BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  SB 1022
                                                                  Page  1

          Date of Hearing:   August 6, 2014

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                    SB 1022 (Huff) - As Amended:  August 4, 2014 

          Policy Committee:                             Higher  
          EducationVote:13-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:               

           SUMMARY  

          This bill requires the California State University (CSU), and  
          requests the University of California (UC), to post annual  
          update labor market data regarding their graduates on their  
          websites. Specifically, this bill:

          1)Requires the posting of labor market outcome related to  
            undergraduates, and stipulates that provision of such data on  
            graduate student in optional. The data is to include, at a  
            minimum, salary data and the percentage distribution of  
            graduates by industry.

          2)Requires the segments to use their own databases and  
            information provided by the Employment Development Department  
            (EDD).

          3)Requires the information to be presented in easily understood  
            labor market measures, aggregated at the systemwide level and  
            by areas of study, and provide labor market outcomes one or  
            two years and five years after graduation.

          4)Declares legislative intent that CSU provide a student  
            prematriculation labor market data point, six years before  
            receipt of their degrees.

           FISCAL EFFECT  

          CSU would incur minor one-time costs of around $75,000 to  
          establish the data reporting system. Costs to UC and EDD would  
          be minor and absorbable.









                                                                  SB 1022
                                                                  Page  2

           COMMENTS  

           1)Background  . In 2013, the California Community Colleges (CCC)  
            Chancellor's Office began making available to students and  
            families comparative information about the earnings of recent  
            graduates who received an award in a specific program areas.  
            To accomplish this, community college student records from the  
            Chancellor's Office are joined with EDD wage records. The  
            Salary Surfer uses the aggregated earnings of graduates from a  
            five-year period to provide an estimate of the potential wages  
            to be earned two years and five years after receiving a  
            certificate or degree in certain disciplines. This information  
            is displayed on a searchable website hosted by the  
            Chancellor's Office.

           2)Purpose  . According to the author, giving students a picture of  
            college graduate salary earnings and industry placement will  
            allow students to make thoughtful, data-driven decisions about  
            where and what they want to study.  Current law authorizes  
            public higher education institutions to access this data, but  
            does not require CSU and UC to provide students with outcome  
            information.  As a result, students are not able to take  
            market data into consideration when selecting an area of  
            study.  This bill will require CSU and request UC to provide  
            salary and employer industry data of student graduates.

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081