BILL ANALYSIS                                                                                                                                                                                                    

                                                                    AB 2434

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          Date of Hearing:  April 12, 2016


                                 Jose Medina, Chair

          AB 2434  
          (Bonta) - As Amended March 31, 2016

          SUBJECT:  Postsecondary education:  higher education policy.

          SUMMARY:  Establishes the Blue Ribbon Commission on Public  
          Postsecondary Education.  Specifically, this bill:  

          1)Finds and declares, including, but not limited to, the  
            following of the Legislature:

             a)   More universal participation in postsecondary education  
               in California is of vital public interest to ensure an  
               informed citizenry, a functional democracy, a vibrant  
               workforce, and a leading 21st century economy;

             b)   Communities of color now comprise the new majority of  
               California high school pupils. As cited by the University  
               of California in an amicus brief filed in Fisher v.  
               University of Texas, in 2012 high school graduates were  
               46.2 percent Latino, 30.5 percent white, 13.6 percent Asian  
               or Pacific Islander, 6.7 percent Black, and 0.7 percent  
               Native American;


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             c)   Despite outreach programs and other efforts,  
               historically disadvantaged groups remain underrepresented.   
               These groups include communities of color, immigrants,  
               LGBTQ students, individuals from low-income and working  
               class communities, and others with unique needs;

             d)   Long-term trends with tuition increases across  
               California's public four-year universities have made  
               college less affordable.  Resident tuition and fees at the  
               University of California (UC) and California State  
               University (CSU) have risen by 139 percent and 157 percent,  
               respectively, from the 2003-04 academic year to the 2013-14  
               academic year, inclusive.  These increases are  
               significantly higher than 91 percent, which is the national  
               average for public four-year universities over the same  
               time period, according to the California State University,  
               Sacramento, Institute for Higher Education Leadership and  

             e)   The Public Policy Institute of California projects that  
               the state will fall short about 1,100,000 college graduates  
               who will be in economic demand by 2030 if enrollment and  
               graduation rates do not increase, and that even  highly  
               educated workers from outside California are unlikely to  
               fill this gap; 

             f)   Since 2012, when the California Postsecondary Education  
               Commission (CPEC) was defunded, California has lacked a  
               coordinating body for postsecondary education. The absence  
               of such a body has reduced the ability of the state to  
               effectively develop long-term plans for public  
               postsecondary education and to fully engage with the public  
               in the development of such plans; and,

             g)   To ensure full and equitable accessibility to higher and  


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               postsecondary education, California must create and fund a  
               Blue Ribbon Commission on Public Postsecondary Education to  
               develop a written plan to ensure that public universities  
               and colleges in California are tuition-free and affordable  
               to all students, including low-income and underrepresented  
               students, and have the capacity to provide universal  
               participation for all high school graduates by the year  

          2)Creates the Blue Ribbon Commission on Public Postsecondary  
            Education; and specifies that the purpose of the Commission is  
            to make recommendations on improving access to and  
            affordability in postsecondary education for Californians.

          3)Establishes the Commission shall have nine public members who  
            shall be California residents and community leaders, business  
            leaders, and others knowledgeable in the area of postsecondary  
            education; specifies that the nine Commissioners shall be  
            representative of cultural, ethnic, racial, and geographic  
            diversity of the state; and, specifies the Commissioners shall  
            be determined as follows:

             a)   Three members from the public appointed by the Governor;

             b)   Three members from the public appointed by the Senate  
               Committee on Rules; and,

             c)   Three members from the public appointed by the Speaker  
               of the Assembly. 

          4)Specifies that the Governor may designate any one of the nine  
            members appointed to the Commission to serve as temporary  
            chairperson of the Commission for its first meeting and that  


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            the first order of business of the Commission shall be to  
            elect a permanent chairperson.

          5)Requires that the Commission meetings are subject to the  
            Bagley-Keene Open Meeting Act, as specified.

          6)Stipulates that Commissioners shall serve without  
            compensation, but shall receive reimbursement for actual and  
            necessary expenses incurred in connection with the performance  
            of their duties.

          7)Stipulates that no employee or contractual employee to any  
            public or private postsecondary educational institution shall  
            be appointed to or serve on the Commission and that no person  
            who is a spouse or domestic partner of an employee, an  
            officer, or contractual employee by a public or private  
            postsecondary educational institution shall be appointed to  
            serve on the Commission.

          8)Creates the Office of the Blue Ribbon Commission on Public  
            Postsecondary Education, stipulating that the Office shall be  
            established in state government, and shall be under the direct  
            control of an executive director; and, specifies that the  
            Office shall do all of the following:

             a)   Implement the duties and directives of the Commission; 

             b)   Consult with the higher education segments and  
               stakeholders, as appropriate, in the conduct of its duties  
               and responsibilities.

