BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | SB 252| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- 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 SB 252 Page 2 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 SB 252 Page 3 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. SB 252 Page 4 (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 SB 252 Page 5 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 SB 252 Page 6 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 SB 252 Page 7 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: SB 252 Page 8 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 SB 252 Page 9 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 **** END **** SB 252 Page 10