BILL NUMBER: AB 1285	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 24, 2013
	AMENDED IN ASSEMBLY  APRIL 2, 2013

INTRODUCED BY   Assembly Member Fong

                        FEBRUARY 22, 2013

   An act to amend  Sections 66021.2 and  
Section  69435 of the Education Code, relating to student
financial aid.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1285, as amended, Fong. Student financial aid: Cal Grant
Program. 
   (1) Existing 
    Existing  law, the Ortiz-Pacheco-Poochigian-Vasconcellos
Cal Grant Program (Cal Grant Program), establishes the Cal Grant A
and B Entitlement  Awards   awards  , the
California Community College Transfer Cal Grant Entitlement 
Awards   awards  , the Competitive Cal Grant A and
B  Awards   awards  , the Cal Grant C
 Awards   awards  , and the Cal Grant T
 Awards   awards  under the administration
of the Student Aid Commission, and establishes eligibility
requirements and maximum levels for awards under these programs for
participating students attending qualifying institutions, as defined.
Under the Cal Grant Program, the maximum Cal Grant B award for a
student attending the University of California or the California
State University equals the mandatory systemwide fees in the segment
attended by the student, plus the award for access costs, and the
maximum Cal Grant B award for a student attending a nonpublic
institution equals the amount of the tuition award, as prescribed,
plus the award for access costs, except that in the first year of
enrollment in a qualifying institution, the maximum award is only for
the amount of the access award. 
   This bill would delete the provisions that limit the maximum Cal
Grant B award for a student attending the University of California,
the California State University, or a nonpublic institution to the
amount of the access award in the student's first year of enrollment
in the institution.  
   (2) With 
    With  respect to Cal Grant B Entitlement  Awards
  awards  , existing law requires that the award be
used only for tuition, student fees, and access costs, as defined,
in a for-credit instructional program that is not less than one
academic year in length. Existing law requires that no more than 2%
of new Cal Grant B recipients enrolling for the first time in an
institution of postsecondary education are eligible for payments for
tuition or fees, or both, in their first academic year of attendance.

