SECTIONS 4620-4639.75 - California Statutes

WELFARE AND INSTITUTIONS CODE

SECTION 4620-4639.75

4620. (a) In order for the state to carry out many of its
responsibilities as established in this division, the state shall
contract with appropriate agencies to provide fixed points of contact
in the community for persons with developmental disabilities and
their families, to the end that these persons may have access to the
services and supports best suited to them throughout their lifetime.
It is the intent of the Legislature in enacting this division that
the network of regional centers for persons with developmental
disabilities and their families be accessible to every family in need
of regional center services. It is the further intent of the
Legislature that the design and activities of regional centers
reflect a strong commitment to the delivery of direct service
coordination and that all other operational expenditures of regional
centers are necessary to support and enhance the delivery of direct
service coordination and services and supports identified in
individual program plans.
(b) The Legislature finds that the service provided to individuals
and their families by regional centers is of such a special and
unique nature that it cannot be satisfactorily provided by state
agencies. Therefore, private nonprofit community agencies shall be
utilized by the state for the purpose of operating regional centers.

4620.1. The Legislature recognizes the ongoing contributions many
parents and family members make to the support and well-being of
their children and relatives with developmental disabilities. It is
the intent of the Legislature that the important nature of these
relationships be respected and fostered by regional centers and
providers of direct services and supports.

4620.2. (a) The State Department of Developmental Services, after
consultation with stakeholder groups, shall develop a system of
enrollment fees, copayments, or both, to be assessed against the
parents of each child between the ages of three and 17 years who
lives in the parent's home and receives services purchased through a
regional center. This system shall be submitted to the Legislature on
or before April 1, 2004, immediately prior to the fiscal year in
which the system is to be implemented, and as a part of the Governor'
s proposed 2004-05 budget or subsequent legislation.
(b) The department, after consultation with stakeholder groups,
shall submit a detailed plan for implementing a parental copayment
system for children receiving services purchased through a regional
center. This plan shall be submitted to the Legislature by April 1,
2004.
(c) The plan submitted on or before April 1, 2004, pursuant to
subdivision (b), and any resources requested in the 2004-05 Governor'
s Budget and related authority may be subsequently modified during
the legislative review process.
(d) The parental copayment system shall only be applicable to
families that have adjusted gross family incomes of over 200 percent
of the federal poverty level and that have a child who meets all of
the following criteria:
(1) The child is receiving services purchased through a regional
center.
(2) The child is living at home.
(3) The child is not otherwise eligible to receive services
provided under the Medi-Cal program.
(4) The child is at least three years of age and not more than 17
years of age.
(e) The department's plan shall address, at a minimum all of the
following components for the development of a parental copayment
system:
(1) Description of the families and children affected, including
those families with more than one child as described under
subdivision (d).
(2) Privacy issues and potential safeguards regarding the families'
income, the children's regional center clinical records, and related
matters.
(3) Schedule of parental copayments and any other related
assessments, and criteria or service thresholds for which these
copayments and assessments are based.
(4) The options for a sliding scale for the schedule of parental
copayments based on family income and family size.
(5) Proposed limits on parental cost sharing.
(6) An exemption process for families who are experiencing
financial hardships and may need deferral or waiver of any copayments
or assessments.
(7) An appeal process for families who may dispute the level of
copayment or assessments for which they are billed.
(8) The specific methods and processes to be used by the
department, regional centers, or other responsible party, for the
collection of all parental copayments and assessments.
(9) Any potentials for the disruption of services to applicable
regional center consumers due to the implementation of a parental
copayment system.
(10) The estimated amount of revenues to be collected and any
applicable assumptions made for making this determination.
(11) Any estimate related to a slowing of the trend in the growth
for regional center services due to the implementation of a parental
copayment system.
(12) A comparison to how the State Department of Health Services
and other state agencies utilize personal information to manage the
delivery of benefits and assessment of copayments.
(13) A recommendation on whether the parental copayment system
should be centralized at the department or decentralized in the
regional centers and the basis for this recommendation.
(14) The estimated cost for implementing a parental copayment
system, including any costs associated with consultant contracts,
state personnel, revenue collection, computer system processing,
regional center operations, or any other cost factor that would need
to be included in order to capture all estimated costs for
implementation.
(15) The timeframe for which the parental copayment system is to
be implemented.
(f) (1) In order for the department to develop a detailed plan for
the implementation of a parental copayment system, the department
shall collect information from selected families. In order to be cost
efficient and prudent regarding the collection of information, the
department may conduct a survey of only those families known to have
children not eligible for the Medi-Cal program. The survey instrument
may only be used for the sole purpose of obtaining information that
is deemed necessary for the development of a parental copayment
system, including the following:
(A) A family's annual adjusted gross family income.
(B) The number of family members dependent on that income.
(C) The number of children who meet the criteria specified in
subdivision (d).
(2) Results of the survey in the aggregate shall be provided to
the Legislature as part of the department's plan as required by
subdivision (a).

