BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           138 (Nava)
          
          Hearing Date:  08/12/2010           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: 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.