Amended in Assembly April 7, 2016

Amended in Assembly April 5, 2016

Amended in Assembly March 16, 2016

California Legislature—2015–16 Regular Session

Assembly Bill No. 2364

Introduced by Assembly Members Holden and Gipson

February 18, 2016

An act to amend Sections 76004 and 76140 of the Education Code, relating to public postsecondary education.

LEGISLATIVE COUNSEL’S DIGEST

AB 2364, as amended, Holden. Public postsecondary education: community colleges: exemption from nonresident tuition.

Existing law establishes the California Community Colleges, under the administration of the Board of Governors of the California Community Colleges, as one of the segments of public postsecondary education in this state. Existing law establishes community college districts throughout the state, and authorizes them to operate campuses and provide instruction to students. Existing law authorizes community college districts to admit nonresident students, and requires that nonresident students be charged a nonresident tuition fee unless an exemption is applicable. Existing law authorizes a community college district to exempt from all or parts of the fee a special part-time student admitted pursuant to a specified begin insert concurrent or dual enrollment end insert program.

This bill instead would require a community college district to exempt a special part-time student, other than a nonimmigrant alien, as defined, from paying all or parts of the fee if that student is admitted pursuant to begin insert one of additionally end insert specified begin insert concurrent or dual enrollment end insert programs. Because the bill would require community college districts to determine whether students qualify for exemption from nonresident tuition, it would constitute a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

SECTION 1.  

Section 76004 of the Education Code is amended
to read:

76004.  

Notwithstanding Section 76001 or any other law:

(a) The governing board of a community college district may
enter into a College and Career Access Pathways (CCAP)
partnership with the governing board of a school district for the
purpose of offering or expanding dual enrollment opportunities
for students who may not already be college bound or who are
underrepresented in higher education, with the goal of developing
seamless pathways from high school to community college for
career technical education or preparation for transfer, improving
high school graduation rates, or helping high school pupils achieve
college and career readiness.

(b) A participating community college district may enter into a
CCAP partnership with a school district partner that is governed
by a CCAP partnership agreement approved by the governing
boards of both districts. As a condition of, and before adopting, a
CCAP partnership agreement, the governing board of each district,
at an open public meeting of that board, shall present the dual
enrollment partnership agreement as an informational item. The
governing board of each district, at a subsequent open public
meeting of that board, shall take comments from the public and
approve or disapprove the proposed agreement.

(c) (1) The CCAP partnership agreement shall outline the terms
of the CCAP partnership and shall include, but not necessarily be
limited to, the total number of high school students to be served
and the total number of full-time equivalent students projected to
be claimed by the community college district for those students;
the scope, nature, time, location, and listing of community college
courses to be offered; and criteria to assess the ability of pupils to
benefit from those courses. The CCAP partnership agreement shall
also establish protocols for information sharing, in compliance
with all applicable state and federal privacy laws, joint facilities
use, and parental consent for high school pupils to enroll in
community college courses.

(2) The CCAP partnership agreement shall identify a point of
contact for the participating community college district and school
district partner.

(3) A copy of the CCAP partnership agreement shall be filed
with the office of the Chancellor of the California Community
Colleges and with the department before the start of the CCAP
partnership. The chancellor may void any CCAP partnership
agreement it determines has not complied with the intent of the
requirements of this section.

(d) A community college district participating in a CCAP
partnership shall not provide physical education course
opportunities to high school pupils pursuant to this section or any
other course opportunities that do not assist in the attainment of
at least one of the goals listed in subdivision (a).

(e) A community college district shall not enter into a CCAP
partnership with a school district within the service area of another
community college district, except where an agreement exists, or
is established, between those community college districts
authorizing that CCAP partnership.

(f) A high school pupil enrolled in a course offered through a
CCAP partnership shall not be assessed any fee that is prohibited
by Section 49011.

(g) A community college district participating in a CCAP
partnership may assign priority for enrollment and course
registration to a pupil seeking to enroll in a community college
course that is required for the pupil’s CCAP partnership program
that is equivalent to the priority assigned to a pupil attending a
middle college high school as described in Section 11300 and
consistent with middle college high school provisions in Section
76001.

