Amended in Senate May 27, 2014

Amended in Senate May 6, 2014

Amended in Senate April 21, 2014

Amended in Senate March 25, 2014

Senate BillNo. 1028


Introduced by Senator Jackson

(Coauthor: Assembly Member Williams)

February 14, 2014


An act to amend Section 69439 of the Education Code, relating to student financial aid.

LEGISLATIVE COUNSEL’S DIGEST

SB 1028, as amended, Jackson. Student financial aid: Cal Grant C awards.

Existing law, the Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Act, establishes the Cal Grant C program under the administration of the Student Aid Commission and establishes eligibility requirements for awards under this program. The act requires that a Cal Grant C award be used only for occupational or technical training, as defined, in a course of not less than 4 months. The act requires the commission, after consultation with state and federal agencies, to determine the areas of occupational or technical training for which Cal Grant C awards shall be awarded. Existing law also requires the Student Aid Commission to develop, and regularly review and update at least every 5 years, the areas of occupational or technical training for which students may utilize Cal Grant C awards and to give priority in granting the awards to students pursuing occupational or technical training in areas that meet specified criteria.begin delete The act requires the maximum award amount and total amount of funding for the Cal Grant C program to be determined each year in the annual Budget Act. The act requires the number of the awards made each year to be the same as the number of awards made for the 2000-01 fiscal year.end delete The act requires the commission to give priority in granting the awards to students pursuing occupational or technical training in areas that meet specified criteria.

This bill would revise and recast the actbegin insert in regard to Cal Grant C awardsend insert to, among other things,begin delete require the number of awards made each year to be at least the same number of awards made for the 2000-01 fiscal year and would require, if sufficient funds are available, the amount awarded to be not less than $3,009, and not more than $5,000, per award. The bill wouldend delete require the commission to give special consideration to the social and economic situations of the students applying for the grants, giving additional weight to applicants facing specified challenges. In determining the individual award amounts, the bill would additionally require the commission to take into account the financial means available to the student to fund his or her course of study and costs of attendance. The bill would revise the criteria that areas of occupational or technical training are required to meet to be given priority for awards, as specified. The bill would require the commission, in consultation with specified entities, for purposes of the Cal Grant C program, to prioritize occupational training programs and industry clusters. The bill would require the commission to consult with specified public entities to develop a plan to publicize the grant award program to California’s long-term unemployed to be used by those specified public entities when they come into contact with members of the population who are likely to be experiencing long-term unemployment and would require the commission to develop a plan to make students receiving awards aware of job search and placement services available through specified public entities.begin delete Because a local workforce investment board would be required to use the plan to publicize the grant award program for the long-term unemployed, this bill would impose a state-mandated local program.end deletebegin insert The bill would specify that the local workforce investment boards are required to participate in the outreach efforts only to the extent that the those efforts are a part of their existing responsibilities under federal law.end insert

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The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

end delete
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This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.

end delete

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: begin deleteyes end deletebegin insertnoend insert.

The people of the State of California do enact as follows:

P3    1

SECTION 1.  

Section 69439 of the Education Code is amended
2to read:

3

69439.  

(a) For the purposes of this section, the following terms
4have the following meanings:

5(1) “Career pathway” has the same meaning as set forth in
6Section 88620.

7(2) “Economic security” has the same meaning as set forth in
8Section 14005 of the Unemployment Insurance Code.

9(3) “Industry cluster” has the same meaning as set forth in
10Section 88620.

11(4) “Long-term unemployed” means, with respect to an award
12applicant, a person who has been unemployed for more than 26
13weeks at the time of submission to the commission of his or her
14application.

15(5) “Occupational or technical training” means that phase of
16education coming after the completion of a secondary school
17program and leading toward recognized occupational goals
18approved by the commission.

begin delete

19(b) (1) A Cal Grant C award shall be utilized only for
20occupational or technical training in a course of not less than four
21months. There shall be, at least, the same number of Cal Grant C
22awards each year as were made in the 2000-01 fiscal year.

end delete
begin delete

23(2) The maximum award amount and the total amount of funding
24shall be determined each year in the annual Budget Act, but, if
25sufficient funds are available, the annual award amount of Cal
26Grant C awards shall be no less than three thousand nine dollars
27($3,009) and no more than five thousand dollars ($5,000) per
28award.

end delete
begin insert

29(b) A Cal Grant C award shall be utilized only for occupational
30or technical training in a course of not less than four months.
31There shall be the same number of Cal Grant C awards each year
P4    1as were made in the 2000-01 fiscal year. The maximum award
2amount and the total amount of funding shall be determined each
3year in the annual Budget Act.

end insert

4(c) The commission may use criteria it deems appropriate in
5selecting students to receive grants for occupational or technical
6training and shall give special consideration to the social and
7economic situations of the students applying for these grants, giving
8additional weight to disadvantaged applicants, applicants who face
9economic hardship, and applicants who face particular barriers to
10employment. Criteria to be considered for these purposes shall
11include, but are not limited to, all of the following:

12(1) Family income and household size.

13(2) Student’s or the students’ parent’s household status,
14including whether the student is a single parent or child of a single
15parent.

16(3) The employment status of the applicant and whether the
17applicant is unemployed, giving greater weight to the long-term
18unemployed.

19(d) The Cal Grant C award recipients shall be eligible for
20renewal of their grants until they have completed their occupational
21or technical training in conformance with terms prescribed by the
22commission. A determination by the commission for a subsequent
23award year that the program under which a Cal Grant C award was
24initially awarded is no longer deemed to receive priority shall not
25affect an award recipient’s renewal. In no case shall the grants
26exceed two calendar years.

