BILL ANALYSIS
AB 552
Page 1
Date of Hearing: March 31, 2009
ASSEMBLY COMMITTEE ON HIGHER EDUCATION
Anthony Portantino, Chair
AB 552 (Furutani) - As Introduced: February 25, 2009
SUBJECT : California Community Colleges: career technical and
vocational education: financing.
SUMMARY : Establishes the Commission on Adequate Funding for
Career Technical and Vocational Education at the California
Community Colleges (Commission), funded through private funds,
comprised of specified members with specified powers and duties.
Specifically, this bill :
1)Finds and declares that the existing financing structure for
California Community Colleges (CCC) creates a disincentive to
develop or continue career technical education (CTE),
vocational education, and high-cost laboratory programs, and
that the Commission will help provide recommendations on
financing alternatives.
2)Provides that the Commission shall be composed of nine voting
members with three members appointed by the Governor, three
members appointed by the Senate Committee on Rules, and three
members appointed by the Speaker of the Assembly; and each
appointing entity shall include a CCC professor, a CCC
administrator, and a representative of a local workforce
investment board.
3)Provides that the Commission shall also include ex officio,
nonvoting members representing the Legislative Analyst's
Office, the Department of Finance, the California Workforce
Investment Board, the Office of the Chancellor of the
California Community Colleges (CCCCO), including the Chair of
the Senate Committee on Rules or a member of that Committee
appointed by that Committee, and the Chair of the Assembly
Committee on Higher Education or a member of that Committee
appointed by the Speaker of the Assembly.
4)Provides that the Commission shall elect a chair and vice
chair among the members; the term of the chair, vice chair and
all members shall be for the duration of the Commission; five
members of the Commission shall constitute a quorum at any
meeting for transacting business, but a lesser number may
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conduct hearings; members of the Commission shall serve
without compensation but may be reimbursed for travel,
subsistence, and other necessary expenses to the extent that
funds are available.
5)Provides that state funds shall not be available to the
Commission, except that private donations collected may be
expended upon Legislative appropriation, to reimburse members
for expenses and other purposes of the Commission.
6)Requires the Commission to gather facts and conduct a study
regarding financing alternatives for CTE, vocational
education, and high-cost laboratory programs at the CCC, for
the purpose of making recommendations to the Governor and the
Legislature in a written report to be submitted on or before
July 1, 2011.
7)Provides that the Commission shall hold public meetings and
hearings, may authorize a subcommittee to hold hearings, and
may request the attendance and testimony of a witness and the
production of records, correspondence, and documents that the
Commission, any subcommittee of the Commission, or any member
of the Commission deems necessary.
8)Provides that, subject to the approval of the Department of
Finance, the Commission may solicit, and the Director of
Finance may accept on behalf of the Commission, gifts,
donations, and other financial support from private entities
for the purposes of carrying out the duties of the Commission,
and that private entities may deposit gifts, donations, and
other financial support with the state for the purposes of
this chapter.
EXISTING LAW:
1)Establishes an allocation mechanism for CCC that generally
provides a single rate per full-time equivalent students
(FTES) for all CCC districts, with exceptions.
2)Establishes the CCC Economic Workforce Development Program to
advance economic growth and global competitiveness through
work with employers, advisory committees, and agency partners
to identify workforce education and training needs and to
assist CCCs in establishing educational programs that meet
those needs.
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FISCAL EFFECT : Unknown
COMMENTS : Purpose of this bill : The author believes that "CTE
programs are central to California's economic vitality and
without a mechanism that allows for adequate funding of CTE
programs, the vitality of these programs is extremely dubious."
The author believes that the Commission of policy experts and
practitioners can provide the Legislature with an independent
report of options and policy considerations that address the
funding of high-cost CTE programs at CCC. The author notes that
the current funding formula for FTES, set forth by SB 361
(Scott), Chapter 631, Statutes of 2006, simplified the funding
mechanism for CCC primarily by reducing the number of workload
measures and by establishing standard revenue allocations per
FTES for instruction. The author believes that, while the
simplification provides a stable environment for CCCs to plan
and administer programs, it significantly disadvantages CTE
programs because they generally have limitations on enrollment
and greater facilities, materials, and equipment costs; as a
result, if CCCs were to make decisions about which programs to
offer based solely on the projected net revenues they would
generate, the choice clearly would be to offer general education
rather than CTE programs.
CTE program funding : As noted above, the state funds CCC
through FTES, and the funding rate does generally not differ
between general education and CTE courses. However, in recent
years the state and federal government have appropriated funding
to CCC to specifically support the continuation and development
of CTE programs, including:
1)SB 70 (Scott), Chapter 352, Statutes of 2005, allocated $20
million each year in 2005-06 and 2006-07 for the support of
CTE programs at middle schools, high schools, regional
occupational centers and programs, and CCCs.
2)SB 1133 (Torlakson), Chapter 751, Statutes of 2006, allocated
$32 million in 2007-08 and $38 million annually from 2008-09
to 2013-14 to expand CTE in middle schools and high schools by
hiring additional faculty to expand CTE program offerings.
3)The federal Carl D. Perkins Career and Technical Education Act
of 2006 (Perkins Act) provides California approximately $140
million annually to develop and implement programs to expand,
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promote, and integrate academic and CTE programs and link
secondary and postsecondary education.
4)Tech Prep, funded through the Perkins Act, will provide
approximately $8.9 million for CCC to expand CTE programs in
2008-09.
Other states funding mechanisms for CTE : Los Angeles Trade
Technical College indicates that other states such as Kansas,
Mississippi, Arkansas, Nebraska, Pennsylvania, Massachusetts,
and Texas use various models of financing high cost CTE courses
in both high schools and colleges. According to information
complied by the Education Commission of the States, funding
formulas vary from state to state.
Some states have separate funding for CTE programs, while others
have made no separate provisions. Seven states report enhanced
FTES funding for CTE students, including Arizona, which provides
up to 1.75 FTES (an additional 75% above a general education
student), Kansas, which provides 1.5 FTES, and Florida, which
provides 1.3 FTES for each student who completes the CTE
program.
REGISTERED SUPPORT / OPPOSITION :
Support
American Federation of State, County and Municipal Employees
California Federation of Teachers
California Teachers Association
Opposition
None on file
Analysis Prepared by : Laura Metune / HIGHER ED. / (916)
319-3960