Amended in Assembly June 2, 2015

Amended in Assembly April 6, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 798


Introduced by Assembly Member Bonilla

February 26, 2015


An act tobegin insert amend Section 69999.6 of, and toend insert add and repeal Part 40.1 (commencing with Section 67420) of Division 5 of Title 3begin delete ofend deletebegin insert of,end insert the Education Code, relating to postsecondary education.

LEGISLATIVE COUNSEL’S DIGEST

AB 798, as amended, Bonilla. College Textbook Affordability Act of 2015.

begin delete

Existing

end delete

begin insert (1)end insertbegin insertend insertbegin insertExistingend insert law establishes the segments of the postsecondary education system in the state, includingbegin delete the University of California, administered by the Regents of the University of California,end delete the California State University, administered by the Trustees of the California State University, and the California Community Colleges, administered by the Board of Governors of the California Community Colleges.

This bill would establish the College Textbook Affordability Act of 2015 to reduce costs for college students by encouraging faculty to accelerate the adoption of lower cost, high-quality open educational resources, as defined.begin delete The bill would provide that funding for this act is to be provided in the annual Budget Act.end delete

The bill would create the Open Educational Resources Adoption Incentive Fund in the State Treasury to provide incentives and reward campus and faculty efforts to accelerate the adoption of open educational resources. The bill would require that moneys in the fund be used by campuses to create and support faculty professional development, open educational resource curation activities,begin insert faculty release time,end insert or technology support forbegin delete the faculty,end deletebegin insert faculty andend insertbegin insert students,end insert as specified. The bill would authorize the local academic senate of a campusbegin insert of the California State University or the California Community Collegesend insert tobegin insert (1)end insert adopt a local campus resolution, in collaboration with students and the administration, stating its intent to increase student access to high-quality open educationalbegin delete resources.end deletebegin insert resources, and (2) upon adoption of the resolution, develop a specified plan thatend insertbegin insert describes evidence of the campus’s commitment and readiness to spend grant money from the fund to support faculty adoption of open educational resources.end insert The bill would require thebegin delete respective segment officeend deletebegin insert California Open Education Resources Councilend insert to review and approve the resolution andbegin insert the planend insertbegin insert, and, if they meet these and other specified requirements, would authorizeend insert an initial grantbegin insert of up to $10,000end insert to a local campusbegin insert of the California State University or the California Community Collegesend insert from thebegin delete fund for an unspecified amount for the purpose of establishing a plan and strategy, as specified.end deletebegin insert fund.end insert The bill would require additional bonus grants ofbegin delete unspecified amountsend deletebegin insert up to $10,000end insert to be distributed to participating campuses if certain benchmarks are met. The bill would require a grant recipient to report tobegin delete its respective segment officeend deletebegin insert the California Open Education Resources Councilend insert as to whether its benchmarks have been reached and it is eligible for the bonus grants. The bill would also require thebegin delete Chancellor of the California Community Colleges, the Chancellor of the California State University, and the President of the University of Californiaend deletebegin insert California Open Education Resources Councilend insert to report to the Legislature before July 1 of eachbegin delete yearend deletebegin insert year, commencing in 2018,end insert as to whether the grants are increasing the rate of adoption of open educational resources and decreasing textbook costs for college students.

The bill would make these provisions inoperative on July 1, 2020, and would repeal them as of January 1, 2021.

begin insert

(2) Existing law appropriates, from specified funds, $5,000,000 to the Chancellor of the California State University to fund, among other things, the establishment and administration of the California Open Education Resources Council and the California Digital Open Source Library. Existing law reverts any of this $5,000,000 that is not 100% matched by private funds to a specified trust.

end insert
begin insert

This bill would specify that those funds may be used for purposes of the College Textbook Affordability Act of 2015, and would specify that funds appropriated for those purposes shall not be required to be matched by private funds.

end insert

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

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

P3    1

SECTION 1.  

Part 40.1 (commencing with Section 67420) is
2added to Division 5 of Title 3 of the Education Code, to read:

3 

4PART 40.1.  College Textbook Affordability Act
5of 2015

6

 

7

67420.  

This part shall be known, and may be cited, as the
8College Textbook Affordability Act of 2015.