          9)Specifies that the Office may request and receive information  


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            necessary to conduct its business, from the higher education  
            segments, the Department of Finance (DoF), the Legislative  
            Analyst's Office (LAO), and California Student Aid Commission  
            (CSAC); and, specifies that the Commission shall do all of the  

             a)   Appoint the executive director at a salary that shall be  
               fixed, as specified; 

             b)   Select and designate a state administrative agency to  
               carry out the personnel, contractual, and all other fiscal  
               services required by the Commission;

             c)   Conduct a series of at least 10 public hearings  
               specifically focused on the needs of and seeking input from  
               Blacks, Native Americans, Latinos, Asian Americans, Pacific  
               Islanders, boys and men of color, undocumented immigrants,  
               LGBTQ students, and other underserved or underrepresented  
               groups in public postsecondary education.  The hearings  
               shall be held in geographically diverse regions of the  
               state to solicit testimony of individuals, public interest  
               groups, alumni organizations, or any other interested  
               private groups and organizations as well as professors,  
               administrators, students, representatives from historically  
               underrepresented groups in public higher education, and  
               others who are directly affected for the purpose of  
               soliciting the input of these groups in the formulations of  
               the commission's recommendations; 

             d)   Review of relevant reports by the UC, the CSU, the  
               California Community Colleges (CCC) Board of Governors,  
               CSAC, DoF, LAO, foundations or nonprofit organizations, the  
               CPEC, or any other reports the commission deems  


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             e)   Study, analyze, issue written recommendations, and  
               report to the Legislature and to the Governor on all of the  

               i)     Establishing the need to create a public  
                 postsecondary education system that ensures universal  
                 access with the capacity to support universal  
                 participation of all high school graduates in California;

               ii)    Identifying the current enrollment capacity in  
                 public postsecondary education as compared to the  
                 enrollment capacity needed in public postsecondary  
                 education to ensure universal access and universal  
                 participation for all high school graduates in  

               iii)   Identifying the enrollment slots needed to ensure  
                 the state's public postsecondary education system can  
                 graduate an additional 1,100,000 California residents by  
                 2030 to meet the economic demands of the state;

               iv)    Determining the number of additional campuses  
                 needed, if any, in each of the public postsecondary  
                 education segments to accommodate the additional  
                 enrollment demands, per i - iii above, inclusive.  The  
                 commission shall consider geographic areas of the state  
                 where a significant demand for public postsecondary  
                 educational services is not being met by current campuses  
                 and programs;

               v)     Ensuring that enrollments in public postsecondary  
                 institutions reflect the ethnic and racial diversity of  
                 California high school pupils and high school graduates.   


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                 The commission shall identify admission criteria, student  
                 outreach, student preparation, student retention, and  
                 other mechanisms that can promote this diversity;

               vi)    ) Ensuring equity for historically disadvantaged and  
                 underrepresented groups that include, but are not limited  
                 to, communities of color, documented and undocumented  
                 immigrants, individuals from low-income and working-class  
                 backgrounds, LGBTQ people, and others with unique needs;

               vii)   Determining the amount of increased investments in  
                 public postsecondary education necessary to support a  
                 mission of universal access and participation of all  
                 Californians.  The increased investments shall take into  
                 account the additional resources needed to support the  
                 recommendations pursuant to ii - vi above, inclusive.  
                 These recommendations shall identify expenditure  
                 requirements to support this objective and recommend  
                 additional revenue sources to finance this mission; and

               viii)  The resources required to create an affordable and  
                 tuition-free education system in the California public  
                 postsecondary environment, with a first priority on  
                 supporting those students with the lowest incomes and  
                 least financial resources.  This task shall include an  
                 analysis of not only tuition and fees, but a focus on  
                 additional college costs, such as books and supplies,  
                 food, housing, transportation, loan fees, child and  
                 dependent care, and other costs.  The analysis shall  
                 incorporate the availability of federal, state, and  
                 campus-based financial aid efforts to offset these  
                 additional college costs to determine the extra resources  
                 needed to support all low-income and underrepresented  
                 California resident students.


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             f)   Publish a report, as specified, by March 31, 2018.  The  
               report shall be transmitted to the fiscal and education  
               policy committees of the Legislature, the UC Regents, CSU  
               Trustees, CCC Board of Governors, the Director of Finance,  
               and the Governor.  Copies of the report shall be posted on  
               the Governor's Internet Web site.

          10)Specifies that the Office shall close no later than June 30,  
            2018; sunsets the provisions contained therein on January 1,  
            2019; and, stipulates that upon the repeal of the provisions,  
            all of the documents and working papers of the Commission  
            shall become the property of the State Archives. 

          EXISTING LAW:  Establishes the Donahoe Higher Education, setting  
          forth the missions and functions of the four segments of  
          California's postsecondary education system (Education Code  
          Section 66010, et seq.).

