BILL ANALYSIS �
AB 955
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Date of Hearing: April 9, 2013
ASSEMBLY COMMITTEE ON HIGHER EDUCATION
Das Williams, Chair
AB 955 (Williams) - As Amended: April 2, 2013
SUBJECT : Community colleges: intersession extension programs.
SUMMARY : Authorizes California Community College (CCC)
districts to offer self-supporting extension programs during
summer and winter intersessions, provided the CCC districts has
been at enrollment capacity for the prior two years.
Specifically, this bill :
1)States that California must graduate more students with
postsecondary education training in order to meet its
workforce needs, yet significant budget cuts to the CCC over
the past five years have resulted in decreased access to
courses necessary to transfer to a four-year institution or
obtain a degree or certificate.
2)Authorizes the governing board of any CCC district to offer an
extension program, without the approval of the CCC Board of
Governors, that meets the following requirements:
a) Limits extension offerings to summer and winter
intersessions.
b) Requires a district to have served a number of students
equal to or beyond its funding limit for the two
immediately prior academic years, as provided in the annual
Budget Act and reported by the CCC Office of the
Chancellor.
c) Requires the program to be self-supporting, and that all
associated costs for the program be recovered and prohibits
a governing board from expending any general fund moneys to
establish and maintain these courses.
d) Requires that enrollment be open to the public.
e) Limits extension offerings to courses leading to
certificates, degrees or transfer preparation.
f) Requires that degree credit courses offered meet all
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requirements, standards, and criteria for courses under
Title 5 of the California Code of Regulations, as
specified.
g) Subjects the extension program to collective bargaining
agreements.
h) Prohibits these courses from supplanting state-funded
courses and prohibits the reduction of state-funded course
sections or the transfer to extension of course sections
for basic skills, workforce training, or transfer goals.
Requires the governing board of a CCC district to annually
certify compliance with this subdivision by board action
taken at a regular session of the governing board.
Fees and Financial Aid
3)Authorizes a governing board to establish fees necessary to
fund the course and based upon the district's nonresident fee
rate for the year the course is offered.
4)Defines actual costs to include cost of instruction, necessary
equipment and supplies, student services and institutional
support and other costs used to calculate nonresident tuition.
5)Requires each CCC district maintaining an extension program to
encourage broad participation in these programs and support
access for students eligible for Board of Governors fee
waivers, including but not limited to, providing students with
information about financial aid programs, the American
Opportunity Tax Credit, military benefits, scholarships, and
other financial assistance that may be available to students,
as well as working with campus foundations to provide
financial assistance for students attending extension
programs.
Oversight
6)Requires each participating district to annually collect
student information, as specified, and conduct an analysis of
the program effects on district workload and financial status,
and to submit this information to the CCC Chancellor's Office
by October 1 annually.
7)Requires the CCC Chancellor to submit all district information
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to the Legislative Analyst's Office (LAO) by November 1 of
each year and the LAO to submit a report to the Legislature by
January 1, 2017 that:
a) Summarizes the information received from districts.
b) Assesses the extent of compliance with legislative
intent.
c) Makes suggestions for statutory improvements.
EXISTING LAW :
1)Establishes CCC as a part of public higher education. Current
law establishes and differentiates the goals, missions and
functions of California's public segments of higher education.
(Education Code � 66010)
2)Provides that CCC's primary missions are to offer academic and
vocational education at the lower division level for both
recent high school graduates and those returning to school.
