BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 867
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          Date of Hearing:   May 13, 2009

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Kevin De Leon, Chair

                     AB 867 (Nava) - As Amended:  April 14, 2009 

          Policy Committee:                              Higher  
          EducationVote:8-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:               

           SUMMARY  

          This bill authorizes the California State University (CSU) to  
          award the Doctor of Nursing Practice (DNP) degree in order to  
          train nurses for advanced nursing practice and to prepare  
          clinical faculty to teach postsecondary nursing education.   
          Specifically, this bill:

          1.Specifies that the DNP is limited to the discipline of nursing  
            practice and shall be distinguished from the doctor of  
            philosophy (Ph.D) degree offered at, or in conjunction with,  
            the University of California.

          2.Stipulates that state funding for students in the program  
            shall come within amounts allocated in the annual Budget Act  
            to the CSU for enrollment growth, shall be at the  
            marginal-cost CSU receives for graduate enrollment, shall not  
            alter CSU's ratio of graduate instruction to total enrollment,  
            and shall not diminish undergraduate enrollment growth.

          3.Stipulates that CSU shall provide initial start-up funding  
            from within existing budgets for academic program support and  
            that funding shall not reduce undergraduate enrollments.

          4.Requires CSU, if it establishes the DNP program, to report the  
            status to the California Postsecondary Education Commission  
            (CPEC), the Legislative Analyst's Office, and the appropriate  
            budget subcommittees.

           FISCAL EFFECT  

          CSU staff indicate that two to three campuses would be selected  








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          to implement DNP programs, with initial enrollments not expected  
          for around three years.  Assuming 10 students in each entering  
          class, first-year GF costs for three programs would be $246,000  
          and second-year costs would be $492,000.  The bill specifies  
          that these costs will come from CSU 's budget allocation for  
          enrollment growth.

           COMMENTS  

           1.Purpose  .  This bill resulted from a study by the CSU Nursing  
            Doctorate Advisory Committee, comprised of CSU representatives  
            and a research consultant, to determine how best to address  
            California's nursing faculty shortage. CSU asserts this bill  
            is necessary for training future CSU and CCC nursing faculty.  
            CSU's 18 pre-licensure nursing programs are full and unable to  
            expand, in part because there are not enough faculty available  
            to meet the low student-to-faculty ratios required by  
            accreditors and licensing boards for these programs.  In  
            addition, CSU points out the new program will allow it to  
            train more advance practice nurses, which may be the  
            educational level necessary for certification in the future. 

            According to a June 2008 study by the California Institute for  
            Nursing & Health Care (CINHC), more baccalaureate- and  
            graduate-prepared nurses will be needed as California strives  
            to fill a forecasted shortage of 116,000 nurses by 2020.  
            Currently, 70% of graduating nurses have two-year Associate of  
            Arts degrees, and only 26% of these go on to secure a Bachelor  
            of Science in Nursing or graduate-level degree.

           2.CSU Budget Constraints  .  CSU has sustained significant budget  
            cuts in recent years, including $97.6 million in 2008-09 and  
            $66.3 million in 2009-10. CSU is reducing enrollments by  
            10,000 undergraduate students for the 2009-10 academic year  
            because of the lack of adequate funding for current enrollment  
            levels.  Given these constraints, should a portion of future  
            enrollment growth funds be allocated for new DNP programs, or  
            for other system needs, such as increased baccalaureate degree  
            production, increased financial aid, decreased time-to-degree,  
            and more slots for undergraduate students?

           3.CPEC Concerns  .  The commission is concerned with CSU's  
            approach of seeking a new degree program in statute prior to  
            CPEC, pursuant to its statutory charge, reviewing the need for  
            such a program.  CPEC indicates that it is currently examining  








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            the need for nursing faculty and how the state public and  
            private colleges can meet these needs.

           4.Prior Legislation  .  SB 1288 (Scott) of 2008, which was  
            substantially similar to this bill, was held on Suspense in  
            Senate Appropriations.

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081