27(e) Cal Grant C awards may be used for institutional fees,
28charges, and other costs, including tuition, plus training-related
29costs, such as special clothing, local transportation, required tools,
30equipment, supplies, books, and living expenses. In determining
31the individual award amounts, the commission shall take into
32account the financial means available to the student to fund his or
33her course of study and costs of attendance as well as other state
34and federal programs available to the applicant.

35(f) (1) To ensure alignment with the state’s dynamic economic
36needs, the commission, in consultation with appropriate state and
37federal agencies, including the Economic and Workforce
38Development Division of the Office of the Chancellor of the
39California Community Colleges and the California Workforce
40Investment Board, shall identify areas of occupational and technical
P5    1training for which students may utilize Cal Grant C awards. The
2commission, to the extent feasible, shall also consult with
3representatives of the state’s leading competitive and emerging
4industry clusters, workforce professionals, and career technical
5educators, to determine which occupational training programs and
6industry clusters should be prioritized.

7(2) (A) Except as provided in subparagraph (B), the areas of
8occupational and technical training developed pursuant to
9paragraph (1) shall be regularly reviewed and updated at least
10every five years, beginning in 2012.

11(B) By January 1, 2016, the commission shall update the priority
12areas of occupational and technical training.

13(3) (A) The commission shall give priority in granting Cal
14Grant C awards to students pursuing occupational or technical
15training in areas that meet two of the following criteria pertaining
16to job quality:

17(i) High employer need or demand for the specific skills offered
18in the program.

19(ii) High employment growth in the occupational field or
20industry cluster for which the student is being trained.

21(iii) High employment salary and wage projections for workers
22employed in the occupations for which they are being trained.

23(iv) The occupation or training program is part of a
24well-articulated career pathway to a job providing economic
25security.

26(B) begin deleteAt end deletebegin insertTo receive priority pursuant to subparagraph (A), at end insert
27least one ofbegin delete two ofend delete the criteriabegin delete to beend delete metbegin delete pursuant to subparagraph
28(A)end delete
shall be specified in clause (iii) or (iv) of that subparagraph.

29(g) The commission shall determine areas of occupational or
30technical training that meet the criteria described in paragraph (3)
31of subdivision (f) in consultation with the Employment
32Development Department, the Economic and Workforce
33Development Division of the Office of the Chancellor of the
34California Community Colleges, and the California Workforce
35 Investment Board using projections available through the Labor
36Market Information Data Library. The commission may supplement
37the analyses of the Employment Development Department’s Labor
38Market Information Data Library with the labor market analyses
39developed by the Economic and Workforce Development Division
40of the Office of the Chancellor of the California Community
P6    1Colleges and the California Workforce Investment Board, as well
2as the projections of occupational shortages and skills gap
3developed by industry leaders. The commission shall publish, and
4retain, on its Internet Web site a current list of the areas of
5occupational or technical training that meet the criteria described
6in paragraph (3) of subdivision (f), and update this list as necessary.

7(h) The commission shall examine the graduation rates and job
8placement data of eligible programs. Commencing with the
92014-15 academic year, the commission shall give priority to Cal
10Grant C award applicants seeking to enroll in programs that rate
11high in graduation rates and job placement data.

12(i) (1) The commission shall consult with the Employment
13Development Department, the Office of the Chancellor of the
14California Community Colleges, the California Workforce
15Investment Board, and the local workforce investment boards to
16develop a plan to publicize the existence of the grant award
17program to California’s long-term unemployed to be used by those
18consulting agencies when they come in contact with members of
19the population who are likely to be experiencing long-term
20unemployment.begin insert The outreach plan shall use existing administrative
21and service delivery processes making use of existing points of
22contact with the long-term unemployed. The local workforce
23investment boards are required to participate only to the extent
24that the outreach efforts are a part of their existing responsibilities
25under the federal Workforce Investment Act of 1998 (Public Law
26105-220).end insert

27(2) The commission shall consult with the Workforce Services
28Branch of the Employment Development Department, the Office
29of the Chancellor of the California Community Colleges, the
30California Workforce Investment Board, and the local workforce
31investment boards to develop a plan to make students receiving
32awards aware of job search and placement services available
33through the Employment Development Department and the local
34workforce investment boards.begin insert Outreach shall use existing
35administrative and service delivery processes making use of
36existing points of contact with the students. The local workforce
37investment boards are required to participate only to the extent
38that the outreach efforts are a part of their existing responsibilities
39under the federal Workforce Investment Act of 1998 (Public Law
40105-220).end insert

P7    1(j) (1) Notwithstanding Section 10231.5 of the Government
2Code, the Legislative Analyst’s Office shall submit a report to the
3Legislature on the outcomes of the Cal Grant C program on or
4before April 1, 2015, and on or before April 1 of each
5odd-numbered year thereafter. This report shall include, but not
6necessarily be limited to, information on all of the following:

7(A) The age, gender, and segment of attendance for recipients
8in two prior award years.

9(B) The occupational and technical training program categories
10prioritized.

11(C) The number and percentage of students who received
12selection priority as defined in paragraph (3) of subdivision (f).

13(D) The extent to which recipients in these award years were
14successfully placed in jobs that meet local, regional, or state
15workforce needs.

16(2) For the report due on or before April 1, 2015, the Legislative
17Analyst’s Office shall include data for two additional prior award
18years and shall compare the mix of occupational and technical
19training programs and institutions in which Cal Grant C award
20recipients enrolled before and after implementation of subdivision
21(f).

22(3) A report to be submitted pursuant to this subdivision shall
23be submitted in compliance with Section 9795 of the Government
24 Code.

begin delete
25

SEC. 2.  

If the Commission on State Mandates determines that
26this act contains costs mandated by the state, reimbursement to
27local agencies and school districts for those costs shall be made
28pursuant to Part 7 (commencing with Section 17500) of Division
294 of Title 2 of the Government Code.

end delete


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