BILL ANALYSIS Ó SENATE COMMITTEE ON EDUCATION Carol Liu, Chair 2013-2014 Regular Session BILL NO: SB 850 AUTHOR: Block AMENDED: April 10, 2014 FISCAL COMM: Yes HEARING DATE: April 24, 2014 URGENCY: No CONSULTANT:Kathleen Chavira SUBJECT : Baccalaureate Degree Pilot Program. SUMMARY This bill authorizes the Board of Governors (BOG) of the California Community Colleges (CCC), in consultation with the California State University (CSU) and the University of California (UC), to establish baccalaureate degree pilot programs at up to 20 community college districts, as specified, to be determined by the Chancellor of the CCC. BACKGROUND Current law differentiates the missions and functions of public and independent institutions of higher education. Under these provisions: The primary mission of the CSU is required to offer undergraduate and graduate instruction through the master's degree. The CSU is authorized to establish two-year programs only when mutually agreed upon by the Trustees and the CCC Board of Governors. The CSU is also authorized to jointly award the doctoral degree with the UC and with one or more independent institutions of higher education. The UC is authorized to provide undergraduate and graduate instruction and has exclusive jurisdiction in public higher education over graduate instruction in the professions of law, medicine, dentistry and veterinary medicine. The UC is also the primary state-supported academic agency for research. The independent institutions of higher education are required to provide undergraduate and graduate SB 850 Page 2 instruction and research in accordance with their respective missions. The mission and function of the California Community Colleges is the offering of academic and vocational instruction at the lower division level and the CCC are authorized to grant the associate in arts and the associate in science degree. The community colleges are also required to offer remedial instruction, English as a Second Language instruction, and adult noncredit instruction, and support services which help students succeed at the postsecondary level. (Education Code § 66010.4) ANALYSIS This bill : 1) Authorizes the Board of Governors of the CCC, in consultation with the CSU and the UC, to authorize establishment of baccalaureate degree pilot programs at selected districts, to be determined by the Chancellor of the CCC and further: a) Requires that the pilot program be limited to no more than 20 districts. b) Requires that a pilot program established under these provisions expire after 8 years. c) Sets the start time for the 8 years as the date that the first class of students begins the program. 2) Establishes the following eligibility requirements for a district to be considered for authorization by the BOG: a) Requires the district be authorized to offer baccalaureate degree programs through an appropriate accrediting body. b) Requires the district maintain, as its primary mission, the offering of lower division academic and vocational instruction. SB 850 Page 3 c) Requires the district's new additional mission to be to provide high-quality undergraduate education at an affordable price for students and the state. d) Limits a district to offering only one type of baccalaureate degree per campus, as determined by the local governing board and approved by the Board of Governors. e) Requires, in identifying the degree programs to be offered at its campuses, that the district: i) Identify and document unmet workforce needs in the subject areas of the baccalaureate degrees and offer that program in that community or region. ii) Be prohibited from duplicating similar programs offered by public postsecondary educational institutions, unless approved by the Chancellor of the CSU. iii) Requires that a district have the expertise, resources, and student interest to offer a quality baccalaureate degree in the chosen field of study. f) Requires that the district maintain separate records for students enrolled in the upper and lower divisions of a baccalaureate degree program and that the student be reported as a community college student for enrollment in lower division and as a BA degree program student in upper division. g) Requires the district to submit the proposed governance system, curriculum, faculty, facilities, and the level of matriculation for the baccalaureate degree program for review and approval by the Chancellor and BOG. SB 850 Page 4 3) Requires the BOG to develop and adopt a funding model to support the baccalaureate degree pilot programs and further: a) Requires the model be based on a calculation of the number of FTES enrolled in the program. b) Requires that per FTES funding be based upon a marginal cost calculation that cannot exceed the marginal cost calculation of the CSU. c) Authorizes the program to charge fees up to the amount charged for BA programs at the CSU, subject to upper division coursework fees being set and approved by the Legislature. 4) Authorizes the board of the local district to enter into agreement with local businesses and agencies to provide educational services to students participating in the program. 5) Requires a district authorized to offer the baccalaureate degree pilot program to submit a report to the Chancellor's Office one year prior to the expiration of the pilot program or one year after the first graduating class, whichever comes first, evaluating the completion rate of the program, the extent to which the program is self-supporting, any challenges to finding/paying instructors, whether there was a decline in enrollment at CSU or UC campuses in the regions served by the district as a direct result of the pilot program, and the number of students who received jobs in the baccalaureate degree field of study. STAFF COMMENTS 1) Need for the bill . According to the author, the state faces an urgent need to increase the number of Californian's with four-year degrees by 2025, necessitating an additional 60,000 BA degrees per year. This bill seeks to find new methods for addressing this skills gap by authorizing the offering of baccalaureate degrees at California's community SB 850 Page 5 colleges. According to the author, this bill is patterned after the applied baccalaureate degree model offered in community colleges of more than twenty other states. 