BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | AB 2822| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: AB 2822 Author: Chiu (D), et al. Amended: 8/16/16 in Senate Vote: 21 SENATE EDUCATION COMMITTEE: 8-1, 6/29/16 AYES: Liu, Block, Hancock, Huff, Leyva, Mendoza, Monning, Pan NOES: Vidak SENATE APPROPRIATIONS COMMITTEE: 5-2, 8/11/16 AYES: Lara, Beall, Hill, McGuire, Mendoza NOES: Bates, Nielsen ASSEMBLY FLOOR: 55-25, 6/2/16 - See last page for vote SUBJECT: Student financial aid: community college students: emergency financial assistance SOURCE: Author DIGEST: This bill requires the California Community Colleges (CCC) Chancellor's Office to provide guidelines for community college districts or campuses that seek to establish student emergency aid programs among the services it provides. ANALYSIS: Existing law: 1)Establishes the CCC, under the administration of the Board of Governors of the CCC, as one of the segments of public postsecondary education in this state. (Education Code §70900) AB 2822 Page 2 2)Authorizes the board of governors to establish auxiliary organizations, as defined, for the purpose of providing supportive services and specialized programs for the general benefit of the mission of the CCC. (EC § 72670) This bill: 1)Requires the CCC Chancellor's Office to provide guidelines for community college districts or campuses that seek to establish student emergency aid programs among the services it provides. 2)Authorizes a community college district, campus, or local community college foundation to solicit and accept funding from private sources that may include, but are not limited to, foundations, corporate funding, crowdfunding, donation drives, or any other sources of private investments. 3)Provides that only private funds that a community college district, campus, or local community college foundation may receive may be used for emergency student financial assistance to help eligible students to overcome unforeseen financial challenges that would directly impact the student's ability to persist in his or her course of study. 4)Specifies that these challenges include, but are not necessarily limited to, the immediate need for shelter or food. 5)Requires a community college district, community college campus, or local community college foundation to consider the unique characteristics of its student body in developing specific guidelines for further defining what constitutes an unforeseen financial challenge for its students. 6)Declares the intent of the Legislature that priority be given to student populations that are in most need. 7)Requires an eligible student to: a) Currently meet satisfactory academic progress at the institution of attendance. AB 2822 Page 3 b) Be at risk of not persisting in his or her course of study due to the unforeseen financial challenge. 8)Defines various terms for purposes of the bill. Comments 1)Need for the bill. According to the author, emergency aid provides 'just-in-time" grants to students or quick infusions of funds when a student finds themselves with unexpected costs such as medical expenses, car repairs or child care. The author reports that three community colleges, Pasadena City College, Grossmont Community College, and Cuyamaca Community College have started such a program since 2010. The author contends that this type of assistance would further the ability of CCC to retain students by allowing grants for students who would otherwise be forced to leave school because of these unforeseen financial challenges. This bill proposes to fund such a program with Student Success Act funding currently provided for matriculation services. 2)Existing emergency assistance programs. This bill requires the Chancellor's Office to develop guidelines regarding the establishment of student emergency aid programs for community colleges that seek to establish programs among the supportive services and specialized programs they provide. According to the CCC there are existing categorical programs, such as the Extended Opportunity Programs and Services that have within their scope the ability to provide emergency grants from these programs using state funds, though this practice appears to be rare. According to the author, while some districts have foundations which have established these types of programs, it is the intent of this bill to ensure that resources for this purpose are available to districts and campuses that may lack the resources and infrastructure to establish a local foundation to address these needs. This bill specifies that these programs would provide financial assistance to students to help them overcome unforeseen financial challenges that directly impact their AB 2822 Page 4 ability to persist in their course of study. This allows for broad interpretation of what constitutes an unforeseen financial challenge. These programs are likely to be designed and administered considerably differently by campus. However, the Pasadena City College offers an example. It implements a program that provides grants of up to $500 for certain eligible expenses such as utilities, rent, medical and dental costs, or car expenses as long as students take a minimum number of courses and maintain a certain grade point average. Money for books or tuition-related expenses is not permitted. FISCAL EFFECT: Appropriation: No Fiscal Com.:YesLocal: No According to the Senate Appropriations Committee, the California Community College, Chancellor's Office indicates that the costs to develop the required guidelines would be minor. SUPPORT: (Verified 8/15/16) Student Senate for California Community Colleges Region X Student Senate for California Community Colleges Region IX Student Senate for California Community Colleges Region IV Student Senate for California Community Colleges Region V Student Senate for California Community Colleges Region VI Student Senate for California Community Colleges Region VII Student Senate for California Community Colleges Region VIII Student Senate for California Community Colleges Region I Student Senate for California Community Colleges Region II Student Senate for California Community Colleges Region III OPPOSITION: (Verified8/15/16) None received AB 2822 Page 5 ASSEMBLY FLOOR: 55-25, 6/2/16 AYES: Alejo, Arambula, Atkins, Baker, Bloom, Bonilla, Bonta, Brown, Burke, Calderon, Campos, Chau, Chiu, Chu, Cooley, Cooper, Dababneh, Daly, Dodd, Eggman, Frazier, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Roger Hernández, Holden, Irwin, Jones-Sawyer, Lackey, Levine, Lopez, Low, Maienschein, McCarty, Medina, Mullin, Nazarian, O'Donnell, Quirk, Ridley-Thomas, Rodriguez, Salas, Santiago, Mark Stone, Thurmond, Ting, Weber, Williams, Wood, Rendon NOES: Achadjian, Travis Allen, Bigelow, Brough, Chang, Chávez, Dahle, Beth Gaines, Gallagher, Grove, Hadley, Harper, Jones, Kim, Linder, Mathis, Mayes, Melendez, Obernolte, Olsen, Patterson, Steinorth, Wagner, Waldron, Wilk Prepared by:Olgalilia Ramirez / ED. / (916) 651-4105 8/16/16 17:33:38 **** END ****