BILL NUMBER: AB 1182	AMENDED
	BILL TEXT

	AMENDED IN SENATE  SEPTEMBER 4, 2009
	AMENDED IN ASSEMBLY  APRIL 30, 2009

INTRODUCED BY   Assembly Member Brownley

                        FEBRUARY 27, 2009

   An act to amend Sections  48800,  66057, 67312,
 76002,  81254, 84760.5,  88550, 
89009, 89753, 100700, 100900, 101034, and 101050 of, to add Sections
66015.10, 66015.12, 66021.1, 66026, 67501, 67502, 67503, 67504,
 76305, 79202.5, and 92611.9 to, to add 
Chapters 9.5 (commencing with Section 92750) and  
Chapter  10.5 (commencing with Section 92830) to Part 57 of
Division 9 of Title 3 of, and to repeal Sections 66352 and 71020 of,
the Education Code,   to repeal Articles 8 (commencing with
Section 550) and 10 (commencing with Section 592) of Chapter 3 of
Part 1 of Division 1 of the Food and Agricultural Code,   to
amend Section 67480 of the Government Code, and to amend Sections
104145, 104500, and 104530 of the Health and Safety Code, relating to
public postsecondary education.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1182, as amended, Brownley. Public postsecondary education:
reporting requirements.
   (1) Existing law establishes the various segments of the higher
education system in the state. These segments include the University
of California, which is administered by the Regents of the University
of California, the California State University, which is
administered by the Trustees of the California State University, and
the California Community Colleges, which is administered by the Board
of Governors of the California Community Colleges, which together
comprise the public postsecondary education system.
   This bill would express the intent of the Legislature to refine
higher education reporting requirements to provide for more
effective, manageable, and transparent reporting by the higher
education segments.  The bill would further express the
intent of the Legislature that the Budget Act for the 2010-11 fiscal
year modify recurring Budget Bill language, as specified. 

   (2) Existing law requires the Chancellor of the California
Community Colleges, on or before January 1 of each year, to report to
the Department of Finance the number of pupils who enroll in
community college summer session courses and receive a passing grade.
Existing law requires the chancellor to prepare and submit to the
Department of Finance and the Legislature, on or before March 1 of
each year, a report on the amount of full-time equivalent students
(FTES) claimed by each community college district for special
part-time and special full-time students for the preceding academic
year in specified categories.  
   The bill would integrate these 2 reports and require that both
reports be submitted on or before March 1 of each year. The bill
would require that the combined report distinguish between the 2
separate student populations of the original reports. 

   (3) 
    (2)  Existing law contains various reporting
requirements of the University of California, the California State
University, and the California Community Colleges both in statute and
in Supplemental Report language to the annual Budget Act.
   The bill would codify these requirements by requesting the
University of California, and requiring the California State
University and the California Community Colleges  ,  to
report to the Legislature on institutional financial aid, campus
enrollment and facilities, academic and research programs, and the
capital outlay planning process, as specified. The bill would make
conforming changes. The bill would additionally revise the deadlines
for the submittal of reports by the University of California, the
California State University, and the California Community Colleges.