(h) The CCAP partnership agreement shall certify that any
community college instructor teaching a course on a high school
campus has not been convicted of any sex offense as defined in
Section 87010, or any controlled substance offense as defined in
Section 87011.

(i) The CCAP partnership agreement shall certify that any
community college instructor teaching a course at the partnering
high school campus has not displaced or resulted in the termination
of an existing high school teacher teaching the same course on that
high school campus.

(j) The CCAP partnership agreement shall certify that a qualified
high school teacher teaching a course offered for college credit at
a high school campus has not displaced or resulted in the
termination of an existing community college faculty member
teaching the same course at the partnering community college
campus.

(k) The CCAP partnership agreement shall include a certification
by the participating community college district of all of the
following:

(1) A community college course offered for college credit at
the partnering high school campus does not reduce access to the
same course offered at the partnering community college campus.

(2) A community college course that is oversubscribed or has
a waiting list shall not be offered in the CCAP partnership.

(3) Participation in a CCAP partnership is consistent with the
core mission of the community colleges pursuant to Section
66010.4, and that pupils participating in a CCAP partnership will
not lead to enrollment displacement of otherwise eligible adults
in the community college.

(l) The CCAP partnership agreement shall certify that both the
school district and community college district partners comply
with local collective bargaining agreements and all state and federal
reporting requirements regarding the qualifications of the teacher
or faculty member teaching a CCAP partnership course offered
for high school credit.

(m) The CCAP partnership agreement shall specify both of the
following:

(1) Which participating district will be the employer of record
for purposes of assignment monitoring and reporting to the county
office of education.

(2) Which participating district will assume reporting
responsibilities pursuant to applicable federal teacher quality
mandates.

(n) The CCAP partnership agreement shall certify that any
remedial course taught by community college faculty at a
partnering high school campus shall be offered only to high school
students who do not meet their grade level standard in math,
English, or both on an interim assessment in grade 10 or 11, as
determined by the partnering school district, and shall involve a
collaborative effort between high school and community college
faculty to deliver an innovative remediation course as an
intervention in the student’s junior or senior year to ensure the
student is prepared for college-level work upon graduation.

(o) (1) A community college district may limit enrollment in
a community college course solely to eligible high school students
if the course is offered at a high school campus during the regular
school day and the community college course is offered pursuant
to a CCAP partnership agreement.

(2) For purposes of allowances and apportionments from Section
B of the State School Fund, a community college district
conducting a closed course on a high school campus pursuant to
paragraph (1) of subdivision (p) shall be credited with those units
of full-time equivalent students attributable to the attendance of
eligible high school pupils.

(p) A community college district may allow a special part-time
student participating in a CCAP partnership agreement established
pursuant to this article to enroll in up to a maximum of 15 units
per term if all of the following circumstances are satisfied:

(1) The units constitute no more than four community college
courses per term.

(2) The units are part of an academic program that is part of a
CCAP partnership agreement established pursuant to this article.

(3) The units are part of an academic program that is designed
to award students both a high school diploma and an associate
degree or a certificate or credential.

(q) The governing board of a community college district
participating in a CCAP partnership agreement established pursuant
to this article shall exempt special part-time students described in
subdivision (p) from the fee requirements in Sections 76060.5,
76223, 76300, 76350, and 79121.

(r) A district shall not receive a state allowance or apportionment
for an instructional activity for which the partnering district has
been, or shall be, paid an allowance or apportionment.

(s) The attendance of a high school pupil at a community college
as a special part-time or full-time student pursuant to this section
is authorized attendance for which the community college shall
be credited or reimbursed pursuant to Section 48802 or 76002,
provided that no school district has received reimbursement for
the same instructional activity.

(t) (1) For each CCAP partnership agreement entered into
pursuant to this section, the affected community college district
and school district shall report annually to the office of the
Chancellor of the California Community Colleges all of the
following information:

(A) The total number of high school pupils by schoolsite
enrolled in each CCAP partnership, aggregated by gender and
ethnicity, and reported in compliance with all applicable state and
federal privacy laws.

(B) The total number of community college courses by course
category and type and by schoolsite enrolled in by CCAP
partnership participants.

(C) The total number and percentage of successful course
completions, by course category and type and by schoolsite, of
CCAP partnership participants.