9

67421.  

begin delete(a)end deletebegin deleteend deleteThe College Textbook Affordability Act of 2015
10is hereby established to reduce costs for college students by
11encouraging faculty to accelerate the adoption of lower cost,
12high-quality, open educational resources. Faculty development
13shall be a key component of this acceleration initiative.begin insert This
14initiative shall use, in addition to any other appropriate resources,
15those identified, housed, produced, and otherwise found
16appropriate pursuant to the California Open Education Resources
17Council established in Section 66409 and the California Digital
18Open Source Library established in Section 66408.end insert

begin delete

19(b) Funding for this act shall be provided in the annual Budget
20Act.

end delete
21

67422.  

(a) The Open Educational Resources Adoption
22Incentive Fund is hereby created in the State Treasury to provide
23incentives and reward campus and faculty efforts to accelerate
24adoption of open educational resources for the purpose of reducing
25students’ costs and improving access to quality materials.

26(b) Moneys in the fund shall bebegin delete usedend deletebegin insert used, upon appropriation
27by the Legislature,end insert
by communitybegin delete college,end deletebegin insert college andend insert California
28Statebegin delete University, and University of Californiaend deletebegin insert Universityend insert campuses
29to create and support faculty professional development, open
30educational resource curation activities,begin insert faculty release time,end insert
31 technology support forbegin delete the faculty,end deletebegin insert faculty andend insertbegin insert students,end insert or some
P4    1combinationbegin delete thereof.end deletebegin insert of these uses.end insert Moneys in the fund shall not
2be used for direct compensation for faculty members who adopt
3open educational resources.

begin insert

4(c) For the purposes of this act, a “community college campus”
5is a community college campus site that has a local academic
6senate.

end insert
7

67423.  

(a) As used in this part, “fund” shall mean the Open
8Educational Resources Adoption Incentive Fund.

9(b) As used in this part, “open educational resources”begin delete meanend deletebegin insert areend insert
10 high-quality teaching, learning, and research resources that reside
11in the public domain or have been released under an intellectual
12property license that permits their free use and repurposing by
13begin delete others.end deletebegin insert others, and may include other resources that are legally
14available and free of cost to students.end insert
“Open educational resources”
15begin delete includes, but isend deletebegin insert include, but areend insert not limited to, full courses, course
16materials, modules, textbooks,begin insert facultyend insertbegin insert-created content,end insert streaming
17videos, tests, software, and any other tools, materials, or techniques
18used to support access to knowledge.

19

67424.  

(a) The local academic senate of a campus of the
20begin delete University of California, theend delete California Statebegin delete University,end deletebegin insert Universityend insert
21 or the California Community Colleges may adopt a local campus
22resolution, in collaboration with students and the administration,
23stating its intent to increase student access to high-quality open
24educational resources.

25(b) Upon adoption of the local campus resolution,begin delete the campus
26may submit the resolution to the respective segment office for an
27initial grant from the fund to establish a plan and strategy for
28accelerating adoption of high-quality open educational resources
29on its campus, and developing the accompanying professional
30development.end delete
begin insert the campus may develop a plan that describes
31evidence of the campus’s commitment and readiness to effectively
32spend grant money from the fund to support faculty adoption of
33open educational resources.end insert

34(1) The creation of the planbegin delete and strategyend delete shall be a collaboration
35between the campus academic senate and the recognized campus
36student bodybegin delete organization.end deletebegin insert organization, with input solicited by
37the campus academic senate or the recognized campus student
38body organization from the local campus bookstore. The California
39Open Education Resources Council, established in Section 66409,
40may provide expertise on available open educational resources
P5    1and best practices for the adoption of open educational resources
2for existing courses to assist in the development of the planend insert
begin insert.end insert

3(2) Thebegin delete strategyend deletebegin insert planend insert shall include continued access to a hard
4copy ofbegin insert open educational resourceend insert materialsbegin insert selected by faculty
5for useend insert
through the local campus bookstore andbegin insert shallend insert ensure access
6to materials offline for students.

7(3) (A) Each plan shall include three benchmarks, focusing on
8reducing costs for students and increasing the adoption of
9high-quality open educational resources consisting of a year one
10goal, a year two goal, and a year three goal.

