BILL ANALYSIS                                                                                                                                                                                                    



          Subject matter was not heard in Assembly policy committee this  
          legislative
          Session, should be noted in the last paragraph of the background  
          section of the 
          CSA analysis.  Language will vary depending on the circumstance.
           AB 935
                                                                  Page  1

          CONCURRENCE IN SENATE AMENDMENTS
          AB 935 (Hertzberg)
          As Amended September 7, 2001
          Majority vote
           
           ----------------------------------------------------------------- 
          |ASSEMBLY:  |53-21|(June 4, 2001)  |SENATE: |23-13|(September 12, |
          |           |     |                |        |     |2001)          |
           ----------------------------------------------------------------- 
            
           Original Committee Reference:    HIGHER ED.  

           SUMMARY  :  Establishes the Public Interest Attorney Loan Repayment  
          Program (Program) for licensed attorneys who practice or agree to  
          practice in public interest areas of the law, as defined, and who  
          meet other designated criteria.  Specifically, this bill: 

          1)Provides for the Student Aid Commission (SAC) to administer the  
            Program.

          2)Allows SAC to provide 3,000 loan assumption awards, at a maximum  
            value of $11,000 each and for a maximum of 4 years per  
            recipient.

          3)Creates the Public Interest Attorney Loan Repayment Endowment  
            Account in the State Treasury, which would consist of funds  
            appropriated by the Legislature for the program and private  
            contributions to the program.

           The Senate amendments  , make the following changes to the Program:

          1)Eliminate the requirement that SAC create a new advisory  
            committee, creating an advisory role for the existing SAC Grant  
            Advisory Committee.

          2)Change the grant program to a loan assumption program, with a  
            limit of 3,000 annual assumptions at a maximum value of $11,000  
            for four years per recipient.

          3)Make various technical and non-substantive changes.








          Subject matter was not heard in Assembly policy committee this  
          legislative
          Session, should be noted in the last paragraph of the background  
          section of the 
          CSA analysis.  Language will vary depending on the circumstance.
           AB 935
                                                                  Page  2

           AS PASSED BY THE ASSEMBLY  , this bill established the Program for  
          licensed attorneys who practice or agree to practice in public  
          interest areas of the law, as defined, and who meet other  
          designated criteria.

           COMMENTS  :  According to the author, the high cost associated with  
          legal representation has limited access to legal services for the  
          poor, and those lawyers who do work in the public interest are  
          paid minimal salaries.  At the same time, these lawyers are faced  
          with substantial levels of student debt.

          The high cost of graduate and professional education is often  
          overlooked by state lawmakers because of the sometimes-false  
          assumption that these degrees will offer graduates large economic  
          returns.  However, high cost programs make it improbable that  
          recent professional school graduates, saddled with school debt,  
          will agree to low-compensating public interest jobs.  This  
          includes district attorneys and public defenders that make  
          significantly less than their private law counterparts.  The state  
          has contributed to this problem by supporting professional fees at  
          the University of California law schools that are $6,000 per-year  
          higher than the base student fees.
           
          Analysis Prepared by  :  Paul Mitchell / HIGHER ED. / (916) 319-3960  
                                                            FN: 0003494