(D) The total number of full-time equivalent students generated
by CCAP partnership community college district participants.

(2) On or before January 1, 2021, the chancellor shall prepare
a summary report that includes an evaluation of the CCAP
partnerships, an assessment of trends in the growth of special
admits systemwide and by campus, and, based upon the data
collected pursuant to this section, recommendations for program
improvements, including, but not necessarily limited to, both of
the following:

(A) Any recommended changes to the statewide cap on special
admit full-time equivalent students to ensure that adults are not
being displaced.

(B) Any recommendation concerning the need for additional
student assistance or academic resources to ensure the overall
success of the CCAP partnerships.

(3) The chancellor shall ensure that the number of full-time
equivalent students generated by CCAP partnerships is reported
pursuant to the reporting requirements in Section 76002.

(u) The annual report required by subdivision (t) shall also be
transmitted to all of the following:

(1) The Legislature, in compliance with Section 9795 of the
Government Code.

(2) The Director of Finance.

(3) The Superintendent.

(v) A community college district that violates this article,
including, but not necessarily limited to, any restriction imposed
by the board of governors pursuant to this article, shall be subject
to the same penalty as may be imposed pursuant to subdivision
(d) of Section 78032.

(w) The statewide number of full-time equivalent students
claimed as special admits shall not exceed 10 percent of the total
number of full-time equivalent students claimed statewide.

(x) Nothing in this section is intended to affect a dual enrollment
partnership agreement existing on the effective date of this section
under which an early college high school, a middle college high
school, or California Career Pathways Trust existing on the
effective date of this section is operated. An early college high
school, middle college high school, or California Career Pathways
Trust partnership agreement existing on the effective date of this
section shall not operate as a CCAP partnership unless it complies
with the provisions of this section.

(y) This section shall remain in effect only until January 1, 2022,
and as of that date is repealed, unless a later enacted statute, that
is enacted before January 1, 2022, deletes or extends that date.

SEC. 2.  

Section 76140 of the Education Code, as amended by
Section 2.5 of Chapter 576 of the Statutes of 2013, is amended to
read:

76140.  

(a) A community college district may admit, and shall
charge a tuition fee to, nonresident students, except that a
community college district may exempt from all or parts of the
fee any person described in paragraph (1), (2), or (3), and shall
exempt from all of the fee any person described in paragraph (4)
or (5):

(1) All nonresidents who enroll for six or fewer units.
Exemptions made pursuant to this paragraph shall not be made on
an individual basis.

(2) Any nonresident who is both a citizen and resident of a
foreign country, if the nonresident has demonstrated a financial
need for the exemption. Not more than 10 percent of the
nonresident foreign students attending any community college
district may be so exempted. Exemptions made pursuant to this
paragraph may be made on an individual basis.

(3) (A) A student who, as of August 29, 2005, was enrolled,
or admitted with an intention to enroll, in the fall term of the
2005-06 academic year in a regionally accredited institution of
higher education in Alabama, Louisiana, or Mississippi, and who
could not continue his or her attendance at that institution as a
direct consequence of damage sustained by that institution as a
result of Hurricane Katrina.

(B) The chancellor shall develop guidelines for the
implementation of this paragraph. These guidelines shall include
standards for appropriate documentation of student eligibility to
the extent feasible.

(C) This paragraph shall apply only to the 2005-06 academic
year.

(4) A special part-time student, other than a nonimmigrant alien
within the meaning of paragraph (15) of subsection (a) of Section
1101 of Title 8 of the United States Code, admitted pursuant to
Section begin delete 76001 end delete begin insert 76001, 76003, end insert or 76004.

(5) A nonresident student who is a United States citizen who
resides in a foreign country, if that nonresident meets all of the
following requirements:

(A) Demonstrates a financial need for the exemption.

(B) Has a parent or guardian who has been deported or was
permitted to depart voluntarily under the federal Immigration and
Nationality Act in accordance with Section 1229c of Title 8 of the
United States Code. The student shall provide documents from the
United States Citizenship and Immigration Services evidencing
the deportation or voluntary departure of his or her parent or
guardian.

(C) Moved abroad as a result of the deportation or voluntary
departure specified in subparagraph (B).

(D) Lived in California immediately before moving abroad. The
student shall provide information and evidence that demonstrates
the student previously lived in California.

