BILL NUMBER: AB 2086	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 22, 2010
	AMENDED IN ASSEMBLY  APRIL 7, 2010

INTRODUCED BY   Assembly Member Coto

                        FEBRUARY 18, 2010

   An act to amend Section 69432.7 of the Education Code, relating to
postsecondary education.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2086, as amended, Coto. Cal Grant Program: qualifying
institutions: publication of license examination passage rates.
   Existing law, the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant
Program, establishes the Cal Grant A and B entitlement awards, the
California Community College Transfer Cal Grant Entitlement awards,
the Competitive Cal Grant A and B awards, the Cal Grant C awards, and
the Cal Grant T awards under the administration of the Student Aid
Commission, and establishes eligibility requirements for awards under
these programs for participating students attending qualifying
institutions.
   For purposes of the Cal Grant Program, existing law defines
"qualifying institution" as a California private or independent
postsecondary educational institution that participates in specified
federal student aid programs, a nonprofit institution that is
headquartered and operating in California that meets specified
criteria, or a California public postsecondary educational
institution.
   This bill would redefine "qualifying institution" for purposes of
the Cal Grant Program to mean an institution that is within any of
those 3 categories and that complies with a requirement to annually
publish license examination passage rates for graduates of specified
programs.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

   SECTION 1.    Section 69432.7 of the  
Education Code   is amended to read: 
   69432.7.  As used in this chapter, the following terms have the
following meanings:
   (a) An "academic year" is July 1 to June 30, inclusive. The
starting date of a session shall determine the academic year in which
it is included.
   (b) "Access costs" means living expenses and expenses for
transportation, supplies, and books.
   (c) "Award year" means one academic year, or the equivalent, of
attendance at a qualifying institution.
   (d) "College grade point average" and "community college grade
point average" mean a grade point average calculated on the basis of
all college work completed, except for nontransferable units and
courses not counted in the computation for admission to a California
public institution of higher education that grants a baccalaureate
degree.
   (e) "Commission" means the Student Aid Commission.
   (f) "Enrollment status" means part-time status or full-time
status.
   (1)  Part time,   "Part time,"  for
purposes of Cal Grant eligibility,  is defined as 
 means  6 to 11 semester units, inclusive, or the
equivalent.
   (2)  Full time,   "Full time,"  for
purposes of Cal Grant eligibility,  is defined as 
 means  12 or more semester units or the equivalent.
   (g) "Expected family contribution," with respect to an applicant,
shall be determined using the federal methodology pursuant to
subdivision (a) of Section 69506 (as established by Title IV of the
federal Higher Education Act of 1965, as amended (20 U.S.C. Sec. 1070
et seq.)) and applicable rules and regulations adopted by the
commission.
   (h) "High school grade point average" means a grade point average
calculated on a 4.0 scale, using all academic coursework, for the
sophomore year, the summer following the sophomore year, the junior
year, and the summer following the junior year, excluding physical
education, reserve officer training corps (ROTC), and remedial
courses, and computed pursuant to regulations of the commission.
However, for high school graduates who apply after their senior year,
"high school grade point average" includes senior year coursework.
   (i) "Instructional program of not less than one academic year"
means a program of study that results in the award of an associate or
baccalaureate degree or certificate requiring at least 24 semester
units or the equivalent, or that results in eligibility for transfer
from a community college to a baccalaureate degree program.
   (j) "Instructional program of not less than two academic years"
means a program of study that results in the award of an associate or
baccalaureate degree requiring at least 48 semester units or the
equivalent, or that results in eligibility for transfer from a
community college to a baccalaureate degree program.
   (k) "Maximum household income and asset levels" means the
applicable household income and household asset levels for
participants in the Cal Grant Program, as defined and adopted in
regulations by the commission for the 2001-02 academic year, which
shall be set pursuant to the following income and asset ceiling
amounts:
         CAL GRANT PROGRAM INCOME CEILINGS


+--------------------+--------------+--------------+
|                        Cal Grant                 |
|                           A,                     |
|                        C, and T      Cal Grant B |
+--------------------+--------------+--------------+
|Dependent and Independent students with           |
|dependents*                                       |
+--------------------+--------------+--------------+
|Family Size                                       |
+--------------------+--------------+--------------+
|  Six or more             $74,100        $40,700  |
+--------------------+--------------+--------------+
|  Five                    $68,700        $37,700  |
+--------------------+--------------+--------------+
|  Four                    $64,100        $33,700  |
+--------------------+--------------+--------------+
|  Three                   $59,000        $30,300  |
+--------------------+--------------+--------------+
|  Two                     $57,600        $26,900  |
+--------------------+--------------+--------------+
|Independent                                       |
+--------------------+--------------+--------------+
|  Single, no              $23,500        $23,500  |
|dependents                                        |
+--------------------+--------------+--------------+
|  Married                 $26,900        $26,900  |
+--------------------+--------------+--------------+


