BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON
          PUBLIC EMPLOYMENT AND RETIREMENT
                               Dr. Richard Pan, Chair
                                2015 - 2016  Regular 

          Bill No:            AB 2155         Hearing Date:    6/13/16
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          |Author:    |Ridley-Thomas                                        |
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          |Version:   |3/28/16    As amended                                |
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          |Urgency:   |No                     |Fiscal:    |Yes              |
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          |Consultant:|Glenn Miles                                          |
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          Subject:  Teachers:  retirement:  full time creditable service

            SOURCE:  Los Angeles College Faculty Guild
          
            ASSEMBLY VOTES:
          
          
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          |Assembly Floor:                 |76 - 0                          |
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          |Assembly Appropriations         |16 - 0                          |
          |Committee:                      |                                |
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          |Assembly Public Employees,      |6 - 0                           |
          |Retirement/Soc Sec Committee:   |                                |
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           DIGEST:    This bill requires that collective bargaining  
          agreements or employment agreements applying to part-time  
          instructors and to adult education instructors specify the  
          number of hours required to earn "full-time" creditable service  
          for purposes of retirement benefits and also specify which  
          courses are subject to the minimum standard for adult education  
          courses.

          ANALYSIS:
          
          Existing law:
          







          AB 2155 (Ridley-Thomas)                           Page 2 of ?
          
          
          1)For purposes of determining creditable service in CalSTRS,  
            provides that "full time" means the days or hours of  
            creditable service the employer requires to be performed by a  
            class of employees in a school year in order to earn specified  
            compensation earnable.

          2)Requires that the number of hours necessary to meet the  
            definition of full- time employment in a school year be  
            specified in a collective bargaining agreement or employment  
            agreement.

          3)Prevents full-time employment from being less than the  
            specified minimum standard and specifies that the minimum  
            standard, generally, for full time instructors in community  
            colleges is 175 days per year or 1,050 hours per year.   
            Typically, full time consists of a minimum of 525  
            instructional or classroom hours with the balance consisting  
            of non-instructional hours for time for duties the employer  
            requires to be performed as part of the full-time assignment  
            for a particular class of employees (This is also referred to  
            as the full time credit course time base of 15 hours/week for  
            35 weeks).  Other categories do not include non-instructional  
            hours in their minimum standards.

          4)Specifies that for community college instructors employed on a  
            part-time basis, the minimum standard to earn creditable  
            service for full time is 525 instructional hours (i.e., 15  
            hours/week for 35 weeks).

          5)Specifies that for community college instructors employed in  
            adult education programs (also referred to as noncredit  
            courses) the minimum standard for full time is 875  
            instructional hours (i.e., 25 hours/week for 35 weeks).

          This bill:

          1)Requires collective bargaining agreements or employment  
            agreements applying to any part-time instructors and to adult  
            education instructors to do all of the following:


             a)   Specify the number of hours of creditable service that  
               equal full time for part-time and adult education  
               instructors.









          AB 2155 (Ridley-Thomas)                           Page 3 of ?
          
          
             b)   For an agreement entered into, extended, renewed, or  
               amended on or after January 1, 2017, specify the courses  
               for which an instructor is subject to the 875 instructional  
               hour minimum standard for adult education courses, if  
               applicable.  Thus, creditable service for instructors of  
               courses not specified in the agreement would be based on  
               the 175 day or 1050 hour minimum standard for full time and  
               the 525 instruction hour minimum standard for part time  
               (i.e., if the agreement specifies the course is adult  
               education, the instructor will have to perform a minimum of  
               25 instructional hours/week but if the agreement does not  
               specify the course is adult education, the instructor will  
               have to perform a minimum of 15 instructional hours/week).

             c)   Make specific reference to the section Education Code  
               Section 22138.5, defining the minimum standard for full  
               time for creditable service.

          Background

          Districts and their faculty employees generally bargain to  
          define full-time employment and identify a specified number of  
          days or hours required to work per school year as full time.   
          However, for purposes of earning creditable service for CalSTRS  
          retirement benefits, there are minimum hours that employees must  
          work to earn a year of creditable service in the retirement  
          system.  These minimum standards vary depending on whether the  
          employee teaches full time or part time, and by which courses  
          the employee teaches.  Community college employers and employees  
          refer to credit and noncredit courses.  However, provisions  
          governing CalSTRS do not make references to credit or noncredit  
          courses, instead referring to instruction in courses (i.e.,  
          credit) or in adult education courses (i.e., noncredit).   
          Generally, the minimum standard for full-time instructors in  
          community colleges is 175 days per year or 1,050 hours per year.  
           However, this includes non-instructional hours.  Of these 1,050  
          hours, a minimum of 525 must be instructional (i.e., classroom)  
          hours.

          According to CalSTRS, "Existing law sets minimum standards for  
          instructional hours for all instructors at community colleges.   
          Community college instructors employed to teach courses in adult  
          education are subject to current minimum full-time requirements  
          of 875 instructional hours of creditable service, although each  
          community college district may have actual requirements that are  








          AB 2155 (Ridley-Thomas)                           Page 4 of ?
          
          
          higher than this minimum.  CalSTRS is not involved in setting  
          the actual instructional hour requirements by community college  
          districts.  However, current law requires community college  
          districts to submit a copy of the agreements that include adult  
          education instructors."

          Under AB 2155, a community college district and its employees  
          would have to bargain to decide which courses should be  
          specified as adult education courses and thus, the minimum  
          instructional hours a full-time instructor would have to work to  
          earn creditable service-either 525 instructional hours (15 hours  
          per week for 35 weeks) or 875 instructional hours (25 hours per  
          week for 35 weeks).