   (4) 
    (3)  Existing law requires the trustees and the board of
governors to establish and convene a task force to develop a plan
for integrating instruction in business ethics into their business
and business administration programs and to submit a diversity paper
concerning its own membership.
   The bill would delete these requirements. 
   (5) 
    (4)  Existing law requires the Trustees of the
California State University and requests the Regents of the
University of California to biennially report on state-funded
services for students with disabilities.
   The bill would delete this requirement  and this request 
. 
   (6) 
    (5)  Existing law requires the board of governors, every
3 years, to develop and submit a diversity paper concerning its own
membership.
   The bill would delete this requirement. 
   (7) Existing law, to the extent funding is provided, requires that
a community college receive funding for educational services
provided to CalWORKs recipients.  
   The bill would authorize a community college, on or before October
15 of each year, to submit to the Office of the Chancellor,
applications for funding for the direct instruction of CalWORKs
students above the district's enrollment cap. The bill would
condition receipt of the funds on the participating community college'
s submittal of a report containing data relating to the funded
components and enrolled CalWORKs students.  
   (6) Existing law requests the Regents of the University of
California to establish the Sustainable Agriculture Research and
Education Program to support competitive grants to promote more
research and education on sustainable agricultural practices, and to
support the giving of instructions and practical demonstrations in
agriculture. Existing law also provides for a program of
demonstration projects designed to provide extension services,
training, and financial incentives for participating farmers to
implement biologically integrated farming systems.  
   This bill would repeal the provisions providing for those
programs.  
   (8) 
    (7)  Existing law creates the California State
University, Channel Islands Site Authority, contingent on the
acceptance of the land and improvements comprising the Camarillo
State Hospital by the trustees, to be administered by that authority.
Existing law requires the trustees, on behalf of the authority, to
report to the Legislature and the Governor by July 31 of each year on
all expenditures made during the prior fiscal year for facilities of
the site.
   This bill would delete the reporting requirement.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  (a) It is the intent of the Legislature that the need
for recurring reports from the University of California, the
California State University, and the California Community Colleges be
met through clear reporting requirements established in statute.
Accordingly, it is the intent of the Legislature that noncodified
requests for reports from the higher education segments adopted prior
to 2009, including those taking the form of provisional or
supplemental language in Budget Acts adopted prior to 2009, but
excluding those supplemental language reports specified in
subdivision (b), have by this act been subsumed, as needed, into the
appropriate code sections.
   (b) Nothing in this act shall prevent the Legislature from
adopting new reporting requirements of any kind. 
  SEC. 2.    It is the intent of the Legislature
that the Budget Act for the 2010-11 fiscal year modify recurring
Budget Bill language as follows:
   (1) In the California State University reappropriation language,
require the September 30 reports to be contingent on the carryover of
funding.
   (2) Eliminate the requirement for a preliminary California State
University enrollment report on March 15, and retain the requirement
for the May 1 report. 
   SEC. 3.   SEC. 2.   It is further the
intent of the Legislature that this act  refines 
 refine  higher education reporting requirements to provide
for more effective, manageable, and transparent reporting by the
higher education segments. Accordingly, the Legislature expects that
the segments will respond fully to all statutory reporting
requirements by the stated deadlines. 
  SEC. 4.    Section 48800 of the Education Code is
amended to read:
   48800.  (a) The governing board of a school district may determine
which pupils would benefit from advanced scholastic or vocational
work. The intent of this section is to provide educational enrichment
opportunities for a limited number of eligible pupils, rather than
to reduce current course requirements of elementary and secondary
schools, and also to help ensure a smoother transition from high
school to college for pupils by providing them with greater exposure
to the collegiate atmosphere. The governing board may authorize those
pupils, upon recommendation of the principal of the pupil's school
of attendance, and with parental consent, to attend a community
college during any session or term as special part-time or full-time
students and to undertake one or more courses of instruction offered
at the community college level.
   (b) If the governing board denies a request for a special
part-time or full-time enrollment at a community college for any
session or term for a pupil who is identified as highly gifted, the
board shall issue its written recommendation and the reasons for the
denial within 60 days. The written recommendation and denial shall be
issued at the next regularly scheduled board meeting that falls at
least 30 days after the request has been submitted.
   (c) A pupil shall receive credit for community college courses
that he or she completes at the level determined appropriate by the
school district and community college district governing boards.
   (d) (1) The principal of a school may recommend a pupil for
community college summer session only if that pupil meets all of the
following criteria:
   (A) Demonstrates adequate preparation in the discipline to be
studied.
   (B) Exhausts all opportunities to enroll in an equivalent course,
if any, at his or her school of attendance.
   (2) For any particular grade level, a principal may not recommend
for community college summer session attendance more than 5 percent
of the total number of pupils who completed that grade immediately
prior to the time of recommendation.
   (3) A high school pupil recommended by his or her principal for
enrollment in a course shall not be included in the 5 percent
limitation of pupils allowed to be recommended pursuant to paragraph
(2) if the course in which the pupil is enrolled meets one of the
criterion listed in subparagraphs (A) to (C), inclusive, and the high
school principal who recommends the pupil for enrollment provides
the Chancellor of the California Community Colleges, upon the request
of that office, with the data required for purposes of paragraph
(4).
   (A) The course is a lower division, college-level course for
credit that is designated as part of the Intersegmental General
Education Transfer Curriculum or applies toward the general education
breadth requirements of the California State University.
   (B) The course is a college-level, occupational course for credit
assigned a priority code of "A," "B," or "C," pursuant to the Student
Accountability Model, as defined by the Chancellor of the California
Community Colleges and reported in the management information
system, and the course is part of a sequence of vocational or career
technical education courses leading to a degree or certificate in the
subject area covered by the sequence.
   (C) The course is necessary to assist a pupil who has not passed
the California High School Exit Examination (CAHSEE), does not offer
college credit in English language arts or mathematics, and the pupil
meets both of the following requirements:
   (i) The pupil is in his or her senior year.
   (ii) The pupil has completed all other graduation requirements
prior to the end of his or her senior year, or will complete all
remaining graduation requirements during a community college summer
session, which he or she is recommended to enroll in, following his
or her senior year of high school.
   (4) On or before March 1 of each year, the Chancellor of the
California Community Colleges shall report to the Department of
Finance the number of pupils recommended pursuant to paragraph (3)
who enroll in community college summer session courses and who
receive a passing grade. The report shall be integrated with the
report required in subdivision (c) of Section 76002. The combined
report shall maintain the distinction between the two pupil
populations referenced in this section and in Section 76002.
   (5) The Board of Governors of the California Community Colleges
may not include enrollment growth attributable to paragraph (3) as
part of its annual budget request for the California Community
Colleges.
   (6) Notwithstanding Article 3 (commencing with Section 33050) of
Chapter 1 of Part 20, compliance with this subdivision shall not be
waived.
   (e) Paragraphs (3) and (5) of subdivision (d) shall become
inoperative on January 1, 2010. 
   SEC. 5.   SEC. 3.   Section 66015.10 is
added to the Education Code, to read:
   66015.10.  (a) The University of California is requested to
annually notify the governing board of each high school of both of
the following:
   (1) The number of graduates who enrolled in the university in the
previous year and the number of graduates who were required to take
 Subject A   the entry level writing requirement
 .
   (2) The comparable numbers of all California high school graduates
who enrolled in the university.
   (b) The University of California is requested to provide an annual
summary of the information specified in subdivision (a) to the
Department of Finance and the Joint Legislative Budget Committee.
   SEC. 6.   SEC. 4.   Section 66015.12 is
added to the Education Code, to read:
   66015.12.  (a) It is the intent of the Legislature that the
California State University assess and report the entry-level
proficiency of all first-time freshmen. On or before December 15 of
each year, the California State University shall submit a preliminary
report by each campus in the system that includes all of the
following information:
   (1) The total number of regularly admitted and specially admitted
first-time freshmen.
   (2) The proportion of regularly admitted and specially admitted
first-time freshmen that are exempt from entry-level proficiency
exams.
   (3) The proportion of regularly admitted and specially admitted
first-time freshmen that become exempt through each of the approved
alternatives.
   (4) The entry-level proficiency exam pass rates of regularly
admitted and specially admitted first-time freshmen.
   (b) The California State University shall submit a final report to
the Legislature on or before February 1 of each year.
   SEC. 7.   SEC. 5.   Section 66021.1 is
added to the Education Code, to read:
   66021.1.  (a) For purposes of this section "student" includes
undergraduate, graduate, and professional degree students.
   (b) The California State University shall, and the University of
California is requested to, report annually to the Legislature on
their respective institutional financial aid programs. The 
universities shall   California State University shall,
and the University of California is requested, to  provide
preliminary reports on or before January 10 of each year, and final
reports on or before March 31 of each year.
   (c) The preliminary reports shall include all of the following:
   (1) A description of the goals, terms, and policies of each of the
university's institutional aid programs, including eligibility
criteria, allocation of financial aid awards, fee waivers, and other
relevant information.
   (2) A description and explanation of any changes the university
has made to any of these policies since the prior year, and any
changes the university intends to make for the next academic year.
   (3) The total amount the university expended on institutional aid
for students, disaggregated by student level, for the two prior
academic years, the current year, and a projection for the next year,
and the average and 90th percentile undergraduate institutional aid
award amount provided per recipient for the prior two academic years
and the current academic year. 
   (4) A description and explanation of the estimated change in
aggregate student need in the budget year resulting from changes in
the cost of attendance and other factors, including any fee increases
proposed by the university in its fall budget proposal. The
explanation shall include an estimate of the extent to which cost
increases will be offset by federal and statewide financial aid
programs.  
   (4) The average and 90th percentile parental income level,
expected family contribution, and the financial need of undergraduate
need-based student institutional gift aid recipients for the prior
two academic years.  
   (5) For the prior year, the current year, and the budget year, an
analysis identifying the estimated number of undergraduates with
financial need; their aggregate cost of attendance and aggregate
expected federal parent contribution; the aggregate amount of
financial aid, including federal gift aid, state gift aid,
institutional need-based aid, institutional merit-based aid, other
institutional gift aid, and private gift aid, received by these
students; the aggregate remaining amount to be met by work,
borrowing, or other means; and an explanation of the estimated change
in aggregate student need in the budget year resulting from changes
in the cost of attendance, and other factors, including any fee
increases proposed by the university in its fall budget proposal. The
explanation shall include an estimate of the extent to which cost
increases will be offset by federal, state, and institutional
financial aid programs.  
   (6) The typical financial aid package for a typical dependent
undergraduate student with a parent income of twenty thousand dollars
($20,000), forty thousand dollars ($40,000), sixty thousand dollars
($60,000), eighty thousand dollars ($80,000), and one hundred
thousand dollars ($100,000). 
   (d) The final report shall include all of the following for the
 two  prior academic  years  
year  : 
   (1) The average and 90th percentile parent income level, expected
family contribution, and the financial need of undergraduate
need-based student institutional gift aid recipients. 

   (2) An aggregate analysis identifying the total number of
undergraduates and the number of those who are financially needy; for
financially needy undergraduates, the aggregate cost of attendance
and aggregate expected federal parent contribution; the aggregate
amount of financial aid including federal gift aid, state gift aid,
institutional need-based aid, institutional merit-based aid, other
institutional gift aid, and private gift aid; and the aggregate
remaining amount to be met by work, borrowing, or other means.
 
   (3) An aggregate summary of federal and other work-study awards,
and annual loan amounts, including federal subsidized and
unsubsidized student loans, university loans, loans from outside
agencies and other sources, and federal parent loans. 