(E) Attended a public or private secondary school, as described
in Sections 52 and 53, in the state for three or more years. The
student shall provide documents that demonstrate his or her
secondary school attendance.

(F) Upon enrollment, will be in his or her first academic year
as a matriculated student in California public higher education, as
that term is defined in subdivision (a) of Section 66010, will be
living in California, and will file an affidavit with the institution
stating that he or she intends to establish residency in California
as soon as possible.

(b) A district may contract with a state, a county contiguous to
California, the federal government, or a foreign country, or an
agency thereof, for payment of all or a part of a nonresident
student’s tuition fee.

(c) Nonresident students shall not be reported as full-time
equivalent students (FTES) for state apportionment purposes,
except as provided by subdivision (j) or another statute, in which
case a nonresident tuition fee may not be charged.

(d) The nonresident tuition fee shall be set by the governing
board of each community college district not later than February
1 of each year for the succeeding fiscal year. The governing board
of each community college district shall provide nonresident
students with notice of nonresident tuition fee changes during the
spring term before the fall term in which the change will take
effect. Nonresident tuition fee increases shall be gradual, moderate,
and predictable. The fee may be paid in installments, as determined
by the governing board of the district.

(e) (1) The fee established by the governing board pursuant to
subdivision (d) shall represent for nonresident students enrolled
in 30 semester units or 45 quarter units of credit per fiscal year
one or more of the following:

(A) The amount that was expended by the district for the
expense of education as defined by the California Community
College Budget and Accounting Manual in the preceding fiscal
year increased by the projected percent increase in the United
States Consumer Price Index as determined by the Department of
Finance for the current fiscal year and succeeding fiscal year and
divided by the FTES (including nonresident students) attending
in the district in the preceding fiscal year. However, if for the
district’s preceding fiscal year FTES of all students attending in
the district in noncredit courses is equal to, or greater than, 10
percent of the district’s total FTES attending in the district, the
district may substitute the data for expense of education in grades
13 and 14 and FTES in grades 13 and 14 attending in the district.

(B) The expense of education in the preceding fiscal year of all
districts increased by the projected percent increase in the United
States Consumer Price Index as determined by the Department of
Finance for the fiscal year and succeeding fiscal year and divided
by the FTES (including nonresident students) attending all districts
during the preceding fiscal year. However, if the amount calculated
under this paragraph for the succeeding fiscal year is less than the
amount established for the current fiscal year or for any of the past
four fiscal years, the district may set the nonresident tuition fee at
the greater of the current or any of the past four-year amounts.

(C) An amount not to exceed the fee established by the
governing board of any contiguous district.

(D) An amount not to exceed the amount that was expended by
the district for the expense of education, but in no case less than
the statewide average as set forth in subparagraph (B).

(E) An amount no greater than the average of the nonresident
tuition fees of public community colleges of no less than 12 states
that are comparable to California in cost of living. The
determination of comparable states shall be based on a composite
cost-of-living index as determined by the United States Department
of Labor or a cooperating government agency.

(2) The additional revenue generated by the increased
nonresident tuition permitted under the amendments made to this
subdivision during the 2009-10 Regular Session shall be used to
expand and enhance services to resident students. In no event shall
the admission of nonresident students come at the expense of
resident enrollment.

(f) The governing board of each community college district also
shall adopt a tuition fee per unit of credit for nonresident students
enrolled in more or less than 15 units of credit per term by dividing
the fee determined in subdivision (e) by 30 for colleges operating
on the semester system and 45 for colleges operating on the quarter
system and rounding to the nearest whole dollar. The same rate
shall be uniformly charged nonresident students attending any
terms or sessions maintained by the community college. The rate
charged shall be the rate established for the fiscal year in which
the term or session ends.

(g) Any loss in district revenue generated by the nonresident
tuition fee shall not be offset by additional state funding.

(h) Any district that has fewer than 1,500 FTES and whose
boundary is within 10 miles of another state that has a reciprocity
agreement with California governing student attendance and fees
may exempt students from that state from the mandatory fee
requirement described in subdivision (a) for nonresident students.