Another primary mission is to advance California's economic
growth and global competitiveness through education, training,
and services that contribute to continuous workforce
improvement. In addition, current law provides that essential
and important functions of the colleges include: basic skills
instruction, providing English as a second language, adult
noncredit instruction, and providing support services that
help students to succeed at the postsecondary level. (EC �
66010.4)
3)Requires the governing board of a CCC district to admit any
California resident (and authorizes them to admit any
nonresident) possessing a high school diploma or the
equivalent and authorizes the board to admit anyone who is
capable of profiting from the instruction offered, as
specified. (EC � 76000)
4)Requires that CCC students be charged a per unit fee and
statutorily prescribes the fee level through the annual Budget
process, except students enrolled in noncredit courses and in
credit contract education courses, as specified, and
California State University (CSU) and University of California
(UC) students enrolled in CCC remedial classes, as specified,
and provides for the waiver of these fees for students who
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have financial need or meet other specified criteria. (EC �
76300)
5)Requires the governing board of each CCC district to establish
its nonresident tuition fee for the succeeding fiscal year by
February 1 of each year based on a variety of factors. (EC �
76140)
FISCAL EFFECT : Unknown
COMMENTS : Need for the bill . According to the author,
numerous researchers have raised concerns about California's
ability to meet its workforce needs to sustain its economy.
Experts estimate that California will need 3.5 million
additional degrees in the next decade just to keep pace. The
CCC is the key to meeting this need and providing opportunity
for most Californians to achieve their educational and
professional goals. Yet, recent budget shortfalls have resulted
in the worst cuts to the system in recent memory-reductions that
are unlikely to be completely restored in the near future. This
bill would allow colleges to offer courses leading to transfer
or a degree or certificate during intersessions. Since most
campuses have eliminated programs, extension offerings give
students an opportunity to take the courses they are not able to
get during the state-supported regular session to accelerate the
completion of their goals. And by providing additional
opportunities for students to complete high-demand courses, this
should free up space in the companion state-supported courses
offered during the regular session, increasing all students'
ability to complete their education in a timely manner.
Participation in these programs is completely voluntary-it is up
to the districts to offer extension programs, and it is the
student's decision to take them.
Impact of budget cuts on CCC . Funding for CCC has been cut $809
million, or 12%, over the past three years. According to a
March 2013 report by the Public Policy Institute of California
(PPIC), course offerings have declined from 420,000 to 334,000
since 2008-86,000 or 21% of course offerings-and most were
credit courses necessary to transfer or obtain a degree or
certificate. PPIC estimates that since 2008, 600,000 students
have not been able to enroll in classes, and another 500,000
students were on waiting lists for Fall 2012 courses.
Reduced summer session offerings . Budget cuts resulted in
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reductions in a higher proportion of summer course sections than
in either Fall or Spring terms, suggesting that many colleges
tackled budget cuts by prioritizing course offerings in the
primary Fall and Spring academic terms. PPIC notes that
reductions in summer offerings may slow the completion rates for
some students, as well as reduce the earnings for some faculty
and staff who previously relied on summer income.
Differential fee precedent and access . CCC is intended to
provide open access to all Californians, offering low fees and
generous aid. While this bill allows extension courses only
during intersessions when they will not compete with
state-supported programs, it does create a precedent at CCC of
providing courses for those willing to pay higher fees. These
fees will be based on nonresident tuition, which varies by
district but averages around $200 per unit (state-funded courses
are $46 per unit).
Who could benefit ? The author notes that the lack of courses
during intersessions impacts veterans, who must be enrolled in
courses to access benefits to which they are entitled through
the Post 9/11 GI Bill. The GI Bill covers a student's tuition,
as well as housing and other expenses. However, a student must
be enrolled in a course to access the housing benefit. Thus,
when veterans attend a college that does not offer courses in
the summer or winter, they do not receive the housing stipend,
upon which many veterans depend. The availability of extension
courses may also help students who wish to make progress toward
their goals during the intersession, particularly those students
who need only a course or two to complete but have been crowded
out of those courses. Finally, the author notes that the lack
of community college course offerings in workforce preparation
fields has led many students to enroll in for-profit
institutions, which are much more expensive than community
colleges and often require students to incur significant loan
debt.