   (4) The typical financial aid package for a typical dependent
freshman student with a parent income of twenty thousand dollars
($20,000), forty thousand dollars ($40,000), sixty thousand dollars
($60,000), eighty thousand dollars ($80,000), and one hundred
thousand dollars ($100,000).  
   (5) Indicators of each institutional aid program's effectiveness
in achieving its stated goals.  
   (1) An aggregate summary of financial aid awarded to students,
including scholarships, grants, waivers, loans, and work-study awards
from federal, state, institutional, and private sources.  
   (2) Indicators of the effectiveness of the university's aid
programs in achieving the university's stated goals related to
financial aid. 
   (e) To the extent the university provides the information
requested in subdivision  (c) or  (d) in reports to its
governing board or in other university publications, those reports or
publications may be submitted to the Legislature to satisfy this
request.
   SEC. 8.  SEC. 6.   Section 66026 is
added to the Education Code, to read:
   66026.  Unless otherwise specified, reports submitted to the
Legislature by the University of California, the California State
University, and the Office of the Chancellor of the California
Community Colleges shall be delivered to the Senate and Assembly
budget subcommittees on education, the appropriate Senate and
Assembly higher education policy committees, the Legislative Analyst'
s Office, the Office of the Secretary of Education, and the
Department of Finance. Unless otherwise specified, these reports may
be submitted in PDF format or comparable electronic format.
   SEC. 9.   SEC. 7.   Section 66057 of the
Education Code is amended to read:
   66057.  (a) The Legislature finds and declares all of the
following:
   (1) The future economic vitality of California will depend on the
state's ability to educate its citizens and to help them develop the
work and social skills needed to compete with workers of other
nations and states in our global economy.
   (2) Ensuring that California's colleges and universities can
accommodate a tidal wave of new students, as well as enable those
from diverse backgrounds to achieve success in their college careers,
will require a variety of strategies.
   (3) The Legislative Analyst's Office (LAO) has reported that most
campuses of the University of California, the California State
University, and the California Community Colleges will soon exceed
their current capacities.
   (4) The LAO has identified year-round operation as a
cost-efficient strategy to address future enrollment growth, by
avoiding capital expenditure for instructional space, such as
classrooms, class laboratories, study space in libraries, and other
selected student support service facilities.
   (5) Year-round operation also increases student access to high
demand campuses, and allows students to accelerate their progress to
degrees.
   (6) (A) It is the intent of the Legislature that the University of
California and the California State University accommodate
enrollment growth by maximizing the utilization of existing
instructional facilities during the summer term before building new
classrooms and teaching laboratories. It is further the intent of the
Legislature that the University of California and the California
State University make requests for capital outlay funding for space
for classrooms and class laboratories justified using legislatively
approved utilization standards and a reasonable assumption of
summer-term enrollment.
   (B) Accordingly, the University of California is requested to base
its annual five-year capital outlay plan on the utilization of
instructional facilities during the summer, assuming summer-term
enrollment of at least 40 percent of the average fall, winter, and
spring enrollment.
   (C) The California State University is requested to base its
annual five-year capital outlay plan on utilization of instructional
facilities during the summer, assuming summer-term enrollment of at
least 25 percent and 40 percent of the fall, winter, spring
enrollment at rural and urban campuses, respectively.
   (b) Summer session fees at all campuses of the University of
California and the California State University shall not exceed the
fees charged per credit unit for any other academic term, if the
state provides funding to offset any revenue losses that may occur
due to the difference between the state university fee and fees
charged for self-supporting academic programs.
   (c) In recognition of the differing circumstances on the various
campuses throughout the state, the University of California and the
California State University shall retain the flexibility to implement
year-round operation differently on individual campuses.
   (d) On or before January 10 of each year, the University of
California is requested to, and the California State University
shall, submit to the Legislature a report describing summer
enrollment for their respective systems. The report shall include all
of the following information separately for each campus in the
system:
   (1) The number of state-funded headcount students enrolled during
the summer term of the preceding calendar year and, for comparison
purposes, the year-average number of state-funded headcount students
enrolled during the preceding fall, winter, and spring terms.
   (2) The number of state-funded full-time equivalent students
enrolled during the summer term of the preceding calendar year and,
for comparison purposes, the number of year-average state-funded
full-time equivalent students enrolled during the preceding fall,
winter, and spring terms.
   (3) Efforts undertaken to increase summer enrollment.
   SEC. 10.   SEC. 8.   Section 66352 of
the Education Code is repealed.
   SEC. 11.   SEC. 9.   Section 67312 of
the Education Code is amended to read:
   67312.  (a) The Board of Governors of the California Community
Colleges and the Trustees of the California State University shall,
for their respective systems, and the Regents of the University of
California may, do the following:
   (1) Work with the California Postsecondary Education Commission
and the Department of Finance to develop formulas or procedures for
allocating funds authorized under this chapter.
   (2) Adopt rules and regulations necessary to the operation of
programs funded pursuant to this chapter.
   (3) Maintain the present intersegmental efforts to work with the
California Postsecondary Education Commission and other interested
parties, to coordinate the planning and development of programs for
students with disabilities, including, but not necessarily limited
to, the establishment of common definitions for students with
disabilities and uniform formats for reports required under this
chapter.
   (4) Develop and implement, in consultation with students and
staff, a system for evaluating state-funded programs and services for
disabled students on each campus at least every five years. At a
minimum, these systems shall provide for the gathering of outcome
data, staff and student perceptions of program effectiveness, and
data on the implementation of the program and physical accessibility
requirements of Section 794 of Title 29 of the Federal Rehabilitation
Act of 1973.
   (b) Commencing in January 1990, and every two years thereafter,
the Board of Governors of the California Community Colleges shall
submit a report to the Governor, the education policy committees of
the Legislature, and the California Postsecondary Education
Commission describing its efforts to serve students with
disabilities. These biennial reports shall also include a review on a
campus-by-campus basis of the enrollment, retention, transition, and
graduation rates of disabled students, including categorical funding
of those programs.
   SEC. 12.   SEC. 10.   Section 67501 is
added to the Education Code, to read:
   67501.  (a) The University of California may, and the California
State University shall, submit to the Legislature on or before
November 30 of each year a comprehensive five-year capital outlay
plan that includes, but is not limited to, all of the following
information:
   (1) State and nonstate projects proposed for each campus in each
year of the plan, including a discussion of the programmatic bases
for each project.
   (2) An explanation of how each project contributes to
accommodating needs associated with current or projected enrollments
of graduate and undergraduate students, and other needs, and the
rough estimates of the costs of meeting those needs.
   (3) The estimated costs of each project, showing the schedule for
when these funds will be needed, including a schedule of annual
funding needs beyond the five years for those projects for which
completion exceeds the timeframe of the plan and the relative
priority on a campus and statewide basis.
   (4) An explanation of how the plan addresses the Legislature's
intent that the universities annually consider, as part of their
annual capital outlay planning process, the inclusion of facilities
that may be used by more than one segment of public higher education
(intersegmental).
   (5) Description and costs of activities that take place within the
plan's timeframe related to the planning or establishment of new
campuses.
   (b) The California Community Colleges Chancellor's office shall
prepare a five-year capital outlay plan identifying the statewide
needs and priorities of the California Community Colleges. This plan
shall be submitted to the Legislature on or before November 30 of
each year. It is the intent of the Legislature not to consider any
community college capital outlay project that is not included in the
statewide five-year plan submitted to the Legislature. The five-year
capital outlay plan shall include, but not be limited to, all of the
following information:
   (1)  Current year enrollment and enrollment  
Enrollment  projections for each community college district
 for each year covered in the plan  .
   (2) Projects proposed for each campus in each year of the plan
 , including the programmatic bases for each project
 .
   (3) The estimated costs of each project, showing the schedule for
when these funds will be needed  , including a schedule of
annual funding needs beyond the five years for those projects for
which completion exceeds the timeframe of the plan  and the
relative priority on a  campus and  statewide basis.

