BILL ANALYSIS
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|SENATE RULES COMMITTEE | SB 1460|
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UNFINISHED BUSINESS
Bill No: SB 1460
Author: Cedillo (D), et al
Amended: 8/20/10
Vote: 21
SENATE EDUCATION COMMITTEE : 6-2, 4/14/10
AYES: Romero, Alquist, Hancock, Liu, Price, Simitian
NOES: Huff, Wyland
NO VOTE RECORDED: Maldonado
SENATE APPROPRIATIONS COMMITTEE : 7-3, 5/27/10
AYES: Kehoe, Alquist, Corbett, Leno, Price, Wolk, Yee
NOES: Denham, Walters, Wyland
NO VOTE RECORDED: Cox
SENATE FLOOR : 24-9, 6/3/10
AYES: Alquist, Calderon, Cedillo, Corbett, Correa,
DeSaulnier, Ducheny, Florez, Hancock, Kehoe, Leno, Liu,
Lowenthal, Negrete McLeod, Oropeza, Padilla, Pavley,
Price, Romero, Simitian, Steinberg, Wolk, Wright, Yee
NOES: Ashburn, Cogdill, Denham, Dutton, Huff, Runner,
Strickland, Walters, Wyland
NO VOTE RECORDED: Aanestad, Cox, Harman, Hollingsworth,
Wiggins, Vacancy, Vacancy
ASSEMBLY FLOOR : Not available
SUBJECT : California Dream Act of 2010
SOURCE : Author
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DIGEST : This bill (1) establishes, beginning July 1,
2011, the California Dream Act for the purposes of
expanding eligibility for state-administered financial aid
to students exempted from paying nonresident tuition
through specified provisions of law and (2) extends the
nonresident tuition exemption to graduates of adult
education and technical schools, provided the individual
spent at least one year in a California high school.
Assembly Amendments (1) delete provision allowing AB 540
students to apply for and participate in any state
administered financial aid program to the full extent
permitted by federal law, (2) prohibit the number of
financial aid awards received by California resident
students from financial aid programs administered by the
segments from being diminished as a result of the
application of the requirement regarding establishment of
procedures and forms to enable AB 540 students to apply for
and participate in student aid programs, and (3) provide
specified legal protections to the University of
California, the California State University and the
California Community Colleges if a state court finds this
bill or any similar regulation unlawful.
ANALYSIS : Current law provides for a variety of student
financial aid programs including the Cal Grant programs,
the Community College Board of Governors fee waiver, a
variety of systemwide and/or campus-specific grant and/or
loan programs and other state administered financial aid
programs. Participation in these programs is, among other
criteria, typically limited to California residents.
Current law, established by AB 540 (Firebaugh), Chapter
814, Statutes of 2001, exempts specified California
nonresidents from paying nonresident tuition at the
University of California (UC), California State University
(CSU) and the California Community Colleges (CCC) if they
meet all of the following:
1.Attended a California high school for three or more
years.
2.Graduated from a California high school or attained an
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equivalent degree.
3.Registered or attended an accredited California higher
education institution not before fall of the 2001-02
academic year.
4.Filed an affidavit, if an alien without lawful
immigration status, stating that the student has filed an
application to legalize their immigration status or will
file such an application as soon as they are eligible to
do so.
In general, these students are not currently eligible for
federal, state and/or campus-based financial aid.
Current law also designates secondary schools as high
schools, technical schools, and adult schools.
This bill establishes, beginning January 1, 2011, the
California Dream Act of 2010. Specifically, this bill:
1.Requests the Regents of the UC and requires the Trustees
of the CSU and the Board of Governors of the CCC,
beginning July 1, 2011, to establish procedures and forms
to enable AB 540 students to apply for and participate in
all student aid programs administered by these segments,
to the full extent permitted by federal law, as provided.
2.Specifies that the number of financial aid awards
received by California resident students from financial
programs administered by the segments shall not be
diminished as a result of the application of #1 above.
3.Provides, beginning January 1, 2011, a student attending
the CSU, the CCC, or the UC, who is exempt from paying
nonresident tuition, to be eligible to receive a
scholarship that is derived from nonstate funds received,
for the purpose of scholarships.
4.Repeals, on July 1, 2011, the existing exemption, from
non-resident tuition to include students who have
attended, for three or more years, and graduated from,
secondary school in California, and persons attending and
graduating from California technical schools and adult
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schools.
5.Expands, beginning July 1, 2011, the exemption from
non-resident tuition to include students who have
attended, for three or more years, at least one of which
shall be in a high school, and graduated from, secondary
school in California, and persons attending and
graduating from California technical schools and adult
schools.
6.Provides specified legal protections to UC, CSU and CCC
if a state court finds this bill or any similar
regulation unlawful.
7.Finds and declares that this bill is a state law within
the meaning of subsection (d) of Section 1621 of Title 8
of the United States Code.
Comments
This bill is an effort to expand the availability of
financial aid to those UC, SCU, and CCC students eligible
for nonresident tuition status under AB 540. These
students are typically aliens without lawful immigration
status or United States citizens or Permanent Residents who
are residents of another state and would be ineligible for
state-administered or campus-based financial aid programs
without the provisions of AB 540.