   This bill would  specify that any student who meets the
requirements for a Cal Grant B Entitlement award is guaranteed to
receive a Cal Grant B Entitlement award, and would also specify that
the determination of the amount of any individual tuition and fee
award under the Cal Grant B Entitlement Award depends on the cost of
tuition or fees, or both, at the qualifying institution at which the
student is enrolled. The bill would  delete the 2% limit for
receipt of payments for tuition or fees, or both, for new Cal Grant
B Entitlement  Award   award  recipients in
their first academic year of attendance at an institution of
postsecondary education,  thus making all of the Cal Grant B
Entitlement Award recipients eligible for these payments 
 and instead provide that, for the 2014-15, 2015-16, and 2016-17
academic years, respectively, 25%, 50%, and 75% of the Cal Grant B
Entitlement award recipients would be eligible for payments for
tuition or fees, or both, in their first academic year of attendance
at an institution of postsecondary education. The bill would further
provide that, commencing with the 2017-18 academic year, and each
academic year thereafter, all new Cal Grant B recipients enrolling
for the first time in an institution of postsecondary education would
be  eligible for payments for tuition or fees, or both, in
their first academic year of attendance  .
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 69435 of the   
 Education Code   is amended to read: 
   69435.  (a) (1) A Cal Grant B award shall be used only for
tuition, student fees, and access costs in a for-credit instructional
program that is not less than one academic year in length.
   (2) The commission, or a qualifying institution pursuant to
Article 8 (commencing with Section 69450), shall award access grants
in a student's first academic year. In subsequent years, the award
shall include an additional amount to pay tuition or fees, or both,
to attend college at a public or private four-year college or
university or other qualifying institution for all Cal Grant B awards
pursuant to paragraph (2) of subdivision (b) of Section 66021.2. In
no event shall the total award in any year exceed the applicant's
calculated financial need.
   (3)  Not   (A)     For the
2014-15 academic year, not  more than  2  
25  percent of new Cal Grant B recipients enrolling for the
first time in an institution of postsecondary education shall be
eligible for payments for tuition or fees, or both, in their first
academic year of attendance.  The  
   (B) For the 2015-16 academic year, not more than 50 percent of new
Cal Grant B recipients enrolling for the first time in an
institution of postsecondary education shall be eligible for payments
for tuition or fees, or both, in their first academic year of
attendance.  
   (C) For the 2016-17 academic year, not more than 75 percent of new
Cal Grant B recipients enrolling for the first time in an
institution of postsecondary education shall be eligible for payments
for tuition or fees, or both, in their first academic year of
attendance.  
   (D) Commencing with the 2017-18 academic year, and each academic
year thereafter, all new Cal Grant B recipients enrolling for the
first time in an institution of postsecondary education shall be
eligible for payments for tuition or fees, or both, in their first
academic year of attendance. 
    (E)     The  commission shall adopt
regulations specifying the criteria used to determine which
applicants, if any, receive both tuition and fees plus the access
grant in the first year of enrollment. Priority shall be given to
students with the lowest expected family contribution pursuant to
Section 69432.7 and the highest level of academic merit.
   (b) An award for access costs under this article shall be in an
annual amount not to exceed one thousand five hundred fifty-one
dollars ($1,551). This amount may be adjusted in the annual Budget
Act. 
  SECTION 1.   Section 66021.2 of the Education Code
is amended to read:
   66021.2.  Consistent with the state's historic commitment to
provide educational opportunity by ensuring both student access to
and selection of an institution of higher education for students with
financial need, the long-term policy of the
Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program established
pursuant to Chapter 1.7 (commencing with Section 69430) of Part 42
shall be as follows:
   (a) Commencing with the 2001-02 academic year and every year
thereafter, an applicant for a Cal Grant A or B award shall receive
an award that is not in excess of the financial need amount
determined by the Student Aid Commission pursuant to Section 69432.9
if he or she complies with all of the following requirements:
   (1) Demonstrates financial need under the criteria adopted
pursuant to Section 69432.9.
   (2) Attains a grade point average, as defined in Section 69432.7,
meeting the requirements of Chapter 1.7 (commencing with Section
69430) of Part 42.
   (3) Complies with each of the eligibility criteria applicable to
the type of Cal Grant award for which he or she is applying.
   (b) (1) The maximum Cal Grant A award for a student attending the
University of California or the California State University shall
equal the mandatory systemwide fees in each of those segments.
   (2) The maximum Cal Grant B award for a student to which this
subdivision is applicable shall equal the mandatory systemwide fees
in the segment attended by the student, except for community college
students who receive waivers from the Board of Governors of the
California Community Colleges, plus the access award calculated as
specified in Article 3 (commencing with Section 69435) of Chapter 1.7
of Part 42.
   (c) The maximum Cal Grant awards for students attending nonpublic
institutions shall be as follows:
   (1) The maximum Cal Grant A award shall equal the tuition award
level established in the Budget Act of 2000, or the amount as
adjusted in subsequent annual budget acts.
   (2) The maximum Cal Grant B award shall equal the amount of the
tuition award as established in the Budget Act of 2000, or the amount
as adjusted in subsequent annual budget acts, plus the amount of the
access costs specified in Section 69435.
   (d) Commencing with the 2000-01 academic year, and each academic
year thereafter, the Cal Grant C award shall be utilized only for
occupational or technical training.
   (e) Commencing with the 2000-01 academic year, and each academic
year thereafter, the Cal Grant T award shall be used only for one
academic year of full-time attendance in a program of professional
preparation that has been approved by the California Commission on
Teacher Credentialing.
   (f) An institution of higher education in this state that
participates in the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant
Program shall not reduce its level of per capita need-based
institutional financial aid to undergraduate students, excluding
loans, below the total level awarded in the 2000-01 academic year.
   (g) The implementation of the policy set forth in this section
shall maintain a balance between the state's policy goals of ensuring
student access to and selection of an institution of higher
education for students with financial need and academic merit.
   (h) It is the policy of the State of California that the
Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program supplement
the federal Pell Grant program.
   (i) An award under the Ortiz-Pacheco-Poochigian-Vasconcellos Cal
Grant Program shall not guarantee admission to an institution of
higher education or admission to a specific campus or program.
 
  SEC. 2.    Section 69435 of the Education Code is
amended to read:
   69435.  (a) A Cal Grant B award shall be used only for tuition,
student fees, and access costs in a for-credit instructional program
that is not less than one academic year in length. Each student who
meets the requirements for a Cal Grant B award as set forth in this
article shall be guaranteed to receive a Cal Grant B award. The
determination of the amount of any individual tuition and fee award
under this article depends on the cost of tuition or fees, or both,
at the qualifying institution at which the student is enrolled.
   (b) An award for access costs under this article shall be in an
annual amount not to exceed one thousand five hundred fifty-one
dollars ($1,551). This amount may be adjusted in the annual Budget
Act. In no event shall the amount of the total award under this
article in any year exceed the applicant's calculated financial need.