   (4) An explanation of the Chancellor's office priorities and
methodology for selecting projects for state capital outlay funding.
   (5) An explanation of the Chancellor's office methodology for
calculating unmet capital outlay needs for the community college
system.
   (6) An explanation of how the plan addresses the Legislature's
intent that the community colleges annually consider, as part of
their annual capital outlay planning process, the inclusion of
facilities that may be used by more than one segment of public higher
education (intersegmental).
   (c) The plans for the University of California, the California
State University, and the California Community Colleges shall be
updated annually,  or more often if necessary, 
taking into consideration evolving circumstances in the planning
process of the institutions. The Legislature recognizes that the
annual plan is a flexible, working document subject to the
evolutionary change inherent in the planning process. The plan shall
be designed to reflect project data changes on a year-to-year basis,
and the inclusion of a project in the plan does not guarantee its
viability. It is further the intent of the Legislature that the
project planning guides  or capital outlay budget change
proposals  submitted for each  state-funded  project
proposed for inclusion in  each budget year  
the first year of the plan  specify both of the following:
   (1) How each project meets needs for different types of space,
including, but not limited to, classrooms, teaching laboratories,
research laboratories, and faculty offices.
   (2) The direct and indirect project costs associated with the
different types of space.
   SEC. 13.   SEC. 11.   Section 67502 is
added to the Education Code, to read:
   67502.  (a) On or before November 1 of each year, the Regents of
the University of California are requested to provide to the Joint
Legislative Budget Committee and the Department of Finance a summary
of all instructional and research space in the university system. The
summary shall consist of campus-by-campus data indicating existing
space available to each department of instruction and research,
including a seven-year projection of space
                    needs for departments of instruction and
research. The data shall include, but not be limited to, classrooms,
upper and lower division class laboratories, teaching assistant
offices, and faculty offices. The summary shall correlate assignable
square foot capacities to full-time equivalent student enrollments
and faculty positions for both existing space and projected space
needs.
   (b) On or before November 1 of each year, the California State
University shall provide to the Joint Legislative Budget Committee
and the Department of Finance a summary of all instructional and
faculty office space in the university system. The summary shall
consist of campus-by-campus data indicating existing instructional
space available including a seven-year projection of space needs for
instruction and faculty offices. The data shall include, but not be
limited to, classrooms, upper and lower division class laboratories,
teaching assistant offices, and faculty offices. The summary shall
correlate assignable square foot capacities to full-time equivalent
student enrollments and faculty positions for both existing space and
projected space needs.
   SEC. 14.   SEC. 12.   Section 67503 is
added to the Education Code, to read:
   67503.  (a) On or before November 1, 2010, and at least biennially
thereafter, the University of California is requested to, and the
California State University shall, report on the utilization of
classrooms and teaching laboratories. The report shall include for
each campus in their respective system the total number of rooms,
number of stations, weekly student contact hours, and weekly station
hours. The report shall also include the average weekly hours of
station use and actual utilization as a percentage of the utilization
standard.
   (b) On or before November 1, 2010, and at least biennially
thereafter, the Office of the Chancellor of the California Community
Colleges shall report on the utilization of classrooms and teaching
laboratories. The report shall include, for each college, the total
number of rooms, number of stations, weekly student contact hours,
average weekly student contact hours per station, and actual
utilization as a percentage of the utilization standard.
   SEC. 15.   SEC. 13.   Section 67504 is
added to the Education Code, to read:
   67504.  (a) (1) The Legislature finds and declares that based on
academic goals and projected enrollment levels, each University of
California campus and medical center periodically develops a Long
Range Development Plan (LRDP) that guides its physical development,
including land use designations, the location of buildings, and
infrastructure systems, for an established time horizon.
   (2) In order to ensure greater legislative oversight over the
process used by the University of California to prepare and implement
each plan, including the accompanying Environmental Impact Report
(EIR), at the time draft LRDPs and draft LRDP EIRs are submitted for
public review, the university is requested to provide the Legislature
with summaries of the draft LRDPs and LRDP EIRs to the Joint
Legislative Budget Committee. The summaries shall also be available
on the university Internet Web site.
   (b) (1) The Legislature further finds and declares that the
expansion of campus enrollment and facilities may negatively affect
the surrounding environment. Consistent with the requirements of the
California Environmental Quality Act (CEQA), it is the intent of the
Legislature that the University of California sufficiently mitigate
significant off-campus impacts related to campus growth and
development.
   (2) On or before March 1 of each year from 2010 to  2014
  2012  , inclusive, the University of California
is requested to report for each campus on the status of
implementation, including the implementation dates where applicable,
of mitigation measures for significant off-campus impacts identified
consistent with the requirements of CEQA, including those that
require fair share payments to local agencies. The report shall
identify the status of fair share mitigation agreements with and
payments to local agencies for mitigation of off-campus impacts that
are required in certified EIRs. The report should also list any
monetary or equivalent in-kind payments to local agencies made by the
campuses for the mitigation of off-campus impacts that do not
involve fair share language in CEQA documents and that have been
implemented under other arrangements. For those significant
off-campus impacts that have been triggered but have not been
sufficiently mitigated, the university shall report on the additional
steps that are being taken to reach a resolution.
   (c) (1) The Legislature finds and declares that each California
State University campus periodically develops a physical master plan
to guide the future development of their facilities, based on
academic goals and projected student enrollment levels, for an
established time horizon.
   (2) In order to ensure greater legislative oversight over the
process used by the California State University to prepare and
implement each plan, including the accompanying Environmental Impact
Report (EIR), at the time a draft physical master plan and the
accompanying draft EIR are submitted for public review, the
university shall provide summaries of these documents to the Joint
Legislative Budget Committee. The summaries shall also be available
on the university Internet Web site.
   (d) (1) The Legislature further finds and declares that the
expansion of campus enrollment and facilities may negatively affect
the surrounding environment. In view of the case City of Marina v.
the Board of Trustees of the California State University (2006) 639
Cal.4th 341, it is the intent of the Legislature that the California
State University take steps to reach agreements with local public
agencies regarding the mitigation of off-campus impacts related to
campus growth and development.
   (2) On or before March 1 of each year from 2010 to  2014
  2012  , inclusive, the California State
University shall report by campus on the status of any negotiations
with local agencies for mitigation measures for significant
off-campus impacts identified consistent with the requirements of
CEQA, including implementation dates where applicable. For each
impact, this report shall identify whether an agreement has been
reached with local agencies. The report shall also list any monetary
and nonmonetary in-kind payments made by the campus for the
mitigation of off-campus impacts identified as unavoidable in the
certified EIRs. For those impacts for which there is no agreement,
the university shall explain what steps were taken and if any
additional steps will be taken to reach an agreement.
   SEC. 16.   SEC. 14.   Section 71020 of
the Education Code is repealed. 
  SEC. 17.    Section 76002 of the Education Code is
amended to read:
   76002.  (a) For the purposes of receiving state apportionments, a
community college district may include high school pupils who attend
a community college within the district pursuant to Sections 48800
and 76001 in the district's report of full-time equivalent students
(FTES) only if those pupils are enrolled in community college classes
that meet all of the following criteria:
   (1) The class is open to the general public.
   (2) (A) The class is advertised as open to the general public in
one or more of the following:
   (i) The college catalog.
   (ii) The regular schedule of classes.
   (iii) An addenda to the college catalog or regular schedule of
classes.
   (B) If a decision to offer a class on a high school campus is made
after the publication of the regular schedule of classes, and the
class is solely advertised to the general public through electronic
media, the class shall be so advertised for a minimum of 30
continuous days prior to the first meeting of the class.
   (3) If the class is offered at a high school campus, the class may
not be held during the time the campus is closed to the general
public, as defined by the governing board of the school district
during a regularly scheduled board meeting.
   (4) If the class is a physical education class, no more than 10
percent of its enrollment may be comprised of special part-time or
full-time students. A community college district may not receive
state apportionments for special part-time and full-time students
enrolled in physical education courses in excess of 5 percent of the
district's total reported full-time equivalent enrollment of special
part-time and full-time students.
   (b) The governing board of a community college district may
restrict the admission or enrollment of a special part-time or
full-time student during any session based on any of the following
criteria:
   (1) Age.
   (2) Completion of a specified grade level.
   (3) Demonstrated eligibility for instruction using assessment
methods and procedures established pursuant to Chapter 2 (commencing
with Section 78210) of Part 48 and regulations adopted by the Board
of Governors of the California Community Colleges.
   (c) (1) The Chancellor of the California Community Colleges shall
prepare and submit to the Department of Finance and the Legislature,
on or before March 1 of each year, a report on the amount of FTES
claimed by each community college district for special part-time and
special full-time students for the preceding academic year in each of
the following class categories:
   (A) Noncredit.
   (B) Nondegree-applicable.
   (C) Degree-applicable, excluding physical education.
   (D) Degree-applicable physical education.
   (2) The report specified in paragraph (1) shall contain the report
required by Section 48800. The combined report shall distinguish
between the two student populations specified by this section and
Section 48800.
   (d) The Board of Governors of the California Community Colleges
shall adopt rules and regulations to implement this section.
 