11(B) Each local campus shall determine its own benchmarks.

begin delete

12(C) Oversight of these benchmarks shall be provided when the
13grants are approved by the respective segment office.

end delete
begin insert

14(4) Plans that utilize available open educational resources,
15including, but not limited to, California Open Online Library for
16Education (COOL4Ed) and Multimedia Educational Resource for
17Learning and Online Teaching (MERLOT) shall receive priority
18for receiving grants.

end insert
begin insert

19(c) (1) Each local campus may submit the resolution and the
20plan developed pursuant to subdivisions (a) and (b) to the
21California Open Education Resources Council for an initial grant
22from the fund.

end insert
begin delete

23(c)

end delete

24begin insert(2)end insert Thebegin delete respective segment officeend deletebegin insert California Open Education
25Resources Councilend insert
shall reviewbegin insert the submitted resolution and planend insert
26 and, ifbegin delete it meetsend deletebegin insert they meet end insertthe requirements of this part, approve
27begin delete the resolution, and the initial grant shall be administered by the
28designated segment office in collaboration with the campus
29president, provost, or chief academic officer and the recognized
30campus student body organization.end delete

begin delete

31(1) The designated segment office for the California Community
32Colleges may be the Success Center for California Community
33Colleges or another appropriate office.

end delete

34begin delete(2)end deletebegin deleteend deletebegin deleteThe designated segment office for the California State
35University may be the Academic Technology Services or another
36appropriate office.end delete
begin insert them.end insert

37(3) begin deleteThe end deletebegin insertAn end insertinitial grant shallbegin delete be approved for not more than
38____end delete
begin insert not exceed ten thousandend insert dollarsbegin delete ($____).end deletebegin insert ($10,000).end insert

39(d) (1) Each year after a campus receives an initial grant, for
40up to three years, the campus shall receive a bonus grant from the
P6    1fund for meeting established performance benchmarks for
2accelerating usage of open educational resources in courses,
3according to the following schedule:

4(A) A campus shall receive a bonus grant of up tobegin delete ____end deletebegin insert ten
5thousandend insert
dollarsbegin delete ($____)end deletebegin insert ($10,000)end insert for reaching its first benchmark
6in using open educational resources on campus and decreasing
7textbook costs for students in the first year of implementation.

8(B) A campus shall receive a bonus grant of up tobegin delete ____end deletebegin insert ten
9thousandend insert
dollarsbegin delete ($____)end deletebegin insert ($10,000)end insert for reaching its second
10benchmark in using open educational resources on campus and
11decreasing textbook costs for students in the second year of
12implementation.

13(C) A campus shall receive a bonus grant of up tobegin delete ____end deletebegin insert ten
14thousandend insert
dollarsbegin delete ($____)end deletebegin insert ($10,000)end insert for reaching its third
15benchmark in using open educational resources on campus and
16decreasing textbook costs for students in the third year of
17implementation.begin insert For bonus grants issued for reaching the third
18benchmark, if applications exceed the amount of available grant
19funds, priority shall be given by the California Open Education
20Resources Council to plans submitted pursuant to subdivision (c)
21that achieve cost savings for students through collaborations with
22one or more campuses. These collaborations may form within a
23segment, or across different segments.end insert

24(2) The bonus grants shall be used for faculty professional
25development, open educational resource curation activities,
26technology support forbegin delete the faculty,end deletebegin insert faculty and students, faculty
27release time,end insert
or some combinationbegin delete thereof, administered by the
28local academic senate in collaboration with the campus president,
29provost, or chief academic officer and the recognized campus
30student body organization.end delete
begin insert of these uses.end insert

31(e) A grant recipient shall report tobegin delete its respective segment officeend delete
32begin insert the California Open Education Resources Councilend insert as to whether
33its benchmarks have been reached and it is eligible for bonus grants
34 pursuant to paragraph (1) of subdivision (d).begin insert This report shall
35include an explanation of how the recipient used available open
36educational resources, including, but not limited to, COOL4Ed
37and MERLOT, to accomplish its goals pursuant to this part more
38efficiently.end insert

39(f) Thebegin delete Chancellor of the California Community Colleges, the
40Chancellor of the California State University, and the President
P7    1of the University of Californiaend delete
begin insert California Open Education
2Resources Councilend insert
shall report to the Legislature before July 1
3eachbegin delete yearend deletebegin insert year, commencing in 2018,end insert as to whether the grants are
4increasing the rate of adoption of open educational resources and
5decreasing textbook costs for college students.

6begin insert(end insertbegin insertg)end insertbegin insertend insertbegin insertA local academic senate of a campus of the California State
7University or the California Community Colleges may commence
8its application by adopting a local campus resolution as of January
91, 2016, pursuant to subdivision (a). The California Open
10Education Resources Council shall be ready to review grant
11applications on or before March 1, 2016.end insert

12

67425.  