          According to the author, SB 361 (Scott), Chapter 631, Statutes  
          of 2006, "?established three levels of funding for community  
          colleges.  Credit courses were funded at the highest level and  
          noncredit (adult education) courses were funded at the lowest  
          level.  In between those two levels was a third level for Career  
          Development and College Preparation (CDCP) courses, which are  
          also considered noncredit courses.  CDCP courses, however, are  
          different from traditional noncredit courses in that they are a  
          series of courses that lead to a certificate of completion that  
          is designed to improve employment prospects and increase  
          transfer opportunities to four-year institutions."

          "Many community colleges offer what could be CDCP curriculum in  
          the credit format because the funding level for CDCP courses was  
          lower than courses offered for credit.  Last year's budget  
          created funding parity between CDCP courses and courses offered  
          for credit.  Many community colleges find that offering CDCP  
          courses in the noncredit format is better for students because  
          there are no student fees for noncredit courses and it allows  
          faculty to accelerate coursework to better fit the needs of  
          students."

          "A barrier that community colleges must overcome to take  
          advantage of offering CDCP courses in the noncredit format is  
          the requirement that faculty teaching noncredit courses are  
          required to provide at least 25 instructional hours per week  
          while faculty teaching courses for credit are required to  
          provide 15 instructional hours per week.  Because of the  
          instructional hour requirement for CDCP courses, the state could  
          miss out on an opportunity to increase student readiness for  
          employment and college-level work."








          AB 2155 (Ridley-Thomas)                           Page 5 of ?
          
          

          According to the sponsor, "This measure would authorize, not  
          require, community college districts to equalize the minimum  
          instructional hour requirements for credit courses and CDCP  
          courses.  Districts would be authorized to establish, through  
          bargaining, a lower instructional hour requirement,  
          specifically, 15 instructional hours per week, for CDCP courses.  
           Under the legislation, districts would specifically identify  
          which courses are adult education courses for the purposes of  
          service credit allowing CDCP courses to be identified as courses  
          that are not adult education."

          Related/Prior Legislation
          
          AB 1713 (Furutani, Chapter 236, Statutes of 2010) authorized the  
          community college board of governors (BOG) to adopt criteria and  
          standards for the identification of CDCP courses and their  
          eligibility for funding, including the definition of courses  
          eligible for specified supplemental funding.

          SB 361 (Scott, Chapter 631, Statutes of 2006) replaced the prior  
          system of program-based funding for community colleges with new  
          methodologies for allocating general apportionments and for  
          determining BOG budget requests; established a new category of  
          non-credit courses as eligible for enhanced funding; and  
          implemented 2006-07 Budget Act appropriations for equalization  
          and non-credit instruction.

          FISCAL EFFECT:                 Appropriation:  No    Fiscal  
          Com.:             Yes          Local:          No


          SUPPORT:

          Los Angeles College Faculty Guild (source)
          California Federation of Teachers
          California Teachers Association
          Los Rios Community College District
          San Bernardino Community College District
          South Orange County Community College District

          OPPOSITION:

          Mt. San Antonio College Community College District
          North Orange County Community College District








          AB 2155 (Ridley-Thomas)                           Page 6 of ?
          
          

          ARGUMENTS IN SUPPORT:    According to the sponsor, "the measure  
          would authorize a community college district to locally bargain  
          to reduce the required instructional hours for faculty to  
          receive a full year of service credit for certain noncredit  
          courses."  Additionally, "this bill would recognize the  
          equalized funding for the two types of courses by also allowing  
          districts to equalize service credit requirements for faculty."

          According to the California Teachers' Association, "AB 2155  
          provides parity for community college educators by allowing the  
          parties to negotiate the same instructional hour requirements  
          for both non-credit and credit classes."

          The California Federation of Teachers, commenting on the  
          disparity between the 15 instructional hour per week minimum  
          standard for credit course instructors and the 25 instructional  
          hour per week minimum standard for noncredit course instructors  
          states, "This bill seeks to remedy this inequity and allow the  
          community colleges to use CDCP courses to increase student  
          readiness for employment and college-level work."
          
          ARGUMENTS IN OPPOSITION:   The opposition believes that AB 2155  
          requires collective bargaining agreements or employments  
          agreements that apply to CDCP courses to be subject to a lower  
          instructional hour requirement for purposes of determining  
          service credit under CalSTRS.  According to the North Orange  
          County Community College District, "While the bill provides an  
          option, rather than a mandate, to bargain a reduction in  
          workload, we know that trend will be pressured during bargaining  
          negotiations.  Deeming the bill as an option may be factually  
          accurate, but in reality, we believe AB 2155 will pressure  
          districts to lower the workload."

          If the bill results in lower faculty workload, the opposition  
          believes that it would "make CDCP courses much more expensive  
          and, as a result, discourage colleges from hiring full-time  
          noncredit faculty"; require colleges to supplement noncredit  
          "with part-time faculty teaching hours to reach the 25 hours per  
          week"; and hire additional part-time faculty because of a ripple  
          effect of a reduction on part-time faculty workload since "the  
          maximum permitted amount of workload for part-time faculty is  
          67% of the full-time faculty."

          The opposition raises additional concerns that the equalization  








          AB 2155 (Ridley-Thomas)                           Page 7 of ?
          
          
          FTE reimbursement for noncredit courses will generate lower  
          revenue than credit course FTE reimbursements while requiring  
          districts to pay the same salaries or wages to instructor of  
          noncredit courses as to those of credit courses since the former  
          is based on positive attendance and the latter is based on a  
          census model.