BILL ANALYSIS Ó
AB 955
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ASSEMBLY THIRD READING
AB 955 (Williams)
As Amended April 22, 2013
Majority vote
HIGHER EDUCATION 10-2 APPROPRIATIONS 13-1
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|Ayes:|Williams, Chávez, Bloom, |Ayes:|Gatto, Harkey, Bigelow, |
| |Fox, Jones-Sawyer, | |Bocanegra, Ian Calderon, |
| |Levine, Waldron, Medina, | |Campos, Donnelly, Eggman, |
| |Olsen, Wilk | |Gomez, Holden, Linder, |
| | | |Quirk, Wagner |
| | | | |
|-----+--------------------------+-----+--------------------------|
|Nays:|Quirk-Silva, Weber |Nays:|Hall |
| | | | |
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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, and
requires participating districts use one-third of fee revenue
they collect to provide financial assistance to students
eligible for the Board of Governors (BOG) fee waiver.
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
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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
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)Requires a participating district to use one-third of fee
revenue collected by this program to provide financial
assistance to students eligible for the BOG fee waiver.
5)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.
6)Requires each CCC district maintaining an extension program to
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encourage broad participation in these programs and support
access for students eligible for BOG 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
7)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.
8)Requires the CCC Chancellor to submit all district information
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.
FISCAL EFFECT : According to the Assembly Appropriations
Committee, costs for this bill would be minor absorbable costs
to the Chancellor's Office and the LAO for the reporting
requirements. Additionally, any costs to districts would be the
result of districts electing to offer extension courses and
would be covered by fees and other non-state funds.
COMMENTS : 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
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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. Providing additional opportunities for students to
complete high-demand courses 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
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). Participating districts are required to use
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one-third of fee revenue they collect to provide financial
assistance to students eligible for the Board of Governors Fee
Waiver.
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. 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.
If not this, then what ? 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
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low-income students harmless.
Analysis Prepared by : Jeanice Warden / HIGHER ED. / (916)
319-3960
FN: 0000360