BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 218
                                                                  Page  1

          Date of Hearing:   April 1, 2009

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Kevin De Leon, Chair

               AB 218 (Portantino) - As Introduced:  February 3, 2009 

          Policy Committee:                              Higher  
          EducationVote:9-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:               

           SUMMARY  

          This bill establishes an accountability framework, including the  
          biennial collection of specified data and subsequent assessment  
          of the state postsecondary education system's progress in  
          meeting specified educational and economic goals. Specifically,  
          this bill:


          1)Requires that the framework be used to measure progress toward  
            specified goals by collecting and reporting information that  
            answers six statewide policy questions:


             a)   Are enough Californians prepared for postsecondary  
               education? 


             b)   Are enough Californians going to college?


             c)   Is the state's postsecondary education system affordable  
               to all Californians?


             d)   Are enough Californians successfully completing  
               certificates and degrees?


             e)   Are college graduates prepared for life and work in  
               California?









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             f)   Are California's people, communities, and economy  
               benefiting? 


          2)Requires that the questions in (1) be answered by collecting  
            data for up to 30 progress indicators, which may include any  
            or all of 25 indicators delineated in this bill.


          3)Requires the segments of higher education, as represented by  
            the governing boards of the University of California (UC), the  
            California State University (CSU), and the California  
            Community Colleges (CCC), and the Association of Independent  
            California Colleges and Universities (AICCU), to provide data  
            for the framework to the California Postsecondary Education  
            Commission (CPEC) by May 31 of each odd-numbered year. The  
            segments are to (a) rely on existing data to the extent  
            possible, and (b) post this data on the Internet.


          4)Requires CPEC to make the collected data available on the  
            Internet and report the data-by August 1, 2010 and by August 1  
            or each odd-numbered year-on an aggregate statewide level, by  
            segment, by region, and by race and ethnicity, gender, Cal  
            Grant recipient status, and socioeconomic status to the extent  
            these data are available, and requires the indicators to be  
            collected and maintained by each segment longitudinally where  
            appropriate and possible.


          5)Requires the Legislative Analyst's Office (LAO) and the  
            Department of Finance (DOF) to convene an advisory committee  
            to coordinate the technical specifications of the data  
            collection and indicators. 


          6)Requires the LAO, in consultation with DOF, to report to the  
            Legislature and governor by January 30, 2010 on the  
            recommended indicator data, including any data limitations in  
            responding to the suggested indicators. The bill expresses  
            Legislative intent that to the extent the Legislature and  
            governor with the LAO's recommendations, the indicators be  
            formally adopted by statute.









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          7)Requires the LAO, within 120 days of receiving the CPEC report  
            per (4), to assess the extent to which the state is making  
            progress regarding the six questions in (1), and present its  
            analysis to a joint hearing of the appropriate legislative  
            policy and budget subcommittee by December 30 of each  
            even-numbered year.


          8)Authorizes the segments to provide reports, including  
            specified information regarding each segment's efforts toward  
            meeting the statewide goals, at the joint legislative hearing.


          9)Declares legislative intent that the governor (a) appoint and  
            convene a task force by January 1, 2012 to review the  
            accountability framework and recommend any modifications, and  
            (b) establish an advisory body to the task force for technical  
            expertise and guidance.


          10)Declares legislative intent that UC, CSU, CCC, and the  
            private and independent colleges and universities provide  
            information, as specified, for students and parents that  
            improves their understanding and comparison of postsecondary  
            educational institutions.


          11)Declares the following educational and economic goals for  
            California by 2020:


             a)   Improve the educational pipeline numbers so that  
               California is among the top 10 states in the nation in this  
               regard.


             b)   Increase California's per capita income to the average  
               of the top 10 new economy states, as defined.

             c)   To rank in the top 10 states nationally for the  
               percentages of its age groups with degrees and certificates  
               conferred.

          12)Repeals existing provisions requiring: 








                                                                  AB 218
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             a)   CPEC to annually report on significant indicators of  
               performance at the state's public colleges and universities

             b)   UC, CSU, and the CCC to provide annual statistical  
               reports on transfer patterns, and CPEC to report biennially  
               on the effectiveness of the segments' transfer programs.

           FISCAL EFFECT  

          1)To the extent the bill does not add new reporting duties on  
            the segments, UC, CSU, and the CCC costs will be absorbable.

          2)Data collection costs for CPEC will be absorbable as they  
            generally replace current commission data collection and  
            assessment activities being repealed by this bill.

          3)LAO costs to convene the advisory committee and analyze the  
            CPEC data biennially will be absorbable.

          4)Any costs for the governor's task force and advisory body will  
            be absorbable.

           COMMENTS  

           1)Purpose  . According to the author, when it comes to higher  
            education policy, "California is data rich and information  
            poor." This bill establishes a framework for measuring the  
            collective performance of California's system of higher  
            education in achieving state goals of access and workforce  
            preparation by: 

             a)   Articulating statewide public policy goals for  
               California's higher education segments. 

             b)   Identifying specific indicators and benchmarks to be  
               reported by higher education institutions in order to track  
               progress toward those goals. 

             c)   Establishing a process for collecting, reporting, and  
               analyzing the collective progress toward the articulated  
               goals.

           2)Background  . Nearly all states have some form of mandated  
            statewide accountability program for higher education.  








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            California has relied upon segmental accountability,  
            reflecting the missions and functions outlined in the state's  
            Master Plan for Higher Education. However, none of these  
            efforts combine to measure how California's students perform  
            as a whole, nor does California engage in a statewide approach  
            to higher education policy planning.


           3)Prior Legislation  . SB 1331 (Alpert) of 2004, which established  
            an accountability structure, was vetoed. The governor argued  
            that the bill only established a reporting structure for four  
            broad policy goals rather than providing for outcomes, such as  
            performance-based measures. 


            In 2008, a nearly identical bill, SB 325 (Scott), was also  
            vetoed, with the governor stating:

               "While I respect the author's intent to establish a  
               statewide system of accountability for postsecondary  
               education and a framework to assess the collective  
               contribution of California's institutions of higher  
               education toward meeting statewide economic and educational  
               goals, this bill falls short in providing any framework for  
               incentives or consequences that would modify behavior to  
               meet any policy objectives.  I believe our public education  
               systems should be held accountable for achieving results,  
               including our higher education segments, and would consider  
               a measure in the future that provides adequate mechanisms  
               that will effectuate tangible gains in student outcomes and  
               operational efficiencies."




          The author of AB 218 argues it is premature to incorporate  
          incentives or consequences until the goals are determined  
          appropriate, the necessary data collection systems are in place,  
          and funding for the segments has stabilized sufficiently to  
          evaluate their ability to meet the goals.


           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081