BILL ANALYSIS                                                                                                                                                                                                    Ó






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          |SENATE RULES COMMITTEE            |                       AB 1361|
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                                   THIRD READING 


          Bill No:  AB 1361
          Author:   Burke (D)
          Amended:  5/20/15 in Assembly
          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:  7-0, 8/27/15
           AYES: Lara, Bates, Beall, Hill, Leyva, Mendoza, Nielsen

           ASSEMBLY FLOOR:  80-0, 6/1/15 - See last page for vote

           SUBJECT:   Student financial aid:  Cal Grant Program:  veterans


          SOURCE:    Author


          DIGEST:  This bill exempts a current or former member of the  
          Armed Forces of the United States, unless the individual  
          received a dishonorable discharge, from the age limitations of  
          the California Community College (CCC) Transfer Cal Grant  
          Entitlement Program.  


          ANALYSIS: 

          Existing law:

          1)Establishes the Cal Grant program, administered by the  
            California Student Aid Commission (CSAC), to provide tuition  








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            and access cost assistance to eligible students attending  
            qualified institutions.  The CCC Transfer Entitlement Awards  
            provide Cal Grant A and B awards to every student who  
            graduated from a California high school after June 30, 2000,  
            was a California resident at the time of high school  
            graduation, transferred to a qualifying baccalaureate-degree  
            granting institution from a CCC during the award year, was  
            under the age of 28 at the time of the transfer, and had a  
            minimum California Community College grade point average (GPA)  
            of 2.4.  (Education Code § 69432)

          2)Provides maximum award amounts for California State University  
            (CSU) and University of California (UC) are established in the  
            annual Budget Act and have traditionally covered all system  
            wide tuition and fees. The maximum tuition award for Cal Grant  
            A and B for students attending private for-profit colleges is  
            $4,000 (commencing 2013-14), and for students attending  
            non-profit or Western Association of Schools and Colleges  
            (WASC)-accredited for-profit institutions is $8,056  
            (commencing 2015-16).  (EC § 69432)

          This bill:

          1)Exempts a current or former member of the Armed forces of the  
            United States, unless the individual received a dishonorable  
            discharge, from the age limitations of the California  
            Community College (CCC) Transfer Cal Grant Entitlement  
            Program. 

          2)Requires an institution to ensure that it does not accept  
            award funds under both this section and United States Code  
            Title 38 in the same award year for a current or former member  
            of the Armed Forces of the United States who is 28 years of  
            age or older.

          COMMENTS
          
          1)Need for the bill.  Current law requires a student to be under  
            the age of 28 years old in order to be eligible for the  
            California Community College Transfer Entitlement (Transfer  
            Entitlement). According to the author, this age eligibility  
            requirement presents a barrier for veterans who as a result of  
            their time in the service, attend college later in life, tend  
            to be older and are more likely to support a family while  







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            enrolled in school. The California Community College  
            Chancellor's Office reports that approximately 27,000 of  
            veterans attending California Community Colleges (CCC) are  
            over the age of 30. This bill seeks to allow veterans greater  
            access to higher education by removing the age requirement in  
            order to qualify for the Transfer Entitlement Award. 

          2)The Community College Transfer Entitlement Program.  The  
            Transfer Entitlement award was structured to provide the same  
            guarantee of Cal Grant eligibility to California students who  
            start community college and transfer to a four year college or  
            university some years later, as the Cal Grant Entitlement  
            program provides high school students entering directly into  
            four year college or university. 
          
          3)The Transfer Entitlement award provides for full fees at CCC,  
            California State University (CSU) and the University of  
            California (UC), as well as tuition support at private  
            California colleges and universities. For veterans 28 years or  
            older this bill would provide a new education benefit that  
            otherwise would not have been available. Particularly for  
            veteran students who have exhausted GI bill eligibility.  
          
          4)Other tuition benefits for veterans.  Veterans may access  
            various education benefits through the federal government. The  
            most common among them is the federal Montgomery GI Bill,  
            which provides active-duty service members and veterans a  
            monthly tax-free benefit to be used for tuition, books, fees,  
            and living expenses while earning an undergraduate or graduate  
            degree, or attending trade school. The GI bill could provide  
            veteran students up to $20,000 (approximately) in education  
            benefits for the 2015-16 academic year. 

            To note, the federal government is the last payer if the state  
            offers an equivalent tuition benefit to veterans. To avoid  
            supplanting federal dollars, this bill specifies that a  
            veteran cannot use both sources within the same academic year.  
            A student would need to choose when to use either award in  
            order to maximize the expanded benefit provided by provisions  
            in this bill. 

          Prior Legislation 

          AB 303 (Calderon, 2014) would have entitled an otherwise  







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          eligible veteran to a Cal Grant A Entitlement Award or a Cal  
          Grant B Entitlement Award. AB 303 was pulled from the Assembly  
          Higher Education committee at the request of the chair. 

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

          
          According to the Senate Appropriations Committee, unknown,  
          potentially significant costs depending on the number of  
          students that opt to postpone the use of their GI benefits in  
          order to receive a Cal Grant under the CCC Transfer Cal Grant  
          Entitlement Program.  Because benefits under the GI bill are  
          greater than provided through the state's student financial aid  
          program, it is unlikely that many students will choose to access  
          this benefit.  


          SUPPORT:   (Verified8/27/15)


          California School Employees Association 
          Community College League of California 
          AMVETS-Department of California
          American Legion Department of California
          California Association of County Veteran Service Officers
          California State Commanders Veterans Council
          Vietnam Veterans of America-California State Council


          OPPOSITION:   (Verified 8/27/15)


          None received

          ASSEMBLY FLOOR:  80-0, 6/1/15
          AYES:  Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom,  
            Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang,  
            Chau, Chávez, 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,  







                                                                    AB 1361  
                                                                    Page  5


            Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen,  
            Patterson, Perea, Quirk, Rendon, Ridley-Thomas, Rodriguez,  
            Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting,  
            Wagner, Waldron, Weber, Wilk, Williams, Wood, Atkins

          Prepared by:Olgalilia Ramirez / ED. / (916) 651-4105
          8/31/15 10:14:19


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