BILL ANALYSIS
SENATE COMMITTEE ON EDUCATION
Gloria Romero, Chair
2009-2010 Regular Session
BILL NO: SB 647
AUTHOR: Denham
AMENDED: April 13, 2009
FISCAL COMM: Yes HEARING DATE: April 29, 2009
URGENCY: No CONSULTANT:Nancy Anton
SUBJECT : California National Guard Education Assistance
SUMMARY
This bill establishes the California National Guard
Education Assistance Award Program.
BACKGROUND
The California Student Aid Commission (CSAC) administers a
variety of student financial aid grant and loan programs
including several different Cal Grant programs. The Cal
Grant programs provide awards to students who meet both
specific income and academic eligibility criteria. These
programs include:
1) Cal Grant A & B "entitlement program" for graduating
high school seniors. About 173,000 new and continuing
awards are projected for 2008-09.
2) Cal Grant A & B "competitive program" for students who
begin college more than a year after graduating from
high school. Statute limits the number of new awards
in any one year to not more than 22,500; because of
this only about 18 percent of qualified applicants
receive awards. About 57,000 new and renewal grants
were awarded in the current year; the Governor's
2008-09 proposed budget includes no funding for this
program.
3) California Community Colleges (CCC) Transfer
Entitlement Program (CCCTEP) for students transferring
from a CCC to a four-year institution. About 8,000
new and continuing transfer entitlement awards are
projected for 2008-09.
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4) Cal Grant C for students attending occupational or
vocational programs of less than two-years duration.
About 7,900 new awards are authorized for 2008-09.
Members of the California National Guard, as well as most
other Californians, may participate in these programs
should they meet the eligibility requirements.
In addition, there are a variety of other federal,
campus-based, and private financial aid opportunities with
varying eligibility requirements.
ANALYSIS
This bill creates the California National Guard Education
Assistance Award Program to provide awards to qualifying
members of the California National Guard, the State
Military Reserve or the Naval Militia. Specifically, the
bill:
1) Requires that a "qualifying member" meet all of the
following:
a) Be a California resident.
b) Be an active member of the California
National Guard, the State Military Reserve or the
Naval Militia and have served for at least two
years.
c) Be an accepted or registered student at a
qualifying postsecondary education institution.
d) Agree to use the award to obtain a
certificate, degree or diploma that he or she
does not hold at the time the person applies for
the award.
e) Submit an application to the Adjutant
General. The application shall be the Free
Application for Federal Student Aid (FAFSA).
2) Requires applicants to submit an application to the
Adjutant General. The application shall be the Free
Application for Federal Student Aid (FAFSA).
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3) Requires the Adjutant General to select among eligible
applicants and certify eligibility of the qualifying
member to the Student Aid Commission.
4) Sets the maximum number of awards issued in any one
year to the number approved by the Legislature in the
annual Budget Act.
5) Sets the amount of the award at:
a) The amount of a Cal Grant A plus.
b) The "access" portion of a Cal Grant B plus.
c) Any additional stipend for books and
supplies.
6) Requires the Student Aid Commission to administer this
program and, in consultation with the Adjutant General
to adopt rules and regulations, as specified.
7) Provides that the awards may be renewed for each new
academic year for a maximum of five years full-time
equivalent enrollment providing that the qualifying
member maintains their military eligibility and
satisfactory academic progress.
8) Prohibits qualifying members from receiving both a
California National Guard Education award and a Cal
Grant for the same academic year.
9) Requires the Student Aid Commission to report annually
to the Legislature regarding program participation, as
specified.
10) Requires the Legislative Analyst to report to the
Legislature by January 1, 2014 on the efficacy of the
program established by this bill.
11) Sunsets on January 1, 2016.
STAFF COMMENTS
1) Non-need based . Staff notes that the awards provided
under this program would not require that the
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applicant be financially needy.
2) Federal GI bill benefits . The federal government
recently enacted a new GI Education Bill; the benefits
of which could be available to some members of the
California National Guard, State Military Reserve
and/or Naval Militia. Given this, staff recommends
that the bill be amended to provide that benefits
provided under the program established by this bill be
provided only to members who have either fully used
their federal GI education benefits or who do not
qualify for such benefits.
3) Award Duration and Value .
a) The duration of the award under this program
(5 years full-time equivalent attendance) would
also exceed the duration of the award under the
Cal Grant program (4 years full-time equivalent
attendance). Does this make sense?
b) The value of the award given under this
program would combine the value of a Cal Grant A
(fees and tuition) plus those of a Cal Grant B
($1,551 annual stipend) plus and unspecified
amount for books and supplies, thereby well
exceeding the amount given to financially needy
Cal Grant recipients. Does this make sense?
4) Proposed budget. The Governor's proposed budget
includes $1.8 million in General Fund support for this
program ($3.6 million full year.)
5) Similar Bill. This bill is substantially similar to
SB 815 (Cogdill)
6) Previously heard . This bill was heard and passed by
the Senate Veterans Affairs Committee (7-0) on April
14, 2009.
7) Previous bill . This bill is substantially similar to
SB 1752 (Wyland) of last session which was heard and
passed by this Committee (9-0) on April 17, 2008.
That measure was held in the Senate Appropriations
Committee.
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SUPPORT
American Legion, Department of California
OPPOSITION
None received.