   *Applies to independent students with dependents other than a
spouse.
          CAL GRANT PROGRAM ASSET CEILINGS


+----------------------+-------------+-------------+
|                         Cal Grant                |
|                             A,                   |
|                          C, and T    Cal Grant B |
+----------------------+-------------+-------------+
|Dependent**                $49,600       $49,600  |
+----------------------+-------------+-------------+
|Independent                $23,600       $23,600  |
+----------------------+-------------+-------------+


   **Applies to independent students with dependents other than a
spouse.
   The commission shall annually adjust the maximum household income
and asset levels based on the percentage change in the cost of living
within the meaning of paragraph (1) of subdivision (e) of Section 8
of Article XIII B of the California Constitution.  Any
  An  applicant who qualifies to be considered
under the simplified needs test established by federal law for
student assistance shall be presumed to meet the asset level test
under this section. Prior to disbursing any Cal Grant funds, a
qualifying institution shall be obligated, under the terms of its
institutional participation agreement with the commission, to resolve
any conflicts that may exist in the data the institution possesses
relating to that individual.
   (  l  )   (1)  "Qualifying institution"
means  an institution that complies with paragraph (2) and is
 any of the following: 
   (1) Any 
    (A)     A  California private or
independent postsecondary educational institution that participates
in the Pell Grant program and in at least two of the following
federal campus-based student aid programs: 
   (A) 
    (i)  Federal Work-Study. 
   (B) 
    (ii)  Perkins Loan Program. 
   (C) 
    (iii)  Supplemental Educational Opportunity Grant
Program. 
   (2) Any 
    (B)     A  nonprofit institution
headquartered and operating in California that certifies to the
commission that 10 percent of the institution's operating budget, as
demonstrated in an audited financial statement, is expended for the
purposes of institutionally funded student financial aid in the form
of grants, that demonstrates to the commission that it has the
administrative capacity to administer the funds, that is accredited
by the Western Association of Schools and Colleges, and that meets
any other state-required criteria adopted by regulation by the
commission in consultation with the Department of Finance. A
regionally accredited institution that was deemed qualified by the
commission to participate in the Cal Grant Program for the 2000-01
academic year shall retain its eligibility as long as it maintains
its existing accreditation status. 
   (3) Any 
    (C)     A  California public
postsecondary educational institution. 
   (2) (A) The institution shall annually publish license examination
passage rates for the most recent available year from graduates of
programs leading to employment for which passage of a state licensing
examination is required, if that data is available from a state
licensing agency. For purposes of this paragraph, "publish" may
exclusively include placement, on applications for enrollment or
other program information distributed to prospective students, of an
Internet Web site address labeled as an access point for data on
recent program graduates' license examination passage rates. 

   (B) The institution shall be responsible for certifying to the
commission compliance with the requirements of subparagraph (A).

   (m) "Satisfactory academic progress" means those criteria required
by applicable federal standards published in Title 34 of the Code of
Federal Regulations. The commission may adopt regulations defining
"satisfactory academic progress" in a manner that is consistent with
those federal standards. 
  SECTION 1.    Section 69432.7 of the Education
Code is amended to read:
   69432.7.  As used in this chapter, the following terms have the
following meanings:
   (a) An "academic year" is July 1 to June 30, inclusive. The
starting date of a session shall determine the academic year in which
it is included.
   (b) "Access costs" means living expenses and expenses for
transportation, supplies, and books.
   (c) "Award year" means one academic year, or the equivalent, of
attendance at a qualifying institution.
   (d) "College grade point average" and "community college grade
point average" mean a grade point average calculated on the basis of
all college work completed, except for nontransferable units and
courses not counted in the computation for admission to a California
public institution of higher education that grants a baccalaureate
degree.
   (e) "Commission" means the Student Aid Commission.
   (f) "Enrollment status" means part-time status or full-time
status.
   (1) "Part time," for purposes of Cal Grant eligibility, means 6 to
11 semester units, inclusive, or the equivalent.
   (2) "Full time," for purposes of Cal Grant eligibility, means 12
or more semester units or the equivalent.
   (g) "Expected family contribution," with respect to an applicant,
shall be determined using the federal methodology pursuant to
subdivision (a) of Section 69506 (as established by Title IV of the
federal Higher Education Act of 1965, as amended (20 U.S.C. Sec. 1070
et seq.)) and applicable rules and regulations adopted by the
commission.
   (h) "High school grade point average" means a grade point average
calculated on a 4.0 scale, using all academic coursework, for the
sophomore year, the summer following the sophomore year, the junior
year, and the summer following the junior year, excluding physical
education, reserve officer training corps (ROTC), and remedial
courses, and computed pursuant to regulations of the commission.
However, for high school graduates who apply after their senior year,
"high school grade point average" includes senior year coursework.
   (i) "Instructional program of not less than one academic year"
means a program of study that results in the award of an associate or
baccalaureate degree or certificate requiring at least 24 semester
units or the equivalent, or that results in eligibility for transfer
from a community college to a baccalaureate degree program.
   (j) "Instructional program of not less than two academic years"
means a program of study that results in the award of an associate or
baccalaureate degree requiring at least 48 semester units or the
equivalent, or that results in eligibility for transfer from a
community college to a baccalaureate degree program.
   (k) "Maximum household income and asset levels" means the
applicable household income and household asset levels for
participants in the Cal Grant Program, as defined and adopted in
regulations by the commission for the 2001-02 academic year, which
shall be set pursuant to the following income and asset ceiling
amounts:
         CAL GRANT PROGRAM INCOME CEILINGS


