BILL ANALYSIS �
SENATE COMMITTEE ON EDUCATION
Carol Liu, Chair
2013-2014 Regular Session
BILL NO: SB 290
AUTHOR: Knight
INTRODUCED: February 14, 2013
FISCAL COMM: Yes HEARING DATE: April 24,
2013
URGENCY: No CONSULTANT:Daniel Alvarez
SUBJECT : Nonresident tuition exemption: veterans.
SUMMARY
This bill exempts a student attending a community
college, the California State University, or University
of California from paying nonresident tuition if that
student was a member of the Armed Forces of the United
States and discharged within the immediately prior two
years.
BACKGROUND
1) Current law, requires a student who was a member of
the Armed Forces stationed in California on active
duty for more than one year immediately prior to
being discharged to be exempt from paying
nonresident tuition for the length of time he or
she lives in the state, up to the minimum time
necessary to become a resident. In addition,
current law provides, for purposes of community
college fees a former member of the Armed Forces
can utilize the one-year nonresident fee exemption
within two years of being discharged provided the
former member of the Armed Forces has filed an
affidavit with the community college stating his or
her intention to establish residency in California
as soon as possible. (EC � 68075.5)
2) Current law establishes uniform residency
requirements for purposes of ascertaining the
amount of fees to be paid by students at the
University of California, the California State
University, the California Community Colleges, and
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establishes various exceptions to these residency
requirements, including the following:
a) A member of the Armed Forces who is stationed in
the state on
active duty, except a member assigned for
educational purposes. (Education Code �
68075)
b) A member of the Armed Forces who is transferred
to another
state but continuously enrolled at a
college in California.
(EC � 68075)
c) A student who is a dependent of a member of the
Armed
Forces stationed in this state on active duty.
(EC � 68074)
d) A student dependent of a member of the Armed
Forces may
keep his or her resident classification until
he or she has resided in the state for the
minimum time necessary to become a resident in
the event the member of the Armed Forces upon
whom they are dependent is transferred outside
of the state or retires as an active member of
the Armed Forces.
(EC � 68072)
ANALYSIS
This bill exempts a student from paying nonresident
tuition if that student was a member of the Armed Forces
of the United States and discharged within the
immediately prior two years.
In addition, the bill deletes current law, Education
Code 68075.5 (described above under Background).
STAFF COMMENTS
1) According to the author , this bill allows a student
that served as a member of the Armed Forces to pay
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in-state tuition when seeking to further their
education. Individuals committed to the Armed
Forces serve all citizens of the United States, not
just one state. As such, they should not be
penalized when following their educational passions
after their service. Given the enormous challenges
facing veterans upon discharge, California needs to
make higher education for veterans more attainable.
2) Benefits of California-resident classification for
tuition and fee purposes . The University of
California, California State University, and
California Community Colleges are publicly
subsidized with the proceeds of state taxes; the
lower resident fees for students who reside in
California reflect the contribution they and their
parents have already made by paying taxes in
California. The fees charged to non-California
residents are intended to cover the cost of the
subsidy that is generated by California taxpayers.
3) Reciprocity ? One portion of this bill would extend
a benefit to veteran members of the reserves from
other states that are not always provided to
California veterans by other states. It appears
that only 19 states currently offer similar
residency waivers, although several states are
considering similar legislation. Federal
legislation has been introduced in both the House
and the Senate to require institutions that are
eligible for Post 9/11 G.I. Bill benefits to charge
any veteran the resident tuition rate. The
Committee may wish to consider whether California
should wait to see if federal legislation is
enacted to ensure that California veterans receive
the same tuition benefit in all 50 states that we
are providing to veterans from other states.
4) Further complicating matters, past Budget
shortfalls. The recent passage of Proposition 30
has provided a modicum of fiscal relief for the
segments of California's higher education systems.
However, recovering from the hundreds of millions
in General Fund reductions -- which translated into
constrained access to the segments, fewer course
offerings and larger classes, and reductions in
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student support services -- will take time and
resources. Thus adequate funding for the varied
educational priorities of our public higher
education segments continues to be endangered and
in some instances supplemented by ensuring that
non-state residents pay for the actual cost of
their education.
This bill contemplates providing any student who
was a member of the Armed Forces of the United
States to be exempt from paying nonresident
tuition.
At present, there are approximately 1.5 million
active military personnel in the Armed Forces that
upon honorable discharge would be eligible, for up
to two years after discharge, under this measure to
pay in-state tuition, irrespective of whether they
were stationed in the state of California. It is
unrealistic to believe all discharged personnel
would come to California for a postsecondary
education; however, by comparison, total enrollment
for all of public higher education is 1.6 million
students. At some point it is conceivable that a
large number of California resident students could
be displaced by non-resident veterans.
5) In recognition of the difficulties of military
service and the sacrifices of service members,
existing California law assists the discharged
military student who wants to stay in California
and go to school. Current California law says the
military student, once discharged, can pay resident
tuition until the student has stayed in California
long enough to establish residency (normally one
year). There may only be one legal state of
residence, so in order to become a resident of
California for tuition purposes, residency must be
relinquished in the former state of residence for
the student. Existing law strikes a balance,
allowing students to pay resident fees while on
active duty and for approximately a year after,
giving time to establish residency. This existing
one-year exemption applies however, only to
students who were stationed in California for one
year prior to discharge.
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In 2012, the Legislature (AB 2478, Hayashi) further
allowed a member of the Armed Forces, who was
stationed in California, up to the minimum time
necessary to become a resident and the benefit of
in-state tuition (one year) within a two-year time
period from date of discharge - this was in
recognition of providing veterans time to return to
their home state after being discharged and settle
personal affairs or for physical rehabilitation.
This option, however, was provided for community
colleges students only.
If the will of the committee is to pass this
measure, staff recommends amendments that (a)
provide veterans with the one year exemption from
paying nonresident tuition to any public
institution of higher education (not just community
colleges), contingent upon filing of an affidavit,
as specified, within one year of discharge, and
specifies the use of the one year fee exemption
must occur within two-years from the time of
discharge; and (b) limit this benefit to a student
who was a member of the Armed Forces of the United
States stationed in this state for more than one
year immediately prior to being discharged.
6) Measure is keyed with a possible mandate .
Legislative Counsel has determined workload
associated with filing of an affidavit, as
specified, may impose state-mandated local program
costs upon the community colleges that may be state
reimbursable.
7) Related legislation . SB 420 (Walters), scheduled
to be heard in this committee on April 24, is
similar to this measure, but also provides an
exemption from nonresident tuition for children and
spouses of veterans.
SUPPORT
South Orange Coast County Community College District
North Orange County Community College District
Rancho Santiago College District
American Legion-Department of California
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AMVETS
California Association of County Veterans Service
Offices
California State Commanders Veterans Council
VFW - Department of California
Vietnam Veterans of America - California State Council
OPPOSITION
None on file.