BILL ANALYSIS                                                                                                                                                                                                    Ó




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                          AB 636 (Knight)
          
          Hearing Date: 8/15/2011         Amended: 7/12/2011
          Consultant: Maureen Ortiz       Policy Vote: VA: 7-0  ED: 10-0
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          BILL SUMMARY:  AB 636 requires any public or private 
          postsecondary educational institution to refund 100% of the 
          tuition and fees paid if the student is called to active 
          military duty.
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                            Fiscal Impact (in thousands)

           Major Provisions         2011-12      2012-13      2013-14     Fund
           
          Tuition refund:
                  CSU                                       ----unknown, 
          not significant----                   General
                  Community Colleges             ----likely less than $15 
          annually----             General*                           
          *Costs count toward meeting the Prop. 98 goals.
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          STAFF COMMENTS: 
          
          The exact costs will be determined by the number of students who 
          are called to active military service while in the midst of an 
          academic term, and after the withdraw date specified by the 
          institution.  However, during FY 2008-09 the CCC showed a total 
          of 321 military withdrawals statewide resulting in refunds of 
          about $26,000.  Although AB 636 will require the refunding of 
          additional tuition fees, it is not expected to result in a 
          significant impact.  According to the California State 
          University, the instance of refunding tuition is not common and 
          the expansion in this bill will not result in significant new 
          costs. The University of California indicates that this bill 
          only codifies current practice and does not expect any 
          additional costs.

          Current law, the California Military Families Financial Relief 
          Act of 2005 (and expanded by SB 1075, Chapter 284, Statutes of 








          AB 636 (Knight)
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          2010), grants the following provisions for any student who is 
          granted an academic leave of absence for military service:

          a)  The educational institution must make arrangements to 
          reasonably accommodate and assist the student to complete 
          coursework requirements missed due to military service.

          b)  Credit 100% of the tuition and fee charges toward a 
          subsequent academic term in which the student is required to 
          report for military services.

          c)  Refund 100% percent tuition and fees paid for the academic 
          term provided the student withdraws before the withdraw date 
          established by the institution.

          d)  Restore the student to the educational status the student 
          had attained prior to being called to military service without 
          loss of academic credits earned, scholarships or grants awarded, 
          or tuition or fees paid prior to the commencement of military 
          service.

          AB 636 will further require the refund of tuition and fees, 
          regardless of whether the student is called to military service 
          before the academic term had commenced or after the term had 
          begun.