REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
April 29, 2025
FROM
JASON ANDERSON, District Attorney
SUBJECT
Title
Grant Application for the San Bernardino County Workers’ Compensation Insurance Fraud Program
End
RECOMMENDATION(S)
Recommendation
1. Ratify the submission of the grant application to the California Insurance Commissioner for the San Bernardino County Workers’ Compensation Insurance Fraud Program, in the amount of $3,455,199, for the period of July 1, 2025 through June 30, 2026.
2. Adopt Resolution, as required by the California Insurance Commissioner, authorizing the Chief Deputy District Attorney to execute and electronically submit the grant application referenced in Recommendation No. 1 and all related documents, including any subsequent non-substantive amendments, subject to review by County Counsel.
3. Direct the Chief Deputy District Attorney to transmit any non-substantive amendments to the Clerk of the Board of Supervisors within 30 days of execution.
(Presenter: Michael Fermin, Chief Assistant District Attorney, 382-3662)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Provide for the Safety, Health and Social Service Needs of County Residents.
Pursue County Goals and Objectives by Working with Other Agencies and Stakeholders.
FINANCIAL IMPACT
Approval of this item will not result in the use of Discretionary General Funding (Net County Cost). The costs of the County’s Workers’ Compensation Insurance Fraud Program (Program) are fully funded by the grant and matching funds are not required. The $3,455,199 requested for 2025-26 will be used to fund existing staff and other Program related costs. Program revenue and appropriation will be included in the District Attorney’s Office (Department) 2025-26 Recommended budget (450-2672).
BACKGROUND INFORMATION
Section 1872.83 of the California Insurance Code authorizes the State Insurance Commissioner (State) to collect fees assessed on each employer and distribute to agencies statewide for the investigation and prosecution of workers’ compensation insurance fraud cases. Since 1994, the Department has received grant funds for this Program on an annual basis. In addition to keeping the public safe, the Department investigates and prosecutes these cases because fraudulent workers’ compensation claims are crimes that inflate premiums paid by employers to maintain this insurance.
The State notified all participating agencies statewide that the due date to submit a grant application for 2025-26 Program funding is April 23, 2025. However, it is a requirement that the grant application include statistical case information through mid-April. The Board of Supervisors meeting in late April is scheduled after the due date for the grant application. The application was reviewed and approved by County Counsel prior to submittal. The Department of Insurance does not allow extensions on the submittal of the application. Therefore, the Department seeks retroactive approval of the submittal of this application for grant funding.
The Department has had the same Program staffing for the last three years and is not requesting any staffing changes in the grant application. If awarded, this grant will fund the salaries and benefits of three Deputy District Attorneys, six District Attorney Senior Investigators, one Secretary I, one Paralegal, 85% of one Supervising District Attorney Investigator, and all operating costs necessary to operate the Program. The grant application requirements do not include any significant operational changes to the Department.
PROCUREMENT
N/A
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Daniella Hernandez, Deputy County Counsel, 387-5455) on April 8, 2025; Finance (Kathleen Gonzalez, Administrative Analyst, 387-5412) on April 10, 2025; and County Finance and Administration (Valerie Clay, Deputy Executive Officer, 387-5423) on April 15, 2025.