BILL ANALYSIS                                                                                                                                                                                                    Ó

                                                                      AB 13

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          Date of Hearing:  March 25, 2015


                                 Jimmy Gomez, Chair

          13 (Chávez) - As Amended March 4, 2015

          |Policy       |Higher Education               |Vote:|13 - 0       |
          |Committee:   |                               |     |             |
          |             |                               |     |             |
          |             |                               |     |             |
          |             |Veterans Affairs               |     |9 - 0        |
          |             |                               |     |             |
          |             |                               |     |             |
          |             |                               |     |             |
          |             |                               |     |             |
          |             |                               |     |             |

          Urgency:  Yes State Mandated Local Program:  YesReimbursable:   


          This bill exempts from California Community College (CCC)  
          non-resident student fees those veterans covered under the  
          federal Veterans Access, Choice, and Accountability Act of 2014  


                                                                      AB 13

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          ("Choice Act"), and authorizes community colleges to claim state  
          apportionment funding for these students.

          FISCAL EFFECT:

          It is estimated that several hundred nonresident veterans attend  
          the community colleges. For every 100 full-time equivalent  
          students in this cohort, the districts would be able to claim  
          about $470,000 in state apportionment funding (GF-Prop 98). 


          1)Background. The VA administers the GI Bill to provide  
            education and training benefits to eligible veterans and their  
            eligible dependents. The GI Bill provides for in-state tuition  
            and fees at public institutions. The federal Choice Act  
            (2014), in part requires public institutions to provide  
            in-state tuition regardless of the residency status of  
            specified veterans and their eligible dependents in order for  
            the institution to remain eligible to receive GI Bill  
            education payments.


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            In response to the enactment of the Choice Act, AB 13  
            (Conway)/Chapter 639 of 2014, required the state's segments of  
            higher education to update and adopt policies no later than  
            July 1, 2015, regarding tuition rates for eligible veterans  
            and their eligible dependents to ensure conformity to, and  
            compliance with, the Choice Act. The Choice Act in essence  
            requires that public institutions either comply with the  
            nonresident tuition/fee waiver or discontinue participation in  
            the GI Bill educational benefits programs. Since last year's  
            AB 13 did not explicitly require policies to ensure continued  
            participation in GI Bill educational benefit programs, a  
            segment could arguably conform to AB 13 through discontinuing  
            participation in the federal program. Though such an outcome  
            is extremely unlikely, AB 27 (Chavez), an urgency measure also  
            on today's committee agenda, provides clarification that the  
            segments' policies are to ensure continued participation of  
            both resident and non-resident veterans who are eligible for  
            GI Bill benefits.

          2)Purpose. This bill makes a conforming amendment, adding those  
            covered under the Choice Act to an existing statute providing  
            for in-state CCC student fees to other specified categories of  
            students. Since these Choice Act students would no longer pay  
            the higher non-resident fees that cover their cost of  
            education, AB 13 also authorizes community college districts  
            to claim these students for state apportionment funding.

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


                                                                      AB 13

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