(i) Any district that has more than 1,500, but less than 3,001,
FTES and whose boundary is within 10 miles of another state that
has a reciprocity agreement with California governing student
attendance and fees may, in any one fiscal year, exempt up to 100
FTES from that state from the mandatory fee requirement described
in subdivision (a) for nonresident students.

(j) The attendance of nonresident students who are exempted
pursuant to subdivision (h) or (i), or pursuant to paragraph (3), (4),
or (5) of subdivision (a), from the mandatory fee requirement
described in subdivision (a) for nonresident students may be
reported as resident FTES for state apportionment purposes. Any
nonresident student reported as resident FTES for state
apportionment purposes pursuant to subdivision (h) or (i) shall
pay a per unit fee that is three times the amount of the fee
established for residents pursuant to Section 76300. That fee is to
be included in the FTES adjustments described in Section 76300
for purposes of computing apportionments.

SEC. 3.  

Section 76140 of the Education Code, as amended by
Section 1 of Chapter 657 of the Statutes of 2015, is amended to
read:

76140.  

(a) A community college district may admit, and shall
charge a tuition fee to, nonresident students, except that a
community college district may exempt from all or parts of the
fee any person described in paragraph (1), (2), (3), or (6), and shall
exempt from all of the fee any person described in paragraph (4)
or (5):

(1) All nonresidents who enroll for six or fewer units.
Exemptions made pursuant to this paragraph shall not be made on
an individual basis.

(2) Any nonresident who is both a citizen and resident of a
foreign country, if the nonresident has demonstrated a financial
need for the exemption. Not more than 10 percent of the
nonresident foreign students attending any community college
district may be so exempted. Exemptions made pursuant to this
paragraph may be made on an individual basis.

(3) (A) A student who, as of August 29, 2005, was enrolled,
or admitted with an intention to enroll, in the fall term of the
2005-06 academic year in a regionally accredited institution of
higher education in Alabama, Louisiana, or Mississippi, and who
could not continue his or her attendance at that institution as a
direct consequence of damage sustained by that institution as a
result of Hurricane Katrina.

(B) The chancellor shall develop guidelines for the
implementation of this paragraph. These guidelines shall include
standards for appropriate documentation of student eligibility to
the extent feasible.

(C) This paragraph shall apply only to the 2005-06 academic
year.

(4) A special part-time student, other than a nonimmigrant alien
within the meaning of paragraph (15) of subsection (a) of Section
1101 of Title 8 of the United States Code, admitted pursuant to
Section begin delete 76001 end delete begin insert 76001, 76003, end insert or 76004.

(5) A nonresident student who is a United States citizen who
resides in a foreign country, if that nonresident meets all of the
following requirements:

(A) Demonstrates a financial need for the exemption.

(B) Has a parent or guardian who has been deported or was
permitted to depart voluntarily under the federal Immigration and
Nationality Act in accordance with Section 1229c of Title 8 of the
United States Code. The student shall provide documents from the
United States Citizenship and Immigration Services evidencing
the deportation or voluntary departure of his or her parent or
guardian.

(C) Moved abroad as a result of the deportation or voluntary
departure specified in subparagraph (B).

(D) Lived in California immediately before moving abroad. The
student shall provide information and evidence that demonstrates
the student previously lived in California.

(E) Attended a public or private secondary school, as described
in Sections 52 and 53, in the state for three or more years. The
student shall provide documents that demonstrate his or her
secondary school attendance.

(F) Upon enrollment, will be in his or her first academic year
as a matriculated student in California public higher education, as
that term is defined in subdivision (a) of Section 66010, will be
living in California, and will file an affidavit with the institution
stating that he or she intends to establish residency in California
as soon as possible.

(6) (A) A student who attends Lake Tahoe Community College
and who has residence, pursuant to subparagraph (B), in one of
the following communities in Nevada:

(i) Incline Village.

(ii) Kingsbury.

(iii) Round Hill.

(iv) Skyland.

(v) Stateline.

(vi) Zephyr Cove.

(B) Residence shall be determined pursuant to Article 5
(commencing with Section 68060) of Chapter 1 of Part 41 of
Division 5. A person shall have residence in one of the
communities listed in subparagraph (A) if the person has lived in
the community for more than one year immediately prior to seeking
the fee exemption pursuant to this paragraph.

