BILL ANALYSIS                                                                                                                                                                                                    



                                                               AB 2297
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       CONCURRENCE IN SENATE AMENDMENTS
       AB 2297 (Brownley)
       As Amended  July 1, 2010
       Majority vote
        
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       |ASSEMBLY:  |68-8 |(May 3, 2010)   |SENATE: |30-1 |(August 18, 2010)    |
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        Original Committee Reference:    HIGHER ED.  

        SUMMARY  :  Allows the governing board of a California Community College  
       (CCC) to use an alternative method for calculating nonresident fee  
       amounts that would allow nonresident fees to be set at an amount  
       comparable to that of other states.

        The Senate amendments  :

       1)Provide that additional revenue generated by the increase in  
         nonresident tuition shall be used to expand and enhance services to  
         resident students and that the admission of nonresident students  
         shall not come at the expense of resident enrollment.

       2)Require the CCC Chancellor's Office (CCCCO) to make available to the  
         Legislative Analyst's Office (LAO) specified data regarding  
         nonresident student attendance and tuition rates.

       3)Require the LAO to include, in the annual Governor's budget analysis,  
         a summary of the data made available to the LAO by the CCCCO as well  
         as an analysis of the degree to which CCCs have complied with the  
         aforementioned requirements.
        
       EXISTING LAW  requires CCC district governing boards to adopt  
       nonresident student fees, with exceptions.  Establishes a number of  
       requirements for CCC districts nonresident student fees amounts  
       including that nonresident fee increases be gradual, moderate, and  
       predictable and that one of four outlined calculation methods be used  
       in establishing nonresident fee amounts.

        AS PASSED BY THE ASSEMBLY  , this bill allowed the governing board of a  
       California Community College (CCC) to use an alternative method for  
       calculating nonresident fee amounts that would allow nonresident fees  
       to be set at an amount comparable to that of other states.

        FISCAL EFFECT  :  According to the Assembly Appropriations Committee, use  
       of the alternative methodology provided in this bill would allow CCC  







                                                               AB 2297
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       districts considerable flexibility to increase nonresident fees and  
       could result in additional fee revenues in the tens of millions of  
       dollars to CCC districts. 

        COMMENTS  :  Public colleges and universities throughout the country have  
       additional charges for out-of-state students as a way to ensure  
       residents do not assume the financial burden of educating students  
       whose presence in the state is not intended to be permanent and who did  
       not pay taxes to support the public higher education systems.  In  
       2009-10, the statewide average CCC nonresident fee was $190 per  
       semester unit.  According to data published by the Missouri Economic  
       Research & Information Center and the Washington Higher Education  
       Coordinating Board, community college nonresident student tuition and  
       fees in the 12 states most comparable to California in cost-of-living  
       averages about $310 per credit.  According to the author, this bill  
       would give CCCs greater authority to charge nonresidents a fee that  
       could be used to increase the quality of education.  

        Analysis Prepared by  :     Laura Metune / HIGHER ED. / (916) 319-  
       3960FN:  0005395