This part shall become inoperative on July 1, 2020,
13and, as of January 1, 2021, is repealed, unless a later enacted
14statute, that becomes operative on or before January 1, 2021,
15deletes or extends the dates on which it becomes inoperative and
16is repealed.

17begin insert

begin insertSEC. 2.end insert  

end insert

begin insertSection 69999.6 of the end insertbegin insertEducation Codeend insertbegin insert is amended to
18read:end insert

19

69999.6.  

(a) In enacting this article, it is the intent of the
20Legislature to accomplish all of the following:

21(1) Provide explicit authority to the board to continue to
22administer accounts for, and make awards to, persons who qualified
23for awards under the provisions of the Governor’s Scholarship
24Programs as those provisions existed on January 1, 2003, prior to
25the repeal of former Article 20 (commencing with Section 69995).

26(2) Provide for the management and disbursement of funds
27previously set aside for the scholarship programs authorized by
28former Article 20 (commencing with Section 69995).

29(3) Provide a guarantee should additional funds be needed to
30cover awards authorized and made pursuant to former Article 20
31(commencing with Section 69995).

32(b) The board may manage and disburse the funds previously
33set aside for the scholarship programs authorized by former Article
3420 (commencing with Section 69995).

35(c) If a person has earned an award under the Governor’s
36Scholarship Programs on or before January 1, 2003, but has not
37claimed the award on or before June 30, 2004, he or she still may
38claim the award by a date that is five years from the first June 30
39that fell after he or she took the qualifying test. An award shall not
40be made by the board after that date.

P8    1(d) The board shall negotiate with the current manager of the
2Governor’s Scholarship Programs and execute an amended or new
3management and funding agreement, before January 1, 2013, which
4shall include, but not be limited to, all of the following:

5(1) Terms providing for the return to the General Fund by no
6later than January 1, 2013, of moneys appropriated to the
7Governor’s Scholarship Programs that are not anticipated to be
8needed to make awards pursuant to paragraphs (1) and (2) of
9subdivision (a).

10(2) Provisions that authorize the board to pay agreed-upon early
11withdrawal penalties or fees.

12(3) Terms that extend to the final date upon which the board
13may withdraw funds for a person who earned an award under the
14Governor’s Scholarship Programs.

15(e) (1) If funds retained in the Golden State Scholarshare Trust
16after January 1, 2013, are insufficient to cover the remaining
17withdrawal requests, it is the intent of the Legislature to appropriate
18the necessary funds to the Golden State Scholarshare Trust for the
19purpose of funding individual beneficiary accounts.

20(2) The board shall notify the Department of Finance and the
21Legislature no later than 10 working days after determining that
22a shortfall in available funding described in paragraph (1) will
23occur.

24(f) (1) Of the funds transferred to the General Fund pursuant
25to paragraph (1) of subdivision (d), five million dollars
26($5,000,000) is hereby appropriated to the Chancellor of the
27California State University, without regard to fiscal years, to fund
28the establishment and administration of the California Open
29Education Resources Council and the California Digital Open
30Source Library, and the development or acquisition of open
31education resources, or any combination thereof, pursuant to
32legislation enacted in the 2011-12 Regular Session of the
33Legislature,begin delete provided that theend deletebegin insert or for the funding of grants and
34administrative costs pursuant to the College Textbook Affordability
35Act of 2015 (Part 40.1 (commencing with Section 67420) of
36Division 5). Theend insert
chancellor may provide reimbursement to the
37California Community Colleges and the University of California
38for costs those segments, or their representatives, incur in
39association with the activities described in this paragraph.

P9    1(2) begin insert(A)end insertbegin insertend insert Moneys, or a portion of moneys, appropriated pursuant
2to paragraph (1) shall not be encumbered unless at least 100 percent
3of that amount encumbered is matched by private funds. Moneys
4appropriated pursuant to paragraph (1) that are not matched by
5private funds shall revert to the Golden State Scholarshare Trust
6for purposes of the Governor’s Scholarship Programs.

begin insert

7(B) Notwithstanding subparagraph (A), moneys appropriated
8for purposes of the College Textbook Affordability Act shall not
9be required to be matched by private funds.

end insert

10(g) The board may adopt rules and regulations for the
11implementation of this article.



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