BILL NUMBER: AB 1317	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Salas
   (Principal coauthor: Assembly Member Roger Hernández)
   (Coauthors: Assembly Members Alejo, Calderon, Dodd, Frazier,
Gomez, Gonzalez, McCarty, Rodriguez, and Weber)
   (Coauthors: Senators Anderson, Beall, Cannella, Galgiani, Hall,
Hueso, Lara, Mendoza, and Vidak)

                        FEBRUARY 27, 2015

   An act to add Section 89500.4 to, and to add Article 2 (commencing
with Section 92010) to Chapter 1 of Part 57 of Division 9 of Title 3
of, the Education Code, relating to public postsecondary education.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1317, as introduced, Salas. Public postsecondary education:
executive officer compensation.
   Existing law establishes the University of California, which is
administered by the Regents of the University of California, and the
California State University, which is administered by the Trustees of
the California State University, as 2 of the segments of public
postsecondary education in this state. Existing law authorizes the
regents and the trustees to employ officers and other employees.
   This bill would prohibit the trustees from increasing the
compensation of any executive officer, as defined, of the California
State University when the amount of mandatory systemwide student fees
and tuition of the university has been increased at any time in the
immediately preceding 4 years.
   The bill would also request the regents to refrain from increasing
the compensation of any executive officer, as defined, of the
University of California, when the amount of mandatory systemwide
student fees and tuition of the university has been increased at any
time in the immediately preceding 4 years.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) On November 19, 2014, the Regents of the University of
California voted on a "five-year stability plan," which establishes
annual tuition and student fee increases of up to 5 percent per year
for both undergraduate and graduate students, with increase levels
contingent on state funding.
   (b) While increasing tuition costs for students, the regents also
approved compensation increases of up to 20 percent for several
chancellors and executives.
   (c) Twelve California State University campuses have imposed
"student success fees" of up to nearly eight hundred dollars ($800)
per student, charged in addition to tuition, to augment academic
services and hire faculty.
   (d) On November 13, 2014, the Trustees of the California State
University approved a 3-percent compensation increase for top
executives.
   (e) As public institutions designed to serve students, state
universities have a responsibility to keep education accessible and
affordable and to prioritize student needs over executive pay.
   (f) The State of California has an interest in holding state
universities accountable and maintaining affordability in higher
education.
  SEC. 2.  Section 89500.4 is added to the Education Code, to read:
   89500.4.  (a) The trustees shall not increase the compensation of
any executive officer when the amount of mandatory systemwide student
fees and tuition of the university has been increased at any time in
the immediately preceding four years.
   (b) As used in this section, "executive officer" includes, but is
not limited to, the Chancellor of the California State University, a
vice chancellor or an executive vice chancellor of the university,
the general counsel of the university, the trustees' secretary, or a
president of a campus.
   (c) Subdivision (a) shall apply only to executive officers that
enter into or renew contracts for employment with the California
State University on or after January 1, 2016.
  SEC. 3.  Article 2 (commencing with Section 92010) is added to
Chapter 1 of Part 57 of Division 9 of Title 3 of the Education Code,
to read:

      Article 2.  Executive Compensation


   92010.  (a) The Regents of the University of California are
requested to refrain from increasing the compensation of any
executive officer when the amount of mandatory systemwide student
fees and tuition of the university has been increased at any time in
the immediately preceding four years.
   (b) As used in this section, "executive officer" includes, but is
not limited to, the President of the University of California, the
chancellor of an individual campus, a vice president of the
university, the treasurer or the assistant treasurer of the
university, the general counsel of the university, and the regents'
secretary.
   (c) Subdivision (a) shall apply only to executive officers that
enter into or renew contracts for employment with the University of
California on or after January 1, 2016.