BILL NUMBER: AB 71	INTRODUCED
	BILL TEXT


INTRODUCED BY  Assembly Member Wright

                        DECEMBER 12, 1996

   An act to amend Section 94986 of, and to repeal Section 94990 of,
the Education Code, and to repeal Section 32 of Chapter 62 of the
Statutes of 1996, relating to postsecondary education, making an
appropriation therefor, and declaring the urgency thereof, to take
effect immediately.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 71, as introduced, R. Wright.  Private Postsecondary and
Vocational Education Reform Act of 1989.
   (1) Existing law, known as the Private Postsecondary and
Vocational Education Reform Act of 1989, among other things, requires
the California Postsecondary Education Commission, prior to
September 1, 1995, to review and evaluate specified matters relating
to the implementation of the act, and to report to the Legislature on
the results of this review and evaluation.
   This bill would instead require the periodic review of the
effectiveness of the act and a report to the Legislature on the
results of the review.
   (2) Existing law renders the act inoperative on June 30, 1997, and
repeals the act on January 1, 1998.
   This bill would continue that existing law indefinitely.  The bill
would thus extend the existence of criminal penalties under the act,
thereby imposing a state-mandated local program.  The bill would
also make an appropriation by continuing the operation of the
continuous appropriation in the act.
  (3) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state.  Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
  (4) This bill would declare that it is to take effect immediately
as an urgency statute.
   Vote:  2/3.  Appropriation:  yes.  Fiscal committee:  yes.
State-mandated local program:  yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  The Legislature finds and declares that the California
Postsecondary Education Commission, in reviewing the effectiveness of
the Private Postsecondary and Vocational Education Reform Act of
1989, adopted and issued a report on October 30, 1995, that set forth
all of the following findings:
   (a) The Private Postsecondary and Vocational Education Reform Act
of 1989 is California's major statute for regulating and
strengthening its more than 2,000 privately operated postsecondary
educational institutions, as well as out-of-state public and private
institutions that have operations in California.  The private sector
educates approximately 412,000 students:  108,200 enrolled in
degree-granting institutions, and 304,200 enrolled in
non-degree-granting institutions.
   (b) Prior to passage of the act, some degrees and diplomas awarded
by California's private postsecondary and vocational educational
institutions were of questionable integrity and value.  The act set
minimum standards of instructional quality and institutional business
practices, and mandated consumer protections for students against
fraud, misrepresentation, and unfair practices by schools.  These
changes have restored the credibility and integrity of degrees and
diplomas awarded by private schools and colleges.
   (c) More broadly, the improvement of California's work force
preparation programs, both public and private, is of significant
value to the business community in California.  By ensuring
high-quality preparation and training for students entering the work
force, this act benefits both employers and employees.
  SEC. 2.  Section 94986 of the Education Code is amended to read:
   94986.   Prior to September 1, 1995 the   (a)
The  California Postsecondary Education Commission shall 
periodically  review  and evaluate all of the following,
and shall   the effectiveness of this chapter and 
report to the Legislature on the results of this review  and
evaluation:
   (a)The implementation of this chapter by the council.
   (b)The effectiveness of Article 4 (commencing with Section 94760)
and Article 5 (commencing with Section 94780) in protecting the
integrity of degrees and diplomas issued by private educational
institutions.
   (c) The appropriateness of policies and actions by the council to
delegate the responsibility for institutional regulation and
oversight to a state board in the Department of Consumer Affairs, the
Federal Aviation Administration, the state agency responsible for
administering Article 1 (commencing with Section 1250) of Chapter 2
of Division 2 of the Health and Safety Code, or the Examining
Committee of the State Bar.
   (d) The appropriateness of statutory provisions exempting colleges
and universities accredited by the Western Association of Schools
and Colleges from the approval provisions of this chapter, and the
effectiveness of the Western Association of Schools and Colleges in
responding to complaints pursuant to subdivision (d) of Section
94962.
   (e) The effectiveness of this chapter in protecting students from
misrepresentation and unfair practices and promoting the financial
integrity of institutions operating in California.
   (f) The desirability of revising existing statutes for the state
funded student financial assistance programs to allow for
participation by students choosing to attend any of the institutions
approved under Article 4 (commencing with Section 94760)  .

   (b)  The commission shall present any recommendations for
revising this chapter, as it deems appropriate.
  SEC. 3.  Section 94990 of the Education Code is repealed.  

   94990.  This chapter shall become operative on January 1, 1997,
and shall become inoperative on June 30, 1997, and as of January 1,
1998, is repealed, unless a later enacted statute, which becomes
effective on or before January 1, 1998, deletes or extends the dates
on which it becomes inoperative and is repealed. 
  SEC. 4.  Section 32 of Chapter 62 of the Statutes of 1996 is
repealed.  
  SEC. 32.  Sections 5 to 24, inclusive, and Sections 26 to 30,
inclusive, of this act shall become operative on January 1, 1997, and
shall become inoperative on June 30, 1997, and as of January 1,
1998, are repealed, unless later enacted statutes, which become
effective on or before January 1, 1998, delete or extend the dates on
which they become inoperative and are repealed. 
  SEC. 5.  No reimbursement is required by this act pursuant to
Section 6 of Article XIIIB of the California Constitution because the
only costs that may be incurred by a local agency or school district
will be incurred because this act creates a new crime or infraction,
eliminates a crime or infraction, or changes the penalty for a crime
or infraction, within the meaning of Section 17556 of the Government
Code, or changes the definition of a crime within the meaning of
Section 6 of Article XIIIB of the California Constitution.
   Notwithstanding Section 17580 of the Government Code, unless
otherwise specified, the provisions of this act shall become
operative on the same date that the act takes effect pursuant to the
California Constitution.
  SEC. 6.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect.  The facts constituting the necessity are:
   In order to continue the operation of the Private Postsecondary
and Vocational Education Reform Act of 1989 as soon as possible, it
necessary that this act take effect immediately.