Monique Limón
- Democratic
- Senator
- District 19
Author
(1) Existing law requires unemployment compensation benefits administered by the Employment Development Department (EDD) , child support payments made through the State Disbursement Unit of the Department of Child Support Services, and specified public assistance payments, including payments made under the California Work Opportunity and Responsibility to Kids (CalWORKs) program, that are directly deposited to an account of the recipient's choice to be deposited into a qualifying account. Existing law defines "qualifying account" for these purposes to mean either a demand deposit or savings account at an insured financial institution in the name of the person entitled to receipt of the payments, as applicable, or a prepaid card account that meets certain requirements, including that the prepaid card account may not be attached to any credit or overdraft feature that is automatically repaid from the account after delivery of the payment. This bill would change the definition of qualifying account, including eliminating a prepaid card account and instead authorizing a prepaid account or a demand deposit or savings account offered by or through an entity other than an insured depository financial institution, as specified, that is not attached to an automatic credit or overdraft feature, unless the credit or overdraft feature has no fee, charge, or cost, or it complies with the requirements for consumer credit under the federal Truth in Lending Act. To the extent this bill would increase the responsibilities of counties in providing benefits under the CalWORKs program, the bill would impose a state-mandated local program. For purposes of the above-mentioned public assistance payments under the jurisdiction of the State Department of Social Services, including payments made under the CalWORKs program, the bill would authorize the department to implement, administer, interpret, or make specific those provisions through all-county letters or similar written instructions, to be issued no later than October 1, 2022, with the same force and effect as regulations. (2) Existing law also authorizes the EDD to administer the disability insurance compensation program, which includes family temporary disability insurance benefits. Existing law requires the EDD to make disability compensation payments through public employment offices or other agencies approved by the Director of Employment Development. Existing law requires, beginning January 1, 2024, the EDD to provide a person entitled to receive disability benefits and family temporary disability insurance benefits with the option to receive payments by direct deposit into a qualifying account, as defined, of the recipient's choice, in addition to other alternative disbursement payment methods. This bill would revise the description of a person to whom EDD must provide the option of direct deposit and would require, if the benefits are directly deposited to an account of the recipient's choice, the payments to only be deposited to an account that meets the requirements of a qualifying account. The bill would prohibit a person or entity that is not an insured depository financial institution, as defined, that offers, maintains, or manages an account that is not a qualifying account from soliciting, accepting, or facilitating the direct deposit of these benefits to the account. Under the bill, the EDD would not be held liable for authorizing a direct deposit of these benefits into an account designated by the recipient that is not a qualifying account. (3) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
Approved by the Governor.
Chaptered by Secretary of State. Chapter 546, Statutes of 2021.
Enrolled and presented to the Governor at 2 p.m.
Assembly amendments concurred in. (Ayes 39. Noes 0. Page 2214.) Ordered to engrossing and enrolling.
In Senate. Concurrence in Assembly amendments pending.
Read third time. Passed. (Ayes 73. Noes 0. Page 2523.) Ordered to the Senate.
Read second time. Ordered to consent calendar.
From committee: Do pass. Ordered to consent calendar. (Ayes 16. Noes 0.) (August 19).
From committee with author's amendments. Read second time and amended. Re-referred to Com. on APPR.
From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 8. Noes 0.) (June 30). Re-referred to Com. on APPR.
From committee: Do pass and re-refer to Com. on HUM. S. with recommendation: To consent calendar. (Ayes 12. Noes 0.) (June 29). Re-referred to Com. on HUM. S.
Joint Rule 62(a) suspended. (Ayes 56. Noes 19. Page 2124.)
June 28 hearing postponed by committee.
From committee with author's amendments. Read second time and amended. Re-referred to Com. on B. & F.
Assembly Rule 56 suspended.
In Assembly. Read first time. Held at Desk.
Read third time. Passed. (Ayes 40. Noes 0. Page 1316.) Ordered to the Assembly.
Read second time. Ordered to third reading.
From committee: Do pass. (Ayes 7. Noes 0. Page 1194.) (May 20).
Set for hearing May 20.
May 10 hearing: Placed on APPR suspense file.
Set for hearing May 10.
Read second time and amended. Re-referred to Com. on APPR.
From committee: Do pass as amended and re-refer to Com. on APPR with recommendation: To consent calendar. (Ayes 5. Noes 0. Page 857.) (April 20).
From committee with author's amendments. Read second time and amended. Re-referred to Com. on HUMAN S.
Set for hearing April 20.
From committee: Do pass and re-refer to Com. on HUMAN S. (Ayes 9. Noes 0. Page 702.) (April 7). Re-referred to Com. on HUMAN S.
Set for hearing April 7.
Referred to Coms. on B. & F.I. and HUMAN S.
(Ayes 32. Noes 4.)
Joint Rule 55 suspended. (Ayes 32. Noes 4. Page 272.)
Art. IV. Sec. 8(a) of the Constitution dispensed with.
From printer. May be acted upon on or after March 20.
Introduced. Read first time. To Com. on RLS. for assignment. To print.
| Bill Text Versions | Format |
|---|---|
| SB497 | HTML |
| 02/17/21 - Introduced | |
| 04/13/21 - Amended Senate | |
| 04/22/21 - Amended Senate | |
| 06/21/21 - Amended Assembly | |
| 08/16/21 - Amended Assembly | |
| 09/01/21 - Enrolled | |
| 10/05/21 - Chaptered |
| Document | Format |
|---|---|
| 04/05/21- Senate Banking and Financial Institutions | |
| 04/16/21- Senate Human Services | |
| 05/07/21- Senate Appropriations | |
| 05/22/21- Sen. Floor Analyses | |
| 06/24/21- Assembly Banking and Finance | |
| 06/28/21- Assembly Banking and Finance | |
| 06/29/21- Assembly Human Services | |
| 08/16/21- Assembly Appropriations | |
| 08/28/21- Sen. Floor Analyses |
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