10618.9. (Added by Stats. 2025, Ch. 107, Sec. 1.)

(b) (1) Counties opting to participate in any of the following programs shall have written program policies and make them available to the public, including on the internet website of the county, and implement and conduct county-level complaint resolution processes according to minimum requirements developed by the department:

(A) The CalWORKs Housing Support Program (Article 3.3 (commencing with Section 11330) of Chapter 2 of Part 3).

(B) The Home Safe Program (Chapter 14 (commencing with Section 15770) of Part 3).

(C) The Bringing Families Home Program (Article 6 (commencing with Section 16523) of Chapter 5 of Part 4).

(D) The Housing and Disability Income Advocacy Program (Chapter 17 (commencing with Section 18999) of Part 6).

(2) The minimum requirements developed by the department pursuant to paragraph (1) shall include all of the following elements:

(A) A statewide standardized notice informing applicants for, and recipients of, the programs of the county-level complaint resolution process and state hearings process pursuant to subdivision (c), including all associated timelines, the right to submit a complaint within 30 calendar days from the date of the county action that gave rise to the complaint, and what constitutes good cause, as defined by future guidance to be developed by the department, for submitting a complaint after 30 calendar days. This information shall be provided in writing at the time of enrollment and discontinuance from the program, and shall meet all language and accessibility requirements, as prescribed by the department. The statewide standardized notice, which may be modified by counties to reflect their county-level complaint resolution process, shall be developed in consultation with stakeholders, including advocates for program applicants and recipients, representatives of labor organizations, the County Welfare Directors Association of California (CWDA), and legislative staff.

(B) An objective decisionmaker who is a neutral person not directly involved in the county action that gave rise to the complaint and who has knowledge of the program’s written policies, the program requirements, and departmental guidance.

(C) The right for any party to the complaint to present information in support of the complaint. Any party to the complaint shall also have the right to request a meeting to present information in person, by phone, or virtually, and to be represented by someone of their choosing. The meeting shall be held within 30 calendar days of receipt of a complaint.

(D) A written decision describing the outcome of the complaint, including information about the complaint, the date of the decision, the basis of the county’s decision, including the relevant policies, laws, and facts, county contact information for any questions about the decision, and notice of the right to appeal the decision to a state hearing pursuant to subdivision (c). The decision shall be issued within the following timelines:

(ii) If a meeting is requested, a written decision shall be issued within 15 working days from the date of the meeting.

(E) Any other criteria or clarifying guidance determined by the department, in collaboration with CWDA, counties, and advocates for program applicants and recipients.

(3) The department shall develop program guidance on a procedure for counties to inform recipients in writing of housing-related services and financial assistance being provided to the recipient, which shall include advance notice when housing-related services or financial assistance will be reduced or discontinued, and which may include electronic copies. This guidance shall include, at a minimum, all of the following elements:

(A) Counties shall provide recipients with an individualized written housing plan that shall meet all of the following requirements:

(i) Be developed by the county in coordination with the recipient, when possible, and consistent with Housing First requirements specified in Section 8255, to meet the recipient’s specified housing-related goals.

(ii) Describe the housing-related services and financial assistance being provided to a recipient and specify the start and expiration dates, as applicable, within the plan.

(iii) Be provided to the recipient upon enrollment and updated when the recipient’s housing-related services or financial assistance change and as specified by the department.

(B) If the recurring housing-related services or financial assistance described in a current written housing plan will be reduced or discontinued before its planned expiration date stated in the plan, the county shall provide the recipient with an updated housing plan before the reduction or discontinuance is effective that explains why the change is being made and when the change will take effect. The updated housing plan shall include accessible and easily understandable information about possible alternative and available housing supports and services.

(C) A formal process for discontinuing a recipient from a program that includes providing the recipient with a written description of the reason for the discontinuance and when it will occur.

(D) The county shall document in an updated written housing plan provided to the recipient when the reduction or discontinuance of housing-related services or financial assistance is a result of the county closing the program, including closure or caseload reduction due to insufficient program funding.