4621. The department, within the limitations of funds appropriated,
shall contract with appropriate private nonprofit corporations for
the establishment of regional centers.
Notwithstanding any other provision of law, any contract entered
into pursuant to this section may provide for periodic advance
payments for services to be performed under such contract. No advance
payment made pursuant to this section shall exceed 25 percent of the
total annual contract amount.

4621.5. Notwithstanding subdivision (c) of Section 1 of Chapter 501
of the Statutes of 1971, the department shall, within the
limitations of funds appropriated, contract with an appropriate
private nonprofit corporation or corporations to operate regional
centers as follows:
(a) One regional center to serve the Counties of Inyo, Kern, and
Mono.
(b) One regional center to serve the Counties of Riverside and San
Bernardino.

4622. The state shall contract only with agencies, the governing
boards of which conform to all of the following criteria:
(a) The governing board shall be composed of individuals with
demonstrated interest in, or knowledge of, developmental
disabilities.
(b) The membership of the governing board shall include persons
with legal, management, public relations, and developmental
disability program skills.
(c) The membership of the governing board shall include
representatives of the various categories of disability to be served
by the regional center.
(d) The governing board shall reflect the geographic and ethnic
characteristics of the area to be served by the regional center.
(e) A minimum of 50 percent of the members of the governing board
shall be persons with developmental disabilities or their parents or
legal guardians. No less than 25 percent of the members of the
governing board shall be persons with developmental disabilities.
(f) Members of the governing board shall not be permitted to serve
more than seven years within each eight-year period.

(g) The regional center shall provide necessary training and
support to these board members to facilitate their understanding and
participation. As part of its monitoring responsibility, the
department shall review and approve the method by which training and
support are provided to board members to ensure maximum understanding
and participation by board members.
(h) The governing board may appoint a consumers' advisory
committee composed of persons with developmental disabilities
representing the various categories of disability served by the
regional center.
(i) The governing board shall appoint an advisory committee
composed of a wide variety of persons representing the various
categories of providers from which the regional center purchases
client services. The advisory committee shall provide advice,
guidance, recommendations, and technical assistance to the regional
center board in order to assist the regional center in carrying out
its mandated functions. The advisory committee shall designate one of
its members to serve as a member of the regional center board.
(j) The governing board shall annually review the performance of
the director of the regional center.
(k) No member of the board who is an employee or member of the
governing board of a provider from which the regional center
purchases client services shall do any of the following:
(1) Serve as an officer of the board.
(2) Vote on any fiscal matter affecting the purchase of services
from any regional center provider.
(3) Vote on any issue other than as described in paragraph (2), in
which the member has a financial interest, as defined in Section
87103 of the Government Code, and determined by the regional center
board. The member shall provide a list of his or her financial
interests, as defined in Section 87103, to the regional center board.

Nothing in this section shall prevent the appointment to a
regional center governing board of a person who meets the criteria
for more than one of the categories listed above.
This section shall become operative on July 1, 1999.

4623. In the event that the governing board of the regional center
is not composed of individuals as specified in subdivisions (a) to
(f), inclusive, of Section 4622, such governing board shall establish
a program policy committee which is composed of such individuals.
The program policy committee shall appoint one of its members to
serve as an ex officio member of the governing board.

