BILL ANALYSIS                                                                                                                                                                                                    Ó




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          |SENATE RULES COMMITTEE            |                        SB 252|
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                                UNFINISHED BUSINESS 


          Bill No:  SB 252
          Author:   Leno (D), et al.
          Amended:  8/28/15  
          Vote:     21  

           SENATE EDUCATION COMMITTEE:  8-0, 3/25/15
           AYES:  Liu, Huff, Block, Hancock, Leyva, Mendoza, Pan, Vidak

           SENATE APPROPRIATIONS COMMITTEE:  6-0, 5/28/15
           AYES:  Lara, Bates, Beall, Hill, Leyva, Mendoza
           NO VOTE RECORDED:  Nielsen

           SENATE FLOOR:  40-0, 6/3/15
           AYES:  Allen, Anderson, Bates, Beall, Berryhill, Block,  
            Cannella, De León, Fuller, Gaines, Galgiani, Glazer, Hall,  
            Hancock, Hernandez, Hertzberg, Hill, Hueso, Huff, Jackson,  
            Lara, Leno, Leyva, Liu, McGuire, Mendoza, Mitchell, Monning,  
            Moorlach, Morrell, Nguyen, Nielsen, Pan, Pavley, Roth, Runner,  
            Stone, Vidak, Wieckowski, Wolk

           ASSEMBLY FLOOR:  78-0, 9/2/15 - See last page for vote

           SUBJECT:   Pupils:  diploma alternatives:  fees


          SOURCE:    Author

          DIGEST:   This bill prohibits a fee from being charged to  
          homeless youth for the high school proficiency exam and the high  
          school equivalency tests.

          Assembly Amendments authorize the Superintendent of Public  
          Instruction (SPI), until July 1, 2019, to use surplus funds in  
          the Special Deposit Fund Account to reimburse contractors for  
          the loss of fees, if any; require a contract executed by the  








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          California Department of Education (CDE) to require that any  
          contracting party accept all examinees, including those entitled  
          to a fee waiver; require the SPI to submit a report , by  
          December 1, 2018, that includes specified information; provide  
          that the loss of fees is deemed to be a cost of administering  
          the high school proficiency exam; and require the SPI to adopt  
          emergency regulations to implement the provisions of this bill.

          ANALYSIS:    Existing federal law, the federal McKinney-Vento  
          Act, defines "homeless children and youths" as children and  
          youths who lack a fixed, regular, and adequate nighttime  
          residence, and includes children and youths who, among other  
          situations, are sharing the housing of other persons due to loss  
          of housing, economic hardship, or a similar reason; are living  
          in motels, hotels, trailer parks, or camping grounds due to the  
          lack of alternative adequate accommodations.  (United States  
          Code, Title 42, § 11431 et. seq.)

          Existing state law:

          High School Proficiency Exam

          1)Requires the following people to be permitted to have his or  
            her proficiency in basic skills verified according to criteria  
            established by the CDE:

              a)    Any person who is at least 16 years of age.

              b)    Any person who has been enrolled in grade 10 for one  
                academic year or longer.

              c)    Any person who will complete one academic year of  
                enrollment in grade 10 at the end of the semester during  
                which the next regular examination will be conducted.  

          2)Requires the State Board of Education (SBE) to award a  
            "certificate of proficiency" to people who achieve a passing  
            score on the proficiency exam.  The certificate of proficiency  
            is equivalent to a high school diploma.  (Education Code §  
            48412)

            The CDE has designated the California High School Proficiency  








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            Examination (CHSPE) as the test by which students may verify  
            proficiency in basic skills.  The Sacramento County Office of  
            Education administers the CHSPE program under contract with  
            the CDE.  

          High School Equivalency Tests

          3)Requires the SPI to issue a California high school equivalency  
            certificate and an official score report to any person who has  
            not completed high school and who meets all of the following  
            requirements:

              a)    Is a resident of California or is a member of the  
                armed services assigned to duty in California.

              b)    Has taken all or a portion of a general educational  
                development test approved by the SBE and administered by a  
                test center approved by the CDE, with a score determined  
                by the SBE to be equal to the standard of performance  
                expected from high school graduates.

                i)      Meets one of the following:

                ii)     Is at least 18 years of age.

                iii)    Would have graduated from high school had he or  
                  she remained in school and followed the usual course of  
                  study toward graduation.

                iv)     Is at least 17 years of age, has accumulated fewer  
                  than 100 units of high school credit, and is confined to  
                  a state or county correctional agency.

                v)      Is at least 17 years of age, has accumulated fewer  
                  than 100 units of high school credit prior to enrollment  
                  in a dropout recovery high school, and has successfully  
                  completed the program offered by a dropout recovery high  
                  school that provides the student with all of the  
                  following:

                   (1)        Instruction aligned to state academic  
                     content standards.