(E) Any other criteria or clarifying guidance determined by the department in collaboration with CWDA, counties, and advocates for program applicants and recipients.

(4) A county participating in a program shall amend existing processes for those programs to satisfy the minimum requirements developed by the department pursuant to this subdivision if the existing processes do not meet the minimum requirements. If the county does not have existing processes for those programs, the county shall adopt processes for those programs that satisfy the minimum requirements developed by the department pursuant to this subdivision.

(c) If a recipient is dissatisfied with a decision issued pursuant to subparagraph (D) of paragraph (2) of subdivision (b), or if the county fails to provide a county complaint process or timely issue a decision as set forth in paragraph (2) of subdivision (b), the recipient shall have the right to file a request within 30 calendar days with the department for a state administrative hearing conducted by an administrative law judge for county actions resulting in a reduction or discontinuance of housing-related services or financial assistance, including discontinuance from a program, subject to all of the following:

(1) (A) An administrative hearing decision may determine that a county action is correct or incorrect.

(B) If a county action for discontinuance from a program is determined incorrect, the decision shall order the county to reenroll the recipient into the program, subject to the availability of funds for that program.

(C) If a county action for reduction or discontinuance of housing-related services or financial assistance is determined incorrect, the decision shall either order the county to continue to provide the housing-related services or financial assistance, as stated in the previous housing plan in effect immediately prior to the proposed county action for reduction or discontinuance of housing-related services or financial assistance that gave rise to the complaint, or order the county to reevaluate the housing-related services or financial assistance provided to the recipient when the previous housing plan no longer suits the needs of the recipient or if the housing-related services or financial assistance is no longer available within the county program, subject to guidance from the department and the availability of funds for that program.

(D) The county shall carry out all orders in accordance with its written policies, the program requirements, and departmental guidance. The county shall notify the recipient and state hearings upon complying with the decision as set forth in Section 22-071.1 (h) and 22-078.2 of Chapter 22-000 of Division 22 of the State Department of Social Services Manual of Policies and Procedures.

(2) (A) An administrative hearing decision may determine that the county failed to provide a county-level complaint resolution process, as required by paragraph (2) of subdivision (b), or that the county failed to issue a timely decision, as required by subparagraph (D) of paragraph (2) of subdivision (b).

(B) If an administrative hearing decision finds that the county failed to issue a timely decision, as required by subparagraph (D) of paragraph (2) of subdivision (b), the decision shall order the county to issue a decision within 15 calendar days.

(C) If an administrative hearing decision finds that the county failed to provide a county-level complaint resolution process, the administrative law judge shall render a decision consistent with this section and guidance issued by the department.

(3) (A) For any program specified under paragraph (1) of subdivision (b), a county shall notify the department in writing at least 30 calendar days in advance of programwide caseload reductions due to insufficient funding, and of any temporary or permanent interruption or end to a program’s services and operations, for any reason, including fully spending the given allocation.

(B) There shall be no right to an administrative hearing for county actions if the county has provided notice to the recipients that their housing-related services or financial assistance will be reduced or discontinued, as set forth in paragraph (3) of subdivision (b), in the following circumstances:

(i) The program under which the recipient is receiving housing-related services or financial assistance has closed or is closing permanently or temporarily, and the county has provided notice to the department, as required by subparagraph (A).

(ii) A county determination to reduce its program caseload due to insufficient funding.

(iii) For temporary program reductions or suspensions to program operations due to unexpected and extenuating circumstances that are publicly disclosed, including on the internet website of the county, and approved by the department.

(4) In the event that program funding is depleted, as defined by department guidance, or the program closes while an administrative hearing is pending, and the administrative law judge is made aware that the funding has been depleted or the program has closed, the matter shall be administratively dismissed without a hearing.

(5) Local assistance funds shall be used to implement this subdivision if an appropriation for administrative resources for the purpose of implementing this subdivision is not provided by the Legislature, subject to all of the following:

(A) The department shall prioritize any available funding for state set asides from local assistance allocations, or other available state administrative funding, such as for evaluation or training, appropriated prior to the Budget Act of 2025 for the purpose of implementing this subdivision.