4624. When the governing board of the regional center is not
composed of individuals as specified in subdivisions (a) to (f),
inclusive, of Section 4622, the program policy committee to the
regional center shall be responsible for establishing the program
policies of the regional center. All program policies adopted by a
program policy committee shall conform to the provisions of this
division and the contract between the department and the governing
board.

4625. The department shall not contract with any new regional
center contracting agency unless the governing board of the agency is
composed of individuals as specified in subdivisions (a) to (f),
inclusive, of Section 4622.
This section shall become operative on July 1, 1999.

4626. (a) In order to prevent potential conflicts of interest, no
member of the governing board or member of the program policy
committee of a regional center shall be any of the following:
(1) An employee of the State Department of Developmental Services
or any state or local agency which provides services to a regional
center client, if employed in a capacity which includes
administrative or policymaking responsibility, or responsibility for
the regulation of the regional center.
(2) An employee or a member of the state council or an area board.
(3) Except as otherwise provided in subdivision (h) of Section
4622, an employee or member of the governing board of any entity from
which the regional center purchases client services.
(4) Any person who has a financial interest, as defined in Section
87103 of the Government Code, in regional center operations, except
as a consumer of regional center services.
(b) Notwithstanding paragraph (1) of subdivision (a), members
serving on the governing board or program policy committee of a
regional center on January 1, 1982, may continue to serve on the
board or committee until the expiration of their term as defined in
subdivision (f) of Section 4622. Notwithstanding any other provision
of this section, members serving on the governing board or program
policy committee of a regional center on January 1, 1982, may
continue to serve on the board or committee until the expiration of
their current term. Changes in the composition of the board or
committee required by amendments to this section that are operative
on January 1, 1982, shall apply only to subsequent vacancies on the
board or committee.

4627. The director of the department shall promulgate and enforce
conflict of interest regulations to insure that members of the
governing board, program policy committee, and employees of the
regional center make decisions with respect to the regional centers
that are in the best interests of the center's clients and families.

4628. If, for good reason, a contracting agency is unable to meet
all the criteria for a governing board established in this chapter,
the director may waive such criteria for a period of time, not to
exceed one year, with the approval of the area board in the area and
with the approval of the state council.

4629. (a) The state shall enter into five-year contracts with
regional centers, subject to the annual appropriation of funds by the
Legislature.
(b) The contracts shall include a provision requiring each
regional center to render services in accordance with applicable
provision of state laws and regulations.
(c) (1) The contracts shall include annual performance objectives
that shall do both of the following:
(A) Be specific, measurable, and designed to do all of the
following:
(i) Assist consumers to achieve life quality outcomes.
(ii) Achieve meaningful progress above the current baselines.
(iii) Develop services and supports identified as necessary to
meet identified needs.
(B) Be developed through a public process as described in the
department's guidelines that includes, but is not limited to, all of
the following:
(i) Providing information, in an understandable form, to the
community about regional center services and supports, including
budget information and baseline data on services and supports and
regional center operations.
(ii) Conducting a public meeting where participants can provide
input on performance objectives and using focus groups or surveys to
collect information from the community.
(iii) Circulating a draft of the performance objectives to the
community for input prior to presentation at a regional center board
meeting where additional public input will be taken and considered
before adoption of the objectives.
(2) In addition to the performance objectives developed pursuant
to this section, the department may specify in the performance
contract additional areas of service and support that require
development or enhancement by the regional center. In determining
those areas, the department shall consider public comments from
individuals and organizations within the regional center catchment
area, the distribution of services and supports within the regional
center catchment area, and review how the availability of services
and supports in the regional area catchment area compares with other
regional center catchment areas.
(d) Each contract with a regional center shall specify steps to be
taken to ensure contract compliance, including, but not limited to,
all of the following:
(1) Incentives that encourage regional centers to meet or exceed
performance standards.
(2) Levels of probationary status for regional centers that do not
meet, or are at risk of not meeting, performance standards. The
department shall require that corrective action be taken by any
regional center which is placed on probation. Corrective action may
include, but is not limited to, mandated consultation with designated
representatives of the Association of Regional Center Agencies or a
management team designated by the department, or both. The department
shall establish the specific timeline for the implementation of
corrective action and monitor its implementation. When a regional
center is placed on probation, the department shall provide the
appropriate area board with a copy of the correction plan, timeline,
and any other action taken by the department relating to the
probationary status of the regional center.
(e) In order to evaluate the regional center's compliance with its
contract performance objectives and legal obligations related to
those objectives, the department shall do both of the following:
(1) Annually assess each regional center's achievement of its
previous year's objectives and make the assessment, including
baseline data and performance objectives of the individual regional
centers, available to the public. The department may make a special
commendation of the regional centers that have best engaged the
community in the development of contract performance objectives and
have made the most meaningful progress in meeting or exceeding
contract performance objectives.
(2) Monitor the activities of the regional center to ensure
compliance with the provisions of its contracts, including, but not
limited to, reviewing all of the following:
(A) The regional center's public process for compliance with the
procedures sets forth in paragraph (2) of subdivision (c).
(B) Each regional center's performance objectives for compliance
with the criteria set forth in paragraph (1) of subdivision (c).
(C) Any public comments on regional center performance objectives
sent to the department or to the regional centers, and soliciting
public input on the public process and final performance standards.
(f) The renewal of each contract shall be contingent upon
compliance with the contract including, but not limited to, the
performance objectives, as determined through the department's
evaluation.

