BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 130
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          Date of Hearing:   March 15, 2011

                       ASSEMBLY COMMITTEE ON HIGHER EDUCATION
                                 Marty Block, Chair
                    AB 130 (Cedillo) - As Amended:  March 8, 2011
           
          SUBJECT  :   Student financial aid: eligibility: California Dream 
          Act of 2011

           SUMMARY  :   Enacts the California Dream Act of 2011, which 
          expands the exemption from nonresident tuition created by 
          specified provisions of law �AB 540 (Firebaugh), Chapter 814, 
          Statutes of 2001] to graduates of adult education and technical 
          schools, provided the individual spent at least one year in a 
          California high school, and allows AB 540 students to receive 
          scholarships that are derived from nonstate funds, as specified. 
           Specifically,  this bill  :   

          1)Enacts the California Dream Act of 2011 and states legislative 
            intent that all students who are exempt from nonresident 
            tuition pursuant to the provisions of AB 540 who are deemed to 
            be in financial need shall be eligible for all financial aid 
            and that increased access to financial aid for all students in 
            California's universities and colleges increases the state's 
            collective productivity and economic growth.

          2)Expands the AB 540 exemption to include attendance and 
            graduation from California technical and adult schools, 
            provided the student attended a California high school for at 
            least one year, beginning July 1, 2012. 

          3)Makes AB 540 students eligible to receive a scholarship that 
            is derived from nonstate funds received for the purpose of 
            scholarships, beginning January 1, 2012.

          4)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.

           EXISTING LAW  :  

          1)Exempts specified California nonresidents from paying 
            nonresident tuition at UC, CSU, and CCC, also known as the AB 
            540 nonresident tuition waiver, if they meet all of the 
            following:








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             a)   Attended a California high school for three or more 
               years;

             b)   Graduated from a California high school or attained an 
               equivalent degree; 

             c)   Registered or attended an accredited California higher 
               education institution beginning after fall of the 2001-02 
               academic year; and,

             d)   If an alien without lawful immigration status, have 
               filed an affidavit stating that the student has filed an 
               application to legalize his or her immigration status or 
               will file such an application as soon as he or she is 
               eligible to so do.

          2)Designates secondary schools as high schools, technical 
            schools, and adult schools.

           FISCAL EFFECT  :   Unknown.  

           COMMENTS  :    Background  :  Students who are eligible for resident 
          tuition under the provisions of AB 540 are typically persons 
          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.  According to the 
          segments, in 2009-10, AB 540 students were a small fraction of 
          enrollment at all three systems, as follows: 1,941 at UC (of 
          these 32% were undocumented immigrants); 3,633 at CSU; and 
          38,203 at CCC.  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 than they do at 
          UC.  In 2010-11, nonresident undergraduate student tuition 
          amounted to approximately $22,879 at UC, $10,000 at CSU, and 
          $4,800 at CCC per year.  

           Adding adult schools  :  Current law defines a secondary school as 
          a high school, adult school or technical school.  Since AB 540 
          considers only high school attendance in order to qualify for 
          the nonresident tuition waiver, high school students who combine 
          high school attendance with attendance at an adult or technical 
          school may jeopardize their eligibility for the nonresident 
          tuition exemption if their attendance at the high school is for 








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          less than three years.  This bill addresses this situation by 
          allowing two of the three years of required attendance to be at 
          an adult or technical school, provided the student attends a 
          California high school for one year.  

           Scholarships funded by private sources  :  This bill also includes 
          a provision that would make AB 540 students eligible for 
          scholarships derived from nonstate funds that the campuses 
          receive for scholarships.  According to UC, it cannot award its 
          own funds to undocumented students, whether they are derived 
          from private gifts to the university, tuition revenue, or any 
          other source.  Thus, when donors want to help these students, 
          campuses must refer the donor to external organizations that 
          help undocumented students.  

           Technical amendment  :  The amendments dated March 8, 2011, 
          removed Section 66021.6 from the bill; however, this section is 
          added to Section 68130.7.  Staff recommends this reference be 
          deleted from Section 68130.7.

           Related legislation  :  Two related measures are scheduled to be 
          heard by this Committee on March 15, 2011: AB 131 (Cedillo) of 
          2011 would make AB 540 students eligible for specified 
          state-administered financial aid programs, and AB 63 (Donnelly) 
          would prohibit undocumented students from qualifying for 
          resident tuition under the provisions of AB 540.
           
          REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          American Civil Liberties Union
          American Federation of State, County and Municipal Employees
          California Catholic Conference
          California Communities United Institute
          California Federation of Teachers
          California Immigrant Policy Center
          California Teachers Association
          Community College League of California
          Equality California
          Faculty Association of the California Community Colleges
          Hispanic Association of Colleges and Universities
          Peralta Community College District
          Service Employees International Union, California
          University of California








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           Opposition 
           
          Concerned Women for American of California
           

          Analysis Prepared by  :    Sandra Fried / HIGHER ED. / (916) 
          319-3960