BILL ANALYSIS Ó AB 1397 Page 1 Date of Hearing: May 20, 2015 ASSEMBLY COMMITTEE ON APPROPRIATIONS Jimmy Gomez, Chair AB 1397 (Ting) - As Amended May 5, 2015 ----------------------------------------------------------------- |Policy |Higher Education |Vote:|10 - 3 | |Committee: | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: NoReimbursable: No SUMMARY: This bill requires the accrediting agency for the California Community Colleges (CCC) to meet specified operational standards, including: AB 1397 Page 2 1)Requiring each visiting accreditation team to have an appropriate share of academics. 2)Establishing and enforcing procedures so that accreditation team members do not have conflicts of interest, as specified. 3)Ensuring that those wanting to appear at open meeting sessions of the agency have an opportunity to attend, and allowing sufficient time for public comment. 4)Making minutes of open portions of meetings and accreditation votes available on the agency's website. 5)Preserving all documents generated during a accreditation-related review for at least 36 months. 6)Providing a community college district with advance notice of an accreditation decision and an opportunity to respond. 7)Sharing any accreditation team's recommendation for action with the district at least six weeks prior to the agency making a decision on that recommendation. 8)Having a written policy identifying a period for an institution to correct any deficiencies and criteria for altering that period. 9)Providing an institution subject to sanction an opportunity to appeal the decision. AB 1397 Page 3 FISCAL EFFECT: To the extent compliance with the above increases the accrediting agency's operating costs, the accreditation fees charged by the agency to community colleges may increase. The additional costs to districts would not be state reimbursable. COMMENTS: 1)Purpose. According to the author, AB 1397 establishes reasonable parameters under which any accreditation agency should operate in the course of overseeing California's community and junior colleges. The author believes this legislation creates strong conflict of interest policies, provides due process to our education institutions and stakeholders, requires open decision-making, and creates a meaningful appeals process. 2)Background. Accreditation is a voluntary, non-governmental peer review process used to determine academic quality. Accrediting agencies are private organizations that establish operating standards for educational or professional institutions and programs, determine the extent to which the standards are met, and publicly announce their findings. Under federal law, the USDE establishes the general standards for accreditation agencies and is required to publish a list of recognized accrediting agencies that are deemed reliable authorities on the quality of education provided by their accredited institutions. Institutional accreditation is a AB 1397 Page 4 requirement for participation in federal financial aid programs. Under federal regulations, accrediting agencies are required to meet general outlined standards, but specific processes and quality standards are left to each accrediting agency to determine. There are six USDE-recognized regional accrediting agencies. Each regional accreditor encompasses public, the vast majority of non-profit private (independent), and some for-profit postsecondary educational institutions in the region it serves. California's regional accrediting agency is separated into two commissions; The Accrediting Commission for Community and Junior Colleges (ACCJC) is the regional accrediting agency for community colleges in the western region (California, Hawaii, and U.S. territories). Between 2003 and 2008, ACCJC had placed 37% of CCCs on "sanction" (at risk of losing accreditation). A study of other regional accreditors showed that during this same time, the percentage of community colleges being sanctioned ranged from 0 to 6%. The large number of penalties for community colleges under ACCJCs jurisdiction led community college leaders, faculty, and staff to, through the CCC Chancellor's Office (CCCCO) Consultation Council, review and make recommendations regarding ACCJC's actions. In June of 2014, the BSA released an audit of ACCJC's application of the accreditation process. The audit was conducted at the request of the Joint Legislative Audit Committee (JLAC) following concerns among several legislators over the ACCJC decision to terminate accreditation for City AB 1397 Page 5 College of San Francisco (CCSF). The BSA audit includes a series of recommendations to improve CCC accreditation; among the recommendations supported by CCCCO, BSA recommended the CCCCO facilitate improved communication between CCCs and ACCJC. BSA also recommended allowing CCCs flexibility to choose an accrediting agency; the CCCCO responded that this recommendation should not be pursued as it could lead to reduced transparency, reduced employee mobility within CCCs, and added challenges in overseeing colleges effectively. The CCC Board of Governors (BOG) took action to remove ACCJC from the regulatory requirement for CCC accreditation, but will still require a single accreditor for all colleges. This bill sets a precedent that the state has a role in the peer-review and oversight provided by an accrediting agency. Proponents argue that accrediting agencies play an important role in oversight of institutions receiving public funding, and that the public has an interest in fairness in accreditation. Conversely, the Community College League of California argues that accreditation is meant to be a peer-review process, governed by a national standard. The League argues this bill would make it very difficult for the agency to comply with federal requirements and attract qualified staff, visiting team members, or commissioners. 3)Related Legislation. AB 404 (Chiu), awaiting referral in the Senate, requires the CCC BOG to conduct a survey of the CCC, including faculty and classified personnel, to develop a report to be transmitted to the USDE that reflects a systemwide evaluation of the agency based on criteria used to determine an accreditor's status. AB 1397 Page 6 AB 1385 (Ting), pending in the Assembly, prohibits the accrediting agency for the CCCs from imposing a special assessment on CCCs for legal fees for any lawsuit, unless there has been an affirmative vote of the majority of the chief executive officers, or their designees, of all of the CCCs. Analysis Prepared by:Chuck Nicol / APPR. / (916) 319-2081