BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           138 (Nava)
          
          Hearing Date:  08/02/2010           Amended: 07/15/2010
          Consultant:  Dan Troy           Policy Vote: ED 6-2
          _________________________________________________________________ 
          ____
          BILL SUMMARY:   ACR 138 would express the intent of the  
          Legislature that part-time and temporary faculty of the  
          California Community Colleges (CCCs) receive pay and benefits  
          that are equal to those of tenured and tenure-track faculty of  
          comparable qualifications doing comparable work, as specified,  
          and that the CCCs should increase the percentage of full-time  
          tenured and tenure-track faculty.  The Resolution further  
          provides that implementation of these requirements should be  
          subject to a collective bargaining process.  
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2010-11      2011-12       2012-13     Fund
           Pay Equity             $100,000   $200,000    $200,000  General*

          75/25 full-time instruction       $150,000    $300,000   
          $300,000General*

          *Counts toward meeting the Proposition 98 minimum funding  
          guarantee                                     
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: This bill meets the criteria for referral to the  
          Suspense File.
          
          Chapter 973 of  the Statutes of 1988 (AB 1725, Vasconcellos),  
          required CCC districts that have fewer than 75 percent full-time  
          instructors to use a portion of their categorical program  
          improvement funding to hire more full-time faculty. The Board of  
          Governors (BOG) adopted regulations regarding this effort, but  
          the state soon discontinued this funding.  Later, the BOG  
          adopted regulations directing districts to provide a portion of  
          their enrollment growth funds to hiring more full-time faculty  
          and then sought and received statutory authority to continue  
          this approach toward achieving a "75/25" standard.











          Various entities have examined the issue of compensation equity.  
           A 2001 report by the California Postsecondary Education  
          Commission (CPEC) found that part-time staff earn a little more  
          than half of full-time faculty earnings, and that 41 percent of  
          part-time faculty received no benefits.  A Bureau of State  
          Audits report from June of 2000 estimated costs of $144 million  
          for eliminating the pay differential.  

          The Chancellor's Office estimates that it would cost well over  
          $200 million to achieve pay equity, based, in part, on the  
          figures provided in these reports referenced above.  Further,  
          according to the Chancellor's Office, it costs over $2 million  
          to raise the system wide percentage of full-time instruction by  
          one percentage point.  As the current split is approximately  
          60/40, the annual cost of achieving 75 percent would thus be  
          approximately $300 million.  Staff notes that these costs are  
          not direct, as a resolution 

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          ACR 138

          does not have the force of law.  However, the costs of meeting  
          this measure's intent are substantial, particularly during a  
          difficult fiscal environment.