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                   (2)        The opportunity to complete the requirements  
                     for a high school diploma.

                   (3)        At least one year of instruction or  
                     instruction followed by services related to the  
                     academic program.  

          4)Provides that a California high school equivalency certificate  
            is deemed to be a high school diploma for the purpose of  
            meeting the requirements of employment by all state and local  
            public agencies in California.  (EC § 51420 and § 51425)

            The SBE has approved the use of three high school equivalency  
            tests:

             a)   The General Educational Development Test.

             b)   The High School Equivalency Test.

             c)   The Test Assessing Secondary Completion.

          This bill:

           1) Prohibits the CDE from charging the fee for the high school  
             proficiency exam and the high school equivalency tests to a  
             homeless child or youth who can verify his or her status as a  
             homeless child or youth.

           2) Limits the scope of this bill to homeless youth who have not  
             reached the age of 25 years as of the date of the scheduled  
             exam.

           3) Provides that "a homeless child or youth" is defined by the  
             federal McKinney-Vento Act (see existing law).  

           4) Prohibits a scoring contractor or testing center for the  
             general educational development test from charging the fee to  
             a homeless child or youth who is under age 25 years and can  
             verify his or her status as a homeless child or youth.

           5) Authorizes a homeless services provider that has knowledge  








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             of the person's housing status to verify the homeless status.  
              This bill defines "homeless services provider" as either of  
             the following:

              a)    A homeless services provider listed in the Health and  
                Safety Code, which includes all of the following:

                i)      A governmental or non-profit agency receiving  
                  federal, state, county or municipal funding to provide  
                  services to a homeless child or youth, or that is  
                  otherwise sanctioned to provide those services by a  
                  local homeless continuum of care organization.

                ii)     An attorney licensed to practice law in  
                  California.

                iii)    A local educational agency liaison for homeless  
                  children and youth, or a school social worker.

                iv)     A human services provider or public social  
                  services provider funded by the state to provide  
                  homeless children or youth services, health services,  
                  mental or behavioral health services, substance use  
                  disorder services, or public assistance or employment  
                  services.

                v)      A law enforcement officer designated as a liaison  
                  to the homeless population by a local police department  
                  or sheriff's department within the state.

              b)    Any other person or entity that is qualified to verify  
                an individual's housing status, as determined by the CDE.

           6) Provides that the loss of fees is deemed to be a cost of  
             administering the high school proficiency exam.

           7) Requires the SPI to submit a report , by December 1, 2018,  
             to the appropriate policy and fiscal committees of the  
             Legislature that includes all of the following:

              a)    The number of homeless youth that took a high school  
                proficiency test in each of the 2016, 2017, and 2018  








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                calendar years.

              b)    The impact of the opportunity to take a high school  
                proficiency test at no cost on the number and percentage  
                of homeless youth taking a high school proficiency test.

              c)    The estimated number of homeless youth who may take a  
                high school proficiency test in future years.

              d)    Recommendations for a permanent funding source to  
                cover the cost of the waived fees.

              e)    The annual and projected administrative cost to the  
                CDE.

              f)    The annual and projected reimbursement to contractors  
                pursuant to this section.

           8) Requires the SPI to adopt emergency regulations to implement  
             the provisions of this bill.

           9) Authorizes the SPI, until July 1, 2019, to use surplus funds  
             in the Special Deposit Fund Account to reimburse contractors  
             for the loss of fees, if any.  Requires a contract executed  
             by the CDE to require that any contracting party accept all  
             examinees, including those entitled to a fee waiver.  Defines  
             "surplus funds" as funds remaining after the costs to the CDE  
             of administering high school equivalency certificates.  

           10)Prohibits additional state funds from being appropriated for  
             purposes of implementing this bill.

          Comments
          
          Verification of homelessness.  The Health and Safety Code  
          includes a definition of "homeless services provider" for  
          purposes of verifying homelessness to obtain a certified birth  
          certificate at no cost.  The Health and Safety Code also  
          requires the Department of Public Health to develop an affidavit  
          attesting to the person's status as being homeless, and requires  
          both the homeless person and the homeless services provider to  
          sign the affidavit.  This bill does not specify the type of  








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          verification that homeless services providers are to furnish to  
          homeless youth for the purposes of this bill.  

