BILL NUMBER: AB 1318 AMENDED
BILL TEXT
AMENDED IN SENATE MAY 29, 2014
AMENDED IN ASSEMBLY MAY 24, 2013
AMENDED IN ASSEMBLY APRIL 22, 2013
AMENDED IN ASSEMBLY APRIL 2, 2013
AMENDED IN ASSEMBLY MARCH 21, 2013
INTRODUCED BY Assembly Member Bonilla
FEBRUARY 22, 2013
An act to amend Section 66021.2 of the Education Code, relating to
student financial aid.
LEGISLATIVE COUNSEL'S DIGEST
AB 1318, as amended, Bonilla. Student financial aid: Cal Grant
Program.
Existing law, the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant
Program, establishes the Cal Grant A and B Entitlement awards, the
California Community College Transfer Cal Grant Entitlement awards,
the Competitive Cal Grant A and B awards, the Cal Grant C awards, and
the Cal Grant T awards under the administration of the Student Aid
Commission, and establishes eligibility requirements for awards under
these programs for participating students attending qualifying
institutions, as defined.
This bill would add provisions that would set the maximum Cal
Grant award levels for students attending nonpublic postsecondary
educational institutions that are accredited by the Western
Association of Schools and Colleges, commencing with the
2014-15 2015-16 award year. The bill would
provide require, as a condition for the
funding of Cal Grant maximum awards to its students, that a
nonpublic postsecondary educational institution accredited by the
Western Association of Schools and Colleges would be deemed
a qualifying institution if the total amount of institutional aid, as
defined, provided to California resident students by that
institution, in any award year, is no less than 50% of the total Cal
Grant awards received by their students, except for institutions
meeting prescribed conditions submit specified
performance metrics related to its students in a cumulative report
generated by the Association of Independent California Colleges and
Universities to the Legislature, the Governor, the Department of
Finance, and the Legislative Analyst's Office on or before March 15,
2015, and on or before March 15 of each year thereafter .
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. The Legislature finds and declares all of the
following:
(a) California relies on private colleges and universities
accredited by the Western Association of Schools and Colleges (WASC)
to help meet the state's higher education needs.
(b) The maximum award for Cal Grant students attending WASC
accredited private colleges and universities has not increased since
1999:
(1) It was cut by almost 15 percent for the 2005-06 and 2006-07
cohorts.
(2) It was cut by 5 percent for new and renewal grants for the
2012-13 award year, and is scheduled to be cut by an
additional 1.5 percent in the 2013-14 award year and 11 percent in
the 2014-15 award year for new awardees.
(3) Even if the maximum award had not been cut, its value would
have decreased by over 30 37 percent
due to inflation since 2000 .
(4) In inflation-adjusted dollars, the The
proposed maximum award for the 2014-15 award year will be the
lowest amount California has invested in academically qualified,
financially deserving students that attend private WASC accredited
institutions since the 1997-98 academic year .
(c) The Cal Grant program Program
effectively and successfully helps California's private colleges and
universities to recruit, retain, and graduate historically
underrepresented students from low-income families.
(d) Predictable and stable funding formulas and eligibility
requirements ensure that the state maximizes its investment and
allows families to plan and pay for higher education.
(e) Legislative action is needed to adopt a reasonable formula
that supports predictability and supports parity for students at
private colleges.
SEC. 2. 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, except that in the first year of enrollment in a
qualifying institution, the maximum award shall be only for the
amount of the access award.
(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, except that, in the first
year of enrollment in a qualifying institution, the maximum award
shall be only for the amount of the access award.
(3) Notwithstanding paragraphs (1) and (2), and notwithstanding
Section 69432:
(A) The maximum Cal Grant award for a student attending a
nonpublic postsecondary educational institution accredited by the
Western Association of Schools and Colleges shall be set and
maintained at 75 percent of the base funding per Cal Grant student at
the University of California and the California State University, as
determined by the average General Fund support per student at the
California State University and the University of California, plus
the maximum Cal Grant award at those segments each multiplied by the
percentage of California resident full-time equivalent students at
both segments who attend the respective segment, except as provided
in clauses (i) to (iv), inclusive.
(i) For the 2014-15 2015-16 award
year, the maximum award shall be 70 percent of the amount calculated
pursuant to subparagraph (A).
(ii) For the 2015-16 2016-17 award
year, the maximum award shall be 80 percent of the amount calculated
pursuant to subparagraph (A).
(iii) For the 2016-17 2017-18 award
year, the maximum award shall be 90 percent of the amount calculated
pursuant to subparagraph (A).
(iv) For the 2017-18 2018-19 award
year and each award year thereafter, the maximum award shall be 100
percent of the amount calculated pursuant to subparagraph (A).
(B) A nonpublic postsecondary educational institution accredited
by the Western Association of Schools and Colleges shall be deemed a
qualifying institution if the total amount of institutional aid
provided to California resident students by that institution, in any
award year, is no less than 50 percent of the total Cal Grant awards
received by its students, unless that institution has fewer than 50
students receiving Cal Grant awards or charges an annual tuition that
is no more than 50 percent of the average of the annual tuition
charged by all institutions to which this subparagraph is applicable.
(C) As used in this paragraph, "institutional aid" includes
scholarships and fellowships granted and funded by a postsecondary
educational institution or by a department within that institution,
and includes scholarships targeted to certain individuals based on,
for example, state of residence, major field of study, or athletic
team participation, for which the institution designates the
recipient.
(B) As a condition for the funding of Cal Grant maximum awards to
its students pursuant to subparagraph (A), a nonpublic postsecondary
educational institution accredited by the Western Association of
Schools and Colleges shall submit performance metrics in a cumulative
report generated by the Association of Independent California
Colleges and Universities to the Legislature, the Governor, the
Department of Finance, and the Legislative Analyst's Office on or
before March 15, 2015, and, notwithstanding Section 10231.5 of the
Government Code, on or before March 15 of each year thereafter. The
report shall be submitted to the Legislature in compliance with
Section 9795 of the Government Code, and shall include all of the
following data with respect to each participating nonpublic
postsecondary educational institution:
(i) The number of undergraduate students enrolled in that
institution.
(ii) The percentage of undergraduate students of that institution
who are California residents.
(iii) The number of graduate students enrolled in that
institution.
(iv) The number of transfer students from the California Community
Colleges enrolled in that institution.
(v) The percentage of undergraduate students of that institution
who are transfer students from the California Community Colleges.
(vi) The number of Pell Grant recipients enrolled in that
institution.
(vii) The percentage of undergraduate students of that institution
who are Pell Grant recipients.
(viii) The number of Cal Grant recipients enrolled in that
institution. With respect to those Cal Grant recipients:
(I) Their ethnic composition, expressed in percentages.
(II) The median amount of institutional aid provided to them.
(ix) The percentage of undergraduate students of that institution
who are Cal Grant recipients.
(x) The four- and six-year graduation rates for freshman entrants
of that institution:
(I) Disaggregated by Pell Grant recipients.
(II) Disaggregated by Cal Grant recipients.
(xi) The two- and three-year graduation rates for transfer
students from the California Community Colleges:
(I) Disaggregated by Pell Grant recipients.
(II) Disaggregated by Cal Grant recipients.
(xii) The number of degrees awarded annually by the institution in
total and in each of the following categories:
(I) Undergraduate students who first enrolled in the institution
as freshmen.
(II) Undergraduate students who first enrolled in the institution
as transfer students.
(III) Graduate students.
(IV) Pell Grant recipients.
(V) The number of degrees or credentials awarded in health-related
fields, teacher preparation, and the fields of science, technology,
engineering, and mathematics (STEM).
(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.