  SEC. 18.    Section 76305 is added to the
Education Code, to read:
   76305.  It is the intent of the Legislature that the Office of the
Chancellor of the California Community Colleges annually provide the
Legislature with a report on or before September 1, on the use of
the funds allocated through the state budget for financial aid
administration. The report shall describe the distribution of the
funds, specific uses of the funds, strategies employed to reach
low-income and disadvantaged students potentially eligible for
financial aid, and the extent to which districts were successful in
increasing the number of students accessing financial aid, including
the maximum Pell Grant award. The report shall also include both FTES
and headcount data for total enrollment over the prior three years,
divided by subgroups based on age, race, ethnicity, gender, board of
governor waiver status, and other factors. The report shall assess
how student fee levels and financial aid availability have affected
enrollment levels over the past three years.  
  SEC. 19.    Section 79202.5 is added to the
Education Code, to read:
   79202.5.  (a) On or before October 15 of each year, a community
college may submit to the office of the Chancellor, applications for
funding for the direct instruction of CalWORKs students above the
district's enrollment cap. If the chancellor approves the use of
funds for direct instructional workload, the office of the
Chancellor, as a condition of receiving state apportionments for
CalWORKs students, submit a report to the Department of Finance and
the Joint Legislative Budget Committee, on or before November 15,
that does all of the following:
   (1) Identifies the enrollment of new CalWORKs students.
   (2) States if additional classes were needed to accommodate the
needs of CalWORKs students, and if so, the explanation for the need.
   (3) Sets forth an expenditure plan for the balance of funds.
   (b) As a condition of the receipt of funds, by the fourth week
following the end of the semester or quarter term commencing in
January, each participating community college shall submit to the
office of the Chancellor a report, in the format specified by the
chancellor in consultation with the State Department of Social
Services, that includes, but is not limited to, the funded
components, the number of hours of child care provided, the average
monthly enrollment of CalWORKs dependents served in child care, the
number of workstudy hours provided, the hourly salaries and type of
jobs, the number of students being case managed, the short-term
programs available, the student participation rates, and other
outcome data.
   (c) It is the intent of the Legislature that, to the extent
practicable, the reporting from colleges utilize data gathered for
federal reporting requirements at the state and local level. It is
further the intent of the Legislature that the office of the
Chancellor compile the information for annual reports to the
Legislature, the Governor, the Legislative Analyst, the Department of
Finance, and the State Department of Social Services on or before
November 15 of each year. 
   SEC. 20.   SEC. 15.   Section 81254 of
the Education Code is amended to read:
   81254.  The Chancellor of the California Community Colleges shall
annually report to the Governor and Legislature on the number, types,
and disposition of waiver requests submitted pursuant to Section
81250 on or before July 1 for the prior year actions.
   SEC. 21.   SEC. 16.   Section 84760.5 of
the Education Code is amended to read:
   84760.5.  (a) For purposes of this chapter, the following career
development and college preparation courses and classes for which no
credit is given, and that are offered in a sequence of courses
leading to a certificate of completion, that lead to improved
employability or job placement opportunities, or to a certificate of
competency in a recognized career field by articulating with
college-level coursework, completion of an associate of arts degree,
or for transfer to a four-year degree program, shall be eligible for
funding subject to subdivision (b):
   (1) Classes and courses in elementary and secondary basic skills.
   (2) Classes and courses for students, eligible for educational
services in workforce preparation classes, in the basic skills of
speaking, listening, reading, writing, mathematics, decisionmaking,
and problem solving skills that are necessary to participate in
job-specific technical training.
   (3) Short-term vocational programs with high employment potential,
as determined by the chancellor in consultation with the Employment
Development Department utilizing job demand data provided by that
department.
   (4) Classes and courses in English as a second language and
vocational English as a second language.
   (b) The board of governors shall adopt criteria and standards for
the identification of career development and college preparation
courses and the eligibility of these courses for funding, including
the definition of courses eligible for funding pursuant to
subdivision (a). The criteria and standards shall be based on
recommendations from the chancellor, the statewide academic senate,
and the statewide association of chief instructional officers. The
career and college preparation courses to be identified for this
higher rate of funding should include suitable courses that meet one
or more of the qualifications described in subdivision (a).
   (c) A district that offers courses described in subdivision (a),
but that is not eligible for funding under subdivision (b), shall be
eligible for funding under Section 84757.
   (d) The chancellor, in consultation with the Department of Finance
and the Office of the Legislative Analyst, shall develop specific
outcome measures for career development and college preparation
courses for incorporation into the annual report required by
subdivision (b) of Section 84754.5.
   (e) The chancellor shall prepare and submit to the Department of
Finance and the Legislature, on or before May 1 of each year, a
report that details, at a minimum, the following:
   (1) The amount of FTES claimed by each community college district
for career development and college preparation courses and classes.
   (2) The specific certificate programs and course titles of career
development and college preparation courses and classes receiving
additional funding pursuant to this section, as well as the number of
those courses and classes receiving additional funding. 
  SEC. 22.    Section 88550 of the Education Code is
amended to read:
   88550.  (a) The chancellor shall implement accountability measures
that provide the Governor, Legislature, and general public with
accountability measurements of the program that quantify both
employer and student outcomes and seek to specifically isolate the
impact of the ED>Net Program on participants.
   (b) The chancellor shall submit a report to the Governor and
Legislature on or about March 1 of each year. Sufficient information
shall be provided in the report to ensure the understanding of the
magnitude of expenditures, by type of expenditure, including those
specified in Section 88525, disaggregated by industry cluster and
region. The report shall also include the marketing efforts
conducted, the type of services provided to colleges and employers,
and the number of businesses, students, and employees served, and
identify the benchmarks and indicators used to demonstrate the
results achieved.
   (c) (1) In combination with the report specified in subdivision
(b), the chancellor shall submit disaggregated data detailing both of
the following:
   (A) The funding provided to each economic development regional
center and each industry-driven regional education and training
collaborative.
   (B) To the extent practicable, the total number of hours of
contract education services, performance-based and
performance-improvement training, credit and noncredit instruction,
and job placements created as a result of this program by each center
and collaborative. 
   SEC. 23.   SEC. 17.   Section 89009 of
the Education Code is amended to read:
   89009.  (a) It is the intent of the Legislature that the land and
improvements comprising the Camarillo State Hospital be transferred
to the trustees to be developed and improved as a campus of the
California State University in order to make public postsecondary
education more available to qualified persons in the Ventura County
area as well as throughout the state.
   (b) Upon approval by the trustees, the Department of General
Services shall transfer the land and improvements comprising the
Camarillo State Hospital to the trustees. The Department of General
Services shall be reimbursed for its administrative costs incurred in
connection with the transfer, and an amount not to exceed five
thousand dollars ($5,000) is hereby appropriated from the General
Fund to the department for that purpose.
   (c) In order to raise revenues to assist in building a campus of
the California State University and to provide a source of funding
for the program thereof, the trustees may sell and lease interests in
real property included within the land comprising Camarillo State
Hospital that are not needed for campus purposes. The proceeds from
any sale or lease pursuant to this section shall be deposited in
local trust accounts and are available for expenditure for the
improvement of real property of the campus and funding the programs
of the campus. Funds so deposited and maintained may be invested in
accordance with state law and are continuously appropriated without
regard to fiscal year for the purpose of building, maintaining, and
funding a campus of the California State University in Ventura County
at the site of the Camarillo State Hospital.
   (d) This section shall be liberally construed to accomplish the
intent of the Legislature.
   (e) This section does not apply to the approximately 57-acre
noncontiguous parcel of the Camarillo State Hospital property located
on Lewis Road in Ventura County.
   SEC. 24.   SEC. 18.   Section 89753 of
the Education Code is amended to read:
   89753.  All appropriations for the support of the California State
University and the trustees shall be subject to Section 13320 of the
Government Code and applicable Budget Act restrictions, with the
following exceptions:
   (a) The trustees may, with regard to funds appropriated for the
support of the California State University, approve any transfer of
funds between general fund appropriations, unless restricted by the
Budget Act or any other act, and within and between any category
designated in any schedule set forth for the appropriation. In
addition, the trustees may authorize the augmentation of the amount
available for a category designated in any schedule set forth for the
appropriation by transfer from any of the other designated
categories, including additional reimbursements and amounts
receivable within the same schedule, and shall furnish the Joint
Legislative Budget Committee and appropriate legislative fiscal
committees a report, on or before January 10, of the authorizations
given during the preceding four quarters.
   (b) The trustees may approve travel, both within and outside the
state, and the payment of allowances and expenses related to travel,
moving, and the relocation of employees in accordance with the
allowances established by the trustees.
   (c) The trustees may, within funds appropriated for the support of
the California State University, establish new positions and make
changes in existing positions and the position payroll roster.
   SEC. 25.  SEC. 19.   Section 92611.9 is
added to the Education Code, to read:
   92611.9.  It is the intent of the Legislature that the University
of California carefully monitor the use and effects of the
contracting of services at newly developed facilities. In order to
assist in an improved understanding of such impacts, the university
is requested to report annually to the fiscal committees of the
Legislature, on or before January 15 of each year, the extent to
which it has chosen to contract for services, the rationale for those
decisions, the cost implications of those decisions, the impact on
hiring, and the extent to which the hiring and contracting practices
are at variance with the practices at existing facilities. 
  SEC. 26.    Chapter 9.5 (commencing with Section
92750) is added to Part 57 of Division 9 of Title 3 of the Education
Code, to read:
      CHAPTER 9.5.  PROGRAM IN MEDICAL EDUCATION