          Contract and Memorandum of Understanding.  The CDE is currently  
          in contract with the Sacramento County Office of Education for  
          the administration of the CHSPE.  This contract will expire on  
          June 30, 2016; the CDE will issue a Request for Proposals this  
          year for a contract to begin July 1, 2016.  It is possible for  
          the CDE to adjust the terms of the next contract to prohibit  
          fees from being charged to homeless youth, pursuant to this  
          bill.

          The CDE has Memorandums of Understanding (MOUs) with three  
          vendors for the high school equivalency tests:  two expire on  
          December 31, 2015, and one expires on December 31, 2016.  It is  
          possible for the CDE to renegotiate the MOUs with the test  
          vendors; the vendors in turn would need to renegotiate their  
          contracts with test centers (there are approximately 300 test  
          centers in California).  

          How many homeless youth may be affected?  According to the  
          California Homeless Youth Project, there were approximately  
          270,000 homeless students in California during the 2012-13  
          school year.  According to information provided by the author's  
          office, it is estimated that approximately 446 homeless youth  
          take a high school equivalency test, and 416 take the high  
          school proficiency exam.

          During the 2014-15 fiscal year, 84 school districts and county  
          offices of education received funds under the federal  
          McKinney-Vento Act in amounts ranging from almost $24,000 to  
          over $216,000.  These funds are not specifically designated to  
          cover the costs of exams.


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




          According to the Assembly Appropriations Committee:








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           Approximately 49,000 homeless youth attended grades 10-12,  
            inclusive, according to 2013-14 data.  For illustration,  
            assuming 1% of these students take the high school equivalency  
            exam at a cost of $140 per test; this would result in annual  
            costs of $68,600.  This bill prohibits the use of additional  
            state funds to support the fee exemption; however, this bill  
            authorizes the CDE to use surplus funds from the general  
            educational development test special deposit account through  
            January 1, 2020, to support associated costs.  The CDE  
            estimates the fund has a surplus of approximately $1.3  
            million. 


           Assuming 1% of homeless students in grades 10-12 take the  
            CHSPE at a cost of $110 per test, this would result in annual  
            costs of $53,900.  This bill prohibits additional state  
            funding from being provided to implement fee exemptions,  
            therefore; any costs associated with a fee exemption for the  
            CHSPE would be absorbed by other test takers at the local  
            level.  (The $1.3 million identified in the general  
            educational development test special deposit account noted  
            above cannot be used for costs associated with the CHSPE). 


           CDE estimates one-time administrative costs of approximately  
            $100,900 and ongoing costs of approximately $77,000 to process  
            reimbursements to vendors and to collect and process data  
            related to reporting requirements in this bill.  These costs  
            are 50% General Fund and 50% Special Funds.  In addition, CDE  
            anticipates minor costs for regulations and for DGS to process  
            the contracts with test vendors.




          SUPPORT:   (Verified9/2/15)


          Los Angeles County Office of Education










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          OPPOSITION:   (Verified9/2/15)


          None received


          ARGUMENTS IN SUPPORT:     According to the Los Angeles County  
          Office of Education, "statistics show that in California, 75% of  
          homeless youth do not finish high school, impacting the future  
          of homeless young adults.  Access to a certificate of  
          proficiency can be costly; $110 to $160 per exam depending on  
          deadline dates.  There is also an additional fee of $20 for the  
          scoring center to score the student's test.  The fees for these  
          tests may preclude a student from utilizing these services.   
          Access to these fee savings may allow and encourage homeless  
          youth to pursue post-secondary education."

           ASSEMBLY FLOOR:  78-0, 9/2/15
           AYES: Achadjian, Travis Allen, Baker, Bigelow, Bloom, Bonilla,  
            Bonta, Brough, Brown, Burke, Calderon, Campos, Chang, Chau,  
            Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, Daly,  
            Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina  
            Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez,  
            Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden,  
            Irwin, Jones, Kim, Lackey, Levine, Linder, Lopez, Low,  
            Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin,  
            Nazarian, Obernolte, O'Donnell, Olsen, Patterson, Perea,  
            Quirk, Rendon, Ridley-Thomas, Rodriguez, Salas, Santiago,  
            Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber,  
            Wilk, Williams, Wood, Atkins
           NO VOTE RECORDED: Alejo, Jones-Sawyer


          Prepared by: Lynn Lorber / ED. / (916) 651-4105
          9/2/15 17:48:25


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