BILL ANALYSIS
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|SENATE RULES COMMITTEE | AB 187|
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THIRD READING
Bill No: AB 187
Author: Assembly Budget Committee
Amended: 9/4/09 in Senate
Vote: 27 - Urgency
ASSEMBLY FLOOR : Not relevant
SENATE FLOOR : 26-2, 9/12/09 (FAIL)
AYES: Alquist, Calderon, Cedillo, Corbett, Correa,
DeSaulnier, Ducheny, Florez, Hancock, Kehoe, Leno, Liu,
Lowenthal, Maldonado, Negrete McLeod, Oropeza, Padilla,
Pavley, Price, Romero, Simitian, Steinberg, Wiggins,
Wolk, Wright, Yee
NOES: Cox, Denham
NO VOTE RECORDED: Aanestad, Ashburn, Benoit, Cogdill,
Dutton, Harman, Hollingsworth, Huff, Runner, Strickland,
Walters, Wyland
SUBJECT : Student financial aid
SOURCE : Author
DIGEST : Senate Floor Amendments of 9/4/09 delete the
prior version of the bill expressing the intent of the
Legislature to enact statutory revisions relating to the
2009 Budget Act. This bill now provides for the 2009-10
operations of the California Student Aid Commission and
implements an alternative delivery system pilot program for
Cal Grants.
CONTINUED
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ANALYSIS : Existing law, the
Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program,
establishes, among other award programs, the Cal Grant A
and B Entitlement awards and the California Community
College Transfer Cal Grant Entitlement awards under the
administration of the California Student Aid Commission
(CSAC), and establishes eligibility requirements for awards
under these programs for participating students attending
qualifying institutions.
Specifics of AB 187
1. Implements an alternative delivery system pilot program
for Cal Grants.
2. The pilot institutions must function as one-stop shop
for financial aid information for all students,
parents, high school and community college counselors.
3. CSAC must adopt emergency regulations to implement the
pilot program by July 1, 2010.
3. CSAC shall convene an advisory task force to assist in
understanding the technical and data requirements for
implementation.
4. The pilot program cannot disrupt or impair the current
Cal Grant process for institutions not participating in
the pilot program.
5. The pilot program cannot be implemented until a
requisite number of institutions volunteer to
participate - no more than a total of 35 institutions,
with no more than 25 percent of any one segment of
higher education participating; however the statewide
governing bodies of the public institutions may choose
which institutions would want to participate.
6. Institutions must submit an application acknowledging
they comply and will maintain compliance with
requirements of participation.
7. Participating institutions shall (a) make eligibility
determinations consistent with the requirements of the
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Cal Grant Program, (b) inform students of their award,
(c) make Cal Grant award part of institution's complete
financial aid award, so that students are aware of all
the student aid is eligible to receive, and (d) provide
student notice that the Grant may be eligible to be used
at another institution.
8. Participating institutions shall report various
information (a) necessary for funding budgetary funding
projections, (b) on applicants by income level, gender,
age, and ethnicity, (c) on applicants that have been
awarded a Cal Grant, but have withdrawn from their
qualifying institution or not has been disbursed, (d)
information on total amount of institutional aid
available for students, and (e) information on actual
amount of financial aid (by source) awarded to students.
9. All costs shall be paid by the participating
institutions. Participating public institutions shall
not require additional state funds.
10.The pilot program is completely voluntary.
11.CSAC shall not conduct its duties under the provisions
of this bill until CSAC, in a regular public meeting,
determines that sufficient funding exists for it to
conduct its regular operations for administering the Cal
Grant Program.
12.The Legislative Analyst and CSAC shall report back to
the Legislature and Governor by January 10, 2012.
This bill contains a $4.3 million General Fund
appropriation for 2009-10 state operations of CSAC. CSAC
can only implement the pilot program, once they determine
sufficient funding exists to conduct its regular operations
for administering the Cal Grant program.
FISCAL EFFECT : Appropriation: Yes Fiscal Com.: Yes
Local: No
DLW:mw 10/12/09 Senate Floor Analyses
SUPPORT/OPPOSITION: NONE RECEIVED
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