster care (ITFC) pilot program for  
emotionally disturbed children in Alameda and Yolo  
Counties.  In-home support counselors provide a specified  
number of hours of intensive support services to the  
children and their families to enable them to live in  
foster homes instead of institutional care.  One foster  
family agency (FFA) in each county may serve up to 25  
children per year, all of whom must be either placed from a  
group home with Rate Classification Level 12 through 14  
(the three highest levels of care), or at imminent risk of  
psychiatric hospitalization or placement in an RCL 12 or  
higher group home.  Rates are set according to the level of  
services provided to each child.  An interim evaluation of  
the ITFC pilots was due December 31, 1994, with a final  
evaluation due a year later.  Intake into the pilot program  
will cease June 30, 1996, and authorization for the entire  
pilot will expire on January 1, 1999.

This bill would:

1.  Permit the ITFC program to operate in any county,  
  subject to department approval.  The limit on one FFA per  
  county would be removed.

2.  Expand the pool of children eligible for ITFC services  
  to include children voluntarily placed in an RCL 12 or  
  higher group home pursuant to Section 7572.5 of the  
                                                     
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  Government Code (so-called AB 3632 severely emotionally  
  disturbed children).

3.  Remove the 25 child limit on the number of children who  
  may be served annually but retain the 20% cap on the  
  number of at-risk children who may be served in the  
  program.

4.  Establish new requirements for FFAs that propose to  
  serve ITFC children from RCL 12-14 programs.  The FFA  
  must have a contract or memorandum of understanding with  
  the county that addresses such services as social work  
  emergency response; psychiatric coverage in emergencies;  
  a treatment plan for each child, with periodic reviews;  
  documentation of treatment services provided;  
  recruitment, selection and training of foster parents and  
  in-home support counselors; respite services; and  
  evaluation of outcomes and services.

5.  Modify and convert to a monthly basis, the required  
  hours of ITFC service from in-home support counselors.   
  Therapy, behavior modification services, respite, family  
  therapy and other alternative services may be offered in  
  lieu of in-home support services when determined by the  
  county interagency review team and FFA to be in the best  
  interests of the child. 

6.  Update ITFC rates to the 1995-96 fiscal year, with the  
  maximum rate set at $3,733.  The rate paid cannot exceed  
  what would have been paid if the child had remained in  
  group home placement (for children placed from group  
  homes), or the rate determined by the interagency review  
  team at time of placement (for at-risk children).

7.  Repeal the two sunset dates for the current ITFC pilot  
  programs.

According to Senate Health and Human Services Committee:

The intensive treatment foster care program was established  
by SB 2234 (Presley; Chapter 1250, Statutes of 1990) to  
show that severely emotionally disturbed foster children  
could thrive in a foster home with family-based therapeutic  
foster services.  Utilizing extensively trained foster  
                                                     
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parents as the primary caregivers, this program blends the  
"normalizing" features of foster home placement with  
intensive counseling, case management, and support services  
provided by in-home support counselors.  Absent the pilot,  
the placement choice for these children is high level  
institutional group care or psychiatric hospitalization.

Two FFAs--Seneca Center for Children in San Leandro and  
FamiliesFirst in Davis--are participating in the pilot.   
Children in the Seneca program are typically 10 years old,  
male and members of an ethnic minority.  They have suffered  
abuse and neglect from an early age; have been in multiple  
foster placements, often from a very young age; and have  
emotional, behavioral and learning problems that make  
treating them in a family-based environment a formidable  
challenge.  The FamiliesFirst program serves children who  
tend to be male and slightly older, 12 to 13 years old.   
Like the Seneca children, they have experienced multiple  
placements; have been subjected to serious neglect and  
abuse; have developed what is referred to as  
ooinstitutionalized behavior patternsoo such as lying,  
acting aggressively, and lack of trust of adults and peers;  
have a poor self-image; and have difficulty developing life  
skills and solving problems on their own.

Recently completed independent evaluations of both pilot  
programs have shown very positive outcomes for the  
children, exceeding even the expectations of the  
participating FFAs.  Children receiving ITFC services have  
shown significant improvements in such areas as  
psychosocial functioning and development of life skills,  
some showing improvement as early as six months.  They  
experienced longer periods of placement stability than  
similar children in standard foster care and cost savings  
have accrued from use of lower levels of residential  
treatment.  Over 90% of children and youth previously  
served in high level institutional care have been  
successfully served in the ITFC pilots.  Their placement in  
lower levels of residential treatment have also generated  
savings in foster care costs.  Annual projected savings per  
child range from $2,500 to $7,000 and higher.   
Additionally, foster parents, county social workers, and  
program staff have expressed support for the program.

                                                     
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This bill would make the ITFC program available to more  
emotionally disturbed foster children than currently are  
served.  Access to ITFC services would be expanded  
geographically (available statewide at county option).   
Participating FAAs would have to meet additional  
requirements in recognition of the increased difficulty of  
serving these children.  The program design would be  
modified based on operational experience over the last four  
years, and current sunset dates would be repealed in the  
conversion to non-pilot status for the ITFC program.

This bill implements a recommendation from the Legislative  
Analyst to expand the ITFC pilot program statewide, with  
county participation voluntary (Analysis of the 1995-96  
Budget Bill, page C-123). 

 FISCAL EFFECT:   Appropriation:  No   Fiscal Com.:  Yes    
Local:  No

According to Assembly Appropriations Committee:

Unknown, but potentially major savings to the General Fund,  
federal funds and county funds for reduced foster care  
placement costs for seriously emotionally disturbed  
children.  Counties, however, would accept the full risk of  
increased costs.  The extent of this risk cannot be  
quantified. 

Based on preliminary pilot project results, statewide  
expansion of ITFC has the potential to result in major  
savings to the foster care system.  These savings would  
result because the ITFC pilot approach has been able to  
reduce the cost of treatment for some of the most expensive  
children in the foster care system.  The limited scope of  
the pilot program, however, makes it difficult to predict  
the actual savings that would result from potential  
statewide expansion.  Moreover, because the bill requires  
that expansion result in no new General Fund costs,  
counties would, presumably undertake the full risk of  
increased costs.  As a result, it is not clear how many  
counties would decide to pursue an ITFC application with  
the CDSS. 

 SUPPORT:   (Verified  9/11/95)
                                                     
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California Association of Childrenos Homes (co-source)
California Association of Services for Children (co-source)
Seneca Center for Children, San Leandro
FamiliesFirst, Davis
 




































                                                     
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CP:sl  9/14/95  Senate Floor Analyses
               SUPPORT/OPPOSITION:  SEE ABOVE
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