BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 130
                                                                  Page  1

          ASSEMBLY THIRD READING
          AB 130 (Cedillo) 
          As Amended  May 2, 2011
          Majority vote 

           HIGHER EDUCATION    6-3         APPROPRIATIONS      12-3        
           
           ----------------------------------------------------------------- 
          |Ayes:|Block, Brownley, Fong,    |Ayes:|Fuentes, Blumenfield,     |
          |     |Galgiani, Lara,           |     |Bradford, Charles         |
          |     |Portantino                |     |Calderon, Campos, Davis,  |
          |     |                          |     |Gatto, Hall, Hill, Lara,  |
          |     |                          |     |Mitchell, Solorio         |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Donnelly, Achadjian,      |Nays:|Harkey, Donnelly, Nielsen |
          |     |Miller                    |     |                          |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Enacts the California Dream Act of 2011, which, 
          effective January 1, 2012, makes a student who is eligible for 
          the exemption from nonresident tuition created by specified 
          provisions of law ƯAB 540 (Firebaugh), Chapter 814, Statutes of 
          2001] eligible to receive a scholarship, derived from nonstate 
          funds, received for the purpose of scholarships by the 
          California public postsecondary institution they are attending.  
          Provides that in any action in which the court finds the 
          provisions of this bill or any similar provision adopted by the 
          Regents of the University of California (UC), is unlawful, the 
          California Community Colleges (CCC), the California State 
          University (CSU), and UC are immune from the imposition of any 
          award of money damages, tuition refund or waiver, or other 
          retroactive relief.  

           EXISTING LAW  :  Exempts specified California nonresidents from 
          paying nonresident tuition at the UC, the CSU, and the CCC, also 
          known as the AB 540 nonresident tuition waiver, 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 
            equivalent degree.

          3)Registered or attended an accredited California higher 








                                                                  AB 130
                                                                  Page  2

            education institution beginning after fall of the 2001-02 
            academic year.

          4)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.

           FISCAL EFFECT :  No direct state costs.  This bill could result 
          in a reallocation of any available scholarship monies by the 
          public universities.

           COMMENTS  :  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 are ineligible 
          for state-administered or campus-based financial aid programs.  
          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.    

          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. 
           This bill makes AB 540 students eligible for scholarships 
          derived from nonstate funds that the campuses receive for 
          scholarships.

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


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