          FISCAL EFFECT:  Unknown

          COMMENTS:  Background.   AB 770 (Vasconcellos), Chapter 1187,  
          Statutes of 1973, created CPEC and made it responsible for the  
          planning and coordination of postsecondary education. CPEC was  
          charged with providing analysis, advice, and recommendations to  
          the Legislature and the governor on statewide policy and funding  
          priorities.  As part of his 2011-12 budget, Governor Brown  
          proposed eliminating CPEC.  Both houses rejected this proposal,  
          but the governor exercised his line item veto to remove all  
          General Fund support for CPEC, describing the commission as  
          "ineffective."  In his veto message, however, the governor  
          acknowledged the need for coordinating and guiding state higher  
          education policy and requested that stakeholders explore  
          alternative ways these functions could be fulfilled. 


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          On November 18, 2011, CPEC closed its office and ceased  
          operations.  Its federal Teacher Quality Improvement grant  
          program was transferred to the California Department of  
          Education and its extensive data resources were transferred to  
          the CCC Chancellor's Office.

          As listed in this measure's Legislative declarations and  
          findings, California lacks a statewide plan for higher education  
          that is relevant and reflective of the state's economy,  
          workforce needs, and its demographic changes.  California is the  
          most racially and ethnically diverse state in the nation.   
          Historically disadvantaged communities now comprise the new  
          majority of California high school students.  As provided by the  
          UC, in 2012, high school graduates in California were 46.2  
          percent Latino, 30.5 percent White, 13.6 percent Asian or  
          Pacific Islander, 6.7 percent Black, and 0.7 percent Native  
          American.  However, overall college enrollment figures have not  
          kept pace with those demographic changes.  For example, Black,  
          Latino, and Native American students made up almost 54 percent  
          of California's high school graduates in 2012, but only 27  
          percent of all first year students at the UC systemwide.

          Purpose of this measure.  According to the author, "The state no  
          longer has a coordinating body to oversee and conduct long term  
          planning for its higher education system.  Furthermore,  
          California's Master Plan for Higher Education is no longer a  
          practical roadmap to guide the state's higher education policy.   
          The Master Plan was to take the state from 1960-1975.   
          California's higher education challenges in 1960 are very  
          different from today's." 

          The author contends that absent such an entity, the state needs  
          to establish a statewide plan for higher education.  The author  
          argues that, "The state's approach to higher education must  
          become more accessible, equitable, and affordable."


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          This measure creates a Blue Ribbon Commission on Public  
          Postsecondary Education and tasks the Commission with making  
          recommendations on improving access and affordability in higher  
          education.  Additionally, this measure requires the Commission  
          to garner input from specific stakeholders such as historically  
          underrepresented groups, for their input in the formulation of  
          the Commission's recommendations. Furthermore, this measure  
          specifies that the Commission members will be representative of  
          the state's racial and geographic diversity.  

          Community College League of California.  The League has  
          expressed concerns that the Commission, as created by this  
          measure, would be unable to carry out the comprehensive and  
          informed analyses that are needed, shy of, "strong  
          representation from the public higher education [segments] and  
          from those with experience in higher education during the  
          process of examination and during the formulation of  

          Policy consideration.  The findings and declarations of this  
          measure reference data as reported by California State  
          University, Sacramento, Institute for Higher Education  
          Leadership and Policy (IHELP).  CSU Sacramento's IHELP recently  
          changed its name to Education Insights Center.

          Moving forward, the author may wish to amend the reference to  
          IHELP to reflect its new name, Education Insights Center.

          Related legislation.  AB 1837 (Low), which will be heard in this  
          Committee later this month, would, among others, create the  
          Office of Higher Education Performance and Accountability as the  
          statewide postsecondary education coordination and planning  
          agency, to be established in state government within the  


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          Governor's office.



          A. Philip Randolph Institute San Francisco

          Arah Resource & Organizing Center

          Asian Americans for Community Involvement 

          Asian Pacific American Community Center

          Asian Pacific Policy & Planning Council

          Brightline Defense Project

          California Asian Pacific Islander Budget Partnership

          California Immigrant Policy Center

          California Pan-Ethnic Health Network

          Chinese for Affirmative Action


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          Coalition for Humane Immigrant Rights of Los Angeles

          Community Youth Center of San Francisco

          Donaldina Cameron House

          Equal Justice Society

          First Voice

          Japanese Community Youth Council

          Japantown Task Force

          Kimochi, Inc.

          Nihonmachi Street Fair, Inc.

          People Organizing to Demand Environmental & Economic Rights

          Samoan Community Development Center

          Southeast Asia Resource Action Center

          Veterans Equity Center


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          West Bay Pilipino Multi-Service Center

          Wu Yee Children's Services

          1 Individual


          None on file.

          Analysis Prepared by:Jeanice Warden / HIGHER ED. / (916)