   92750.  On or before March 15 of each year, until 2018, the
University of California is requested to report to the Legislature on
its Program in Medical Education (PRIME). The report shall do both
of the following:
   (a) Describe each PRIME program at each campus, including, but not
limited to, all of the following information:
   (1)  Enrollment.
   (2) Funding, including state support, student fees, and other
funding.
   (3) The intended purpose of each PRIME program.
   (b) Include various measures of program effectiveness, including
the percentage of first-year students who graduate from the program,
and the percentage of graduates who serve in the communities targeted
by the PRIME programs. 
   SEC. 27.   SEC. 20.   Chapter 10.5
(commencing with Section 92830) is added to Part 57 of Division 9 of
Title 3 of the Education Code, to read:
      CHAPTER 10.5.  UNIVERSITY OF CALIFORNIA-MEXICO RESEARCH
PROGRAMS


   92830.  On or before March 15 of each year, until 2013, the
University of California is requested to report to the Legislature on
the facility for University of California-Mexico research and
academic programs in Mexico City. The report shall include all of the
following:
   (a) The amount of state and nonstate funds spent to support the
University of California-Mexico facility and the specific use of
these funds.
   (b) The amount of state and nonstate funds spent to support
University of California-Mexico research and academic programs.
   (c) A description of the different types of research conducted and
the programs operated at the facility.
   SEC. 28.   SEC. 21.   Section 100700 of
the Education Code is amended to read:
   100700.  (a) Of the total amount of bonds authorized to be issued
and sold pursuant to Chapter 1 (commencing with Section 100600),
bonds in the total amount of one billion six hundred fifty million
dollars ($1,650,000,000), not including the amount of any refunding
bonds issued in accordance with Section 100755, or so much thereof as
is necessary, may be issued and sold to provide a fund to be used
for carrying out the purposes expressed in this chapter and to
reimburse the General Obligation Bond Expense Revolving Fund pursuant
to Section 16724.5 of the Government Code. The bonds, when sold,
shall be and constitute a valid and binding obligation of the State
of California, and the full faith and credit of the State of
California is hereby pledged for the punctual payment of the
principal of, and interest on, the bonds as the principal and
interest become due and payable.
   (b) Pursuant to this section, the Treasurer shall sell the bonds
authorized by the Higher Education Facilities Finance Committee
established pursuant to Section 67353 at any different times
necessary to service expenditures required by the apportionments.
   SEC. 29.   SEC. 22.   Section 100900 of
the Education Code is amended to read:
                          100900.  (a) Of the total amount of bonds
authorized to be issued and sold pursuant to Chapter 1 (commencing
with Section 100800), bonds in the total amount of two billion three
hundred million dollars ($2,300,000,000), not including the amount of
any refunding bonds issued in accordance with Section 100955, or so
much thereof as is necessary, may be issued and sold to provide a
fund to be used for carrying out the purposes expressed in this
chapter and to reimburse the General Obligation Bond Expense
Revolving Fund pursuant to Section 16724.5 of the Government Code.
The bonds, when sold, shall be and constitute a valid and binding
obligation of the State of California, and the full faith and credit
of the State of California is hereby pledged for the punctual payment
of the principal of, and interest on, the bonds as the principal and
interest become due and payable.
   (b) Pursuant to this section, the Treasurer shall sell the bonds
authorized by the Higher Education Facilities Finance Committee
established pursuant to Section 67353 at any different times
necessary to service expenditures required by the apportionments.
   SEC. 30.   SEC. 23.   Section 101034 of
the Education Code is amended to read:
   101034.  (a) Of the total amount of bonds authorized to be issued
and sold pursuant to Chapter 1 (commencing with Section 101000),
bonds in the total amount of one billion five hundred seven million
dollars ($1,507,000,000), not including the amount of any refunding
bonds issued in accordance with Section 101039, or so much thereof as
is necessary, may be issued and sold to provide a fund to be used
for carrying out the purposes expressed in this chapter and to
reimburse the General Obligation Bond Expense Revolving Fund pursuant
to Section 16724.5 of the Government Code. The bonds, when sold,
shall be and constitute a valid and binding obligation of the State
of California, and the full faith and credit of the State of
California is hereby pledged for the punctual payment of the
principal of, and interest on, the bonds as the principal and
interest become due and payable.
   (b) Pursuant to this section, the Treasurer shall sell the bonds
authorized by the Higher Education Facilities Finance Committee
established pursuant to Section 67353 at any different times
necessary to service expenditures required by the apportionments.
   SEC. 31.   SEC. 24.   Section 101050 of
the Education Code is amended to read:
   101050.  (a) Of the total amount of bonds authorized to be issued
and sold pursuant to Chapter 1 (commencing with Section 101000),
bonds in the amount of one billion five hundred eighty million
dollars ($1,580,000,000), not including the amount of any refunding
bonds issued in accordance with Section 101059, or so much thereof as
is necessary, may be issued and sold to provide a fund to be used
for carrying out the purposes expressed in this chapter and to
reimburse the General Obligation Bond Expense Revolving Fund pursuant
to Section 16724.5 of the Government Code. The bonds, when sold,
shall be and constitute a valid and binding obligation of the State
of California, and the full faith and credit of the State of
California is hereby pledged for the punctual payment of the
principal of, and interest on, the bonds as the principal and
interest become due and payable.
   (b) Pursuant to this section, the Treasurer shall sell the bonds
authorized by the Higher Education Facilities Finance Committee
established pursuant to Section 67353 at any different times
necessary to service expenditures required by the apportionments.
   SEC. 25.    Article 8 (commencing with Section 550)
of Chapter 3 of Part 1 of Division 1 of the   Food and
Agricultural Code  is repealed. 
   SEC. 26.    Article 10 (commencing with Section 592)
of Chapter 3 of Part 1 of Division 1 of the   Food and
Agricultural Code   is repealed. 
   SEC. 32.   SEC. 27.   Section 67480 of
the Government Code is amended to read:
   67480.  (a) (1) The California State University, Channel Islands
Site Authority Fund is hereby created in the State Treasury, to be
administered by the authority. Notwithstanding Section 13340, all
moneys in the fund are continuously appropriated to the authority
without regard to fiscal years for the purposes of this title.