Who may not ? Cal Grants and CCC Board of Governors (BOG) fee
waivers would not cover fees for extension programs, affecting
low income students. Students could use any remaining Pell
grants to cover these fees, which would also qualify for
reimbursement under the American Opportunity Tax Credit
(providing a refund of up to $2,500 in educational costs for low
income students to low income students). However without
financial aid, low incomes students may not be able to afford
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extension courses, although they may benefit indirectly to the
extent extension courses free up space in impacted
state-supported courses.
If not this, then what ? Reduce course offerings are a result of
$800 million in recent budget cuts. In its March report, PPIC
notes that while the state's fiscal outlook has improved, the
additional funding is unlikely to make up for years of
significant cuts. The report concludes that if community
colleges are to fulfill their multiple missions, the state must
consider alternatives, including the following:
1)Pursue more local parcel taxes, although PPIC notes that only
two of the four measures on the November 2012 ballot were
approved by voters.
2)Increase student fees to bring more revenue into the system.
3)Reduce the income thresholds to qualify for a BOG fee waiver
to bring more fee revenue into the system.
4)Require students to apply for federal financial aid in order
to get a BOG fee waiver.
5)Consider alternative fee models, including charging more to
those who can afford to pay more accompanied by aid to hold
low-income students harmless.
CSU and UC extension programs . According to the CSU, their
extended and continuing education programs offer baccalaureate
and graduate degree programs, certificates, and many forms of
specialized education and training for business, industry, and
government. Many campus self-support units conduct programs
during times when regular academic operations are recessed
(early January and May). Current law authorizes the CSU to
require and collect tuition fees for special sessions adequate
to meet the cost of maintaining them and declares legislative
intent that these programs not supplant regular course offerings
available on a state-supported basis during the regular academic
year (EC � 89708). By Executive Order, these courses may only
be offered to matriculated students on a self-support basis at
times and in locations not supported by state general fund
appropriations. The CSU reports that it enrolled over 266,000
students (over 16,000 FTES) in over 46,000 course sections
through extended and continuing education programs in 2008-09.
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According to the UC, its extension programs provide continuing
education for adults who have already obtained an undergraduate
degree and are looking for additional credentials. All
extension programs offered by the UC are self-supporting and
receive no state funding. According to the UC, University
Extension offers about 17,000 courses annually and enrolls some
500,000 Californians in its programs each year.
Arguments in support . Long Beach Community College District
states, "Years of reductions in state funding have reduced
offerings significantly during intersessions despite soaring
demand for access to higher education. AB 955 provides the
ability for students to get the education they deserve, when
they need it while providing a lower cost to BOG eligible
students to promote access for all." The Service Employees
International Union states that, while it does not take lightly
concerns about the impact of differential fee model on
low-income students, a disparate fee model already exists today
where some students are able to pay exorbitant costs to attend
high cost for-profit institutions where they incur debt they
cannot afford.
Arguments in opposition . Several community college districts
argue that this bill will create a differential fee for
community college students opening a pathway for certain
students that can afford to take those courses while
disenfranchising students that do not have the means to access
these high cost courses. The Faculty Association of California
Community Colleges states that the Legislature must address the
access crisis by directing the increase in base apportionment to
only restoration and cost of living.
Related legislation . AB 606 (Williams), set for hearing in this
Committee on April 9, would establish a CCC pilot program to
increase applications for federal financial aid and the American
opportunity tax credit. SB 1550 (Wright) of 2012, which failed
passage in this Committee, would have authorized a narrow
extension pilot program for career technical education courses.
AB 515 (Brownley) of 2011, which died in the Senate Education
Committee, would have authorized an extension program similar to
that in this bill that could be offered concurrently with
state-supported programs.
REGISTERED SUPPORT / OPPOSITION :
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Support
College of the Canyons
Long Beach Community College District
Riverside Community College District
Service Employees International Union
Opposition
Faculty Association of California Community College
Kern Community College District
Los Angeles Community College District
Los Rios Community College District
Peralta Community College District
San Diego Community College District
Yosemite Community College District
Analysis Prepared by : Sandra Fried / HIGHER ED. / (916)
319-3960