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Hopes dim for quick legislative action to boost California’s food stamp participation rate

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With concern growing in Sacramento about the millions of Californians struggling to get sufficient nutrition, advocates for the poor had hoped for progress this year on recommendations to improve access to federal food stamps.

Gov. Arnold Schwarzenegger and legislators in both major parties have shown interest in cutting red tape that has California lagging far behind most of the nation in obtaining the benefit. But hopes that this would translate into speedy legislative action have dimmed as reform efforts have become caught up in horse-trading to close a $19.1-billion budget gap.

Most of the proposals have previously died in committee or on the governor’s desk. They include Democratic efforts to stop fingerprinting applicants and reduce paperwork, changes that Republican legislators contend could provide opportunities for fraud.

Other states manage more of their programs through administrative decisions, which “is just so much easier than trying to pass legislation here in California,” said George Manalo-LeClair, senior director of legislation for California Food Policy Advocates.

Only 48% of eligible Californians — about 2 million people — were enrolled in the food stamp program in 2007, the most recent year for which federal estimates are available. That was well below the national average of 66%. The number of recipients has since increased to more than 3 million, but eligibility for the program has soared because of the recession, so it is not clear whether the participation rate has improved.

U.S. Department of Agriculture officials have pressed California for years to simplify the program’s administrative requirements. The federal government pays for the benefit and half the costs of administering the program, with the rest shared between the state and counties.

“We are leaving potentially billions of federal dollars on the table that could be used to ensure that Californians don’t go hungry” and to stimulate the local economy, said state Sen. Mark Leno (D- San Francisco), who proposed several previous bills.

Schwarzenegger’s administration has implemented a number of options offered by the federal government to improve participation, including allowing county welfare officers to interview applicants by phone and modifying the eligibility rules so low-income households do not have to use up their savings.

A proposal to allow Californians to keep their benefits when they move between counties without having to submit new applications has bipartisan support. The Assembly voted 62 to 1 last month to approve the bill, AB 2018 by Assemblywoman Nancy Skinner (D- Berkeley), and Schwarzenegger included the change in his May budget revisions.

“We are not trying to put welfare recipients through a bureaucratic maze,” said Seth Unger, spokesman for the Assembly Republican Caucus. But he added: “California already has some of the most generous benefits.... We should be targeting them at those who truly need them the most.”

California is the only state that requires most food stamp recipients to report their income four times a year. Federal officials are encouraging California to reduce its reporting requirements to twice a year, which officials say has cut the workload in other states and helped needy families avoid losing benefits because of clerical errors, or because they fail to complete a form.

The California Department of Social Services has drafted a plan to convert to semiannual reporting. But the necessary bill, AB 1642 by Assemblyman Jim Beall Jr. (D-San Jose), did not make it out of the Appropriations Committee in May because switching systems would entail an estimated $20 million in computer costs.

Schwarzenegger has vetoed similar bills, saying the state could not afford the upfront costs in uncertain financial times.

This year, Congress allocated $400 million to help states cope with the growing food stamp caseload. Beall and other Democrats would like to use part of California’s $29.9-million share to cover the reprogramming.

Schwarzenegger wants to use the funds for administrative costs, reducing the contribution from the state’s general fund by $10.5 million. “Every little bit helps,” said H.D. Palmer, spokesman for the California Department of Finance.

Beall said he prefers to use one-time funds on a one-time expense that would help keep future costs down.

Unger said the change to semiannual reporting might have been approved years ago if it had not been accompanied by attempts to eliminate fingerprinting and raise the threshold at which food stamp recipients must immediately notify authorities of an income increase. Schwarzenegger proposed including the switch in the 2008 budget.

The Democrat-led Senate and Assembly want to stop funding the fingerprinting system used in the food stamp and cash assistance programs, which would save the state about $10 million a year. But that proposal could also “fall by the wayside in exchange for something else in trying to close the budget gap,” said Scott Graves of the California Budget Project, which lobbies for the poor.

Critics of fingerprinting say it increases the stigma associated with food stamps and discourages applications from people who must take time off work to get it done. Supporters say it deters fraud and helps authorities identify people who submit multiple applications for the same household. Schwarzenegger has vetoed attempts to eliminate the requirement.

Kevin Concannon, USDA undersecretary for food, nutrition and consumer services, has encouraged California to consider other options.

“Matching names with Social Security numbers … is far less costly than finger imaging, yet is equally effective,” he said in a May 7 letter to the California social services director.

Also contentious is a proposal to allow any drug felon to collect food stamps without requiring treatment. Currently only those convicted of using drugs may apply, provided they are treating their addiction.

Those who support expanding the benefit argue that it is less likely to be traded for drugs now that recipients are given a debit card rather than stamps. Opponents say it would reward bad behavior.

The Assembly approved the measure, AB 1756 by Assemblyman Sandré Swanson (D-Alameda), in a 44-31 vote last month. Schwarzenegger has vetoed a similar bill.

alexandra.zavis@latimes.com

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