Federal law prohibits undocumented students from receiving
any aid from the federal government, such as Pell grants
and federal student loans, and prevents states from
offering public benefits to undocumented students unless
the state passes a statute expressly qualifying
undocumented students for such benefits.
Students who receive a waiver of non-resident tuition at
UC, CSU, and CCC still face significant costs, including
resident fees, books, supplies, food, rent, transportation,
and other miscellaneous items. The California Student Aid
Commission estimates the nine-month cost of education in
2010-11 for California students living off-campus to be
$16,497, in addition to system wide and campus fees.
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According to the segments, AB 540 students make up less
than one percent of enrollment at all three systems, as
follows: UC enrolled 1,941 students (3/10 percent of the
student body and 68 percent of the AB 540 students were
U.S. citizens or "documented" immigrants); CSU enrolled
3,633 Ab 540 students (less than one percent of the student
body); and CCC enrolled 34,057 AB 540 students (lees than
one percent of the student body). CSU and CCC do not
identify the immigration status of AB 540 students but
believe that undocumented students make up a larger
proportion of these students then they do at UC.
California high school graduates who have been accepted to
our premier public colleges and universities may not be
recognized as state residents and may be ineligible for
state financial aid. These students confront a difficult
challenge in financing their college education because they
are ineligible for any federal grants or loans and are
unable to legally work. Additionally, according to the
author's office, an undocumented student could compromise
their future application for legalization if he/she submits
a Federal Application for Student aid (FAFSA). The
California Dream Act allows the state to fund its neediest
students while awaiting legalization by requiring the
creation of procedures to apply for financial assistance
without the use of the FAFSA.
The majority of student financial aid is provided through
either federal or state administered programs (e.g., Pell
grants which is a federal program or Cal Grants which is a
state program). However, in addition to this aid,
individual campuses also directly administer some financial
aid programs including specialized grants, loans and work
study as well as aid derived from student fees (typically
20 percent to 30 percent of student fee revenue is set
aside for institutional financial aid at UC and CSU. This
bill makes AB 540 students eligible for Cal Grants,
institutional aid at the UC and CSU, Board of Governors fee
waivers at the community colleges, and any other state
administered program.
Prior Legislation
SB 160 (Cedillo), 2005-06 Session, was substantively
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similar to this bill. SB 160 passed the Senate with a vote
of 24-15 on 8/31/05 and was vetoed by the Governor.
SB 1 (Cedillo), 2007-08 Session, was almost identical to
this bill. SB 1 passed the Senate with a vote of 24-15 on
9/12/07 and was vetoed by the Governor.
SB 1301 (Cedillo), 2007-08 Session, was almost identical to
this bill. SB 1301 passed the Senate with a vote of 23-13
on 5/12/08 and was also vetoed by the Governor. In his
veto message, the Governor stated "I share the author's
goal of making affordable education available to all
California students, but given the precarious fiscal
condition the state faces at this time, it would not be
prudent to place additional demands on our limited
financial aid resources as specified in this bill. For
this reason, I am unable to sign this bill."
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
Fiscal Impact (in thousands)
Major Provisions 2010-11 2011-12
2012-13 Fund
Cal Grants
$38,000 $38,000 General
CCC fee waivers $2,350 $ 4,700
$ 4,700 General*
UC aid $ 900
$1,800 $1,800 General*
CSU aid $1,300 $2,600
$2,600 General**
*Counts toward meeting the Proposition 98 minimum funding
guarantee.
**Combination of General Fund support and fee revenue
SUPPORT : (Verified 8/26/10)
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American Civil Liberties Union
Board of Directors of the California Community College
League
California Catholic Conference, Inc.
California Communities United Institute
California Federation of Teachers
California Postsecondary Education Commission
California State University
California Teachers Association
Chief Executive Officers of the California Community
College League
Hispanic Association of Colleges and Universities
Los Angeles Community College District
Los Angeles Unified School District
Rio Hondo Community College District
San Jose-Evergreen Community College District
University of California Student Association
OPPOSITION : (Verified 8/26/10)
California Concerned Women for America
Howard Jarvis Taxpayers Association
ARGUMENTS IN SUPPORT : Proponents argue that this bill
promotes economic development in our state by encouraging
these students to pursue a higher education and become part
of the educated workforce, thus improving the life of all
Californians. Additionally, many of these students are
outstanding, motivated individuals, who face insurmountable
economic and educational challenges as they strive to reach
their education goals and their accomplishments should not
be disregarded or their future jeopardized because of their
legal status.
ARGUMENTS IN OPPOSITION : Opponents argue that the state
has limited funds available to provide financial aid, that
this bill encourages illegal immigration, and that
increasing financial aid benefits will place greater
burdens on California taxpayers when California is facing a
$20 billion structural budget deficit.
CPM:cm 8/26/10 Senate Floor Analyses
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SUPPORT/OPPOSITION: SEE ABOVE
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