(C) The governing board of the Lake Tahoe Community College
District shall adopt rules and regulations for determining a student’s
residence classification and for establishing procedures for an
appeal and review of the residence classification. No more than
200 students shall be exempted from payment of a nonresident
tuition fee under this paragraph in any academic year.

(b) A district may contract with a state, a county contiguous to
California, the federal government, or a foreign country, or an
agency thereof, for payment of all or a part of a nonresident
student’s tuition fee.

(c) Nonresident students shall not be reported as full-time
equivalent students (FTES) for state apportionment purposes,
except as provided by subdivision (j) or another statute, in which
case a nonresident tuition fee may not be charged.

(d) The nonresident tuition fee shall be set by the governing
board of each community college district not later than February
1 of each year for the succeeding fiscal year. The governing board
of each community college district shall provide nonresident
students with notice of nonresident tuition fee changes during the
spring term before the fall term in which the change will take
effect. Nonresident tuition fee increases shall be gradual, moderate,
and predictable. The fee may be paid in installments, as determined
by the governing board of the district.

(e) (1) The fee established by the governing board pursuant to
subdivision (d) shall represent for nonresident students enrolled
in 30 semester units or 45 quarter units of credit per fiscal year
one or more of the following:

(A) The amount that was expended by the district for the
expense of education as defined by the California Community
Colleges Budget and Accounting Manual in the preceding fiscal
year increased by the projected percent increase in the United
States Consumer Price Index as determined by the Department of
Finance for the current fiscal year and succeeding fiscal year and
divided by the FTES (including nonresident students) attending
in the district in the preceding fiscal year. However, if for the
district’s preceding fiscal year FTES of all students attending in
the district in noncredit courses is equal to, or greater than, 10
percent of the district’s total FTES attending in the district, the
district may substitute the data for expense of education in grades
13 and 14 and FTES in grades 13 and 14 attending in the district.

(B) The expense of education in the preceding fiscal year of all
districts increased by the projected percent increase in the United
States Consumer Price Index as determined by the Department of
Finance for the fiscal year and succeeding fiscal year and divided
by the FTES (including nonresident students) attending all districts
during the preceding fiscal year. However, if the amount calculated
under this paragraph for the succeeding fiscal year is less than the
amount established for the current fiscal year or for any of the past
four fiscal years, the district may set the nonresident tuition fee at
the greater of the current or any of the past four-year amounts.

(C) An amount not to exceed the fee established by the
governing board of any contiguous district.

(D) An amount not to exceed the amount that was expended by
the district for the expense of education, but in no case less than
the statewide average as set forth in subparagraph (B).

(E) An amount no greater than the average of the nonresident
tuition fees of public community colleges of no less than 12 states
that are comparable to California in cost of living. The
determination of comparable states shall be based on a composite
cost-of-living index as determined by the United States Department
of Labor or a cooperating government agency.

(2) The additional revenue generated by the increased
nonresident tuition permitted under the amendments made to this
subdivision during the 2009-10 Regular Session shall be used to
expand and enhance services to resident students. In no event shall
the admission of nonresident students come at the expense of
resident enrollment.

(f) The governing board of each community college district also
shall adopt a tuition fee per unit of credit for nonresident students
enrolled in more or less than 15 units of credit per term by dividing
the fee determined in subdivision (e) by 30 for colleges operating
on the semester system and 45 for colleges operating on the quarter
system and rounding to the nearest whole dollar. The same rate
shall be uniformly charged nonresident students attending any
terms or sessions maintained by the community college. The rate
charged shall be the rate established for the fiscal year in which
the term or session ends.

(g) Any loss in district revenue generated by the nonresident
tuition fee shall not be offset by additional state funding.

(h) Any district that has fewer than 1,500 FTES and whose
boundary is within 10 miles of another state that has a reciprocity
agreement with California governing student attendance and fees
may exempt students from that state from the mandatory fee
requirement described in subdivision (a) for nonresident students.

(i) Any district that has more than 1,500, but less than 3,001,
FTES and whose boundary is within 10 miles of another state that
has a reciprocity agreement with California governing student
attendance and fees may, in any one fiscal year, exempt up to 100
FTES from that state from the mandatory fee requirement described
in subdivision (a) for nonresident students.

