BILL ANALYSIS Ó AB 2478 Page 1 ASSEMBLY THIRD READING AB 2478 (Hayashi) As Amended May 25, 2012 Majority vote HIGHER EDUCATION 9-0 VETERANS AFFAIRS 8-0 ----------------------------------------------------------------- |Ayes:|Block, Olsen, Achadjian, |Ayes:|Cook, Pan, Atkins, Block, | | |Brownley, Fong, Galgiani, | |Gorell, Nielsen, | | |Lara, Miller, Portantino | |Williams, Yamada | | | | | | ----------------------------------------------------------------- APPROPRIATIONS 17-0 ----------------------------------------------------------------- |Ayes:|Fuentes, Harkey, | | | | |Blumenfield, Bradford, | | | | |Charles Calderon, Campos, | | | | |Davis, Donnelly, Gatto, | | | | |Ammiano, Hill, Lara, | | | | |Mitchell, Nielsen, Norby, | | | | |Solorio, Wagner | | | ----------------------------------------------------------------- SUMMARY : Extends resident classification for two years to California Community College (CCC) students who were stationed in California on active duty for more than one year immediately prior to being discharged, upon filing an affidavit with the community college stating their intent to establish residency as soon as possible. EXISTING LAW establishes uniform residency requirements for purposes of ascertaining the amount of fees to be paid by students at the University of California, the California State University, and CCC and establishes various exceptions to these residency requirements, including members of the Armed Forces who are stationed in California on active duty and their dependents. (Education Code Sections 68074 and 68075) FISCAL EFFECT : According to the Assembly Appropriations Committee, the difference between resident and non-resident fees at the CCC is $133 per unit. For a full-time student (30 units in an academic year) the additional fee revenue to the CCC is AB 2478 Page 2 $4,000. There are about 44,000 veterans currently enrolled in the community colleges. The Chancellor's Office does not know how many of these students are paying non-resident fees and could thus benefit from this bill. If only 0.5% percent of these students could benefit from this bill and pay the resident fees, and only half were full-time students with the remainder half-time students, the annual revenue loss to the CCC would be $650 million. Community college districts would also incur state reimbursable costs to administer this benefit. COMMENTS : Under existing law, veterans from other states are charged non-resident fees during their first year while they establish residency. The Post-GI Bill benefits fund a student's in-state tuition and fees for 36 months. Thus, this bill would provide a subsidy equaling the difference between the resident and non-resident fees at the student's college for two academic years. Analysis Prepared by : Sandra Fried / HIGHER ED. / (916) 319-3960 FN: 0003902