4630. The contract between the state and the contracting agency
shall not:
(a) Require information that violates client confidentiality.
(b) Prevent a regional center from employing innovative programs,
techniques, or staffing arrangements which may reasonably be expected
to enhance program effectiveness.
(c) Contain provisions which impinge upon the legal rights of
private corporations chartered under California statutes.
(d) Prevent the right of employees of a regional center to
self-organization, to form, join, or assist labor organizations, to
bargain collectively through representatives of their own choosing,
and to engage in other concerted activities for the purpose of
collective bargaining or other mutual aid or protection. Nothing in
this subdivision shall be construed to limit the state's authority to
contract within available funds pursuant to Section 4621 or to
obligate the state to appropriate funds in excess of those
appropriated in the then current Budget Act.

4631. (a) In order to provide to the greatest extent practicable a
larger degree of uniformity and consistency in the services, funding,
and administrative practices of regional centers throughout the
state, the State Department of Developmental Services shall, in
consultation with the regional centers, adopt regulations prescribing
a uniform accounting system, a uniform budgeting and encumbrancing
system, a systematic approach to administrative practices and
procedures, and a uniform reporting system which shall include:
(1) Number and costs of diagnostic services provided by each
regional center.
(2) Number and costs of services by service category purchased by
each regional center.
(3) All other administrative costs of each regional center.
(b) The department's contract with a regional center shall require
strict accountability and reporting of all revenues and
expenditures, and strict accountability and reporting as to the
effectiveness of the regional center in carrying out its program and
fiscal responsibilities as established herein.
(c) The Director of Developmental Services shall publish a report
of the financial status of all regional centers and their operations
by February 28 of each year. At a minimum, the report shall include
each regional center's budget and actual expenditures for the
previous fiscal year and each center's budget and projected
expenditures for the current fiscal year.

4632. If the department and a regional center are unable to resolve
any contract dispute, including disputes between the regional center
and the department over whether a contract should be renewed or
continued, either party may request the state council to review and
advise with regard to the issues in dispute. The state council shall
review and shall provide its advice in writing within 30 days of
receiving a request for such review and advice. Copies of the state
council's advice shall be transmitted to the Director of
Developmental Services and the governing board of the regional
center. The state council's advice shall not be binding upon either
party.

4633. If the department or any regional center intends to adopt any
material change in policy which will have a direct effect upon the
contract between the state and the regional center, the department or
the regional center shall give at least 30 days' notice of an intent
to change policy, and, if necessary, the contract between the state
and such regional center shall be amended. The department shall not
require regional centers to provide or purchase any services beyond
the level of the funding appropriation for such services. If the
department should alter the rates of payments to providers, the
regional center budget shall be adjusted accordingly.

