BILL ANALYSIS                                                                                                                                                                                                    





                                                                  AB 24

                                                                  Page  1


          GOVERNOR'S VETO
          AB 24 (Block)
          As Amended  September 1, 2009
          2/3 vote

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          |ASSEMBLY:  |74-1 |(June 2, 2009)  |SENATE: |28-4 |(September 3,  |
          |           |     |                |        |     |2009)          |
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          |ASSEMBLY:  |76-2 |(September 9, 2009)                            |
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           Original Committee Reference:    HIGHER ED.  

           SUMMARY  :  Requires the Chancellor of the California State  
          University (CSU) to conduct a feasibility study regarding the  
          feasibility of establishing a CSU satellite program and  
          independent campus at Chula Vista, requires the CSU Chancellor  
          to complete and submit the study to the CSU Trustees within 18  
          months after the date that the Trustees have certified that  
          sufficient non-state funds are available to conduct the study. 

           The Senate amendments  provide that if the CSU Trustees determine  
          there is a need for a campus or satellite program at Chula  
          Vista, the CSU Trustees shall submit a formal needs study to the  
          California Postsecondary Education Commission (CPEC).
           
          EXISTING LAW  establishes legislative intent that sites for new  
          University of California (UC) or CSU campuses not be authorized  
          unless recommended by CPEC and requires that all proposals for  
          new colleges or programs be forwarded to CPEC for review within  
          60 days of submission.  

           AS PASSED BY THE ASSEMBLY,  this bill was substantially similar  
          to the version passed by the Senate.

           FISCAL EFFECT  :  According to the Assembly Appropriations  










                                                                  AB 24

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          Committee, one-time non-state cost of around $600,000 for the  
          feasibility study, which would include physical and academic  
          planning and environmental and traffic studies.  Development of  
          a new CSU campus would probably require initial capital outlays  
          of tens of millions of dollars and at least several million  
          dollars annually in start-up costs.
           
          COMMENTS  :  The concept of locating a four-year university in the  
          City of Chula Vista (City) was introduced in 1993, during the  
          development of the Otay Ranch land-use plan.  Approximately 375  
          acres, which the City valued at $250-$300 million in June of  
          2008, are currently set aside for the project.  Over the past  
          several years, the City and members of the community have worked  
          to recruit a university to the land.  In mid-2005 it was  
          reported that the City was looking at a multi-school campus  
          model where the schools would share facilities such as  
          classrooms and a library, and the institutions could be either  
          public or private.  According to the author, building a CSU  
          campus in Chula Vista would create an option for tens of  
          thousands of Southern California students who are being turned  
          away from impacted campuses such as San Diego State University. 
           
           Previous legislation:  SCR 92 (Peace), Resolution Chapter 104,  
          Statutes of 1998, resolved that the Legislature endorse a  
          proposed City site for possible future use as a UC campus.   
          Subsequently, the UC Regents moved forward with plans to develop  
          UC Merced; the 1987 statewide needs assessment found the central  
          valley area was in greatest need for a UC campus.  UC Merced  
          opened on September 5, 2005.
                
          GOVERNOR'S VETO MESSAGE  :

          "Nothing under current law prohibits the California State  
          University (CSU) or any other entity to conduct a study  
          regarding the feasibility of establishing another CSU campus in  
          Chula Vista.  I appreciate the author's intention to plan for  
          options for the future, and to ensure that any study would be  
          funded with non-State General Fund dollars.  I encourage the  
          author to work with the CSU system, local and regional entities,  
          and all other stakeholder groups to see if this objective is  
          viable.  However, a state law mandating such a study is  










                                                                  AB 24

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          unnecessary."


           Analysis Prepared by  :    Laura Metune / HIGHER ED. / (916)  
          319-3960                                          

                                                                FN: 0003297