(B) To the extent additional state operation funds are needed, any local assistance funds specifically set aside for state administrative costs for the program, pursuant to and consistent with Provisions 14, 15, and 16 of Item 5180-151-0001 of the Budget Act of 2025, may be used to implement this subdivision.

(C) During the first fiscal year that this subdivision is implemented, at least nine hundred fifty one thousand dollars ($951,000) in local assistance funds set aside for state administrative costs shall be available for this purpose. The department shall notify CWDA and advocates for program applicants and recipients on any updated estimates for state operations funding needed for implementing this subdivision in a future fiscal year. Any changes to local assistance funds needed for implementing this subdivision in a future fiscal year shall be reported to the Legislature.

(D) Commencing February 1, 2028, and each year thereafter, the department shall report to the Legislature on the counties’ cost of implementing county-level complaint resolution processes and participating in state hearings. The reporting process shall be developed by the department in consultation with CWDA, and shall include, but not be limited to, the number of county-level complaints, the number of state hearing requests, and the number of cases which proceeded to state hearings when available.

(E) Following the first fiscal year of implementation, to the extent state operations funding is needed for continued implementation of this subdivision, and if there is no separate appropriation for administrative purposes, set aside funds from appropriations for the CalWORKs Housing Support Program and Housing and Disability Income Advocacy Program, and, if applicable, future appropriations for the Home Safe Program and Bringing Families Home Program, may be used to implement this subdivision. The total combined amount of these set aside funds to be used for this purpose may not exceed 1 percent of the total combined amount of the appropriated funds for these four programs in a given fiscal year.

(d) (1) The department shall establish criteria for recipients to receive housing-related services and financial assistance pending the resolution of a complaint pursuant to subdivision (b) and a state hearing pursuant to subdivision (c), in consultation with CWDA and advocates for program applicants and recipients.

(2) Assistance pending shall mean the continuation of housing-related services and financial assistance, as described in the recipient’s housing plan that was in effect immediately prior to a proposed county action for reduction or discontinuance of assistance that gave rise to the complaint prior to the expiration of that housing plan.

(3) Financial assistance provided under this subdivision shall include recurring housing-related direct financial assistance provided to, or on behalf of, a recipient, including, but not limited to, rental assistance, utility payments, or other recurring payments consistent with program requirements and departmental guidance.

(4) Housing-related services that may be provided under this subdivision include, but are not limited to, housing navigation, credit repair support, ongoing housing education, case management, and legal services.

(5) The department shall establish criteria for collecting overpayments for financial assistance only, in the event that the county action reducing or discontinuing the financial assistance is determined correct pursuant to subdivision (b) or (c). The criteria, at a minimum, shall include both of the following provisions:

(A) There shall be no collection of overpayments for services rendered.

(B) The county shall waive overpayment collections when the collection will create an exceptional burden to the recipient, and for other good cause, as determined by further guidance issued by the department, in consultation with CWDA and advocates for applicants and recipients.

(e) The department shall issue guidance to counties to implement subdivisions (b), (c) and (d) no later than 18 months after the effective date of this section. The county shall then implement the guidance within six months of the department’s issuance of guidance. The right to file a request for an administrative hearing and the right to receive assistance pending shall become operative on the date the department notifies the Legislature that the department and counties have finalized the implementation of that guidance.

(f) Notwithstanding any other law, the processes described in subdivisions (b) and (c) shall be the sole administrative remedies available to any applicant for, or recipient of, the programs.

(g) Notwithstanding the rulemaking provisions of the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code), the department may implement and administer this section by means of all-county letters or similar written instructions from the department. These all-county letters or similar written instructions shall have the same force and effect as regulations.

(h) The department shall consult with CWDA, counties, and advocates for program applicants and recipients on the development of the processes described in subdivisions (b), (c) and (d).

(i) Subject to paragraph (5) of subdivision (c), funds appropriated for the programs shall be available to the department to administer this section. Funds appropriated for the programs shall also be available to counties participating in those programs to administer this section.

(j) “Program” or “Programs” means the programs described in paragraph (1) of subdivision (b).