BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 1449


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          Date of Hearing:  January 21, 2016


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                                 Jimmy Gomez, Chair


          AB  
          1449 (Lopez) - As Amended January 5, 2016


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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill allows a student to qualify for a California Community  
          College (CCC) Transfer Cal Grant Entitlement Program award  
          without having received a high school diploma or equivalent, as  
          long as the student was a California resident on his or her 18th  








                                                                    AB 1449


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          birthday.


          FISCAL EFFECT:


          According to the California Student Aid Commission, in 2014-15,  
          319 applicants were denied a Transfer Entitlement due to lack of  
          high school graduation or equivalent. Assuming there are 300  
          such applicants on average each year 85% of these applicants  
          would obtain an award pursuant to this bill, first-year General  
          Fund costs, assuming an average award of $8,000, would be about  
          $2 million. Annual costs thereafter would be around $4 million.   



          COMMENTS:


          1)Background. The Transfer Entitlement provides financially  
            needy California students whom did not receive a Cal Grant A  
            or B award after leaving high school with a "second chance" to  
            receive an award upon transfer to a qualifying institution.   
            To receive an award, applicants must meet eligibility  
            requirements, submit the Free Application for Federal Student  
            Aid and the Cal Grant GPA Verification Form, and complete and  
            return a Certification Form that includes information on high  
            school attendance and graduation, CCC attendance, and  
            California residency.


          2)Purpose. According to the author, California has established  
            an unnecessary barrier for nontraditional low-income transfer  
            students by requiring Transfer Entitlement award recipients to  
            possess a California high school diploma or equivalent. The  
            author notes that CCCs are required to admit all California  
            students over the age of 18 regardless of whether they have  
            obtained a high school diploma or equivalency, and a high  
            school diploma or equivalency is not a requirement for  








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            admittance at UC or CSU campuses if a student has satisfied  
            requirements for upper-division transfer from a CCC.  AB 1449  
            allows CCC transfer students to access a Transfer Entitlement  
            award regardless of whether they have obtained a high school  
            diploma or its equivalency.


          Analysis Prepared by:Chuck Nicol / APPR. / (916)  
          319-2081