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         
           
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          |Ayes:|Block, Olsen, Achadjian,  |Ayes:|Cook, Pan, Atkins, Block, |
          |     |Brownley, Fong, Galgiani, |     |Gorell, Nielsen,          |
          |     |Lara, Miller, Portantino  |     |Williams, Yamada          |
          |     |                          |     |                          |
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           APPROPRIATIONS      17-0                                        
           
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          |Ayes:|Fuentes, Harkey,          |     |                          |
          |     |Blumenfield, Bradford,    |     |                          |
          |     |Charles Calderon, Campos, |     |                          |
          |     |Davis, Donnelly, Gatto,   |     |                          |
          |     |Ammiano, Hill, Lara,      |     |                          |
          |     |Mitchell, Nielsen, Norby, |     |                          |
          |     |Solorio, Wagner           |     |                          |
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          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
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          $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 

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