BILL ANALYSIS                                                                                                                                                                                                    

                                                                  AB 2736
                                                                  Page  1

          Date of Hearing:   August 25, 2014

                                 Das Williams, Chair
           AB 2736 (Committee on Higher Education) - As Amended:  June 26,  
          SUBJECT  :   Postsecondary education: California State University

           SUMMARY  :   Provides for various changes to statutes governing  
          the California State University (CSU).  Specifically,  this bill  :  

          1)Authorizes the CSU Trustees to establish a fee for voluntary  
            membership in the statewide student organization and require  
            the CSU Trustees to provide students the ability to  
            affirmatively elect to pay the fee, or a clear and unambiguous  
            means to decline payment of the fee, each time the fee is  

          2)Requires the Legislative Analyst's Office (LAO) to report to  
            the Legislature regarding the CSU Early Start Program by July  
            1, rather than January 1, of each even-numbered year.

          3)Provides for technical changes to the CSU Doctor of Nursing  
            Practice (DNP) degree pilot program reporting, and provides  
            for repeal of the reporting requirements on January 1, 2021.

          4)Extends the date by which CSU Trustees are required to report  
            gifts to the Legislature and the Department of Finance from  
            January 5 to January 31 of each year. 

           EXISTING LAW  establishes the CSU and confers upon the CSU  
          Trustees the powers, duties, and functions with respect to the  
          management, administration, and control of the CSU system.  

           FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, pursuant to rule 28.8, this bill has a negligible  
          fiscal impact.

           COMMENTS  :  This bill provides for four changes to statutes  
          governing CSU:

           Student organization fee  .  Currently, the California State  
          Student Association (CSSA) is dependent on a voluntary portion  


                                                                  AB 2736
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          of membership fees collected by the 23 local student  
          associations, which has been augmented in recent years by an  
          annual allocation of the Chancellor's Office.  In March 2014,  
          CSSA requested the establishment of a system-wide voluntary fee  
          to fund their programs and activities.  A voluntary student fee  
          would create a long-term, stable revenue stream to fully  
          implement student participation, enable the CSSA to establish a  
          higher degree of financial independence from the CSU system and  
          allow students the individual choice to contribute financially  
          to statewide student representation.  

          Current law grants the CSU Trustees the authority to establish a  
          voluntary membership at a state university, but there is a need  
          to clarify the Trustees' authority to establish a voluntary fee  
          at the system-wide level, before they can act on the CSSA  
          request.  The new fee authorized in this bill would operate  
          differently from the current fee for campus organizations. For  
          the statewide student organization the Trustees would be  
          authorized to fix a voluntary membership fee for the statewide  
          student organization and a student would have the ability to  
          affirmatively elect to pay the fee, or a clear and unambiguous  
          means to decline payment of the fee, each time the fee is  
            Early Start Program  .  To address concerns regarding the large  
          number of incoming freshmen at the CSU requiring remediation,  
          Executive Order 1048 was issued in 2010, creating the Early  
          Start Program.  Entering freshmen not proficient in math or "at  
          risk" in English are required to start the remediation process  
          before their first term at CSU.  Students are given a menu of  
          options to determine the best approach to start their remedial  
          instruction, including senior year high school courses, courses  
          offered in the summer at any one of their local California  
          Community College (CCC) or CSU campuses and online courses, to  
          name a few.  Legislation enacted in 2012 (AB 2497, Solorio),  


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          required the CSU to work with the LAO on an ongoing series of  
          reports showing the impact of CSU's Early Start Program on  
          students needing remediation. Currently, the law requires a  
          report be submitted on January 1, 2014, and then subsequently  
          every two years after that.  This bill will move the reporting  
          deadline to July 1, beginning in 2016, to ensure LAO can include  
          information on the most recent program data in the report.  It  
          should be noted that in January 2014, the LAO recommended  
          eliminating the remaining Early Start reporting requirements.  

          Doctor of Nursing Practice  .  CSU was provided authority to  
          establish a DNP degree pilot program at three campuses in 2010  
          (AB 867 (Nava), Chapter 416).  A report is required in  
          collaboration with LAO and the Department Of Finance, due  
          January 1, 2017.  Compromise on the bill came together in the  
          final hours of session and the reporting language was  
          essentially taken from prior legislation dealing with the EdD  
          degree.  As a result, some of the language in the DNP report is  
          unrelated to the pilot program.  This bill modifies the  
          reporting language to look at the appropriate policy issues for  
          the DNP and establishes a sunset date for the reporting  
          requirements of January 1, 2021.


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           Trustee Gift Reporting  .  Currently CSU Trustees are required to  
          report to the Legislature and the Department of Finance annually  
          on January 5.  The CSU has been consistently late in reporting  
          this information due to the Trustees approval being required  
          prior to the release of the report. The Trustees meeting  
          schedule does not permit the report to be released by the  
          January 5th deadline.  This bill would move the due date for  
          this report to the end of January (25-day difference) to ensure  
          the CSU submits the report on time. 


          California State Student Association
          California State University

          None on file.

          Analysis Prepared by  :    Laura Metune / HIGHER ED. / (916)