BILL ANALYSIS Ó `Senate Appropriations Committee Fiscal Summary Senator Christine Kehoe, Chair AB 1899 (Mitchell) - Postsecondary education benefits for crime victims. Amended: April 9, 2012 Policy Vote: Education 9-0 Urgency: No Mandate: Yes Hearing Date: August 16, 2012 Consultant: Jacqueline Wong-Hernandez SUSPENSE FILE. Bill Summary: AB 1899 grants students who are noncitizen victims of trafficking, domestic violence and other serious crimes, as defined under specified federal law, the same exemption from nonresident tuition and eligibility to apply for state and institutional financial aid programs at the California State University (CSU) and the California Community Colleges (CCC) as that extended to students granted refugee status, and requests the University of California (UC) to adopt similar policies. Fiscal Impact: CSU: The CSU has indicated that it does not expect to incur any significant administrative costs as a result of this legislation, because the number of affected students will likely be very small. UC: No costs; the UC Regents have taken action to adopt policies in compliance with this bill. CCC Mandate: This bill places a minor mandate on CCCs, but it is unlikely to be deemed reimbursable. If any mandated duties are deemed reimbursable, they will likely be minor. BOG fee waivers: Approximately $60,000 General Fund, annually. CalGrants: $43,000 General Fund for entitlement awards in 2013-14; $95,000 in 2014-15; $128,000 in 2015-16; and, $159,000 in 2016-17, and annually thereafter. Background: Federal and state laws govern the rights and, specifically, the education benefits afforded to noncitizens who fall into various categories, which the laws define. Refugees - Federal law defines a refugee as any person who is outside his/her country of residence or nationality, or without AB 1899 (Mitchell) Page 1 nationality, and is unable or unwilling to return to, and is unable or unwilling to avail himself/herself of the protection of, that country because of persecution or a well-founded fear of persecution on account of race, religion, nationality, membership in a social group, or political opinion. An individual granted refugee status is required by law to apply for a green card (permanent residence) in the United States within 1 year after being admitted as a refugee. Under federal law, a refugee may apply for and receive a Federal public benefit, including federal financial aid benefits. Nonimmigrants - Federal law defines specified classes of nonimmigrant aliens as distinct from refugees including, among others, the following nonimmigrant statuses: The T nonimmigrant status (also known as the T visa) provides immigration protection to victims of severe forms of human trafficking. The T visa also allows victims to remain in the United States (U.S.) and assist federal authorities in the investigation and prosecution of human trafficking cases. Those who have been granted T nonimmigrant status may file for a green card (permanent residence) after being physically present in the U.S. for at least 3 years since the first date of admission as a T-1 nonimmigrant as well as meeting other eligibility criteria. Under federal law, a T visa nonimmigrant granted this status is "qualified" to apply for and receive a federal public benefit. The U nonimmigrant status (also known as the U visa) is for victims of crimes who have suffered substantial mental or physical abuse as a result of the crime and who are willing to assist law enforcement and government officials in the investigation or prosecution of the criminal activity. Those who have been granted U nonimmigrant status may file for a green card (permanent residence) after being physically present in the U.S. for at least 3 years since the first date of admission as a U nonimmigrant. Although U visa nonimmigrants are legally present in the U.S., federal law does not recognize them as "qualified" as eligible for federal financial aid. AB 540 - Existing state law (established by AB 540, Chapter 814, AB 1899 (Mitchell) Page 2 Statutes of 2001) exempts specified California nonresidents from paying nonresident tuition at UC, CSU and the CCCs if they: 1) attended a California high school for 3 or more years; 2) graduated from a California high school or attained an equivalent degree; 3) registered or attended an accredited California higher education institution not before fall of the 2001-02 academic year; and 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 so do. Current law specifically excepts a "nonimmigrant" student, as defined under specified federal law, from the provisions established by AB 540. (Education Code § 68130.5) Financial Aid and Fees - Existing law establishes the Cal Grant program and specifies that, to be eligible to receive a Cal Grant award a student is required to be a citizen of the United States, or an eligible noncitizen, as defined for purposes of financial aid programs under Title IV of the federal Higher Education Act of 1965 (20 U.S.C. Secs. 1070 et seq). Existing law further establishes the requirements for determining residency for purposes of paying the lower-cost "in-state" student fees at the CCC, the CSU and the UC, which generally includes a demonstration that the student has resided in California for more than 1 year immediately preceding the residence determination date and undertaken other specified actions. (EC § 68017) Current law requires the Board of Governors (BOG) to charge each student a $46 per unit per semester fee. Current law exempts students who meet specified income requirements from the fee requirement. Proposed Law: AB 1899 authorizes students who are victims of trafficking, domestic violence, and other serious crimes and who have been granted T or U visas under federal law, to be exempt from paying nonresident tuition at the CSU and CCC, and to be eligible to participate in all student financial aid programs and scholarships administered by a public postsecondary educational institution or the State of California, to the same extent as individuals who are admitted to the U.S. as refugees. AB 1899 (Mitchell) Page 3 The bill would request the UC to adopt policies that are consistent with those provisions. The bill would also require the CCC to allow those students access to the Board of Governors (BOG) fee waiver to the same extent as individuals who are admitted to the U.S. as refugees. Staff Comments: Congress created the T and U nonimmigrant classifications with passage of the Victims of Trafficking and Violence Protection Act in October 2000. The legislation was intended to strengthen the ability of law enforcement agencies to investigate and prosecute cases of domestic violence, sexual assault, trafficking of persons and other crimes, particularly against immigrant crime victims, while at the same time offering protection to victims of such crimes. Individuals with T and U nonimmigrant status have a pathway to lawful permanent residence, and are generally eligible to apply for permanent resident status after 3 years. The UC, CSU, and the CCC do not know how many students at their respective segments have T or U visas. The National Immigration Law Center (NILC) estimates 75 to 100 students annually, based on the number of individuals granted T or U status nationally in 2011, the undocumented population, the number likely living in California, and the number of AB 540 students. The segments and the California Student Aid Commission (CSAC) have used the NILC's estimated population number to reach their cost estimates. If 100 students benefited annually from this bill, 85 would likely attend CCC, 10 at CSU, and 5 at UC. The UC is already in compliance with the bill, and the CSU has indicated that such a small number of students are unlikely to generate significant administrative workload or institutional aid costs. The primary costs of this bill will result from its impact on CCCs and CalGrants. BOG fee waivers - Assuming one-third of the 85 CCC students are full-time and the remainder are part-time, the General Fund cost to backfill the lost fee revenue resulting from these students' BOG fee waivers for one year (until they achieve residency status, and become eligible for the BOG fee waiver under current law) would be $60,000 annually for each new cohort of students. Staff notes that these same students are eligible for BOG waivers after waiting one year; this bill may add eligible AB 1899 (Mitchell) Page 4 students in the first year, but these students would have been eligible the following year anyway. CCC administration - This bill does mandate new activities for CCC campuses, in terms of verifying documents and working with students newly eligible for financial aid under this bill. The population is likely about 85 students spread over several of the 72 community college districts. It is unlikely that any increased activity would meet a minimum threshold to file a mandate claim. CalGrants - This bill makes T and U visa students eligible to receive CalGrants (state financial aid), and will likely result in a modest increase in awards granted. The CSAC, using similar assumptions about participation as above, estimates first-year General Fund costs of $43,000 for Cal Grant Entitlement awards, increasing to $95,000 in 2014-15, and $128,000 in 2015-16. These projections assume that each award is a maximum value award, and that the take rates for CalGrant renewals would be similar to other CalGrant recipients.