BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           669 (Fong)
          
          Hearing Date:  07/13/2009           Amended: As Introduced
          Consultant:  Dan Troy           Policy Vote: ED 9-0
          _________________________________________________________________ 
          ____
          BILL SUMMARY:   AB 669 would entitle entering students 19 years  
          of age and younger who were wards of the state or who were  
          served by California's child welfare system to be classified as  
          residents for tuition purposes until they have resided in the  
          state for the minimum time needed to become residents.  
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2009-10      2010-11       2011-12     Fund
                                                                  
          Residency classification            Range of $30 to $120,    
          General*
                                            depending on eligibility

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

          STAFF COMMENTS: This bill may meet the criteria for referral to  
          the Suspense File.
          
          Under current law, students must have resided in California for  
          at least one year and one day immediately prior to a date  
          established by the segments to determine residency for a given  
          term, semester, or quarter in order to be considered a  
          California resident for tuition purposes at the University of  
          California (UC), the California State University (CSU), or the  
          California Community Colleges (CCC).  

          Another path to residency is provided by AB 540 (Firebaugh),  
          Chapter 814, Statutes of 2001, which exempts specified  
          nonresidents of California from paying nonresident tuition if  
          they attended a California high school for three or more years,  
          as specified.  Current law also provides various exemptions to  
          the residency requirements relating to military service, amateur  










          athletes engaging in Olympic training in Chula Vista, Native  
          Americans attending Bureau of Indian Affairs-administered  
          schools, students under the care of an adult who is not a  
          parent, and others.  

          In most cases, students' residency extends from their parents.   
          This can problematic for current or former foster youth whose  
          parents no longer reside in California or whose whereabouts are  
          unknown.  While some exemptions exist by which foster youth may  
          be able to establish residency, the trail of documentation is  
          often difficult to piece together.  This bill is intended to  
          ease access to college for foster youth by entitling all current  
          or former wards of the state through California's child welfare  
          system to resident tuition and fees.  

          As students attending UC and CSU have high school diplomas,  
          generally, the provisions of AB 540 apply, which would already  
          entitle students in this situation to 

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          AB 669 (Fong)

          resident classification.  Therefore, the impact of this bill is  
          most likely to be felt at the California Community Colleges, as  
          students may enroll at the CCC without a diploma.  

          Currently, resident fees at CCC are $20 per unit, while  
          nonresident fees average $190 per unit.  As nonresidents,  
          current or former foster youth in these circumstances are not  
          eligible for Cal Grants or for fee waivers granted by the Board  
          of Governors.  Given the lack of resources of most foster youth,  
          it is not likely that many would enroll for classes if faced  
          with costs of $190 per unit, especially when delaying enrollment  
          for one year would entitle them to the lower fee and/or a fee  
          waiver.  The most likely fiscal impact of this bill would be for  
          the awarding of fee waivers as a result of providing these  
          students with resident classification.

          As there is no clear data available to pinpoint the number of  
          students affected, the costs of this bill are difficult to  
          estimate.  The CCC served approximately 6,000 self-identified  
          foster youth in the 2007-08 fiscal year.  The population  
          relevant to this bill would be only a fraction of that figure -  
          those 19 or younger without a high school diploma that cannot  
          establish residency of at least one year.  A fee waiver  
          (generally backfilled by the General Fund) for a student taking  










          30 units of coursework in a year would cost the state $600.  As  
          illustrative examples, for every 50 students that would receive  
          a fee waiver to the resident classification provided by this  
          bill, the state cost exposure would be $30,000.  For every 100  
          students the costs would be $60,000.  For very 200 costs would  
          be $120,000.  In the absence of more precise data, the actual  
          costs of the bill are indeterminable.