4634. Contracts between the department and regional center shall be
presented for final negotiation to regional center governing boards
at least 90 days' prior to the effective date of such contracts. A
regional center shall not be expected to perform functions not
specified in the contract without a revision of such contract.

4635. (a) If any regional center finds that it is unable to comply
with the requirements of this division or its contract with the
state, the regional center shall be responsible for informing the
department immediately that it does not expect to fulfill its
contractual obligations. Failure to provide the notification to the
department in a timely manner shall constitute grounds for possible
revocation or nonrenewal of the contract. If any regional center
makes a decision to cancel or not renew its contract with the
department, the regional center shall give a minimum of 90 days'
written notice of its decision.
(b) (1) If the department finds that any regional center is not
fulfilling its contractual obligations, the department shall make
reasonable efforts to resolve the problem within a reasonable period
of time with the cooperation of the regional center, including the
action described in paragraph (2) of subdivision (b) of Section 4629
or renegotiation of the contract.
(2) If the department's efforts to resolve the problem are not
successful, the department shall issue a letter of noncompliance. The
letter of noncompliance shall state the noncompliant activities and
establish a specific timeline for the development and implementation
of a corrective action plan. The department shall approve the plan
and monitor its implementation. Letters of noncompliance shall be
made available to the public upon request. The letter of
noncompliance shall not include privileged or confidential consumer
information or information that would violate the privacy rights of
regional center board members or employees. The department shall
notify the appropriate area board and shall provide the area board
with a copy of the corrective action plan, the timeline, and any
other action taken by the department relating to the requirements for
corrective action.
(c) If the department finds that any regional center continues to
fail in fulfilling its contractual obligations after reasonable
efforts have been made, and finds that other regional centers are
able to fulfill similar obligations under similar contracts, and
finds that it will be in the best interest of the persons being
served by the regional center, the department shall take steps to
terminate the contract and to negotiate with another governing board
to provide regional center services in the area. These findings may
also constitute grounds for possible nonrenewal of the contract in
addition to, or in lieu of, other grounds.
(d) If the department makes a decision to cancel or not renew its
contract with the regional center, the department shall give a
minimum of 90 days' written notice of its decision, unless it has
determined that the 90 days' notice would jeopardize the health or
safety of the regional center's consumers, or constitutes willful
misuse of state funds, as determined by the Attorney General. Within
14 days after receipt of the notice, the regional center may make a
written protest to the department of the decision to terminate or not
renew the contract. In that case, the department shall: (1) arrange
to meet with the regional center and the appropriate area board
within 30 days after receipt of the protest to discuss the decision
and to provide its rationale for the termination or nonrenewal of the
contract, and to discuss any feasible alternatives to termination or
nonrenewal, including the possibility of offering a limited term
contract of less than one fiscal year; and (2) initiate the
procedures for resolving disputes contained in Section 4632. To the
extent allowable under state and federal law, any outstanding audit
exceptions or other deficiency reports, appeals, or protests shall be
made available and subject to discussion at the meeting arranged
under clause (1).
(e) When terminating or not renewing a regional center contract
and negotiating with another governing board for a regional center
contract, the department shall do all of the following:
(1) Notify the area board, State Council on Developmental
Disabilities, all personnel employed by the regional center, all
service providers to the regional center, and all consumers of the
regional center informing them that it proposes to terminate or not
renew the contract with the regional center, and that the state will
continue to fulfill its obligations to ensure a continuity of
services, as required by state law, through a contract with a new
governing board.
(2) Issue a request for proposals prior to selecting and
negotiating with another governing board for a regional center
contract. The local area board shall review all proposals and make
recommendations to the department.
(3) Request the area board and any other community agencies to
assist the state by locating or organizing a new governing board to
contract with the department to operate the regional center in the
area. Area boards shall cooperate with the department when that
assistance is requested.
(4) Provide any assistance which may be required to ensure that
the transfer of responsibility to a new regional center will be
accomplished with minimum disruption to the clients of the service
program.
(f) In no event shall the procedures for termination or nonrenewal
of a regional center contract limit or abridge the state's authority
to contract with any duly authorized organization for the purpose of
service delivery, nor shall these procedures be interpreted to
represent a continued contractual obligation beyond the limits of any
fiscal year contract.

