BILL ANALYSIS Ó
SB 605
Page 1
Date of Hearing: July 7, 2015
ASSEMBLY COMMITTEE ON HIGHER EDUCATION
Jose Medina, Chair
SB
605 (Gaines) - As Amended June 2, 2015
SENATE VOTE: 39-0
SUBJECT: Community colleges: exemption from nonresident tuition
fee: Lake Tahoe Community College District.
SUMMARY: Exempts persons residing in specified communities in
the State of Nevada from paying non-resident tuition fees if
they attend the one California Community College (CCC) within
the Lake Tahoe Community College (LTCC) District (LTCCD).
Specifically, this bill:
1)Exempts up to 200 students in any academic year who attend
LTCC from being charged non-resident student tuition fees if
they reside in one of the following communities in the state
of Nevada:
a) Incline Village;
b) Kingsbury;
c) Round Hill;
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d) Skyland;
e) Stateline; and,
f) Zephyr Cove.
2)Deems a student to have residence in one of the communities,
as specified above, if he/she lived in said community for more
than one year immediately prior to seeking the fee exemption.
3)Requires the governing board of LTCCD to adopt rules and
regulations for determining a student's residence
classification and for establishing procedures to appeal and
review this determination.
4)Authorizes LTCCD to report the non-resident students who are
exempt from paying non-resident fees, as specified, as
resident full-time equivalent students (FTES) for state
apportionment purposes.
5)Requires any non-resident students reported as resident FTES
for apportionment purposes, as specified, to pay a per unit
fee that is three times the amount of the fee established for
residents, consistent with existing law.
6)Sunsets these provisions on July 1, 2022.
7)Makes the provisions of this measure operative only if, by
July 1, 2021, the following occurs:
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a) The CCC Board of Governors (BOG) enters into an
interstate attendance agreement with the Nevada System of
Higher Education; and,
b) The agreement provides reciprocal rights to California
residents attending Western Nevada College that reasonably
conform to the benefits conferred upon Nevada residents by
the provisions of this measure.
8)Requires the CCC Chancellor to promptly post notice of the
interstate attendance agreement on the CCC Internet Web site.
EXISTING LAW:
1)Authorizes the CCC BOG to enter into an interstate attendance
agreement with any statewide pubic agency of another state
that is responsible for public institutions of postsecondary
education providing the first two years of college
instruction, and that is an agency of a state that is a member
of Western Interstate Commission for Higher Education (WICHE)
(Education Code Section 66801).
2)Authorizes a community college district (CCD) to admit
nonresident students; requires that said students be charged a
tuition fee that, as of July 1, 2013, is three times the
amount of the fee established for in-state resident students,
with certain specified exemptions; and, prohibits nonresident
students from being reported as FTES for state apportionment
purposes, except where: a) the CCD has less than 1,500 FTES
and is within 10 miles of another state and has a reciprocity
agreement with that state, or b) if a CCD has between 1,501
and 3,000 FTES and is within 10 miles of another state and has
a reciprocity agreement with that state, they can claim up to
100 FTES for state apportionment purposes (EC Section 76140).
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FISCAL EFFECT: According to the Senate Appropriations
Committee, costs to the state of up to $136,000 Proposition 98
General Fund (net of tuition fee revenue and state apportionment
costs). To note, this estimate assumes that 200 students
equates to 100 FTES taking 24 semester units per year, and that
these students pay a per unit fee that is three times the amount
of the fee established for residents.
COMMENTS: Need for the measure. According to the author,
"Current law does not recognize the seamless, regional economy
that is the Lake Tahoe Basin, and works against sustainable
prosperity on the California side by choking off educational
opportunities for students who live on the Nevada side." The
author contends that by making LTCC more affordable to a limited
number of Nevada students who live close to the college,
"California can better serve more students who are seeking to
improve their academic or career skills and ultimately
contribute to the economic and social health of the region.
Lake Tahoe Community College District (LTCCD). The LTCCD is a
district with more than 1,500 but less than 3,001 FTES and is
less than 10 miles from the State of Nevada. However, in order
to qualify for the exemption provided by Education Code Section
76140(i), there must be a reciprocity agreement between
California and Nevada governing student attendance and fees.
LTCCD lies on the border of Nevada. Populations on both sides
of the border are closely integrated in various ways, including
education. Historically, LTCCD enrolled Nevada residents and
exempted them from nonresident tuition fees under an interstate
agreement known as a "Good Neighbor Policy (GNP)." However, on
September 1, 2011, the State of Nevada terminated this
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long-standing interstate attendance agreement with the CCC BOG.
Thus, since 2011, there has not been a statewide agreement
between Nevada and California regarding community college
attendance and tuition.
Western Interstate Commission for Higher Education (WICHE).
California and Nevada, along with a number of other states,
participate in WICHE. WICHE oversees three student reciprocal
exchange programs allowing students to attend out of state
universities at a reduced rate. However, the CCC system is not
participants in the Western Undergraduate Exchange, the WICHE
exchange program serving undergraduates.
Reciprocity agreement. Reciprocity agreements allow the flow of
tangible economic and educational benefits to citizens of
California and Nevada. The absence of a GNP or reciprocity
agreement shifts the total burden of paying for these benefits
to California residents.
According to the CCC Chancellor's Office (CCCCO), the Tahoe
Basin is a single economy; "divided by a political boundary"
that has little meaning to the people in the region. Many
people in the region live in one state and work in the other.
The CCCCO contends that for many Nevada residents, crossing the
state line to attend LTCC, which is situated 3.3miles from the
California/Nevada border, is the most efficient means of
completing their college education. To note, according to the
LTCCD, the next nearest public institution of higher education
is 25 miles away in Nevada; an hour drive through mountainous
terrain or basically impossible in severe winter weather
conditions.
Additionally, Nevada Senate Bill 414 (Settelmeyer), which was
signed into law on June 5, 2015, encourages the Board of Regents
of the University of Nevada to enter into a reciprocal agreement
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with the State of California in order to authorize waivers of
nonresident tuition to certain residents of the Lake Tahoe
Basin. According to the LTCCD, the Chancellor of the Nevada
System of Higher Education has agreed to negotiate a GNP with
the State of California, if this measure is enacted into law.
To note, the provisions of SB 605 become operative only if, by
July 1, 2021, the appropriate entities enter into a reciprocity
agreement and residents of both states benefit from the
agreement.
REGISTERED SUPPORT / OPPOSITION:
Support
Alling & Jillson, LTD.
California Community Colleges Chancellor's Office
Community College League of California
Feldman McLaughlin Thiel, LLP
Heavenly Lake Tahoe
Lake Tahoe Community College District
Lake Tahoe South Shore Chamber of Commerce
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Three individuals
Opposition
None on file.
Analysis Prepared by:Jeanice Warden / HIGHER ED. / (916)
319-3960