BILL ANALYSIS                                                                                                                                                                                                    

                                                                  AB 2086
                                                                  Page  1

          Date of Hearing:   April 20, 2010

                                 Marty Block, Chair
                     AB 2086 (Coto) - As Amended:  April 7, 2010
          SUBJECT  :   Public postsecondary education: federal assistance:  
          publication of professional licensure examination passage rates.

           SUMMARY  :  Would require each institution of higher education  
          that participates in the Cal-Grant Program to annually publish  
          license examination passage rates from graduates of programs  
          leading to employment for which passage of a licensing  
          examination is required, if the data is available from the  
          licensing agency; and establishes that "publish" may exclusively  
          include placement of an internet address linking to the data on  
          applications for enrollment or other program information  
          distributed to students.    

           EXISTING LAW  provides that, for qualification in the Cal-Grant  
          Program, an institution must be one of the following:

          1)A California private or independent postsecondary educational  
            institution that participates in the Pell Grant program and at  
            least two of the following:

             a)   Federal Work-Study.

             b)   Perkins Loan Program.

             c)   Supplemental Educational Opportunity Grant Program.

          2)A nonprofit institution headquartered and operating in  
            California that:

             a)   Certifies to the California Student Aid Commission  
               (CSAC) that 10% of the institution's operating budget is  
               expended for institutionally funded student financial aid; 

             b)   Is accredited by the Western Association of Schools and  
               Colleges or is regionally accredited and was deemed  
               qualified by CSAC for the 2000-01 academic year; and

             c)   Meets any other state-required criteria adopted by  
               regulation by CSAC in consultation with the Department of  


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          3)A California public postsecondary educational institution.

           FISCAL EFFECT  :  Unknown

           COMMENTS  :   Purpose of this bill  :  According to the author,  
          students, parents, taxpayers, policymakers, and employers should  
          know if the higher education institutions and programs they  
          attend, support, and/or finance are effective in terms of  
          student learning and imparting the skills necessary to be  
          successful in the workplace.  This bill ensures that one measure  
          of the effectiveness of postsecondary programs, the passage  
          rates for professional licensure examinations, is made publicly  
          available by the institutions.  

           Current reporting requirements and data collection  :  

          1)Integrated Postsecondary Education Data System (IPEDS)  :  The  
            Federal Higher Education Act requires institutions that  
            participate in Federal Title IV student aid programs to report  
            to IPEDS data on enrollments, program completions, graduation  
            rates, faculty and staff, finances, institutional prices, and  
            student financial aid.  The data is made available to students  
            and parents through the College Navigator college search Web  
            site and to researchers and others through the IPEDS Data  

           2)California Postsecondary Education Commission (CPEC)  :  CPEC  
            collects a variety of data about higher education in  
            California.  CPEC receives data from the California Department  
            of Education, which provides K-12 student data; IPEDS, which  
            provides comparative data for public and private postsecondary  
            institutions that participate in federal financial aid  
            programs; the state's public higher education systems, which  
            provide unitary enrollment and completion data; and other  
            sources.  The data are then made available to the public on  
            CPEC's Web site.  
          3)Bureau for Private Postsecondary Education (BPPE)  :  Pursuant  
            to AB 48 (Portantino), Chapter 310, Statutes of 2009, all  
            private postsecondary institutions covered by the Private  
            Postsecondary Education Act of 2009 are required to provide  
            prospective students, on a School Performance Fact Sheet and  
            to the BPPE in an annual report, completion rates, placement  


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            rates, license examination passage rates, and salary and wage  
            information.  BPPE is required to make the information  
            publicly available on its web site by June 30, 2010.  

           Licensing entities that publish data  :  This bill provides that  
          the data disclosure requirement is contingent upon the licensing  
          entity publishing that data.  It is unclear the degree to which  
          this requirement would ensure data is made available to students  
          and the public, as it does not appear that many licensing  
          entities currently disclose licensure examination passage rates  
          based on school of graduation.  Committee staff is aware,  
          however, that the Board of Registered Nursing (BRN) publishes a  
          table, categorizes by academic year and school of graduation, of  
          the results of graduates who have taken the NCLEX examination.  

           Oversight and enforcement  :  Under existing law, CSAC verifies  
          institutional eligibility for the Cal Grant Program.   
          Institutions that participate in Federal Title IV financial aid  
          programs are required to provide evidence of participation.   
          Institutions that do not participate in Title IV but meet the  
          outlined requirements for Cal Grant Program participation are  
          required to complete various questionnaires designed to verify  
          eligibility.  Implicit in this bill is that CSAC would verify  
          schools are making the required data disclosure.  The author and  
          committee should consider if CSAC currently has the resources  
          and expertise to identify programs that lead to licensure,  
          identify the licensing entities that collect and report  
          examination passage data, and verify that institutions are  
          making the required data disclosure.  Committee staff recommends  
          the bill be amended to provide that institutions self-certify  
          compliance with the data disclosure requirement to CSAC. 

          Ed Voice (sponsor)

          None on File
          Analysis Prepared by  :    Laura Metune / HIGHER ED. / (916)