2) Related Study Group Report . In 2013, the CCC Chancellor appointed a study group to review the various aspects of bachelor degrees at community colleges. The Report from California Community Colleges Baccalaureate Degree Study Group , acknowledges questions and reservations that community college bachelor's degrees represent a further erosion of the Master Plan, the potential for duplication of programs, and concerns that broadening the CCC mission would diminish attention to transfer, basic skills, and career technical education, especially as the system moves towards restoring access levels compromised by recent economic conditions. The study group recommended that the Chancellor's Office and the BOG conduct necessary research and policy analysis related to offering CCC baccalaureates including; a cost study, Chancellor's Office workload projections for related reviewing, approving and reporting, and a definition of the types of baccalaureates appropriate for the CCC. The group also recommended that further work proceed with ongoing dialog with the CSU and UC, and that further study should consider the potential impact on the current mission of the CCC as well as on existing programs at local campuses. 3) Other options ? Currently, only the UC and CSU are authorized to offer baccalaureate degrees. Recognizing the need to expand access to these degree programs, several collaborative efforts to respond to workforce needs have evolved. Canada College, within the San Mateo Community College District, currently partners with San Francisco State University and private postsecondary institutions to offer baccalaureate degrees in psychology, business administration, allied health and nursing on its campus. College of the Canyons partners with CSU Los Angeles, Bakersfield and Northridge, and private institutions to offer bachelor's degrees in liberal arts, engineering and other majors through its University Center. SB 850 Page 6 To the extent that existing collaborative efforts do not meet demand or need, other options for the committee to consider include: a) Should additional funding be provided to public baccalaureate degree granting institutions to increase the number of degree slots available in high demand areas? b) Should the process for developing collaborative efforts to address workforce needs be modified to facilitate greater proliferation of these programs? c) Should a community college be required to demonstrate that existing avenues for partnering with other institutions are not possible or viable before seeking authorization to offer a BA degree? 4) Similar, but not ? Notwithstanding the differentiation of the mission envisioned by the Master Plan and outlined in statute, the Legislature has authorized the CSU to go beyond its original mission to offer three doctoral degrees. These include: a) Authority to offer the Ed.D, an applied doctorate in education. (EC 66040-66040.7) Thirteen CSU campuses offer an Ed.D under this authority. b) Authority to offer the Doctor of Physical Therapy (DPT) degree. This degree was to focus on preparation of physical therapists to provide health care services and required to be consistent with meeting professional accreditation requirements. (EC 66042-66042.3) c) Authorization, until July 1, 2018, to offer a Doctor or Nursing Practice (DNP) through a pilot program at three CSU campuses. This degree was to focus on the preparation of clinical faculty, and was prohibited from replacing or supplanting CSU master's degree nursing programs. Enrollment was capped at 90 FTES for all three SB 850 Page 7 campuses and enrollment of new students is prohibited on or after July 1, 2018. In fall 2012, the CSU launched two programs, a joint program with CSU Fresno and CSU San Jose, and a CSU Fullerton-Long Beach-Los Angeles joint program. These programs were all subject to California Postsecondary Education Commission (CPEC) review, evaluation and recommendation. Fees were capped at the rate charged at the UC, no additional funding was provided by the state, and these programs were to be implemented without diminishing or reducing enrollment in undergraduate programs. Statewide evaluations of the new programs were to be jointly conducted by the CSU, the LAO and the Department of Finance. These authorities were much more limited in scope than that proposed by this bill. The Committee may wish to consider the following: d) Should the bill be amended to identify specific areas of BA production not currently offered at the UC or CSU? e) Should the bill be amended to define an "applied" baccalaureate, distinct from what may be offered at the CSU or UC? f) In the absence of a CPEC, what structure is necessary to review, evaluate and recommend new baccalaureate degree programs at the CCC? g) Should there be provisions that ensure that funding for baccalaureate degree programs does not occur at the expense of expansion of adult education programs, basic skills, CTE or undergraduate transfer programs? If it is the desire to advance the pilot proposed by this bill, the Committee may want to consider the amendments proposed in staff comment 5 through 8. 5) Too much too soon ? This bill proposes a broad departure from the differentiation of mission established by the Master Plan and by state SB 850 Page 8 statute. Prior authorizations to depart from these differentiated missions have been much more limited in scope. Additionally, the CPEC no longer exists to provide an independent review, evaluation and recommendations regarding a college's proposal for new baccalaureate degree programs. According to the author, the intent of the pilot program is to authorize the offering of baccalaureate degrees not currently offered by the UC or CSU in an effort to meet workforce needs. If it is the desire of the committee to advance the pilot program proposed by this bill staff recommends the bill be amended on page 5, to delete lines 1-4 and to instead insert, "A pilot program shall not include a baccalaureate degree already offered by public postsecondary educational institutions." In addition, as currently drafted a participating district could offer multiple degrees by implementing programs at each of its campuses. If each participating district has an average of 3 campuses, this bill could result in community colleges offering up to 60 different baccalaureate degrees. Is this an appropriate size for a pilot? Last year this committee heard AB 955 (Williams, Chapter 710, Statutes of 2013) which proposed an intersession extension program. That bill was amended by this committee to authorize a very narrow pilot program limited to 15 campuses. Consistent with prior actions of this committee staff recommends the bill be amended to limit participation in the baccalaureate degree pilot program to 15 campuses from 15 different districts. 