4636. If necessary, to avoid disruption of the service program, the
department may directly operate a regional center during the interim
period between the termination of its contract with one governing
board and the assumption of operating responsibility by a regional
center contract with another governing board. In no event shall the
department directly operate a regional center program for longer than
120 days before contracting with a new governing board. The
department may, if requested by the new governing board, continue to
provide additional assistance to avoid disruption of the service
program, until such time as the governing board has assumed full
responsibility for the operation of the program.

4638. Non-profit corporations operating regional centers shall not
use state funds allocated to the corporation for operating the center
for activities directly related to influencing employees of the
center regarding their decision to organize or not to organize and to
form a union or to join an existing union because these activities
are not directly related to the purchase of services to clients.
State funds shall not be used for these activities by the officers or
employees of the corporation itself, by the officers or employees of
the regional center, or by an independent contractor, consultant or
attorney.
State funds shall not be used to litigate the issue of the
application of the National Labor Relations Act to, nor the
jurisdiction of the National Labor Relations Board over, non-profit
corporations operating regional centers.
Nothing in this section shall be construed as limiting the
employers rights under Section 8(c) of the National Labor Relations
Act. Nothing in this section shall be construed as limiting the use
of state funds by the regional center in the employment of, or for
contracting for, assistance in good faith collective bargaining or in
handling employee grievances, including arbitration, under an
employee-employer contract.

4639. The governing board of a regional center shall annually
contract with an independent accounting firm for an audited financial
statement. The audit report and accompanying management letter shall
be reviewed and approved by the regional center board and submitted
to the department within 60 days of completion and before April 1 of
each year. Upon submission to the department, the audit report and
accompanying management letter shall be made available to the public
by the regional center. It is the intent of the Legislature that no
additional funds be appropriated for this purpose.

4639.5. (a) By December 1 of each year, each regional center shall
provide a listing to the State Department of Developmental Services a
complete current salary schedule for all personnel classifications
used by the regional center. The information shall be provided in a
format prescribed by the department. The department shall provide
this information to the public upon request. From February 1, 2009,
to June 30, 2010, inclusive, the requirements of this subdivision
shall not apply.
(b) By December 1 of each year, each regional center shall report
information to the State Department of Developmental Services on all
prior fiscal year expenditures from the regional center operations
budget for all administrative services, including managerial,
consultant, accounting, personnel, labor relations, and legal
services, whether procured under a written contract or otherwise.
Expenditures for the maintenance, repair, or purchase of equipment or
property shall not be required to be reported for purposes of this
subdivision. The report shall be prepared in a format prescribed by
the department and shall include, at a minimum, for each recipient
the amount of funds expended, the type of service, and purpose of the
expenditure. The department shall provide this information to the
public upon request. Regional centers shall not be required to
prepare or submit the report required by this subdivision in 2009.

4639.75. (a) On an ongoing basis, and as necessary, the State
Department of Developmental Services shall provide to regional
centers, and make available on the Internet, up-to-date information
about work incentive programs for persons with developmental
disabilities and other information relevant to persons with
developmental disabilities in making informed choices about
employment options. This information may include, but not be limited
to, the access and retention of needed benefits, the interactions of
earned income, asset building, and other financial changes on
benefits, employment resources and protections, taxpayer requirements
and responsibilities, training opportunities, and information and
services available through other agencies, organizations, or on the
Internet.
(b) The department, in consultation with regional centers, shall
assess the need for, and develop a plan for, training of regional
center staff on employment issues facing persons with a developmental
disability. The department shall not be required to implement
training pursuant to this section if implementation cannot be
achieved within existing resources, unless additional funding for
this purpose becomes available.