BILL ANALYSIS
Senate Appropriations Committee Fiscal Summary
Senator Christine Kehoe, Chair
1702 (Swanson)
Hearing Date: 08/02/2010 Amended: 05/28/2010
Consultant: Dan Troy Policy Vote: ED 8-0
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BILL SUMMARY: AB 1702 would waive "open course" provisions for
community college courses offered in state correctional
facilities and would allow attendance hours generated by credit
courses at all correctional facilities to be funded at the full
credit rate. This bill would also provide that community
college districts may not claim state apportionments for
instruction in correctional facilities if the district is fully
compensated by another entity for the costs of direct
instructional services. Also, the bill would require districts
to deduct any partial compensation for correctional facility
education from their apportionment.
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Fiscal Impact (in thousands)
Major Provisions 2010-11 2011-12 2012-13 Fund
Conversion to full credit $329 $329
$329General*
State correctional facilities $456, depending on CCC
response General*
to funding changes
*Counts toward meeting the Proposition 98 minimum funding
guarantee
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STAFF COMMENTS: This bill meets the criteria for referral to the
Suspense File.
Under current law, community colleges may not receive state
funding for courses that are not open to the public. This
provision is waived for courses offered at city, county and
federal correctional facilities, but not at state correctional
facilities. Further, current law only allows courses in
correctional facilities to be funded at the lower noncredit rate
even if the courses are for credit.
This bill would increase state costs by allowing community
colleges to claim funding for courses taught at state
correctional facilities and by funding credit courses provided
at these facilities at the full credit rate (noncredit courses
would still be funded at the lower noncredit rate). Currently,
for-credit courses are funded at the rate of $4,565 per
full-time equivalent (FTE) and noncredit courses at $2,745 per
FTE.
According to data provided by the Chancellor's office in prior
years, community college programs projected serving credit
courses for 1,769 FTEs in the 2006-07 fiscal year. The majority
of these FTEs (1,588) would already receive full credit funding
as courses are offered through distance education courses open
to the public. Under this bill, the reminder (181) would now
receive full credit apportionments, generating a cost to the
state of $329,000 (181 * $1,820).
Additional costs could arise depending on the number of FTEs
that would take classes
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AB 1702 (Swanson)
at a state correctional facility. Staff notes that for every
100 for-credit FTEs authorized under this provision, state costs
would increase by $456,000. While community colleges are
limited to enrollment caps which some suggest would make this a
zero sum change, staff notes that not all colleges are at their
caps and that expanding access and funding rates clearly creates
pressure to increase funds.
There have been many similar bills heard by this committee in
recent years. SB 574 (Hancock, 2009) was held in this committee
last year. SB 413 (Scott, 2008) was vetoed by the Governor in
2008, whose veto message indicated a concern that the bill would
supplant funding for education provided by the Department of
Corrections and Rehabilitation. SB 1460 (Cox) was held by this
committee 2006. SB 672 (Cox, 2005) was also vetoed by the
Governor, who noted in his message that courses offered at
correctional facilities should be not funded at full credit
rates since these offerings did not incur costs for facilities
or student services.