Assemblymember Holden’s Bill to Address Minimum Wage for Developmental Disabilities Service Providers Passes First Committee

Tuesday, March 7, 2017

Sacramento, CA – Assemblymember Chris Holden’s legislation to address the minimum wage discrepancy for developmental disabilities service providers, Assembly Bill 279, passed the Assembly Committee for Human Services today with a 6-0 vote. Specifically, Assembly Bill 279 extends authority to the Department of Developmental Services (DDS) and regional centers to adjust the rates of providers to comply with legally binding local mandates and minimum wage levels across the state.

“Without an increase to reimbursement rates to meet local mandates, many developmental disability service providers may have to shut their doors,” said Assemblymember Chris Holden. “This would lead to a shortage of services available to people with disabilities throughout our state.”

The statewide minimum wage statues enacted from Senate Bill 3 in 2016 did not recognize that a number of municipalities and counties have enacted minimum wage ordinances mandating all employers within their jurisdictions to increase wages to levels above State law. Assembly Bill 279 extends authority to DDS and regional centers to adjust the rates of providers to comply with locally mandated minimum wage laws enacted in the jurisdiction in which they employ workers to meet service needs under the Lanterman Developmental Disabilities Act.

“The simple fact is that when the state raised the minimum wage, it recognized a responsibility to provide a mechanism and funding to adjust rates that are impacted, and my bill simply extends that recognition to local ordinances raising the minimum wage at a different pace than the state.” said Holden.