(j) The attendance of nonresident students who are exempted
pursuant to subdivision (h) or (i), or pursuant to paragraph (3), (4),
(5), or (6) of subdivision (a), from the mandatory fee requirement
described in subdivision (a) for nonresident students may be
reported as resident FTES for state apportionment purposes. Any
nonresident student reported as resident FTES for state
apportionment purposes who is exempt pursuant to paragraph (6)
of subdivision (a), or pursuant to subdivision (h) or (i), shall pay
a per unit fee that is three times the amount of the fee established
for residents pursuant to Section 76300. That fee is to be included
in the FTES adjustments described in Section 76300 for purposes
of computing apportionments.

(k) This section shall become inoperative on July 1, 2022, and,
as of January 1, 2023, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2023, deletes or
extends the dates on which it becomes inoperative and is repealed.

SEC. 4.  

Section 76140 of the Education Code, as added by
Section 2 of Chapter 657 of the Statutes of 2015, is amended to
read:

76140.  

(a) A community college district may admit, and shall
charge a tuition fee to, nonresident students, except that a
community college district may exempt from all or parts of the
fee any person described in paragraph (1), (2), or (3), and shall
exempt from all of the fee any person described in paragraph (4)
or (5):

(1) All nonresidents who enroll for six or fewer units.
Exemptions made pursuant to this paragraph shall not be made on
an individual basis.

(2) Any nonresident who is both a citizen and resident of a
foreign country, if the nonresident has demonstrated a financial
need for the exemption. Not more than 10 percent of the
nonresident foreign students attending any community college
district may be so exempted. Exemptions made pursuant to this
paragraph may be made on an individual basis.

(3) (A) A student who, as of August 29, 2005, was enrolled,
or admitted with an intention to enroll, in the fall term of the
2005-06 academic year in a regionally accredited institution of
higher education in Alabama, Louisiana, or Mississippi, and who
could not continue his or her attendance at that institution as a
direct consequence of damage sustained by that institution as a
result of Hurricane Katrina.

(B) The chancellor shall develop guidelines for the
implementation of this paragraph. These guidelines shall include
standards for appropriate documentation of student eligibility to
the extent feasible.

(C) This paragraph shall apply only to the 2005-06 academic
year.

(4) A special part-time student, other than a nonimmigrant alien
within the meaning of paragraph (15) of subsection (a) of Section
1101 of Title 8 of the United States Code, admitted pursuant to
Section begin delete 76001 end delete begin insert 76001, 76003, end insert or 76004.

(5) A nonresident student who is a United States citizen who
resides in a foreign country, if that nonresident meets all of the
following requirements:

(A) Demonstrates a financial need for the exemption.

(B) Has a parent or guardian who has been deported or was
permitted to depart voluntarily under the federal Immigration and
Nationality Act in accordance with Section 1229c of Title 8 of the
United States Code. The student shall provide documents from the
United States Citizenship and Immigration Services evidencing
the deportation or voluntary departure of his or her parent or
guardian.

(C) Moved abroad as a result of the deportation or voluntary
departure specified in subparagraph (B).

(D) Lived in California immediately before moving abroad. The
student shall provide information and evidence that demonstrates
the student previously lived in California.

(E) Attended a public or private secondary school, as described
in Sections 52 and 53, in the state for three or more years. The
student shall provide documents that demonstrate his or her
secondary school attendance.

(F) Upon enrollment, will be in his or her first academic year
as a matriculated student in California public higher education, as
that term is defined in subdivision (a) of Section 66010, will be
living in California, and will file an affidavit with the institution
stating that he or she intends to establish residency in California
as soon as possible.

(b) A district may contract with a state, a county contiguous to
California, the federal government, or a foreign country, or an
agency thereof, for payment of all or a part of a nonresident
student’s tuition fee.

(c) Nonresident students shall not be reported as full-time
equivalent students (FTES) for state apportionment purposes,
except as provided by subdivision (j) or another statute, in which
case a nonresident tuition fee may not be charged.

(d) The nonresident tuition fee shall be set by the governing
board of each community college district not later than February
1 of each year for the succeeding fiscal year. The governing board
of each community college district shall provide nonresident
students with notice of nonresident tuition fee changes during the
spring term before the fall term in which the change will take
effect. Nonresident tuition fee increases shall be gradual, moderate,
and predictable. The fee may be paid in installments, as determined
by the governing board of the district.

