BILL ANALYSIS                                                                                                                                                                                                    Ó






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          |SENATE RULES COMMITTEE            |                        AB 716|
          |Office of Senate Floor Analyses   |                              |
          |(916) 651-1520    Fax: (916)      |                              |
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                                   THIRD READING 


          Bill No:  AB 716
          Author:   Low (D)
          Introduced:2/25/15  
          Vote:     21  

           SENATE EDUCATION COMMITTEE:  8-0, 6/24/15
           AYES:  Liu, Block, Hancock, Leyva, Mendoza, Monning, Pan, Vidak
           NO VOTE RECORDED:  Runner

          SENATE APPROPRIATIONS COMMITTEE:  Senate Rule 28.8

           ASSEMBLY FLOOR:  77-0, 4/30/15 - See last page for vote

           SUBJECT:   California State University:  special sessions


          SOURCE:    Author


          DIGEST:  This bill defines "supplanting" for purposes of special  
          session instructional programs offered at the California State  
          University (CSU), and establishes requirements and prohibitions  
          on the offering of state-supported and special session courses  
          for the purposes of degree completion and graduation.


          ANALYSIS:   


          Existing law:


          1)Authorizes the CSU to require and collect tuition fees from  








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            students enrolled in each special session adequate in the long  
            run, to meet the cost of maintaining special sessions.  
            "Special sessions" at the CSU are defined to include, but not  
            be limited to, career enrichment and retraining programs. 


          2)Declares the intent of the Legislature that the programs  
            specified above, offered on a self-supporting basis by the CSU  
            during summer sessions, may be provided throughout the year;  
            and prohibits these courses from supplanting state-supported  
            course offerings during the regular academic year.  (EC §  
            89708)


          This bill:

       1)Defines supplanting to mean a reduction in the number of  
            state-supported course offerings while increasing the number  
            of self-supporting versions of that course.

       2)Requires that each CSU campus, to the extent possible, ensure  
            that courses required for state-supported matriculated  
            students to complete their undergraduate degrees be offered as  
            state-supported courses.

       3)Prohibits a campus from requiring a state-supported matriculated  
            student to enroll in a special session course in order to  
            fulfill a graduation requirement for a state-supported degree  
            program. 



          Comments
       1)Bureau of State Audits (BSA) report.  In December 2013, the State  
            Auditor issued a report, California State University's  
            Extended Education.  The report found that, because state law  
            does not define "supplanting," it was not possible to  
            determine the extent to which such occurred at the three  
            campuses reviewed.  Depending upon the definition used, the  
            Auditor identified as few as 26, and as many as 914 instances  
            in which supplanting may have occurred.  In addition, among  
            other things, the report noted that campuses did not always  
            prepare statements of revenues and expenditures when setting  
            fees, as required per CSU student fee policy, revenues from  







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            extended education generally exceeded expenditures, and two of  
            the three campuses did not notify the Chancellor's Office, as  
            required, before converting a state-supported program to a  
            self-supported program.  

            Among other things, the report recommended that the  
            Legislature enact statutory language clarifying and defining  
            "supplant" and include a description of how CSU should measure  
            whether supplanting is occurring.  

       2)CSU Response.  Among the recommendations, the Bureau of State  
            Audits (BSA) proposed that the Chancellor's Office immediately  
            begin working with the Legislature and its staff to clarify  
            its intent regarding supplanting. Further, that until  
            clarified by the Legislature, the Chancellor's Office should  
            immediately finalize its executive order pertaining to  
            extended education. 

            In response, the CSU convened a task force comprised of  
            presidents, provosts, extended education deans, academic  
            senators and student representation to work with the  
            Chancellor's Office staff to discuss and suggest draft  
            supplant language. According to the BSA, the Assistant Vice  
            Chancellor of the CSU Office of Advocacy and State Relations  
            met with the Chair of the Higher Education Committee on  
            February 10, 2014, and discussed next steps.  The Chancellor  
            also approved the supplant language definition as recommended  
            by the task force on May 23, 2014.  As a result of the task  
            force meetings, CSU Executive Order 1099 was issued in June  
            2014. 

            The California State Auditor's assessment of the status of  
            these recommendations is that they have been fully  
            implemented. 

       3)CSU Executive Order 1099.  CSU Executive Order 1099, issued in  
            June 2014, outlines the procedures to be followed by each CSU  
            campus in offering extended education self-support courses and  
            programs, including those offered in summer session and winter  
            intercession. 

            Among other things, the Executive Order provides that for  
            degree, credential or certificate programs, or individual  
            academic credit bearing courses to be offered during regular  







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            college terms, CSU Operating Funds must be either unavailable  
            or inappropriate for supporting the offerings and meet one  
            additional criteria from the following list:  

             a)   Courses or programs must be designed primarily for  
               career enrichment or retraining.

             b)   Course or program location is removed from permanent  
               state-supported facility.
           
             c)   Courses or programs are offered through a distinct  
               technology.

             d)   There must have been a cessation of non-state funding  
               that previously provided educational or other services that  
               cost beyond that which could reasonably be provided with  
               CSU operating funds.  

            In addition, the CSU is prohibited from requiring a  
            state-support matriculated student from enrolling in  
            self-support courses in order to fulfill the graduation  
            requirements of a state-supported degree program. This bill's  
            provisions generally parallel this element of the Executive  
            Order.

          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:YesLocal:   No


          SUPPORT:   (Verified7/6/15)


          California Faculty Association
          California Teachers Association


          OPPOSITION:   (Verified7/6/15)


          None received

          ASSEMBLY FLOOR:  77-0, 4/30/15
          AYES:  Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom,  
            Bonilla, Bonta, Brough, Brown, Burke, Calderon, Chang, Chau,  







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            Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, Daly, Dodd,  
            Eggman, Frazier, Beth Gaines, Gallagher, Cristina Garcia,  
            Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray,  
            Grove, Hadley, Harper, Roger Hernández, Holden, Irwin, Jones,  
            Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low,  
            Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin,  
            Nazarian, Obernolte, O'Donnell, Patterson, Perea, Quirk,  
            Rendon, Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth,  
            Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk,  
            Williams, Wood, Atkins
          NO VOTE RECORDED:  Campos, Chávez, Olsen

          Prepared by:Kathleen Chavira / ED. / (916) 651-4105
          7/7/15 17:14:23


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