6) Independent evaluation necessary . This bill requires districts to report specified information to the Chancellor examining the program and evaluating various factors. However, an independent evaluation, similar to that required of the CSU doctoral programs, would be more appropriate. Staff recommends the bill be amended to replace the current reporting requirements on pages 6 and 7 with provisions that parallel the reporting and evaluation requirements outlined for the doctoral programs in physical therapy SB 850 Page 9 in Education Code section 66042.3, and to additionally require that the review evaluate time-to degree and completion rate. In addition, require participating districts to submit the information necessary to conduct the evaluation, as determined by the evaluators, to the Chancellor. 7) Clarification of program features . Several elements of the program require clarification. These include: a) As currently drafted it is unclear whether the statewide program lasts eight years, or each individual pilot program is authorized to operate for eight years from the time it starts. Staff recommends the bill be amended to clarify that the statewide pilot program is authorized for 8 years beginning January 1, 2015, and sunsets on July 1, 2023, that authorized programs must begin no later than the 2017-18 academic year, and that participating campuses be required to notify students that their BA program must be completed by the end of the 2022-23 academic year. b) Currently, the bill requires an institution to submit the "proposed governance system" for the program and the "level of matriculation" for enrolled students. Based upon the author's intent, staff recommends the bill be amended to clarify these provisions by replacing them with requirements that the district submit the administrative plan for the degree program, and submit student enrollment projections. c) The bill currently authorizes agreements with local business and agencies to provide educational services to pilot program students. These provisions create confusion regarding who provides instruction and whether it authorizes a subsidy of contract education programs. The intent of the author is to allow activities already possible under current law, making these provisions unnecessary. Staff recommends the bill be amended to delete lines 15-18 on page 6. 8) Fees and Funding . This bill would authorize SB 850 Page 10 differential fees for students enrolled in BA programs. Currently differential fees for California residents at the community colleges are authorized for only a very small intersession extension program offered at a very limited number of campuses. It is unclear whether higher fees for upper division courses are necessary to offer these programs. However, staff recommends the bill be amended to prohibit fees for lower division coursework in a baccalaureate degree program from exceeding the fees for other lower division coursework. The bill also provides the potential for higher FTES funding for courses within a baccalaureate degree program than for other community college courses. Would funding for these programs be provided in addition to the funding already provided to the CCC in the annual budget? If additional funding is not envisioned, how much would funding for basic skills, career technical education and lower division transfer and degrees be reduced for the system and at participating districts? How would the Chancellor's Office related support activities be funded? 9) Prior legislation . a) AB 661 (Block, 2011) authorized Grossmont-Cuyamaca and the San Mateo CCDs to offer one baccalaureate degree pilot program per campus. AB 661 as heard and passed in the Assembly Higher Education Committee by a vote of 6-0 but was moved to the inactive file on the Assembly Floor. b) AB 2400 (Block, 2010) authorized the San Diego, Grossmont-Cuyamaca and San Mateo CCDs to establish baccalaureate degree pilot programs. No vote was taken and AB 2400 was held in the Assembly Higher Education Committee. SUPPORT American Legion - Department of California AMVETS - Department of California Bakersfield College Barton Health Board of Directors SB 850 Page 11 California Association of County Veterans Service Officers California State Commanders Veterans Council Citrus Community College District City of South Lake Tahoe Coastline Community College CEO'S of the CCC Board of the California Community College League Foothill-De Anza Community College District Gavilan College Golden West College Grossmont-Cuyamaca Community College District Kern Community College District Lake Tahoe South Shore Chamber of Commerce Lake Tahoe Visitor's Authority Los Angeles Community College District MiraCosta Community College District Napa Valley Community College District Oceanside Chamber of Commerce Pasadena Community College District San Diego and Imperial Counties Community Colleges Association (SDICCCA) San Diego Community College District San Diego Regional Chamber of Commerce San Diego Unified School District San Jose Silicon Valley Chamber of Commerce Santa Monica Community College District Shasta-Tehama-Trinity Joint Community College District South Orange Community College District Tri-City Medical Center Veterans of Foreign Wars - Department of California (VFW) Vietnam Veterans of America - California State Council (VVA) West Kern Community College District Yosemite Community College District Yuba Community College District Six individual letters OPPOSITION California Nurses Association California Teachers Association Faculty Association of the California Community Colleges SB 850 Page 12