(e) (1) The fee established by the governing board pursuant to
subdivision (d) shall represent for nonresident students enrolled
in 30 semester units or 45 quarter units of credit per fiscal year
one or more of the following:

(A) The amount that was expended by the district for the
expense of education as defined by the California Community
Colleges Budget and Accounting Manual in the preceding fiscal
year increased by the projected percent increase in the United
States Consumer Price Index as determined by the Department of
Finance for the current fiscal year and succeeding fiscal year and
divided by the FTES (including nonresident students) attending
in the district in the preceding fiscal year. However, if for the
district’s preceding fiscal year FTES of all students attending in
the district in noncredit courses is equal to, or greater than, 10
percent of the district’s total FTES attending in the district, the
district may substitute the data for expense of education in grades
13 and 14 and FTES in grades 13 and 14 attending in the district.

(B) The expense of education in the preceding fiscal year of all
districts increased by the projected percent increase in the United
States Consumer Price Index as determined by the Department of
Finance for the fiscal year and succeeding fiscal year and divided
by the FTES (including nonresident students) attending all districts
during the preceding fiscal year. However, if the amount calculated
under this paragraph for the succeeding fiscal year is less than the
amount established for the current fiscal year or for any of the past
four fiscal years, the district may set the nonresident tuition fee at
the greater of the current or any of the past four-year amounts.

(C) An amount not to exceed the fee established by the
governing board of any contiguous district.

(D) An amount not to exceed the amount that was expended by
the district for the expense of education, but in no case less than
the statewide average as set forth in subparagraph (B).

(E) An amount no greater than the average of the nonresident
tuition fees of public community colleges of no less than 12 states
that are comparable to California in cost of living. The
determination of comparable states shall be based on a composite
cost-of-living index as determined by the United States Department
of Labor or a cooperating government agency.

(2) The additional revenue generated by the increased
nonresident tuition permitted under the amendments made to this
subdivision during the 2009-10 Regular Session shall be used to
expand and enhance services to resident students. In no event shall
the admission of nonresident students come at the expense of
resident enrollment.

(f) The governing board of each community college district also
shall adopt a tuition fee per unit of credit for nonresident students
enrolled in more or less than 15 units of credit per term by dividing
the fee determined in subdivision (e) by 30 for colleges operating
on the semester system and 45 for colleges operating on the quarter
system and rounding to the nearest whole dollar. The same rate
shall be uniformly charged nonresident students attending any
terms or sessions maintained by the community college. The rate
charged shall be the rate established for the fiscal year in which
the term or session ends.

(g) Any loss in district revenue generated by the nonresident
tuition fee shall not be offset by additional state funding.

(h) Any district that has fewer than 1,500 FTES and whose
boundary is within 10 miles of another state that has a reciprocity
agreement with California governing student attendance and fees
may exempt students from that state from the mandatory fee
requirement described in subdivision (a) for nonresident students.

(i) Any district that has more than 1,500, but less than 3,001,
FTES and whose boundary is within 10 miles of another state that
has a reciprocity agreement with California governing student
attendance and fees may, in any one fiscal year, exempt up to 100
FTES from that state from the mandatory fee requirement described
in subdivision (a) for nonresident students.

(j) The attendance of nonresident students who are exempted
pursuant to subdivision (h) or (i), or pursuant to paragraph (3), (4),
or (5) of subdivision (a), from the mandatory fee requirement
described in subdivision (a) for nonresident students may be
reported as resident FTES for state apportionment purposes. Any
nonresident student reported as resident FTES for state
apportionment purposes pursuant to subdivision (h) or (i) shall
pay a per unit fee that is three times the amount of the fee
established for residents pursuant to Section 76300. That fee is to
be included in the FTES adjustments described in Section 76300
for purposes of computing apportionments.

(k) This section shall become operative on July 1, 2022.

SEC. 5.  

If the Commission on State Mandates determines that
this act contains costs mandated by the state, reimbursement to
local agencies and school districts for those costs shall be made
pursuant to Part 7 (commencing with Section 17500) of Division
4 of Title 2 of the Government Code.