BILL ANALYSIS Ó SENATE COMMITTEE ON APPROPRIATIONS Senator Ricardo Lara, Chair 2015 - 2016 Regular Session AB 706 (Bonilla) - California Volunteers. ----------------------------------------------------------------- | | | | | | ----------------------------------------------------------------- |--------------------------------+--------------------------------| | | | |Version: June 11, 2015 |Policy Vote: G.O. 11 - 0 | | | | |--------------------------------+--------------------------------| | | | |Urgency: No |Mandate: No | | | | |--------------------------------+--------------------------------| | | | |Hearing Date: August 17, 2015 |Consultant: Mark McKenzie | | | | ----------------------------------------------------------------- This bill meets the criteria for referral to the Suspense File. Bill Summary: AB 706 would establish the California AmeriCorps - STEM, administered by California Volunteers, to bring more science, technology, engineering, and math (STEM) education programs into schools, expanded learning and after school programs, and neighborhood and regional centers to prepare youth for jobs in STEM fields. Fiscal Impact: California Volunteers estimates it would incur costs of approximately $180,000 for 2.2 PY of staff to administer the California AmeriCorps STEM program. (General Fund) California Volunteers estimates the need for 2.2 personnel years to AB 706 (Bonilla) Page 1 of ? implement and administer the program for an estimated 150 members. California Volunteers estimates a need for $200,000 and 1 PY to staff the nonprofit foundation. (General Fund) Program costs would depend on the number of members participating in the program and the demand for STEM programs. California Volunteers estimates a need for approximately $3.6 million in program funds if there are 150 volunteer members and 10 grantees. (Private funds, federal funds, local matching funds, and General Fund cost pressures to the extent private funds are insufficient to fully fund the program) Background: Existing law, pursuant to Executive Order S-24-06, establishes California Volunteers in the Governor's Office (housed within the Office of Planning and Research) with the following duties and responsibilities: (1) to recruit and mobilize citizens for volunteer service by identifying service opportunities throughout the state and by recognizing citizen contributions as volunteers and participants in public service; (2) to serve as the state's lead agency for community service and volunteerism, as specified; and (3) to partner with other public agencies at the state, county, and local levels, and the private and not-for-profit sectors, to leverage greater resources and create more opportunities for service and volunteerism. Existing federal law establishes the National and Community Service Trust Act of 1993, which requires each state governor to create and appoint a commission to administer the AmeriCorps volunteer program. AmeriCorps operates under the Corporation for National and Community Service and is comprised of three programs that engage Americans in intensive service each year at nonprofits, schools, public agencies, and community and faith-based groups across the country. AmeriCorps State and National, the largest of the three programs, supports a wide range of local service programs that provide grants to a network of local and national organizations and agencies committed to using service members to address critical community needs in education, public safety, health, and the environment. AmeriCorps service assignments may be part time or full time and generally range from ten to 12 months. Service members receive AB 706 (Bonilla) Page 2 of ? a stipend, living allowance, and other benefits, and may also receive an education award upon completion of a term of service that can be used to pay for college expenses or pay back student loans. To be eligible for a position with AmeriCorps, qualification guidelines focus on several factors, including citizenship, age, work experience, and education. Additional eligibility requirements vary depending on the particular program. California Volunteers administers the state AmeriCorps program, issuing annual requests for applications and awarding federal grants in a competitive process to eligible applicants, including local governments and nonprofit organizations. The grants support community partnerships that engage AmeriCorps members to meet state and local challenges through service and volunteer action. Proposed Law: AB 706 would establish California AmeriCorps - STEM in state government, administered by California Volunteers. Specifically, this bill would: Authorize California Volunteers to form a tax-exempt public benefit nonprofit corporation or other tax-exempt entity that is qualified to raise revenues and receive financial support from public or private sources, for the purpose of undertaking or funding authorized activities. Require financial support for a nonprofit entity to be used solely for governmental purposes approved by California Volunteers for activities within its authority. Establish California AmeriCorps - STEM and require it to operate under existing federal AmeriCorps program guidelines. Require members to be selected through an application process and eligibility to be based upon federal qualifications. Applicants must also have an associate or baccalaureate degree or be enrolled in a postsecondary institution, be at least 18 years of age, and provide proof that he or she lives in California. Authorize a nonprofit corporation or a public entity to apply, individually or in partnership with a corporation or individual interested in the promotion of STEM education, to AB 706 (Bonilla) Page 3 of ? California Volunteers, through a competitive request for proposal process, to host one or more California AmeriCorps - STEM members. Specify that the purpose of the program is to bring more STEM education programs into California schools, expanded learning programs, after school programs, and neighborhood and regional centers for children in order to prepare the next generation for jobs in the STEM fields. Authorize California Volunteers to solicit and accept private funding to supplement the costs of California AmeriCorps - STEM from various sources, including foundations, corporations, crowdfunding, donation drives, or any other private sources. Related Legislation: AB 2328 (J.Perez), which was vetoed by Governor Brown last year, would have established the California AmeriCorps, administered by California Volunteers pursuant to federal guidelines, to allow local agencies to apply to host members to implement specified AmeriCorps programs through a competitive selection process. The veto message stated the following: While the bill is well intentioned, California already has programs, such as the California Conservation Corps and the California Volunteers Service Enterprise Initiative, that couple volunteer service with educational scholarships. I encourage the Legislature to work through these programs to strengthen partnerships between volunteers and local governments. Staff Comments: During the 2013 White House Science Fair, President Obama announced STEM AmeriCorps, a multi-year initiative to place hundreds of AmeriCorps members in nonprofits across the country to inspire young people to excel in STEM education. The goals of STEM AmeriCorps include improving academic performance in STEM coursework, expanding the number of students on track to graduate ready for college and for careers in STEM fields, increasing interactions between youth and STEM professionals, and sparking the imagination and interest of students to pursue AB 706 (Bonilla) Page 4 of ? STEM subjects. AB 706 would establish a state AmeriCorps STEM program that is consistent with the goals of these federal efforts. The total amount of program costs for local assistance grants would depend upon on the number of members approved by California Volunteers for participation in the program and the number of grantees that receive awards. It is anticipated that funding will be derived from a combination of private sources, federal funds, and a local grantee match. California Volunteers estimates the need for 2.2 PYs to implement and administer the program for an estimated 150 members at a cost of approximately $180,000 annually. At this level, local assistance costs are estimated to be approximately $3.6 million annually. It is anticipated that some level of state and federal funding will be needed to demonstrate sufficient commitment to attract private funding. -- END --