BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                       AB 716


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          ASSEMBLY THIRD READING


          AB  
          716 (Low)


          As Introduced  February 25, 2015


          Majority vote


           ------------------------------------------------------------------- 
          |Committee       |Votes |Ayes                  |Noes                |
          |----------------+------+----------------------+--------------------|
          |Higher          |12-0  |Medina, Baker, Bloom, |                    |
          |Education       |      |Harper, Irwin,        |                    |
          |                |      |Jones-Sawyer, Levine, |                    |
          |                |      |Linder, Low,          |                    |
          |                |      |Santiago, Weber,      |                    |
          |                |      |Williams              |                    |
          |                |      |                      |                    |
          |                |      |                      |                    |
          |----------------+------+----------------------+--------------------|
          |Appropriations  |17-0  |Gomez, Bigelow,       |                    |
          |                |      |Bloom, Bonta,         |                    |
          |                |      |Calderon, Chang,      |                    |
          |                |      |Daly, Eggman,         |                    |
          |                |      |Gallagher, Eduardo    |                    |
          |                |      |Garcia, Holden,       |                    |
          |                |      |Jones, Quirk, Rendon, |                    |
          |                |      |Wagner, Weber, Wood   |                    |
          |                |      |                      |                    |
          |                |      |                      |                    |
           ------------------------------------------------------------------- 


          SUMMARY:  Defines "supplanting" for purposes of California State  








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          University (CSU) special sessions (extended education) to mean  
          "reducing the number of state-supported course offerings while  
          increasing the number of self-supporting versions of that course";  
          requires each campus to ensure any course required as a condition  
          of state-supported undergraduate degree completion to be offered  
          as a state-supported course; and, prohibits a campus from  
          requiring a state-supported student to enroll in an extended  
          education course in order to fulfill a graduation requirement.


          EXISTING LAW:  


          1)Requires CSU to establish tuition/fees adequate to meet the cost  
            of maintaining "special sessions" (extension courses/programs)  
            and defines "special sessions" to mean self-supporting  
            instructional programs conducted by CSU, including, but not be  
            limited to, career enrichment and retraining programs; and, 
          2)Establishes Legislative intent that extension programs may be  
            provided throughout the year, and shall not supplant regular  
            course offerings available on a non self-supporting basis during  
            the regular academic year.


          FISCAL EFFECT:  According to the Assembly Appropriations  
          Committee, CSU indicates no additional costs, as the bill is  
          consistent with its current policies.


          COMMENTS:  Background.  Under the CSU Extended and Continuing  
          Education Program, campuses offer baccalaureate and graduate  
          degree programs, certificates, and many forms of specialized  
          education and training for business, industry, and government.   
          While the composition of campus extended education programs varies  
          considerably, most maintain common instructional elements,  
          including allowing nonmatriculated students to enroll in courses,  
          pay self-support fees and earn university academic credit.  Many  
          campus extended education programs are conducted during times when  
          regular academic operations are recessed.  








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          Concern over CSU use of extension.  During California's budget  
          crisis funding reductions to CSU resulted in fewer state-supported  
          course offerings.  CSU also increased extended education  
          programming.  Because demand for some state-supported courses  
          exceeded availability, some students enrolled in extended  
          education courses to meet graduation requirements.  Financial aid  
          programs generally do not cover the higher priced extended  
          education costs, and concerns were raised about the impact of  
          forcing matriculated CSU students to take extended education  
          courses in order to graduate.  These concerns led the Joint  
          Legislative Audit Committee (JLAC) to request an audit of CSU's  
          use of extended education programming. 


          Audit of CSU Extended Education.  In December 2013, the Bureau of  
          State Audits (BSA) released an audit report concerning extended  
          education in CSU and the supplanting of state-supported courses.   
          BSA found difficulty in determining the extent to which  
          "supplanting" occurred due to lack of clarity in the term.  The  
          BSA audit considered two interpretations of supplanting:  1) a  
          campus could not require a student to enroll in a self-supported  
          course as the only path to their degree; and, 2) the plain meaning  
          definition of replacing a state-supported section with an  
          extension section.  In analyzing campus course data for fiscal  
          years 2007-08 through 2011-12, BSA found potential instances of  
          supplanting under both definitions.  BSA recommended that the  
          Legislature provide direction regarding the interpretation of  
          supplanting, and provided several recommendations to the CSU  
          Chancellor's Office regarding oversight and compliance of campus  
          extension program activities.  


          CSU Executive Order (EO) 1099.  In response to the BSA audit, the  
          CSU Chancellor's Office (CO) established an Extended Education  
          State Audit Task Force to develop a definition of supplanting and  
          make recommendations.  The Task Force included five campus  
          presidents, four faculty members, two provosts, two extended  








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          education representatives, and two Office of the Chancellor  
          representatives.  The Task Force solicited comments/feedback from  
          the CSU community, and has held meetings open to the public to  
          discuss definition options.  The final recommendations of the Task  
          Force were presented to the Chancellor; on June 9, 2014, the  
          Chancellor issued EO 1099 relating to extended education.  The CSU  
          indicates the definition contained in this bill is consistent with  
          their current EO.  




          Analysis Prepared by:                                               
                          Laura Metune / HIGHER ED. / (916) 319-3960  FN:  
          0000204