BILL NUMBER: SB 821	CHAPTERED  09/29/03

	CHAPTER  599
	FILED WITH SECRETARY OF STATE  SEPTEMBER 29, 2003
	APPROVED BY GOVERNOR  SEPTEMBER 28, 2003
	PASSED THE SENATE  SEPTEMBER 11, 2003
	PASSED THE ASSEMBLY  SEPTEMBER 8, 2003
	AMENDED IN ASSEMBLY  SEPTEMBER 3, 2003
	AMENDED IN SENATE  MAY 13, 2003
	AMENDED IN SENATE  APRIL 28, 2003
	AMENDED IN SENATE  APRIL 2, 2003

INTRODUCED BY   Senator Alarcon

                        FEBRUARY 21, 2003

   An act to add Chapter 5.5 (commencing with Section 66350) to Part
40 of the Education Code, relating to business ethics.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 821, Alarcon.  Business ethics:  Golden State Business and
Social Responsibility Award.
   Existing law, known as the Donahoe Higher Education Act, sets
forth the missions and functions of California's public and
independent segments of higher education, and their respective
institutions of higher education.  Provisions of the act apply to the
University of California only to the extent that the Regents of the
University of California, by appropriate resolution, act to make a
provision applicable.  Among other things, the act identifies common
educational missions shared by educational institutions in California
and differentiates more specific missions and functions among the
various educational segments.
   This bill would require the Trustees of the California State
University and the Board of Governors of the California Community
Colleges, and request the Regents of the University of California and
the Association of Independent California Colleges and Universities,
to participate in a task force to develop a plan for integrating
instruction in business ethics into their business and business
administration programs.  The bill would require this task force to
report to the Legislature.
   The bill would establish the Golden State Business and Social
Responsibility Award, which would honor students who complete
graduate business programs at California's public and private
institutions of higher education, and who show a commitment to
socially responsible leadership.  The bill would prescribe the
qualifications for receipt of the award.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Chapter 5.5 (commencing with Section 66350) is added to
Part 40 of the Education Code, to read:

      CHAPTER 5.5.  BUSINESS ETHICS

   66350.  This chapter shall be known and may be cited as the Social
Responsibility Business Leadership Initiative Act of 2003.
   66351.  The Legislature finds and declares all of the following:
   (a) Ethics in business are vital to the economic well-being of the
state.
   (b) Corporate malfeasance is contrary to the long-term economic
viability of the state.
   (c) California's public and private higher education institutions
have the opportunity to act as a catalyst in creating a new
generation of elite business leaders that work to create a
sustainable, ethical, and socially responsible global community.
   (d) It is, therefore, the intent of the Legislature to establish
the Social Responsibility Business Leadership Initiative to prepare
and inspire California business graduates to apply their business
skills to enhance the productivity of the state, and integrate the
discipline of corporate responsibility into the general management
core.
   66352.  The Trustees of the California State University and the
Board of Governors of the California Community Colleges shall
establish and convene a task force to develop a plan for integrating
instruction in business ethics into their business and business
administration programs.  The task force shall report to the
Legislature, and advise whether, how, and why this integration can
occur.  The Regents of the University of California and the
Association of Independent California Colleges and Universities are
encouraged to join the task force.
   66353.  (a) The Golden State Business and Social Responsibility
Award is hereby established.  The award shall honor students who
complete graduate business programs at California's public and
private institutions of higher education, and show a commitment to
socially responsible leadership.
   (b) A participating institution of higher education may affix the
seal of the Senate, the Assembly, or the Governor on the diploma or
transcript of a qualifying student.
   (c) A student who meets both of the following requirements shall
qualify for an award:
   (1) The completion of two ethics courses in business.
   (2) The demonstration of a commitment to social responsibility by
completing a minimum of 50 hours of community service.
   (d) Institutional participation in the Golden State Business and
Social Responsibility awards is voluntary.  An institution of higher
education shall be responsible for any costs it incurs in
participating in the award program.