BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON EDUCATION
                              Senator Carol Liu, Chair
                                2015 - 2016  Regular 

          Bill No:             SB 425               
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          |Author:    |Hernandez                                            |
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          |Version:   |April 21, 2015                             Hearing   |
          |           |Date:    April 29, 2015                              |
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          |Urgency:   |Yes                    |Fiscal:    |Yes              |
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          |Consultant:|Kathleen Chavira                                     |
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           NOTE  :  This bill was previously heard by this Committee on April  
          8, 2015.  No vote was taken.  The author has amended the bill to  
          respond to concerns raised in the prior committee analysis.  The  
          analysis has been updated to reflect those amendments.  

          Subject:  Career training:  adult students

            SUMMARY
          
          This bill, an urgency measure, authorizes the Superintendent of  
          Public Instruction (SPI), for purposes of participation in Title  
          IV authorized federal student financial assistance programs, to:  
          1) Certify by name, a regional occupational center and program,  
          or a county office of education or an adult school; 2) Adopt  
          regulations that authorize a complaint process under the Uniform  
          Complaint Procedures outlined in specified regulations; and to  
          3) Decertify any program no longer in compliance with specified  
          federal regulations. 

            BACKGROUND
          
          Existing federal law outlines the requirements for eligibility  
          to participate in Title IV federal financial assistance programs  
          for postsecondary education institutions. Federal regulations  
          define postsecondary vocational institution for this purpose  
          and, among other things, require that an educational institution  
          be:

             1.   Legally authorized by a state to operate educational  
               programs beyond secondary education. 







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             2.   Have a process to review and act appropriately on  
               complaints concerning postsecondary institutions.   (34  
               Code of Federal Regulations § 600.6, § 600.9)

          Existing law authorizes school county superintendents to  
          establish Regional Occupational Centers and Programs (ROCPs)  
          that allow students from multiple schools or districts to  
          participate in career technical training programs regardless of  
          the geographical location of their residence in a county or  
          region.  
          (Education Code § 52300, et. seq.)

          Existing law authorizes a school district governing board, with  
          the approval of the California Department of Education, to  
          establish and maintain classes for adults, as specified, and  
          outlines various requirements to be met by these programs.   
          Adult schools and evening high schools are required to consist  
          of classes for adults and authorized to admit minors if  
          specified conditions are met. 
          (Education Code § 52500-52610)  
            ANALYSIS
          
          This bill, an urgency measure, authorizes the Superintendent of  
          Public Instruction (SPI) to certify specified career training  
          programs for the purpose of participating in Title IV authorized  
          federal student financial assistance programs.  More  
          specifically it:

          1.   Authorizes the Superintendent of Public Instruction (SPI)  
               to certify by name, any regional occupational center or  
               program (ROC/P), county office of education, or adult  
               education program, that provides a program of training to  
               prepare adult students for gainful employment in a  
               recognized occupation to legally authorize the center,  
               program, or office to provide an educational program beyond  
               secondary education, including an education program that  
               leads to a degree or certificate.

          2.   Extends the authority in #1 exclusively for the purpose of  
               participation in Title IV authorized federal student  
               financial assistance programs.

          3.   Requires a regional occupational center or program, county  








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               office of education, or adult education program applying  
               for certification to comply with both of the following:

                    A.             Satisfy all applicable eligibility  
                    requirements specified in federal rulemaking pursuant  
                    to specified federal regulations.

                    B.             Apply in writing to the SPI as an  
                    individual entity to be considered for certification.

          4.   Authorizes any person to file a complaint under the Uniform  
               Complaint Procedures (UCPs) regarding an alleged violation  
               by a local agency of federal or state law governing adult  
               education programs or ROC/Ps, including allegations of  
               unlawful discrimination, harassment, intimidation, or  
               bullying, and requires the SPI to adopt regulations to  
               implement this authorization. 

          5.   Authorizes the SPI to decertify a regional occupational  
               center or program, county office of education, or adult  
               education program, for purposes of participation in Title  
               IV authorized federal student financial assistance  
               programs, upon a determination that the entity is no longer  
               in compliance with the specified federal regulations. 

          6.   Makes related findings and declarations.

          STAFF COMMENTS

          1.   Need for the bill.  According to the author, this bill  
               seeks to clarify and update California law by establishing  
               authority and process for ROCPs, county offices of  
               education, and adult schools to be able to participate in  
               federal student financial aid programs. As the result of  
               changes in the federal law, students receiving financial  
               assistance to obtain career technical certification  
               training through these entities may be ineligible for  
               federal financial aid. 

          2.   The Sector.  According to information from providers,  
               regional occupational center or program (ROC/Ps), county  
               offices and adult schools have been participating in  
               federal financial aid programs, some for as many as 20  
               years. Recent changes in the federal law regarding state  








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               authorization to offer postsecondary education programs  
               puts about 27 of these programs currently approved to offer  
               federal student aid, and the students they serve, at risk  
               of losing eligibility for funds necessary to support  
               students' postsecondary workforce training. According to  
               one provider, about 12,000 high school graduates enrolled  
               in post-secondary career preparation programs at ROCPs,  
               county offices and adult schools would no longer be able to  
               access these funds without some change to California law.
          
          3.   State authorization.  State authorization regulations were  
               published in the Federal Register on October 29, 2010 (75  
               FR 66832) and schools were initially required to be in  
               compliance with these rules by July 1, 2011.  Since then,  
               the U.S. Department of Education (USDE) has granted several  
               extensions of the implementation date of these  
               requirements, subject to a demonstration that institutions  
               and states were making progress toward complying with and  
               obtaining state authorization. 

               In May 2013, the USDE announced that it would extend the  
               deadline for complying with a rule requiring states to  
               authorize colleges within their borders by a year (July 1,  
               2014). In June 2014, the Department further delayed (until  
               July 1, 2015) the implementation date of the state  
               authorization regulations for institutions of postsecondary  
               education whose state authorization does not meet the  
               requirements of these regulations, so long as the State is  
               establishing an acceptable authorization process that is to  
               take effect by the delayed implementation date.

               This bill proposes an urgency measure to address the state  
               authorization requirements for workforce training programs  
               for adults offered by K-12 affiliated entities. 

          4.   Related and prior legislation.  

               AB 907 (Burke) authorizes the Superintendent of Public  
               Instruction to certify, by name, each regional occupational  
               center or program, county office of education, or adult  
               education program, that provides a program of training to  
               prepare adult students for employment in a recognized  
               occupation, and to "authorize" these entities for purposes  
               of the center, program, or office participating in any  








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               student financial assistance program.  The bill also  
               requires these entities to meet specified requirements and  
               authorizes individuals to use the uniform complaint process  
               to allege violation of any state or federal laws. AB 907 is  
               currently awaiting action in the Assembly Higher Education  
               Committee.  As amended, SB 425 is almost identical to AB  
               907.

               AB 1181 (Calderon) declares the Legislature's intent that  
               regional occupational centers will serve the state and  
               national interests in providing secondary and postsecondary  
               career technical and technical education to students and  
               authorizes adult schools and evening high schools to  
               include postsecondary career technical education programs.   
               AB 1181 is currently awaiting action in the Assembly  
               Education Committee. 

            SUPPORT
          
          East San Gabriel Valley Regional Occupational Program and  
          Technical Center
          La Puente Valley Regional Occupational Program
          Los Angeles County Office of Education
          Riverside County Superintendent of Schools
          ROP North Orange County

            OPPOSITION
           
           None received. 

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