   (2) All capital plans for the university portion of the site that
are proposed to be funded through moneys in the fund shall be
included in the annual five-year Capital Outlay Program report of the
California State University that is submitted to the Legislature and
the Governor each year.
   (b) The authority may pledge any or all of the moneys in the fund
as security for payment of the principal of, and interest on, any
particular issuance of bonds pursuant to this title.
   (c) As necessary or convenient to accomplish any purpose of this
title, the authority may divide the fund into separate accounts.
   (d) All moneys accruing to the authority pursuant to this title
from any source shall be deposited in the fund.
   (e) (1) Subject to any priorities created by the pledge of
particular moneys in the fund to secure any issuance of bonds of the
authority, and to reasonable administrative costs incurred by the
authority in implementing this title, all moneys in the fund,
regardless of the source, shall be held in trust for the security and
payment of bonds of the authority, and shall not be used or pledged
for any other purpose while any bonds are outstanding and unpaid.
Nothing in this subdivision shall be construed to limit the power of
the authority to make loans with bond proceeds in accordance with the
terms of the resolution authorizing the issuance of those bonds.
   (2) Pursuant to any agreements with the holders of particular
bonds pledging any particular assets, revenues, or moneys, the
authority may create separate accounts in the fund to manage the
assets, revenues, or moneys in the manner prescribed by the
agreements.
   (f) From time to time, the authority may direct the treasurer of
the authority to do any of the following:
   (1) Invest moneys in the fund that are not required for its
current needs, including, but not limited to, proceeds from the sale
of any bonds in eligible securities specified in Section 16430 or
53601 and designated by the authority, in the resolution authorizing
the issuance of the bonds payable or secured by the moneys.
   (2) Deposit moneys in the fund in interest-bearing accounts in
state or national banks or other financial institutions having
principal offices in the state.
   (3) (A) Transfer moneys in the fund to the Surplus Money
Investment Fund for investment pursuant to Article 4 (commencing with
Section 16470) of Chapter 3 of Part 4 of Division 4 of Title 2 or
Article 1 (commencing with Section 56300) of Chapter 4 of Part 1 of
Division 2 of Title 5.
   (B) Notwithstanding Section 16305.7, all interest or other
earnings resulting from an investment or deposit pursuant to this
subdivision shall be deposited in the fund.
   (g) Except as otherwise provided in paragraph (3) of subdivision
(f), no moneys in the fund shall be subject to transfer to any other
fund pursuant to any provision of Part 2 (commencing with Section
16300) of Division 4 of Title 2.
   SEC. 33.   SEC. 28.   Section 104145 of
the Health and Safety Code is amended to read:
   104145.  (a) The Legislature hereby requests the University of
California to establish and administer the Breast Cancer Research
Program, which is created by this act, as a comprehensive grant and
contract program to support research efforts into the cause, cure,
treatment, earlier detection, and prevention of breast cancer. It is
the intent of the Legislature that this program incorporate the
principles and organizational elements specified in this act,
including, but not limited to, a research program office with a
director and other necessary staff, a Breast Cancer Research Council,
and research review panels.
   (b) For the purposes of this section:
   (1) "Breast cancer research" includes, but is not limited to,
research in the fields of biomedical science and engineering, the
social, economic and behavioral sciences, epidemiology, technology
development and translation, and public health.
   (2) "Council" means the Breast Cancer Research Council.
   (3) "Grantee" means any qualifying public, private, or nonprofit
agency or individual, including, but not limited to, colleges,
universities, hospitals, laboratories, research institutions, local
health departments, voluntary health agencies, health maintenance
organizations, corporations, students, fellows, entrepreneurs, and
individuals conducting research in California.
   (4) "Program" means the Breast Cancer Research Program.
   (5) "University" means the University of California.
   (c) It is the intent of the Legislature that this program be
administered pursuant to the following principles:
   (1) The university shall work in close collaboration with the
council and seek the consent of the council before taking an action
different from the action recommended by the council.
   (2) The council shall develop the strategic objectives and
priorities of the program, actively participate in the overall
management of the program, and make final recommendations on which
research grants should be funded based on the research priorities
established for the program and the technical merits of the proposals
as determined by peer review panels.
   (3) The program shall fund innovative and creative research, with
a special emphasis on research that complements, rather than
duplicates, the research funded by the federal government and other
entities.
   (4) The university and the council shall work in close
collaboration with the Breast Cancer Early Detection Program.
   (5) All research funds shall be awarded on the basis of the
research priorities established for the program and the scientific
merit of the proposed research, as determined by an open, competitive
peer review process that ensures objectivity, consistency, and high
quality. All investigators, regardless of affiliation, shall have
equal access and opportunity to compete for program funds.
   (6) The peer review process for the selection of research grants
awarded under this program shall be generally modeled on that used by
the National Institutes of Health in its grantmaking process.
   (7)  An awardee shall be awarded grants for the full cost, both
direct and indirect, of conducting the sponsored research consistent
with those federal guidelines governing all federal research grants
and contracts. All intellectual property assets developed under this
program shall be treated in accordance with state and federal law.
   (8) In establishing its research priorities, the council shall
consider a broad range of cross-disciplinary breast cancer research,
as defined in paragraph (1) of subdivision (b), including, but not
limited to, research into the cause, cure, and prevention of breast
cancer; translational and technological research, including research
regarding the development and translation of technologies of earlier
detection; research regarding the cultural, economic, and legal
barriers to accessing the health care system for early detection and
treatment of breast cancer; and research examining the link between
breast cancer and environmental factors, including both natural and
industrial chemicals, estrogen imitators, and electromagnetic fields.

