BILL ANALYSIS AB 1080 Page 1 Date of Hearing: May 16, 2001 ASSEMBLY COMMITTEE ON APPROPRIATIONS Carole Migden, Chairwoman AB 1080 (Kehoe) - As Amended: April 23, 2001 Policy Committee: Higher EducationVote:11-0 Urgency: No State Mandated Local Program: No Reimbursable: SUMMARY This bill requires the Student Aid Commission (SAC) to seek to establish a continuous Cal Grant C application process. The bill requires the SAC to establish a September 2 deadline for the Cal Grant C program, if there are awards not granted during the March 2 application deadline. FISCAL EFFECT According to the SAC, this measure would result in additional General Fund costs of approximately $100,000 in 2002-03. This amount declines to approximately $40,000 annually thereafter. COMMENTS 1)Purpose . According to the author, between 10 to 15 percent of all awarded Cal Grant C's are not fully utilized, and therefore budgeted funds revert to the General Fund. Because of high demand for Cal Grant C's, a second deadline will ensure needy eligible students will have an opportunity to access these funds. 2)Cal Grant C awards . These awards cover up to $2,592 in fees at vocational schools, and up to $576 for books and supplies. In 2000-01, 9,286 students are receiving Cal Grant C awards, worth approximately $14.8 million. Analysis Prepared by : Daniel Alvarez / APPR. / (916) 319-2081