+----------------------------+---------+-----------+
|                                Cal               |
|                               Grant              |
|                                 A,               |
|                              C, and T Cal Grant B|
+----------------------------+---------+-----------+
|Dependent and                                     |
|Independent students with                         |
|dependents*                                       |
|Family Size                    $74,100    $40,700 |
|  Six or more                  $68,700    $37,700 |
|  Five                         $64,100    $33,700 |
|  Four                         $59,000    $30,300 |
|  Three                        $57,600    $26,900 |
|  Two                                             |
|Independent                                       |
|  Single, no dependents        $23,500    $23,500 |
|  Married                      $26,900    $26,900 |
+----------------------------+---------+-----------+


         CAL GRANT PROGRAM ASSET CEILINGS


+---------------------------+----------+-----------+
|                             Cal Grant            |
|                                A,                |
|                             C, and T  Cal Grant B|
+---------------------------+----------+-----------+
|Dependent**                    $49,600    $49,600 |
|Independent                    $23,600    $23,600 |
+---------------------------+----------+-----------+


   **Applies to independent students with dependents other than a
spouse.
   The commission shall annually adjust the maximum household income
and asset levels based on the percentage change in the cost of living
within the meaning of paragraph (1) of subdivision (e) of Section 8
of Article XIII B of the California Constitution. An applicant who
qualifies to be considered under the simplified needs test
established by federal law for student assistance shall be presumed
to meet the asset level test under this section. Prior to disbursing
any Cal Grant funds, a qualifying institution shall be obligated,
under the terms of its institutional participation agreement with the
commission, to resolve any conflicts that may exist in the data the
institution possesses relating to that individual.
   (l) (1) "Qualifying institution" means an institution that
complies with paragraph (2) and is any of the following:
   (A) A California private or independent postsecondary educational
institution that participates in the Pell Grant program and in at
least two of the following federal campus-based student aid programs:

   (i) Federal Work-Study.
   (ii) Perkins Loan Program.
   (iii) Supplemental Educational Opportunity Grant Program.
   (B) A nonprofit institution headquartered and operating in
California that certifies to the commission that 10 percent of the
institution's operating budget, as demonstrated in an audited
financial statement, is expended for the purposes of institutionally
funded student financial aid in the form of grants, that demonstrates
to the commission that it has the administrative capacity to
administer the funds, that is accredited by the Western Association
of Schools and Colleges, and that meets any other state-required
criteria adopted by regulation by the commission in consultation with
the Department of Finance. A regionally accredited institution that
was deemed qualified by the commission to participate in the Cal
Grant Program for the 2000-01 academic year shall retain its
eligibility as long as it maintains its existing accreditation
status.
   (C) A California public postsecondary educational institution.
   (2) The institution shall annually publish license examination
passage rates for the most recent available year from graduates of
programs leading to employment for which passage of a state licensing
examination is required, if that data is available from a state
licensing agency. For purposes of this paragraph, "publish" may
exclusively include placement, on applications for enrollment or
other program information distributed to prospective students, of an
Internet address labeled as an access point for data on recent
program graduates' license examination passage rates.
   (m) "Satisfactory academic progress" means those criteria required
by applicable federal standards published in Title 34 of the Code of
Federal Regulations. The commission may adopt regulations defining
"satisfactory academic progress" in a manner that is consistent with
those federal standards.