   (d) It is the intent of the Legislature that the university, as
lead agency, do all of the following:
   (1) Establish the Breast Cancer Research Council in accordance
with the following:
   (A) The council shall consist of at least 13 and no more than 15
members representing a range of expertise and experience, appointed
by the President of the University of California. Individuals and
organizations may submit nominations to the council, and the
University of California shall solicit nominations from relevant
organizations and individuals. The council shall be comprised of the
following members:
   (i) Four members from breast cancer survivor and breast
cancer-related advocacy groups, including, but not limited to, the
California Breast Cancer Organizations (CABCO).
   (ii) Four members drawn from the ranks of scientists or
clinicians, including one from an independent research university in
California. The scientists shall have expertise covering the various
fields of scientific endeavor, including, but not limited to, the
fields of biomedical research and engineering, social, economic, and
behavioral research, epidemiology, and public health.
   (iii) Two members from nonprofit health organizations with a
commitment to breast cancer research and control.
   (iv) One member who is a practicing breast cancer medical
specialist.
   (v) Two members from private industry with a commitment to breast
cancer research and control, including, but not limited to,
entrepreneurs, or persons from the science or high technology
industry or persons from the health care sector.
   (vi) One ex officio, nonvoting member from the Breast Cancer Early
Detection Program.
   (B) If the president appoints more than 13 members, it is the
intent of the Legislature that the proportional representation remain
substantially the same as set forth in subparagraph (A).
   (C) Members shall serve without compensation, but may receive
reimbursement for travel and other necessary expenses actually
incurred in the performance of their official duties. Any member of
the Breast Cancer Research Council shall be ineligible to apply for
or receive funding for breast cancer research from the Breast Cancer
Research Program during his or her term of service on the council,
and for one cycle immediately following his or her term of service on
the council, if the council member helped plan that subsequent
cycle.
   (D) Membership shall be staggered in such a way as to maintain a
full council while ensuring a reasonable degree of continuity of
expertise and consistency of direction.
   (2) Provide overall coordination of the program.
   (3) Provide staff assistance to the program and council.
   (4) Develop administrative procedures relative to the
solicitation, review, and awarding of grants to ensure an impartial,
high quality peer review system.
   (5) Recruit and supervise research review panels. The membership
of these panels shall vary depending on the subject matter of the
proposals and the review requirements, and shall draw on the most
qualified individuals. The work of the review panels shall be
administered pursuant to policies and procedures established for the
implementation of the program. In order to avoid conflicts of
interest and to ensure access to qualified reviewers, the university
may utilize reviewers not only from California but also from outside
the state. When serving on review panels, institutions, corporations,
or individuals who have submitted grant applications for funding by
this program shall be governed by conflict-of-interest provisions
consistent with the National Institutes of Health Manual (Chapter
4510 (item h)), and any applicable conflict-of-interest provisions in
state law.
   (6) Provide for periodic program evaluation to ensure that
research funded is consistent with program goals.
   (7) Maintain a system of financial reporting and accountability.
   (8) Provide for the systematic dissemination of research results
to the public and the health care community, and provide for a
mechanism to disseminate the most current research findings in the
areas of cause, treatment, cure, earlier detection, and prevention of
breast cancer, in order that these findings may be applied to the
planning, implementation, and evaluation of the breast cancer-related
programs of the State Department of Health Services, including the
Breast Cancer Early Detection Program authorized by this act.
   (9) Develop policies and procedures to facilitate the translation
of research results into commercial, alternate technological, and
other applications wherever appropriate and consistent with state and
federal law.
   (10)  Transmit annually on or before December 31, 2010, and every
five years thereafter, a report to the Legislature on grants made,
grants in progress, program accomplishments, and future program
directions. Each report shall include, but not be limited to, the
following information:
   (A) The number and dollar amounts of research grants, including
the amount allocated to indirect costs.
   (B) The subject of research grants.
   (C) The relationship between federal and state funding for breast
cancer research.
   (D) The relationship between each project and the overall strategy
of the research program.
   (E) A summary of research findings including discussion of
promising new areas.
   (F) The institutions and campuses receiving grant awards.
   In addition, the first annual report shall include an evaluation
and recommendations concerning the desirability and feasibility of
requiring for-profit grantees to compensate the state in the event
that a grant results in the development of a profitmaking product.
This evaluation shall include, but not be limited to, the costs and
benefits of requiring a for-profit grantee to repay the grant, to
provide the product at cost to Medi-Cal and other state programs
serving low-income breast cancer patients, and to pay the state a
percentage of the royalties derived from the product.
   (e) It is the intent of the Legislature that no more than 5
percent of the allocation to the university be used for the purposes
of administration of this program.
   (f) It is the intent of the Legislature that the responsibilities
of the council shall include, but not be limited to, the following:
   (1) Development and review of the strategic objectives and
research priorities of the program.
   (2) Delineation of resource allocation across the various
priorities established for the program.
   (3) Participation in periodic program and financial review,
including the report transmitted pursuant to paragraph (10) of
subdivision (d).
   (4) Development and review of guidelines to ensure fairness,
neutrality, and adherence to the principles of merit and quality in
the conduct of the program.
   (5) Development of appropriate linkages to nonacademic entities,
including, but not limited to, voluntary organizations, health care
delivery systems, industry, government agencies, research
entrepreneurs, and public officials.
   (6) Development and review of criteria and standards for granting
awards.
   (7) Oversight and review of the request for applications (RFA).
   (8) Review of research review panel reports and recommendations
for grant awards.
   (9) Making of final recommendations on which grants are to be
awarded.
   (10) Development and review of oversight mechanisms for the
dissemination of research results.
   (11) Development and review of policies and liaison programs to
facilitate the translation of research results into commercial,
alternate technological, or other applications wherever appropriate.
   (12) Establishment of its own internal rules of operation.
   (13) Participation in the identification and recruitment of breast
cancer advocates and survivors, clinicians, scientists, and persons
from the science, high technology, or health care sector with
relevant expertise for possible participation in a peer review panel.
The council may propose to assign a member of the council to sit as
a nonvoting member of the peer review panels.
   SEC. 34.   SEC. 29.   Section 104500 of
the Health and Safety Code is amended to read:
   104500.  (a)  (1) The Legislature finds that the efforts to reduce
smoking in California have led to a drop in the consumption of
tobacco. Although not on target to meet the goal of achieving a
75-percent reduction in tobacco consumption in California by the year
1999, the results are encouraging.
   (2) The Legislature further finds that as a result of the success
of the programs, the money received from the taxation of tobacco has
been dropping. The Legislature declares this a sign of success, not a
matter of concern.
   (3) The Legislature further notes that programs, organizations,
and individuals receiving money from the Cigarette and Tobacco
Products Surtax Fund are receiving money from a declining revenue
source. The Legislature finds that this success has led to an obvious
concern and fear among recipients that "their money" is shrinking
every year.
   (4) The Legislature finds that, assuming the success of the
antismoking efforts continue, there will be necessary reductions in
spending in the years to come.
   (5) The Legislature declares its intention to seek full analysis
of all programs receiving money under Proposition 99 and declares its
intention to critically evaluate how the money is being spent and
whether the spending is achieving the results desired.
   (6) The Legislature specifically rejects the notion that every
dollar of expenditure made by every program, organization, or
activity is of equal value. Instead, the Legislature declares its
intention to choose between competing programs and to allocate moneys
to those programs and activities that are most successful in meeting
the goals of the initiative.
   (b) It is the intent of the Legislature to provide for the
continuation of the Cigarette and Tobacco Products Surtax Research
Program to support research into tobacco-related disease. It is the
intent of the Legislature that this program be administered by the
University of California and that this program be administered
pursuant to the following principles:
   (1) The research program established should adhere to the
objectives stated in the provisions of the initiative act entitled
Cigarette and Tobacco Products Surtax regarding research: "The
Research Account . . . shall only be available for tobacco-related
disease research."
   (2) All research funds shall be awarded on the basis of scientific
merit as determined by an open, competitive peer review process that
assures objectivity, consistency, and high quality. All qualified
investigators, regardless of institutional affiliation, shall have
equal access and opportunity to compete for the funds in the Research
Account.
   (3) The peer review process for the selection of grants awarded
under this program shall be modeled on that used by the National
Institutes of Health in its grantmaking process.
   (4) Awardees shall be reimbursed for the full cost, both direct
and indirect, of conducting the sponsored research consistent with
federal guidelines governing all federal research grants and
contracts.
   (c) It is further the intent of the Legislature that on or before
December 31, 2010, and every five years thereafter, the University of
California transmit programmatic, as well as financial, reports to
the state, including a report on the grants made, pending grants,
program accomplishments, and the future direction of the program.
   SEC. 35.   SEC. 30.   Section 104530 of
the Health and Safety Code is amended to read:
   104530.  It is the intent of the Legislature that the university,
as lead agency, do all of the following:
   (a) Provide overall direction and coordination of the program.
   (b) Provide staff assistance to the advisory committee and review
panels.
   (c) Provide for periodic program evaluation, to assure that work
funded is consistent with program goals.
   (d) Maintain a system of financial reporting and accountability.
   (e) Provide for the systematic dissemination of research results
to the public and the health care community, and to provide for a
mechanism to disseminate the most current research findings in the
areas of smoking cessation and the prevention of tobacco use in order
that these findings may be applied to the implementation of the
Health Education Account.
   (f) Develop policies and procedures to facilitate the translation
of research results into commercial applications wherever
appropriate.
   (g) Undertake an outreach program to inform interested parties of
the availability of grants for public policy research in the area of
tobacco control.